CH-8 Objective Setting and Budgeting – Advertising Promotion and Other Aspects of Integrated Marketing Communications : Book Guide

OBJECTIVE SETTING AND BUDGETING Answers to Discussion Questions It can be argued that creating an expectation is the most important function many advertisements and other marcom messages perform. Provide examples of two online advertisements that illustrate advertisers’ attempts to create expectations. Offer explanations of what expectations the advertisers are attempting to forge in their audiences’ minds. Answer: This assignment should be given a few days before class discussion. Here are two examples of online advertisements that aim to create expectations: Example 1: Apple - iPhone Launch Event Teaser Advertisement: Apple releases a teaser video on its website and social media platforms announcing an upcoming iPhone launch event. Expectation Created: The advertiser is attempting to forge the expectation of innovation, excitement, and anticipation in the audience's minds. By teasing the launch event without revealing specific details, Apple builds anticipation and generates curiosity about the new features and improvements that the latest iPhone model will offer. The audience expects that Apple will unveil groundbreaking technology or design enhancements, based on the company's reputation for innovation and the hype surrounding its product launches. Example 2: Nike - "Just Do It" Campaign Advertisement: Nike releases a series of online ads featuring athletes of various ages, genders, and abilities engaging in sports and physical activities. Expectation Created: The advertiser is attempting to forge the expectation of empowerment, determination, and achievement in the audience's minds. Through inspirational storytelling and powerful imagery, Nike communicates the message that anyone can pursue their goals and overcome obstacles with the right mindset and dedication. The audience expects that by wearing Nike products, they can embody the same attributes of excellence and success as the athletes featured in the ads. Chapter 5 was devoted to the topic of marcom segmentation, targeting, and positioning. Offer an explanation of the similarity between the concepts of positioning and creating expectations. Answer: An expectation from the consumer’s perspective is based on how the brand has been positioned. Positioning and creating expectations are similar concepts in marketing communications because they both involve shaping how a brand is perceived by its target audience. While they operate at different stages of the marketing process, they share the common goal of influencing consumer perceptions and behaviors. 1. Positioning: • Positioning refers to the process of establishing a distinct and desirable position for a brand in the minds of consumers relative to competitors. It involves identifying and communicating the unique attributes, benefits, and value propositions of a brand that differentiate it from others in the market. • The goal of positioning is to occupy a specific place in consumers' minds that is perceived as favorable and relevant to their needs and preferences. It helps to create a distinct identity for the brand and influences how consumers perceive its products or services. 2. Creating Expectations: • Creating expectations involves shaping consumers' anticipation or predictions about what they will experience or receive from a brand's products or services. It encompasses the promises, cues, and signals communicated by the brand through various marketing channels. • The goal of creating expectations is to align consumers' perceptions with the intended brand image and promises. It sets the stage for the consumer experience by establishing preconceived notions and anticipations about the brand's offerings. Similarities: • Both positioning and creating expectations are focused on influencing consumer perceptions and attitudes towards the brand. They involve crafting messages, images, and associations that resonate with the target audience and differentiate the brand from competitors. • Both concepts rely on effective communication strategies to convey the brand's unique value proposition, benefits, and qualities to consumers. Whether through advertising, packaging, branding elements, or other marketing communications channels, the goal is to shape how consumers perceive and interpret the brand. Conclusion: In summary, positioning and creating expectations are complementary concepts in marketing communications that work together to shape consumer perceptions and behaviors. While positioning focuses on establishing a distinct market position for the brand, creating expectations sets the stage for consumer experiences by shaping their preconceived notions and anticipations. By effectively leveraging both concepts, brands can build strong connections with consumers and drive favorable outcomes in the marketplace. Apply the hierarchy of marcom effects framework (see Figure 8.1) to explain the evolution of a relationship between two people, beginning with dating and culminating in a wedding. Answer: While students may get a little creative with this one, some key issues are how awareness of another leads to expectations, which are either confirmed, modified or disconfirmed. For example, a male may enter the relationship with no expectations of becoming married, only to find that this changes. Attitudes toward the significant other will also be a function of beliefs and the importance of those beliefs, with marriage being analogous to brand loyalty. Repeat question 3, but use a relatively obscure brand as the basis for your application of Figure 8.1. Along the lines of the Petetables illustration (see Figure 8.2), identify a relatively unknown brand and explain how marcom efforts must attempt to move prospective customers through the various hierarchy stages. Answer: The stages through which consumers move through the hierarchy should be consistent. The first step is to advance consumers from unawareness to awareness. Mere brand name awareness generally is not sufficient to get people to buy a brand, so advertising and other marcom elements must instill in consumers an expectation of what product benefit(s) they will obtain from buying and experiencing a brand. An expectation from the consumer’s perspective is based on how the brand has been positioned. The next step is encouraging trial purchases, and this is the role of the sales promotion component of marcom. Upon trying the brand for the first time, the consumer will form beliefs and attitudes, and subsequent marketing communications serve to reinforce these beliefs and attitudes. Finally, the ultimate goal is to accomplish brand loyalty. Certainly! Let's choose an obscure brand, "TrailBlaze Outdoor Gear," which specializes in outdoor equipment and apparel. Here's how marcom efforts for TrailBlaze Outdoor Gear might attempt to move prospective customers through the various hierarchy stages as illustrated in Figure 8.1: • Awareness Stage: At this stage, the goal is to make potential customers aware of the TrailBlaze brand and its offerings. Marcom efforts should focus on increasing brand visibility through various channels such as social media, outdoor magazines, and outdoor enthusiast forums. Tactics may include sponsored posts, display ads, and content marketing featuring captivating images of TrailBlaze products in action. • Knowledge Stage: Once potential customers are aware of the TrailBlaze brand, the next step is to provide them with information about the brand's products, features, and benefits. Marcom efforts should emphasize the unique selling points of TrailBlaze gear, such as durability, innovative design, and affordability. This could be achieved through detailed product descriptions, instructional videos, and user-generated content showcasing the performance of TrailBlaze products in real-world outdoor scenarios. • Liking Stage: After gaining knowledge about TrailBlaze products, the focus shifts to building a positive attitude or liking towards the brand. Marcom efforts should aim to evoke positive emotions and associations with the TrailBlaze brand through storytelling, user testimonials, and brand personality. This could involve highlighting the brand's commitment to environmental sustainability, community involvement, or supporting outdoor adventures for all skill levels. • Preference Stage: In the preference stage, the goal is to influence potential customers to prefer TrailBlaze products over competitors' offerings. Marcom efforts should emphasize the superiority of TrailBlaze gear in terms of performance, value, and overall satisfaction. This could involve comparative advertising, customer reviews and ratings, and endorsements from outdoor experts or influencers who attest to the quality and reliability of TrailBlaze products. • Conviction Stage: At this stage, the objective is to solidify the commitment of potential customers to purchase TrailBlaze products. Marcom efforts should address any remaining doubts or concerns by providing reassurance and confidence in the brand's offerings. This could involve offering risk-reversal guarantees, such as satisfaction guarantees or hassle-free returns, to alleviate fears of making a wrong purchase decision. • Purchase Stage: Finally, in the purchase stage, the focus is on facilitating the actual transaction and making it as seamless and convenient as possible for customers to buy TrailBlaze products. Marcom efforts should include clear calls-to-action directing customers to online or offline retail channels where TrailBlaze products are available for purchase. Special promotions, discounts, or limited-time offers may also be utilized to incentivize immediate purchase decisions. By strategically guiding potential customers through each stage of the hierarchy, TrailBlaze Outdoor Gear can effectively build brand awareness, knowledge, liking, preference, conviction, and ultimately drive purchase behavior among outdoor enthusiasts seeking high-quality and reliable outdoor gear options. Interview several other students on a recent purchase of theirs. Applying the principles of the Integrated Information Response Model (see Figure 8.3), which response pattern did they use—high involvement, low involvement, or continual switching? Answer: Student responses should utilize the three patterns discussed in the chapter: (1) cognition  affect  commitment, (2) minimal cognition  trial  affect  commitment, or (3) cognition  trial  trial  trial. In the first pattern, the consumer accepts the advertising claims. In the second pattern, the successful experience of the brand leads to liking and then commitment. In the third pattern, consumers keep switching brands. What reasons can you give for certain industries investing considerably larger proportions of their sales in advertising than other industries? Answer: Advertising expenditures in the food and pharmaceutical industries, as percentages of sales, are usually double what is spent in the automobile industry. Food and pharmaceutical companies must advertise proportionately more than automobile companies because the packaged goods items are less physically differentiated than automobiles, thereby requiring a greater amount of advertising to create brand differentiation and preferences. Furthermore, food and pharmaceuticals are items purchased without high involvement on the consumer’s part, which requires more continuous advertising to inform, persuade, and remind consumers to purchase the advertiser’s brand rather than a competitive brand. Another reason that automobile manufacturers, as well as makers of other expensive products, spend less on advertising than do advertisers of packaged goods is because manufacturing costs represent a large percentage of an automobile company’s cost structure, which places a limit on the amount of advertising that can be undertaken and still obtain necessary profit margins. Compare the difference between precisely wrong versus vaguely right advertising objectives. Give an example of each. Answer: The logic of "vaguely right versus precisely wrong" thinking contends that objectives should be set in terms of sales (albeit leading to vaguely right answers) rather than in terms of communication outcomes (leading to precisely wrong answers). Some critics contend that the use of the percentage-of-sales budgeting technique is illogical. Explain. Answer: The criticism goes as follows: When sales are anticipated to increase, advertising, when set as a percentage of sales, will also increase; however, the advertising budget will decrease when sales are expected to decrease. The criticism of the percentage-of-sales method emanates from this latter behavior. That is, instead of decreasing advertising when sales are anticipated to decline, a company should possibly increase advertising to prevent further sales erosion and to achieve more impact in the marketplace vis-à-vis the competition. Explain how an advertising budget setter could use two or more budgeting heuristics in conjunction with one another. Answer: It not only is possible, it is imperative. Slavish adherence to any single heuristic is naive and foolhardy. Sophisticated budget setters use multiple heuristics. For example, a company may use a specified percentage of sales as an initial basis for establishing its advertising budget, but then deviate from this first cut based on an evaluation of how much it will cost to accomplish the specific objectives and tasks it has established for its annual advertising efforts. In your own words, explain why it is extremely difficult to estimate sales-to-advertising response functions. Answer: The sales-to-advertising response function refers to the relationship between money invested in advertising and the response, or output, of that investment in terms of revenue generated. If marcom personnel could accurately estimate this function, then setting the advertising budget would be simple. However, because the S-to-A response function is influenced by a multitude of factors (i.e., the creativity of advertising execution, the intensity of competitive advertising efforts, the overall quality of the brand’s marketing mix, the state of the economy, etc.) and not solely by the amount of advertising investment, it is difficult to know with any certainty what amount of sales a particular level of advertising expenditure will generate. Established brands’ shares of market tend to exceed their advertising shares of voice, whereas unestablished brands’ SOVs often exceed their SOMs. Using the concept of competitive interference as your point of departure, explain these relationships. Answer: A brand’s advertising must compete for the consumer’s recall with the advertising from competitive brands, a situation of potential competitive interference. Unfamiliar brands that compete in an environment of advertising clutter are, in effect, at a competitive disadvantage in conveying their points of uniqueness vis-à-vis established brands, though even established brands themselves suffer from the effects of competitive interference. Construct a picture to represent your understanding of how the encoding variability hypothesis applies to an advertising context. Use an actual brand for illustration purposes. Answer: The encoding variability hypothesis contends that people’s memories for information are enhanced when multiple pathways, or connections, are created between the object to be remembered and the information about the object that is to be remembered. Advertising can create multiple pathways and thus enhance memory for the advertised information by varying: (1) the advertising message itself, and (2) the advertising medium in which the message is placed. A picture might depict a consumer surrounded by various media—television, radio, magazine, event—with coordinated, but varying, messages coming through each medium. OVERVIEW OF ADVERTISING MANAGEMENT Answers to Discussion Questions Describe circumstances when each of the five advertising functions described in the chapter might be more important than the others. Answer: The five functions are informing, persuading, reminding, adding value, and assisting other company efforts. Students should recognize that no one function is most important in all circumstances. The relative importance of functions depends on a product’s stage in the life cycle and the company’s objectives in advertising a product. Informing is generally the most important function for new products, but the other functions increase in importance as a product progresses through its life cycle. Advertising is said to be “a deposit in the brand equity bank,” but only if the advertising is “strong.” Explain. Answer: Brand equity is the set of positive associations around a brand leading to repeat loyalty and purchase. Therefore, as advertising contributes to and maintains these positive associations, brand equity is built and delivers a return on the advertising investment. However, the investment does not return if customer loyalty is undermined by weak advertising and competitive assaults on the brand loyal customers. Provide an example of usage expansion advertising other than those illustrated in the chapter. Answer: Aspirin has been touted to help prevent heart attacks and some forms of cancer if taken in small, daily doses. Pork “the other white meat” is being advertised as an alternative to chicken. Present arguments for and against using advertising agencies. Are there lessons to learn from the experiences of Alex Bogusky (CP+B), featured in the Marcom Insight? Answer: Advertising agencies can provide great value to their clients by developing highly effective and profitable advertising campaigns. One advantage of using some form of advertising agency is that the advertiser does not have to employ an advertising staff and absorb the overhead required to maintain the staff’s operations. By using the services of an agency, the advertiser acquires the services of specialists with in-depth knowledge of advertising and obtains negotiating leverage with the media. One disadvantage, though, is that some control over the advertising function is lost when it is performed by an agency rather than in house. This is clearly shown from the example of Bogusky’s work as an author while also involved with CP+B clients. Ad agency compensation is increasingly turning to performance- or outcome-based compensation. Explain how this form of ad agency compensation works and why it potentially is superior to alternative methods of compensating ad agencies. Answer: Outcome- or performance-based programs use a compensation system that is tied in some way to sales. The agency’s compensation rises with sales increases and falls with declines. This is potentially superior to alternative methods, such as the media commission system or the labor-based fee system, because is encourages, indeed demands, agencies to use whatever IMC programs are needed to build brand sales. Using equations 9.1 through 9.3, explain the various means by which advertising is capable of influencing a brand’s profitability. Answer: Volume is the key: sales come from customers, and trial means bringing people new to the brand through advertising and promotion, and repeat buyers are often loyal buyers whose loyalty can be maintained with advertising. Furthermore, advertising and related promotional activities can help move triers to loyal customers. In the context of the discussion of price and advertising elasticities, four situations were presented by comparing whether price or advertising elasticity is stronger. Situation 2 was characterized as “build image via increased advertising.” In your own terms, explain why in this situation it is more profitable to spend relatively more on advertising rather than reduce a brand’s price. Answer: The two main product categories used are new products and symbolic imagery products. New products need customer awareness before a price decrease can even have much effect, and awareness needs to be built through advertising. Furthermore, the more complex the product, the more meaningless a price discount is to potential buyers if they do not have product benefit knowledge. Imagery goods are substantially psychological rather than functional, and associations with these values and beliefs need to be built, reinforced and maintained. Advertising can build associations with perfumes and status products by showing certain types of customers and usage situations. Research results were presented showing that sales volume is about 14.6 times more responsive, on average, to changes in price than to changes in advertising. Explain exactly what this means for the brand manager of a brand who is considering whether to grow sales by increasing advertising expenditures or lowering the price. Answer: The 14.6 value was obtained by dividing the price elasticity of 1.61 by the advertising elasticity of 0.11 (i.e., 1.61  0.11 = 14.6). In this instance, a price elasticity of 1.61 means that a one percent reduction in price leads to a 1.61 percent increase in sales volume. An ad elasticity of 0.11 indicates that a one percent increase in ad expenditures increases volume by only 0.11 percent. So, it can be seen that, in this situation, this brand is more responsive to changes in price than to changes in advertising, so it would be wiser to reduce price than to increase advertising expenditures. Data in this same section indicated that nondurable goods (versus durables) are relatively more responsive to price cuts than advertising increases. Offer an explanation for this differential. Answer: Nondurable goods are purchased more frequently and at lower prices than durable goods. Thus, consumers are more likely to purchase more of a nondurable good when the price is reduced than they would if the price of a durable good is reduced (i.e., consumers don’t need multiple computers, refrigerators, or automobiles). Show your understanding of Equation 9.4 and the data presented in Table 9.5 by constructing a spreadsheet (using, for example, Microsoft’s Excel) and altering the elasticity coefficients for different beers. For example, just as MillerCoors’ elasticity coefficient was changed from 0.11 to 0.15 while holding all the others constant at 0.11, you may want to vary the coefficient for, say, Heineken. Answer: Equation 9.4 indicates that a brand’s predicted market share (SOM) depends on its level of advertising raised to the power of its advertising elasticity in comparison to the total level of advertising for all brands in the category raised to the power of their elasticity coefficients. The purpose of this exercise is to show how it is possible to translate the idea of advertising “strength” into numerical values by capitalizing on the concept of advertising elasticity. In the case of MillerCoors, whose elasticity coefficient was varied in the chapter example, market share increased when its advertising elasticity was increased. The same result should occur when doing this exercise for Heineken, but the effect should be amplified due to the much higher ad spend. EFFECTIVE AND CREATIVE AD MESSAGES Answers to Discussion Questions The Marcom Insight described the famous Macintosh Computer advertisement and characterized it as perhaps the single greatest commercial in advertising history. Without using any of the examples presented in this chapter, identify a couple of commercials that you regard as truly “great” advertising. Be sure to explain why you consider these commercials great. Answer: Moreover, because some campaigns are so well targeted, you might not even be aware of the commercials they talk about, and they might not be aware of the ones you mention. Students should appreciate that at a minimum, good (or effective) advertising satisfies the following considerations: (1) extend from sound marketing strategy; (2) must take the consumer’s view; (3) must find a unique way to break through the clutter, (4) should never promise more than it can deliver, and (5) prevents the creative idea from overwhelming the strategy. One commercial that I consider truly great is Nike's "Just Do It" campaign, particularly the "Find Your Greatness" ad. This commercial stands out for its powerful message of empowerment and inclusivity. Instead of focusing solely on elite athletes, it showcases ordinary people from various backgrounds engaging in physical activities, encouraging viewers to redefine greatness on their own terms. The ad's simplicity, coupled with its universal appeal and motivational tone, effectively communicates Nike's brand ethos while resonating with a wide audience. Another exceptional commercial is Dove's "Real Beauty Sketches" campaign. This groundbreaking ad challenges societal norms of beauty by conducting an experiment where women describe themselves to a forensic sketch artist, and then strangers describe the same women. The resulting sketches reveal that the women's self-perceptions are often harsher than how others perceive them. By highlighting the gap between self-perception and reality, Dove delivers a poignant message about self-esteem and the importance of seeing beauty in oneself. This campaign not only promotes Dove's brand values of real beauty and self-acceptance but also sparks important conversations about body image and confidence. Both of these commercials stand out for their ability to go beyond product promotion and connect with viewers on a deeper emotional level. They tap into universal themes of empowerment, self-acceptance, and perseverance, making them memorable and impactful examples of great advertising. Early in the chapter when discussing the point that effective advertising must take the consumer’s view, the following quotation was presented: “Consumers don’t want to be bombarded with ads—they want to be inspired by ideas that will change their lives. Ads create transactions. Ideas create transformations. Ads reflect our culture, ideas imagine our future.” What, in your opinion, does this quote means? Answer: Consumers buy product benefits, not attributes. Therefore, advertising must be stated in a way that relates to the consumer’s, rather than the marketer’s, needs, wants, and values. When discussing the concept of advertising novelty, the chapter stated that novelty is a necessary but insufficient condition for advertising creativity. Explain what this means. Answer: We have all shared the experience when we have seen a novel advertising that everyone is talking about the next day, but no one can remember the brand it was advertising. Even worse, not remembering the product category. In addition to novelty, ads must resonate positively with the target audience and present information consistent with the brand’s positioning statement. In context of the section on “sticky” advertisements, provide three examples of advertisers’ efforts to concretize their advertisements. Television commercials would be a good source of ideas. Explain the specific elements in your chosen commercials that illustrate concreteness. Answer: 1. Bounty Paper Towels - "The Quicker Picker Upper": This iconic commercial effectively concretizes the product's benefits by demonstrating its absorbency in a real-world scenario. The ad typically shows a spill occurring, followed by someone using Bounty paper towels to quickly and efficiently clean it up. The concrete demonstration of the paper towel's absorbency and durability reinforces the brand's tagline, "The Quicker Picker Upper," making it memorable and persuasive. 2. Subway - "Five Dollar Footlong": Subway's advertisement for their "$5 Footlong" sandwiches concretizes the value proposition by emphasizing the price point and showcasing the size and variety of the sandwiches available. The commercial often features close-up shots of the sandwiches being freshly made with a variety of toppings, along with a clear visual of the price tag. By providing concrete visuals of the product and its affordability, Subway effectively conveys its message and encourages viewers to visit their restaurants. 3. Febreze - "The Noseblind Family": Febreze's "Noseblind" campaign concretizes the product's efficacy in eliminating odors by depicting relatable scenarios of people becoming accustomed to unpleasant smells in their homes. The commercials typically show families or individuals unaware of the odors in their living spaces until Febreze is introduced, at which point they react positively to the fresh scent. By dramatizing the before-and-after effects of using Febreze, the commercial concretely illustrates the product's odor-eliminating abilities and positions it as a solution to common household issues. In each of these examples, the advertisers use concrete imagery, demonstrations, and scenarios to make their advertisements vivid and tangible to the audience. By showcasing real-world applications and benefits of the products, these commercials effectively concretize their messages, making them more memorable and persuasive. Analyze three magazine advertisements in terms of which of the SUCCESs elements each ad satisfies. Answer: Explain the elements of Simplicity, Unexpectedness, Concreteness, Credibility, Emotionality, and Storytelling, as they are represented in the ads. 1. Ad for Apple AirPods: • Simple: The ad features a minimalist design with a focus on the AirPods themselves, accompanied by a brief tagline such as "Wireless. Effortless. Magical." It effectively communicates the simplicity of using the product. • Unexpected: While the design of the ad may not be particularly unexpected, the AirPods themselves represent a technological innovation in wireless earbuds, which could be unexpected to some consumers. • Concrete: The ad concretely showcases the product by prominently featuring the AirPods, giving viewers a clear visual of what they look like and how they fit into the user's ears. • Credible: Apple's reputation for quality and innovation lends credibility to the product advertised. Additionally, the ad may include specifications or features to further establish credibility. • Emotional: The ad may evoke emotions related to convenience, freedom, or even status, as Apple products are often associated with a certain lifestyle or image. • Stories: While the ad itself may not tell a specific story, it may imply a narrative of convenience and ease of use through its visuals and tagline. 2. Ad for Chanel No. 5 Perfume: • Simple: Chanel ads often feature a minimalist design with a focus on the product itself, accompanied by simple yet elegant text. This simplicity emphasizes the luxury and sophistication of the brand. • Unexpected: The unexpected element in Chanel ads often lies in the unexpected beauty or allure of the visuals, capturing viewers' attention and drawing them into the world of Chanel. • Concrete: The ad concretely showcases the perfume bottle and may include descriptions of its fragrance notes or the emotions it evokes. • Credible: Chanel's long-standing reputation as a high-end fashion and beauty brand lends credibility to its products, including its perfumes. • Emotional: Chanel ads often evoke emotions related to luxury, sophistication, and sensuality, tapping into the desires and aspirations of their target audience. • Stories: Chanel ads often tell a visual story, often featuring glamorous settings, beautiful models, and a sense of narrative that draws viewers in and immerses them in the world of Chanel. 3. Ad for Coca-Cola: • Simple: Coca-Cola ads often feature a simple design with a focus on the product itself, accompanied by the brand's iconic logo and tagline ("Taste the Feeling"). • Unexpected: While Coca-Cola ads may not always rely on unexpected elements, they often feature surprising or uplifting moments that capture viewers' attention, such as moments of connection or joy. • Concrete: The ad concretely showcases the Coca-Cola bottle or can, often in a refreshing and inviting setting, such as a beach or picnic. • Credible: Coca-Cola's long history and widespread popularity lend credibility to the brand and its products. Additionally, the ad may feature endorsements or testimonials from satisfied customers. • Emotional: Coca-Cola ads often evoke emotions related to happiness, nostalgia, and togetherness, emphasizing the role of Coca-Cola in creating moments of joy and connection. • Stories: Coca-Cola ads often tell stories of shared experiences and moments of happiness, often featuring diverse characters and settings that resonate with a broad audience. These analyses demonstrate how each advertisement utilizes different elements of the SUCCESs framework to effectively convey its message and resonate with its target audience. In your view, which of the SUCCESs elements are most important? Offer an explanation and then rank the six elements from most to least important in terms of their ability to achieve message stickiness. Answer: Students should compare and contrast the elements of Simplicity, Unexpectedness, Concreteness, Credibility, Emotionality, and Storytelling as they apply to achieving stickiness. When discussing the creative advertising style known as unique selling proposition, or USP, it was claimed that in many respects the USP style is the optimum creative technique. Explain whether you agree or disagree with this assertion. Answer: With the unique selling proposition (USP) approach, an advertiser makes a superiority claim based on a unique product attribute that represents a meaningful, distinctive consumer benefit. In many respects the USP style is the optimum creative technique, because it gives the consumer a clearly differentiated reason for selecting the advertiser’s brand over competitive offerings. Several examples of brand image advertisements were offered in the chapter. Identify two additional examples of advertisements that appear to be using the brand image, or transformational, creative style. Answer: The brand image style involves psychosocial, rather than physical differentiation and attempts to develop an image or identity for a brand by associating the brand with symbols. In imbuing a brand with an image, advertisers draw meaning form the culturally constituted world and transfer that meaning to their brands. • Nike - "Dream Crazy" Campaign: Nike's "Dream Crazy" campaign, featuring former NFL quarterback Colin Kaepernick, is a prime example of a brand image advertisement. The campaign stirred controversy and conversation by featuring Kaepernick, known for his activism against racial injustice, as a spokesperson for the brand. The ad not only promotes Nike's products but also aligns the brand with Kaepernick's message of determination, perseverance, and social justice. By associating itself with Kaepernick and his values, Nike positions itself as a brand that stands for something beyond just athletic apparel, appealing to consumers who share similar beliefs or admire Kaepernick's activism. • Apple - "Shot on iPhone" Campaign: Apple's "Shot on iPhone" campaign is another example of a brand image advertisement that focuses on the transformative power of its products. Instead of highlighting the technical specifications of its iPhone cameras, Apple showcases the stunning photographs and videos captured by ordinary users around the world. The campaign celebrates creativity, storytelling, and the ability of technology to empower individuals to capture and share their experiences. By featuring user-generated content, Apple not only demonstrates the quality of its products but also fosters a sense of community and inspiration among its customers. This approach reinforces Apple's brand image as a company that values innovation, creativity, and human connection. One requirement for effective advertising is the ability to break through competitive clutter. Explain what this means, and provide several examples of advertising methods that successfully accomplish this. Answer: In an advertising context, clutter is the other advertisements that compete for the consumer’s attention and interest. Advertisers attempt to avoid clutter by using novel, intense, and interesting advertisements that offer greater attention-getting and attention-retaining value than do competing ads. Select a magazine or newspaper advertisement and apply the MECCAS model to interpret the ad. Describe what you consider to be the ad’s value orientation, its leverage point, and so on. Answer: The MECCAS model is an acronym standing for Means-End Conceptualization of Components for Advertising Strategy. The model captures the effective execution of advertising that links product attributes with consumer values and the consequences of consuming the advertised product. The key notion is that effective advertising emphasizes product attributes and usage consequences that are compatible with consumer values, which represent the driving force or end level to be focused on in an advertisement. A leverage point is the manner by which an advertisement activates the key value. The ads discussed in the text provide models for students to apply the MECCAS model to an advertising campaign of their choice. Explain the differences between USP and brand image creative styles, and indicate the specific conditions under which each is more likely to be used. Provide one illustration of each creative style, using examples other than those used in the text. Answer: The USP style is based on (1) identifying a unique product feature that differentiates the advertised brand from competitive brands, and (2) focusing advertising around this feature. The USP style is appropriate if a brand possesses a meaningfully unique feature. When no such feature exists, an alternative is a brand image style that creates a psychological meaning for a brand, or image, which differentiates the brand symbolically from competitive offerings. Generally speaking, the USP style is preferable provided that a brand possesses a real product advantage. In the absence of such an advantage, brand imaging is a potentially effective alternative. Select two advertising campaigns that have been on television for some time. Describe in detail what you think their creative message styles are. Answer: Students should be sure to use the styles presented in the chapter: (1) USP, (2) brand image, (3) resonance, (4) emotional, (5) generic, and (6) preemptive. They may be interested to know that the types of appeals actually used in ads may not be entirely intentional (e.g., ad agencies do not usually go into creative design saying “let’s use a resonance style on this one”) as creative sessions are usually loose brainstorming sessions where ideas are presented as they occur to agency personnel. Using the laddering procedure that was described in the chapter, select a product category of your choice, interview one individual, and construct that person’s hierarchical map, or ladder, for two product attributes that are important to that person. Use the types of probing questions listed in the chapter to see how this individual mentally connects the product attributes with consequences, and how, in turn, these consequences extend into valued end states. Be persistent! Answer: Probing questions to ask include: (1) “Why is that attribute important to you?,” (2) “How does that help you out?,” (3) “What do you get from that?,” (4) “Why do you want that?,” and (5) “What happens to you as a result of that?” Some critics contend that advocacy, or issue, advertising should not be treated as a legitimate tax-deduction expenditure. Present and justify your opinion on this matter. Answer: Conventional product advertising represents a legitimate tax deduction because it is a necessary business expense to generate sales and increase profits. However, the purpose of issue advertising is not to promote products or even, for that matter, to create goodwill for a company. The purpose is instead to propagate ideas on controversial social issues of public importance. Whether such advertising deserves tax-deduction status has to be evaluated case by case. For example, when a tobacco company speaks out on controversial issues surrounding smoking, such advertising is at least indirectly related to sales of cigarettes and would thus seem to constitute a legitimate tax deduction. On the other hand, when an oil company presents its views on foreign policy, one may legitimately challenge whether this deserves to be treated as a taxable expense since the oil company is not attempting to sell oil but rather is presenting its views (or its CEO’s views) on governmental policy, just as any individual citizen might. Solution Manual for Advertising Promotion and Other Aspects of Integrated Marketing Communications Craig J. Andrews, Terence A. Shimp 9781111580216, 9788131528242, 9781133191421, 9781337282659