Marketing 17131 | Course Paper

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Scenario 11-4

You are a production assistant working on a thirty-second television spot for Happy

Heart Hound, an all-natural gourmet dog food for puppies. The client wants to

emphasize the healthful ingredients as well as the “happy and fun-loving” nature of the

product.

The first cut of the ad is attractive, touching, cute, and just humorous enough. When an

audience tests it, most viewers really like the dogs, the visuals, and the music; but they

don”t remember the product. Which of the following creative guidelines for television

was forgotten?

a. Persuading as well as entertaining

b. Avoiding humor whenever possible

c. Maintaining a feeling of continuity

d. Showing the brand

Which of the following is true about the roles of creatives and account executives in an

advertising agency?

a. Account executives work for awards; creatives work to please the client.

b. Account managers must be generalists, whereas creatives must possess expertise in a

single area.

c. Creatives are more likely to see the goal of the communication as achieving some

predetermined objective in the marketplace.

d. Creatives serve as a liaison between the client and the advertising agency.

Art production for advertising to appear in cyberspaceparticularly those composed of

headline, body copy, and illustrationmost closely resembles production of advertising

for _____.

a. radio

b. television

c. packaging

d. print

The ____ describes itself as “an expert, independent, non-profit organization whose

mission is to work for a fair, just, and safe marketplace for all consumers and to

empower consumers to protect themselves.”

a. Consumer Finance Protection Agency

b. Consumer Federation of America

c. Consumers Union

d. Consumer Review Unit

An infomercial has the advantage of looking like an entertainment show, when it’s

really an ad.

a. True

b. False

Scenario 12-1

Appleberry Farms Organic Jam has been the number one jam in the jam and jelly

category for several years. Although still a number two in this category, Blackberry

Valley Organic Jam is gaining a strong foothold. Appleberry had $39,466,000 in sales

last year, while Blackberry had only $16,301,000, but that was 11 percent higher than

its 2008 sales.

Organic jams and jellies are important to marketers because they appeal to

health-conscious consumers and have a fresh taste that many consider superior to

traditional fruit spreads.

Appleberry Farm has been put on notice. Blackberry Valley Jam’s move up came

despite lower ad spending than Appleberry Farm Jam. The Blackberry brand spent

about $972,000 in measured media during 2010, compared to $1,553,000 spent by

Appleberry. Blackberry also underwent an aggressive re-launch last year with

reformulated flavors, revamped packaging, new ads, and additional media.

Money spent on advertising jam and jelly products in 2010, by brand:

Appleberry Farm Jam $ 1,553,000

Blackberry Valley Jam $ 972,000

total for product category $ 3,714,000

Approximate 2010 Jam and Jelly category sales, by brand:

Appleberry Farm Jam $ 39,466,000

Blackberry Valley Jam $ 16,301,000

total for product category $ 81,732,000

Share of voice of a company can be calculated to:

a. the essential good mentions”bad mentions about a particular brand or product.

b. understand the strengths and weaknesses of competitor’s products.

c. determine a brand’s share of product category spending on a particular advertising

medium.

d. assess the threats in a particular market.

Media planners need to identify media that cover the same region or location as the

advertiser’s distribution system. This is an example of _____, a critical element in

setting advertising objectives.

a. frequency

b. geographic scope

c. micro-targeting

d. purchase size

Which of the following is an example of cognitive residue, as advertisers would define

it?

a. Being unable to recall anything about an ad when a brand name is mentioned to you

b. Having a certain brand name in mind, above all others, and making a point to buy

only that brand

c. Vaguely remembering a slogan and a jingle for a product

d. Knowing that you want to buy a product but not being sure why

The principles of design suggest that:

a. there should be a unifying force within the ad.

b. the components within an advertisement should be ambiguous.

c. all elements of the ad should be equally emphasized.

d. it should be formally imbalanced.

Publicity is essentially paid media exposure about a firm’s activities.

a. True

b. False

Consumer preferences and new technologies are reshaping the communication

environment.

a. True

b. False

Scenario 8-2

Following the announcement that the world’s largest e-tailer, Amazon.com, made a

profit for the first time since it started business in the early 1990s, the company saw

more than 90 percent of its market value disappear as part of the dot-com collapse. It is

questionable whether or not Amazon figured out a profitable business model after

changing its tune several times over those early years. Then it began circling back

somewhat to an earlier focus on becoming the Walmart of the Internet. It said it wanted

to sell huge volumes of merchandise cheaply, and in the process eke out enough of a

profit to satisfy Wall Street.

Although investors had to wait some time for the e-tailer to work out the kinks, and it’s

uncertain how much longer they’ll remain patient, Amazon’s mainstay retail business

may see further improvements as it grows. As we all have now witnessed, unlike

brick-and-mortar retailers who must build new stores, stock them, and hire people to

staff them, Amazon has been able to open new stores with minimal additional cost.

Some years ago, it reported turning over its inventory 17 times a yearclose to double

that of traditional retailers at the time. And on average, it reported having gotten paid 32

days before it must pay its suppliersin essence, providing millions of dollars in cash

flow.

Information updated for 2011, based on the following initial articles:

(David Shook, “Can Amazon Turn Baby Steps Into Strides?,” Businessweek

Online,February 13, 2002.)

(Rob Hof, “Why Amazon Could Keep Flowing,” Businessweek Online,January 5,

2005.)

Amazon was one of the first online retailers to launch advanced technology to track

consumer visits and suggest products whenever they returned to the site. This ability to

find out what customers have bought in the past, and project that they will buy similar

items in the future, has been a key factor underlying Amazon’s strategy and growth.

When Amazon asks customers if they plan on buying certain products in the future, it is

measuring

a. share of market.

b. brand awareness.

c. share of voice.

d. purchase intent.

The usefulness of creativity in advertising ends once the ad has captured consumer

attention.

a. True

b. False

The only thing limiting the new media right now is that they:

a. cannot be interactive and drive audiences to engage with brands.

b. cannot track customer data.

c. still have not developed the actual ads, promotional contacts, and IBC to leverage all

these data.

d. are not reliable enough to use search engines in order to understand customers’ search

behavior.

Scenario2-5

In 2008, Chicago native Andrew Mason launched Groupon, a website that offered

Chicago consumers various “deals of the day.” At the time, Groupon had a unique

business modeleach day, one “groupon” would be offered in a particular city. If a

certain number of people signed up for the offer, then the deal became available to all.

Now, only two years later, the business continues to grow, and the service is being

offered in several more U.S. cities. Google made a multi-billion dollar offer for the

company that Mason turned down in the December of 2010. Continuing the company’s

rapid rise to success will be a challenging task for CEO Andrew Mason and his

team because they will be the first to attempt to advertise the unique services. Groupon

needs to find ways to attract new users, and looking into new forms of advertising will

be essential to the company’s success.

As Groupon’s services differ depending on the city in which it is offered, its CEO

decides that each variation needs to have a catchy slogan that relates to that particular

market. Which of the following types of advertising agencies would likely be the

best choice to create these slogans?

a. A digital/interactive agency

b. A media specialist

c. A creative boutique

d. An production facilitator

Scenario 12-3

Champion Chocolate sells handmade specialty chocolate candies in a Midwest city with

an adult population of 850,000. The entire adult population of the city is considered

Champion Chocolate’s target market.

Media planners look at sales and decide to pursue a media strategy that runs throughout

the year but uses heavier scheduling in the two weeks preceding Valentine’s Day, Easter

Sunday, Mother’s Day, Thanksgiving Day, and Christmas Day. They decide to use local

television, magazine, and newspapers to advertise the products.

Champion Chocolate selects three specific vehicles to carry its message: Six spots will

run on a local TV news show. The show has a rating of 30.

Eight ads will run in the regional edition of a magazine. The magazine has reach of 10.

Twelve ads will run in the local newspaper. The paper has a reach of 40.

To calculate the reach of their product, the company’s media planners begin calculating

gross impressions. To do so, they would calculate:

a. the sum of exposures to the entire media placement in the media plan.

b. add the figures of between-vehicle duplication and within-vehicle duplication.

c. the gross number of media vehicles used in a schedule.

d. the total number of times an individual in a target audience is exposed to a message.

Internal mailing lists are created by accessing the organization’s own records of its

customers, donors, subscribers, or inquirers.

a. True

b. False

In radio spots, the copy must dominate any musical pieces or jingles, otherwise the

music can easily overwhelm the persuasive elements of these ads.

a. True

b. False

Scenario1-4

Target, a global discount retailer, generates around 65 billion dollars in sales, annually.

Additionally, the company employs more than 360,000 people worldwide. Target stores

carry just about every major brand imaginable. Additionally, Target carries a number of

its own brands including Market Pantry, Archer Farms, and Up and Up. Each of the

brand labels appears on different products throughout the storefor example, the Archer

Farms label appears on the retailer’s highest quality foods. The Market Pantry label

appears on food items as well, however these items are often sold at a significantly

lower price. The Up and Up label is on a large range of products ranging from paper

products to household cleaning supplies.

In one city, Walmart, a competing retail outlet, opens a store across the street from

Target and a battle for business follows. To distinguish their stores from one another,

both retailers create a series of new commercials to help promote their brand. Target’s

commercials emphasize the fast, fun and friendly service that it provides for its guests,

and uses several celebrity endorsements. Meanwhile,Walmart runs three different

commercials that focus on the low prices of its products. This is an example of:

a. corporate advertising.

b. internal positioning.

c. external positioning.

d. product placement.

Scenario 7-5

The Solutions Group is a combination of companies that help clients better understand

their target markets through creative research approaches. It has learned that many

people have become quite adept at filtering out advertising messages and therefore do

not respond to traditional research instruments such as surveys. The Solutions Group

says that there must be a “research revolution” based on true dialogues with consumers,

not one-way monologues often seen in traditional surveys.

The Solutions Group may want to center on field work as its primary research method

because it is designed to measure “embedded” consumer practices, that is:

a. those conducted on the spot in stores, malls, and on Internet retail sites.

b. those tightly intertwined in the social lives of consumers.

c. those previously subconscious thoughts or hidden feelings that are revealed.

d. those habitual and almost automatic purchasing decisions.

Scenario 9-2

The Optima Bike Company manufactures broad-tire, three-wheeled, and two-wheeled

bicycles mostly for the retirement market. Its primary market is seniors, usually those

who live in retirement communities where there are clearly designated and safe bike

paths. Seniorsand especially the younger baby boomerslike these recreational vehicles

because they are easy and safe to ride. The company has had some early successes in

Florida, Arizona, and California, where such communities began. Optima now wants to

expand to other retirement enclaves. It has learned from two well-conducted consumer

research studies that the main way that male retirees buy the Optima line is through the

urging of wives who want to exercise in some way other than playing golf.

Optima decides to engage an ad agency to capitalize on this consumer insight and

promote its bikes to newer golf communities. It asks two agencies to pitch for its

business and gives each a meeting in which it conveys the information above.

AlphaAgency is based in Miami and insists that its creative team is best suited to

promote Optima. Its managers tell the prospective client that this team is well versed in

advanced animation techniques and can dramatize the features of Optima’s two and

threewheeled bikes in a dynamic way. They”ll focus on how fast they can go and how

they can “transform the ride” into an adventurethis has worked in other ads, and this

will appeal to the male consumers who need to be lured away from the golf course.

Following this initial display of product prowess, they suggest a campaign that

demonstrates how the bikes can be customized to be more “comfortable and attractive

for the ladies,” including pink seat options. They finish by asking whether the brand

name can be changed to ‘something more exciting.”

BetaAgency is based in Los Angeles and promises to serve as Optima’s branding

partner. It asserts that its creative philosophy is centered on long-term brand building.

Its managers propose that they will develop the right message by applying the

research-based consumer insight that women want to use the bikes to entice their

husbands to leave the golf course once in a while. They suggest that their successful

work in building regional appreciation for brands, such as Sea-Doo water vehicles and

Ski-Doo snowmobiles, indicates their prowess in branding similar but not directly

competitive brands. They emphasize the difference that Optima offers in the

recreational-ride category, and the consumer targets that differ from other brands. They

close by complimenting this prospective client on how appropriate the brand name is,

given its customer base and likely target consumer.

Once Optima managers have engaged Beta Agency to do their IBP work, how will they

ensure that their hopes for a great campaignand partnershipwill become reality?

a. By writing specific creative team members into the contract

b. By asking that Beta check daily with the brand manager for Optima

c. By beginning work with the account executive at Beta to write a creative brief

d. By setting up a meeting for the CEO of Beta and the CEO of Optima

The term event sponsorship refers to the innovative component of a media plan that

involves a company setting up its own events, such as concerts or festivals, to promote

its brand and sell its product.

a. True

b. False

A family-owned meat shop has expanded to four locations within the Preston area and

suburbs, running regular promotions in the daily editions of The Preston City Star

newspaper. These newspaper ads are forms of ____ advertising.

a. local

b. trade

c. regional

d. national