Question 1

Bob Greenberg, who might be called an advertising guru, operates on a philosophy that

Accepted Answer

Bob Greenberg believes that ads should be entertainment themselves, emphasizing the integration of advertising content with engaging and entertaining experiences for the audience.

Question 2

When ad guru Bob Greenberg talks about advertising on "the third screen," he's referring to

Accepted Answer

The term "the third screen" refers to cell phones, following the first screen (television) and the second screen (computer monitors), in the context of media consumption evolution.

Question 3

Advertising contributes to prosperity by

Accepted Answer

Advertising can inspire people to greater productivity by creating desires for new products and services, which in turn stimulates economic activity and innovation.

Question 4

Former Procter & Gamble president Howard Morgens said that advertising

Accepted Answer

Advertising is considered the most effective and efficient way to sell to consumers because it allows companies to reach a wide audience, communicate their message clearly, and influence purchasing decisions. Howard Morgens, as a former president of a major corporation like Procter & Gamble, would recognize the strategic importance of advertising in driving consumer sales and brand loyalty.

Question 5

The leading advertiser, spending about $5.2 billion annually for mass media ads, is

Accepted Answer

Procter & Gamble is known for being one of the largest advertisers in the world, consistently spending billions annually on advertising across various media platforms to promote its wide range of consumer goods.

Question 6

Advertising as a modern phenomenon first took off in

Accepted Answer

Advertising as a modern phenomenon first took off in the United States, where it became a significant part of the economy and culture, especially in the early 20th century with the rise of mass media.

Question 7

What was the first form of printed advertisement?

Accepted Answer

Flyers are considered one of the earliest forms of printed advertisement, dating back to before the invention of the modern printing press. They were simple and could be produced quickly to spread information or advertise goods and services.

Question 8

__________ was a British printer who is credited with printing the first advertisement to promote one of his books.

Accepted Answer

William Caxton is credited with printing the first advertisement to promote one of his books, marking a significant moment in the history of advertising and publishing.

Question 9

Benjamin Day's newspaper, the __________, was the first penny newspaper that brought advertising to a new level within its pages.

Accepted Answer

Benjamin Day's newspaper was the New York Sun, which became the first penny newspaper in 1833. It revolutionized the newspaper industry by making newspapers affordable to the masses and significantly increasing the role of advertising.

Question 10

National advertising took root in the United States with

Accepted Answer

The development of the railroads in the 1840s allowed for the mass distribution of goods across the United States, which in turn facilitated the growth of national advertising as companies could now reach a wider audience.

Question 11

The first advertising agency was founded by

Accepted Answer

Wayland Ayer founded the first advertising agency, N.W. Ayer & Son, in Philadelphia in 1869.

Question 12

Which of these service was among those provided by the firm of N.W. Ayer & Son?

Accepted Answer

N.W. Ayer & Son was known for its expertise in placing advertisements in advantageous media, making it one of the first advertising agencies to offer such a service. This helped clients maximize the impact of their advertising budgets by ensuring their ads were seen by the right audiences.

Question 13

Most ad agencies will offer advertisers all of the following services EXCEPT

Accepted Answer

Ad agencies typically focus on marketing, advertising strategies, and creating ads rather than advising on product improvements or updates, which is usually the domain of product development teams or consultants.

Question 14

Using traditional models, an ad agency's commission was derived by totaling the advertiser's outlay for time and space and paying the agency _______ of the total.

Accepted Answer

Traditionally, ad agencies were paid a commission of 15 percent of the total amount spent by the advertiser on time and space for their advertisements. This was a standard practice in the advertising industry.

Question 15

Advertising agency compensation has shifted from commission contracts to

Accepted Answer

Advertising agency compensation has increasingly moved towards performance contracts, where the agency's compensation is tied to the performance of the advertising campaign, rather than traditional commission-based contracts. This aligns the agency's incentives with the client's goals.

Question 16

In advertising, the performance contract system of payment entails

Accepted Answer

In the performance contract system of payment, advertising agencies are compensated not just for their work and expenses, but also receive additional compensation if the advertising campaigns they run are successful. This incentivizes agencies to create effective advertisements, as their profit is directly tied to the campaign's success.

Question 17

When an advertising agency takes its compensation as an ownership share in a client's company, the deal is called

Accepted Answer

An equity contract is when an advertising agency takes its compensation as an ownership share in a client's company, rather than traditional payment methods like fees or commissions. This aligns the agency's interests with the success of the client's business.

Question 18

Which is chanciest type of contract for an advertising agency?

Accepted Answer

The answer of Which is chanciest type of contract for...

Question 19

What was the criticism of the U.S. Army for its new and more extensive marketing campaign launched after recruiters failed to meet their goals during the Iraq war?

Accepted Answer

The criticism was that the campaign infused militaristic trappings into messages that targeted children, which raised concerns about the appropriateness of such messaging for young audiences.

Question 20

The systematic outline of where ads will be placed to reach the right target audiences is called the

Accepted Answer

The systematic outline of where ads will be placed to reach the right target audiences is known as the media plan.

Quiz 11: Advertising