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173 Cards in this Set
- Front
- Back
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an independent business composed of creative and business people who develop, prepare, and place advertising in advertising media for sellers seeking to find customers for their goods or services
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advertising agency
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there are about _____ advertising agencies in the country
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10,000
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the first Americans to serve as advertising agents were
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colonial postmasters
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the first person to have worked on a commission basis
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Volney B. Palmer
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in the 1850s, _____ shocked the advertising world by publishing what newspapers were charging for advertising by allowing their rate cards to get out; charged with giving out trade secrets
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George Rowell
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in the beginning (since colonial times), _____ were the most popular form of advertising in the United States
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newspapers
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after the Civil War, there were a lot of _____ that came out that were considered the most influential publications as well as the forerunner of magazines
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religious publications
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religious publications were the forerunner of _____
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magazines
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magazines did not take off until _____, when literary magazines such as Harper's began to become popular
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the middle class had an uprising in the late 1800s/early 1900s
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created by Congress in 1906 to counteract falsehoods about quick cures, etc., and protect the health of the public
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Pure Food and Drug Act of 1906
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the first law to control advertising
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Pure Food and Drug Act of 1906
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in the early 1900s, advertisers got together and created _____, which was designed to protect the public against deceptive and fraudulent advertising
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Better Business Bureau (early 1900s)
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Who the Earliest Ad Agents Were
The first Americans to serve as advertising agents were colonial postmasters, who would allow newspapers/colonial papers to be left in the post office. Volney B. Palmer is the first ad agent/person known to have worked on a commission basis. Then, during the 1850s, George Rowell shocked the advertising world by publishing what newspapers were charging for advertising by allowing their rate cards to get out; essentially Rowell was charged with giving out trade secrets. |
Better Business Bureau
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radio emerged as the major advertising medium during _____
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the Great Depression/stock market crash
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in the early 1930s, _____ made the first inaugural address ever to be broadcast by radio
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FDR
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became known for his fireside chat style of radio in which he would speak to the American public and reassure them everything would be alright
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FDR
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during _____, a lot of public service advertising came about
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World War II
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television changed everything in _____, where it went to the top of the advertising food chain, where it remains today
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late 1940s/early 1950s
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what are the three types of ad agencies?
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(1.) the full service agency (2.) the in-house agency, (3.) rolodex agency
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also known as the “mega-agency"; can offer anything to a client (directors, writers, production, graphics) and have access to the biggest talent pool
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full service agency
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when the client is so large that they can handle all of the duties of a full service agency themselves; within the company’s own building they have a team of writers, directors, etc. and everything else they need in order to complete tasks themselves (example of Procter & Gamble)
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in-house agency
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when creative people are hired on a freelance basis to work on ads; a list of people in different fields, etc.
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rolodex agency
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what are the three types of agencies?
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(1.) full service agency (2.) in-house agency (3.) rolodex agency
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what are the four departments of an ad agency?
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(1.) creative department (2.) account services (3.) management and finance (4.) promotion department
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the most important department of an ad agency
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creative department
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true or false? the success of an ad agency depends on its creative department
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true
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the most important department of an ad agency; sets the creative philosophy of the agency; note that the success of the agency depends on this department
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creative department
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department that handles budgets, media schedules, and the other marketing aspects of the agency
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account services
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the personnel department (handles accounting, etc.)
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management and finance
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involved in the media planning, media buying, research, and sales promotion for the agency
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promotion department
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what are the four departments of an ad agency?
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(1.) creative department, (2.) account services, (3.) management and finance, (3.) promotion department
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_____ and _____ are the top cities in terms of local advertising billings
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New York City; Tokyo
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New York City and Tokyo are the top cities in terms of _____
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local advertising billings
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After New York City and Tokyo, _____, _____, and _____ are responsible for a lot of local advertising billings.
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London; Paris; Los Angeles
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the standard agency commission is _____%
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15
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the standard agency commission is _____%
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15
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15% is the _____
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standard agency commission
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15% is the _____
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standard agency commission
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two aspects which can vary the standard agency commission of 15% are
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(1.) fee arrangement (2.) performance fee
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if it is an extremely large campaign, the agency may ask for more than 15%; for a smaller campaign, the ad agency may only ask for 12% or a smaller amount based on how long the campaign lasts and how much territory it covers
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fee arrangement
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if the campaign was extremely successful, the agency may say that they deserve 20% or more since they went above and beyond; if the campaign fails, they may take 10% instead.
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performance fee
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true or false? One trend for the future of ad agencies is that many large agencies have gone global/international instead of domestic and have branches overseas
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true
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true or false? you will rarely find competing accounts (Coke, Pepsi) coming from the same agency
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true
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the earliest magazines began around _____
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the mid-19th century
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the earliest magazines were _____, had little _____, were usually _____, and were often geared toward _____
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expensive; advertising; political or religious in nature; special interest groups
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magazines gained prominence as the _____ rose and _____ became available
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middle class; mass production
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magazines were really the only national advertising medium until _____ came along in the 1920s
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radio
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true or false? there are very few mass interest magazines today
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true (geared toward particular audiences while magazines like Life have gone defunct)
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true or false? the cost of producing magazines has never been higher
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true
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true or false? television is obviously the dominant medium for advertisers, and when budgets get cut magazines are usually the first to go
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true
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about _____% of magazine revenues come from subscriptions, with the rest coming from advertising
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50%
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50% of magazine revenues come from _____, with the rest coming from _____
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subscriptions; advertising
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what are three advantages of advertising in magazines?
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(1.) credible, (2.) involvement, (3.) targeted
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what are three disadvantages to advertising in magazines?
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(1.) cost, (2.) long closing dates, (3.) "ad banking"
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essentially the magazine equivalent of clutter; when magazine publishers place the bulk of advertisements in the front or back of magazines
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"ad banking"
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involves a national magazine having different advertisements in different regions in the country
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split/partial runs
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what is a split/partial run in magazines?
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when a national magazine has different advertisements in different regions in the country
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there are about _____ city magazines nationwide
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100
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_____, first published in the 1940s, is credited as being the forerunner of city magazines
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San Diego Magazine
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Which city's city magazine is credited as being the forerunner of city magazines?
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San Diego
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Part of the reason city magazines are important is because their audiences tend to be _____
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extremely upscale
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all city magazines tend to be _____ and attract _____ as advertisers
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extremely upscale; high-brow companies
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when the printed matter runs page to page and leaves little room/space in the margins; involves lots of text and does not leave much room in the margins
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"bleed advertising"
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"bleed advertising" is when
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the printed matter runs page to page and leaves little room/space in the margins; involves lots of text and does not leave much room in the margins
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"bleed advertising" is when
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the printed matter runs page to page and leaves little room/space in the margins; involves lots of text and does not leave much room in the margins
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what are the two steps to placing magazine advertising?
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(1.) a space contract (2.) a space order
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when an advertiser tells the magazine the total number of pages they plan to buy for the coming year
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a space contract
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when the advertiser actually commits to a particular issue in a magazine
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a space order
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the two steps to placing magazine advertising are
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(1.) a space contract (2.) a space order
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what are the three sets of dates to be aware of when buying magazine space?
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(1.) cover date, (2.) on-sale date, (3.) closing date
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when the advertiser has to have everything in to the publisher (printed materials, prints/plates, etc.) to make a specific issue
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closing date
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the three sets of dates to be aware of when buying magazine space
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(1.) cover date, (2.) on-sale date, (3.) closing date
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the idea that magazines have a lot of lingering readership through people that give them to others, being present at offices for a long time, etc.
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pass-along readership
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true or false? essentially, magazines are like the printed form of broadcast advertising
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false
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true or false? essentially, magazines are like the printed form of cable advertising
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true
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true or false? the 2nd, 3rd, and 4th covers are the most expensive to purchase
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true
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what are the six components of a media plan?
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(1.) description of the TARGET AUDIENCE, (2.) COMMUNICATION requirements and creative elements, (3.) GEOGRAPHY (where is it distributed?), (4.) EFFICIENCY/EFFECTIVENESS BALANCE (choose to emphasize reach, frequency, or continuity), (6.) budget
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the most widely-read mass newspaper
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USA Today
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relies on national automotive, computer, communications, and financial services for much of its revenue
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USA Today
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_____ read more as a whole, but _____ read more newspapers
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women; men
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teens read a daily newspaper _____
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once a week
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has offered newspapers a compelling weapon against direct mail and other forms of targeted media
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zoning
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the idea that many metro newspapers are providing suburban weekly or daily sections to serve both the reader and advertiser demand for information about particular suburbs of a city
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zoned edition/the zoned newspaper
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the _____ newspaper overcomes the problem of insert clutter
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zoned
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allows advertisers to gain the advantages of zoning but still run ROP (run-of-paper, meaning not inserted) advertising
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zoned editions/zoned newspaper
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the two major types of newspaper advertising
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(1.) classified (2.) display
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the _____ department is generally the most profitable department of most newspapers
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classified
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newspaper has an overwhelmingly _____ focus
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local
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by any measure, _____ are the most popular local advertising medium with both readers and advertisers
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newspapers
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has provided a venue for national advertisers to gain easy access to national newspaper buys
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Newspaper National Network (NNN)
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advertising placed by a local advertiser but paid for, all or in part, by a national advertiser
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co-op advertising
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when the national manufacturer provides the advertisments but allows space for a participating retailer's logo
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co-op advertising
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the original reason for this was that it allowed national advertisers to place advertisments at local rates
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co-op advertising
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a source of building goodwill with distributors and reatilers and exercising some control over local advertising, as well as saving money for national advertisers
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co-op advertising
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true or false? co-op dollars are an important source of revenue for newspapers
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true
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joint promotion of a national advertiser (manufacturer) and a local retail outlet on behalf of the manufacturer's product on sale in the retail store
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co-op advertising
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a uniform charge for space in a medium, without regard for the amount of space used or the frequency of insertion
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flat rate
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in print, the highest advertising rate at which all discounts are placed
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open rate
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newspapers are divied into two categories: those with a _____ offering no discounts and those with an _____ providing some discount structure
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flat rate; open rate
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the newspaper equivalent of a TV "makegood"
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the rebate
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the amount owed to an advertiser by a medium (newspaper) when the advertiser qualifies for a higher space discount
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the rebate
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true or false? newspapers will credit a rebate against future advertising rather than actually paying the advertiser.
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true
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when the advertiser ends up using more column inches than they had committed to and earns a smaller rate based on higher volume
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the rebate
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one of the most enduring newspaper traditions; today, few survive
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Sunday supplements
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from a marketing perspective, _____ appeal to adveritsers because they gain networks buying efficiency, a broad-based newspaper circulation, a magazine format, consistent quality reproduction, and a CPM lower than both newspapers and most magazines
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national Sunday supplements
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the two leaders in the Sunday supplement category
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Parade and USA Weekend
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the most popular Sunday supplement/one with the largest circulation
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Parade
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true or false? the African American press has not shown the same economic virtality as its HIspanic counterpart
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true
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a continuing problem for traditionally African American newspapers is the preference among the African American population for _____
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television
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The Chicago Daily Defender, The New York Daily Challenge, and Atlanta Daily World are three examples of newspapers directed at
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African-Americans
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name an example of a newspaper directed at the African-American reader
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The Chicago Daily Defender, The New York Daily Challenge, Atlanta Daily World
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tha last three feet of the marketing mix, where the customer, the product, and the dollar all come together
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point-of-purchase (POP) advertising
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the very first coupon was in _____, when the _____ company offered a coupon for _____
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1885; CW Post Cereal; a penny off of a box of Grape Nuts Flakes
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the very first coupon was in _____, when the _____ company offered a coupon for _____
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1885; CW Post Cereal; a pennty off of a box of Grape Nuts Flakes
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the most popular form of sales promotion
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coupons
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there are _____ coupons redeemed each year
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300 billiion
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the most popular thing for couponing is
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cereal
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the most popular things for couponing are
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(1.) cereal, (2.) medication, (3.) pet foods, (4.) hair care products, (5.) any kind of household cleaner
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an item other than the product itself that is given as an inducement to buy; usually something you have to send in for
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premium
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an item other than the product itself given as an inducement to buy that you actually get right then and there when you purchase the product
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direct premium
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sending in three box tops is an example of a
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premium
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buying $25 of make-up and getting a free bag is an example of a
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direct premium
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drawings done purely at random that require no skill whatsoever
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sweepstakes
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Publisher's Clearing House is an example of a
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sweepstakes
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requires some amount of skill/judging in roder for the entrant to win
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contest
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the key to any great advertising
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simplicity
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_____ is the key to any great advertising
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simplicity
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simplicity is the key to
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any great advertising
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founded in the psychoanalytic techniques of Sigmund Freud
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motivational research
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tries to figure out why people buy the products they buy and deals primarily with consumer behavior
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motivational research
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seeks to find the underlying reasons for consumer behavior and rests on the premise that consumers are motivated by emotions they may not be aware of consciously
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motivational research
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examples of great advertising have what three things in common?
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(1.) a potent STRATEGY, (2.) a strong SELLING IDEA, (3.) it STANDS OUT from the competition
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what are the four different parts of newspaper/magazine copy
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(1.) headline, (2.) sub-headline, (3.) amplification, (4.) proof
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the most important part of an ad
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headline
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the most important part of an ad
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headline
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should engage the reader to want to know more about the product
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headline
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serves as the transition from the headline to the opening paragraph of an ad
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sub-headline
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the text or "body" of an ad, where the case is presented to the consumer on why they should purchase the product
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amplification
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guarantees the consumer that the product will do what it's supposed to do
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proof
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can come in seals of approval, warranties, or a statement like "4 out of 5 doctors recommend"
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proof
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basically says the product is legitimate and here's why
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proof
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what are the two different types of slogans?
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(1.) institutional (2.) hard sell
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a slogan that creates a prestigious image for the company
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institutional
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Allstate's "You're in Good Hands" is an example of
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an institutional slogan
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a slogan that is strongly competitive
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hard sell
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Met Life's "Get Met. It pays" is an example of
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a hard sell slogan
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the two basic segments of a TV commercial are
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(1.) audio (2.) visual
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what are some visual techniques used by TV commercials?
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demonstration, close-ups, testimonials, spokespeople (celebrities), humor, soap operas, etc.
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_____ drastically changed the style of commercials
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MTV
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a series of picture showing what the commercial will look like
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storyboard
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what are two ways that music is used in a commercial?
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(1.) as background, (2.) as a transition
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what are the three stages to producing a TV commercial?
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(1.) pre-production (getting a cast, location, etc.), (2.) production, (3.) post-production (adding graphics, logos, titles, etc.)
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a payment made to the actor of a national spot every time that spot airs
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residual
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the basic building blocks of radio
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words
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_____ are the basic building blocks of radio since the medium does not have a visual component
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words
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what are the three sources of sound effects?
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(1.) manual (2.) recorded (3.) electronic
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sound effects that are produced live, such as someone taking shoes and putting them across a table to simulate footsteps
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manual
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sound effects that come from tapes and sound libraries, which usually contain every type of sound that will be needed
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recorded
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sound effects that are produced electronically on special studio equipment
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electronic
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what are three ways a radio commercial can be delivered?
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(1.) straight announcer (2.) two-announcer (3.) jingles
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all radio stations keep _____ which is copyright-free to throw under promos, commercials, etc.
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stock music
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in television, the _____ is the main person as opposed to the _____
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director; producer
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the average cost of producing a national television spot is _____
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$250,000
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the average :30 second radio spot contains about _____ words, with a :60 second spot averaging _____
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65; 125
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_____ really involves the audience because spots are longer than 30 seconds
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radio
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why can radio involve listeners more?
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because spots are longer than 30 seconds and can use humor or emotional appeals that TV generally cannot use in the given length
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the overall objectives that a company wishes to accomplish through its marketing program
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marketing goals
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the overall objectives that a company wishes to accomplish through its marketing program
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marketing goals
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true or false? when all marketing conditions are equal, a consumer will choose a preferred brand over another
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true
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a description of a market based on factors such as attituides, opinions, interests, perceptions, and lifestyles of consumers composing that market
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psychographics
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a typical advertising plan includes which four elements?
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(1.) goals (2.) market (3.) budget (4.) value added
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the seven components of a marketing plan are
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(1.) overall goal of the plan (2.) marketing objectives (3.) marketing strategy (4.) situational analysis (5.) problems and opportunities (6.) financial plan (7.) research
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true or false? the United States is no longer the gold standard for advertising
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true
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