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ADPR 3100: Final Exam
digital media pros and cons
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pros
-inexpensive, quick, targeted to niche markets, measurable
-audio and video for endangerment
-flexible
cons
-just beginning
-still reluctant of internet purchasing
-so many web sites
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customer relationship marketing
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a management concept that organizes a business according to the needs of the consumer
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what are some advantages for a business using CRM?
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more effective cross selling
higher custom retention, profitability, response to campaign, and more effective investments.
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spam
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online advertising messages that are usually unsolicited by the recipient
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opt-in
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a form of permission marketing gin which online customers are sent messages only after they have established a relationship with a company.
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opt-out
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procedures that recipients use to notify advertisers that they no longer wish to receive advert messages.
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dot-coms
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a generic designation that refers to companies engaged in some type of online commerce
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what are the four ways marketers can uses commercial web sites?
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1. source of direct sale
2. source of advert-supported communication
3. source of marketing and promotion information
4. as builders of consumer engagement
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What are the pros of direct response?
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1. can reach virtually anyone
2. measurable medium with opportunities in short term sales related responses
3. can personalize message and build ongoing relationship
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Cons of direct response?
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1. high cost per contact
2. prospect list must be updated constantly
3. privacy issues
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what are three possible objectives of direct response?
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1. direct orders ( all the info and paperwork for transaction)
2. lead generation ( additional info)
3. traffic generation ( provides detailed info and no order form)
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features of dr?
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1. measurable
2. personal
3. direct response is targeted communication
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infomercial
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long form tv advertising that promotes products within the context of a program-length commercial
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Direct response tv advantages?
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1. shows the product in use and provides demonstration
2. creates exicitment of a product
3. offers immediate response
4. less expensive production cost
5. complements retail sales
6. great tech for testing various product benefits and measuring sales response
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per inquiry (pi)
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advert time or space for which medium is paid on a per response received basis
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what are the keys to moving a person from a prospect to a buyer in catalog?
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1. the right product
2. exiting creative execution
3. reach a targeted group of prospects
4. fulfillment and customer service
5. the process of successful selling doesn't end with a single purchase
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list brokers
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in direct mail advert, an agent who rents the prospect lists of one advert to another advet. the broker receives commission from the seller for this service
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list manager
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promotes client's list to potential renters and buyers
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service bureaus
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improves list quality by many steps including merge/purge
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merge/purge
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used to elimate duplication by dr advert who use different mailing lists for same mailing
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lettershop
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a firm that not only addresses the mailing envelope but also a mechanically equipped to insert material, seal and stamp envelopes, and deliver them to the post office according to mailing requirements.
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what are some other direct mail tech.
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package inserts, ride along ( direct mail pieces that are sent with other mailings, such as bills), statement stuffers, ticket jacket, cooperative mail advertising
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what is the planning process for building strong brand equity?
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1. brand equity audit
2. strategic options and recommended plan
3. brand equity probe
4. creative brief
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what is the first step in developing a campaign?
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situation analysis
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situation analysis ask what ?s
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where are we today
how did we get here
where are we going in the future?
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a media plans have three primary ares
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strategy, tactics, and scheduling
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what are the four obstacles facing us marketers seeking global sales?
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explatation
corrupting influence
gross insensitivity and arrogance
hyper consumerism
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glocalization
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a hybrid term meaning to adapt global marketing efforts to local markets and cultured
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What are the basic means of market entry?
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1. export goods to independent wholesalers and retailers in host countries
2. begin joint venturing
3. establish totally owned enterprises
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global marketing
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term that denotes the use of advert and marketing strategies on an international basis
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European union
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the developing economic integration of Europe. a single market of some 500 million consumers in 2010
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north american free trade agreement
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a treaty designed to eliminate trade barriers among the u.s mexico and canada
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what three things need to be considered in international marketing?
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management, advert. excecution, sensitivity
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what are the three common problems encountered by multinational firms?
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language differences
media research and usage
cultural considerations
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marketing translation
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the process of adapting a general marketing plan to multinational environments
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what are the three problems in global media planning?
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1. media avail. and usage level
2. legal prohibitions
3, lack of reliable audience research
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three diversity trends influencing marketing
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1. race is more difficult to determine
2. majority-minority transition
3. citizens of the world
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what is the largest medium in terms of vehicles in ethnic oriented media outlets?
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newspaper
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what are five findings of the Hispanic population?
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1. love to shop
2. more influenced by ads
3. more likely to pay in cash
4. more likely to download music
5. retro acculturation
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what are the three eras of advertising?
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1, era of exaggerate claims
2. era of public awareness
3. era of social responsibility
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economic argument in favor of advert
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1. provides information to consumers
2. supports largely unrestricted media and gives jobs
3. permits companies to achieve economies of scale in production that offsets the per unit cost, and competition results in lower prices
4. increases in the economy by increasing generic and brand consumption
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economic arguments against advertising
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1. intent is to persuade, not to inform
2. advert spending is largely wasted
3. instead of lowering prices, it makes price comparisons less important in purchasing decisions
4. makes it difficult for new products to enter the market
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two major types of cultural effects of advert on the audience
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1. advertsing's inadvertent social role: setting social agenda
2. advert's overt social role: campaign's goal is to change social agenda
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what are social criticism of advert?
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privacy concerns, product placement, and advert's role in obesity
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When advert is socially criticized it is typically in what four areas?
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1. advert content ( most criticized)
2. advert of certain product categories ( cigarettes)
3. excess advert
4. advert's unwanted influences on society
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advertising council
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most organized effort of social advocacy
began in wwII
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issue advocacy advertising
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used to influence public opinion and legislation
mostly negative
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cause related marketing
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provides in initiative such as american express fixing the statue of liberty
can be the decision making between two similar products
another source of product differ nation
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strategic philanthropy
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corp market their good deeds in the same way they market their products
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transactional programs
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companies contributes to a cause based on consumer purchase of a brand.
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message promotions
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link a brand with information about some cause
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licensing programs
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permit companies to use charities' logos in their advertising.
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why was advert chosen to provide the most finical support in media?
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spread out over a lot of advertising so there is not direct influence on the editor
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what are some examples of the relationship between advertisers and media?
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1. withholding advertising as an attempt to control editorial decisions
2. advertisers financed production
3. product placement
4. the advertorial
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advertorials
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the use of advertising to promote an idea rather than a product or service
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market failure
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when untrue or misleading advert is disseminationed and the consumer and advert relationship is violated
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What are the three basic constraints on advert?
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1. laws and regulations of legally constituted bodies such as fcc or congress
2. control by the media through advert acceptable guidelines
3. self regulation by advert. and agencies using codes of contacts
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caveat emptor
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Latin for let the buyer beware, represent there should be no government regulation
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the federal trade commission
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1914: made in response to public and congress concern over large firms driving out smaller competitors in a number of industries
could only protect local retailers from unfair pricing practices by large chains until
1922: false advertising was ruled unfair trade practice
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wheeler leah amendments
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broadened the scope of the ftc to include consumer advert.
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substantiate
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advert must be able to prove the claims made in their advert
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FTC uses three part test to determine if an advert has been untruthful
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1. there must be a representation, omission, or practice that is likely to mislead the consumer
2. the act or practice must be considered from the perspective of a consumer who is acting reasonably.
3, the representation, omission, or practice must be material
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process of ftc intervention of deceptive advert
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1. there is a claim
2. ftc begins investigation with a request for substatiotion
3. complaint is issued if found deceptive ( consent decree)
4. if they refuse to sign consent decree then ftc issues cease and desist order
5. FTC can also make them do corrective advertisements
6. if they do not reach an agreement then it goes to federal courts.
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consent decree
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an advertisers signs the decree stops the practice under investigation, but admits no guilt
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cease and desist orders
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if an advert refuses to sign a consent decree, the ftc may this that would give a 10000 per day fine
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corrective advert
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to counteract the past residual effect of previous deceptive advertising.
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ftc is responsible for enforcement and education in three areas
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1. federal laws passed by congress
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puffery
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advert's opinion of a product that is considered a legitimate expression of biased opinion
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robinson patman act
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the federal law requires a manufacturer to give proportionate discounts and advert allowances to all competing dealers in the market. to protect smaller merchants from unfair competition of larger buyers
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slotting fee
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payments to retailers by manufactures to gain shelf space
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federal sherman antitrust acts
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was designed to prevent alliances of firms conceived to restrict competition (1890)
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clayton anti trust act
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amended the sherman act
eliminated to preferential price treatment when manufacturers sold merchandise to retailers.
1914
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robinson patman act
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1936
amended the clayton act
prevent manufacturers from providing a promotional allowance to one retailer unless it is also offered to competitors on a proportional equal basis.
combated under the table rebates
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food and drugs act
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1906 in response to unsanitary meat
prohibits interstate commerce in misbranded and adulterate food drinks and drugs
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federal food drug and cosmetic act
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1938
established the FDA which gave it the responsibility
-requiring new drugs to shown safe
-providing that safe tolerance be set for poisonous substances
-authorizing standards for food and food containers
-authorizing factory inspections
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first amendment and advertising
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1914-if public issue is expressed that is protected because it did not contain commercial speech
1976-society benefits from a free flow of commercial information just as it benefits from free exchange of political ideas
1979: f.a protection is not absolute and regulation of commercial speech can be allowed if if deem unconst.
1980: a set of guidelines for commercial speech
1986: strengthen the ability for states to regulate advert
1988: dealt with college regulation cause it was too broad
1993: victory for commercial speech
1996: 44 liquormart vs. rhode island it was unconstitutional for rh to ban liquor price advert. because it was too extensive and was no promoting its goal of temperance
1999: the ban on gambling was not furthing government's stated interest and not in the best way
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central hudson gas and electric vs. public service commission of ny
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1980
set guidelines for constitutional protection on commercial speech
made a 4 part test to determine when commercial speech is protected and when regulation is permitted
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central hudson four part test
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1. is the commercial expression eligible for first amendment protection?
2. is the government interest asserted in regulating the expression substantial?
3. if the first two test are met, the court then considers if the regulation of advertising imposed advance the cause of the governmental interest asserted.
4. if the first three tests are met, the court must finally decided if the regulation is more extensive than necessary to serve the government's interest
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CAN SPAM Act of 2003
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established requirements for those who send commercial email, spells out penalties for spammers, and gives consumers the right to ask emailers to stop spam
DOJ can enforce the criminal aspects
provison of the act: false or misleading header information is banned
deceptive subjective lines are prohibited
the email must give recipients an opt out method
commercial email must be identified as an adv. and include the senders valid physical postal address
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5 direct response marketing
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tv and direct response
shopping network
catalogs
radio and direct response
magazine and direct repsonse
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national association of attorneys general
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help regulate on a local level
1. internet and telecom polices
2. moving company policies
3. predatory lending concerns
4. auto and tire safety
5. telemarketing fraud
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comparison advert
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most controversial areas of advert
j. sterling getchell fist person to use it
ftc fosters it
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three problems in comparison advert
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1. runs the risk of promoting competition
2. may appear unfair to consumers that can ruin brand rep
3. may provoke law suits
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advertising clearance process
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the internal process of clearing ads for publication and broadcast, conduction primarily by ad agencies and clients
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toy guidelines
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1. must present toys realistically and literally
2. animation is limited to 10 seconds per spot
3. must disclose if parts or batteries are sold separately
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better business bureaus
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best known organization to fight for honest advert.
does not have the forces of law
wrote basic principles
major influence because they are able to exert both the force of public opinion and peer pressure to set up voluntary efforts
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national advertising review council
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1971 in response to different consumer pushing for more government regulations
objective was to sustain high standards of truth and accuracy through voluntary regulation
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national advert division
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the primary investigative unit of the narc self regulation program
staffed with full time lawyers
provide most challanges: product testing, consumer perception studies, taste claims, pricing, testimonial evidence, demonstrations
can not order an advert to stop an ad or impose a fine or bar anyone from advert or boycott them
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children's advert review unit
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the caru functions to review complaints about advertising to children
focuses on food and internet adv.
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the children's food and beverage advert initiative
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launched by cbbb to provide transparent and accountability self regulatory guidelines for companies that advert food and beverages to children.
-reduce the use of third party licensed characters
-not pay for product placement targeting 12 and under kids
-change interactive games.
- not advert in elementary schools
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immersive media
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enlivenment ( real or virtual)
social tie in and engagement
not delivering information but instead interactivity
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campaign
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many separate ads but need continuity
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behaviorism
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· The belief that humans have innate drives and urges can be conditioned to certain stimuli
· Symbols (ads) are universal stimuli
· Thus from this advert is powerful
· Needs, urges, and instincts we cannot control
- Food water, shelter etc.
- Fear romance
· Can be controlled by others
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classical conditioning
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· Modification of involuntary reflex behavior
- Experiments pavlor with dogs
Behaviorist view of advertisers’ role: overt, create stimuli ( ads) to condition responses that benefit the product/ service, subliminal
* symbolism, powerful
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theory of representation
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A. Rationalism: needs and wishes individual, known, and controllable
- Rationalist view of advertisers’ role: deliver dependable
- Advertising is not powerful
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cultural ism
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· born into and taught general ways of understanding the world
- Taken for granted seems common sense
- Assumed to be “natural”
- “pressure: negative or positive
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culturist view of advert's role
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- Use existing pressures in the benefit of the campaign
- E.g., an existing and compelling story or situation
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representation of culturism
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significance not symbolism or denotative
- Meaning not in the message, but through associations ( textual and social)
- We learn and internalize the meaning of particular
- Seen natural, obvious, beyond question
-pressure, siginication,
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Normative in advert principles
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guidelines or ideal
- How things are supposed to operate
- Systematic, consistent
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historical in advert principles
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· the real world
- How things actually happen
- Irrationally, unpredictable
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what good are principles?
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- Justification for practice
- Tools to generate options
- Ammo for arguing your case
- Difference from principles, not description
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moral muteness
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a. I’m just providing a service to by clients. But on a personal level I sometimes find what they want to do very offensive.
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Compartmentalization
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a. If I want to stay in business I need to give my clients what they want
- Clients are always right
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• Deception
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- Legal realm
- Demonstrable, provable lies
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Manipulation
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- Ethical realm
- Pressures
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Benefits to colonizer
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· Greater wealth
o Cheap raw materials and labor
o Greater profits
· Political power
· Gain military footholds
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imperialism
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control over economics
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· Colonialism
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o Absorb economically and politically
o 1914 : 85% of earth’s land surface is colonies
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· Pre-colony
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o Home-based production
o Extended family
o Village
o Barter economy
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post colony
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o Industry-based production
o Single adult; nuclear family
o Region/nation
o Wage work
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· Freedom = Rationalism
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o People act in a rational self-interest
o Good ads at-most persuade; do not cause
o Advertising is not powerful
o No need for curtailing freedom
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· Appropriateness = Culturalism
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o Live in a sea of learned, often take-for-granted associations
o Ads use and remake deep associations
o Advertising can potentially be powerful
o Need to balance freedom and responsibility
Appropriateness focuses on advertising being appropriate based on local and cultural standards. This is linked with culturalism since culturalism states advertising can potentially be powerful, and consumers need a little protection. Its about finding the best balance between having no limit and having too much protection.
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