Exam 17: Advertising and Public Relations

Advertising that stimulates demand for a product category by informing potential customers about the product's features, uses, and benefits is called

A single page of typewritten copy that has 300 words or less and describes a company event or product is called a

Public relations, unlike advertising, is not particularly useful for promoting an organization's image.

The choice of media influences the content and form of the message.

A major way to reduce unfavorable public relations is to reduce the number of negative events.

What are the components of a print ad? What are the functions of each component?

Danielle Robinson, account representative for EXpert Advertising, tells D'Orazio Tile Products that she is proposing to use 5 full-page, four-color ads in home-decorating magazines to achieve an increase in consumer and builder inquiries of 15%. This approach is an example of which of the following methods of determining advertising expenditure levels?

Identify and describe four publicity-based public relations tools.

Advertising agencies often have more highly skilled people than the advertising departments of firms.

Brian and Tiffany are discussing the media plan for the opening of their new bar/laundromat called Soap and Suds. He tells her that while he agrees that ____ has tremendous impact, he does not feel that the upfront costs for such a campaign are in the modest budget that presently exists.

Publicity is usually very costly financially for a firm because the firm needs to spend money convincing the media to promote their newsworthy events.

What approaches can be used to evaluate the effectiveness of public relations programs?

When using the percentage-of-sales approach for determining the advertising appropriation, marketers

To be unbiased, a member of a consumer jury should not be a present user of the advertised product.

Normally, if an advertising agency contracts for $200,000 of television time, it would receive a commission of $30,000 from the television station.

An ad's ____ is designed to attract readers' attention and develop interest so that they will read the entire advertisement.

Public relations personnel create corporate identity materials including all the following except:

A public relations audit identifies changes in public opinion affecting the organization.

Advertising departments may use independent research organizations or freelance specialists for some of their projects.

Scenario 17.2 Use the following to answer the questions. The State Farm Group includes several companies. Probably the most well-known company in the group is the State Farm Insurance company, the largest auto and home insurer in the United States. State Farm Insurance provides protection for approximately 78 million policies on auto, fire, life, and health services. It is also a leading insurer of homes and autos in Canada. Another company in the State Farm group is the State Farm Bank, which was opened in 2000, beginning State Farm's entry into the financial services field. However, the State Farm Bank is not a traditional bank, in that it has no branch offices and its services are provided through State Farm agents, a call center, the mail, and on the Internet. It currently serves over 1.9 million bank accounts. Refer to Scenario 17.2. If State Farm Bank decided that it wanted to increase its number of bank customers by 10% in the coming year, it would most likely use the ____ approach to advertising allocation.