Exam 15: Advertising and Public Relations

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Advertisers should regularly evaluate two types of advertising results: the communication effects and the sales and profit effects. How are these two results measured?

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Measuring the communication effects of an ad or ad campaign tells whether the ads and media are communicating the ad message well. Individual ads can be tested before or after they are run. Before an ad is placed, the advertiser can show it to consumers, ask how they like it, and measure message recall or attitude changes resulting from it. After an ad is run, the advertiser can measure how the ad affected consumer recall or product awareness, knowledge, and preference. Pre- and post-evaluations of communication effects can be made for entire advertising campaigns as well. Sales and profit effects of advertising are often much harder to measure. Sales and profits are affected by many factors other than advertising-such as product features, price, and availability. One way to measure the sales and profit effects of advertising is to compare past sales and profits with past advertising expenditures. Another way is through experiments. For example, to test the effects of different advertising spending levels, a company could vary the amount it spends on advertising in different market areas and measure the differences in the resulting sales and profit levels. More complex experiments could be designed to include other variables, such as differences in the ads or media used.

How are companies taking advantage of interactive technologies to tap consumers for message ideas and actual ads? What are the benefits and disadvantages of consumer-generated advertising?

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Companies can now search existing video sites such as YouTube, set up their own Web sites, create accounts on social networks such as Facebook, and sponsor ad-creation contests. Several companies, such as Coca-Cola, MasterCard, and Frito-Lay, have used consumer-generated ads in national promotions. Consumer-generated advertising offers companies a way to gather new perspectives on their products and develop insights into how their products are used and seen by actual consumers. Also, consumer-generated advertising is very inexpensive. On the other hand, companies do not control consumer-generated material, which can lead to conflicting, or even negative, messages about a brand.

Progressive Insurance uses Flo to represent its product. Which of the following message execution styles was used by Progressive Insurance?

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Which of the following is a disadvantage of using direct mail as an advertising medium?

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Which of the following is a digital medium that is used by advertisers to reach consumers directly?

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An ad for Athleta active wear shows a woman in a complex yoga pose and states: "If your body is your temple, build it one piece at a time." This ad uses the ________ execution style.

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Which of the following would most likely be included in the written materials prepared by PR professionals to reach and influence target markets?

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When using public relations, the company pays for space and time in the media.

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Snappy Cameras is launching a new advertising campaign to demonstrate the high quality of its digital cameras. Which media option would give the audience the most control over exposure to the ads and interactive capabilities?

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Discuss the concepts of advertainment and branded entertainment.

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Marketing management must make four important decisions when developing an advertising program. Briefly describe these four decisions.

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The term media multitaskers refers to ________.

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Companies use PR to build good relations with consumers, investors, the media, and their communities.

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Describe the four major steps in media selection.

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A product in the maturity stage will most likely require ________ advertising.

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Describe public relations and any three of its main functions.

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PR can have a strong impact on public awareness at a much higher cost than advertising can.

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Which of the following is a major step in selecting advertising media?

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The purpose of advertising is to get consumers to think about or react to the product or company in a certain way.

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An advertising objective is classified by its primary purpose, which is to inform, persuade, or ________.

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