MKTG 477 1st Edition Lecture 23 Outline of Last Lecture I Budget effects continued II FTC Outline of Current Lecture I Determining deception II Where FTC cases originate from III Stouffers example Current Lecture Determining deception of the FTC 3 criteria 1 Misleadingness a Are the beliefs perceptions consumers hold as a result of seeing the ad different from reality i Misrepresentations statements contrary to fact ii Omissions qualifying information is not disclosed 2 Reasonable consumer a Are the individuals who hold these false beliefs acting reasonably i A normal expected reaction to the ad ii By people from the target market iii A notable percentage of individuals less than 5 b Keebler Cookies i Baked by elves in hollow trees ii Target market children but parents buy them so they know it is just to get children s attention 3 Materiality the importance affects people a Do the deceptive claims made in the ad affect influence buyer behavior to the consumer s detriment i Is one of the reasons consumers consider buying the product due to their exposure to and beliefs about the deceptive claims made in the ad Cases originate from Unhappy consumers Regular reviews done by lawyers Competitors most often These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Stouffer s Of all the things we make we make sense 1 People believe the product to be low in fat calories sodium etc a Always less than 1 gram of sodium 2 Most people will still believe it is low in sodium after viewing the ad a 1 gram 1 000 mg which is a lot 3 Buying this product will make a difference when paying attention to health aspects of the advertisement a Most people do not read the fine print which states information about sodium
View Full Document