MBA 532Marketing Communications Strategy

with Duane Weaver

The Process:Advertising and Integrated Brand

Promotion

OUTLINE Introductions Course Overview: outline, assignments, site Advertising and Integrated Brand Promotion

What is Advertising? Definitions? Advertising a Communication Process Audiences Brand Promotion Brand Loyalty Brand Equity Inelasticity of Demand

Types of Advertising From Ads to IMC to IBP

Introductions - Instructor

Duane Weaver B.Comm., M.D.E., IESNA Chair of Marketing, Faculty of Managment, VIU Director of Marketing, ABSEL (Assoc. of Business Simulation

and Experiential Learning) CEO 2Birds1Stone Marketing, Mgmt. and Computer Applications Instructor 20+ years management experience (marketing) Industry experience: High-tech, Artificial Intelligence,

Telecommunications, Computing, Lighting, Automotive, Fashion, Distance Education, B2B, B2C, E-Commerce, E-Learning, Grocery and Floral.

Manufacturing, Wholesale and Retail experience. Family, small business, and multi-national corporations Positions: Board of Directors, CEO, General Manager,

International Sales Manager, Business Development Manager, Regional Sales Manager, Product Manager, Market Manager, Service Manager, Parts Manager, Acct. Manager, Marketing/Business Consultant, Instructor

Enjoy sailing, soccer, badminton, golf and camping

Introductions - Students

Your name?

What do you expect to get out of learning MBA 532 (Marketing Communications Strategy)?What is your personal learning GOAL?

Provide an example of one company that in your opinion, manages brand promotion effectively. Why?

The Process:Advertising and Integrated BrandPromotion in Business & Society

Chapter 1 with Duane Weaver

The Process: Advertising and Integrated Brand Promotion in Business & Society

What is Advertising?

“…a paid mass-mediated attempt to persuade”

(O’Guinn, Allen, and Semenik, 2007, pp. 8-9)

Advertising versus Publicity

Definitions: Advertisement: “…a specific message that someone

or some organization has placed to persuade and audience.”

Advertising Campaign: “…a series of coordinated ads and other promos that communicate reasonably cohesive and integrated theme.”

Integrated Brand Promotion (IBP): “…the use of many promotional tools, including advertising, in a coordinated manner to build and then maintain brand awareness, identity, and preference.”

(O’Guinn, Allen, and Semenik, 2007, p. 12)

Advertising as aCommunication Process

Sender ReceiverMediumEncode Decode

Intended Intended MessageMessage

Perceived Perceived MessageMessage

AudiencesTarget Audience:

group of consumers singled out by an organization for an advertisement or campaign

Household ConsumersBusiness OrganizationsTrade Channels (personal selling)

ProfessionalsGovernment

Advertising and Brand Promotion “effective advertising as part of an overall

integrated brand promotion is a key factor in the success of brands”

(O’Guinn, Allen, and Semenik, 2007, p. 20)

“advertising…plays a critical role in brand development”

(O’Guinn, Allen, and Semenik, 2007, p. 21)

Brand:“a name, term, sign symbol, or any other feature that identifies one seller’s goods or service as distinct from those of other sellers”

(O’Guinn, Allen, and Semenik, 2007, p. 21)

Building Brand Loyalty…occurs when a consumer repeatedly

purchases the same brand to the exclusion of the competitors’ brands.

Brand Equity…is built when a company builds and

maintains positive associations with the brand in the mind of the consumer.

Inelasticity of DemandBrand loyal consumers tend to be less

sensitive to price increases. Economics calls this inelasticity of demand.

Types of Advertising Demand Stimulation:

Primary – create demand for entire product category (usually new products)

Selective – point out a brand’s unique benefits compared to competition

Response Advertising: Direct – act immediately Delayed – develop awareness and preference over time

Corporate vs. Brand Advertising: Corporate – to favour the company (stimulates corporate

recognition) Brand – heightens awareness of the benefits, features,

and values of a particular brand (stimulates brand recognition)

Advertising to IMC to IBPAdvertising is only one component of

the promotional tools available in Integrated Marketing Communications (IMC)

IMC = process of using promotional tools so that a unified synergistic communication effect is created (an emphasis on communication).

IBP has become the emphasis more recently (with a focus on brand over communication).

Thank You!Let’s Look at the worst case ads and

DISCUSS

MBA 532Marketing Communications Strategy