BUS 360 Lecture Notes - Lecture 18: Google Analytics, Offshoring, Strategic Alliance
31 May 2018
School
Department
Course
Professor
Chapter 18 - Advertising, public relations, and sales promotions
Advertising - A paid form of communication from an identifiable source, delivered through a communication channel, and designed to persuade the receiver to take some action, now or in the future.
Steps in planning and Executing an Ad Campaign
Step 1: Identify Target Audience
● Firms conduct research to identify their target audience, then use the info they fain to set the tone for the ad program and help them select the media they will use to deliver the message to that
audience.
Step 2: Set Advertising Objectives → Clarify the specific goals that the ads are designed to accomplish
● Advertising plan - A section of the firm's overall marketing plan that explicitly outlines the objectives of the advertising campaign, how the campaign might accomplish those
objectives, and how the firm can determine whether the campaign was successful.
● Pull strategy: A strategy in which the goal is to get consumers to pull the product through the marketing channel by demanding it.
● Push strategies: Designed to increase demand by motivating sellers—wholesalers, distributors, or salespeople—to highlight the product, rather than the products of
competitors, and thereby push the product onto consumers.
● Broad overall objectives: to inform, persuade, and remind customers
● Informative advertising - Communication used to create and build brand awareness, with the ultimate goal of moving the consumer through the buying cycle to a purchase.
(often used to tell about sales events or arrival of new merch.)
● Persuasive advertising - Communication used to motivate consumers to take action. (occurs in growth and early maturity stages; attempts to accelerate market’s
acceptance)
● Reminder advertising - Communication used to remind consumers of a product or to prompt repurchases, especially for products that have gained market acceptance and
are in the maturity stage of their life cycle
● Product-focused ad’s - Used to inform, persuade, or remind consumers about a specific product/service.
● Institutional ad’s - A type of ad that informs, persuades, or reminds consumers about issues related to places, politics, or an industry (e.g., Got Milk? ads)
● (PSA) Public Service Ad’s - category of instit. Ad’s; focuses on public welfare and generally is sponsored by nonprofit institutions, civic groups, religious organizations, trade
associations, or political groups; form of social marketing
● Social marketing - The application of marketing principles to a social issue to bring about attitudinal and behavioral change among the general public or a specific population
segment.
Step 3: Determine the advertising budget
● 1st, firms must consider the role that advertising plays in their attempt to meet their overall promotional objectives; 2nd, advertising expenditures vary over the course of the
product life cycle; 3rd, the nature of the market and the product influence the size of advertising budgets; the nature of the market also determines the amount of money
spent on advertising
Step 4: Convey the message
● 1st, the firm determines the key message it wants to communicate to the target audience; 2nd, the firm decided what appeal would most effectively convey the message
(presented sequentially, but must be considered simultaneously)
● The message: provides the target audience with reasons to respond in the desired way; should communicate its problem solving ability clearly and in a compelling fashion
● (USP) unique selling proposition - A strategy of differentiating a product by communicating its unique attributes; often becomes the common theme or slogan in the entire
advertising campaign
● The selling proposition communicated by the advertising must be not only unique to the brand but also meaningful to the consumer. It furthermore must be sustainable over
time, even with repetition
● The Appeal: used to portray products/services and persuade consumers to purchase them
● Informational appeals - 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 favorably on the basis of the key benefits it provides.
● Emotional appeals - Aims to satisfy consumers’ emotional desires rather than their utilitarian needs. These appeals focus on feelings about the self. The key to a successful
emotional appeal is the use of emotion to create a bond between the consumer and the brand. (most common types: fear, safety, humor, happiness, love/sex, comfort, and
nostalgia)
Step 5: Evaluate and select media
● Media planning - The process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience.
● Media mix - The combination of the media used and the frequency of advertising in each medium.
● Media buy - The actual purchase of airtime or print pages (largest expense in advert. budget)
● Mass media - Channels that are ideal for reaching large numbers of anonymous audience members; include outdoor/billboards, national newspapers, magazines, radio, and
television.
● Niche media - Channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests. (like specialty magazines
or TV channels)
● Choosing the right medium - advertisers can determine how effective their media mix has been in reaching their T audience by calculating the total GRP (reach x frequency)
of the advertising schedule
● Television - adv: wide reach, incorporates sound and video; disadv: high cost, several channel and program options, may incr awareness of competitor’s products
● Radio - adv: relatively inexpensive; can be selectively targeted, wide reach; disadv: no video which limits presentation, consumers give less focused att than to TV, exposure
periods are short
● Magazines - adv: very targeted, subscribers pass along; disadv: relatively inflexible, takes some time for the magazine to be available
● Newspapers - adv: flexible, timely, able to localize; disadv: can be expensive in some markets, ad’s have short life span
● Internet/Mobile - adv: can be linked to detailed content, highly flexible and interactive, allows of specific targeting; disadv: become cluttered, ad may be blocked
● Outdoor/billboard - adv: relatively inexpensive, offers opportunities for repeat exposure; disadv: not easily targeted, has placement problems in some markets, exposure time
is very short
● Direct Marketing - adv: highly targeted, allows for personalization; disadv: cost can vary depending on type used, traditional media like mail will be more expensive than
newer media
● Advertising schedule - The specification of the timing and duration of advertising.
● Continuous schedule - Runs steadily throughout the year and therefore 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.(like suntan lotion)
● Pulsing - Combines the continuous and flighting schedules by maintaining a base level of advertising but increasing advertising intensity during certain periods.(ex.
airlines/hotels continuously advertise, by may increase in spikes during certain low-demand periods)
Step 6: Create advertisements
● How do advertisers go about creating ad’s? They simultaneously consider the objectives of the ad, the targeted customer segments, the product/service’s value proposition
of the unique selling proposition, and how the ad will be coordinated w/ other IMC elements
● Headline - In an advertisement, large type designed to draw attention.
● Subhead - An additional smaller headline in an ad that provides a great deal of information through the use of short and simple words.(headlines and subheads should be
short and use simple words and include the primary product/service benefits, the name of the brand, and an interest-provoking idea, should contain action verb
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Chapter 18 - advertising, public relations, and sales promotions. Advertising - a paid form of communication from an identifiable source, delivered through a communication channel, and designed to persuade the receiver to take some action, now or in the future. Steps in planning and executing an ad campaign. Firms conduct research to identify their target audience, then use the info they fain to set the tone for the ad program and help them select the media they will use to deliver the message to that audience. Step 2: set advertising objectives clarify the specific goals that the ads are designed to accomplish. Advertising plan - a section of the firm"s overall marketing plan that explicitly outlines the objectives of the advertising campaign, how the campaign might accomplish those objectives, and how the firm can determine whether the campaign was successful.
