Student Study Guide for

CM 346 Advertising and Promotion

A survey of the fast-changing field of advertising and promotion from an integrated marketing communications (IMC) perspective. Topics include situation analysis; the communication process; the importance of objectives and budgeting; and how to develop, monitor, evaluate, and control an IMC program.

Andrew Jackson University

10 Old Montgomery Highway Birmingham, Alabama 35209 (205) 871-9288 Fax (800) 321-9694
Copyright 2002 Andrew Jackson University Version 02A-40

Table of Contents

We Are Here To Serve You! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Course Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Course Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Required Textbook . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Supplemental Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Course Schedule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Assignment Format . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Grading System . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Study Guide Icons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Before You Begin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Check Your Answers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Preview the Text . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Set Tentative Completion Goals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 And Chart Your Progress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Lesson #1: The Role of IMC in Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Lesson #2: Integrated Marketing Program Situation Analysis . . . . . . . . . . . . . . . . . . . . . . . . 31 Lesson #3: Analyzing the Communication Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 Lesson #4: Objectives and Budgeting for IMC Programs . . . . . . . . . . . . . . . . . . . . . . . . . . 59 Lesson #5: Creative Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67 Prepare For and Take the Midterm Examination . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 Lesson #6: Evaluation of Broadcast, Print, and Support Media . . . . . . . . . . . . . . . . . . . . . . 87 Lesson #7: Other Promotional Tools I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105 Lesson #8: Other Promotional Tools II . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123 Lesson #9: Monitoring, Evaluation, and Control . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 135 Lesson #10: Special Topics and Perspectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143 Prepare For and Take the Comprehensive Final Examination . . . . . . . . . . . . . . . . . . . . . . 163

We Are Here To Serve You!

Your mastery of this courses material is an important step in the accomplishment of your educational goals, and we are here to help you successfully complete this course. As your instructor for CM 346Advertising and Promotion, I have divided the material into ten separate lessons. Each lesson includes assignments for you to complete and submit to the university. While your coursework will help me determine if you sufficiently understand key concepts and principles, the graded lessons will provide you with consistent reinforcement throughout your studies. Carefully note any comments made and thoroughly review the additional discussions included about lesson assignments and problems. This will help you prepare for the midterm and final course examinations. If you have any questions as you proceed through this course, please do not hesitate to call, write, or fax the university. We are here to serve you!

LARRY V. FLEGLE The biography for this instructor may be found on the universitys website (www.aju.edu/faculty/lflegle.htm)

General Information

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Course Overview
Nearly everyone in the modern world is influenced to some degree by advertising and other forms of promotion. Organizations in both the private and public sectors have learned that the ability to communicate effectively and efficiently with their target audiences is critical to success. Advertising and other types of promotional messages are used to sell products and services as well as to promote causes, market political candidates, and deal with societal problems such as the AIDS crisis and alcohol and drug abuse. Consumers are finding it increasingly difficult to avoid the efforts of marketers, who are constantly searching for new ways to communicate with them. Most of the people involved in advertising and promotion will tell you that there is no more dynamic and fascinating a field to either practice or study. However, they will also tell you that the field is undergoing dramatic changes that are changing advertising and promotion forever. The changes are coming from all sidesclients demanding better results from their advertising and promotional dollars; lean but highly creative smaller ad agencies; sales promotion and direct-marketing firms who want a larger share of the billions of dollars companies spend each year promoting their products and services; consumers who no longer respond to traditional forms of advertising; and new technologies that may reinvent the very process of advertising. For decades, the advertising business was dominated by large, full-service Madison Avenuetype agencies. The advertising strategy for a national brand involved creating one or two commercials that could be run on network television, a few print ads that would run in general interest magazines, and some sales promotion support such as coupons or premium offers. However, in todays world there is a myriad of media outletsprint, radio, cable and satellite TV, and now the Internetcompeting for consumers attention. Marketers are looking beyond the traditional media to find new and better ways to communicate with their customers. They no longer accept on faith the value of conventional advertising placed in conventional media. The large agencies are recognizing that they must change if they hope to survive in the 21st century. Keith Reinhard, Chairman and CEO of DDB Needham Worldwide, notes that the large agencies have finally begun to acknowledge that this isnt a recession were in, and that were not going back to the good old days. In addition to redefining the role and nature of their advertising agencies, marketers are changing the way they communicate with consumers. They know they are operating in an environment where advertising messages are everywhere, consumers channel-surf past most commercials, and brands promoted in traditional ways often fail. New-age advertisers are redefining the notion of what an ad is and where it runs. Stealth messages are being woven into the culture and embedded into movies and TV shows or made into their own form of entertainment. Marketers are also changing the ways they allocate their promotional dollars. Spending on sales promotion activities targeted at both consumers and the trade has surpassed advertising
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media expenditures for years and continues to rise. In a recent article titled Agencies: Change or Die, Joe Cappo, Advertising Age senior vice president, wrote, What is happening in the advertising industry right now is a massive revolution that is changing the rules of marketing. This revolution is taking place not only in the United States, but in all affluent countries where advertising and media are well developed. A number of factors are fueling this revolution. The audiences that marketers seek, along with the media and methods for reading them, have become increasingly fragmented. Advertising and promotional efforts have become more regionalized and targeted to specific audiences. Retailers have become larger and more powerful, forcing marketers to shift money from advertising budgets to sales promotion. Marketers expect their promotional dollars to generate immediate sales and are demanding more accountability from their agencies. Many companies are coordinating all their communications efforts so they can send cohesive messages to their customers. Many advertising agencies have acquired, started, or become affiliated with sales promotion, direct-marketing, and public relations companies to better server their clients marketing communications needs. This course will introduce you to this fast-changing field of advertising and promotion and let you practice developing an IMC project for a national brand. The changes discussed above are leading marketers and their agencies to approach advertising and promotion from an integrated marketing communications (IMC) perspective, which calls for a big picture approach to planning marketing and promotion programs and coordinating the various communication functions. To understand the role of advertising and promotion in todays business world, one must recognize how a firm can use all the promotional tools to communicate with its customers.
SOURCE: Preface, Advertising and Promotion (5th Edition), by George E. Belch and Michael A. Belch, pages vi-vii.

Course Objectives
Upon the successful completion of this course, you will be able to: 1. Thoroughly discuss the field of advertising and other elements of a firms promotional mix and show how they are combined to form an integrated marketing communications program. Focusing on consumer behavior considerations, analyze the communications process. Evaluate various media and promotional tools.

2. 3.

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4. 5.

Research real world implementation of IMC principles. Following the integrated marketing communications planning model, practice planning and developing an effective IMC program for a national brand.

Required Textbook
The required text is ADVERTISING AND PROMOTION (5th Edition) by George E. Belch and Michael A. Belch. Published by Irwin/McGraw-Hill, Inc., 2001.

Supplemental Materials
The required text includes PowerWeb, an online tool that give you study tips with self-quizzes, links to related sites for this course, current readings from Annual Editions, weekly updates, current news, a Web research guide, and Internet access to research and journal articles from 6,300 premium sources. Use the instructions on the PowerWeb card enclosed in your text to register for this service. Also enclosed with this study guide is Video Series for Advertising and Promotion (5th Edition) that accompanies the required textbook. These videos are part of the Andrew Jackson University Lending Library and are to be returned once you complete this course.

Course Schedule
To successfully pass this course, you are required to complete the following: Lesson #1 Lesson #2 Lesson #3 Lesson #4 Lesson #5 The Role of IMC in Marketing Integrated Marketing Program Situation Analysis Analyzing the Communication Process Objectives and Budgeting for IMC Programs Creative Strategy

Midterm Examination
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Lesson #6 Lesson #7 Lesson #8 Lesson #9 Lesson #10

Evaluation of Broadcast, Print, and Support Media Other Promotional Tools I Other Promotional Tools II Monitoring, Evaluation, and Control Special Topics and Perspectives

Comprehensive Final Examination Assignments include answering questions at the end of each chapter in the text, completing IMC exercises, and developing an integrated marketing communications plan for a national product or service. These assignments and exercises will help prepare you to successfully complete this courses midterm and comprehensive final examination.

Assignment Format
All work should be typewritten on one side of 8" x 11" sheets of unlined white paper unless otherwise directed in course study guide. Use twelve-point font with one-inch margins. All pages should be numbered with each numbered assignment beginning on a new page. The upper right-hand corner of the first page of each assignment should include: (1) student name, (2) Andrew Jackson University Student I.D. Number, (3) term start date and completion deadline, (4) course number, (5) course name, (6) course version number, (7) course lesson number, (8) assignment number and name. For example: Mary E. Smith 258-99-9999 May 13, 2002 - August 13, 2002 CM 346 Advertising and Promotion Version 02A-40 Lesson #1 Assignment #1 Chapter 1 Discussion Questions All textbook questions must be numbered and rewritten. Double-space after typing the question and before writing the answer. Answers will be given in complete sentences. Papers or extended answers (projects with a page limit requirement) are to be well-written and error-free. Work is to be completed on 8" x 11" sheets of white paper. Papers are to be typed using 1" margins and double spacing. All work must be NEAT, READABLE, and ON ONE SIDE OF THE PAPER.
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Under certain extraordinary circumstances (primarily military deployment, physical disability, or incarceration), students may request a waiver of the requirement for typewritten assignments by submitting an Exception Request found in the Action Systems (previously Miscellaneous Forms) section of your student notebook.

Grading System
Your final course grade will be determined as follows: Lesson 1 Assignments 160 points Lesson 2 Assignments 162 points Lesson 3 Assignments 168 points Lesson 4 Assignments 80 points Lesson 5 Assignments 246 points Midterm Examination 240 points Lesson 6 Assignments 242 points Lesson 7 Assignments 240 points Lesson 8 Assignments 140 points Lesson 9 Assignments 80 points Lesson 10 Assignments 246 points Comprehensive Final Examination 400 points TOTAL 2404 points

Your numeric grade (percentage) will be calculated by the following formula: Total Points Earned 2404 = __________ The grading scale for course points is: 2404-2152 points 2151-1912 points 1911-1671 points 1670-1431 points Below 1431 points A B C D F Exemplary Competent Functional Marginal / Poor Failure

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Study Guide Icons

The following icons will help guide you through this study guide:

Lesson Objectives. This icon precedes a description of the objectives that are to be accomplished in each lesson. Textbook Study or Supplemental Reading. This icon indicates that you will be assigned specific pages in the required text or supplemental readings to read and then study.

Lesson Assignment. This icon precedes assignments, exercises, and projects that are to be turned in for grading. Self-Tests and Other Self-Exercises. This icon designates self-tests and other exercises that are not to be turned in for grading. These assignments will help you prepare for the midterm and comprehensive final examinations. Answer keys will always follow. Answer Key. This icon features an answer key which will always follow selftests and other self-exercises.

Supplemental Discussion. This icon marks the presentation of additional information that complements the material presented in the textbook.

Video Presentation. This icon notes when you are to watch a video clip that will help illustrate or reinforce the principles being presented.

Mail in Your Lesson Assignments. This icon indicates that it is time to mail in your lesson assignments or proctored examinations for grading.

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Before You Begin . . .

Please complete the following pre-test. This exam will in no way impact your grade. It just lets us know how much you already know about the material that will be presented in this course. 1. The process of planning and executing the conception, pricing, promotion and distribution of ideas, good and services to create exchanges that satisfy individual and organizational objectives is: A) B) C) D) 2. integrated marketing communications. marketing. advertising. sales promotion.

The coordination of all seller-initiated efforts to set up channels of information and persuasion to sell goods and services is a definition of: A) B) C) D) publicity. advertising. sales promotion. promotion.

3.

Division of the market based on age, sex, family size and income is known as: A) B) C) D) demographic segmentation. psychographic segmentation. demographic aggregation. psychographic aggregation.

4.

The marketing mix variable that deals with what a consumer must give up to purchase a product or service is: A) B) C) D) product. price. promotion. distribution.

5.

Which type of ad agency is most likely to assist the client in areas such as marketing strategy and research, campaign planning and execution and media planning and buying? A) B) C) D) a creative boutique a full function agency a media buying service a collateral agency
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6.

The function of gathering, analyzing, and interpreting information that will be useful in developing advertising is the responsibility of which department in the agency? A) B) C) D) production department media department account management research department

7.

Specific events or outcomes that consumers experience when a product or service is purchased and/or consumed are known as: A) B) C) D) evaluative criteria. attributes. dissonance. consequences.

8.

Beliefs concerning specific attributes or consequences that are activated and form the basis of an attitude are known as: A) B) C) D) affective beliefs. cognitive beliefs. evaluative beliefs. salient beliefs.

9.

The study of the nature of meaning and how words, gestures and symbols acquire meaning is known as: A) B) C) D) communication. encoding. symbolics. semiotics.

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The method or medium by which communication travels from the source to the receiver is referred to as: A) B) C) D) encoding. decoding. noise. channel.

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Which of the following is NOT a dependent variable or stage in the response process according to the persuasion matrix? A) B) C) D) attention comprehension receiver yielding
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12.

Marketers of high-tech products often recruit individuals with specialized technical backgrounds such as science and engineering to work as salespersons in order to ensure that they have high levels of: A) B) C) D) expertise. trustworthiness. attractiveness. power.

13.

Which of the following best describes the relationship between marketing and communication objectives? A) B) C) D) Marketing objectives and communication objectives are synonymous. Marketing objectives evolve from communication objectives. Communication objectives are derived from marketing objectives. Advertising objectives should be developed before marketing objectives.

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The difference between total revenue generated by a brand and its total variable costs is known as: A) B) C) D) contribution margin. marketing funding. promotional capabilities. surplus objectification.

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Individuals working on the _____ side of advertising are likely to argue that the success of an advertising campaign cannot always be judged in terms of sales and should be evaluated on the basis of _____. A) B) C) D) agency / creativity research / market share client / creative awards agency / market share

16.

A qualitative research method where 10 to 12 consumers from a target market are led through a discussion regarding a topic is: A) B) C) D) focus group research. problem detection research. psychographic research. preparation research.

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Research shows that consumers perceive Miller beer as strong, bold and adventurous. This is an example of how consumers assign _____ to a brand. A) B) C) D) product benefits a personality product features a unique selling proposition
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18.

When a person speaks on the behalf of a product or service based on his/her personal use of and/or experiences with it, a _____ execution is being used. A) B) C) D) dramatization slice-of-life demonstration testimonial

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_____ is the measure of the number of different audience members exposed at least once to a media vehicle. A) B) C) D) Frequency Reach Viewer number Coverage

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The times during the year when television audiences are measured in order to set advertising rates are called: A) B) C) D) sweeps periods. GRP flighting periods. frequency estimates. availabilities.

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_____ refers to the practice of fast-forwarding through commercials on prerecorded programs while _____ refers to channel changing via remote control mechanisms. A) B) C) D) Zipping / zapping Zapping / zipping Zipping / time shifting Time shifting / zipping

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Local audience measurement for television is provided by: A) B) C) D) A. C. Nielsen Companys Nielsen Station Index. RADAR. the Arbitron Company. the ADI.

23.

Which of the following is an example of a trade magazine? A) B) C) D) Fortune National Law Review Chemical Week Progressive Grocer

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24.

Advertising placed on buses and taxis is called: A) B) C) D) sales promotions. stationary advertising. transit advertising. aerial advertising.

25.

In direct response marketing, the direct response sought is: A) B) C) D) sales. awareness. attitude change. changes in perception.

26.

Consumer-oriented sales promotions are part of a promotional _____ strategy while trade-oriented promotions are part of a _____ strategy. A) B) C) D) push / pull pull / push trade show / price-off premium / trade allowance

27.

The process of public relations involves each of the following stages except: A) B) C) D) formation of a segmentation policy. development of communications program designed to bring about public acceptance. identification of organizational policies of potential public interest. determination of public attitudes.

28.

In personal selling, the communications sender is able to immediately receive and evaluate feedback from the receiver. This is referred to as: A) B) C) D) direct communication. adaptive communications. dyadic communication. indirect communication.

29.

Recognition and recall tests are: A) B) C) D) pre-test / field measures. post-test / field measures. pre-test / laboratory measures. post-test / laboratory measures.

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30.

After advertising in specialized business publications, the promotional area which had the highest percentage of companies using it was: A) B) C) D) outdoor. radio. direct mail. catalogs.

31.

This aspect of the international environment probably creates more problems for advertisers than any other since it directly impacts the ability to communicate effectively with consumers in foreign countries. A) B) C) D) demographic factors economic factors cultural factors political factors.

32.

Which of the following has regulatory control over advertising? A) B) C) D) The Federal Trade Commission The Food and Drug Administration The U.S. Postal Service All of the above

33.

Which of the following is correct with regard to advertising directed toward children? A) B) C) D) In 1979, the Federal Trade Commission enacted a very stringent set of guidelines that are used to regulated childrens advertising. Childrens advertising is subject to strict self-regulatory guidelines from various industry and media organizations. There are no limitations on the amount of commercial time permitted in childrens television programs. Research has shown that consumers from households with children have very positive attitudes toward childrens advertising.

Check Your Answers

ANSWERS TO PRE-TEST 1. B 2. D 3. A 4. B 5. B 6. D 7. D 8. D 9. D 10. D

11. C 12. A 13. C 14. A 15. A 16. A 17. B 18. D 19. B 20. A
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21. A 22. A 23. D 24. C 25. A 26. B 27. A 28. C 29. B 30. D 31. C 32. D 33. D Number of Items Missed on Pre-Test: ___________. Pre-Test Score: _________

For each incorrect answer, deduct 3 points from your score of 100. If you scored 82 to 100 . . . GREAT! Its obvious you have been introduced to this information before. We look forward to teaching you more about the principles of advertising and promotion. If you scored 61 to 79 . . . GREAT! You have some knowledge of the key concepts presented in this course. We look forward to teaching you more! If you missed 58 or below . . . GREAT! You will be learning many key principles in the weeks to come. We look forward to helping you, step-by-step, internalize the material that will be presented in this course. You will later be asked to record your pre-test score on the cover sheet of your first lesson. Again, this score does not affect your grade.

Preview the Text

It is now time to preview the text. Read the Table of Contents, pages xiv-xx, and the To The Student: Preparing You for the New World of Advertising and Promotion section of the Preface, pages vii-viii. Note below three questions that you would like to have answered by the time you finish this course. 1. _________________________________________________________________ _________________________________________________________________
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2.

_________________________________________________________________ _________________________________________________________________

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_________________________________________________________________ _________________________________________________________________

Set Tentative Completion Goals

Take a moment to also preview this study guide. Note the lesson assignment icons in each lesson and anticipate the amount of time these assignments will require. Add to the Progress Chart (found after page 16) your anticipated completion dates. As discussed in your Introductory Student Notebook, take time each week to determine exactly what you will accomplish in each study session.

And Chart Your Progress

Progress Chart for . . . CM 346 Advertising and Promotion
Assignment Date Began Expected Completion Date Actual Completion Date Possible Points 160 162 168 80 246 240 242 240 140 80 246 400 TOTAL 2404 Your Points

Use this chart to visually measure your progress through CM 346, Advertising and Promotion. As a motivational aid, you may wish to mount the card on a wall in your study area or place it on your refrigerator. This will let you continuously monitor your successes as you study the course materials.

Lesson #1 Lesson #2 Lesson #3 Lesson #4 Lesson #5 Midterm Lesson #6 Lesson #7 Lesson #8 Lesson #9 Lesson #10 Final Examination

GRADING SCALE: 2404-2152 points - A Exemplary 2151-1912 points B Competent

NUMERIC GRADE Total Points ______ 2404 = _________

1911-1671 points - C Functional 1670-1431 points - D Marginal/Poor Below 1431 points - F Failure

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Progress Chart for . . .

CM 346 Advertising and Promotion

Assignment Date Began Expected Completion Date Actual Completion Date Possible Points Your Points

Lesson #1 Lesson #2 Lesson #3 Lesson #4 Lesson #5 Midterm Lesson #6 Lesson #7 Lesson #8 Lesson #9 Lesson #10 Final Examination TOTAL

160 162 168 80 246 240 242 240 140 80 246 400 2404

GRADING SCALE: 2404-2152 points 2151-1912 points 1911-1671 points 1670-1431 points Below 1431 points A B C D F Exemplary Competent Functional Marginal / Poor Failure

NUMERIC GRADE: Total Points 2404 = ___________

You must pass all proctored exams in order to receive a passing grade in this course. Minimal passing grade is a 60 (D).

Lesson #1: The Role of IMC in Marketing

LESSON OBJECTIVES After successfully completing this lesson, you will be able to: 1. Examine the promotional function and the growing importance of advertising and other promotional elements in the marketing programs of domestic and foreign companies. 2. Introduce the concept of integrated marketing communications (IMC) and consider how it has evolved. Examine reasons for the increasing importance of the IMC perspective in planning and executing advertising and promotional programs. Identify the various elements of the promotional mix and consider their role in an IMC program. Analyze how various marketing and promotional elements must be coordinated to communicate effectively. Discuss a model of the IMC planning process and examine the steps in developing a marketing communications program. Outline the marketing process and the role of advertising and promotion in an organizations integrated marketing program. Examine the various decision areas under each element of the marketing mix and how they influence and interact with advertising and promotional strategy. Explore the concept of target marketing in an integrated marketing communications program. Identify the role of market segmentation and its use in an integrated marketing communications program. Describe the use of positioning and repositioning strategies.

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Objectives specified in Advertising and Promotion (5th Edition) by George E. Belch and Michael A. Belch (pages 2 and 36). Lesson #1 The Role of IMC in Marketing Page 17

CHAPTER 1 OVERVIEW The purpose of this opening chapter is to provide the student with an overview of the field of advertising and promotion and its role in the marketing process. We define the concepts of marketing and relationship marketing. This chapter also introduces the concept of integrated marketing communications (IMC), its evolution, and examines how various marketing and promotional elements must be coordinated to communicate effectively. We also discuss the reasons for the increasing importance of the IMC perspective in planning and executing advertising and promotional programs. First, marketers understand the value of strategically integrating the various communication functions rather than having them operate autonomously. The move to integrated marketing communications also reflects an adaptation by marketers to a changing environment, particularly with respect to consumers, technology, and media. The various elements of the promotional mix are introduced in this chapter along with a brief discussion of the various elements of the promotional mix are introduced in this chapter along with a brief discussion of these basic tools of IMC. This chapter also examines the various tasks and responsibilities involved in advertising and promotion management and a model of the integrated marketing communications planning process is presented. Lastly, we give an overview of the perspective and organization of the rest of the text.

STUDY CHAPTER 1, AN INTRODUCTION TO INTEGRATED MARKETING COMMUNICATIONS, PAGES 2-34 IN THE REQUIRED TEXT. Begin with a preview of the chapter material. Of the techniques outlined in your Introductory Student Notebook, which three did you utilize to get a preliminary look at this chapter? Initial Review of Material:
G Think about study topic before beginning. G Three questions about study topic. G Read only bold-faced heads and subheads. G Read only first sentence of each paragraph. G Review charts, graphs, numerical tables, and maps. G Find definitions to highlighted terms. G Read the end-of-chapter summary.

Now read through the entire reading assignment. Then return to the beginning of the assignment and use at least five of the following techniques for extracting and internalizing the material. Each method is outlined on pages 24-26 of the Student Orientation section of your Introductory Student Notebook.

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Extraction and Internalization of Material:

G Underlining/Highlighting G Note Taking G Writing in the Margin G Outlining G Mapping G Associating G Questioning G Summarizing G Reality Checks G Mnemonic Devices G Flash Cards G Personalize the Information G Teach Concepts to a Friend G Define the Key Terms

ASSIGNMENT #1 CHAPTER 1 DISCUSSION QUESTIONS 1. Analyze the role of integrated marketing communications in the marketing of automobiles such as the Mazda Proteg. How is each element of the promotional mix used to market automobiles?

2.

Discuss the role integrated marketing communications plays in relationship marketing. How might the mass customization of advertising and other forms of marketing communication be possible? The communications-based marketing model developed by Tom Duncan and Sandra Moriarty emphasizes that an organization communicates with its customers at the corporate, marketing, and marketing communications levels. Select a company or organization and discuss how it communicates with its customers at each of these levels. Discuss the various reasons why integrated marketing communications has become so popular among marketers over the past decade. Do you think the growth of IMC will continue? Why or why not? The various classifications of advertising to consumer and business-to-business markets are shown in Figure 1-3 of the required text. Choose one category of advertising to consumer markets and one to the business-to-business market, and find an ad that is an example of each. Discuss the specific goals and objectives each company might have for the ads you have chosen. Discuss the role of direct marketing as an IMC tool, giving attention to the various forms of direct marketing. Analyze the role of the Internet in the integrated marketing communications program of a company. Discuss how the Internet can be used to execute the various elements of the promotional mix.
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7.

8.

IMC Perspective 1-2, located in the required text, discusses explosion in advertising being done by Internet-related companies. Discuss the role advertising and other forms of promotion might play in the marketing of a new online company. Find an example of advertising done by a new dot.com company and analyze it. What are some of the reasons the advertising may or may not be effective in driving consumers to the companys website? Ethical Perspective 1-3, located in the required text, discusses how Metabolife used the Internet to preempt negative publicity the company received from the ABC news show 20/20. Analyze Metabolifes posting of the full version of the 20/20 interview on its website and the use of advertising to encourage consumers to visit the site, as well as ABCs decision to let the company tape the interview. How might the developments in this case affect the reporting done by news organizations? Why is it important for those who work in the field of advertising and promotion to understand and appreciate all various integrated marketing communications tools, not just the area in which they specialize?

9.

10.

ASSIGNMENT #2 CHAPTER 1 IMC EXERCISE Choose a specific company and discuss how this firm can use the concept of integrated marketing communications in developing a promotional program for one of its products or services. You should analyze all of the companys promotional mix elements including advertising, direct marketing, interactive media, sales promotion, publicity/public relations and personal selling and discuss how each one is used in the marketing communications program. You should also consider how other marketing mix elements such as the brand name, package, price and other factors communicate with the companys target audience. Is this company using all of the promotion mix tools in its marketing communications program? Are they integrated and sending a consistent image and message?

CHAPTER 1 VIDEO CLIPS Watch the Chapter 1 video clips on Tape 1 of the Advertising and Promotion Video Series. Note how principles discussed in Chapter 1 are illustrated.

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IMC COMPREHENSIVE PROJECT The purpose of the IMC comprehensive project is to have you develop an integrated marketing communications plan for a product or service as you proceed through the course. The text is built around a detailed model of the IMC planning process that is presented in Figure 1-4 that can be used as a framework for this plan. You may update your plan as each chapter and topic area is covered. This will encourage you to apply the course material and develop an appreciation for the process a product manager, account executive, or marketing communications manager goes through in developing a promotional plan. The project will also help you gain an appreciation for the various sources of information available that can be used as part of the promotional planning process. By the end of the course, you should have a detailed notebook containing the plan for your product or service.

ASSIGNMENT #3 IMC PROJECT ASSIGNMENT The assignment for Chapter 1 is to familiarize yourself with the IMC planning process presented in Figure 1-4. You are to study the IMC planning model so you can gain some insight as to what will be involved in developing the IMC project. Choose a national, regional or local brand product or service for which you will be developing your IMC plan. Submit your choice with a brief statement as to why you have chosen this particular brand. Your choice is to be approved by your instructor before you begin working on the project.

SELF-TEST Multiple Choice: Choose the best answer to each of the following questions: 1. _____ is a media scheduling technique in which the advertiser buys a sixty-second spot on all four major television networks at Tuesday 8:00 P.M.

A) B) C) D) E)

Hurdling Roadblocking Competitive detour Competitive blockade Media obstruction

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2.

______ is the coordination of all seller-initiated efforts to set up channels of information and persuasion to sell goods and services. A) B) C) D) E) Publicity Advertising Organizational communication Promotion Marketing

3.

A used bookstore that ran an ad in which it announced a 12-hour, everything must go sale would be using: A) B) C) D) E) homogeneous marketing. direct-response advertising. a direct-action promotion. indirect-response advertising. bait and switch advertising.

4.

According to the text, which of the following is NOT an example of an interactive medium? A) B) C) D) E) CD-ROMs kiosks direct marketing the Internet interactive television

5.

Sales promotions targeted to the ultimate users of a product such as sampling, coupons, contests, or sweepstakes are known as: A) B) C) D) E) consumer-oriented sales promotion. trade-oriented sales promotion. direct marketing incentives. public relations. strategic promotions.

6.

Florafax Wire Service allows a consumer in Alaska to go to his or her local florist and order roses to be sent to a friend in Maine. The Alaskan florist uses Florafax to order the roses from a florist in Maine who will arrange and deliver them. An ad for Florafax in a trade journal for florists offers retail florists a $4 rebate when they send 20 orders and an additional $.75 per order when they use florafax.com online sending. In its ad, Florafax is using: A) B) C) D) E) a consumer-oriented sales promotion. a trade-oriented sales promotion. a functional inducement. telemarketing. integrated promotions.
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7.

When Hugh Jackman appears on The Tonight Show with Jay Leno as a guest to discuss his role in the X-Men movie, it is an example of: A) B) C) D) E) advertising. publicity. sales promotion. personal selling. direct marketing.

8.

In response to allegations that charged Adams Mark Inns with deliberately offering poorer service to African-Americans, the chain created a mystery shopper program in which it sent out African-American customers to report on their treatment by the inns personnel. Their reports were released to the news media. This is an example of: A) B) C) D) E) public relations. advertising. media-selling. sales promotion. cause marketing.

ANSWER KEY 1. B 2. D 3. C 4. C 5. A 6. B 7. B 8. A

After grading your self-test, return to the text to review the answers to any questions you missed. Be sure you understand the correct answers before continuing.

CHAPTER 2 OVERVIEW The purpose of this chapter is to examine the marketing process and the role of advertising and promotion in an organizations integrated marketing program. A basic model of the marketing and promotion process is presented which can be used as a framework for analyzing how advertising and promotion fit into a companys marketing program. The chapter examines the various decision areas under each element of the marketing mix and how they influence and interact with advertising and promotional strategy. The chapter also examines the concepts of target marketing, segmentation, and positioning. The target marketing process is introduced, and the specific elements of this processidentifying markets with unfulfilled needs, market segmentation, selection of a target market, and positioningare described in detail.

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STUDY CHAPTER 2, THE ROLE OF IMC IN THE MARKETING PROCESS, PAGES 36-65 IN THE REQUIRED TEXT. Begin with a preview of the chapter material. Of the techniques outlined in your Introductory Student Notebook, which three did you utilize to get a preliminary look at this chapter? Initial Review of Material:
G Think about study topic before beginning. G Three questions about study topic. G Read only bold-faced heads and subheads. G Read only first sentence of each paragraph. G Review charts, graphs, numerical tables, and maps. G Find definitions to highlighted terms. G Read the end-of-chapter summary.

Now read through the entire reading assignment. Then return to the beginning of the assignment and use at least five of the following techniques for extracting and internalizing the material. Each method is outlined on pages 24-26 of the Student Orientation section of your Introductory Student Notebook.

Extraction and Internalization of Material:

G Underlining/Highlighting G Note Taking G Writing in the Margin G Outlining G Mapping G Associating G Questioning G Summarizing G Reality Checks G Mnemonic Devices G Flash Cards G Personalize the Information G Teach Concepts to a Friend G Define the Key Terms

ASSIGNMENT #4 CHAPTER 2 DISCUSSION QUESTIONS 1. Some marketers contend that demographics is not really a basis for segmentation, but a descriptor of the segment. Discuss examples to support both positions.

2.

It has been said that Generation Y is one of the more difficult segments to appeal to. Explain why this is so and cite examples of companies that have been successful in this endeavor. Establishing brand image is often difficult for new companies. Explain what these companies must do to establish a strong brand image.

3.

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CM 346 Advertising and Promotion

4.

More and more business-to-business companies have gone away from purely trade advertising to advertising on consumer media. Is this likely to be a successful strategy? Why or why not? A number of approaches to segmentation have been cited in the text. Provide examples of companies and/or brands that employ each. Discuss the concept of competitive advantage. Pick three brands or products and discuss the specific competitive advantage that each stresses. Describe how the positioning strategy adopted for a brand would need to be supported by all other elements of the marketing mix. Discuss the concept of target marketing. Why is it so important to markets? What is meant by positioning? Discuss various approaches to positioning and give examples of companies or brands that use each approach. What factors would lead a marketer to the use of a repositioning strategy? Find a product or service that had been repositioned recently and analyze the strategy.

5.

6.

7.

8. 9.

10.

ASSIGNMENT #5 CHAPTER 2 IMC EXERCISE Discuss the unique values, lifestyles, etc. of Generation Y and X. Select and submit several examples of ads designed to appeal to each.

CHAPTER 2 VIDEO CLIPS Watch the Chapter 2 video clips on Tape 1 of the Advertising and Promotion Video Series. Note how principles discussed in Chapter 2 are illustrated.

ASSIGNMENT #6 IMC PROJECT ASSIGNMENT Conduct a marketing situation analysis for the product or service you have chosen. You can use the marketing and promotions process model shown in Figure 2-1 (located in the required text) as well as some of the factors shown in Figure 1-5
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from Chapter 1 as guidelines to conducting your situation analysis. Important areas to address at this stage of the IMC planning process include the marketing strategy and plan for the product/service, the relevant competition, and the marketing program that will be used in terms of various marketing mix variables, and an analysis of the environmental factors and how they will impact the marketing and promotion of your brand. Based on your situation analysis, describe how the market for your product/service can be segmented. What segmentation strategy do you plan to use? Which segments will be targeted and why? How will you position your product/service in the segments you have chosen?

SELF-TEST Multiple Choice: Choose the best answer to each of the following questions: 1. There are many types of toothpaste on the market, but only one, Trident Advantage, claims to increase the amount of calcium in your teeth by virtue of a special additive. For Trident Advantage, this special calcium-enhancing additive is an example of:

A) B) C) D) E) 2.

brand quality. brand equity. a competitive advantage. brand power. a market opportunity.

Which of the following has been cited as a reason why Coke has been more successful than Pepsi worldwide? A) B) C) D) E) Pepsis diversification distracted its attention from the soft drink market. Coke has refrained from spending monies on its infrastructure. Coke has sacrificed profits while Pepsi has not. Coke has focused attention on the U.S. market, which is fastest growing. All of the above have been cited as reasons why Coke has been more successful than Pepsi worldwide.

3.

Gatorade sports drink has defined its target market as 18-34 year old males who are active in sports. Which two bases of segmentation is Gatorade employing? A) B) C) D) E) benefit and demographic psychographic and geographic demographic and psychographic geographic and benefit benefit and psychographic
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4.

An advertising campaign stating that BMW outperforms most cars on the road even before you step on the accelerator is an example of _____ segmentation. A) B) C) D) E) benefit demographic geographic VALS SRI

5.

LOreal, the giant cosmetics manufacturer, targets the luxury market with Helena Rubinstein and Lancme brands. Its less-expensive brands like Elseve and LOreal are sold by discount retailers. LOreal uses: A) B) C) D) E) concentrated marketing. undifferentiated marketing. market atomization. niche marketing. differentiating marketing.

6.

The fact that BMW has been perceived by some as a Yuppie car would reflect positioning by: A) B) C) D) E) product attributes. cultural symbols. product user. competition. product class.

7.

Initially, Crush orange drink was marketed to teenagers, but when Cadbury Beverages acquired the drink, it was already marketing Sunkist orange drink to teens. Cadbury used _____ to move Crush toward a drink for the whole family to enjoy. A) B) C) D) E) positioning by cultural symbols positioning by price/quality positioning by product attributes repositioning positioning by product category

8.

With _____, advertising expenditures and promotional efforts are directed toward the ultimate consumer. A) B) C) D) E) promotional pull strategies promotional push strategies trade advertising market harvesting strategies non-intermediary marketing
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ANSWER KEY 1. C 2. A 3. C 4. A 5. E 6. C 7. D 8. A

After grading your self-test, return to the text to review the answers to any questions you missed. Be sure you understand the correct answers before continuing.

KEY TERMS & GLOSSARY From memory, try to verbally define the following terms. If you have trouble, review this lesson until you have committed them to memory. A glossary of terms is found in the required text on pages GL1-GL13. 80-20 rule advertising behavioristic segmentation benefit segmentation brand equity communication objectives competitive advantage concentrated marketing demographic segmentation differentiated marketing direct channels direct marketing direct-response advertising exchange external analysis geographic segmentation indirect channels integrated marketing communications interactive media internal analysis market opportunities market segmentation market segments marketing marketing channels marketing mix marketing objectives marketing plan mass customization personal selling positioning product symbolism promotion promotional management promotional mix promotional plan promotional pull strategy promotional push strategy psychographic segmentation public relations publicity relationship marketing repositioning resellers sales promotion salient attributes strategic marketing plan target marketing trade advertising undifferentiated marketing

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Once you have completed this lesson, submit your study guide assignments for grading. Lessons may be submitted by e-mail, fax, or mail. Please note the following procedures:

TO SUBMIT LESSONS BY E-MAIL: To reduce shipping costs and accelerate instructor response, lessons should be submitted by e-mail whenever possible. Lessons must be submitted in entirety. If any part of a lesson cannot be e-mailed, you are to fax or mail the entire lesson using the instructions outlined below. Lessons completed electronically (using Word or Word Perfect) may be attached to an e-mail addressed to lessons@aju.edu. The subject line of the email must contain the following: Student ID Number, Course Number, Lesson Number, Version Number (for example: 25899-9999, CM 346, Lesson #1, 02A-40). You will receive a confirmation e-mail indicating that the lesson has been forwarded to your instructor. Lessons received by e-mail will be returned by e-mail once the instructor has graded the material. No shipping or handling fees are charged when lessons are submitted in this manner.

TO SUBMIT LESSONS BY FAX: Include the provided Lesson #1 Grade Report cover sheet (next page) with your course work. Fax numbers: within United States (800) 321-9694 / outside United States (205) 871-9294. Lessons received by fax will be returned by first-class mail once the instructor has graded the material. A shipping fee comprised of postage at cost plus $1.00 (to cover envelope and handling) will be added to your student account.

TO SUBMIT LESSONS BY MAIL: Include the provided Lesson #1 Grade Report cover sheet (next page) with your course work. Place your unfolded materials in a large envelope with the proper postage attached. Andrew Jackson University will not accept study materials that arrive with postage due. Also enclose a large self-addressed return envelope with the appropriate postage affixed so your graded materials can be returned. It is unlikely that your materials will be lost in the mail. As a precaution, however, please maintain a personal copy of your work. Andrew Jackson University is not responsible for lost course work, and we cannot give you credit for work we do not receive.

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ANDREW JACKSON UNIVERSITY

Lesson #1 Grade Report

Name Student I.D. Number Course Number Version Number Course Title Lesson Grade

CM 346

02A-40

Advertising and Promotion PRE-TEST SCORE: _________

Possible Points Points Earned

Number of Items Missed on Pre-Test: ___________

Lesson Requirement

CHAPTER 1 (1) Discussion Questions (2) IMC Exercise (3) IMC Project Assignment CHAPTER 2 (4) Discussion Questions (5) IMC Exercise (6) IMC Project Assignment

20 20 40

____________ ____________ ____________

20 20 40 TOTAL ?

____________ ____________ ____________ ____________ ____________

NUMERIC GRADE: GRADING SCALE: 160-144 points 143-128 points 127-112 points 111-96 points Below 96 points Instructor Comments

Total Points 160 = ________

GRADE ?

A B C D F

Exemplary Competent Functional Marginal/Poor Failure

Instructor Signature

Date

FOR OFFICIAL USE ONLY

G Incoming lesson posted G Mailed to instructor G Received from instructor G Report copied / placed in posting bin G Graded course materials mailed to student G Posted G Posted in D.A. G Posted

Date: ____________________ Date: ____________________ Date: ____________________ G Filed in student file Date: ____________________