978-1337116800 Chapter 15 Solution Manual Part 1

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Chapter 15: Marketing Communications

Chapter 15

Marketing Communications

This chapter begins with the learning outcome summaries followed by a set of lesson plans for

instructors to use to deliver the content.

• Lecture (for large sections) on page 4

• Company Clips (video) on page 5

• Group Work (for smaller sections) on page 8

Review and Assignments begin on page 10

 Review questions

 Application questions

 Application exercise

 Ethics exercise

 Video assignment

 Case assignment

Great Ideas for Teaching Marketing from faculty around the country begin on page 26

Chapter 15: Marketing Communications

Learning Outcomes

15-1 Discuss the role of promotion in the marketing mix

Promotional strategy is the plan for using the elements of promotion—advertising, public

15-2 Describe the communication process

The communication process has several steps. When an individual or organization has a message

it wishes to convey to a target audience, it encodes that message using language and symbols

15-3 Explain the goals and tasks of promotion

The fundamental goals of promotion are to induce, modify, or reinforce behavior by informing,

persuading, and reminding. Informative promotion explains a good’s or service’s purpose and

benefits. Promotion that informs the consumer is typically used to increase demand for a general

Chapter 15: Marketing Communications

15-4 Discuss the elements of the promotional mix

The elements of the promotional mix include advertising, public relations, sales promotion,

personal selling, and social media. Advertising is a form of impersonal, one-way mass

15-5 Discuss the AIDA concept and its relationship to the promotional mix

The AIDA model outlines the four basic stages in the purchase decision-making process, which

15-6 Discuss the concept of integrated marketing communications

Integrated marketing communications is the careful coordination of all promotional messages for

a product or service to ensure the consistency of messages at every contact point where a

15-7 Describe the factors that affect the promotional mix

Promotion managers consider many factors when creating promotional mixes. These factors

include the nature of the product, product life cycle stage, target market characteristics, the type

Chapter 15: Marketing Communications

decision is complex or routine. The amount of funds a firm has to allocate to promotion may also

help determine the promotional mix. Last, if a firm uses a push strategy to promote the product

or service, the marketing manager might choose to use aggressive advertising and personal

selling to wholesalers and retailers. If a pull strategy is chosen, then the manager often relies on

aggressive mass promotion, such as advertising and sales promotion, to stimulate consumer

demand.

Key Terms

Advertising

Integrated marketing

communications (IMC)

Promotional mix

AIDA concept

Promotional strategy

Channel

Interpersonal communication

Publicity

Communication

Mass communication

Public relations

Competitive advantage

Noise

Pull strategy

Decoding

Owned media

Push strategy

Encoding

Paid media

Receiver

Earned media

Personal selling

Sales promotion

Feedback

Promotion

Sender

Lesson Plan for Lecture

Brief Outline and Suggested PowerPoint Slides

Learning Outcomes and Topics

PowerPoint Slides

LO1 Discuss the role of promotion in the

marketing mix

15-1 The Role of Promotion in the

Marketing Mix

1. Marketing Communications

2. Learning Outcomes

3. The Role of Promotion in the Marketing

Mix

4. Promotion

5. Exhibit 15.1: Role of Promotion in the

Marketing Mix

6. Competitive Advantage

LO2 Describe the communication process

15-2 Marketing Communication

7. Marketing Communication

8. Communication

9. Roles of Marketers

10. Exhibit 15.2: Communication Process

11. Impact of Social Media and Internet on

Communication Model

Chapter 15: Marketing Communications

Learning Outcomes and Topics

PowerPoint Slides

LO3 Explain the goals and tasks of

promotion

15-3 The Goals of Promotion

12. The Goals of Promotion

13. Tasks of Promotion

LO4 Discuss the elements of the

promotional mix

15-4 The Promotional Mix

14. The Promotional Mix

15. Promotional Mix

16. Exhibit 15.3:Digital Media Types

17. Exhibit 15.4: Characteristics of the Elements

in the Promotional Mix

LO5 Discuss the AIDA concept and its

relationship to the promotional mix

15-5 Promotional Goals and the AIDA

Concept

18. Promotional Goals and the AIDA Concept

19. AIDA Concept

20. Exhibit 15.5: The Promotional Mix and

AIDA

LO6 Discuss the concept of integrated

marketing communications

15-6 Integrated Marketing

Communications

21. Integrated Marketing Communications

22. Integrated Marketing Communications

(IMC)

LO7 Describe the factors that affect the

promotional mix

15-7 Factors Affecting the Promotional

Mix

23. Factors Affecting the Promotional Mix

24. Factors Affecting the Choice of Promotional

Mix

25. Exhibit 15.6: Product Life Cycle and the

Promotional Mix

26. Target Market Characteristics

27. Type of Business Decisions and

Promotional Mix

28. Available Funds

29. Exhibit 15.7: Push Strategy versus Pull

Strategy

30. Key Terms

31. Key Terms

32. Summary

33. Summary

Chapter 15: Marketing Communications

Suggested Homework

• The end of this chapter contains assignments for the Pepe’s Pizzeria video and for the

Coors Light case.

• This chapter’s online study tools include flashcards, visual summaries, practice quizzes,

and other resources that can be assigned or used as the basis for longer investigations into

marketing.

Lesson Plan for Video

Company Clips

Segment Summary: Pepe’s Pizzeria

Pepe’s Pizzeria is a popular restaurant located in Connecticut. The CEO discusses the thought

process behind their marketing strategy, how promotions work for Pepe’s and the general

location strategy that comes into play when opening new locations.

These teaching notes combine activities that you can assign students to prepare before class, that

you can do in class before watching the video, that you can do in class while watching the video,

and that you can assign students to complete as assignments after watching the video in class.

During the viewing portion of the teaching notes, stop the video periodically where appropriate

to ask students the questions or perform the activities listed on the grid. You may even want to

give the students the questions before starting the video and have them think about the answers

while viewing the segment. That way, students will be engaged in active viewing rather than

passive viewing.

Pre-Class Prep for You

Pre-Class Prep for Your Students

Chapter 15: Marketing Communications

• Preview the Company Clips video segment

for Chapter 15. This exercise reviews

concepts for LO1–LO7.

• Review your lesson plan.

• Make sure you have all of the equipment

needed to show the video to the class,

including the DVD and a way to project

the video.

• You can also stream the video HERE

• Have students review and familiarize

themselves with the following terms and

concepts: competitive advantage, elements of

the promotional mix, the communication

process, the goals and tasks of promotion, the

AIDA concept, factors that affect the

marketing mix, and integrated marketing

communications.

• Have students bring written definitions of

three of the above terms to class.

• Ask students to monitor their mail (or a

friend’s mail) for two weeks. Have them

collect all the mail that pertains to restaurants

in those two weeks, and bring it to class.

Video Review Exercise

Activity

Warm Up

Briefly discuss students’ findings. What types of restaurants are sending out

mailers? Are they national chains, local chains, independent restaurants, delivery

only, dine-in promotions? Ask students about their restaurant dining habits: how

often do they dine in? Carry out/eat delivered food? Have them classify the types

of restaurants they eat at in an average month. Based on the results, discuss

student perceptions on the mailers they brought in and why they do/don’t eat

there.

In-Class

Preview

• Remind students about the elements of promotion while you Exhibit 15.1 (the

role of promotion in the marketing mix) onto the board.

• Discuss Exhibit 15.1, Role of Promotion in the Marketing Mix. Point out that

promotion does not simply refer to advertising, but the whole of an

organization’s communication strategy.

• Discuss Exhibit 15.2, Communication Process. Select either a mailer brought

in by a student or a promotion for a well-known product to use as an example,

and discuss how noise can adversely affect the desired effect of a message.

Also, note that marketers are increasingly relying on individual consumer

feedback to adjust their marketing mixes.

• Have copies of the Company Clips questions available for students to take

notes on while viewing the video segment.

Viewing

(Solutions

below.)

1. What are the goals for Pepe’s promotions? Explain your reasoning.

2. Discuss how the factors that affect the promotional mix affect how Pepe’s

promotes its various locations.

Chapter 15: Marketing Communications

Follow-up

• In class, divide students into groups of three to five students and have them

prepare a short report on how Pepe’s Pizzeria integrates its marketing

communications.

Solutions for Viewing Activities

1. What are the goals for Pepe’s promotions? Explain your reasoning.

Student answers will vary. They could address how Pepe’s integrates its atmosphere into

2. Discuss how the factors that affect the promotional mix affect how Pepe’s promotes

its various locations.

Student answers will vary. The following are some possible answers for each of the factors

affecting the promotional mix.

Nature of the product: Pepe’s is a consumable, and is restricted to areas where customers

can come eat in or pick up their pizza. It is viewed as a consumer product, but could also

Chapter 15: Marketing Communications

Lesson Plan for Group Work

In most cases, group activities should be completed after some chapter content has been covered,

probably in the second or third session of the chapter coverage. (See “Lesson Plan for Lecture”

above.)

• For “Class Activity—Promotional Mix,” provide the information and the questions asked

by the class activities.

• The first Application Exercise is extremely well suited to group work. Form students into

teams of no more than four students. Each team must create a print advertisement for a

given product without using a set of words generally used in association with the product.

This is a variation on the Hasbro game Taboo. Full information on setting up the exercise

can be found later in this manual.

Class Activity—Promotional Mix

The purpose of this exercise is to emphasize the effect of various factors on the strategy of

choosing a promotional mix. The main factors that affect the promotional mix can be classified

into three major categories: 1) product related, 2) market related, and 3) organization related.

Product-related factors include product type, product costs and risks, product life cycle stage, and

amount and complexity of product information. Market-related considerations are target market

characteristics and the type of buying decision involved. Organization-related factors are the

availability of funds and feasibility of a push or pull strategy.

Divide the class into teams and give each team one of the following situation descriptions:

Situation 1

Consumer durable product that is slightly complex

Introductory stage of product life cycle

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Selective distribution

Large firm

Highly concentrated market (in large urban areas only)

Situation 2

Convenience item

Growth stage of product life cycle

Intensive distribution

Small firm

Non-concentrated, large market

Situation 3

Industrial product that is large, complex, and expensive

Introductory stage of product life cycle

Small company (few available funds)

Small market, highly dispersed

Situation 4

Consumer food item

Mature stage of product life cycle

Intensive distribution

Large company

Non-concentrated market

Each team should present a plan that outlines the promotion ingredients to be used and the

relative importance of each element in the promotional mix. The team should be able to explain

which factors were most important and how the team arrived at its decisions.

Review and Assignments for Chapter 15

Review Questions

1. What is a promotional strategy? Explain the concept of a competitive advantage in

relation to promotional strategy.

Although students’ answers will vary, they should address some of these points: The role

of promotion strategy is to convince target customers that the firm’s product offerings

2. Why is understanding the target market a crucial aspect of the communication

process?

Successful communication requires a degree of a common “language” or overlapping

frames of reference between the source and the receiver. Even people who speak the same

3. Discuss the attention, interest, desire, and action (AIDA) concept. How do these

different stages of consumer involvement affect the promotional mix?

The AIDA concept was developed to explain the process through which consumers reach

4. Explain the difference between a “pull” promotional strategy and a “push”

promotional strategy. Under what conditions should each strategy be used?

“Push” strategies are commonly used for new products for which consumers have little

5. Discuss the importance of integrated marketing communications. Give some current

examples of companies that are and are not practicing integrated marketing

Chapter 15: Marketing Communications

communications.

Integrated marketing communications carefully coordinate all the promotional activities to

Application Questions

1. As the promotional manager for a new line of cosmetics targeted to preteen girls, you

have been assigned the task of deciding which promotional mix elements—

advertising, public relations, sales promotion, and personal selling—should be used in

promoting it. Your budget for promoting the preteen cosmetics line is limited. Write a

promotional plan explaining your choice of promotional mix elements given the

nature of the product, the stage in the product life cycle, target market

characteristics, type of buying decision, available funds, and “pull” or “push”

strategy.

Answers to this question will vary greatly.

2. Why might a marketing manager choose to promote his or her product using

persuasion? Give some current examples of persuasive promotion.

Persuasive promotion is typically used to build customer loyalty for a product in the

growth stage of the product life cycle. At this point in a product’s development, the target

3. Choose a partner from the class and go together to interview the owner or manager of

several small businesses in your city. Ask them what their promotional objectives are

and why. For example, are they trying to inform, persuade, or remind customers to

do business with them? Also determine if they believe they have an awareness

problem or whether they need to persuade customers to come to them instead of

Chapter 15: Marketing Communications

competitors. Ask them to list the characteristics of their primary market, the

strengths and weaknesses of their direct competitors, and how they are positioning

their store to compete. Prepare a report to present in class summarizing your

findings.

Students’ reports will vary greatly.

4. How does a website’s ease of use affect its ability to create attention, interest, desire,

and action? Visit the kitchen and bath pages of Kohler’s website

(http://www.kohler.com) and determine how successful the company is at moving

consumers through the AIDA process.

Students’ answers will vary.

5. Use Radioguide.com (http://www.radioguide.com/) to find a listing of radio websites

in your area. View several of the stations’ sites and compare the promotions featured.

What conclusions can you draw about the target market of each station based on the

types of promotions they are currently running? Would any of the promotions entice

you to tune to a station that you normally don’t listen to?

Students’ answers will vary.

6. Visit teenresearch.com. What research can this company offer about the size and

growth of the teen market, buying power of teenagers, and their buying habits? Why

might these statistics be important to a company targeting teenagers in terms of

marketing communications and promotional strategy?

7. What do you think is the role of Hallmark’s website (http://www.hallmark.com/) in

the company’s integrated marketing communications plan? What seems to be the

marketing function of the site? Do you think the site is effective?

Students’ answers will vary.

Application Exercises

Application 1

Chapter 15: Marketing Communications

Many people are not aware of the rationale behind certain advertising messages. “Why do

Infiniti ads show rocks and trees instead of automobiles?” “If car safety is so important, why do

automobile ads often show cars skidding on wet, shiny surfaces?” “Target’s ads are funky, with

all the bright colors and product packaging, but what’s the message?”

One way to understand the vagaries of the encoding process is to think of the popular board

game Taboo by Hasbro. In this game, each team tries to get its members to guess a word without

using obvious word clues. For example, to get the team to guess “apple,” you may not say such

words as red, fruit, pie, cider, or core. Sometimes advertising is like Taboo in that advertisers are

not allowed to use certain words or descriptions. For example, pharmaceutical companies are not

permitted to make certain claims or to say what a drug treats unless the ad also mentions the

potential side effects. Language choices are also limited in advertising. To appreciate this, you

can apply the Taboo game rules in an advertising format.

Purpose: Many students are unclear as to the rationale behind certain advertising messages, so

this exercise is designed to help students understand the artistry inherent in the encoding process.

Setting it Up: This works as an individual assignment, but is an exceptional group project. This

is because it blends many modalities, is an engaging activity, and provides students with what

may be considered a welcome change from the text-based learning that is the norm for most. If

you choose to assign a group project, then it is suggested that you allot a class period for students

to present their work.

Activities

1. Select a product from the list below, and then create a print advertisement or a television

storyboard for that product. As part of the exercise, give your product a brand name. Taboo

words, visuals, and concepts are given for each product type. Taboo items cannot be

present in your work.

Product Taboo Words, Visuals, and Concepts

Deodorant Odor, underarm, perspiration, smell, sweat

Pain reliever Pain, aches, fever, child-proof cap, gel

Soft drinks Sugar-free, refreshing, thirst, swimwear, any celebrity

2. Now create a second ad or storyboard for your product. This time, however, you must use

all the words, visuals, and concepts that are listed in the right column.

Product Must-Use Words, Visuals, and Concepts

Chapter 15: Marketing Communications

Deodorant A romantic couple, monster trucks

Pain reliever A mother and child, oatmeal, homework

Soft drinks A cup of coffee, cookies, birthday cake, wine

This exercise was inspired by the following Great Idea in Teaching Marketing:

Lynn R. Goodwin, University of St. Thomas

Taboo or not Taboo, That is the Question

When discussing the communication process in my advertising class, many of my students have

some difficulty understanding the artistry inherent in the encoding process. More precisely, many

students are unclear as to the rationale behind certain advertising messages. “Why did Infiniti ads

show rocks and trees instead of automobiles?” they ask. Or, “Why did MCI show a waif with a

funny accent and hat jumping around on a rock strewn beach?”

Many of us, not being privy to the innermost workings of certain ad agency brains, may have no

answer to these types of questions. Here is an exercise that helps students understand the

vagaries of the encoding process.

Begin by bringing a copy of Taboo (Hasbro’s well-known game) to class. The object of the game

is simple: each player must get the other members of his or her team to say a particular word.

The catch is that certain other words cannot be used during this process. These words are taboo

(hence the game’s name). For example, in attempting to elicit the word apple, players are

prohibited from using the words red, fruit, pie, cider, and core.

Following the playing of Taboo, enter into a brief discussion of how the game relates to the

communication process (specifically encoding and decoding). Subsequently discuss the rationale

behind many advertisers’ less than straightforward messages.

Use ethical (prescription) pharmaceuticals as an example and point out that certain health claims

are not permitted in advertisements unless accompanied by the legally mandated detailed

prescribing information. This effectively limits what can be said regarding a drug’s benefits in

the broadcast media. Other reasons behind either internally imposed or externally imposed

limitations on advertising messages are also covered. Product deficits that might preclude a focus

on certain features or aspects of the product are a frequently discussed internally mediated

limitation, while ethical restrictions imposed by professional organizations on advertising are a

frequently discussed externally mediated limitation. In addition, I usually remind the students

that advertising may be affective in nature or have as its goal less direct objectives such as

communicating a lifestyle.