ADV Exam 1 Study Guide – Textbook Concepts
Differences between green, viral, and advocacy marketing. (pg. 645, 649, 652)
• Green Marketing: Corporate efforts that embrace a cause or a program in support of the
environment. Corporate advocacy.
o Ex: recycling, energy saving, proper waste removal
• Tip for company trying to go green: under promise and over deliver
• Viral Marketing: Peer to Peer program; Consumer marketing to consumers via web
(blog, YouTube, Twitter).
o Idea behind viral marketing is to target a handful of carefully chosen trendsetters
or connectors as your influencers and to let them spread the word
• Advocacy Marketing: Type of CorporateAdvertising; attempts of establish an
organization’s position on important and social or political issues.
o To influence public opinion on issues
Professional influencer characteristics (pg. 643)
• Influencer Marketing is a systemic seeding of conversations involving a consumer, an
influencer and a brand.
o Influencers include individuals or groups who have the credibility and capability
to drive positive word of mouth in a broader and salient segment of population
Ex: doctors, lawyers, accountants, teachers, other professionals
• Tips for Influencer Market:
o Time is money
o Communicating with professional should be intellectual and provide benefits of
o Programs directed at professionals requires long-term commitment.
Have patience in developing trust
Public relations strategies – reactive, proactive differences (pg. 639-643)
• Proactive PR Strategy: guided by marketing objectives, seeks to publicize a company
and its brands and to serve to build goodwill and buzz for the brand.
• Key components of Proactive PR Strategy:
2. PR Plan: situation analysis, program objectives, program rationale, communication
vehicles, message content
• AProactive PR strategy has the potential for making an important supportive contribution
to a firm’s IBP
• Reactive PR Strategy: focuses on problem solving rather than opportunities; requires
company to take defensive measures
o It’s difficult to organize for and provide structure around Reactive PR Strategy –
since events triggering the program are unpredictable
o Two steps that help implement Reactive PR Strategy:
1. PRAudit – provides information 2. Identification of Vulnerabilities – find weaknesses
Objectives of PR (pg. 639)
• Promoting Goodwill – image building
• Promoting a Product or Service – Through press releases, events, “news,” etc.
• Preparing Internal Communication – disseminating and correcting info
• Counteracting Negative Publicity – Damage-Control
• Lobbying – Dealing with government officials and pending legislation
• GivingAdvice and Council – at management, employee and public levels
System Selling, Personal Selling, Missionary Selling (pg. 621-623)
• System Selling: selling a set of interrelated components that fulfill all or a majority of a
customer’s needs in a particular area
o Ex:Aswimming pool manufacturer might sell landscaping, filtration equipment,
pool chemicals, etc.
• Personal Selling: face-to-face communications and persuasion process
o Ex: Sales team
• Missionary Selling: calls on accounts with the express purpose of monitoring the
satisfaction of buyers and updating the buyer’s needs
o Objective is to provide information to customers, offer services and generally
Infomercial: a long advertisement that looks like a talk show or a half-hour product
demonstration Purpose of RFMAnalysis (pg. 611)
• RFMAnalysis: asks how recently and how often a specific customer is buying from a
company and how much money he or she is spending per order
1. Allows organization to quantify how much business the organization is actually doing
with its current best customers
2. To calculate the value of every customer to the organization and identify customers that
have given the organization the most business in the past
3. Past behavior is an excellent predictor of future behavior
Purposes of Direct Marketing Programs(pg. 601-605)
• Direct Marketing: an interactive system of marketing, which uses one or more
advertising media to affect a measurable response and/or transaction at any location.
1. Close sales with customers
2. Identify prospects for future contacts and provide in depth information to s