Exam 5: Advertising, Integrated Brand Promotion, and Consumer Behavior

Scenario 5-2 Since its introduction to the market in 2007, Apple Inc.'s iPhone dominated other smartphones in terms of units activated per year. However, several years later, Apple faces stiff competition from Google's Android software and Research in Motion, the maker of the Blackberry. The problem for Apple is that its competition, primarily phones powered by Android operating systems, largely outnumber the iPhone in terms of available options. In the U.S.alone, there are over twenty smartphones that run on the Android operating system, compared to Apple's one iPhone. Americans are now buying more Android phones than iPhones.Experts claim that if the trend continues, Android will have erased the iPhone's once enormous lead in the high-end smartphone market in a little over a year. Now more than ever, Apple, which insists on tight control of its devices, must find a way to win in an intensely competitive market against rivals that are openly licensing their software to scores of companies. -(Scenario 5-2) One individual looking to purchase a new smartphone has become fed up with all of the competing advertisements of late. She has seen so many smartphone commercials boasting various product benefits that she can no longer distinguish them from one another. This individual is likely suffering from a case of

A magazine advertisement for a home entertainment system contains detailed copy, technical information, and a long list of product design features.In general, this ad would be most appropriate for someone who is

A young man wants to buy a Sony PlayStation because his friends have several versions of this technology and he has enjoyed playing games with them. However, he is distracted by the ads for other games and the pitches to spend his money.He is encountering

A marketing group needs to predict which brands of laundry detergent college freshmen will buy after they leave home and move into dorms.Which question asked of them would probably give the most accurate answer?

Which phenomenon is experienced when the consumer's current situation is unsatisfactory, mental discomfort or anxiety are recognized, and the individual becomes motivated to take action?

Advertisements that are not consistent with the values of a people, a society, or a culture are likely to stand out, demand attention, and be remembered and accepted.

Scenario 5-1 As clothing and accessories retailer Gap, Inc.attempted to carry its brand to greater heights, executives felt that a great way to refresh the company's logo would be to change it all together. However, perhaps even quicker than the initial decision to change the logo, the masses reacted so negatively to the change that the company went back on its decision. A number of consumers stated that the new logo looked "cheap, like a crummy PowerPoint presentation," and that was all company executives needed to hear. Gap admitted that the idea of changing the company's logo was probably not the right move nor was it the right time to do so.The company will look for other ways to develop the brand. Clearly, Gap's reaction to consumer sentiments serves as proof that the company cares a great deal about consumer thoughts and opinions.(Iko Han, "Gap's New Logo Proves the Company Knows How to Listen." Cornerline News, October 13, 2010.) -(Scenario 5-1) Gap's loyal customers generally believe the company's products are high-end and sophisticated. Judging by the initial responses, consumers felt Gap's new logo represented lower-end products, and would, therefore, appeal to a lower social class. This concept of differing social levels is called

Social class, race, ethnicity, gender, life stage, and even knowledge are ways in which members of a culture are classified by systematic inequalities that affect their social standing, called intergenerational effect.

Any MAAMs analysis will have four main components.What are they?

While waiting for his wife to get ready to go out, Marcus picks up one of her decorating magazines and skims through the pages.Six ads are for flooring and carpeting, but he and his wife don't need new flooring or carpeting, so he barely glances at these ads.This is an example of

Which model takes into account consumer involvement levels, information processing, cognitive responses, and attitude formation in a single framework?

The idea of involvement in the context of consumer decision making basically refers to how

Scenario 5-2 Since its introduction to the market in 2007, Apple Inc.'s iPhone dominated other smartphones in terms of units activated per year. However, several years later, Apple faces stiff competition from Google's Android software and Research in Motion, the maker of the Blackberry. The problem for Apple is that its competition, primarily phones powered by Android operating systems, largely outnumber the iPhone in terms of available options. In the U.S.alone, there are over twenty smartphones that run on the Android operating system, compared to Apple's one iPhone. Americans are now buying more Android phones than iPhones.Experts claim that if the trend continues, Android will have erased the iPhone's once enormous lead in the high-end smartphone market in a little over a year. Now more than ever, Apple, which insists on tight control of its devices, must find a way to win in an intensely competitive market against rivals that are openly licensing their software to scores of companies. -(Scenario 5-2) A new movie is released, and the film's main character is seen conversing on his iPhone throughout the film. If the actor portraying the character in the film is admired and consumers purchase the phone because they see him using it, the actor

Race itself-a person's pigmentation or skin color-has much to do with preferences for certain products and services, and purchasing of certain product categories and brands.

Advertising has never been able to point out or activate a need state, but it has been able to provide information on how to alleviate the discomfort of an existing unfulfilled need.

A young woman needs to buy a tent, sleeping bag, back pack, and hiking boots for a two-week camping trip in the mountains.She has never bought camping equipment in her life, so she has virtually no experience with these product categories.But she is very involved in these purchases, since they will be expensive and will need to last a long time.In this situation, she is engaging in

A commercial for hot dogs says it's not the Fourth of July unless there is a cookout, and it's not a cookout unless there is a grill full of hot dogs.This ad attempts to tie the product to a

Celebrity is a unique sociological concept in which public images of prominent people are used by advertisers to provide a framework that brings people together with a sense of community, group sharing, and social commitment.

Scenario 5-4 An American automobile company sees that the market share of one model has steadily declined.It seems that every percentage point drop is matched by a corresponding percentage point rise in the Japanese-made competition.In an effort to regain market share, the automobile company decides to promote its American-made heritage.In fact, every part of its car is manufactured in the United States.The advertising agency for the company comes up with the slogan "Right here.Right now.Your all-American car." The advertising it creates is image oriented, and hopes to produce a delayed response. -(Scenario 5-4) A marketing survey finds that people who respond to the "all-American" benefit also admire deceased actor John Wayne and see him as the prototypical all-American guy.So the agency combines old footage from John Wayne movies and new footage of the car as part of its TV campaign.In this case, the image of John Wayne serves several purposes, but not which of the following?

Functional benefits from a product or service are derived from the intangible characteristics of that product or service and are strong factors in purchase decisions.