Exam 8: Planning Advertising and Integrated Brand Promotion

Combining sales objectives with communications objectives: 

In the introduction of an advertising plan,the _____ comes before the overview.

Evaluation is a crucial component in an ad plan.

Scenario 8-2 Following the announcement that the world's largest e-tailer, Amazon.com, had 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 year-close to double that of traditional retailers at the time. And on average, it reported having gotten paid 32 days before it must pay its suppliers-in essence, providing millions of dollars in cash flow. -(Scenario 8-2)Like many firms,Amazon has refined its priorities over the years.Many firms begin by setting as their advertising objective something that is often disputed by communications-oriented marketers.They choose                as their primary advertising objective.

Share of voice,or share of market,is a method that bases an ad budget on whatever significant competitors are spending.

Costs associated with advertising that are not directly accounted for are prominent examples of                 .

ACEO announces that sales went up significantly last year,and themarketing director is happy because this means her budget will also go up.This indicates that the firm is using the  ________  to set the advertising budget.

Which element is essential to articulating a well-stated advertising objective? 

A food company researches perceived healthy choices.The target markets that are ultimately chosen based on this research should be defined in the _____ section of the ad plan.

Scenario 8-4 American Express is dissatisfied with the degree of penetration of its Gold Rewards Plus card in the U.S. market. Marketing managers at American Express feel that the firm needs to increase advertising to small entrepreneurial businesses to encourage more acceptance of the card for use in purchasing office supplies and durable goods like computers and office furniture. American Express feels that to accomplish the goal of increased penetration in this sector, the budget should be based on communications objectives aimed at certain target markets. -(Scenario 8-4)The marketers are keenly aware that many budgeting methods fail to address the objectives originally set and relate these to the dollars to be spent.Which budgeting technique is American Express ultimately most likely to use,based on this awareness and the information in this scenario? 

Every precaution should be taken to avoid having to radically alter a budget after it is submitted.

It may be hard or impossible to get accurate figures on competitors' spending.

Scenario 8-1 You are owner of a 19-person advertising agency in a major market. You've been invited to pitch the Girl Powers account, the largest female-only fitness center chain in the region, one that could quickly grow into a national franchise. If you land the account, it will be your biggest revenue producer by far. You'll be able to staff up, move to a nicer space, and buy some decent office furniture. It also will put you, personally, in a position to make money by selling out to a larger agency someday. Considering the importance of the pitch to Girl Powers execs, you have decided to spearhead the pitch yourself. -(Scenario 8-1)You begin with crucial information that Girl Powers execs need to know,even if they remember nothing else; this overview is in the ________ section.

A canned soup manufacturer and its agency are nailing down the responsibilities of each side as they begin their planning effort.In a nutshell,the agency will: 

The media plan specifies: 

Describe the essential difference between an industry analysis and a market analysis.In what section of an ad plan are these typically included? What are the other considerations for an advertiser that should be part of this section? Where does the competitor analysis come in?

The strategy section of an advertising plan is the mechanism that states: 

Scenario 8-2 Following the announcement that the world's largest e-tailer, Amazon.com, had 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 year-close to double that of traditional retailers at the time. And on average, it reported having gotten paid 32 days before it must pay its suppliers-in essence, providing millions of dollars in cash flow. -(Scenario 8-2)In the early days of Internet shopping,people were skeptical about the idea of buying things over the computer,largely due to their worries about privacy issues combined with their habitual patterns of purchasing at retail outlets.Some concerns remain today.But many years after the shake-out of companies in the dot-com world,players that survived have come back stronger.And new players have come onto the scene.The demand is obviously there,and this has instilled a feeling of trust in millions of customers who make purchases online.The concept of customers having enhanced trust in e-tailing would most likely be contained in the            section of the advertising plan.

Clients expect ______ from their investments in advertising.

Two important elements to the execution of an advertising plan are determining the copy strategy and devising a media plan.