Question 1

The guiding principle of The Richards Group advertising agency is "we sell the truth."

Accepted Answer

This is correct. The Richards Group advertising agency has long been known for their emphasis on honesty and authenticity in their advertising campaigns, and their guiding principle is indeed "we sell the truth."

Question 2

In terms of organization, The Richards Group comingles disciplines within a space to create interdisciplinary villages or clusters.

Accepted Answer

The Richards Group is known for combining different disciplines within a space to create interdisciplinary villages or clusters, where employees from different departments can collaborate and work together towards a common goal.

Question 3

Part of the reasoning for using an in-house advertising department is that internal organization members have a better sense of the company's mission and message.

Accepted Answer

An in-house advertising department consists of internal organizational members who are familiar with the company's mission and message, which gives them an advantage in communicating the company's values accurately.

Question 4

An appeal is the key element in the advertisement that taps into, or activates, a consumer's personal value system.

Accepted Answer

The answer of An appeal is the key element in...

Question 5

One of the advantages of an external advertising agency over an in-house marketing group is that the external agency offers greater expertise and has access to top creative talent.

Accepted Answer

An external advertising agency is hired to provide specialized expertise and often has a team of experienced professionals who can offer a range of creative and strategic services. Additionally, the agency may have access to a broader network of resources and partnerships to support the marketing efforts of the client. In contrast, an in-house marketing group may have limited resources and may not be able to provide the same level of expertise or creative talent.

Question 6

Advertising is a major component of integrated marketing communications.

Accepted Answer

Advertising is one of the tools in the mix of integrated marketing communications, along with public relations, personal selling, sales promotion, and direct marketing.

Question 7

In terms of the 75/15/10 rule, 75 percent of the money spent on advertising should be spent for media buys.

Accepted Answer

The 75/15/10 rule specifies that 75% of the money spent on advertising should be spent on media buys, 15% on creative development, and 10% on production and distribution expenses.

Question 8

Advertising management is the process of preparing and integrating a company's advertising efforts with the overall IMC message.

Accepted Answer

Advertising management involves the planning, implementation, and evaluation of advertising campaigns that are integrated with the overall message of the company's integrated marketing communications (IMC) strategy.

Question 9

In business-to-business communications, advertising is often the primary promotion method with the other components of the promotional mix, such as trade promotions, consumer promotions, and personal selling supporting the advertising.

Accepted Answer

In business-to-business communications, personal selling is often the primary promotion method, with advertising and other components of the promotional mix supporting the sales effort.

Question 10

The executional framework explains how the message in an advertisement will be delivered.

Accepted Answer

The executional framework outlines the various tactics used to convey the message of an advertisement, including the format, style, tone, and media channels used to reach the target audience.

Question 11

When the majority of a company's advertising budget is spent on media buys, rather than producing the advertisement, the company should be inclined to do the work in-house.

Accepted Answer

The decision to do work in-house or outsource depends on various factors, including expertise, cost-effectiveness, and strategic goals, not just the allocation of the advertising budget.

Question 12

One important decision in advertising management is the choice between an in-house advertising group and an external advertising agency.

Accepted Answer

The choice between an in-house advertising group and an external advertising agency is an important decision in advertising management.

Question 13

An external advertising agency may actually cost less than doing advertising work in-house.

Accepted Answer

Hiring an external advertising agency can be cost-effective because they already have the experience, skills, and resources needed for advertising work, so the company doesn't need to invest in hiring and training new employees or purchasing new equipment. Additionally, agencies typically work on a project fee or retainer basis, which can be more affordable than paying for ongoing salaries and benefits of a full-time in-house team.

Question 14

Advertising is separate from the traditional promotions mix because it focuses on the end user.

Accepted Answer

Advertising is a component of the traditional promotions mix, which includes advertising, sales promotion, personal selling, public relations, and direct marketing, all of which can focus on the end user.

Question 15

Consistency is ordinarily not a major concern in advertising management.

Accepted Answer

Consistency is important in advertising management as it helps in reinforcing the message and building brand recognition among the target audience. Inconsistency can lead to confusion and dilution of the brand identity. Therefore, it is important for advertising managers to maintain consistency in their messaging and branding efforts.

Question 16

In the consumer sector, advertising is usually the primary communication vehicle with the other promotional tools (trade) promotions, consumer promotions, and personal selling designed to back the advertising campaign.

Accepted Answer

Advertising is usually the primary communication vehicle in the consumer sector, followed by other promotional tools like trade promotions, consumer promotions, and personal selling that support the advertising campaign.

Question 17

The leverage point is how the design of the ad will attract attention or present information to the consumer or business viewing the ad.

Accepted Answer

The leverage point in advertising refers to the key element or aspect of the ad that connects with the consumer's emotions or motivations, prompting them to take action, rather than just the design or presentation of information.

Question 18

An external advertising agency is likely to be more objective than an in-house advertising department and also have a better understanding of consumers and trends.

Accepted Answer

An external advertising agency is not emotionally attached to the company or product and can provide an unbiased perspective. They also have experience working with a variety of industries, which can give them a better understanding of consumer behavior and trends.

Question 19

In terms of the 75/15/10 rule, the 15 represents the amount of money that is spent on producing the advertisements.

Accepted Answer

The 15 in the 75/15/10 rule actually represents the portion of the budget allocated for distribution and media buying, not for producing the advertisements themselves.

Question 20

The message theme is an outline of the key idea(s) that an advertising program is supposed to convey.

Accepted Answer

The message theme is indeed an outline of the key idea(s) that an advertising program is supposed to convey.

Quiz 5: Advertising Management