2. Slide 2 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College

3. Slide 3 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Why Do We Do Advertising Personal Selling is preferred, because it is so effective - but, it is expensive sometimes to contact EVERYBODY this wayPersonal Selling is preferred, because it is so effective - but, it is expensive sometimes to contact EVERYBODY this way Advertising is not as direct as Personal Selling, but you can reach a lot of peopleAdvertising is not as direct as Personal Selling, but you can reach a lot of people

4. Slide 4 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Advertising in Canada has to be International Our Canadian market is very multi-culturalOur Canadian market is very multi-cultural Advertising in Canada has to acknowledge the international aspects in order to be successfulAdvertising in Canada has to acknowledge the international aspects in order to be successful A large part of the market in Toronto is NOT from the U.K. so we have to have advertising that can be understood by other peopleA large part of the market in Toronto is NOT from the U.K. so we have to have advertising that can be understood by other people

5. Slide 5 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College The Top 10 Advertisers in Canada RankName 1General Motors of Canada113 048.4 2Procter & Gamble84 499.5 3The Thomson Group70 159.3 4BCE53 972.9 5John Labatt Ltd.50 036.0 6Eaton’s of Canada47 135.9 7Sears Canada46 582.1 8Government of Canada43 928.7 9The Molson Companies42 873.6 10Chrysler Canada41 171.5 Revenue (thousands of dollars) 1993 stats

6. Slide 6 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College http://www.westga.edu/~stalpade/303ch17/sld003.ht mhttp://www.westga.edu/~stalpade/303ch17/sld003.ht m

7. Slide 7 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Advertising Objectives are a Strategy Decision Every ad should have clearly defined objectivesEvery ad should have clearly defined objectives these objectives guide the people who create the adsthese objectives guide the people who create the ads

8. Slide 8 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Nonpersonal selling of a particular good or service. - TV ads - billboards - junk mail Product Advertising Page 518

9. Slide 9 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Institutional Advertising Also called Advocacy advertising See slide # 16

10. Slide 10 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Competitive Advertising Pioneering Advertising, also called Informative “… tries to develop primary demand…” Done in the early stage of the Product Life Cycle. DirectIndirect

11. Slide 11 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Competitive Advertising Tries to get you to take action now - buy the product now. Immediate Buying Direct Indirect Tries to point out the advantages so if you think about this product later, you will buy their brand

12. Slide 12 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Advertising that makes direct comparisons with competitive brands. Companies used to hesitate to do this, but now they do it freely. Sometimes it can backfire and cause the viewer to NOT want to buy the product - if the comparison is too harsh eg. Political advertising that is too nasty Comparative Advertising

13. Slide 13 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Some countries do not allow Comparative Advertising. Other countries allow it,,, but,, you have to prove any statements you make Comparative Advertising

14. Slide 14 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Reminder Advertising Done in the Maturity and Decline stage of the Product Life Cycle. You already know about the product - they want you to keep using it, even if new competitors come along. These ads are usually “soft-sell” and try to be entertaining. Page 521

15. Slide 15 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Relationship between Advertising and the Product Life Cycle Pioneering Competitive Comparative

16. Slide 16 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Promoting a concept, idea, or philosophy, or the goodwill of an industry, company, or organization. This is closely related to the PR program of the company Institutional Advertising Also called Advocacy advertising Page 521

17. Slide 17 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Used often by Japanese conglomerates that have many types of products eg.HitachiSONYMitsubishi Panasonic (Matsushita Electronics) Institutional Advertising Page 521

18. Slide 18 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College The sharing of advertising costs between the middlemen and retailer and the manufacturer. This means they will co-operate to display sales promotion material and share the costs of commercials and billboards etc. Co-operative Advertising Retail Advertising Retail advertising is the advertising done by stores that sell “stuff” directly to the consumers.

19. Slide 19 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Page 523 8th edition Page 444 9th edition

20. Slide 20 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College

21. Slide 21 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Before we talk about choosing the best way to advertise, we first have to discuss our Position

22. Slide 22 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Positioning Remember Chpt 3Remember Chpt 3 Positioning involves developing a marketing strategy aimed at a particular market segment - in order to achieve a desired position with respect to the competition, in the mind of the buyer.Positioning involves developing a marketing strategy aimed at a particular market segment - in order to achieve a desired position with respect to the competition, in the mind of the buyer. ie. That buyers will think a certain way about a product - re: its competitorie. That buyers will think a certain way about a product - re: its competitor

23. Slide 23 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Positioning 1. By attributes - shampoo (Pantene Pro V) 2. By price - Zeller’s “lowest price is the law” 3. By competitor- Snapple, “We’re #3” 4. By application - Nutrigrain - until we get beamed to work! 5. By product user - consumer, industry, govt 6. By product class - convenience, shopping, specialty goods

24. Slide 24 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Newspapers Magazines Magazines Television Television Radio Radio Direct Mail Direct Mail Outdoor Outdoor Media Selection ? - in which category is the most money spent

25. Slide 25 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Newspapers - largest share of advertising, 26% Magazines - 12% Magazines - 12% Television - 2nd major category, 14% Television - 2nd major category, 14% Radio - 7% Radio - 7% Direct Mail Direct Mail Outdoor, billboards etc. - 6% Outdoor, billboards etc. - 6% Media Selection

26. MediaAdvantagesDisadvantages Newspapers FlexibilityShort lifespan Community prestigeHasty reading Intense coveragePoor reproduction Reader control of exposure Co-ordination with national advertising national advertising Merchandising service MagazinesSelectivityLack of flexibility Quality reproduction Long life Prestige associated with some magazines some magazines Extra services TelevisionGreat impactTemporary nature of Mass Coverage message RepetitionHigh cost FlexibilityHigh mortality rate for Prestige commercials Evidence of public distrust Lack of selectivity Advantages and Disadvantages of the Various Advertising Media

27. MediaAdvantagesDisadvantages RadioImmediacyFragmentation Low costTemporary nature of Practical audience message selectionLittle research information selectionLittle research informationMobility OutdoorQuick communication of Brevity of the message Advertising simple ideasPublic concern over Repetition aesthetics Ability to promote products available for sale nearby available for sale nearby Direct MailSelectivityHigh cost per person Intense coverageDependence on quality of Speed mailing list Flexibility of formatConsumer resistance Complete information Personalization Advantages and Disadvantages of the Various Advertising Media

28. Slide 28 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Page 528

29. Slide 29 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College

30. Slide 30 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College To produce, then additional money to get “air” time

31. Slide 31 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Planning The Best Message What should an ad accomplish 1. Gain attention and interest 2. Inform and persuade 3. Lead to the person buying Page531

32. Slide 32 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Planning The Best Message “Copy Thrust” the words you say to get the attention 1. Copy - the text 2. Thrust - the intention, direction

33. Slide 33 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Planning The Best Message “A I D A” A - Attention I - Interest D - Desire A - Action Page531

34. Slide 34 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Direct Response Ads Call 1-800-………….Call 1-800-…………. See our web site at WWW.STUFF.COMSee our web site at WWW.STUFF.COM

35. Slide 35 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College The Advertising Campaign When developing a mktg comms strategy, you do not restrict your plan to just advertisingWhen developing a mktg comms strategy, you do not restrict your plan to just advertising Many things are also done such as direct mailing, PR, special events, radio, mediaMany things are also done such as direct mailing, PR, special events, radio, media

36. Slide 36 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Pretesting The assessment of an advertisement’s effectiveness before it is actually used. Post-testing The assessment of advertising copy after is has been used. Assessing the Effectiveness of an Advertisement Page 387

37. Slide 37 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College A marketing specialist firm that assists the advertiser in planning and preparing its advertisements. They have specialists who know all about the effect of different advertising methods and can help a company with their strategy. Advertising Agency Page 535

38. Slide 38 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Having celebrities lend their name and influence to the promotion of a product. Celebrity Marketing

39. Slide 39 Advertising Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Marketing technique that associates a product with the positive perception of a type of individual or role. (ie. Naya water with healthy lifeguards) Role Model Marketing Sometimes used by companies who cannot afford to pay a celebrity.