1. TOP 10 Learning Questions for Chapter 17 Designing and Managing Integrated Marketing Communications Mary Rose Monedero September 24, 2010

2. 1. Marketing communications can contribute to ____. Brand Equity Brand Awareness Brand Image Brand Value Brand Equity or Brand Image

3. Marketing Communications Kotler p. 512 Marketing Communications can contribute to brand equity by creating awareness of the brand, linking the right associations to the brand image in customers’ memory and eliciting positive brand judgments or feelings.

4. Brand Equity encompasses the ff: Kotler p. 513 Brand Awareness Brand Responses Brand Equity Brand Relationships Brand Image

5. 1. Marketing communications can contribute to ____. Brand Equity Brand Awareness Brand Image Brand Value Brand Equity or Brand Image

6. 2. ____ is a variety of programs designed to promote or protect a company’s image or individual products. Events and Experiences Direct Marketing Public Relations and Publicity Interactive Marketing Direct and Interactive Marketing

7. There are 8 modes of Marketing Communications: Advertising Sales Promotion Events and Experiences Public Relations and Publicity Direct Marketing Interactive Marketing Word-of-Mouth marketing Personal Selling

8. Public Relations defined… Kotler p. 512, 528-529 Public Relations and Publicity is a marketing communication mode that promotes or protects a company’s image or product based on three qualities: high credibility, ability of catch buyers off guard and dramatization.

9. 2. ____ is a variety of programs designed to promote or protect a company’s image or individual products. Events and Experiences Direct Marketing Public Relations and Publicity Interactive Marketing Direct and Interactive Marketing

10. 3. Transformational Appeals include the following except Fear Guilt Pride Logic Humor

11. There are 2 Creative Strategies that can be employed: Informational Appeals Transformational appeals Include positive and negative appeals such as Fear Guilt Shame Humor Love Pride Joy

12. How do they differ? Transformational Appeal is a creative strategy that elaborates on a non-product-related benefit or image. It includes negative and positive appeals. Informational Appeal elaborates on product service attributes or benefits. Kotler p. 517-518

13. 3. Transformational Appeals include the following except Fear Guilt Pride Logic Humor

14. 4. All are non-personal communication channels except Media channels Sales Promotions Events and Experiences Public Relations Social channels

15. There are two Communication Channels to be selected: Personal channels Non-personal channels Or, these channels can be integrated!

16. What’s the difference? Non-personal communication channels are communications directed to more than one person and include media, sales promotions, events and experiences, and public relations. Personal communication channels let two or more persons communicate face to face, person to audience, over the telephone or through email. Kotler p. 522

17. 4. All are non-personal communication channels except Media channels Sales Promotions Events and Experiences Public Relations Social channels

18. 5. Which of the following is true? Personal selling is the most effective tool at the growth stage of product life cycle. Sales promotion highlights product offers and boosts sagging sales. Events and experiences are credible, interactive and personal. Advertising should be used at all times to promote any product or service. Direct marketing creates daily or special brand-related interactions.

19. What is Sales Promotion? Sales Promotion is a variety of short-term incentives to encourage trial or purchase of a product or service. Coupons, contests, premiums and the like are used to draw a stronger and quicker buyer response, including short-run effects such as highlighting product offers and boosting sagging sales. Kotler p. 512, 527

20. Advertising vs. Sales Promotion ADVERTISING -Print and broadcast ads -Packaging inserts -Motion pictures -Brochures and booklet -Posters -Billboards -POP displays -Logos -Video Tapes SALES PROMOTION -Contests, games, sweepstakes -Premiums -Sampling -Trade shows, exhibits -Coupons -Rebates -Entertainment -Continuity Programs

21. 5. Which of the following is true? Personal selling is the most effective tool at the growth stage of product life cycle. Sales promotion highlights product offers and boosts sagging sales. Events and experiences are credible, interactive and personal. Advertising should be used at all times to promote any product or service. Direct marketing creates daily or special brand-related interactions.

22. 6. Which of the following is false? Advocate channels consist of company salespeople contacting buyers in the target market. Advertising reaches geographically dispersed buyers. Target audience can be profiled in terms of usage and loyalty. Establishing the budget is the first step in developing effective communications. Brand recognition is important inside the store; brand recall is important outside the store.

23. There are 8 steps in developing effective communications: Kotler p. 516-525 1. Identify target audience 2. Determine objectives 3. Design communications 4. Select channels 5. Establish budget 6. Decide on media mix 7. Measure results 8. Manage Integrated Marketing Communications

24. In establishing the budget, there are 4 methods to choose from: Affordable Percentage-of-Sales Competitive Parity Objective and Task

25. 6. Which of the following is false? Advocate channels consist of company salespeople contacting buyers in the target market. Advertising reaches geographically dispersed buyers. Target audience can be profiled in terms of usage and loyalty. Establishing the budget is the first step in developing effective communications. Brand recognition is important inside the store; brand recall is important outside the store.

26. 7. HSBC agents who contact customers on their cellphones to promote a new credit card product or service is an example of Public Relations Direct Marketing Interactive Marketing Word of Mouth Marketing Personal Selling

27. What is Direct Marketing? Direct Marketing uses mail, telephone, fax, email, or Internet to communicate directly with or solicit response or dialogue from specific customers and prospects. Kotler p. 512

28. Direct and Interactive marketing share three distinctive characteristics: Customized – message can be prepared to appeal to the addressed individual Up-to-date – message can be prepared very quickly Interactive – message can be changed depending on the person’s response Kotler p. 529

29. 7. HSBC agents who contact customers on their cellphones to promote a new credit card product or service is an example of Public Relations Direct Marketing Interactive Marketing Word of Mouth Marketing Personal Selling

30. 8. Manny Pacquio as endorser of Alaxan is an example of which communication design Message strategy Creative strategy Message source Global adaptation All of the above

31. Designing the Communications includes the following: Message Strategy Creative Strategy Message Source Global Adaptation

32. What is Message Source? Kotler p. 519 Message source pertains to the messages delivered by attractive or popular sources which can achieve higher attention and recall. This is why advertisers often use celebrities.

33. 8. Manny Pacquio as endorser of Alaxan is an example of which communication design Message strategy Creative strategy Message source Global adaptation All of the above

34. 9. Nestea Camp in Boracay is an example of which mode of communication Interactive Marketing Public Relations and Publicity Sales Promotion Events and Experiences Sales Promotion and Public Relations

35. Non-personal Communications Channels include the ff: Media Sales Promotions Events and Experiences Public Relations Kotler p. 522

36. Events and Experiences Events and Experiences is a growing non-personal communication channel and is used as a response to the fragmentation of media. These include sports, arts, entertainment and cause events. Kotler p. 523

37. 9. Nestea Camp in Boracay is an example of which mode of communication Interactive Marketing Public Relations and Publicity Sales Promotion Events and Experiences Sales Promotion and Public Relations

38. 10. Honda’s 5% allocation for promotion, based on car sales price, exemplifies which budget method Affordable Method Percentage-Of-Sales Method Competitive-Parity Method Objective-And-Task Method None of the Above

39. The Marketing Communications Budget Four common methods are used to decide on the promotion budget: Affordable method – set a promotion budget at what the company thinks it can afford Percentage-of-sales method – set promotion expenditures at a specified percentage of sales (either current or anticipated) or of the sales price. Competitive-parity method – to achieve share of voice parity with competitors Objective-and-task method – by defining specific objectives, determining the takes to achieve objectives, and estimating the costs of performing these tasks Kotler p. 524-525

40. What makes the Percentage-of-Sales method attractive to some companies? Promotion expenditures will vary with what the company can afford Management will relate promotion cost, selling price and profit per unit Encourages stability when competing firms spend approximately the same percentage of sales on promotion Kotler p. 524-525

41. 10. Honda’s 5% allocation for promotion, based on car sales price, exemplifies which budget method Affordable Method Percentage-Of-Sales Method Competitive-Parity Method Objective-And-Task Method None of the Above

42. TOP 10 Learning Questions for Chapter 17 Designing and Managing Integrated Marketing Communications Mary Rose Monedero September 24, 2010