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Martha Laparidis

on 30 October 2013

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Transcript of Advertising

Using Sales Promotion Tools
Cross Promoting: two or more firms join together to reach a specific target market
Ex) J Crew and Sperry
There are 7 steps in Planning and Executing an Ad Campaign

Step 1--> Identify target audience
Firms must keep in mind that their target audience may or may not be the same as current users of the product
Step 2--> Set advertising objectives
Advertising plan: a section of the firm’s overall marketing plan that explicitly outlines the objectives of the ad campaign, and indicates how the firm can determine whether the campaign was successful
Pull Strategy: Get consumers to pull the product into the supply chain by demanding it
Push Strategy: Increases demand by motivating sellers to highlight the product rather than the products of their competitors, and thereby push the product onto consumers
LO1: Describe the steps in designing and executing an advertising campaign
LO2: Identify three objects of Advertising
Types of advertising

Informative advertising: a communication used to create and build brand awareness, with the ultimate goal of moving the consumer through the buying cycle to a purchase.
Persuasive Advertising: a communication used to motivate consumers to take action.
It usually takes place when competition is most intense. (Ex. Cover Girl)
Reminder Advertising: a communication used to remind or prompt repurchases, especially for products that have gained market acceptance and are in the maturity stage of their life cycle.
Ex) Charmin


Media Planning: The process of evaluating and selecting the media mix
Media Mix- The combination of the media used and the frequency of advertising in each medium- that will deliver a clear, consistent, compelling message to the intended audience.
Media Buy- The actual purchase of airtime or print pages. Generally the largest expense in the advertising budget
L0 3: Describe the different ways that advertisers appeal to consumers
LO 4: Identifying the various types of Media

Mass Media: channels that are ideal for reaching large numbers of anonymous audience members; include national newspapers, magazines, radio and TV.
Niche Media: Channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests. (ex. MTV & Lifetime)

LO4: Identifying the carious types of Media
Determining the Advertising Schedule

- Advertising Schedule: The specification of the timing and duration of advertising.
- Continuous Schedule: Runs steadily throughout the year and therefor is suited to products and services that are consumed continually at relatively steady rates and that require a steady level of persuasive or reminder advertising.
- Flighting: An advertising schedule implemented in spurts, with periods of heavy advertising followed by periods of no advertising. (example)
Federal Trade Commission (FTC)
Established in 1914
General purpose is to enforce federal consumer protection laws
The FTC is the primary enforcer of for most mass media advertising.
Federal Communications Commission (FCC)
Established 1934
General purpose is regulating interstate and international communications by radio, televisions, wire, satellite, and cable

LO 5 - Identify Agencies that Regulate Advertising
LO 5 - Identify Agencies that Regulate Advertising
Food and Drug Administration (FDA)
Established 1930
Regulates food, dietary supplements, drugs, cosmetics, medical devices, including radiation

Puffery - Legal exaggeration of praise, stopping just short of deception, lavished on a product
LO 6 - Describe the elements of a Public Relations (PR) Kit
Public Relations (PR)
involves managing communications and relations ships to achieve various objectives, like building and maintaining a positive image of the firm
Good PR has always been an important success factor
LO 6 – Describe the elements of a Public Relations (PR) Kit
Cause-related marketing
a commercial activity where a business and charity form a partnership to market an image, product or service for their mutual benefit

Event Sponsorship
when corporations support various activities (financially or otherwise), usually in the cultural or sports and entertainment sectors.
LO 6 - Describe the elements of a Public Relations (PR) Kit
Public Relation kits
Are used to communicate with various audiences.

Publications: Brochures, special-purposes single-issue publications such as books.
Video and audio: Programs, public, service announcements
Annual Reports: Financial reports
Media Relations: Press kits, news releases, speeches, event sponsorship.
Electronic media: Websites, email campaigns

Choosing the Right Medium
Different mediums include types of media available for advertising

After the advertiser has decided on the message, type of ad, and the appeal, its attention shifts to the actual creation of the advertisement.
Headline, Body Copy, Background, Foreground, Branding

Post Testing

The Appeal

Informational Appeal: Used in a promotion to help consumers make purchase decisions by offering factual information and strong arguments built around relevant issues that encourage them to evaluate the brand favorable on the basis of the key benefits

Emotional Appeal: Aims to satisfy consumer's emotional desires rather than their utilitarian needs. The key is to create a bond between the consumer and the brand.
- Example: Fusion Razor Commercial
LO3: Describe the different ways that advertisers appeal to consumers
LO 4: Identifying the various types of Media
LO7: Identify the Various Types of Sales Promotions
Sales Promotions: incentives or excitement building programs that encourage consumers to purchase a product or service
Goal: Create value for firms and consumers; a ell as entice them to purchase the product.
Sales Promotions
Premiums (price or award)
POP Displays
Sales Promotions Continue
Loyalty Programs
Product Placement
Evaluating Sales Promotions (Using Marketing Metrics)
Realize margin from the promotion
Cost of the additional inventory
Potential increase in sales
Long-term impact on sales
Potential loss suffered
Additional Sales Made
LO1: Describe the steps in designing and executing an advertising campaign
LO2: Identify three objectives of advertising
LO3: Describe the different ways that advertisers appeal to consumers
LO4: Identify the various types of media
LO5: Identify agencies that regulate advertising
LO6: Describe the elements of public relations
LO7: Identify the various types of sales promotions
Focus of Advertisements- 3 Types
Product-focused advertisements: inform, persuade, or remind consumers about a specific product or service
(Ex. Pepsi Max)
Institutional advertisements: inform, persuade, or remind consumers about issues related to places, politics, or an industry.
Ex) Got Milk?
Public Service Advertising (PSA): PSA focuses on public welfare and generally is sponsored by nonprofit institutions, civic groups
Social Marketing: the application of marketing principles to a social issue to bring change among the general public opinion.

Steps 3 & 4 in Planning and Executing an Ad Campaign
Step 3: Determine advertising budget
Firms must consider the role that advertising plays in their attempt to meet their overall promotional adjustments
Advertising expenditures vary over the course of the product life cycle.
The nature of the market and the product influence the size of advertising budgets.
Step 4: Convey the message
Marketers determine what they want to convey about the product or service
The key message it wants to communicate to the target audience
What appeal would most effectively convey the message.
The message: provides the target audience with reasons to respond in the desired way.
Unique selling position
Red Bull... Gives You Wings
Nike... Just Do It
State Farm Insurance... Like a good neighbor State Farm is there
Full transcript