1. Advertising & Promotions
M. Imran Akram
Area Manager- Lahore
MCB Asset Management Company Lahore
Lecture # 1

2. Topics
Introduction to Advertising and Promotion, Purposes, Objectives, How Advertising works
Budgets, Integrated Marketing Communications Segmentation & Positioning, Copy Platform, Creativity, Creative Strategy (Planning & Development)
Creative Strategy (Implementation & Evaluation),
Advertising for Electronic Media

3. Topics Print Advertising, Copy Writing for Print
Out door and Instore Advertising, How it all Works
Evaluation of Media and Media Buying
Measuring Effectiveness, Retail and B2B Advertising
Sales Promotion Essentials and Sales Promotion Planning

4. Recommendation Text Grade Plan Advertising Excellence
Bovee, Thill and Dovel
Advertising and Promotions
George E Belch & Michael A Belch
Grade Plan
Assignments 05%
Quiz 05%
Mid Term 25%
Project 25%
Presentations %
Final Exam 35%
Total 100%

5. The Objective / Strategy Hierarchy

6. Marketing Promotion Communication
Is the planning and execution of a conception, pricing, promotion and distribution of ideas, goods and services in a way that achieves individual and organization needs and objectives (respectively)
Promotion
Is always communication undertaken to persuade others to accept ideas, goods and services.
Communication
Is an intentional process by which meaning is transferred by the use of symbols, words, pictures, signs etc combination of them.
Advertising is also communication
Persuade: to change one’s mind, give to enhancing knowledge

7. Product Vs Brand Product
Anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need
Physical good
Service
Retail Store
Person
Organization
Place
Idea

8. Brand
Brand is a distinguishing (Name, Symbol, logo, design etc or combination of them) that differentiates the products of one seller from that of its competitors.

9. Brand Elements
Are those trademarkable devices that serve to identify and differentiate the brand
these are the things that the customer remember
Name
Logos
Symbol
Corporate Color
Characters
Slogans
Jingles
Packaging

10. What is Advertising?
Is the paid, non-personal communication of information (about product or ideas) by an identified sponsor through the mass media in an effort to persuade or influence behavior

11. Advertising
Non-personal – its directed to groups of people rather than to specific individuals.
Communication – information about products or ideas.
Identified Sponsor– company selling a product (brand).
Mass media – Communication channels that reach many people at once.
Persuade: information is intended to persuade or influence people to buy a particular product, donate money for a worthy cause

12. Advertising Advertisers Advertising agencies (hired by advertiser)
are people or organizations that seek to sell products or influence people through advertising.
Advertising agencies (hired by advertiser)
independent organizations that specialize in developing advertising (material) and implementing the same on behalf of advertisers.

13. Advertising Media Medium Supplier
…the communication channels through which advertisers messages are carried to their intended audience.
Medium
..– a single form of communication (television, Print, billboards, etc)
Supplier
..individuals or organizations that provide specialized services such as photography, printing and video production

14. Types of Advertising (target audience)
Consumer Advertising
The individuals and families who buy goods and services for personal or family use.
Business Advertising
Directs message toward people who buy or use products in business, not for profit organization and government agencies
Industrial Advertising (manufacturers)
Trade Advertising (wholesalers & retailers)
Professional Advertising (Doctors, dentists, engineers, lawyers, accountants)

15. Types of Advertising (media)
Above the Line (ATL)
TV,
Radio
Print
Cinema
Out Door
Below the Line (BTL)
All outgoing activities like
Outdoor (signage, billboard, posters, banner)
Point of sale (shop floor POP/POS advertising)
Direct consumer contact activities (sampling, selling / events)
Direct mailing
Store retail activities Door to door selling
Transit Advertising (Daewoo Bus Service )
Call centers
Telemarketing

16. Types of Advertising (media)
BTL allows
More flexibility
Creativity and Innovation
Less Restrictive at times then ATL
Getting closer to customer
BTL issues
Cannot generate definitive response.
No audience measurement
Interacting closely with client- does not always result in immediate SALES

17. Communication Process in Advertising

18. Stages in communication Process
Retention
Acceptance
Compreh-ension
Attention
Purchase
Behavior
Exposure
One-Way
Linear
“Influencing and Persuading Consumers”

19. Advertising Objectives
Sales Objective
- in which advertising is expected to generate a certain volume of sales with in a fixed period of time.
Increase volume by a certain percentage or
Rs amount or
increasing the brand’s market share
Sales-also treated as Marketing objectives- Since sales are driven not only by advertising but also by
Pricing decisions
Retailing activities
Sales promotion &
Other elements of marketing mix

20. Where Sales Objective are appropriate
When advertising is only variable in your marketing equation
When you can’t modify – Pricing, Retail availability or Product itself
Direct Response Advertising
When advertising is the dominant force in the entire marketing mix
role of advertising is more important than Personal selling, retailing & Other elements of the mix.
When the advertising is designated to solicit an immediate behavioral response
Special Occasion (Ramdan, Eid, Valentine’s Day etc)

21. Why Sales is NOT a good objectives:
Carryover effect- money spent on advertising does not necessary have an immediate impact on sales.
Sales objectives offer little guidance for those responsible for planning and development of promotional program (IMC).
Poor sales can be the result of many factors.
Quality ?
Product Design or
Packaging
Weak Distribution (not readily available)
Price High - competitor

22. Many Different Factors Affect Sales
Relation to text This slide relates to material on pp and Figure 7-1 of the text.
Summary Overview Many marketers take the position that the basic reason a firm spends money on advertising and promotion is to sell its products. As such, sales or other sales related measures are often used as communications objective. One of the difficulties of using sales as a communication objective is that sales are a function of many factors, not just advertising and promotion. This chart shows the various factors that can affect sales which include:
advertising and promotion
competition
product quality
distribution
technology
price policy
the economy
Use of this slide This slide can be used to discuss marketers’ use of sales as communication objectives. While it is generally accepted that advertisers need to think in terms of how the promotional program will influence sales, the success or failure of the advertising campaign cannot always be based on sales. You can use this slide to discuss the various factors that can influence sales other than advertising and promotion.
Distribution
Advertising and promotion
Technology
Competition
The
economy
Product
quality
Price
Advertising and promotion
Competition
Product
quality
Distribution
Technology
Price
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

23. Communication Objective
Which define advertising performance in terms of how well a given communication goal has been achieved.
The primary role of promotion mix elements is to communicate a message to the target audience.
Communication objectives should focus on communication tasks.
Brand knowledge
Interest
Favorable attitudes
Image
Purchase intensions

24. Determining the Communication Objectives Buyer Readiness Stages
Purchase
Conviction
Preference
Liking
Knowledge
Awareness
Comprehension
Image

25. Communication Effects Pyramid
5% Regular Use
70% Knowledge
25% Preference
70% Knowledge/Comprehension
40% Liking
20% Trial
Relation to text This slide relates to material on pp and Figure 7-3 of the text.
Summary Overview This slide is a chart of the communications effect pyramid. It shows that advertising and promotion perform communications task in the same way a pyramid is built, by first accomplishing the lower-level objectives such as awareness and knowledge. Subsequent tasks involve moving consumers who are aware of or knowledgeable about the product or service to higher levels in the pyramid. The initial stages, at the base of the pyramid, are easier to accomplish than those toward the top, such as trial and repurchase or regular use. Thus, the percentage of prospective customers will decline as they move up the pyramid.
Use of this slide This slide can be used to discuss the effects of communications. Marketing communications such as advertising are designed to move customers from awareness to purchase, but marketers are aware that this will not happen immediately. As such, advertisers set their communications objectives in relation to where the target audience lies with respect to the various blocks of the pyramid. An example of how the communications effects pyramid can be used to set objectives is provided in Figure 7-4 of the text.
90% Awareness
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

26. What is Good Objectives?
Specify a well-
defined audience
Concrete and
Measurable
SMART Objectives
Attainable
Specify a time
period
Establish bench-
Mark measures
Realistic

27. Purpose of Advertising
To prompt direction action
To encourage information search
To relate your product to needs
To recall past satisfaction & Reorder
To re-enforce positive attitude
To change attitude

28. CONSUMER ADOPTION PROCESS
Stages that consumers go through in learning about a new product, trying it, and deciding whether to purchase it again.
 Consumers go through five stages:
Awareness—individuals first learn of the new product, but they lack full information about it.
Interest—potential buyers begin to seek information about it
Evaluation—they consider the likely benefits of the product.
Trial—they make trial purchases to determine its usefulness.
 Adoption/rejection—decide whether to use the product regularly.