CHAPTER 13 Advertising & Public Relations M A R K E T I N G Real People, Real Choices CHAPTER 13 Advertising & Public Relations

Chapter Objectives Define advertising & describe the major types Describe the process of developing an advertising campaign Explain how marketers evaluate advertising Explain the role of public relations Describe the steps in developing a public relations campaign Understand direct marketing

It’s an Ad Ad Ad Ad World Advertising is nonpersonal communication paid for by an identified sponsor using mass media to persuade, inform, & remind an audience

Types of Advertising Product advertising - message focuses on a specific product Institutional advertising - message focuses on activities, personality, or point of view of a company advocacy advertising public service advertisements (PSAs)

Purposes of Product Advertising To educate people about a new product & what it does To emphasize a brand’s features & try to convince the target market to choose it over other options To ensure that people won’t forget about a well-established product

Developing an Ad Campaign Identify the Target Market Establish objectives Message & Budget Design Ad Campaign Pretest Campaign Choose Media & Schedule

Advertising Appeals Reasons Why (USP) Comparative Advertising Demonstration Testimonial Slice-of-Life Lifestyle Fear Sex Humor Slogans & Jingles

Name That Brand! Double your pleasure, double your fun Good to the last drop My bologna has a first name…. I’d like to buy the world a _____

Media: Television Pros Creative and flexible Prestigious High impact messages Network TV is cost effective for reaching mass audience Cable TV is good for reaching targeted group Cons Quickly forgotten Requires frequent repetition Increasingly fragmented audiences High costs on an absolute basis Shorter ads result in increased clutter

Media: Radio Pros Good for selective targeting Heard out of home Relatively low cost Can be modified quickly Uses listener imagination Cons Listeners may not pay full attention Small audiences mean ads must be repeated frequently Not appropriate for products requiring demonstration

Media: Newspapers Pros Wide exposure and extensive market coverage Flexible format permits use of color, different sizes and editions Useful for comparison shopping Local retailers can tie in with national ads Cons Most don’t spend much time reading newspapers Low readership among teens and young adults Short life span Very cluttered

Media: Magazines Pros Narrowly targeted audiences by specialized magazines High credibility and interest level provide good ad environment Long life span and pass along rate Excellent visual quality Cons With exception of direct mail, the most expensive form Long deadlines Must use several magazines to reach target

Media: Outdoor Pros Very high reach Low cost Good for supplementing other media Cons Hard to communicate complex messages Cannot demonstrate product effectiveness Controversial & disliked

Media Scheduling Specifies the exact media to use for the campaign, when & how often the message should appear Outlines the planner’s best estimate of which media & vehicles will be most effective in attaining campaign objectives

Factors Affecting Media Scheduling Target market profile People reached by different vehicles Advertising patterns of competitors Capability of medium to convey desired information Compatibility of product with editorial content

Public Relations Attempts to influence the attitudes & perceptions of consumers, stockholders, & other stakeholders toward companies, brands, politicians, celebrities, not-for-profit organizations Do something good, then talk about it Unpaid placement

Objectives of Public Relations Introducing new products to manufacturers Introducing new products to consumers Influencing government legislation Enhancing the image of a city, region, or country Calling attention to a firm’s involvement with the community

PR Campaign Strategy Statement of objectives Situation analysis Specification of target audiences, messages to be communicated, specific program elements to be used Timetable & budget Discussion of how the program will be evaluated

PR Activities Press Releases Internal PR Lobbying Speech writing Corporate identity Media relations Sponsorships Special events Advice & counsel

Press Release Types Timely topics Research project stories Consumer information

Direct Marketing Any direct communication to a consumer or business recipient that is designed to generate a response in the form of an order, a request for further information, and/or a visit to a store or other place of business for purchase of a product

Forms of Direct Marketing Mail order Catalogs Direct mail Telemarketing Direct response television Infomercials Home shopping networks