GLOSSARY 599Individualist culture : culture in which there are loose ties
between people and in which people look after themselves
and their immediate family only.
Industrial advertising : aimed at a company that buys the
products to use in its own production process.
Industry comparison budgeting : the industry average is used
as a benchmark to decide the marketing communications
budget.
Industry identity : underlying economic and technical
characteristics of an industry, such as industry size, growth,
competitiveness, culture and technology levels.
Inertia budgeting analysis : keeping budgets constant year
on year, while ignoring the market, competitive actions or
consumer opportunities.
Informational buying motives : buying motivations that are
aimed at reducing or reversing negative motivations such as
solving or avoiding a problem, or normal depletion.
Ingredient branding : a brand of a basic ingredient of a
product is mentioned next to the actual product’s brand
name.
Input indicators of public relations effectiveness : measure
PR efforts, such as the number of news stories disseminated,
the number of interviews given, trade meetings organised,
supermarkets visited or brochures sent. Input indicators
measure efforts and not results.
In-script sponsoring : a specific form of product placement in
which the sponsoring brand becomes part of the script of the
programme.
Institutional advertising : government campaigns.
Integrated marketing communications : a concept of
marketing communications planning that recognises the
added value of a comprehensive plan that evaluates the
strategic roles of a variety of communications disciplines,
e.g. general advertising, direct response, sales promotion
and public relations – and combines these disciplines to
provide clarity, consistency and maximum communications
impact.
Interactive (digital) television or i(D)TV : television content
that gives viewers the ability to interact with programmes and
to use a number of interactive services such as t-government,
t-banking, t-commerce, t-learning information, games,
video-on-demand and communication (t-mail), all supported
by a set-top box.
Internal public relations : aimed at internal stakeholders, such
as employees and their families and shareholders. The main
purpose of internal public relations is to inform employees
about the company’s strategic priorities and the role they are
playing in them, and to motivate them to carry out these
objectives.
Internet : the computer network infrastructure that enables
the exchange of digital data on a global scale.
Interstitials : banner ads that appear temporarily when loading
a new web page.
Involvement : the importance people attach to a product or a
buying decision, the extent to which one has to think it over
and the level of perceived risk associated with an inadequate
brand choice.Issues audit : issues are those potential areas that could have
an important impact upon the operations of the company. An
issues audit identifies all that might be of consequence and
helps the company to react and to plan ahead.
Keyword buying : see Search engine advertising.
Law of extremes theory : assumes that the relationship
between the attitude towards the ad and the attitude towards
the brand follows a J-shaped curve. The latter means that not
only a very positive, but also a very negative, attitude towards
the ad can eventually lead to a positive attitude towards the
brand, while communications evoking a moderate instead of
an extreme attitude towards the ad result in a less positive
brand attitude.
Legal marketing communications : those that are allowed
under the current regulations and laws of the country in
which the company operates.
Lifestyle segmentation : dividing the market on the basis of
how people organise their lives and spend their time and
money. Lifestyle measurement is based on the activities,
interests and opinions (AIO) of consumers. Activities include
how people spend their money and time, e.g. work, leisure,
product use, shopping behaviour, etc. Interests can be in
fashion, housing, food, cars, culture, etc. Opinions are
attitudes, preferences and ideas on general subjects such
as politics or economics, on more specific subjects, or on
oneself and one’s family.
Lifetime value of a customer : the net present value of the
profits a company will generate from a customer over
a period of time.
Line extension : a new product introduction in an existing
product category using the same brand name.
List price : the ‘official’ price of a product.
Lobbying : the activities that companies undertake to influence
decisions of government bodies or the opinion of pressure
groups in a positive direction.
Low-context cultures : cultures in which a lot of emphasis
is placed on words. One is as accurate, explicit and
unambiguous as possible so that the receiver can easily
decode the message and understand what is meant.
Low-involvement hierarchy-of-effects model : consumers,
after frequent exposure to marketing messages, might buy
the product, and decide afterwards how they feel about it
(cognitive–conative–affective hierarchy).
Management judgement test : ad execution proposals are
presented to a jury of advertising managers, to check whether
all the crucial elements of the strategic brief are correctly
represented in the execution elements proposed.
Manufacturer advertising : initiated by a manufacturing
company that promotes its own brands.
Manufacturer brands : brands developed, owned and
marketed by manufacturers of the product.
Marginal budgeting analysis : investing resources as long as
extra expenses are compensated by higher extra returns.
Market segmentation : dividing a market into more
homogeneous sub-groups on the basis of potentially relevant
factors, in that the members of one group share the same
need and react in the same way to marketing stimuli andZ01_PELS3221_05_SE_GLOS.indd 599Z01_PELS3221_05_SE_GLOS.indd 599 3/6/13 4:01 PM3/6/13 4:01 PM