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Advertising and PR

2014 Rakesh NirajCase Weatherhead School of ManagementDesign & Innovation Department

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Importance and types of advertising

Advertising decisionsContent decisionsMedia decisions

Public relations: role and tools

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U.S. advertising (all types) is over $300 billion

More than 40 U.S. companies spend over $1 billioneach

The advertising industry is smallonly 150,000

employed by the 12,000 advertising agencies

Ad budgets of some firms are more than $3 billionannually

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The average U.S. citizen

is exposed to hundredsof ads each day.

Advertising may changea consumers negativeattitude toward a

product, or reinforce apositive attitude.

Advertising can affect consumerranking of a brands attributes.

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Corporate identity

Pioneering

Competitive

Comparative

ProductAdvertising

InstitutionalAdvertising

Advocacyadvertising

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Pioneering Stimulates primary demand for new

product or category

Used in the PLC introductory stage

Competitive

Influences demand for brand in thegrowth phase of the PLC

Often uses emotional appeal

Comparative Compares two or more competing

brands product attributes

Used if growth is sluggish, or ifcompetition is strong

Online

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A series of related

advertisements focusing on acommon theme, slogan, and set

of advertising appeals.

Advertising

Campaign

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Determine theadvertising objectives

Make creative decisions Make media decisions

Evaluate the campaign

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Attribute

Benefit

Powerades new line has been

reformulated to combine the scientific

benefits of sports drinks with

B vitamins and to speed up energy

metabolism.

So, youll satisfy your thirst with agreat-tasting drink that will power you

throughout the day.

- So?

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Saving/Profit

Health

Love or romance

Fear

Admiration

Convenience

Fun and pleasure

Vanity and egotism

EnvironmentalConsciousness

Product saves, makes, or protects money

Appeals to body-conscious or health seekers

Used in selling cosmetics and perfumes

Social embarrassment, old age, losing health

Reason for use of celebrity spokespeople

Used for fast foods and microwave foods

Key to advertising vacations, beer, parks

Used for expensive or conspicuous items

Centers around environmental protection

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A desirable, exclusive, and believable

advertising appeal selected as the

theme for a campaign.

Unique SellingProposition

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Mood orImage

Musical

Demon-stration

Scientific

Real/AnimatedProductSymbols

Fantasy

Lifestyle

Slice-of-Life

Humorous

Spokes-person/

Testimonial

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Advantages

Wide, diverse audience

Low cost per thousand

Creative opportunities fordemonstration

Immediacy of messages

Entertainment carryover

Demographic selectivity

with cable

Disadvantages

Short life of message

Consumer skepticism

High campaign cost Little demographic

selectivity with stations

Long-term advertisercommitments

Long lead times forproduction

Commercial clutter

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Advantages

Fast growing

Ability to reach narrow targetaudience

Short lead time

Moderate cost

Ability to experiment quickly

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Types and issues

Search - Paid search and organic search

Banner adsmore and more targeted - privacy User generated content

Word of mouthsocial media

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Press relations

Product publicity

Corporate communication

Public affairs

Lobbying

Employee and investor relations

Crisis management

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