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Advertising and Public Relations

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1 Advertising and Public Relations
Bluefield College November 9, 2010

2 Also referred to as “marketing communications mix”.
Promotion Mix Specific blend of promotion tools that the company uses to persuasively communicate customer value and build customer relationships. Also referred to as “marketing communications mix”.

3 Integrated Marketing Communications
Several factors are changing the face of marketing communications: Consumers. Marketing strategies. Communication technology. These factors have shifted the marketing communications model so that firms are doing less broadcasting and more narrowcasting. Carefully integrating and coordinating the company’s many communication channels to deliver a clear, consistent, and compelling message about the organization and its products.

4 Shaping the Overall Promotion Mix
Nature of advertising: Can reach masses of geographically dispersed buyers at a low cost per exposure. Can repeat a message many times. Consumers view advertised products as more legitimate. Is impersonal, one-way communication. Can be very costly for some media types. Nature of personal selling: Involves personal interaction between two or more people. Most effective tool at building preferences, convictions, and actions. Allows relationship building and two-way communication. Requires long-term commitment to sales force. Most expensive promotion tool.

5 Shaping the Overall Promotion Mix
Nature of sales promotion: Includes a wide assortment of tools. Attracts consumer attention. Can be used to dramatize product offers. Offers strong incentives to buy. Invites and rewards quick consumer response. Effects are short-lived. Nature of public relations: Very believable. Reaches people who avoid salespeople and ads. Can dramatize a company or product. Tends to be used as an afterthought. Planned use can be effective and economical.

6 Shaping the Overall Promotion Mix
Nature of direct marketing: Many forms of direct marketing exist. Direct marketing forms share four primary characteristics: Less public. Immediate. Customized. Interactive. Well suited to highly targeted marketing.

7 Push vs. Pull Promotion Strategy
Producer marketing activities (advertising, sales promotion, other) Reseller marketing activities (advertising, sales promotion, other) Producer Retailers and Wholesalers Consumers Push Strategy Producer Retailers and Wholesalers Consumers Demand Demand Producer marketing activities (advertising, sales promotion, other) Pull Strategy

8 Major Advertising Decisions

9 Major Advertising Decisions
Advertising objective: A specific communication task to be accomplished with a specific target audience during a specific period of time. Overall advertising goal is to help build customer relationships by communicating customer value. Advertising objectives can be classified by purpose: Informative advertising. Persuasive advertising. Comparative advertising (a special type of persuasive advertising). Reminder advertising.

10 Fuel For Thought What is the objective of this ad for De Beers diamonds?

11 Major Advertising Decisions
Setting the advertising budget: Affordable method. Percentage-of-sales method. Competitive-parity method. Objective-and-task method. Developing advertising strategy: Creating advertising messages. Message strategy and message execution must break through the clutter. Advertising is being merged with entertainment.

12 Major Advertising Decisions
Planning the message strategy: Identify customer benefits that can be used as advertising appeals. Develop compelling creative concept—the “big idea”. Choose an ad advertising appeal that is: Meaningful. Believable. Distinctive. Message execution process: Choose the execution style. Choose a tone. Use memorable, attention-getting words. Choose format elements: Illustration. Headline. Copy.

13 Major Advertising Decisions
Message Execution Styles: Slice of Life Lifestyle Fantasy Mood or image Musical Personality symbol Technical expertise Scientific evidence Testimonial or endorsement

14 Fuel For Thought What is the message execution style?
What is the tone of the ad? Are the words used attention-getting and memorable? How does the illustration work with the rest of the ad?

15 Major Advertising Decisions
Consumer-generated messages: Tapping consumers for message ideas or actual ads can involve: Searching existing Web video sites. Holding contests or inviting consumers to submit ad message ideas and videos. Benefits of consumer-generated messages: Collects new ideas and fresh brand perspectives at relatively little expense. Boosts consumer involvement and gets consumers talking and thinking about the brand.

16 Major Advertising Decisions
Developing advertising strategy: Selecting advertising media. Set reach, frequency, and impact goals. Choose among major media types. Select specific media vehicles. Decide on media timing. Deciding on reach, frequency, impact: Reach: Percentage of people exposed to ad campaign in a given time period. Frequency: Number of times a person is exposed to advertisement. Media Impact: The qualitative value of a message exposure through a given medium.

17 Major Advertising Decisions
Each media type has specific advantages and disadvantages. Choosing among media types requires consideration of the: Medium’s impact Message effectiveness Cost The media mix should be regularly reexamined. Media vehicles: Specific media within each general media type, such as Newsweek. Factors to consider when choosing vehicles: Cost. Audience quality. Audience engagement. Editorial quality.

18 Major Advertising Decisions
Marketers must also decide on media timing, or how to schedule the advertising over the course of a year. Follow seasonal pattern. Oppose seasonal pattern. Same coverage all year. Choose the pattern of the ads: Continuity. Pulsing.

19 Evaluating Advertising and Return on Advertising Investment
The net return on advertising investment divided by the costs of the advertising investment. Evaluating advertising involves: Measuring the communication effects of an ad or campaign. Measuring the sales and profit effects of the ad campaign.


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