Launch! Advertising and Promotion in Real Time, 2009a

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3.4 Advertising Regulation: Who Looks Out for Us? LEARNING OBJECTIVE After studying this section, students should be able to do the following: 1. List the primary government and industry regulatory agencies that control advertising and the advertising industry. Government Regulation The United States government has numerous agencies whose mandates include regulating advertising and other marketing activities. These include the Federal Trade Commission, the Federal Communications Commission, the Food and Drug Administration, the Securities and Exchange Commission, the Environmental Protection Agency, and the Department of Agriculture. The Federal Trade Commission The Federal Trade Commission (FTC) was established in 1914 to promote “consumer protection” and to monitor “anticompetitive” business practices. Within the FTC, the Bureau of Consumer Protection works to protect against abuses in advertising as well as other areas such as telemarketing fraud and identity theft. The bureau is also responsible for the United States National Do Not Call Registry, which allows consumers to opt out of receiving telemarketers’ calls on their home or mobile phones (https://www.donotcall.gov). Figure 3.6 The Federal Trade Commission protects consumers. Saylor URL: http://www.saylor.org/books Saylor.org 83
The FTC’s Division of Advertising Practices enforces federal truth-in-advertising laws. Its law enforcement activities focus on the accuracy of claims for foods, drugs, dietary supplements, and other products promising health benefits; advertising to children; performance claims for computers and other high-tech products; tobacco and alcohol advertising; and related issues. FTC investigations may pertain to a single company or an entire industry. If the results of the investigation reveal unlawful conduct, the FTC may seek voluntary compliance by the offending business, or its lawyers may choose to take the case to court. [1] The Federal Communications Commission The Federal Communications Commission (FCC) was established by the Communications Act of 1934. It regulates interstate and international communications by radio, television, wire, satellite, and cable. The FCC monitors the proper use of broadcast media. As an example of a current issue that could have major repercussions for the advertising industry, the FCC recently initiated a formal inquiry into the degree to which networks have to disclose whether advertisers have paid to have products embedded in TV shows and movies (a widespread practice the industry calls product placement). According to the FCC, as product placement becomes more widespread, its rules must “protect the public’s right to know who is paying to air commercials or other program matter on broadcast television, radio and cable.” But it added that the rules must be considered in light of “the First Amendment and artistic rights of programmers.” One possible outcome is that the agency will mandate that when a sponsored product appears on the screen this placement will have to be disclosed simultaneously— perhaps with lettering that covers at least 4 percent of the screen and lasts for at least four seconds. Also up for debate is whether disclosures should be required before or perhaps even before and after a show that includes product integrations. [2] Industry Regulation The National Advertising Review Council (NARC) To discourage the need for the government to pass additional legislation that would restrict its activities, advertising agencies vigorously police themselves to minimize abuses. To do this, the advertising industry created the National Advertising Review Council (NARC—no, not that kind of narc) in 1971. This group is a strategic alliance among four major trade organizations: the AAAA (American Association of Advertising Saylor URL: http://www.saylor.org/books Saylor.org 84
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This text was adapted by The Saylor
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1.1 Why Launch!? LEARNING OBJECTIVE
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1.2 Meet Our Agency Partner: SS+K L
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This perspective is a consumer-cent
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Follow the e-mail trail. Dr. Duke C
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As you can see, it takes a village
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1.3 The Pitch: Win the Account LEAR
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Initial strategic thinking. Before
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Figure 1.9 The Pitch Process How do
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1.4 Let’s Meet the Potential Clie
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1.5 Exercises TIE IT ALL TOGETHER N
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message to them. What do you percei
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LEARNING OBJECTIVES After studying
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eally are trying to fake you out. F
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MySpace. We weren’t early enough
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Specialty print media include bookl
Page 34 and 35: Ad-Supported Content Ad agencies ar
Page 36 and 37: [5] “Traditional Radio’s Digita
Page 38 and 39: the promotional activities that int
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Page 42 and 43: Figure 2.8 A sales promotion is a t
Page 44 and 45: 2.3 Advertising Industry Structure
Page 46 and 47: Figure 2.10 Matrix Organization in
Page 48 and 49: P&G reacted to this problem when it
Page 50 and 51: Media buyers and media planners eva
Page 52 and 53: Within a company, the jobs of the a
Page 54 and 55: [1] Suzanne Vranica, “Ad Houses W
Page 56 and 57: drumsticks and simulated drumhead p
Page 58 and 59: Figure 3.1 Build a Foundation Chapt
Page 60 and 61: 3.1 Economic Effects of Advertising
Page 62 and 63: Broadcast radio and TV rely exclusi
Page 64 and 65: 3.2 The Good: Advertising Enhances
Page 66 and 67: washing with soap, that remain kill
Page 68 and 69: share, so they tend to be more stri
Page 70 and 71: now one of the primary attributes s
Page 72 and 73: [8] Mister Snitch!, “Top Ten Reje
Page 74 and 75: here is subjective—your image of
Page 76 and 77: “If you let me play sports, I wil
Page 78 and 79: Categories can be made quite specif
Page 80 and 81: Luxury products are not a bad or wa
Page 82 and 83: [9] Jean Grow and Joyce M. Wolburg,
Page 86 and 87: Agencies), the ANA (Association of
Page 88 and 89: [3] American Association of Adverti
Page 90 and 91: about one-half the size of existing
Page 92 and 93: Chapter 4 Consumers and the Communi
Page 94 and 95: messages they see or hear, and when
Page 96 and 97: 4.2 Is the Medium the Message? Comp
Page 98 and 99: Figure 4.4 SS+K used actor George C
Page 100 and 101: SS+K developed a comparative messag
Page 102 and 103: Audio Clip “Ahem” http://app.wi
Page 104 and 105: After studying this section, studen
Page 106 and 107: SS+K Spotlight The memes and trends
Page 108 and 109: 4.4 Decision Making LEARNING OBJECT
Page 110 and 111: Motivation refers to the processes
Page 112 and 113: 4.5 Internal Influences on Consumer
Page 114 and 115: isn’t sure. And, regardless of hi
Page 116 and 117: it’s not subliminal; the stimulus
Page 118 and 119: Product line extensions. Marketers
Page 120 and 121: 1. Sensory memory permits storage o
Page 122 and 123: Of course, the nature of the ad its
Page 124 and 125: c. Create an example involving a lo
Page 126 and 127: [24] Raymond R. Burke and Thomas K.
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Page 130 and 131: community hub on Yahoo! it calls Po
Page 132 and 133: 4.7 Culture, Globalization, and Adv
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Advertisers have (for the most part
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Why do they bother? Their goal is t
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1a &ex=1369108800&partner=USERLAND&
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advertising and ad men (and women)
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Chapter 5 Know Your Audience: SS+K
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5.1 Types of Data LEARNING OBJECTIV
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preferable but harder and more expe
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One really encouraging finding from
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Figure 5.4 Brand Tags Dig Deeper Th
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irreverent British tastes. “In th
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KEY TAKEAWAY Primary data refers to
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magazines they prefer, an agency co
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a. Identify and discuss the signifi
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more natural and objective than int
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Results showed that sportier models
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5.5 Using Research to Guide a Succe
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they wanted to see recipes for ligh
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[1] Quoted in Lisa McTigue Pierce,
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a U.S. Army ad, see yourself walkin
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audience profiling to become more t
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“The key turning point of this wh
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Life stage (e.g., empty-nest parent
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feather flock together”). PRIZM (
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fashionable. Bloomie’s research d
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Actualizers, the top VALS2 group, a
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Surveys of consumer behavior (for e
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generic attribute and not a point o
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2. Demographics are measurable aspe
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What Are the Properties of a Good T
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conversation. The customer would ha
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6.3 Position Your Brand: Why Will T
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The average Buick buyer is a man in
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muscle is being used to bring such
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check any information on ethics pro
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times like now. We see this situati
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than 32 percent in just two years w
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SS+K Spotlight Since msnbc.com’s
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Clients use a variety of methods to
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How Loud Are You? Share of voice (S
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properties, and sci-fi sites over a
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3. List and discuss the keys to usi
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Southern California, and it aims to
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are positive or negative and whethe
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the company spent on TV advertising
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y category (agency fee, production,
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You can list the pros and cons of t
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AD-VICE 1. A company is trying to d
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We are now eight months prior to th
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After studying this section, studen
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Just as people have personalities,
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KEY TAKEAWAY The power of branding
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well. It may also reveal indirect c
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ealistic feel for its market positi
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In contrast, opportunities and thre
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8.3 Define Where You Want to Go: Se
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You’ll learn more about how these
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adio, or read magazines. It may als
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Figure 8.5 Anatomy of a Creative Br
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Figure 8.7 The Communications Brief
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KEY TAKEAWAY This section described
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2. Is there a Chick-fil-A in your n
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Chapter 9 Choose Your Communication
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direct mail people, whoever else yo
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Campaigns that utilize multiple med
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9.2 Elements of the Promotional Mix
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team is more relevant and effective
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virtual trade shows that you attend
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newsworthy, such as announcing a ne
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aloud. Salespeople in fashion retai
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drive potential new Sun customers t
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service Loopt, which allows its sub
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Fox: Ads That Can Change Pitch,”
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The third campaign in the series be
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Pool Resources with Associations an
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1. Assume that you are a proponent
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Chapter 10Plan and Buy Media: SS+K
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10.1 Traditional Advertising Media
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The print portion of the media plan
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The television plan that The Media
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“advertising abhors a vacuum,”
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Lack of messaging. Although sponsor
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KEY TAKEAWAY Traditional media incl
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10.2 New Media LEARNING OBJECTIVES
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In order to maximize the effectiven
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presented by Craftsman at Sears,”
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As the tip of the iceberg, MTV rece
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are used to getting from real-world
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where they select the flavor of the
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catch up to Google (which provides
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[16] Quoted in Paul Hyman, “Burge
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2. Demonstrate how media planning i
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A common place for these negotiatio
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Cost per thousand (CPM) Calculation
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outdoor advertising, online banner
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c. Define and discuss impressions,
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Assume that your advertising agency
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Assume one of two roles: (a) You ar
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11.1 Execute on Media Platforms LEA
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Figure 11.4 The other campaign opti
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Figure 11.8 The client’s new logo
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Subject matter, composition, color,
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visually.” Sound effects reinforc
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from the opposite direction seeing
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TV: Online ads are like TV commerci
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The total spending on alternative m
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[6] Quoted in Martin Pazzani, “Ma
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is a more accurate measure of likel
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position for Apple as revolutionary
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prompted the viewer to think about
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11.3 Exercises TIE IT ALL TOGETHER
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products? What do you think the fut
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Chapter 12 Make the Message Sell: S
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1. Define relevance and resonance.
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The common denominator among the mo
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[5] Quoted in Geoff Colvin, “Sell
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In 2007, Dial rebranded its Soft &
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It also helps when viewers don’t
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The solution? Advertisers need to s
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[2] David Carr and Tracie Rozhon,
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providing our consumers with even m
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Tupperware Chairman-CEO Rick Goings
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KEY TAKEAWAY An executional framewo
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1. Characterize the members of an a
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Art direction has grown in importan
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You can explain why having an emoti
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3. Go to at least one favorite maga
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accomplished this by designing mult
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As you saw in the media plan we pre
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13.4 TV Another important element o
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Figure 13.7 The banners titled “P
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The “Keywords” banner ads were
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13.7 NewsBreaker Game Another insig
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13.8 NewsBreaker Live The final pus
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13.10 Spectrum Home Page Figure 13.
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14.1 ROI: Show Me the Money LEARNIN
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Marketers echo this pessimism; many
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The ROI for any campaign must relat
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[1] Jeff Lowe, “The Marketing Das
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While an advertiser in the 1960s co
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National cable metrics from the msn
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Figure 14.8 msnbc.com purchased a
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Read Most: The percentage of reader
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Double-page spreads and bound multi
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14.3 ROI for Alternative Media LEAR
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Outdoor advertising is quickly movi
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procure products they needed to dre
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Figure 14.15 Chart tracking number
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Online advertising formats have his
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Figure 14.18 In order to optimize o
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In addition to measuring elements o
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Figure 14.24 SS+K compared the rate
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Table 14.1 Final Takeaway and Lesso
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[2] “The Association of National
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14.4 Exercises TIE IT ALL TOGETHER
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site. Summarize what you have learn
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