Questions and Complete
Solutions Graded A+
What is advertising? - Answer: -a popular form of promotion
Why do new brands w/small market share tend to spend more for advertising and sales promotion? -
Answer: -a certain minimum level of exposure is needed to measurably affect purchase habits
-after certain level of spending, diminishing returns set in
Define advertising response function. - Answer: spending for advertising and sales promotion increases
sales or market share, up to a certain level, but then produces diminishing returens
What are the effects of advertising on consumers? - Answer: -informs people about products and
services and influences their attitudes, beliefs, and ultimately their purchases
-may succeed in transforming a person's negative attitude into a positive one
-reinforces positive attitudes towards a brand
What are the major types of advertising? - Answer: -institutional advertising
-product advertising
Define institutional advertising. - Answer: the goal of the promotion plan is to improve the image of the
company
Define product advertising. - Answer: advertiser wants to enhance the sales of a specific good or service
What are the major functions of institutional advertising? - Answer: -designed to establish, change, or
promote the corporation's identity as a whole
-used to advocate or express their views on controversial issues
, What are the major functions of product advertising? - Answer: -promotes the benefits of a specific
good/service
-product's life cycle determines which type of advertising is used
What type(s) advertising fall under product advertising? - Answer: -pioneering advertising
-competitive advertising
-comparative advertising
What type(s) of advertising fall under institutional advertising? - Answer: -advocacy advertising
Define advocacy advertising. - Answer: used to safeguard against negative consumer attitudes and to
enhance the company's credibility among consumers who already favor its positon
Define pioneering advertising. - Answer: intended to stimulate primary demand for a new product or
product category
Define competitive advertising. - Answer: used to influence demand for a specific brand
Define comparative advertising. - Answer: directly or indirectly compares 2+ competing brands on one
or more specific attributes
Define advertising campaign. - Answer: a series of related advertisements focusing on a common theme,
slogan, and set of advertising appeals
Define advertising objective. - Answer: identifies the specific communication task that a campaign
should accomplish for a specified target audience during a specific period
What method is used to set advertising objectives? - Answer: -DAGMAR approach
Defining
Advertising
Goals for