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Integrated Advertising, Promotion, and Marketing Communications SIXTH EDITION Kenneth E. Clow • Donald Baack Integrated Advertising, Promotion, GLOBAL EDITION

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Page 1: EDITIONGLOBAL Integrated Advertising, Promotion, and

Integrated Advertising, Promotion, and Marketing CommunicationsSIXTH EDITION

Kenneth E. Clow • Donald Baack

Integrated Advertising, Prom

otion, and M

arketing Com

munications

Clow

• Baack SIX

TH

EDIT

ION

GLO

BA

LED

ITIO

NThis is a special edition of an established title widely used by colleges and universities throughout the world. Pearson published this exclusive edition for the benefi t of students outside the United States and Canada. If you purchased this book within the United States or Canada you should be aware that it has been imported without the approval of the Publisher or Author.

Pearson International Edition

GLOBALEDITION

This Global Edition has been edited to include enhancements making it more relevant to students outside the United States. The editorial team at Pearson has worked closely with educators around the globe to include:

• Updated! Increased emphasis on social media.

• New! Updated advertisements have been added throughout the text.

• Updated! New global applications are included throughout the text, including Virgin Atlantic’s IMC strategies, the growth of E-commerce in the Middle East and the popularity of Black Friday in Hong Kong.

Now in the sixth edition, Clow and Baack use an integrated approach which blends advertising, promotions, and marketing communications together, illustrating the process and benefi ts of a successful IMC campaigns.

GLOBALEDITION

Page 2: EDITIONGLOBAL Integrated Advertising, Promotion, and

Editor in Chief: Stephanie WallSenior Acquisitions Editor, Global Edition: Steven Jackson

Director of Editorial Services: Ashley Santora

Editorial Project Manager: Meeta Pendharkar

Editorial Assistant: Jacob Garber

Director of Marketing: Maggie Moylan

Executive Marketing Manager: Anne Fahlgren

Marketing Manager, International: Dean Erasmus

Marketing Assistant: Gianna Sandri

Senior Managing Editor: Judy Leale

Production Project Manager: Jacqueline A. Martin

Senior Manufacturing Controller, Production, Global Edition: Trudy Kimber

Creative Director: Blair Brown

Senior Art Director: Janet Slowik

Interior Designer: Laura Ierardi

Cover Designer: Jodi Notowitz

Cover Image: © Cienpies Design/Shutterstock

Media Project Manager, Production: Lisa Rinaldi

Media Project Manager, Editorial: Denise Vaughn

Full-Service Project Management and Composition:

PreMediaGlobal USA Inc.

Pearson Education LimitedEdinburgh GateHarlowEssex CM20 2JEEngland

and Associated Companies throughout the world

Visit us on the World Wide Web at:www.pearson.com/uk

© Pearson Education Limited 2014

The rights of Kenneth E. Clow and Donald Baack to be identified as authors of this work has been asserted by them in accordance with the Copyright, Designs and Patents Act 1988.

Authorised adaptation from the United States edition, entitled Integrated Advertising, Promotion, and Marketing Communications, 6th Edition, ISBN 978-0-13-312624-2 by Kenneth E. Clow and Donald Baack, published by Pearson Education © 2014.

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without either the prior written permission of the publisher or a licence permitting restricted copy-ing in the United Kingdom issued by the Copyright Licensing Agency Ltd, Saffron House, 6–10 Kirby Street, London EC1N 8TS.

All trademarks used herein are the property of their respective owners. The use of any trademark in this text does not vest in the author or publisher any trademark ownership rights in such trademarks, nor does the use of such trademarks imply any affiliation with or endorsement of this book by such owners.

ISBN-13: 978-0-273-78698-6ISBN-10: 0-273-78698-9

British Library Cataloguing-in-Publication DataA catalogue record for this book is available from the British Library

10 9 8 7 6 5 4 3 2 117 16 15 14 13

Typeset in Times LT Std 10.5/12 by PreMediaGlobal USA Inc.Printed and bound by Courier/Kendallville in United States of America

The publisher’s policy is to use paper manufactured from sustainable forests.

A01_CLOW6986_06_SE_FM.indd 2 2/20/13 10:44 AM

Page 3: EDITIONGLOBAL Integrated Advertising, Promotion, and

Integrated Advertising, Promotion and Marketing CommunicationsGlobal Edition - PDF - PDF - PDF

Table of Contents

Cover

Contents

Preface

Part One The IMC Foundation

1 Integrated Marketing CommunicationsVirgin Atlantic Airways

Overview

The Nature of Communication

Integrated Marketing Communications

An Integrated Marketing Communications Plan

Emerging Trends in Marketing Communications

Emphasis On Accountability and Measurable Results

Changes In Tasks Performed

Emergence of Alternative Media

The Value of IMC

Advances in Information Technology

Changes in Channel Power

Increases in Global Competition

Increase in Brand Parity

Emphasis On Customer Engagement

Increase in Micro-Marketing

IMC Components and the Design of This Text

The IMC Foundation

Advertising Tools

IMC Media Tools

Promotional Tools

Integration Tools

International Implications

Integrated Campaigns in Action

2 Corporate Imageand Brand ManagementApplebees: Brand Rejuvenation in a Tough Economy

Overview

Corporate Image

Components of a Corporate Image

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Table of Contents

The Role of a Corporate ImageConsumer Perspective

The Role of a Corporate ImageCompany Perspective

Identifying the Desired Image

Creating the Right Image

Rejuvenating An Image

Changing An Image

Corporate Names

Corporate Logos

Branding

Types of Brands

Family Brands

Brand Extensions

Flanker Brands

Co-Branding

Developing Brands

Building Powerful Brands

Brand Loyalty

Brand Equity

Measuring Brand Equity

Private Brands

Advantages to Retailers

Responses From Manufacturers

Packaging

Labels

QR Codes

Ethical Issues in Brand Management

International Implications

Integrated Campaigns in Action: Home Federal Bank

3 Buyer BehaviorsSecret Recipe Cake and Café: The Secret to a NewDimension in Dining

Overview

Consumer Purchasing Process

Information Search

Internal Search

External Search

Consumer Attitudes

Consumer Values

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Cognitive Mapping

Evaluation of Alternatives

The Evoked Set Method

The Multiattribute Approach

Affect Referral

Trends in the Consumer Buying Environment

Age Complexity

Gender Complexity

Active, Busy Lifestyles

Diverse Lifestyles

Communication Revolution

Experience Pursuits

Health Emphasis

Business-to-Business Buyer Behavior

Factors Affecting Business Buying Centers

Organizational Influences

Individual Factors

Types of Business-to-Business Sales

The Business-to-Business Buying Process

Identification of Needs

Establishment of Specifications

Identification of Vendors

Vendor Evaluation

Vendor Selection

Negotiation of Terms

Postpurchase Evaluation

Dual Channel Marketing

Spin-Off Sales

Marketing Decisions

International Implications

Integrated Campaigns in Action: Argent Financial

4 The IMC Planning ProcessPetsmart: Its a Dogs Life (Which Aint Half Bad)

Overview

The IMC Planning Context

Customers

Competitors

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Communications

Target Markets

Market Segmentation by Consumer Groups

Segments Based on Demographics

Psychographics

Segments Based on Generations

Segmentation By Geographic Area

Geodemographic Segmentation

Benefit Segmentation

Usage Segmentation

Business-to-Business Market Segmentation

Segmentation By Industry

Segmentation By Size

Segmentation By Geographic Location

Segmentation By Product Usage

Segmentation By Customer Value

Product Positioning

Aproaches to Positioning

Other Elements of Po sitioning

Marketing Communications Objectives

Establishing A Communications Budget

Threshold Effects

Diminishing Returns

Carryover Effects

Wear-Out Effects

Decay Effects

Types of Budgets

Percentage of Sales

Meet the Competition

What We Can Afford

Objective and Task

Payout Planning

Quantitative Models

IMC Components

International Implications

Integrated Campaigns in Action: Skyjacker

Part Two IMC Advertising Tools

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5 Advertising ManagementThe Richards Group

Overview

Overview of Advertising Management

Advertising and the IMC Process

In-House Versus External Advertising Agencies

Budget Allocation Considerations

Crowdsourcing

External Advertising Agencies

Choosing an Agency

Goal Setting

Selection Criteria

Creative Pitch

Agency Selection

Roles of Advertising Personnel

Account Executives

Creatives

Traffic Managers

Account Planners

The Role of Quality Communication

Advertising Campaign Management

Advertising Research

Motel 6 and the Richards Group

Advertising Goals

Building Brand Awareness

Providing Information

Persuasion

Supporting Marketing Efforts

Encouraging Action

The Advertising Budget

Media Selection

The Creative Brief

The Objective

The Target Audience

The Message Theme

The Support

The Constraints

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International Implications

Integrated Campaigns in Action: Oscar Mayer

6 Advertising Design:Theoretical Frameworks and Types of Appealsmcgarrybowen: A Powerful Force in Integrated Marketing Communications

Overview

Advertising Theory

Hierarchy of Effects

MeansEnd Theory

Leverage Points

Taglines

Verbal and Visual Images

Types of Advertising Appeals

Fear

Severity and Vulnerability

Rewards to Response Efficacy

Appeal Strength

Humor

Advantages of Humor

Problems With Humor

International Usage

Sex

Subliminal Approaches

Sensuality

Sexual Suggestiveness

Nudity or Partial Nudity

Overt Sexuality

Are Sex Appeals Effective?

Disadvantages of Sex Appeals

Sex Appeals in International Advertising

Musical Appeals

Advantages of Using Well-Known Songs

Alternate Methods

Rational Appeals

Media Outlets

Business-to-Business

Product Attributes

Emotional Appeals

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Brand Loyalty

Business-to-Business

Media Outlets

Scarcity Appeals

International Implications

Integrated Campaigns in Action: Philadelphia CreamCheese

7 Advertising Design: Message Strategies and Executional FrameworksPantene Arabias Shine Campaign

Overview

Message Strategies

Cognitive Strategies

Affective Strategies

Conative Strategies

Executional Frameworks

Animation

Slice-of-Life

Testimonials

Authoritative

Demonstration

Fantasy

Informative

Sources and Spokespersons

Celebrity Spokespersons

CEO Spokespersons

Experts

Typical Persons

Source Characteristics

Matching Source Types and Characteristics

Creating An Advertisement

Advertising Effectiveness

Visual Consistency

Campaign Duration

Repeated Taglines

Consistent Positioning

Simplicity

Identifiable Selling Point

Create an Effective Flow

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Beating Ad Clutter

International Implications

Integrated Campaigns in Action: The Soap Opera

Part Three IMC Media Tools

8 Traditional Media ChannelsUEFA Champions League

Overview

The Media Strategy

Media Planning

Media Planners

Media Buyers

Advertising Terminology

Frequency

Opportunities to See

Gross Rating Points

Cost

Ratings and Cost Per Rating Point

Continuity

Impressions

Achieving Advertising Objectives

The Three-Exposure Hypothesis

Recency Theory

Effective Reach and Frequency

Brand Recognition

Brand Recall

Media Selection

Television

Radio

Outdoor Advertising

Magazines

Newspapers

Media Mix

Media Selection in Business-to-Business Markets

International Implications

Integrated Campaigns in Action: The Snoring Center

9 Digital MarketingToucan: Getting Tobago on the Tourism Map

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Table of Contents

Overview

Web 4.0

E-Commerce

Building a Successful E-Commerce Site

E-Commerce Incentives

Privacy and Security Issues

Business-to-Business E-Commerce

Mobile Marketing

Consumer Engagement and Interactive Marketing

Online Advertising

Banner Advertising

Classified and Media/Video Advertising

Search Engine Optimization

The Impact of Online Advertising

Offline Advertising

Online Social Networks

Facebook

Twitter

Blogs

Company-Sponsored Blogs

Consumer-Generated Reviews

E-Mail

Web Analytics

E-Mail Newsletters

Viral Marketing

International Implications

Shipping Issues

Communication Issues

Technology Issues

Integrated Campaigns in Action: Interstate Batteries

10 Alternative MarketingThe Video Game Market Reaches a New Niche

Overview

Alternative Marketing Programs

Buzz Marketing

Consumers Who Like a Brand

Sponsored Consumers

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Company Employees

Buzz Marketing Stages

Buzz Marketing Preconditions

Stealth Marketing

Guerrilla Marketing

Lifestyle Marketing

Experiential Marketing

Product Placements and Branded Entertainment

Product Placements

Branded Entertainment

Achieving Success

Alternative Media Venues

Video Game Advertising

Cinema Advertising

Other Alternative Media

In-Store Marketing

In-Store Marketing Tactics

Point-of-Purchase Tactics

Designing Effective Point-of-Purchase Displays

Measuring Point-of-Purchase Efectiveness

Brand Communities

International Implications

Integrated Campaigns in Action: Engobi

Part Four IMC Promotional Tools

11 Database and Direct Response Marketing and Personal SellingSelling Words: Paula Ramirez

Overview

Database Marketing

Building a Data Warehouse

E-Mail and Internet Data

Purchase and Communication Histories

Personal Preference Profiles

Customer Information Companies

Geocoding

Database Coding and Analysis

Lifetime Value Analysis

Customer Clusters

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Data Mining

Database-Driven Marketing Communications

Identification Codes

Customer Profile Information

In-Bound Telemarketing

Trawling

Database-Driven Marketing Programs

Permission Marketing

Frequency Programs

Customer Relationship Management

Direct Response Marketing

Direct Mail

Catalogs

Direct Response Mass Media

Internet

Direct Sales

Telemarketing

Personal Selling

Generating Leads

Qualifying Prospects

Knowledge Acquisition

The Sales Presentation

Handling Objections

Closing the Sale

Follow-Up

International Implications

Integrated Campaigns in Action: Centric Federal CreditUnion

12 Sales PromotionsDubai Shopping Festival

Overview

Consumer Promotions

Coupons

Coupon Distribution

Types of Coupons

Disadvantage of Coupons

Premiums

Types of Premiums

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Keys to Successful Premium Programs

Contests and Sweepstakes

Contests

Sweepstakes

Perceived Value

The Internet and Social Media

Goals of Contests and Sweepstakes

Refunds and Rebates

Sampling

Sample Distribution

Benefits of Sampling

Successful Sampling Programs

Bonus Packs

Types of Bonus Packs

Keys to Successful Bonus Packs

Price-Offs

Benefits of Price-Offs

Problems With Price-Offs

Overlays and Tie-Ins

Planning for Consumer Promotions

Trade Promotions

Trade Allowances

Trade Contests

Trade Incentives

Trade Shows

Concerns with Trade Promotions

International Implications

Integrated Campaigns in Action: Wayport Austintatious

13 Public Relations and Sponsorship Programs Think Blue, Think Volkswagen

Overview

Public Relations

Internal Versus External Public Relations

Public Relations Tools

Public Relations Functions

Identifying Stakeholders

Internal Stakeholders

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External Stakeholders

Assessing Corporate Reputation

Auditing Corporate Social Responsibility

Creating Positive Image-Building Activities

Cause-Related Marketing

Green Marketing and Pro-Environmental Activities

Preventing or Reducing Image Damage

Proactive Prevention Strategies

Reactive Damage-Control Strategies

Sponsorships

Forms of Sponsorships

Sponsorship Objectives

Event Marketing

Selecting Sponsorships and Events

Determining Objectives

Matching Audience to the Companys Target Market

Promoting the Event

Advertising at the Event

Tracking Results

Cross-Promotions

International Implications

Integrated Campaigns in Action: Curb It

Part Five IMC Ethics, Regulation,and Evaluation

14 Regulations and Ethical ConcernsReebok Pays $25 Million Settlement

Overview

Marketing Communications Regulations

Governmental Regulatory Agencies

The Federal Trade Commission

Unfair and Deceptive Marketing Practices

Deception Versus Puffery

Substantiation of Marketing Claims

How Investigations Begin

Consent Orders

FTC Settlements

Administrative Complaints

Courts and Legal Channels

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Corrective Advertising

Trade Regulation Rulings

Industry Oversight of Marketing Practices

Council of Better Business Bureaus

IMC and Ethics

Ethics and Advertising

Perpetuating Stereotypes

Advertising Unsafe Products

Offensive Advertisements

Advertising to Children

Marketing and Ethics

Brand Infringement

Marketing of Professional Services

Gifts and Bribery in Business-to-Business MarketingPrograms

Spam and Cookies

Ambush Marketing

Stealth Marketing

Responding to Ethical Challenges

Ethical Frameworks

Ethics Programs

Ethics Training Programs

Codes of Ethics

Ethics Co nsulting Systems

International Implications

15 Evaluating An IntegratedMarketing ProgramSands Research, Inc.: Neuromarketing on the Cutting Edge

Overview

Matching Methods with IMC Objectives

Message Evaluations

Advertising Tracking Research

Copytesting

Emotional Reaction Tests

Cognitive Neuroscience

Evaluation Criteria

Online Evaluation Metrics

Behavioral Evaluations

Sales and Response Rates

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Test Markets

Purchase Simulation Tests

Evaluating the Overall IMC Program

International Implications

Endnotes

Name/Organization IndexA

B

C

D

E

F

G

H

I

J

K

L

M

N

O

P

Q

R

S

T

U

V

W

X

Y

Z

Subject IndexA

B

C

D

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E

F

G

H

I

J

K

L

M

N

O

P

Q

R

S

T

U

V

W

Y