Kotler Keller PhillipKevin Lane Marketing Management 14e

Managing Mass Communications: Advertising, Sales Promotions, Events and Experiences, and Public Relations Chapter 18

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 3 of 34 Discussion Questions 1.What steps are required in developing an advertising program? 2.How should sales promotion decisions be made? 3.What are the guidelines for effective brand-building events and experiences? 4.How can companies exploit the potential of public relations and publicity?

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 4 of 34 Developing Advertising Programs Buyer Motives Social Psychological Economic

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 5 of 34 Figure 18.1 The 5 Ms of Advertising

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 6 of 34 Setting the Objectives Communication Task Period of Time Audience Achievement Level To increase among 30 million homemakers who own automatic washers the number who identify brand X as a low-sudsing detergent, and who are persuaded that it gets clothes cleaner, from 10 percent to 40 percent in one year.

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 7 of 34 Advertising Objectives Persuade Remind Inform Reinforce

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 8 of 34 Deciding on the Advertising Budget Decision Factors: Stage in the Product Life Cycle Market share and consumer base Competition and clutter Advertising frequency Product substitutability Advertising Elasticity Awareness Advertising Budget

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 9 of 34 Deciding on the Advertising Budget Advertising Elasticity Awareness Advertising Budget

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 10 of 34 Developing the Advertising Campaign Message Strategy Creative Strategy

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 11 of 34 Developing the Advertising Campaign Message generation and evaluation Creative development and execution Legal and Social Issues

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 12 of 34 Media Decisions and Measurement Reach, Frequency, Impact Media Timing Media Vehicles Media Type Geographical Media Allocation

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 13 of 34 Reach, Frequency, and Impact Reach Frequency Impact

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 14 of 34 Figure 18.2 Relationship Between Trial, Awareness, and the Exposure Function

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 15 of 34 Profile of Major Media Types MediumAdvantagesDisadvantages Newspapers Flexibility; timeliness; local; believability Short life; small “pass- along”; reproduction Television Multiple senses; appealing; high attention; high reach High absolute cost; clutter; fleeting exposure; less audience selectivity Direct Mail Audience selectivity; flexibility; personalized Relatively high cost; “junk mail” image Radio Mass use; high selectivity; low cost Single sense; passive; fleeting exposure

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 16 of 34 Profile of Major Media Types MediumAdvantagesDisadvantages Magazines High selectivity; high quality; credibility and prestige; long life Long lead time; waste in circulation Outdoor Flexibility; low cost; high repeat exposure; low competition Low audience selectivity; creative limitations Yellow Pages Excellent local coverage; high believability; wide reach; low cost High competition; long lead time; creative limitations Internet High selectivity; interactive possibilities; low relative cost Increasing clutter

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 17 of 34 Alternate Advertising Media Billboards Public Spaces Product Placement Point of Purchase

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 18 of 34 Selecting Specific Media Vehicles Media Cost Composition Audience Size

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 19 of 34 Media Timing and Allocation Macroscheduling (seasons/business cycle) Microscheduling (short term)

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 20 of 34 Figure 18.3 Advertising Timing Patterns

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 21 of 34 Evaluating Advertising Effectiveness Copy Testing (pretest, post-test) Sales-effects

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 22 of 34 Figure 18.4 Measuring the Sales Impact of Advertising Share of expenditures Share of market Share of mind and heart Share of voice

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 23 of 34 Sales Promotion Short term Stimulate Sales

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 24 of 34 Objectives Product trial Reward Increase repurchase Brand switching

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 25 of 34 Major Sales Promotion Decisions Objectives Implement and Evaluate Develop the Program TradeSales ForceConsumer

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 26 of 34 Major Consumer Promotion Tools Samples Coupons Cash refunds Prices off Premiums Prizes Loyalty rewards Free trials Tie-in promotions Cross-promotions Point-of-purchase displays Demonstrations

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 27 of 34 Major Trade Promotion Tools Price off Advertising allowances Display allowances Free goods

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 28 of 34 Events and Experiences Objectives Identify with target market Increase exposure to brand name Reinforce brand image / enhance corporate image Evoke feelings / express commitment Entertain clients / reward employees Merchandising/promotional opportunities

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 29 of 34 Events and Experiences Sports - 68% Entertainment - 10% Festivals - 5% The Arts - 5% Cause Marketing- 9%

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 30 of 34 Major Sponsorship Decisions Choosing Events Match target market Create awareness Designing Sponsorship Programs Special events Art exhibits Sports stadiums and arenas Measuring Sponsorship Activities Brand exposure Media coverage Brand knowledge

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 31 of 34 Creating Experiences Factory Tour Corporate Museum More engaging / informative Increased word-of-mouth

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 32 of 34 Public Relations Monitors attitudes Five Functions of PR 1.Press relations 2.Product publicity 3.Corporate communications 4.Lobbying 5.Counseling Promote Protect Image

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 33 of 34 Marketing Public Relations (MPR) Launch new products Repositioning a mature product Building interest in a product category Influencing specific target groups Manage brand crisis Build corporate image Publicity

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice HallSlide 34 of 34 Major Decisions in MPR Establish Objectives Awareness Credibility Enthusiasm Choose Messages and Vehicles Newsworthy/Interesting PR activities Implement and Measure Exposures Media clippings