CH-1 An Overview of Integrated Marketing Communications – Advertising Promotion and Other Aspects of Integrated Marketing Communications : Book Guide

AN OVERVIEW OF INTEGRATED MARKETING COMMUNICATIONS Answers to Discussion Questions 1. Explain how your college or university uses marketing communications to recruit students. Answer: Colleges and universities create comprehensive marcom plans to create awareness and enhance their brand identity with prospective students. Most continue to use traditional advertising methods to reach a mass audience, such as view books and brochures. These provide broad overviews of the programs and opportunities that their school gives students. Some will have regular sections in local newspapers for specific coverage of campus activities. Many schools attempt to maximize public relations opportunities by publicizing events, activities, and other newsworthy achievements on their campus through news reporting agencies. Event marketing involves sponsoring an activity that will provide positive exposure for the advertiser. The university could jointly sponsor career carnivals at high schools and participate with a booth staffed with university representatives to answer students’ questions about the type of education required for different careers. The booth could be supplied with university entrance applications and representatives could encourage students to apply for admission. Other schools may use recruiters as a personal selling tool to visit on a more personal level with students in key courses to recruit for specific majors. Recruiters may work with faculty in high schools to visit classes, such as a business, accounting, or entrepreneurship class, to speak to the students about career opportunities in those areas of study. The recruiter may also then have the opportunity to speak about degrees at their college or university that can prepare students for such careers. Increasingly, colleges and universities are using the internet and other interactive media to reach prospective students with virtual tours of campus, Facebook and other online social networks for prospective students, and internet sites dedicated to prospective students with carefully presented information to answer virtually any question a prospective student (and their parent) might have about the school. The combined use of different marcom tools—such as advertising a brand on TV along with sponsoring an event—can produce a synergistic effect for a brand. What does the concept of synergy mean in this context? Provide a practical illustration of how two or more marcom tools when used in combination are capable of producing results greater than the sum of their individual contributions. Answer: It is imperative that students understand that the payoff from IMC is synergy, which means that multiple methods in combination with one another yield more positive communication results than do the tools used individually. In the context of marketing communications (marcom), synergy refers to the combined effect produced when different tools or channels are used together, resulting in a greater impact than if each tool were used individually. Essentially, synergy amplifies the effectiveness of each marketing element when they work in harmony. A practical illustration of synergy in marcom can be seen in the combined use of advertising on TV and sponsoring an event. • TV Advertising: Television advertising is a traditional yet powerful tool for reaching a wide audience. It allows brands to showcase their products or services through visual and auditory means, creating a memorable impression among viewers. • Event Sponsorship: Sponsoring an event provides opportunities for brands to engage with their target audience in a more interactive and immersive way. By associating their brand with a particular event, companies can leverage the event's atmosphere and audience engagement to enhance brand visibility and credibility. Now, let's examine how these two marcom tools can work together synergistically: Imagine a company that manufactures sports equipment, such as running shoes. They decide to launch a new line of running shoes targeting fitness enthusiasts and athletes. • TV Advertising: The company launches a series of TV commercials showcasing the features and benefits of their new running shoes. These commercials air during prime time slots when their target audience, including fitness enthusiasts and sports lovers, is likely to be watching. The TV ads capture the audience's attention with high-quality visuals of people running, exercising, and enjoying an active lifestyle while wearing the company's shoes. • Event Sponsorship: To further promote their new running shoes and create a memorable brand experience, the company sponsors a popular marathon event in a major city. As part of the sponsorship package, the company sets up a booth at the event expo where participants can try on their shoes, receive expert advice on running techniques, and participate in fun activities related to fitness and wellness. Additionally, the company's logo is prominently displayed throughout the event venue, including on banners, race bibs, and promotional materials. The synergy between TV advertising and event sponsorship in this scenario is evident: • Increased Brand Exposure: The TV commercials build initial brand awareness and generate interest among viewers. The event sponsorship extends this exposure by placing the brand directly in front of a highly relevant and engaged audience at the marathon event. • Enhanced Brand Engagement: While TV advertising allows for passive consumption of brand messaging, event sponsorship encourages active engagement with the brand through hands-on experiences and interactions. Participants who see the TV ads are more likely to seek out the company's booth at the event, resulting in deeper brand engagement and potential conversions. • Reinforced Brand Image: By combining TV advertising with event sponsorship, the company reinforces its brand image as a reputable and supportive player in the fitness and sports community. The cohesive marketing approach sends a clear message to consumers about the company's commitment to promoting an active lifestyle and providing quality products to support their fitness goals. Overall, the synergy between TV advertising and event sponsorship enables the company to maximize its marketing impact, reaching a broader audience and creating meaningful connections that drive brand awareness, engagement, and ultimately, sales. Explain what it means to say that the consumers are in control of marketing communications. Provide an example from your own experience that supports the contention that marcom is becoming increasingly consumer-centric. Answer: Students should understand that consumers are not simply passive recipients of marcom efforts but increasingly active participants, choosing when, where, and how they receive marcom messages. To say that consumers are in control of marketing communications means that in today's digital age, consumers have more power and influence over how they engage with brands and consume marketing messages than ever before. This shift has occurred due to several factors: • Technology Empowerment: The widespread adoption of digital technologies, especially the internet and social media platforms, has empowered consumers to access information, research products, and express their opinions with ease. They can actively seek out brands that align with their values and preferences, bypassing traditional advertising channels if they choose. • Interactive Communication Channels: Social media, review platforms, and online communities provide consumers with platforms to voice their opinions, share experiences, and engage directly with brands. This two-way communication allows consumers to influence brand perception and shape marketing strategies through their feedback and interactions. • Personalized Experiences: Advances in data analytics and marketing automation enable brands to deliver personalized content and experiences tailored to individual consumer preferences. By analyzing consumer behavior and engagement metrics, brands can anticipate needs, provide relevant recommendations, and create more meaningful connections with their audience. An example from my own experience that supports the contention that marcom is becoming increasingly consumer-centric is the rise of influencer marketing: Influencer marketing leverages individuals with large and engaged followings on social media platforms to promote products or services to their audience. Instead of relying solely on traditional advertising methods, brands collaborate with influencers who resonate with their target demographic to authentically endorse their offerings. As a consumer, I've observed how influencer marketing has transformed my purchasing decisions. When I see an influencer I trust and admire recommend a product or service, I'm more inclined to consider it than if I were exposed to a traditional advertisement. Influencers often provide genuine reviews, testimonials, and demonstrations that resonate with their followers, creating a sense of authenticity and trust that traditional advertising may lack. Moreover, influencers often encourage direct interaction with their audience, inviting them to ask questions, share their own experiences, and provide feedback. This level of engagement further empowers consumers to play an active role in shaping the conversation around a brand or product. Overall, the rise of influencer marketing exemplifies how marketing communications are increasingly driven by consumer preferences, behaviors, and interactions. Brands recognize the importance of aligning with consumer influencers and empowering consumers to participate in the marketing process, ultimately leading to more authentic and effective communication strategies. What steps can marketing communicators take to allow consumers to exercise their control of when, where, and how they receive brand messages? Provide specific examples to support your answer. Answer: Using technologies such as the Internet and the other electronic media consumers seek the information about product services that they want—via online searches, blogging, emailing, text messaging, and social networking in outlets such as Facebook and YouTube—rather than being mere captives of the messages that marketing communicators want them to receive. As marketers, it is important to create sites that target these consumers and provide them with opportunities to engage in brand centric interactions. Based on your experiences and those of close friends with whom you discuss such matters, what might be the future role of social networking outlets (e.g., Facebook and YouTube) in disseminating brand information? On the basis of your experience, is most brand-related information that appears on these sites positive or negative? Answer: Students should understand the increasing role that these relatively new media play in shaping consumers understanding and their attitudes about brands. The future role of social networking outlets like Facebook and YouTube in disseminating brand information is likely to continue evolving as these platforms adapt to changes in consumer behavior and technological advancements. Based on my experiences and discussions with close friends, several trends and predictions can be made regarding the future role of these platforms: • Increased Integration of E-commerce: Social networking outlets are likely to further integrate e-commerce features, allowing users to discover and purchase products directly within the platform. This trend has already begun with the introduction of features like Facebook Shops and Instagram Checkout, which streamline the shopping experience for users and create new opportunities for brands to reach consumers. • Video Dominance: Video content, particularly on platforms like YouTube, is expected to play an even more significant role in brand marketing. With the growing popularity of short-form video content and the rise of platforms like TikTok, brands are likely to focus more on creating engaging video content to capture the attention of audiences and convey their brand messages effectively. • Personalized Recommendations: Social networking outlets will continue to leverage data analytics and machine learning algorithms to deliver personalized recommendations to users. Brands will have the opportunity to target their advertising efforts more precisely based on users' interests, demographics, and online behaviors, enhancing the relevance and effectiveness of brand-related information. Regarding the nature of brand-related information on these sites, it varies significantly depending on several factors: • User-generated Content: Social networking outlets facilitate the creation and sharing of user-generated content, which can include both positive and negative sentiments towards brands. User reviews, testimonials, and experiences contribute to a diverse range of brand-related information on these platforms. • Brand Content Strategy: Brands themselves play a crucial role in shaping the tone and perception of their brand-related information on social networking outlets. Positive brand content, such as product announcements, success stories, and promotional campaigns, is commonly shared to engage and attract consumers. However, negative brand-related information, such as customer complaints, negative reviews, or controversies, can also spread quickly on these platforms and potentially impact brand reputation. • Algorithmic Influence: The algorithms used by social networking outlets to curate users' feeds and recommend content may also influence the visibility of brand-related information. Positive or engaging content is more likely to be prioritized and amplified, while negative or less engaging content may receive less visibility. Overall, while social networking outlets offer immense opportunities for brands to disseminate brand information and engage with consumers, the nature of brand-related information on these sites can vary widely, encompassing both positive and negative sentiments. As these platforms continue to evolve, brands must adapt their strategies to effectively navigate and leverage the dynamic landscape of social media marketing. Explain the meaning of 360-degree branding. What are the advantages and potential disadvantages of such a practice? Answer: 360-degree branding suggests that a brand should be everywhere the target market goes. The brand message should be at every possible contact point with the target audience. The advantage of this approach is it allows them to use whatever information about the brand is most useful to them. The potential disadvantages include burnout or over exposure with a message to the extent that the target audience becomes numb or uninterested with the brand. The following quote from an advertising executive appeared in the chapter in the section under key IMC feature #2: “At the end of the day, [marcom agencies] don’t deliver ads, or direct mail pieces, or PR and corporate identity programs. We deliver results.” Explain what you think this executive meant in making this statement. Answer: The specific tools of marcom that are used to promote a brand are less important than the results that the combination of tools used by an agency delivers. Consumers do not respond to the tools, they respond to the message that the tool communicates. If the message resonates with the target audience, they should be moved to the desired action or intent of the message. One key feature of IMC is the emphasis on affecting behavior and not just its antecedents (such as brand awareness or favorable attitudes). For each of the following situations, indicate the specific behavior(s) that marketing communications might attempt to affect: (a) your university’s advertising efforts; (b) a professional baseball team’s promotion for a particular game; (c) a not-for-profit organization’s efforts to recruit more volunteers; and (b) Gatorade’s sponsorship of a volleyball tournament. Answer: An objective of marketing communications for each of the above could be: a. High school students could obtain, fill out, and send in applications for admission. b. Individuals who represent a group call an 800 number, order tickets for the game, and pay for them using a charge card. c. Individuals call a phone number and inquire about participation in volunteer activities. Individuals could submit donations as a result of a direct-mail solicitation. d. Individuals purchase a bottle of Gatorade for home consumption or attend the tournament and are exposed to Gatorade signage. Assume you are in charge of advertising a product that is marketed specifically to college students. Identify seven contact methods (include no more than two forms of mass media advertising) you might use to reach this audience. Answer: 1. Sponsor a school activity, such as a sporting event, Greek activity, academic club, or intramural event. 2. Advertise on the university TV and/or radio channel. 3. Advertise in a school publication, such as the school newspaper or yearbook. 4. Advertise in areas that are popular with college students, such as the local eateries, bars, or even the local laundry mat. 5. Publish and distribute guides that are of interest to students, such as how to choose a graduate program or how to select a career. 6. Produce and distribute give-aways that are of interest to students, such as “cool coffee mugs, beverage containers, even reusable grocery bags or laundry bags. 7. Visit classrooms with presentations on how to write a resume or how to start your career search. 8. Post signage on bulletin boards in dorms, classroom buildings, and other common spaces frequented by students. Objectives and budgets are necessarily interdependent. Explain this interdependency and provide an example to support your point. Answer: The tasks a manager hopes to accomplish are necessarily constrained by the amount of available resources. Similarly, budgets should be established in view of the objectives that must be accomplished—more ambitious objectives require larger budgets. Hence, both of these general decisions require close coordination. Student-type example: “I want to obtain an MBA degree from a prestigious institution; however, my present finances won’t allow me to accomplish this objective, so I’ll have to work for a year or so to accumulate enough funds to support my education.” Another way to state this: “Although I’d like to get an MBA degree from a prestigious institution, my finances won’t afford it; therefore, I need to revise my objective and attend a lesser institution.” Brand positioning and targeting also are necessarily interdependent. Explain this interdependency and provide an example to support your point. Answer: A brand’s position represents the key feature, benefit, or image that it stands for in the target audience’s collective mind. A brand’s positioning statement is the central idea that encapsulates a brand’s meaning and distinctiveness vis-à-vis competitive brands in the product category. Positioning decisions are made with respect to intended targets, and targeting decisions are based on a clear idea of how brands are to be positioned and distinguished from competitive offerings. An example to illustrate this interdependency is the promotion of a university. A message targeted to parents would most likely feature different benefits than one targeted to high school students. Parents might be more interested in the ranking of the school, safety for their children, and placement opportunities. Students might be more interested in social aspects of college life, such as football and Greek life. What is the distinction between top-down (TD) and bottom-up (BU) budgeting? Why is BUTD used in companies that are more marketing oriented, whereas TDBU is found more frequently in finance-driven companies? Answer: TD budgeting is used when senior management decides how much each subunit should receive. BU budgeting takes place when managers of subunits determine how much is needed to achieve their objectives, and these amounts are then combined to establish the total marketing budget. BUTD is used in marketing-oriented firms because lower-level managers (e.g., sales managers) know the market better than senior management and thus are in a better position to ascertain how much is needed to fend off competitive thrusts and achieve objectives. In financially-oriented firms, objectives are typically set at top organization level, which makes setting budgets at the top compatible with the set objectives. Why do you think that the trend in marcom budgeting is toward increased expenditures on promotions and reduced advertising spending? Answer: Due to the increased emphasis on affecting behavior and accountability, sales promotion is the marcom tool most likely to affect behavior, and results can be measured more easily than those for other forms of marcom, such as advertising. Explain the concept of momentum, and offer an account as to why momentum is important for a specific brand of your choosing Answer: The word momentum refers to an object’s force or speed of movement—its impetus. The effectiveness of marcom efforts requires both a sufficient amount of effort and continuity of that effort. Red Bull, for example, has no differential advantage other than its brand name. The product easily could be (and is being) copied. Momentum is using marcom to keep the brand in consumers’ minds and reinforce existing associations with the brand. Assume you are in charge of fund-raising for an organization on your campus—a social fraternity or sorority, a business fraternity, or any other suitable organization. It is your job to identify a suitable project and to manage the project’s marketing communications. For the purpose of this exercise, identify a fund-raising project idea and apply the subset of the model involving fundamental decisions. In other words, explain how you would position your fund-raising project, whom you would target, what objective(s) you would set, and how much (ballpark figure) you would budget for marcom efforts. Answer: The fundamental decisions required in the marcom decision process include: targeting, positioning, setting objectives, and budgeting. An example of a fund-raising project could be to raise awareness of and funds for the local boys and girls club. Students should state who their target audience will be for their project (e.g., other students, community at large, local businesses, etc.). Along with that, they must determine the positioning statement, which is the central idea that encapsulates the project’s meaning and distinctiveness vis-à-vis other competing fund-raising activities. Students must then set objectives for their fund-raising project, such as a dollar amount they wish to raise. Finally, they need to determine how much to budget for marcom efforts. One way is to use the bottom-up approach and determine how much is needed to achieve their objective. Another way is to use the top-down approach and ask the officers of their organization for an amount they can have to budget for their activities. ENHANCING BRAND EQUITY AND ACCOUNTABLITY Answers to Discussion Questions With reference to the Marcom Insight segment that opened the chapter and in view of the detailed section on brand equity later in the chapter, explain why brand awareness is a necessary but insufficient indicator of brand equity. Answer: Brand equity consists of two forms of brand-related knowledge: brand awareness and brand image. Without awareness consumer cannot form opinions about a brand. The opinion, or brand image is based upon the favorability, the strengths, and the uniqueness of the associations consumers have of a brand. Those associations maybe based on the actual attributes of the brand, the benefits they receive from it, and their overall evaluation or attitude toward the brand. Using the framework in Figure 2.2, describe all personal associations that the following brands hold for you: (a) Harley-Davidson motorcycles, (b) Groupon couponing service, (c) Burton snowboards, (d) The Onion newspaper, (e) basketball player LeBron James, and (f) the MINI Cooper automobile Answer: Brand image can be thought of in terms of the types of associations that come to the consumer’s mind when contemplating a particular brand. An association is simply the particular thoughts and feelings that a consumer has about a brand, and students’ answers will vary for this question. These associations can be conceptualized in terms of type, favorability, strength, and uniqueness. The type of brand associations can be based on the brand’s attributes, both product-related (e.g., color, size, design features) and non-product-related (e.g., price, packaging, user and usage imagery), the brand’s benefits (e.g., functional, symbolic, experiential), and consumers’ overall evaluation, or attitude, toward the brand. 1. Harley-Davidson Motorcycles: • Attributes: Iconic design, powerful engines, loud exhaust, freedom, rebellion. • Benefits: Sense of adventure, thrill of the open road, camaraderie among riders. • Values: Individualism, authenticity, craftsmanship, American heritage. • Culture: Motorcycle clubs, rallies, biker lifestyle, customization. • Personality: Bold, rugged, independent, adventurous. • User: Enthusiasts, rebels, adventurers, individuals seeking freedom and self-expression. 2. Groupon Couponing Service: • Attributes: Discounted deals, variety of offerings, convenience, savings. • Benefits: Cost savings, access to experiences and products at a discounted price. • Values: Frugality, value-consciousness, accessibility. • Culture: Online shopping, bargain hunting, exploring new experiences. • Personality: Practical, thrifty, opportunistic. • User: Value-conscious consumers, bargain hunters, individuals seeking discounted experiences or products. 3. Burton Snowboards: • Attributes: Innovative designs, high-performance snowboards and gear, youthfulness. • Benefits: Thrill of snowboarding, enhanced performance on the slopes, style. • Values: Innovation, creativity, passion for snowboarding. • Culture: Snowboarding culture, adrenaline-fueled adventures, outdoor lifestyle. • Personality: Adventurous, edgy, youthful, innovative. • User: Snowboarders, outdoor enthusiasts, individuals passionate about winter sports. 4. The Onion Newspaper: • Attributes: Satirical content, humor, parody news stories. • Benefits: Entertainment, laughter, satire on current events. • Values: Wit, humor, irreverence, skepticism. • Culture: Satire enthusiasts, internet culture, media criticism. • Personality: Witty, irreverent, tongue-in-cheek. • User: Fans of satire, individuals with a sense of humor, those critical of mainstream media. 5. Basketball Player LeBron James: • Attributes: Athleticism, skill, leadership, versatility. • Benefits: Spectacular basketball performances, inspiration, entertainment. • Values: Excellence, determination, teamwork, philanthropy. • Culture: Basketball fandom, sportsmanship, celebrity culture. • Personality: Charismatic, competitive, influential, philanthropic. • User: Basketball fans, sports enthusiasts, individuals inspired by excellence and leadership. 6. MINI Cooper Automobile: • Attributes: Compact size, unique design, nimble handling, British heritage. • Benefits: Fun driving experience, fuel efficiency, style. • Values: Individuality, creativity, urban mobility. • Culture: MINI Cooper clubs, urban lifestyle, design-conscious consumers. • Personality: Playful, stylish, quirky, innovative. • User: Urban dwellers, design enthusiasts, individuals seeking a unique driving experience. An ex-CEO of PepsiCo, was quoted in the text as saying, “In my mind the best thing a person can say about a brand is that it’s their favorite.” Identify two brands that you regard as your favorites. Describe the specific associations that each of these brands holds for you and thus why they are two of your favorites. Answer: Students should realize that associations are not just with immediate obvious product benefits (most will probably name some snack food as one) such as taste, but also with other product benefits such as packaging (a water bottle with a sports cap), accessibility or convenience (e.g., a candy machine near their dorm room or class), price (e.g., they can afford it), and usage context (e.g., coffee with friends). The ability of products to make the consumer an "expert" is also an interesting benefit for students who name some health and beauty aid, such as a hair shampoo, and give a very specific benefit of how the product works for them (e.g., helps relax tangled hair). Provide examples of brands that in your opinion are positioned in such a way as to reflect the five personality dimensions: sincerity, excitement, competence, sophistication, and ruggedness. Answer: Examples: Sincerity: Hallmark Greeting Cards Excitement: Victoria’s Secret Competence: Norton Anti Virus Sophistication: Talbots Ruggedness: Timberland boots Provide several examples of co-branding or ingredient branding other than those presented in the chapter. Answer: Some examples of co-branding include: Hershey Foods and General Mills making the breakfast cereal “Reese’s Peanut Butter Puffs,” MicroSoft and NBC (MSNBC), Visa and the United Airlines Mileage Plus Program. Some examples of ingredient branding include: Gore-Tex material in sport and outdoor clothing, Splenda in the new Coke Zero, Teflon in cookware, Thinsulate in clothing, Kevlar in clothing, and NutraSweet in soft drinks. When discussing brand equity from the firm’s perspective, it was explained that as the equity of a brand increases, various positive outcomes result: (1) a higher market share, (2) increased brand loyalty, (3) ability to charge premium prices, and (4) capacity to earn a revenue premium. Select a brand you are particularly fond of and explain how its relatively greater equity compared to a lesser brand in the same product category is manifest in terms of each of these four outcomes. Answer: Students can select any number of brands to answer this question, and one they might select is Coca-Cola soft drink. Coke has the highest market share in the cola category, some consumers will only purchase Coke instead of other brands of cola, even if they are on sale, Coke is more expensive than lesser brands, such as RC Cola and store brands, and thus, Coke enjoys a revenue premium. Revenue premium is defined as the revenue differential between a branded item and a corresponding private labeled item, so students should discuss the brand they selected with respect to private label, or store, brands. With revenue equaling the product of a brand’s net price x volume, a branded good enjoys a revenue premium over a corresponding private labeled item to the degree it can charge a higher price and/or generate greater volume. Compare and contrast the speak-for-itself and message-driven approaches to enhancing brand equity Answer: With the speak-for-itself approach, consumers form brand-related associations (positive or negative) merely by consuming a brand absent any significant brand knowledge prior to the usage experience. Thus through the consumption experience, the brand informs consumers of its quality, desirability, and suitability for satisfying their consumption-related goals. With the message-driven approach marcom practitioners attempt to build positive brand-related associations through creative messages that are attention getting, believable, and memorable. Each of these approaches should be independent. Through a consumers first-hand experience with a brand it should speak-for-itself with a message consistent with the message-driven approach. Select a brand of vehicle (automobile, truck, motorcycle, SUV, etc.) and with this brand describe the type, favorability, strength, and uniqueness of brand associations that you hold in memory for this brand. Do the same for the brand’s differentiation, relevance, esteem, and knowledge that hit holds for you. Answer: Students should answer this question along the lines of the illustration given in the chapter of Henry and the McDonald’s fast-food chain. Brand Associations: • Type: Tesla is an electric vehicle (EV) manufacturer known for its innovative technology and sleek designs. • Favorability: Generally, Tesla holds a highly favorable position due to its focus on sustainability, cutting-edge features, and strong brand image. • Strength: Tesla's brand strength lies in its disruptive approach to the automotive industry, leading in EV technology, and its charismatic CEO, Elon Musk. • Uniqueness: Tesla is often associated with being the pioneer of mainstream electric vehicles, offering long-range capabilities, over-the-air updates, and autonomous driving features. Brand Differentiation: • Differentiation: Tesla differentiates itself from traditional automakers by solely focusing on electric vehicles and pushing the boundaries of innovation in the industry. • Relevance: In today's world, with increasing concerns about climate change and environmental sustainability, Tesla's focus on electric vehicles makes it highly relevant. • Esteem: Tesla enjoys a high level of esteem due to its premium branding, perceived quality, and association with cutting-edge technology. • Knowledge: Tesla is known for its technological prowess, including advancements in battery technology, self-driving capabilities, and energy storage solutions. These associations and attributes contribute to Tesla's strong brand perception and market position as a leader in the electric vehicle industry. What are your reactions to the application of neuroscience to marketing (neuromarketing) that was described in the IMC Focus? Do you consider this technique ethical? Do you fear that with the knowledge obtained from its application marketers will be able to manipulate consumers? Answer: The application of neuroscience to marketing described in the IMC Focus really serves to illustrate the importance of building brand equity through various marketing and marcom processes. It seems to validate that consumers’ preferences can be influenced by these activities. The IMC Focus illustrated that consumers preferred Pepsi when they did not know the brands they tasted, but they preferred Coke when they did know, seemingly because of all the strong and positive associations they had with the Coke brand. The real ethical question comes down to whether or not it is ethical for marketing to influence consumers’ preferences for a brand they would not have chosen based on actual experience but no knowledge of brand associations. Describe the leveraging strategy for enhancing brand equity. Take a brand of your choice and, with application of Figure 2.5, explain how that brand could build positive associations, thereby enhancing its equity, by linking itself to (a) places, (b) things, (c) people, and (d) other brands. Be specific. Answer: The leveraging strategy for enhancing brand equity holds that brand associations can be shaped and equity enhanced by leveraging positive associations already contained in the world of people, places, and “things” that are available to consumers. The culture and social systems in which marketing communications takes place are loaded with meaning. Through socialization, people learn cultural values, form beliefs, and become familiar with the physical manifestations, or artifacts, of these values and beliefs. Marcom practitioners can leverage meaning, or associations, for their brands by connecting them with other objects that already possess well-known meaning. Students can select any brand to answer this question, and they should be aware that (a) “places” can refer to country of origin or channels, (b) “things” include events, causes, and third party endorsements, (c) “people” refers to employees and endorsers, and (d) “other brands” includes things such as alliances, ingredients, company, and extensions. What does it mean to say that marketing communications should be directed, ultimately, at affecting behavior rather than merely enhancing equity? Provide an example to support your answer. Answer: Marketing communications are directed communications from a marketer to a target audience with a goal of changing or affecting behaviors. While enhancing equity is important as it implies that consumers have awareness of, and favorable attitudes toward a brand, it does not necessarily mean that consumers will act. As with the example in the text, consumers are aware of the dangers of smoking, and believe that smoking is bad for them; yet, new consumers take up smoking every year. The real goal of anti-smoking campaigns is to convince people to either quit smoking or not to take up smoking at all. Why is demonstrating financial accountability an imperative for marcom practitioners? Answer: Two primary motivations underlie the increased focus on measuring marketing performance. The first is from the CEO, the Board, and other executives putting greater demand for accountability on the marketing function. A second reason is that CMOs must get better at what they do because it is becoming increasingly difficult to justify expenditures without knowledge of what works and what doesn’t. Assume that your college or university has had difficulty getting nonstudent residents in the local community to attend basketball games. Your school’s athletic director requests that an organization you belong to (say, a local chapter of the American Marketing Association) develop an advertising program that is to be targeted to local residents to encourage them to attend basketball games. What measures/metrics could you use to assess whether the advertising program you developed has been effective? How might you assess the ad campaign’s ROMI? Answer: One metric could be the number of non-student tickets sold for each game throughout the season. One way to assess the effects of the marcom program is to use marketing-mix modeling. The data for each period could be the non-student attendance at each game along with corresponding advertising and promotion expenditures for each program element during the time leading up to a given game. While just looking at game attendance will let you know how successful the over-all marcom program was, marketing mix modeling will allow you to determine the relative effectiveness of each marcom element. BRAND ADOPTION, BRAND NAMING, AND INTELLECTUAL PROPERTY ISSUES Answers to Discussion Questions Sugar-substitute products have been available for years. The two historically leading brands in this category are Equal (blue package) and Sweet ’N Low (pink package). More recently, a yellow-packaged product named Splenda was introduces. The company that markets this brand claims that is it “made from sugar, so it tastes like sugar.” Using Splenda for illustration, explain the process by which marketing variables can influence consumer to become part of the awareness, trier, and repeater classes for this brand (refer to Figure 3.1). Answer: Awareness can be influenced by free samples and coupons, trade shows and personal selling (B2B), advertising, distribution. Coupons, distribution, and price are the factors that affect the trier class. Repeat purchasing, demonstrated by the repeater class, is a function of five primary forces: personal selling, advertising, price, distribution, and product satisfaction. What determines whether a new product or service has relative advantages over competitive offerings? Identify the relative advantages of each of the following: disposable cameras, hybrid automobiles, computer tablets, 3D TVs. Given that each of the above products also has relative disadvantages compared to its predecessor product, present a general statement (i.e., a statement with universal applicability) that would explain why consumers are willing to adopt new products even though they almost invariably have relative disadvantages. Answer: A relative advantage is any product feature or benefit that consumers regard as meaningfully differentiating one brand or product from competitive options. The advantage may be a tangible product characteristic (e.g., durability) or be entirely subjective (e.g., prestige). In any event, relative advantage is what the consumer perceives and not just what the marketer considers to be an advantage. For example, the most obvious advantage of disposable cameras is the ability to achieve the primary product function of picture taking without having to worry about losing an expensive camera. Hence, the novice photographer and even the serious photographer can take a disposable camera on vacation or to a location where there is concern about damaging an expensive conventional camera. A disadvantage is less flexibility in taking pictures. The relative advantage of hybrid automobiles is better gas mileage, and for 3D TVs, it’s the quality of the picture. Both of these products, however, are more expensive than traditional alternatives. Students should develop a general statement along these lines: "All consumer behavior involves tradeoffs to one degree or another. Consumers accept some relative disadvantages provided the advantages are perceived as meaningfully outweighing the disadvantages. Furthermore, consumers are never all alike and subgroups will have specific functional and psychological needs better met by one product than another and thus they will differentially value specific benefits.” Pick a new product or service of your choice and describe in detail how that product or service satisfies, or fails to satisfy, the following success requirements: relative advantages, compatibility, communicability, trialability, and observability. Note: For the purposes of this assignment, it is better to select a brand that represents an innovative product category rather than a simple extension of an established category. Answer: Student answers should realize that their view of a product may not be the same as other potential members of a target market, or for different target markets. For example, a student may see no real differential advantage in a hybrid car other than slight savings on gas. However the psychological benefit of feeling “green” might be positive to a different type of customer. Another potential issue for students is choosing products that they really like and/or choosing new products with which the student is already familiar. This may cause them to miss how difficult the product’s benefits are to convey to potential consumers who are not familiar with the product and/or key benefits. Let's consider the new product of "VR-based Fitness Training Platform" for this analysis: 1. Relative Advantages: • Satisfying the requirement: VR-based fitness training platforms offer several relative advantages over traditional fitness methods. They provide immersive experiences that make workouts more engaging and enjoyable, leading to increased motivation and adherence to exercise routines. Additionally, they can offer a wide variety of workouts and environments, catering to different preferences and fitness levels. • Potential failure: If the VR platform doesn't offer significantly better results or experiences compared to traditional methods, users may not see the relative advantage, and adoption could be limited. 2. Compatibility: • Satisfying the requirement: VR fitness platforms need to be compatible with various VR headsets and controllers to reach a broad audience. They should also integrate seamlessly with existing fitness routines and equipment, allowing users to incorporate VR workouts into their current regimen. • Potential failure: If the VR platform is only compatible with specific VR hardware or requires extensive setup, it may limit its accessibility and adoption. 3. Communicability: • Satisfying the requirement: Successful VR fitness platforms should effectively communicate the benefits of their technology through marketing efforts, user testimonials, and demonstration videos. Clear messaging about how VR enhances workouts and improves fitness outcomes can attract more users. • Potential failure: If the benefits of VR fitness are not effectively communicated, potential users may not understand why they should try the platform, leading to low adoption rates. 4. Trialability: • Satisfying the requirement: Offering free trials or demo versions of the VR fitness platform allows users to experience the technology firsthand before committing to a subscription or purchase. This enables users to assess whether the platform meets their needs and preferences. • Potential failure: If the platform does not offer trial options or if the trial experience does not adequately showcase the benefits of VR fitness, users may be hesitant to invest in the full version. 5. Observability: • Satisfying the requirement: VR fitness platforms should provide users with measurable feedback on their progress and performance during workouts. This could include tracking metrics such as calories burned, heart rate, and improvement over time. Additionally, features like social sharing and leaderboards can make fitness achievements more visible and encourage continued engagement. • Potential failure: If the platform lacks feedback mechanisms or visibility features, users may struggle to track their progress and stay motivated, leading to disengagement. By considering these success requirements, developers of VR fitness platforms can enhance their product's appeal and increase its chances of success in the market. Assume you work for a company that is in the business of creating brand names for clients. One of your clients is a major automobile company. This company is in the process of introducing a new electric automobile to compete against Nissan’s all-electric Leaf and Chevy’s combination electric/gas Volt. Your task is to develop a name for this new automobile, either a real dictionary-word name or a made-up name along the lines of Lexus or Acura. Present and justify your choice of brand name. Answer: Students should be encouraged to follow the brand-naming process, which is (1) specify objectives for the brand, (2) create candidate brand names, (3) evaluate candidate names, (4) choose a brand name, and (5) register a trademark. While students will come up with a suggestion, they should be encouraged to satisfy four requirements of good brand names: (1) distinguish the brand from competitive offerings, (2) describe the brand and its attributes or benefits, (3) achieve compatibility with a brand’s desired image and with its product design or packaging, and (4) be memorable and easy to pronounce. Perform the same exercise as in question 4, but now develop a brand name for a new brand of soy milk. Perhaps the best-known brand in this category is named Silk, which obviously is a conjunction of soy and milk. Answer: The answer in question 4 applies here as well, but this question is also getting at the concept of morphemes, which are semantic kernels of words. Select a product category of personal interest and analyze the brand names for three competitive brands in that category. Analyze each brand name in terms of the fundamental requirements that were described in the chapter. Order the three brands according to which has the best, next best, and worst brand name. Support your ranking with specific reasons. Answer: The four requirements of good brand names are: (1) distinguish the brand from competitive offerings, (2) describe the brand and its attributes or benefits, (3) achieve compatibility with a brand’s desired image and with its product design or packaging, and (4) be memorable and easy to pronounce. Based on your personal experience in using smartphones, propose a design change for a new smartphone that, in your view, would make it a success among consumers in your age group. Based on the new attributes/benefits that your proposed smartphone would possess, provide a brand name for the phone and justify your rationale for this name. Answer: Student should recognize that a smartphone is essentially a package for audio-communications. Designs should be created following the steps for designing a package: step 1: specify brand-positioning objectives; step 2: conduct a product category analysis; step 3: perform a competitive analysis; step 4: identify salient brand attributes and benefits; and step 5: determine communication priorities. For the brand name, as in question 6, students should justify their brand name using the requirements of a good brand name: (1) distinguish the brand from competitive offerings, (2) describe the brand and its attributes or benefits, (3) achieve compatibility with a brand’s desired image and with its product design or packaging, and (4) be memorable and easy to pronounce. A Boston diamond wholesaler developed a special way for cutting diamonds that gives diamonds perfect symmetry and extra sparkle. The wholesaler developed a viewing device (called the proportion scope) that allows consumers to see a diamond with eight perfect hearts and eight arrows when they peer through the scope. The inventor of this specially cut diamond gave his gems the brand name Hearts on Fire. Evaluate this name by applying concepts from the chapter. Propose an alternative name. Answer: The four requirements of good brand names are: (1) distinguish the brand from competitive offerings, (2) describe the brand and its attributes or benefits, (3) achieve compatibility with a brand’s desired image and with its product design or packaging, and (4) be memorable and easy to pronounce. Students should be encouraged to follow the brand-naming process, which is (1) specify objectives for the brand, (2) create candidate brand names, (3) evaluate candidate names, (4) choose a brand name, and (5) register a trademark. SUVs have names such as the Ford Explorer, Chevy Tahoe, Nissan Armada, Mercury Mountaineer, Lincoln Navigator, Infinity QX-4, Jeep Wrangler, Toyota Highlander, Cadillac Escalade, and so on. Suppose you worked for an automobile company and that your company developed an SUV that was marketed as safer and more fuel efficient than other SUVs. What would you name this vehicle? What is your rationale for this name? Answer: Students should be encouraged to follow the brand-naming process, which is (1) specify objectives for the brand, (2) create candidate brand names, (3) evaluate candidate names, (4) choose a brand name, and (5) register a trademark. The four requirements of good brand names are: (1) distinguish the brand from competitive offerings, (2) describe the brand and its attributes or benefits, (3) achieve compatibility with a brand’s desired image and with its product design or packaging, and (4) be memorable and easy to pronounce. Identify several brand logos other than those illustrated in this chapter and indicate why, in your view, these are effective logos. Answer: Students should be able to identify logos that embody the rule of thumbs generally associated with a good logo: (1) recognized readily, (2) convey the same meaning to all target members, and (3) evoke positive feelings. Students may also include elements such as color, shape, and proportions as contributing elements. Search online for recent cases involving the following trademark infringements and lost trademark rights: trademark counterfeiting, trademark disparagement and/or dilution, and genericness (common descriptive work). What might have the trademark owners done differently to protect their rights in each case? Answer: Depending upon what cases they find and select for this exercise. The instructor should ensure that the students identify the factors which are commonly used to examine the likelihood of confusion in trademark cases and use those factors to help the students identify ways the brand could best protect its mark. These factors are sometimes referred to as the “Polaroid Factors,” which include mark strength, degree of similarity to other marks, product proximity, mark quality, and buyer sophistication. 1. Trademark Counterfeiting: • Trademark counterfeiting involves the unauthorized use of a trademark that is identical or substantially similar to a registered trademark, typically on counterfeit goods. • Trademark owners can protect their rights by actively monitoring the market for counterfeit products, conducting investigations to identify counterfeiters, and taking legal action against infringers through cease and desist letters, civil lawsuits, and collaboration with law enforcement agencies. • Implementing anti-counterfeiting measures such as holograms, serial numbers, and tracking systems on products can also help deter counterfeiters and protect the integrity of the brand. 2. Trademark Disparagement and/or Dilution: • Trademark disparagement occurs when a trademark is used in a way that tarnishes or diminishes its reputation or goodwill. Trademark dilution involves the unauthorized use of a famous trademark in a way that blurs its distinctiveness or harms its reputation. • Trademark owners can protect against disparagement and dilution by monitoring the use of their trademarks in the marketplace and taking prompt action against any unauthorized or misleading uses. This may include sending cease and desist letters, filing trademark infringement lawsuits, and seeking injunctive relief to prevent further harm to the brand. • Building and maintaining a strong brand reputation through quality products, effective marketing, and positive customer experiences can also help mitigate the risk of disparagement and dilution. 3. Genericness (Common Descriptive Word): • Genericness occurs when a trademark becomes the common descriptive term for a particular product or service, thereby losing its distinctiveness and trademark protection. • Trademark owners can prevent their trademarks from becoming generic by using them consistently as adjectives rather than nouns, educating the public about the proper use of the trademark, and enforcing their rights against unauthorized generic use. • Developing and promoting distinctive features of the trademark, such as logos, slogans, and packaging, can also help reinforce its distinctiveness and prevent genericness. • Regularly monitoring the marketplace for unauthorized generic use of the trademark and taking legal action against infringers can also help protect against genericide. In each of these cases, proactive measures such as monitoring, enforcement, education, and brand building are essential for protecting trademark rights and preventing infringement or loss of rights. Solution Manual for Advertising Promotion and Other Aspects of Integrated Marketing Communications Craig J. Andrews, Terence A. Shimp 9781111580216, 9788131528242, 9781133191421, 9781337282659