copyright cengage learning 2013 all rights reserved 1 chapter 17: advertising and public relations...

Copyright Cengage Learning 2013

All Rights Reserved

1

Chapter 17: Advertising and Public Relations

Introduction to

Designed & Prepared by Laura RushB-books, Ltd.


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Learning Outcomes

Discuss the effects of advertising on market share and consumers

Identify the major types of advertising

Discuss the creative decisions in developing an advertising campaign

Describe media evaluation and selection techniques

Discuss the role of public relations in the promotional mix

LO1

LO2

LO3

LO5

LO4

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Advertising and Market Share

New brands with a small market share spend proportionally more for advertising and sales promotion than those with a large market share

1. Beyond a certain level of spending, diminishing returns set in.

2. New brands require higher spending to reach a minimum level of exposure needed to affect purchase habits.


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Major Types of Advertising

Institutional Advertising- Enhancesa company’s image rather than promotes a particular product.

Product Advertising- Touts thebenefits of a specific good or

service.


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Product Advertising

PioneeringPioneeringPioneeringPioneering Stimulates primary demand for

new product or category Used in the PLC introductory stage

CompetitiveCompetitiveCompetitiveCompetitive Influences demand for brand in the

growth phase of the PLC Often uses emotional appeal

ComparativeComparativeComparativeComparative Compares two or more competing

brands’ product attributes Used if growth is sluggish, or if

competition is strongOnline

http://www.pizzahut.comhttp://www.papajohns.com


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http://www.pizzahut.com/

http://www.papajohns.com/

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Creative Decisions in Advertising

Advertising Campaign - A series

of related advertisements

focusing on a common theme,

slogan, and set of

advertising appeals.


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Setting Objectives: The DAGMAR Approach

Define target audienceDefine target audience

Define desired percentage changeDefine desired percentage change

Define the time frame for change Define the time frame for change


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Creative Decisions

Develop and evaluateadvertising appeals

Develop and evaluateadvertising appeals

Execute the message

Execute the message

Evaluate thecampaign’s effectiveness

Evaluate thecampaign’s effectiveness

Identify product benefits

Identify product benefits


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Identify Product Benefits

Attribute

Benefit

“SoBe Life Water has reformulated five delicious, low-calorie flavors, each infused with essential vitamins and

healthy herbal ingredients.”

“SoBe Life Water is not only an enhanced water; it is a lifestyle unto itself. It

provides consumers the healthiest, most fun and refreshing products, delivering

the incredibly positive benefits of hydration.”

- So?


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Advertising AppealsProfit

Health

Love or romance

Fear

Admiration

Convenience

Fun and pleasure

Vanity and egotism

Environmental Consciousness

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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Unique Selling Proposition

A desirable, exclusive, and

believable advertising appeal

selected as the theme

for a campaign.


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Media Decisions in Advertising

NewspapersNewspapers

MagazinesMagazines

Yellow PagesYellow Pages

InternetInternet

RadioRadio

TelevisionTelevision

Outdoor MediaOutdoor Media

Direct MailDirect Mail

Trade ExhibitsTrade Exhibits

Cooperative AdvertisingCooperative Advertising

BrochuresBrochures

CouponsCoupons

CatalogsCatalogs

Special EventsSpecial Events

Monitored MediaMonitored Media Unmonitored MediaUnmonitored Media


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Major Advertising Media

NewspapersNewspapers

MagazinesMagazines

RadioRadio

TelevisionTelevision

Outdoor MediaOutdoor Media

Yellow PagesYellow Pages

InternetInternet


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Media Selection

• Media Mix – Combination of media to be used for a promotional campaign

• Cost per contact – The cost of reaching one member of the target market

• Reach – number of target consumers exposed to a commercial at least once during a specific period, usually four weeks

• Frequency – number of times an individual is exposed to a given message during a specific period


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Qualitative Factors in Media Selection

• Attention to the commercial and the program

• Involvement

• Program liking

• Lack of distractions

• Other audience behaviorsCopyright Cengage Learning

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Media Scheduling

ContinuousMedia Schedule

Flighted Media Schedule

PulsingMedia

Schedule

SeasonalMedia Schedule

Advertising is run steadily throughout the period.

Advertising is run heavily every other month or every two weeks.

Advertising combines continuous scheduling with

flighting.

Advertising is run only when the product is likely to be used.


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copyright cengage learning 2013 all rights reserved 1 chapter 17: advertising and public relations...

Documents

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effects of advertising

new product

learning outcomes

particular product

market share new brands

creative decisions

small market share