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L E A R N I N G O B J E C T I V E S

Learning Objectives

How do firms plan advertising campaigns? Why do firms advertise and engage in public relations What appeals do advertisers use? How do firms determine which media to use? What legal and ethical issues are of concern to

advertisers? Why do firms integrate PR into IMC? How do sales promotions supplement an IMC

strategy?

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The Gap

What is The Gap’s current strategy?

How does it differ from previous campaigns?

How is it similar?

Gap Commercial

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Steps in Planning an Ad Campaign

Advertising Age Website

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Set Advertising Objectives

Push strategyPull strategy

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Advertising Objectives

Inform Persuade

Remind

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Designing an ad for a delicate topic for parents and kids

Designing an ad for a delicate topic for parents and kids

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Museum of Modern Art, NY

How does this ad inform, persuade, and remind?

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Informative Advertising

Communicates to create and build brand awareness

Retailers aim to push the consumer through the buying cycle to final purchase

Often used to inform customers about upcoming sales events or arrival of new merchandise

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Persuasive Advertising

Generally occurs in the growth and early maturity stages of the Product Life Cycle when competition is most intense

May be used to reposition an established brand in the later stage of the Product Life Cycle

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Reminder Advertising

Communication used to remind or prompt repurchases

Occurs after the products have gained market acceptance

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Product-focused advertisements

Institutional advertisements

Focus of Advertisements

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Primary vs. Selective Demand

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Social Marketing

Public Service Advertising

(PSA)

Under Federal Communication

Commission rules, broadcasters must devote a specific

amount of free airtime to PSAs

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The AdCouncil

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TRUTH Campaign Commercial

The TRUTH Takes Hold

How to get young consumers to quit smoking?

Part of the tobacco settlement: “raising generation that would be smoke free”

TRUTH uses a hard-hitting media campaign

In your face ads

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Determining Advertising Budget

Considerations: Role that advertising plays in their attempt to

meet their overall promotional objectives Expenditures vary over the course of the

Product Life Cycle Nature of the market and the product

influence the size of the budget

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Convey the MessageUnique selling proposition (USP)

Verizon…….It’s the NetworkNokia…..Connecting People

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Creative Advertisements

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The Appeal

Emotional appeal

Informational appeal

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Symbols Help to Convey Messages

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Evaluate and Select Media

Media planning

Media mix

Media buy

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Mass and Niche Media

Mass media reach large anonymous

audience

Niche media reach a smaller more targeted

audience

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Choosing the Right Medium

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Viral Marketing Campaign

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Determine the Advertising Schedule

Continuous Pulsing

Flighting

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Create Advertisements

Ads

The type of medium

determines the execution style

Creativity plays a major role in the execution stage

Creativity should not overshadow

the messageThe execution style must match the

medium and objectives

What appeal is being used in this advertisement?

Is this ad effective in delivering the selling message?

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Assess Impact

Pretesting

Tracking

Protesting

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1. What are the steps involved in planning an ad campaign?

2. What is the difference between informational, persuasive and reminder advertising?

3. What are the pros and cons of the different media types?

Check Yourself

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Regulatory and Ethical Issues in Advertising

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Puffery

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Public Relations

TOMS Shoes Website

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1. Why do companies utilize public relations as part of their DML strategy?

2. What are the elements of a public relations toolkit?

Check Yourself

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Sales Promotions

Can be targeted at either the end user consumers or channel members

Can be used in either push or pull strategies

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Types of Sales Promotion

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Sales Promotion

What form of sales promotion is represented in this ad? Do you feel it is an effective promotion?

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Using Sales Promotion Tools

Cross-promoting

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Cross Promotion

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Evaluated Sales Promotions using Marketing Metrics

Realized margin

Cost of additional inventory

Potential increase in sales

Long-term impact

Potential loss from switches from more profitable items

Additional sales by customers

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1. What are various forms of sales promotions?

2. What factors should a firm consider when evaluating a sales promotion?

Check Yourself

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GlossaryAn advertising plan is a subsection of the

firm’s overall marketing plan that explicitly analyzes the marketing and advertising situation, identifies the objectives of the advertising campaign, clarifies a specific strategy for accomplishing those objectives, and indicates how the firm can determine whether the campaign was successful.

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GlossaryA continuous advertising schedule runs

steadily throughout the year and therefore is suited to products and services that are consumed continually at relatively steady rates and that require a steady level of persuasive and/or reminder advertising.

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GlossaryA flighting advertising schedule is

implemented in spurts, with periods of heavy advertising followed by periods of no advertising.

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GlossaryInstitutional advertisements inform,

persuade, and remind consumers about issues related to places, politics, an industry, or a particular corporation.

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GlossaryMedia buy is the actual purchase of

airtime or print pages.

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GlossaryThe media mix is the combination of the

media used and the frequency of advertising in each medium.

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GlossaryMedia planning is the process of

evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience.

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GlossaryProduct-focused advertisements focus

on informing, persuading, or reminding customers about a specific product or service.

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GlossaryPublic service advertising (PSA)

focuses on public welfare and generally is sponsored by nonprofit institutions, civic groups, religious organizations, trade associations, or political groups.

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GlossaryA pull strategy is a strategy in which the

goal is to get consumers to pull the product into the supply chain by demanding it.

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GlossaryA pulsing advertising schedule

combines the continuous and flighting schedules by maintaining a base level of advertising but increasing advertising intensity during certain periods.

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GlossaryA push strategy is designed to increase

demand by focusing on wholesalers, distributors, or sales people.

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