advertising and public relations 15 principles of marketing

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Advertising and Public Relations 15 15 Principles of Marketing

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Page 1: Advertising and Public Relations 15 Principles of Marketing

Advertising and Public Relations

1515

Principles of Marketing

Page 2: Advertising and Public Relations 15 Principles of Marketing

Learning Objectives

After studying this chapter, you should be able to:

1. Define the roles of advertising in the promotion mix

2. Describe the major decisions involved in developing an advertising program

3. Define the role of public relationships in the promotion mix

4. Explain how companies use public relations to communicate with and influence important publics

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Chapter Outline

1. Advertising2. Public Relations

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Advertising

Developing Advertising Programs

• Setting advertising objectives• Setting the advertising budget• Developing advertising strategy• Evaluating advertising campaigns

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Advertising

Developing Advertising ProgramsSetting Advertising Objectives

An advertising objective is a specific communication task to be accomplished with a specific target audience during a specific time

Objectives are classified by primary purpose• Inform• Persuade• Remind

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Advertising

Developing Advertising ProgramsSetting Advertising Objectives

Informative advertising is used when introducing a new product category; the objective is to build primary demand

• Comparative advertising directly or indirectly compares the brand with one or more other brands

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Advertising

Developing Advertising ProgramsSetting Advertising Objectives

Persuasive advertising is important with increased competition to build selective demand

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Advertising

Developing Advertising ProgramsSetting Advertising Objectives

Reminder advertising is important with mature products to help maintain customer relationships and keep customers thinking about the product

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Advertising

Developing Advertising ProgramsSetting the Advertising Budget

Factors to consider when setting the budget

• Product life-cycle stage• Market share

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Advertising

Developing Advertising ProgramsSetting the Advertising Budget

Product life-cycle stage• New products require larger budgets• Mature brands require lower budgets

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Advertising

Developing Advertising ProgramsSetting the Advertising Budget

Market share• Building or taking market share requires

larger budgets• Markets with heavy competition or high

advertising clutter require larger budgets

• Undifferentiated brands require larger budgets

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Advertising

Developing Advertising ProgramsDeveloping the Advertising Strategy

Advertising strategy is the strategy by which the company accomplishes its advertising objectives. It consists of two major elements: creating the advertising message and selecting the advertising media.

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Advertising

Developing Advertising ProgramsCreating the Advertising Message

Advertisements need to break through the clutter:

• Gain attention• Communicate well

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Page 14: Advertising and Public Relations 15 Principles of Marketing

Advertising

Developing Advertising ProgramsCreating the Advertising Message

Advertisements need to be better planned, more imaginative, more entertaining, and more rewarding to consumers

• Madison & Vine—the intersection of Madison Avenue and Hollywood—represents the merging of advertising and entertainment

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Advertising

Developing Advertising ProgramsCreating the Advertising Message

Steps in creating effective advertising messages

1. Message strategy2. Creative concept3. Message execution

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Advertising

Developing Advertising ProgramsCreating the Advertising Message

Message strategy is the general message that will be communicated to consumers

• Identifies consumer benefits

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Advertising

Developing Advertising ProgramsCreating the Advertising Message

Creative concept is the idea that will bring the message strategy to life and guide specific appeals to be used in an advertising campaign

Characteristics of the appeals include:• Meaningful• Believable• Distinctive

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Advertising

• Slice of life• Lifestyle• Fantasy• Mood or image• Musical

• Personality symbol• Technical expertise• Scientific evidence• Testimonial evidence

or endorsement

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Developing Advertising ProgramsCreating the Advertising Message

Message execution captures the target market’s attention and interest and can include the following execution styles:

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Advertising

Developing Advertising ProgramsCreating the Advertising Message

Message execution also includes:• Tone

• Positive or negative• Attention-getting words• Format

• Illustration• Headline• Copy

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Advertising

Developing Advertising ProgramsSelecting Advertising Media

Major steps include:1. Deciding on reach-frequency-impact2. Selecting media vehicles3. Deciding on media timing

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Advertising

Developing Advertising ProgramsSelecting Advertising Media

Reach is a measure of the percentage of people in the target market who are exposed to the ad campaign during a given period of time

Frequency is a measure of how many times the average person in the target market is exposed to the message

Impact is the qualitative value of a message exposure through a given medium

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Advertising

Developing Advertising ProgramsSelecting Advertising Media

Selecting media vehicles involves decisions that present the media effectively and efficiently to the target customer and must consider the message’s:

• Impact• Effectiveness• Cost

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Advertising

Developing Advertising ProgramsSelecting Advertising Media

Narrowcasting versus shotgun approaches

Narrowcasting focuses the message on selected market segments

• Lower cost• Targets more effectively• Engages customers better

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Advertising

Developing Advertising ProgramsSelecting Advertising Media

When selecting specific media vehicles, the planner must consider cost of the media as compared to its effectiveness by evaluating:

• Audience quality• Audience engagement• Editorial quality

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Advertising

Developing Advertising ProgramsSelecting Advertising Media

When deciding on media timing, the planner must consider:

• Seasonality• Pattern of the advertising

• Continuity—scheduling within a given period

• Pulsing—scheduling unevenly within a given period

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Advertising

Developing Advertising ProgramsEvaluating Advertising Effectiveness and Return on

Advertising Investment

Types of evaluation include measuring:• Communication effects• Sales and profit effects

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Advertising

Developing Advertising ProgramsEvaluating Advertising Effectiveness and Return on

Advertising Investment

Communication effects indicate whether the ad and media are communicating the ad message well and can be tested before or after the ad runs

Sales and profit effects compare past sales and profits with past expenditures or through experiments

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Advertising

Developing Advertising ProgramsOther Advertising Considerations

• How will the company organize its advertising function?

• Who will perform which advertising tasks?

• How will the company adapt its advertising strategies and programs to international markets?

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Advertising

Developing Advertising ProgramsOther Advertising Considerations

Organizing for advertising can include:• A salesperson in smaller companies• Advertising departments and outside

agencies in larger companies

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The End