chapter 13 advertising, promotion, and sales

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© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 13 Advertising, Promotion, and Sales

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Chapter 13 Advertising, Promotion, and Sales. The Marketing Communications Process. Encoding : Message channel – . The Marketing Communications Process. Face to-face contact is still necessary for the need Decoding : . The Marketing Communications Process. Noise : Outcome : - PowerPoint PPT Presentation

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Page 1: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Chapter 13Advertising, Promotion, and Sales

Page 2: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

The Marketing Communications Process

• Encoding:

• Message channel –

Page 3: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

The Marketing Communications Process

• Face to-face contact is still necessary for the need • •

• Decoding:

Page 4: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

The Marketing Communications Process

• Noise:

• Outcome:

• • •

• Feedback:

Page 5: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• Determine the target audience• • Determine the budget• • Determine the message• • Determine campaign effectiveness

Page 6: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns• The target audience:

• Expectations have to be researched to ensure the appropriateness of campaign decision making• Cause-related marketing:

• Corporate image advertising:

Page 7: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns• Umbrella campaign helps multidivisional

companies to: • •

• Companies announce repositioning strategies through image campaigns to:•

Page 8: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• Campaign objectives•

• Can be divided into overall global and regional objectives as well as local objectives

• Have to be measurable for control purposes

Page 9: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• The budget•

• Ideally, budget would be set as a response to the objectives to be met•

• Budgets can be used as a control mechanism if headquarters retain final budget approval

Page 10: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• Media strategy: The major factors determining the choice of the media vehicles to be used are• • • Media habits of the intended audience - Media

strategist needs data on:• • •

Page 11: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns• Global media vehicles have target audiences

on at least three continents and the media buying takes place through a centralized office

Page 12: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• The promotional message: Developing the promotional message is referred to as creative strategy• Consumer’s motivations vary depending on:

• •

Page 13: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns• The localization of global ideas is achieved by

various tactics:• • •

Page 14: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• The campaign approach • What type of outside services to use

• How to establish decision-making authority for promotional efforts•

Page 15: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• Measurement of advertising effectiveness•

Page 16: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns• The measures most used are

• • • • • • •

Page 17: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Planning Promotional Campaigns

• Personal selling•

• Designed to accomplish three tasks:• • •

Page 18: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Indirect exports

• •

• Direct exports: Guidelines for the marketer-intermediary interaction: • • • •

Page 19: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Integrated solutions: Final stage of

globalization•

• Direct marketing•

• Dominant direct-response medium•

Page 20: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• The Internet: Connects users of all types • Offers five main advantages:

• • • • •

Page 21: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Database marketing:

• Two types of databases –

• Social networking service:

Page 22: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Sales promotion• Used for promotion that does not fall under

advertising, personal selling, or publicity• The appeal is related to several factors:

• • •

• To be effective, the campaign must gain support of local retailer population

Page 23: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Regulations make global sales promotions

rare and difficult to launch• Trade shows and missions: An event

where manufacturers, distributors, and other vendors• •

Page 24: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements

• Reasons for participation in trade fairs• • • • • •

Page 25: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Reasons for non participation in trade fairs

Page 26: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements

• Public relations• Image: •

• Internal public relations•

Page 27: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Some of the material used internally

• • External public relations:

• External campaigns can be achieved through:• • • •

Page 28: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Unanticipated developments places the

company in a position that requires:•

• Crisis management:

• Should have traits like:• • • •

Page 29: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements• Consumer-generated media (CGM):

Consumers find initiate topics of interest on the Web • •

• Public relations function can be handled in-house or with the assistance of an agency

• Use and extent of public relations activity vary by company and type of activity needed

Page 30: Chapter  13 Advertising, Promotion, and Sales

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Other Promotional Elements

• Sponsorship marketing• • Sponsorship of events is driven by the desire

to be associated with a worldwide event that has:• • •

• Ambush marketing: