Term
advertising (specifically mass advertising) |
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Definition
what has been an integral component to our economic and social systems? |
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Term
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Definition
what did early print advertisements tend to be? |
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Term
three phases in the evolution of advertising |
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Definition
1. expansion 2. consolidation 3. scientific |
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Term
expansion phase of advertising |
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Definition
- characterized by improved transportation systems, notably railroads, which had the effect of expanding markets - lasted from the early 1800s until the early 1900s - literacy rates were increasing, so print ads could reach more people, led to a growth in magazines - newspapers were and are largely local affairs, magazines depend on expanded markets - creation of the first U.S. advertising agency in 1840 |
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Term
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Definition
when was the first advertising agency created in the U.S. |
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Term
Consolidation phase of advertising |
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Definition
- ad agencies assuming new functions, including copywriting, media selection, and a limited amount of market analysis - lasted from the early 1900's until the 1930's - saw the emergence of the so called "Truth crusade" in advertising, because there were no standards or pressures to keep some unscrupulous advertisers from making outlandish claims - creation of the Audit Bureau of Circulation (ABC) in 1914; they served as an independent and unbiased check or reporter of actual circulation figures for papers and magazines |
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Term
"truth crusade" in advertising |
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Definition
- there were no standards or pressures to keep some unscrupulous advertisers from making outlandish claims |
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Term
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Definition
when was the the Audit Bureau of Circulation (ABC) created? |
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Term
Audit Bureau of Circulation (ABC) |
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Definition
they served as an independent and unbiased check or reporter of actual circulation figures for papers and magazines |
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Term
scientific phase of advertising evolution |
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Definition
- characterized by research, extensive market analysis, and consumer testing - beginning in the 1930's and continuing until today |
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Term
KDKA in Pittsburgh in 1920 |
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Definition
what was the first conventional radio station and when was it created? |
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Term
how did early broadcasters make their money?
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Definition
they were involved in the manufacture of radio broadcast equipment |
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Term
"toll calling" (long distance calling) |
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Definition
- a phone sytem set up by AT&T, whereby a person could call and talk to another person in another part of the country
- called this because there was a fee attached
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Definition
a person would go into a broadcast booth, pay a fee, and talk to many |
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Term
WEAF (AT&T's radio station) |
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Definition
which station broadcast the first radio advertisement in 1922? |
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Definition
since advertisers wanted to reach a national audience, it led to the creation and growth of? |
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Term
radio networks (defintion) |
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Definition
a combination of network owned stations and so-called affiliated stations linked together across the country |
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Definition
most radio commercials were live until when? |
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Definition
you didn't have to buy only on the local station, or only on the national network, you could buy in geographic regions, or only urban settings for example |
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Term
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Definition
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Term
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Definition
- As you can see, two lines lead from "local advertiser", one to the Advertising Agency, one to the Medium.
- In most cases, a local advertiser will go directly to the radio or television station.
- Occasionally, a large business in a bigger market may employ the services of an agency, but this is usually the exception.
- A national advertiser, on the other hand, always works with an agency.
- The Advertising Agency is connected to: research, medium, station representative.
- Some large full service agencies will conduct there own, in-house research.
- Others might use an independent research firm for a specific task.
- The agency can buy time for the client at the station level or network.
- A station representative (station rep) is used to make regional, or, "spot" buys.
- For example, it wouldn't make sense for Goodyear tires to advertise a snow tire in the south.
- Rather than individually contact 50, or 100, or more stations in the snow zone they do business with a station rep.
- The station rep essentially acts as an extension of the sales department for a broadcast outlet.
- They maintain a list of station clients and up-to-date rates.
- Broadcasts are then made on a local, regional (spot), or national (network) level.
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Term
what is the primary goal of American broadcaters? |
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Definition
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Term
what to radio and TV stations (Broadcasters) sell to advertisers? |
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Definition
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Term
how do sellers reach buyers? |
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Definition
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Term
factors to set advertising rates used by broadcasters |
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Definition
- market size
- condition of the local/national economy
- size and demographic composition of the audience
- degree of competition
- management
- variables:
- time classification
- program appeal
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Term
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Definition
- AM and PM timeframe (typically 6-9, 3-6, M-F)
- when people are getting ready for work or school and are traveling
- most expensive time classification because it delivers the largest audience
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Term
the largest audience doesn't necessarily mean what?
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Definition
- the highest rates.
- a show with a large number of listeners/viewers may actually cost less than another program with a smaller but more desirable audience
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Term
when do advertisers tend to spend more? |
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Definition
- in a robust economy
- not when things are heading south
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Term
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Definition
- adopts the strategy of moving lots of product, in this cast air time, making only a small profit per unit
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Term
the "Wal-Mart approach" opposite |
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Definition
- high markup but sell less time over all
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Term
what is CPM and what does it stand for? |
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Definition
- Cost per thousand
- M represents 1,000 in Latin
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Term
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Definition
- calculation for what it will cost to reach a thousand units, whether the units are individual people, households, women age 24-35, etc
- provides a quick snapshot of the real cost of advertising
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Term
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Definition
- simply divide the advertising cost by 1,000 (representing a thousand people, households, women, etc.)
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Term
order of CPM from most to least expensive |
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Definition
- prime time TV (top)
- radio
- newspapers
- outdoor adveristing
- billboards
- internet adveristing (bottom)
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Term
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Definition
designations of advertising buying plans |
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Term
three broad categories of advertising vehicles |
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Definition
- network sales (largest advetisers)
- spot sales (main source of TV station revenue)
- local sales (account for 75% of radio sales)
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Term
subcategories under network sales |
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Definition
- sponsorship
- up front
- scatter
- oppotunistic
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Term
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Definition
- grew out of the old days of radio when a single company would pay for all the production costs of a program and pay for all the air time for the program, and, in return, be the primary or sometimes exlsuive advertiser
- expensive
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Term
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Definition
- refers to buying time on a show before the program is aired
- risky if a new show and it's a bad one
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Definition
- the advertiser buys time on different networks, during different times, on different programs
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Definition
- trying to take advantage of a broadcaster, network or station, by holding out until the last minute to buy time
- broadcasters will reduce advertising rates for unsold time the closer that time is to airing
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Term
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Definition
- buying in selected markets
- use a station rep to solicify (solidfy?) this
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Term
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Definition
- operates as an extension of the sales department of the stations they represent
- function as a link between ad agencies and broadcast stations
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Term
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Definition
by commission on spot sales. 5-15% |
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Term
what was the earliest form of audience measurement? |
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Definition
fan mail during the early days of radio |
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Term
what did Crossley base its audience on? |
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Definition
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Term
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Definition
people were called at home and asked to remember what program or ad they had listened to earlier |
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Term
coincidental telephone technique |
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Definition
- asked people what they were listening to at the time they picked up the phone
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Term
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Definition
- they first provided radio information, later discontinued to focus on TV
- developed the "audimeter", a largely passive device whereby the household would load a "paper tape" into a special box affixed to their ardio receiver
- introduced the "people meter", an electronic device connected to the TV set that automaticall transmitted data back to the company
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Definition
what is the dominant audience measurement firm in radio that uses both phone calls and paper diaries to colelct data? |
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Term
what is key to successful audience measurement? |
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Definition
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Term
what is often used in collecting audience data? |
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Definition
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Term
advantages and disadvantages of diaries |
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Definition
- much cheaper than metering technologies
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- accuracy of data
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Term
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Definition
percentage of total potential audience turned to a specific program/station |
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Term
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Definition
percentage of homes using television (HUT) tuned to specific program/station |
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Term
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Definition
- households using televisoin
- an estimate of the number of homes with the TV set on
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Definition
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Term
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Definition
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Term
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Definition
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Term
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Definition
- designated market area
- Nielsen term
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Term
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Definition
- area of dominant influence
- Arbitron term
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Term
how to calcualte a program's rating |
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Definition
divide the number of homes tuned to a program/station by the total number of TV homes |
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Term
how to calcualte a program's share |
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Definition
- divide the number of homes tuned to a program/station by the total number of homes using television (HUT)
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Term
share (1st blank) rating (2nd blank) |
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Definition
__________ number will always be larger than the ______ number |
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Term
who do audience measurement companies sell their data to? |
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Definition
- broadcasters
- advertisers
- analysts
- manufacturers
- others
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Term
groups that regulate broadcast advertising |
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Definition
- FCC
- FTC
- Department of Justice
- FDA (Federal Drug Administration)
- Surgeon General Office
- Executive Branch of Government
- controls Department of Justice
- controls Office of Telecommunications Policy in the Commerce Department
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Definition
gets involved especially in maters pertaining to anti-trust |
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Term
FDA (Federal Drug Administration) |
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Definition
focuses on packaging and labeling of food and drug products |
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Term
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Definition
might step in on matters relating to public health and safety |
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Term
National Association of Broadcasters (NAB) |
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Definition
- established in 1923
- principle trade assocation for broadcasters
- representes the broacast industry before Congressional Committees
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Term
who does the FCC and FTC lobby on behalf of? |
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Definition
the industry, and helps stations interpret goverment rules and regulation |
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Term
what does the Network Standards and Practices Department do? |
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Definition
- screen all network commercials for acceptability
- three actions
- accept commercial
- accept commercial with revisions
- reject commercial
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Term
where does the pressure put on the Standard and Practices come from? |
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Definition
- media (the press)
- affiliates
- the public
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Term
two problems associated with FTC's regualtion of broadcast advertising |
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Definition
- can't use prior restraint (first amendment does apply)
- time and cost associated with an investigation
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Term
three types of advertising agencies |
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Definition
- house
- modular (boutique)
- full service
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Term
house advertising agencies |
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Definition
- owned and run by the manufacturer or company
- advantages:
- product familiarity
- availability
- cost saving
- disadvantages:
- got to pay staff all the time, even if not working on project
- very few of these
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Term
modular (boutique) advertising agencies |
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Definition
tend to specialize in one or a limited number of advertising aspects |
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Term
full service advertising agency |
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Definition
offers a complete array of services from creative, to research, media buys, and evaluation |
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Term
how are advertising agencies paid? |
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Definition
- commission
- fee (hourly, cost + profit, fixed)
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Term
departments in an advertising agency |
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Definition
- account management (account executive)
- creative
- pre(production)
- research
- media
- merchandising
- account services
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Term
account management (Account executive) |
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Definition
serve as the liason between the agency and the client helping to coordinate various aspects |
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Definition
develops copy and design art |
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Definition
serves as a link between creative and outside producers |
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Definition
market and consumer analysis, media and message research, product testing (usually done by manufacturer) |
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Definition
plan and make media buys for client |
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Definition
handles product tie-in's, also packaging, coupons, samples |
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Definition
liason between account management and production operations |
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Term
five categories of talent |
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Definition
- professionals
- celebrities
- nonprofessionals
- extras
- musicians
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Definition
people who seek income by appearing in ads |
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Definition
- movie stars, sports and business figures, former politicans that appear in ads
- some can be difficult to direct
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Term
SAG (Screen Actors Guild) |
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Definition
- started in 1933
- has jurisdiction over motion pictures, filmed TV entertainment, educational and industrial films, and all filmed television commercials
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Term
AFTRA (American Federation of Radio and Television) |
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Definition
- started in 1936
- has jurisdiction over radio commercials, a/v recordings, local live television, and video taped commercials
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Definition
- usually these are customers or maybe business employees
- typically get paid union scale even though nonunion
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Definition
- people who appear in the background of television ads without any lines
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Definition
- either on- or off-camera
- many are also members of their respective unions like professionals
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Term
identifiable trends in advertising |
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Definition
- mergers and buyouts
- increasing media fragmentation (include internet, phone)
- increased clutter
- growth of retail channels (e.g. television shopping networks)
- related to #2, increasing difficult in reaching younger consumers
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Term
who traditionally makes more in advertising, men or women, when doing the same job? |
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Definition
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Term
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Definition
advertising job in which women make the same or even more than men |
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Term
positioning strategies from the video |
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Definition
- Pork, as "the other white meat"
- other companies in video:
- Yoplait
- Milk
- HBO
- Liquid Plumer
- Grey Poupon
- Evian
- Johnson and Johnson
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Term
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Definition
- how advertising affects perception
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Term
how much did super bowl ads cost last year? |
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Definition
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three largest agencies and their Headquarters |
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Definition
- Omnicom Group - New York - made $12,694,000 in 2007
- WPP Group - London
- Interpublic Group of Cos.- New York
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Term
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Definition
- changes perceptions
- doesn't have to change product, just perception
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Definition
how consumers see different products |
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Definition
products positioned toward specific group |
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Definition
- product is "new"; existing product fixed
- Johnson's Baby Shampoo - football palyers
- Arm & Hammer Baking Soda - fridges and toothe paste
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Term
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Definition
- easy to change perceptions, not minds
- positioning requires market research
- perceptual mapping - rating competing brands
- market segements - kids, health
- emotions - protect family; exhilieration
- social approval - product that lots of people use
- testimonials -"most popular", #1, best-selling
- Diamonds - "everlasting love"
- competition - see differences between products
- price - high quality = high price
- name - tells people why to buy product in name
- unique attribute - shape, size, color
- new attribute added to existing product - only temporary
- positioning is used everywhere
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Term
FCC (Federal Communications Comission) |
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Definition
regulates radio and television broadcasting |
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Term
FTC (Federal Trade Commission) |
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Definition
- regulates advertising content
- like every government body, depends on Congress for budget
- its work might be indirectly influenced by lobbying efforts in Congress
- relies heavily of public and competition to serve in a "Watchdog" capacity since they can't screen all ads
- charged with protecting the public from unfair and deceptive business practices, including false and misleading advertising
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Term
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Definition
an illegal payment for promoting a record or other product on the air |
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Term
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Definition
variation of payola in which a commercial product is gratuitously mentioned during an entertainment program |
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Term
stuff the FCC requires/stipulates |
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Definition
- a station must disclose the material terms of the contest
- that a sponsor of a politcal broadcast be clearly identified
- mention a sponsor in an ad
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Definition
broad, vague, laudatory language |
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Definition
the activites a person is expected to fulfill according to the people around him or her |
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Definition
what each role carries that reflect the position given to it by society |
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Definition
groups that have direct or indirect influence on a person's behavior or attitude |
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Definition
when a person belongs to a reference group that has such a direct influence |
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Definition
one to which the individual wants to belong |
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Definition
one whose behavior and values a person rejects |
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Definition
carefully prepared strategy to achieve a specific goal for the advertiser |
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