marketingGREWAL / LEVYM 17

ADVERTISING, PUBLIC RELATIONS, AND SALES PROMOTIONS

Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

LEARNING OBJECTIVESLEARNING OBJECTIVES

Learning Objectives

How do firms plan advertising campaigns?

Why do firms advertise and engage in public relations

What appeals do advertisers use?

How do firms determine which media to use?

What legal and ethical issues are of concern to advertisers?

Why do firms integrate public relations into their IMC strategy?

How do sales promotions supplement a firm’s IMC strategy?

17-2

Steps in Planning an Ad Campaign

Advertising Age Website

17-3

Set Advertising Objectives

Push strategyPush strategyPull strategyPull strategy

17-4

Advertising Objectives

17-5

Designing an ad for a delicate topic for parents and kids

17-6

Museum of Modern Art, NY

17-7

Informative Advertising

Communicates to create and build brand awareness

Retailers aim to push the consumer through the buying cycle to final purchase

Often used to inform customers about upcoming sales events or arrival of new merchandise

17-8

Persuasive Advertising

Generally occurs in the growth and early maturity stages of the Product Life Cycle when competition is most intense

May be used to reposition an established brand in the later stage of the Product Life Cycle

17-9

Reminder Advertising

Communication used to remind or prompt repurchases

Occurs after the products have gained market acceptance

17-10

Product-focused advertisementsProduct-focused advertisements

Institutional advertisements

Institutional advertisements

Focus of Advertisements

17-11

Social Marketing

17-12

The AdCouncil

17-13

TRUTH Campaign Commercial

The TRUTH Takes Hold

How to get young consumers to quit smoking?

Part of the tobacco settlement: “raising generation that would be smoke free”

TRUTH uses a hard-hitting media campaign

In your face ads

17-14

Convey the Message

Unique selling proposition (USP)

Verizon…….It’s the Network

Nokia…..Connecting People17-15

Creative Advertisements

17-16

Symbols Help to Convey Messages

17-17

Evaluate and Select Media

17-18

Mass and Niche Media

Mass media reach large anonymous

audience

Mass media reach large anonymous

audience

Niche media reach a smaller more targeted

audience

Niche media reach a smaller more targeted

audience17-19

Viral Marketing Campaign

17-20

Determining Advertising Budget

Considerations: Role that advertising plays in their attempt to

meet their overall promotional objectives Expenditures vary over the course of the

Product Life Cycle Nature of the market and the product

influence the size of the budget

17-21

Choosing the Right Medium

17-22

Create Advertisements

17-23

17-24

Assess Impact

17-25

Puffery

17-26

Public Relations

TOMS Shoes Website

17-27

Regulatory and Ethical Issues in Advertising

17-28

Sales Promotions

Can be targeted at either the end user consumers or channel members

Can be used in either push or pull strategies

17-29

Types of Sales Promotion

17-30

Sales Promotion

17-31

Using Sales Promotion Tools

Cross-promoting

Cross-promoting

17-32

Cross Promotion

17-33

The Gap

What is The Gap’s current strategy?

How does it differ from previous campaigns?

How is it similar?

Gap Commercial

17-34

The difference between advertising and publicity is that publicity is:

A. more effective.

B. is almost always used in conjunction with consumer satisfaction surveys.

C. not a paid form of marketing communication.

D. designed to remind consumers while advertising is used to interview consumers.

E. is designed for selective demand and not universal

F. demand.

17-35

The three objectives of advertising are to:

A. create, stimulate, or ignore.

B. beg, borrow, or steal.

C. pay, buy, or barter.

D. inform, persuade, or remind.

E. push, pull, or sell.

17-36

Primary vs. Selective Demand

17-37

“We are your local university” ad campaign is a(n) ________________ campaign.

A. product focused

B. consumer generated

C. primary demand

D. institutional advertising

E. continuous coupon deal

17-38

1. What are the steps involved in planning an ad campaign?

2. What is the difference between informational, persuasive and reminder advertising?

3. What are the pros and cons of the different media types?

Check Yourself

17-39

“You have tried the rest; now try the best!” is an example of advertising:

A. simplicity.

B. streaming.

C. puffery.

D. selectivity.

E. sincerity.

17-40

1. Why do companies utilize public relations as part of their DML strategy?

2. What are the elements of a public relations toolkit?

Check Yourself

17-41

1. What are various forms of sales promotions?

Check Yourself

17-42

The Appeal

Emotional appealEmotional appeal

Informational appeal

Informational appeal

17-48

Determine the Advertising Schedule

17-49