course outline -integrated marketing communication_455final (copy)
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Institue For Technology & Management
Marketing Management
Year: (20011 2013) Term :
!"#$% TIT' : Integrate Marketing !ommunication
F!#'TY : Prof. Namratha Suvarna
!ourse !oe : *++
!ourse Title : Integrate Marketing !ommunication
,o- o. !reits : 2-+
!ontact /ours : 2+ hrs
"ecties :
To increase the students understanding of the fundamental concepts of integrated
marketing communication and communication process. Become knowledgeable about the
important issues in planning and evaluating integrated marketing communication. Appl
the appropriate theories and tools to plan! develop! and evaluate integrated marketing
communication. "onstruct a complete advertising campaign.
!ontents:
#valuation of Broadcast! Print and Support $edia
Sales Promotion: Scope and %ole! consumer & oriented and trade oriented sales promotion
Public %elations! Publicit and "orporate Advertising
$easuring the effectiveness of the Promotional programmes
#valuating the Social and #thical aspects of Advertising and Promotion
%egulation of Advertising and Promotion
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to be covered will be announced in advance it is essential that students too should come prepared
for the class to discuss the material due for that session. The students will be notified for the
dates of submission and presentation of assignments cases! and pro?ects etc.
The breakup of internal evaluation ma differ from class to class
CASE ANALYSIS :
This covers the analsis of the given cases. The same case will be given to all the group. 3nl
one or two will be asked to make a presentation followed b the answering the @uestions b
students and the facult and e8pressing the view points of the groups.
SESSION-WISE COURSE OUTLINE :
T C TopicD !C "aseE#8erciseD $ C %eading
$aterial!
T4$CAdvertising and Promotion
An ($" Perspective : )eorge #. Belch * $ichael #. Belch! Tata $c)raw&+ill! New ,elhi!
-th #dition! //0.
T4$C (ntegrated Advertising! Promotion * $arketing : "low! 1enneth #! Baack! ,onald! nd
#dition! //2! Prentice&+all (ndia.
Total Marks : 1+0
Internal ssessment : 50
6ternal ssessment Marks : 70
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(Internal ssessment 8ill e ase on the .ollo8ing arameters-
%r ,o ctiity
' )roup Pro?ect
%ole Pla
6 $ultiple "hoice FuestionE 3b?ective Test
5inal Presentation
< AssignmentsE News E Article Analsis
- "ase Presentation
%ession 19 2 & 3 T 1 : aluation o. 4roacast9 rint an %uort Meia
rticle 1: Ad Trends for /'
rticle 2 : Ads on ,igital $arketing
rticle 3 : Advertisers: ;earn to ;ove the ,>%
T4$ !hater ; :#valuation of Broadcast! Print and Support $edia
T4$ !hater 11912913 :#valuation of Broadcast! Print and Support
$edia
%ession * & + T 2: %ales romotion: %coe an $ole9 consumer < oriente an trae
oriente sales romotion
,e8s merging Trens in ertising
T4$ !hater 7 & 10 :Trade PromotionD "onsumer promotion
T4$ !hater 1+ :Sales Promotion
!% !ase %tuy 2: ,ike
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rticle: 1 P% Persuasion
T4$ !hater 12 : Public %elations
T4$ !hater 15 :Public %elations! Publicit and "orporate Advertising
!% !ase %tuy 1 Inian irlines change o. ientity to Inian
ssessment < 1 3b?ective Test
%ession ; T * : Measuring the e..ectieness o. the romotional rogrammes
rticle: 1 ,e8 'a8s o. the >ingle
!% "ase Stud: (B$ 4ran ?uity $estoration an ertising
olution
T4$ !hater 1+ :aluating an Integrate Marketing rogramme
T4$ !hater 1; : $easuring the effectiveness of the Promotional
programmes
isit Supermarket * make a list of Promotional tools u observe. 4hich
do ou think are effective and 4h
%ession 7 T + : aluating the %ocial an thical asects o. ertisingan romotion
$TI!' 1
thical Issues @hen Marketing To !hilren
T4$ !hater 22 :aluating the %ocial an thical asects o.
ertising an romotion
ssessment < 2
%ession 10 911 T 5: 4uyer 4ehaior $eca
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rticle: 1 4uyer ersona
T4$ !hater 3
%ession 1291391+ T =: ertising Management
rticle: 1 %election o. an aertising gency
T4$ !hater +
%ession 1591=91; T ;: ertising Aesign :Theory an Frame8orks
rticle: 1 Mean ens aroach : eole onBt uy .eatures or ene.its
T4$ !hater 5
%ession 17920 T 7: Message %trategies an e6ecution
rticle: 13 ..ectie ertising Message %trategies
T4$ !hater =
ASS()N$#NT
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'. Peruse certain maga=ines that carr advocac E issue advertisements endorsed b various
companies. ,escribe the core competenc of the compan and the causes it is espousing
and the possible reasons for it to be seen as a responsible corporate citi=en.
. Pick up Business ?ournalEmaga=ineEnewspaper. ;ocate the ad agenc reports. (dentif the
strategies that these agencies are emploing at present. Analse the information ou havecollected to write an e8plorator note on the strategies being used b them.
6. )roup Assignment Pro?ect
(dentif an organisationEad agenc and find out their (ntegrated $arketing
"ommunications Programme.
( +istor
(( >isionE$ission
((( 3rganisation )oals
(> ProductsEServices
> 3rganisation Structure
>( Tpe of Ad Agenc
>(( Promotion $i8
>((( Agenc "ompensation
(G "lienteele
G %esponsibilit for ($"
G( "urrent ads in all media
G(( Advertising %ates in media
G((( %atings of companEAgenc
G(> 5uture of all $edia
Submit a report on this assignment on or before E''E'.
)roup Presentations on E'E'.
As per the ($" campaign manual prepare a campaign plan for given brand group
pro?ect
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T"I! 1
$TI!' 1
http:EEonline.ws?.comEarticleESB'///'/
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Still! a flair for technolog wonIt be enough to stand out amidst the stupefing ad clutter. To grab
attention! some ad e8ecutives e8pect to see more comed in the mi8 while others foresee an
uptick in raunchier promotions! peppered with f&bombs.
4hat follows are some of $adison AvenueIs predictions for /':
"ouch&Potato )atherings
New down loadable apps will turn T> watching into a virtual communit event. MApps like )et
)lue invite viewers to check&in to a program and have conversations with others watching the
same thing!M sas ,aniel 1habie! chief e8ecutive officer of ,igitaria! a digital&marketing firm
owned b 4PP P;". 4PP)J /.'/O MT> networks will pump it up because it encourages live
watching and thus commercial watching.M
5oul&$outhed Ads
MAds with f&bombsQ )et used to it!M sas )lenn "ole! chief creative officer of 2 * Sunn! a unitif $," Partners (nc. $,"A .0HO M$a?or brands will start to take off the grann pants and
create racier content that demands the attention and respect of ounger audiences.M Such content
would be focused on the 4eb and certain cable&T> channels.
)etting to 1now Jou
Along with small screens on store shelves flickering with product promotions! kiosk&like
machines will offer personali=ed Mproduct suggestions!M sas $ichele 5abri=i! chief e8ecutive
officer of $A%" 9SA. MSo if ou want to bu the same shade of lipstick or even the same color
of paint! it will be able to remind ou what ou purchased previousl.M
5acebook 5atigue
Ad e8ecutive forecasts include: 5acebook follows 5on=ie.
5acebook users now spend an average of si8 and a half hours a month on the social&networking
site. But some ad e8ecutives e8pect the siteIs popularit to fade.
M5acebook finall ?umps the shark!M sas $r. 1habie of ,igitaria! using a television&industr
idiom that essentiall means itIs downhill from here.
M(P3 privac issues our grandma ?oining one redesign too man general social&networkfatigue C 5on=ie on water&skis!M he sas! referring to the rather&desperate M+app ,asM episode
that gave rise to the e8pression M?umping the shark.M
Blake "ahill! president of Banan Branch! a social&media agenc! anticipates that consumers will
be driven awa b an infiltration of ads as 5acebook comes under growing pressure to make
more mone.
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At the same time....
4ebsites $igrate
5ortune est. M4eIll see more comed in ads and use of comedians!M he sas.
$obile $adness
$obile devices do the shopping.
#ver ear! MBlack 5ridaM sends shoppers into an irrational ti==. Now add two more das. M(n
/'! I$obile ThursdaI will ?oin IBlack 5ridaI and I"ber $ondaI as record shopping das!M
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sas "olin 1insella! chief e8ecutive of ,igitas North America! a digital&ad firm owned b
Publicis. $r. 1insella is predicting that Mthe link between mobile and commercial will thickenM
in /'! which means more mone for the mobile industr.
Adds $r. "ole at 2 * Sunn: M$obile devices are now the place where ou can have our most
meaningful! most valuable! and even most inspiring relationship with a brand.M
$TI!' : 3
htt:CChr-orgC2010C0*Caertisers% use diminishes the effectiveness of T> ads.
+is stud of '!/// 9.S. households! of which // had ,>%s! showed no decrease in recall or in
prompted recognition of commercials two basic measures of ad effectiveness among the ,>%
users. ,u Plessis attributes the results to the fact that on most recent&model ,>%s! it is not eas
to fast&forward through a commercial.U To skip an advertisement without going past it! a viewer
has to pa close attention to it on the ,>%.
5urthermore! when $illward Brown showed a theater full of volunteers some fast&forwarded
ads! complete with static and other electronic interference! it found that people were able to
mentall process the commercials. %ecall was no worse than the overall average recall of T>
ads. $ost viewers who remembered the content of the speeded&up commercials reported havingseen them beforeevidence thats consistent with other findings b the firm. %ecall was of
course lower for ads the viewers hadnt seen before. To ensure that spots are seen at least once
at regular speed! advertisers should consider placing them initiall on programs likel to be
watched as there broadcast! such as sports or news shows! du Plessis advises.
The recent proliferation of set&top bo8es has dramaticall increased the number of homes with
,>%s: Some 6/O of 9.S. households had the technolog when Nielsen did a surve in //0. As
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for how man ads get skipped b ,>% users! one stud estimates -HO. But therein lie
opportunities! suggests ,uke 9niversits 1enneth ". 4ilbur in a 7ournal of Advertising article.
As data accumulate on who skips what! advertisers can make better marketing decisions. (f our
target demo tends to be an ad watcher! ou should pour more mone into 6/&second spots. (f not!
focus our ad bus elsewhere.
T> advertisers have been like spiders! 4ilbur sas! weaving webs and hoping bugs will fl into
them. 4ith ,>%s giving viewers greater control! he advises advertisers to behave more like
bats: 9se sonar to figure out where the bugs are! and go get them.U
T"I! 2
,@%
'. #merging Trends in Advertising
V $inakshi "hauhan Asopa
(n the present scenario! the advertising world is going through a dnamic phase due to change in
economic set&up and cut&throat competition in the market. "reative advertising tools are being
used to lure the customers! engage their minds! trigger their emotions! and change their
perception. The advertising world is making efforts to e8ploit a creativit and harness innovative
skills! in order to push customer for desired product or service leading to emergence of various
new concepts and trends in advertising sector.
. Present Scenario of 3utdoor Advertising in (ndia : New #merging Trends
V " P %ashmi
3ut&of&+ome 33+ advertising popularl known as outdoor advertising is propelling (ndia. A
stud of the pattern and trends of 33+ in (ndia reveal that the first world countries dominate the
minds of advertisers as usual. +istor reveals that all the paradigms are generall copied b the
4est. 3utdoor advertising also follows a similar trend. This article cites various national and
international case studies and anal=es how western ideas influence the creative minds of the
(ndian market.
6. %#S#A%"+
Addressable Advertising : 5uture of Television Advertisement
V Samiran Sur! $rinalini Pande
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Traditional T> advertisers are facing challenges because of multi&platform distribution that
fragments the target viewers. Advertisers cannot measure their %o( immediatel and the amount
of wastage ads is also unpredictable. 9sing Personal >ideo %ecorder P>%! viewers can skip
ads in a simple wa! which is also a threat to the advertising industr. $ost of these deficienciescan be covered up b (nternet Protocol Television (PT> through its inherent characteristics like
addressabilit! interactivit and measurabilit.
. %#S#A%"+
"onceptual 9nderstanding of #lectronic Advertising for "ause %elated $arketing "ampaigns in
(ndia
"ause %elated $arketing is one of the most talked about concepts in marketing function. Though
its implementation b (ndian organi=ations is not noteworth! organi=ations are looking forward
to adopt this concept. This article mainl draws attention towards the usage of electronic
advertising followed b different organi=ations for "ause %elated $arketing campaigns.
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!% !ase %tuy 2: ,ike
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T"I! 3
rticle 1
Public relations is a profession! craft! or ?ob categortake our pickbased on appling
factual information and opinion to persuade people toward a particular perspective.4hether ouIre attempting to position a compan or product as a categor leader! gain
permission from a communit to make changes! or push a law through the legislature! P% needs
to tell interesting et believable stories that make the target audience consider a new perspective
or see the sponsor in a new light.
(f our stories arenIt understandable! interesting! provocative! or supportable read accurate and
believable! then our publicit effort probabl hasnIt got wheels.
ItDs all aout the storyE
(tIs prett ama=ing that this basic idea is missed b so man business managers! marketers! and
promoters. The essence of stortelling is newness or newsworthiness. ;ook at the following hints
for potential news value:
Effect:how man people were! or are! affectedor will beQ
Timeliness:did the event occur ver recentlQ
Revelation:is there significant new information! previousl unknownQ
Proximity:was the event nearb geographicallQ
Oddity:was the event highl unusualQ
Entertainment:does it make for a fun storQ
Celebrity:was anone famous involvedQ
Another wa of thinking about the stortelling challenge! particularl in the commercial world!
is bringing MwhatIs differentM into our stor.
$arketing gurus 7ack Trout and Al %ies have long e8plained the need for differentiation and itIs
never truer than when ou begin a P% campaign.
(n spite of the immense overuse of the word Mpositioning!M few trul understand what is involved
in achieving perceptual separation in the minds of the market. %ead an of their books! such as
Positioning, The Battle for Your ind! Trout on !trategy, or The "all of #dvertising and the Riseof PR! or man others! so ou can incorporate clear! simple thinking and strategic direction into
our campaign planning.
,iscovering! understanding! enunciating! and demonstrating a clear and simple difference in
language is essential to the success of both the public relations campaign and the business or
political venture. A memorable slogan for this is M,istinct or #8tinct.M
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The Aance o. Ai..erentiation: 'earn It
The first thing anone managing a P% effort needs to ask is M4hatIs newQM:
4hat are we doing or what can we sa thatIs both important to our audience and unlike
what competing entities are saingQ
+ow can we effectivel separate what weIre saing or doing from the communications
noise affecting the people we want to connect withQ
4hat kind of an interesting stor interesting to our audience! that is can we tell that will
make them pa attention and help us to gain share of mindQ
,o we need to be contrarian or outrageousQ
"an we discover some ke truths that others havenIt e8pressedQ
$ost of the time! answers are ling around and are @uite obvious: 4hat strongl held beliefs
about related issues and trends do the organi=ationIs managers holdQ Are the being e8pressedQ"an ou Mput a face onM the organi=ation b giving voice to these beliefsQ Those are all handles
for a P% pro to grab when looking for stories that can give the campaign some legs.
$ost often the stor thatIs interesting or that will garner attention in the commercial sector isnIt
about the product or service ouIre selling. $ore likel! itIs about how people are using our
products or the competitionIs and the positive effect itIs having on their lives.
The stor ma also be about whatIs not available! what people need that isnIt et provided or one
our compan will perhaps be introducing months from now. New concepts can be the basis for
great stortelling.
Persuading managers to e8press their opinions and become the voice of their organi=ation or
compan can be difficult. +owever! teasing ideas out of those who should be speaking for the
compan can also be a fun part of public relations work. 3nce theIve done it a few times!
survived! and seen their name in print! theIll be more willing to be public with their ideas.
;istening and reading what tends to be! these das! in PowerPoint presentations does anone
still write in complete sentencesQ! can often uncover relevant and effective stor ideas. 4hether
ouIre practicing public relations within a compan or as agenc counsel! the time spent listening
to management and clients or reviewing their written output can uncover man stor ideas or
angles.
%eading related industr news is another ke wa of discovering appropriate stor ideas. All P%
pros need to invest time staing abreast of whatIs going on in the industries or market sectors in
which theIre working. %eading provides an added wa of seeing potential stories ou can tell or
to which ou can hitch our stor. (t also familiari=es ou with what ke ?ournalists are covering.
1nowing that is essential as well.
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Armed with a solid list of stor ideas that are connected to the essential difference ou want
people to perceive about our organi=ation... will help make all the aspects of a P% campaign roll
forward with greater vitalit and impact. 5irst! get the strategic stor down! and the P% programIs
tactics will flow naturall from of it.
%ead more: http:EEwww.marketingprofs.comE2Epr&persuasion&is&all&about&stor&and&positioning&
kan=ler.aspYi8==-;+)8S"/
http://www.marketingprofs.com/7/pr-persuasion-is-all-about-story-and-positioning-kanzler.asp#ixzz26LHGxSC0http://www.marketingprofs.com/7/pr-persuasion-is-all-about-story-and-positioning-kanzler.asp#ixzz26LHGxSC0http://www.marketingprofs.com/7/pr-persuasion-is-all-about-story-and-positioning-kanzler.asp#ixzz26LHGxSC0http://www.marketingprofs.com/7/pr-persuasion-is-all-about-story-and-positioning-kanzler.asp#ixzz26LHGxSC0 -
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!% !ase %tuy 1 Inian irlines change o. ientity to Inian
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T"I! *
$TI!' 1
http:EEhbr.orgE//
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adored though others hated last ears Fui=nos campaign featuring two bi=arre koala&like
creatures crooning! 4e love the subs.U Seth Stevenson! a writer for Slate who deconstructs
advertising! praised the spot and b e8tension the song for educating consumers about the
brand. 4ere told that Fui=nos subs are tast! crunch! warm! and toasted!U Stevenson sas.
4ere introduced to the concept of the pepper bar.U
The spots that we remember through the ears are the ones that sang to us about a product! or
danced for us about the product! or entertained us musicall about the product for 6/ seconds!U
writes Steve 1armen. Ask anone over 6/ whats in a Big $ac! and the will tell ouWbecause
it was sung.U
So there ma still be a role for ?ingles in marketing. ,ont underestimate the appeal of simplicit
in a complicated age.
T"I! +
$TI!' 1
#thical (ssues 4hen $arketing To "hildren
5eb 6! /'/
Introuction
$arketing ethics is an area that deals with the moral principles behind marketing. #thics in
marketing applies to different spheres such as in advertising! promotion! pricing. +owever! forpurposes of this essa! the ethics of advertisements will be dealt with especiall in relation to
children. $ohandeep! //'
$an marketers and analsts have agreed that children are marketerIs best friend. This is backed
up b evidence from watch groups such as $edia "hannel. (n the ear //2! the highlighted the
fact that in the 9nited States! close to two billion dollars was spent on advertisements to children.
(t was also revealed that children greatl affect the commodities their parents bu. #stimates
done in this field show that pro?ects tailored for children in the ear //- totalled fift two
billion dollars. $c)ee and +eubusch! '002
%egardless of all this potential returns that children can give manufacturers and their marketers!
there are ke ethical issues that arise in the discussion. 5or e8ample! do children have the
capabilit of understanding some of the intricate marketing tacticsQ ,o children posses the final
buing powerQ ,o marketers need to get permission from their parentsQ And do children
understand the negative effects of some of the products advertised to themQ These ke @uestions
will be analsed in relation to business pressures then recommendations will be made.
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ey ethical issues in marketing to chilren
Inoling sychologists in market research
Some companies have become notorious for the utilisation of pschologists in their advertising
and marketing campaigns. Normall what such companies do is that when tring to create
marketing strateg! the will involve pschologist to tell them about tactics that the can use toinfluence children. Since pschologists understand the wa childIs mind works! the can help
marketers create campaigns that will be directl aimed at them and those ones that can easil
influence their choices. This trend has becoming so alarming that the American Pschological
Association has raised an alarm about it. The have set up a committee to estimate the effect that
the involvement of pschologists in the marketing process of childrenIs products has on them.
The group has asserted that no pschological principles should be used when marketing to
children. The are also recommending that there should be some sort of strateg to protect the
oung ones from e8ploitation though the use of pschological plos. Beder! '00H
The basic framework which steers marketing ethics revolves around three main issues. TheseareD
values
stakeholders
processes
$arketing ethics that are done on a value inclined framework are those one that involve the
analsis of the kind of value that the marketing idea creates. So advertisements ma instil in their
target audiences positive or negative attributes. This all depends on their implementation. 5or
e8ample! an advertising targeting a child ma become a problem if it violates the right to privac!
transparenc! honest or autonom. B using pschologists in the process of creating
advertisements for children! marketers are imposing upon childrenIs right to autonom and
transparenc. The tr studing childrenIs behavioural trends and then use this to e8ploit those
children. This is @uite unethical.
The process oriented framework in marketing ethics is founded on the basis of analsing
marketing ethics through the categories that marketers use. 5or e8ample research! promotion and
placement must be done in an ethical manner. This is something that marketers have chosen to
ignore because their research is not done in an ethical manner. Their research involves using
pschological e8perts who ma use their knowledge to take advantage of children who belong to
vulnerable groups ;i=abeth! //'
Targeting chilren alone
$arketers who create marketing campaigns that are ?ust directed towards children onl are
engaging in unethical marketing practices. This is because children are naive. The are at a stage
of development called pro8imal development. At this stage! children simpl take up elements of
what the perceive in the world around them and then use it in various aspects of their lives.
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There is a certain level of trust that children have over and above than one of adults. The lack
the abilit to weigh arguments in a sober and even sometimes a cnical wa. "onse@uentl! this
makes them ver vulnerable to e8ploitation. $urph et al! //
#8amples of advertisements that are directed towards children alone are those ones that have
cartoon characters and are seen as specificall meant for children. At that point! children will feellike the are the onl ones with the abilit of purchasing the item et it is their parents who have
to foot the bill. 9nethical advertisements are those ones that do not involve getting consent from
parents. $ost of the time such advertisements are usuall aired in the afternoon during kidIs
programming sessions. The usuall create desires in children to have those advertisements at all
costs. 4hen advertising is done without parental consentD that is when children are watching
shows on their own then it become unethical. "hildren are too oung to realise the manipulations
that are going on through television or media advertisements. The also do not realise the
financial pressures that come with the purchase of items. (t would therefore be unethical for
marketers to leave parents out of their marketing strategies. Normall! ethical advertisements are
those ones that re@uire children to get their parents involved in the marketing place. This can beachieved b stating it directl in the advertisement. (t can also be achieved b limiting some
childrenIs products in parental maga=ines or targeting families in general instead of ?ust children.
4amack! ///
Advertisements targeting children alone have shown their effects in a number of was. (n the
ear //2! it was found that about fift eight percent of all the items purchased b children
through their allowances are sweets and tos were the ne8t highest items to be purchased b
children. This took up a whooping thirt percent. Tos and cand are all items that are advertised
directl children hence the staggering statistics. ,avidson! //
Advertising to children alone brings out ver fundamental ethical issue. (t highlights the power
analsis issue in marketing. An form of marketing that claims to be ethical must adhere to the
power balance principle. The scales must not be tipped towards the consumer neither should the
favour the marketer either. 4hen marketers target vulnerable markets! the tend to make the
situation favour them. This is what is called caveat emptor in marketing. (t is an unfair scenario
and is also e8ploitative in nature. $c)ee and +eubusch! '002
Tpes of products! manner of advertisements and other @ualities can indicate whether or not an
advertisement is targeting children. (t should be noted that there are certain elements that if
conducted b marketers ma be deemed unethical for e8ample! when an advertisement is made
in such a manner as to impl that it is meant for children. Some elements to watch out for areD
music
images
voices
colour
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These are all elements that are meant to draw on childrenIs attention. Besides this! there ma be
certain activities e8pected to captivate children such a drawing! then those advertisements ma
be meant for them. Besides that! some advertisements ma have characters that are designed for
that demographic group. Sometimes some advertisements ma be placed in publications that are
usuall read b children alone. The ma also be placed in areas that have children. $urph et
al! //
All these features can be deemed unethical if the will be seen or heard b children e8clusivel!
5or e8ample! if the advertisement is placed in a publication that is read b children alone then
this is unethical because there is not parental consent there or if it is broadcast at times when
children could be watching without parental consent. ;i=abeth! //'
Sometimes the kind of content in the advertisements matters too. Advertisements that are created
in such was as to make children feel less about themselves if the lack that product ma be
deemed unethical. Also advertisements that will promote harmful products to children are also
unethical. 5or e8ample! there were certain tos from "hina that had an e8cess of chemical
elements and e8posed certain risks to children who were plaing with them. (f advertisements
posses those characteristics! then the ma be considered unethical.
$ecommenations
$esonsile marketing
The issue of marketing itself has two main components. The first group is made up of the
abolitionists and the second are the libertarians. The abolitionists believe that all advertising to
children is wrong and that it should be completel eliminated. But this is something that is
unrealistic and cannot be feasible in todaIs fast paced and commercial world. The other e8treme
is held b the liberalists who believe that advertisements to children should be left as the are.The insist that societ shapes advertisements and that advertisements do not change moral
values. But this is dening the obvious. The fact that children in the 91 and even in other parts
of the world spend the largest portion of their leisure time watching television implies that the
will pick up some of the habits depicted on their screens. 4amack! ///
(n light of the above facts! it is important to come up with a compromise on the issue through
taking up responsible marketing. "hildren can still be considered as a target audience for
marketing of retail products! however! this should be conducted in such a responsible and
sociall sustainable manner.
There are three main alternatives available for marketers targeting children and these areD
viewing children as docile consumers
viewing children as non& consumers
viewing children as informed consumers
"hoosing the non&consumer part would not be ver market friendl because as it has been seen
from earlier parts of the essaD children have substantial levels of buer power. (t is would
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therefore be uneconomical not to tap this ver valuable market resource. 3n the other hand!
viewing children as docile consumers causes a lot of ethical controversies that have been raised
earlier. "onse@uentl! the most sustainable form of marketing should be viewing children as
informed consumers. $arketers need to advertise and market their products in such a wa that
there will still be room for them in the future. This will be effectivel achieved b informing
children about marketing ideas. This will enlighten them and give them a ver valuable assetD
choice. $c)ee and +eubusch! '002
(nforming children about the intricacies of marketing at an earl age will go a long wa in
ensuring that children can understand the fundamentals of the commercial world. (t will mean
that childrenIs naivet will not be taken advantage of and that the will have the power to decide
for themselves whether or not products are good for them. The ethical issues that have been
brought forward stem from the fact that children are too oung to understand the main reasons
behind marketing displas. (nforming them about this will drasticall reduce those ethical
concerns and will at the same time still allow marketers to go about marketing their products.
Beder! '00H
(t should be noted that some countries like Sweden have argued that children can understand the
effects of commercial marketing after reaching the age of twelveD some have suggested four and
others ten. The claim that at that point! be it ! '/! or '! children can understand the
commercial world and the e8ploitation tendencies that their worlds present them. "onse@uentl!
human rights groups claim that marketers should not target children that fall below that group.
But that debate can be eliminated if children below those established ages are made aware of the
commercial world.
$egulations
This is something that is alread in place! but still needs more emphasis. Advertisements should
not be aired during childrenIs programming as the are likel to be unsupervised at that point.
)overnments should institute statutor regulations on television advertisements. Advertisements
should also be edited such that the do not seem to appeal to the child directl. The should be
made in such a wa that the will involve the parent or famil. $ohandeep! //'
!onclusion
Advertisements to children have sparked off lot of controvers resulting in various reactions in
various countries. +owever! e8perts agree that unethical marketing occurs when advertisements
are directl aimed at children without getting consent from parents. 3rganisations can go aboutthis issue through regulating their content! changing their times and embarking on a consumer
education to make their oung audiences aware. 4amack! ///
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T"I! 5
$TI!' 1
Stick situation at "adbur (ndia
"adbur (ndia head@uarters in $umbai
b Samar Srivastava
1raft 5oods owned "adbur (ndia is in a regulator mess after some of its officials tried to bribe
their wa through important approvals
At :/ pm on September -! /'/! an important rende=vous took place at the Ta? "handigarh.
%a?an Nair! who is responsible for securit at "adburs operations in (ndia! was there to meet a
man who had provided canteen services to the compans factor in Baddi! +imachal Pradesh.Sensing the gravit of the situation! Nair had informed his boss Adrian 4ong! director securit
and special investigations at 1raft 5oods! who had flown over !/// km from Singapore for the
meeting.
At the meeting! $ohit! the canteen services provider! went about detailing allegations of
corruption and wrongdoing at the compans Baddi facilit.
4hile $ohit conceded he was upset about the manner in which his services were terminated! he
said he had enough evidence to show the compan had bribed government officials. +e planned
to make life difficult for "adbur! which was taken over b 1raft 5oods in /'/.
Si8 months later! in 5ebruar /''! in a filing with the 9S markets regulator Securities and
#8change "ommission S#"! 1raft 5oods disclosed that it had carried out a review of
compliance sstems at "adbur! and admitted that it had found facts and circumstances that
warranted further investigation in (ndia.
It also ae that on Feruary 19 20119 the comany ha receie a suoena .rom the
%!- The suoena9 issue in connection 8ith an inestigation uner the Foreign !orrut
ractices ct (F!) 8as relate to a !aury .acility that ra.t ac?uire in Inia-
The S#" had asked for information regarding dealings with (ndian government agencies andofficials to obtain approvals related to the operation of that facilit and that 1raft was full co&
operating with the investigation.
(mmediatel following the whistle&blower incident! 1raft 5oods kicked off a detailed
investigation of the case in (ndia! led b #rnst * Joung. (t also sought the legal opinion of
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corporate law firm ALB * Partners. The reports of both #rnst * Joung and ALB * Partners on
the issue are with 5orbes (ndia.
Also! 1raft engaged the services of 9S law firm Baker and $c1en=ie! which counts 5"PA cases
among its specialities. The firm will submit its report directl to the S#". (t ma take a few
weeks or at least a couple of months for the S#" to rule on the nature of the violation.
en as this intriguing case 8ins o8n to8ars its .inal outcome in the #%9 !aury
Inia coul .ace the 8rath o. the !entral 6cise !ommissioner in ,e8 Aelhi as 8ell-
lreay9 senior e6ecuties9 incluing nan rialu9 its managing irector9 hae een
summone to the 6cise !ommissionerBs o..ice-
The o..ices o. !aury Inia in Mumai hae een raie9 an comuters an other
ocuments con.iscate-
5our ke senior e8ecutives! who were directl involved in the case! including two who were
e8ecutive directors on the board! have alread left the compan in the last ear. "J Pal! the non&
e8ecutive chairman of "adbur (ndia! sas! 4e are aware of the matter and whatever action had
to be taken has been taken.U +e declined to discuss the matter of the 5"PA investigation an
further or comment on the possible outcome of the #8cise ,epartment investigation.
So what reall transpired inside the Baddi plantQ
The #8cise Slip&up
(n 7une //0! "adbur (ndia set up a large e8tension facilit at their e8isting operations in the
village of Baddi in +imachal Pradesh! churning out < Star and ,air $ilk chocolates and
colorful button&shaped )ems. 5or the compan! this capacit increase was a strategic investment.
5or not onl did it e8pect to catch up with galloping demand for its products! it also knew it was
on track to receive a substantial ta8 break.
3ver the course of the ne8t '/ ears! the management e8pected ta8 savings! to the tune of -/
million pounds %s
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month later9 it 8rote ack asking .or etails on the grouns uner 8hich the e6emtions
8ere alie .or- It aske !aury Inia 8hether the goos 8ere eing manu.acture at
the location or 8hether they 8ere eing simly reackeGto receie the e6emtion9 the
comany ha to roe that the unit 8as comletely ineenent- The 6cise Aeartment
een 8ante a H.lo8 chart o. the manu.acturing rocess to roe that goos 8ere eing
manu.acture at the site-
;astl! it asked for details of investment in plant and machiner at the unit.
The letter put officials at "adbur (ndia on the back foot. Not onl were the unprepared to
answer these @uestions! the knew the would have a tough time proving that this was indeed a
new unit! thereb making their claim for a ta8 break untenable. Noted ta8 lawer ;akshmi
1umaran was engaged as the compan looked for a wa out.
$ea more: htt:CC.oresinia-comCarticleCreal
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children have become convinced that theIre inferior if the donIt have an endless arra of new
products.
Now 1anner and several colleagues are up&in&arms about pschologists and others who are using
pschological knowledge to help marketers target children more effectivel. TheIre outraged
that pschologists and others are revealing such tidbits as wh 6& to 2&ear&olds gravitate towardtos that transform themselves into something else and wh H& to '&ear&olds love to collect
things. ;ast fall! 1anner and a group of
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enterprise of advertising is about creating insecure people who believe the need to bu things to
be happ. ( donIt think most pschologists would believe thatIs a good thing. ThereIs an inherent
conflict of interest.M
AdvertisersI efforts seem to work. According to marketing e8pert 7ames 9. $cNeal! Ph,! author
of MThe 1ids $arket: $ths and %ealitiesM Paramount $arket Publishing! '000! children under' alread spend a whopping RH billion a ear. Teen&agers spend R'// billion. "hildren also
influence another R0 billion spent b their parents.
The effect this rampant consumerism has on children is still unknown! sas 1anner. (n an
informal literature review! he found man studies about how to make effective ads but not a
single stud addressing adsI impact on children. (nstead! he points to research done b Tim
1asser! Ph,! an assistant professor of pscholog at 1no8 "ollege in )alesburg! (ll. (n a series
of studies! 1asser has found that people who strongl value wealth and related traits tend to have
higher levels of distress and lower levels of well&being! worse relationships and less connection
to their communities.
MPschologists who help advertisers are essentiall helping them manipulate children to believe
in the capitalistic message! when all the evidence shows that believing in that message is bad for
people!M sas 1asser. MThatIs unethical.M
,riving out pschologists
Pschologists who help companies reach children donIt agree. Take 4hiton S. Paine! Ph,! an
assistant professor of business studies at %ichard Stockton "ollege in Pomona! N.7. As principal
of a Philadelphia consulting firm called 1id1id! Paine helps 5ortune
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president of ,iv. 6 "onsumer Pscholog and an associate professor of marketing at 3hio
State 9niversit in "olumbus. MThe same issue e8ists for all sciences: the information is
available in public libraries.M
The problem with tring to regulate the use of pschological principles is that Mpeople acting in
was pschologists find ob?ectionable probabl arenIt members of APA anwa!M sas+augtvedt! who received a cop of the "ommercial Alert letter. +e believes that having general
guidelines as to appropriate uses and areas of concern would be beneficial to all parties.
,aniel S. Acuff! Ph,! for e8ample! draws on the child development courses he took during his
graduate schooling in education to advise such clients as ,isne! +asbro and 1raft. +is book
M4hat 1ids Bu and 4h: The Pscholog of $arketing to 1idsM 5ree Press! '002 draws on
child development research to show product developers and marketers how to reach children
more effectivel.
To Acuff! the letter to APA is not onl an MunconstitutionalM attempt to limit how professionalsmake their living but also a misguided overgenerali=ation.
Since Acuff and his partner started their business in '020! the have had a polic guiding their
choice of pro?ects. As a result! the turn down assignments dealing with violent video games!
action figures armed with weapons and other products the believe are bad for children. Their
work focuses instead on products that the consider either good for children or neutral! such as
snacks and sugar foods parents can use as special treats. The letter to APA fails to acknowledge
that pschological principles can be used for good as well as bad! he sas.
M( donIt agree with black&and&white thinking!M sas Acuff! president of Jouth $arket Sstems
"onsulting in Sherman 3aks! "alif. MPscholog in itself is neither good nor bad. (tIs ?ust a tool
like anthing else.M
%ebecca A. "la is a writer in 4ashington! ,.".
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T"I! *
!ase %tuy: I4M 4ran ?uity $estoration an ertising olution
This case was written b Professor $ichele )reenwald! >isiting Professor of $arketing at +#" Paris! for
use with#dvertising and Promotion: #n $ntegrated ar%eting Communications Pers&ective ' (theditionb
)eorge #. Belch and $ichael A. Belch. (t is intended to be used as the basis for class discussion rather than
to illustrate either effective or ineffective handling of a management situation.
The case )as com&iled from &ublished sources and intervie)s )ith executives at $B and Ogilvy *
ather+
Introuction
,uring the '02/s and ZH/s! (B$ was one of the most successful companies in the world. Thecompan had e8perienced strong growth in both revenue and profits and had a virtual strangleholdon the market for mainframe computers. (n fact the compan was often referred to as Big Blue!U anickname derived from its massive blue mainframe computers. 5or four consecutive ears in the
'0H/s! (B$ held the top spot in"ortunemaga=ines annual list of the most admired companies inthe 9nited States. +owever! b '006 the @uintessential Blue "hipU compan had reached its nadir.3ver the three previous ears! (B$ had lost a total of R'< billion and its stock price was at an 'H&ear low. The brand had fallen below number
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so man agencies. The decided that b consolidating all of its advertising with one agenc! (B$would be able to present a single brand identit around the world. "hris 4all! worldwide creativehead of the (B$ account for 3gilv * $ather! noted that: (t was a massive consolidation ?ob of aver comple8 brand in a ver comple8 categor. The challenge for 3gilv was to take a brand withheritage from the past and bring it to the present: taking what was good and truthful! and infusing itwith a modern voice. 4e have taken a ver comple8 topic in an environment of constant change! in
which the products evolve but are not @uite MnewM & products ou canIt show and often canItdemonstrate. 3ur challenge has been to keep the (B$ brand fresh! interesting and topical & becauseat the end of the da what ouIre selling is trust.U
The consolidation followed a reorgani=ation and change in (B$s business and communicationsstrateg that was initiated b )erstner. Prior to the reorgani=ation! (B$ had at its core '6semiautonomous business units! each of which could develop its own independent business strategwith a concomitant marketing communications strateg. These businesses overlapped and inherentin the mi8 were potential communications conflicts. 9nder )erstner! the '6 units were reintegratedinto a more cohesive whole. The strateg emphasi=ed the integration of the units and the ke role(B$ plaed in technolog around the world! while reinforcing the heritage of the compan. "entral
to the implementation of the new worldwide strateg was the global articulation of this vision in asingle voice.
H%olutions .or a %mall lanet
The first step taken b (B$ to pro?ect a single brand identit around the world was the launching ofa new advertising campaign in 7anuar '00< with a contemporar tone known as Subtitles.U Thegoal of the campaign was to communicate the message that (B$ delivers solutions that are simpleand powerful enough to manage information anwhere! antime! and for anone. The tagline for thecampaign was Solutions for a Small Planet.U (t originated from a focus group in Paris where a
participant made the observation that: (ts as if technolog is making the world smaller andbringing everone closer together because we all share the same problems.U The commercialsdeveloped for the campaign used the same imager but were varied for each countr b the use ofsubtitles in the local language.
The campaign targeted "&levelU e8ecutives! such as "#3s! "(3s! and "53s! rather than theprevious target audience of procurement and information technolog e8ecutives. The goal of theadvertising was to conve that (B$ was capable of solving business problems! not ?ust hardwareand software issues. The campaign was effective in communicating that technolog affects evenaverage people around the world and (B$ is there with solutions for smaller as well as larger! morecomple8 technolog needs. This new campaign was in line with ;ou )erstners strategic vision forthe compan which was for (B$ to be recogni=ed as a provider of solutions.U The campaign also
communicated an important message that (B$ remained vigorous! innovative! and a purveor oftechnolog and solutions while retaining its latent strengths of global scope! leadership! andreliabilit. Several of the print ads from the Solutions for a Small PlanetU campaign as well as a
photo board of the NunsU T> commercial are shown in the power point file that accompanies thecase.
4hile the SubtitlesU campaign was a step in the right direction! (B$ needed to go furthercreativel b showing prospective customers that the compan was hip to new technologies!understood their needs and issues! and had the solutions to make a difference. 1e to developingthis kind of advertising was the need to build a creative group that had a deep understanding of
business and technolog issues. (n '002! (B$ published a 6!///&word manifesto in The all !treet
-ournaland The .e) Yor% Times! using cop written in business terms a "#3 or "(3 would use!rather than tech&heav terminolog. (t illustrated to potential customers that (B$ understood their
business! spoke their language and had the e8pertise to help them solve their problems so the could
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perform better. The photograph was ver street level!U providing the perspective that (B$ wasout of the ivor tower and in the trenches working with its clients to help them solve their business
problems.
The H
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$icrosoft and other hot! oung tech brands. But after e&business! (B$ became one of the leaders ofthe pack. The crash of the dot&coms made everone skeptical of / something change&architects.U(B$s combination of steadfastness! depth! and its new! hipper! more cutting edge! and more in thetrenches!U image helped the compan once again be viewed as a stalwart! in contrast to so manother fl&b&night high tech operations.
4ithin 'H months of running the e&business campaign! the (B$ brand had turned the corner andwas on its wa back up. (n '00H (B$s sales topped RH/ billion for the first time ever and earningswere R-.6 billion. #ven more impressive was the growth in (B$s stock price which had risen froma low of R' in the dark das of earl '006 to nearl R'< b the summer of '000. "ortune rananother cover stor on (B$ in '000. +owever! this time the headline read 5rom ,inosaur to e&
business animal.U
The H", Aeman !amaign
The e&businessU campaign ran for several ears and was followed b 3N ,emand!U which wasthe first advertising campaign under Samuel Palmisano! (B$s new "hief #8ecutive who took overthe leadership of the compan when ;ou )erstner retired in //. Palmisanos vision was to
transform (B$ b dramaticall increasing its focus on the fast&growing Business Services market.Palmisano accelerated the shift in focus from component valueU P"s and machines to businessvalue which involved providing end&to&end integrated solutions. This e8panded vision of 3N,emandU business was based on the idea of how the world would work when businesses were fullwired with broadband! all sstems were integrated! consumers had infinite choice! trends happenedfaster! companies provided better service and were more responsive to customer needs and businessopportunities on a global scale.
%ichard %an! of 3gilv * $ather! noted that: At its simplest level! 3N is about getting ourcompan to run better. 3N means our compan runs like clockwork. Business is smoother. ;ifeis good. But people have heard all that before! so our first step was to create customer testimonials
V "hina is 3N! Napster is 3N& to let people know that 3N ,emand is real and making a differenceright now. 3ther e8ecutions&5ighting cancer is 3N. 5ling Phones are 3N&speak to innovation andstrategic e8pertise. ;ong cop e8ecutions let us get to the meat and potatoes of specific businessissues. 3N works across all of (B$s product divisions. (ts a ralling cr for (B$s 6//!///emploees. (ts the marketing spearhead for Sam Palmisanos vision.U Being 3N means oureresponsive and fle8ible. (t means being on our game: on budget! on track! on schedule. 4ewanted people to associate (B$ with that new! 3N ,emand wa of doing business.U ,eirdreBigle! >ice President! 4orldwide Advertising * (nteractive at (B$ noted that while Ze&businesswas all about e&commerce and the (nternet! 3N ,emand was all about the technolog andmovements such as suppl chain optimi=ation.U
The red 3N button used in the ads! combined with the words ,#$AN, B9S(N#SS became thebrand signature in all marketing materials. The slogan also became the ralling cr for all compandivisions that cross&sell various (B$s products and services in an attempt to improve theircustomers business performance. All of (B$s sales representatives & from its server division! tosoftware! to outsourcing V were selling the on&demand concept along with their own products. 3N,emands task was to drive the development of all of (B$s software and hardware! to make themcapable of mi8ing with and managing applications from other vendors.
3ver time! (B$ began to define themselves less and less through their specific hardware andsoftware products! and more as a total business solutions compan in which consulting services was
the ke part of the 6&legged stoolU and a means to sell the compans hardware and software. #&business was all about the (nternet and became too limiting for (B$ as the the needed to broadentheir positioning. An (B$ e8ecutive noted: Business automation has blurred the customar
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demarcation between business and information technolog! put (T at the heart of corporate strateg!and elevated the understanding of the possibilities. As a result! companies increasingl look for
partners who can skillfull combine business insight with technolog e8pertise.U
(B$ purchased the consulting firm Price 4aterhouse "oopers in // to enhance their e8pertise inconsulting services! their credibilit! and to increase their client base. (B$ felt it was now uni@uel
positioned to provide the combination of (T and business consulting e8pertise that firms of nearlever si=e and in virtuall ever industr need in order to grow market share and revenue. The
believed that no other firm in the world could deliver better on the combination of (T and businessconsulting to companies all over the world. As 4all Street analst! ,avid "earle described it:(B$ is morphing from a computer compan into a business e8pert! selling well&connected e8perts.(B$ is changing its definition from (nternational Business $achines! to international businessmodels.U
A ma?or challenge for 3gilv * $ather in evolving the advertising for (B$ was communicatingthe e8panding scope of what the (B$ brand stands for and the breadth of its business. The creativegroup had been given the task of describing (B$s offerings in a wa that sounds proprietar! but at
the same time was understandable! to an ever&larger group of business professionals. 4ith theac@uisition of Price 4aterhouse "oopers and the increased focus on business services consulting!(B$ no longer was targeting primaril (T users. %ather it was marketing a broad line of productsand services to top&level decision makers at companies and organi=ations of all si=es.
HThe "ther I4M an H/el Aesk !amaigns
Since its inception! the name (B$ has signified technolog. +owever as the informationtechnolog consulting industr matured and web services were being built on open standards!organi=ations were shifting their definition of business value to include processes and enterpriseoptimi=ation. (n anal=ing this new trend! (B$ found itself faced with one of the biggestopportunities in its histor: the R'. trillion Business Process Transformation Services BPTSmarket. ,emand for BPTS had escalated as companies increasingl reali=ed the value of teamingwith a strategic partner to help redesign their functions and processes to become more profitable!efficient and competitive. (n //
business e8ecutives. (B$ looked to 3gilv * $ather to develop an integrated marketingcommunications campaign to help establish awareness! credibilit! and ultimatel preference for(B$ as a provider of business consulting services.
Achieving this ob?ective was not an eas task as it re@uired maintaining (B$s e@uit of superiortechnolog and adding to it an e@uall strong perception that (B$ offers superior business
consulting services as well. "hris 4all noted that (B$ has a strong heritage as a technologcompan. A lot of people dont reali=e the also do business consulting and not ?ust technologconsulting.U Thus! a ma?or challenge for the ($" campaign was to get "&level e8ecutives torecogni=e that there is another sideU to (B$ that provides business transformation services. (nApril //< a campaign was launched using the tagline The 3ther (B$U which was designed to
position the compan as a provider of business consulting services and communicate its e8pertise inareas not tpicall associated with (B$. The creative used in the television commercials for thenew campaign used imager that alternated between scenes of 1ing Arthurs 1nights of the %oundTable wrangling with age&old business problems with counterparts at a contemporar businessconference table doing the same. The metaphor of Sir Arthurs Business %oundtable allowed forreal issues to be discussed in a manner that was both informative and entertaining and to show how
(B$ Business "onsulting could help businesses solve problems in specific areas. The 3ther (B$Ucampaign was unveiled during television coverage of the $asters )olf Tournament on "BS. The$asters was the ideal platform for the launch due to the large number of senior business e8ecutives
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tuning in for the event. Also! since the $asters onl allowed advertising from three sponsors! (B$was able to deliver its message with high fre@uenc and without the clutter that tpicall hinders
breakthrough during normal programming.
The T> launch was followed b an eight&page manifesto in The all !treet -ournalwhich was usedto set the premise of The 3ther (B$U and define it in the conte8t of business consulting services.
Additional print e8ecutions were used to elaborate on the 1ing Arthur metaphor as well as to focuson specific areas in the BPTS such as human resources! finance and accounting! suppl chain and
procurement! sales and marketing! and strateg and change management. All of the advertisingdirected prospects to a micro web site where users could e8plore content in areas such as leadershipand innovation! learn more about (B$s specific capabilities in functional areas! read case studiesand locate additional contact information.
(n addition to advertising promoting The 3ther (B$U! another integrated campaign called +elp,eskU was run concurrentl to show how (B$s on demand computing solves real problems andtouches real people. The first phase of the integrated campaign focused on how (B$ helps theworld at large! while the second phase focused on more industr and customer&specific solutions. To
underscore (B$s abilit to deliver value&added services to a customer! the advertising used the@uick&problem solution metaphor of a help deskU across television! print and online e8ecutions.5or e8ample! in the T> spots! the help deskU appears in improbable places such as a golf coursewhere a group of scientists needs help after its solar&powered golf cart runs amok or in the middleof a bus freewa where a motorccle policeman stops to learn how (B$ can assist with trafficcontrol. The print ads featured beautiful photographs of landscapes with stli=ed help desk stickersattached to show a problem&solution scenario. The online e8ecution used an interactive componentfeaturing a large white room with classical columns where visitors would encounter a number ofindustr&specific scenarios for which the (B$ help desk representative devised a solution. The+elp ,eskU campaign received a BtoB Best AwardU from BtoB maga=ine! a leading trade
publication! as the outstanding integrated business&to&business campaign of //
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$attersU campaign included a section where visitors could view commercials! a )lobal "#3 Studthat could be downloaded! and a report on (B$s )lobal (nnovation 3utlook.
Moing For8ar
The transformation of (B$ from a computer hardware compan to a services and business solutionsprovider is one of the great comeback stories in the histor of corporate America. (n //< (B$ had
more than R0' billion in sales and a profit of nearl RH billion. (n the //- (nterbrand Stud! (B$ranked was ranked as the third most valuable brand in the world with an estimated brand value ofover R
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Toic 5
rticle: BB Buer Personas * Buer Behavior: Behavior&Based $essages
+ow to conduct marketing outreach using a broadcast to behaviorU continuum:
$ass mailing: a mailing targeted toward everone in the database.
Targeted mailing: a mailing targeted based on segmentation of some tpe! such as
geograph! title! etc.
Time&based messages: making a mailing more automated! such as designing
different mailings to go out at different times.
Behavior&based messages: designing multi&track messages targeted to people based
on their behavior i.e.! sending one individual who has downloaded a white paper adifferent message than another individual who has not et downloaded the white
paper.
B watching the behavior of our target audience! and developing behavior&basedmessages! ou can send them more relevant content and better understand whothe are b knowing which tools there using and which the arent. (t must also
be noted that Silverpop concluded behavioral&triggered campaigns in BBer.orme 32+N etterthan simple blast campaigns\
sychograhic ariales
The webinar also discussed pschographic variables! which are an attributes related to our target
audiences personalities! values! interests! etc. (f ou can include @uestions related to these in our
forms! ou can find out little tidbits ou can use in the future. The webinar used a great e8ample of
asking the audience their favorite baseball team! then sending out an email perhaps even a personalemail that corresponds with how their team is doing.
4uyer ersonas
B including both what the audience is doing b monitoring their behavior! and who the are b
finding out their pschographic variables! ou are creating a more accurate buer persona of our
target audience and ma better motivate their buing behavior.
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Toic =
%election o. an aertising gency
An advertising agenc ma be a full&service agenc or part&service agenc. #ach has a differentoutlook and advertising activities. The selection of advertising agencies depends on whether onewants a full&service agenc or a part&time agenc. The selection is also made on the basis of
compatibilit of the agenc team! agenc stabilit! services! credibilit and the agencs problemsolving approach.Full serice agency or art< time agency:The full&service agenc is involved completel in theadvertising functions. (t has a large number of e8pert emploees. The organi=ation is tpicalluseful for performing advertising agencies. (t looks upon customers as ke clients. (t communicateswith the prospective purchasers. The distinguishing characteristics of the various agencies lie in thecreative skills of the personnel of each organi=ation and in the philosoph of advertising. ;argeragencies offer better services.The part&time agenc offers service on free of cost or pro?ect basis. These agencies perform variousoutside activities and co&ordinate the activities of the advertiser and media men. "lients havegreater control over advertising campaigns. Advertisers research agencies generall perform ?ob of
part&agencies. The selection of a particular agenc depends on its si=e! its services! knowledge andgrowth
"ompatibilit: the selection of an advertising agenc depends on the compatibilit of the
agenc. The needs of the compan determine the fitness of the agenc. The advertiser visitsseveral agencies and chooses the best agenc on the basis of its merits! demerits!accreditation! its methods of handling the accounts and using the available opportunities.
Agenc Team: This includes management specialists! market researchers! copwriters!
media e8perts! production managers and art directors. The attitude! thinking! e8perience andpersonalities of the team members have positive effects on the selection process.
Agenc Stabilit: An agenc! which has been long in e8istence generall! performsefficientl and effectivel. The greater the investment in the agenc! the more vital thecontribution of the agenc to the advertising activities. The personnel! finance! managementand credit are e8amined before selecting a suitable advertising agenc.
Services: The services rendered b the agenc are evaluated with a view to choosing the
best advertising agenc. "ost accounting! general agreements! pro?ect estimates! sellingattitudes and other services performed b the advertising agencies are considered to evaluatetheir efficienc and credibilit in performing advertising ?obs. The greater the range of anagencs services! the more full it can serve the clients needs. The agenc can serve theclients b its potential capacit for advertising! sales promotion! media placement! publicrelations! market research! sales training and distribution channels.
"reativit: "reativit is the main element in advertising. (f the advertising agenc is capableof great creative efforts! it is selected for the purpose. Stle! clarit! impact! memorabilitand action& these are taken into account while evaluating creativit.
Problem&solving approach: The agenc which has a problem solving approach is considered
to be superior and useful. The importance of choosing the right agenc cannot be ignored."aliber! compatibilit! balanced services! responsiveness! talent an e@uitable compensation&these are important factors in selecting an advertising agenc.
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Toic ;
Means n Theory: eole AonBt 4uy Features "r 4ene.its
"reate relevant messages! know what customers value in our product or serviceW ever marketershould embrace means&end analsis.
A Means End Theory AnecdoteAt the ski shop we sell these uber cool bluetooth helmets from 1. Jou can snch the earpieces to adevice like an iPhone! and listen to music or pause the melodies to answer an incoming phone call. (wouldnt bu one because ( consider the sport m refuge from the onslaught of technological&interconnectedness. +owever! personal preference aside! these helmets fl off the shelves eachseason like fudgicles in a sweltering summer afternoon.Jet one particular sale stands out from the rest. A mother and son probabl '/&' rs old walk intothe shop. There going to )ore! and Bill needs a helmet. Bill trs on a few brands finallarriving at the 1. +e is tickled pink b the thought of listening to tunes! and chatting on the phone
while skiing. (f Bills going to be the env of all his friends hes got to have it. $om rolls her eesat the price but consents. Then Bill! god bless him! does some selling for me! $om! if (mwearing a helmet shouldnt ou tooQU Shes holding his helmet! and puts it on for kicks! but beingtoo small it cocks backwards funn like. At which point ( mention we might have a larger si=e! notto mention )ore is a huge mountain! if the two should get separated it would be easier to get a holdof each other with bluetooth enabled helmets. Although she tries on a few more helmets! $om alsosettles on buing herself a proper si=ed 1 helmet.(f ouve been reading carefull oull notice that features and benefits are onl part of the stor asto wh Bill and his $om bought the bluetooth helmets. 5or Bill the benefit of listening to musicor making phone calls translated into env from his friends!U otherwise known as enhanced self&esteem. 4hereas the benefit of a @uick phone call for $om meant she can check in on Bill to
know he is safe.What Is Means-End Theory?Bill and his $om demonstrated what is known in consumer behavior as $eans #nd Theor:People bu features that bring them benefits that get them closer to valued end states.These are the possible $eansnd "hains for Bill and his $om:
9nderling values are the motivating factor in a consumer purchase. Therefore effective marketingmessages that sell will connect a benefit to values like securit! achievement! belonging! fun!en?oment! etc.
Means-End Theory In B2BSpeaking in terms of onl features and benefits tends to remove emotions from the purchasee@uation. (n BB advertising! overemphasis is placed on benefits with valued end states beingdownplaed. 4h does this occurQ Because man BB marketers operate under the assumption thatBB purchases are rational. (n realit! decision makers are influenced b emotive propositions ! insome cases more than the would be as individual consumers.
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Means-End Marketing Applications$ean #nd Theor is important to marketing on two fronts.( touched on the first alread! $#"
provides a wa to structure messaging. (dentif a feature! linking it to a benefit that fulfills apersonal valued&end state.5or e8ample! (B$ has transitioned itself from a hardware maker to an integrated sstems provider.This Applications 3n ,emand video reflects that approach. (B$ provides a number of features:
server! database administration! etc. These benefit +,%! whose emploees have time more time tofocus on the compans core tasks functional benefit. The message could have stopped there! but(B$ clearl distinguishes itself in this ad as a compan that is eas to do business with anintangible! fundamental need of +,%. That valued&end state likel has the most and strongestconnections to the multitude of features and benefits provided b (B$.Second! ou ma be able reverse engineer the productEservice. 1nowing the valued&end state allowsou work backward to build new features! or creates new products and services of value. 9sing themeans&end approach to gain customer insights is an important wa to mitigate the risks ofmarketing failures in the product design and positioning phases.
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Toic 7
3 ..ectie ertising Message %trategies
$#SSA)# ST%AT#)J
$essage strateg has to do with the choice of the benefit to be conveed! as well as
the positioning and segmentation choices. (t is often easiest! in developing a global brand! tostandardi=e on the core positioning platform for the brand! while allowing for local e8ecutional
variations in other brand elements. (f the basic need being met is common the world over! the same
message strateg can likel be emploed.
Thus! 3il of 3la uses the same positioning&a moisturi=ing cream for mature women&even though
the name! formulation! and packaging can var slight across markets. Procter * )amble sells its
Pert Plus Shampoo&and&"onditioner product with the same MB"&'HM formula under different names
in different countries! but in all markets still uses the basic message of time&saving Mwash&and&goM
convenience. "hanel and other fragrances can appeal worldwide to the same human need to look
beautiful! and Swatch watches to the same universal need to have fun.
3n the other hand! the same product or service ma sometimes need to be positioned ver
differentl in different markets! if the market is at different levels of economic development or
product life ccle! or if the habits and attitudes toward that product categor are culturall
influenced! or if the competitive position of the brand is ver different.
conomic Ai..erences
"itibank positions its automated! twent&four&hour! globall networked consumer banking facilities
using a MconvenienceM positioning in +ong 1ong and )erman! but as a high&status! lifestle
aspirational smbol in )reece and certain economicall less developed countries. Similarl! the
+onda Accord car is a mid&market sedan in the affluent 9nited States market but occupies a more
upscale! premium position in the car markets of various less economicall developed Asian andeastern #uropean countries.
!onsumer 4ehaior Ai..erences
)eneral 5oods found that its orange drink Tang had to be sold in 5rance as an MantimeM cold
refreshing beverage! rather than as a breakfast drink! because orange ?uice is not a breakfast
tradition in 5rance. 3ther research has shown that! in the '02/s! while car advertisers in the 9.S.
found it best to emphasi=e leisure and getto&the&wilderness benefits of car ownership! consumers in
Bra=il were apparentl more responsive to the benefits of being able to use cars to travel to urban
culture.
!ometitie $esource Ai..erences
These areIillustrated b the +eineken beer e8ample cited earlier! which developed historicall a
mass&market beer in #urope! but decided it would be more feasible to aim at an upscale target in the
9.S.! with a premium positioning! rather]than fight the likes of Budweiser for the mass&market
there.
#ven if the sam&e target market and same core positioning proposition are used in man different
markets in the world! important variations ma be necessar across these markets. 5or instance!
7ohnn 4alker Black ;abel! the worldIs largest scotch whisk brand! has a ver strong and
premium brand image across the world. %esearch showed that its e@uities everwhere included its
s@uare&sided bottle! the black and gold coloring on the diagonall¢ered label! and so on.
+owever! this research also showed that while the brand was perceived everwhere as being apremium! lu8ur brand! it varied across countries in the e8tent to which it was seen as old&fashioned
and traditional! versus modern and elegantand consumers in different countries varied in which of
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those two kinds of lu8ur scotch whiskies the preferred. The advertising brief for the different
countries thus varied in whether it emphasi=ed the Mold&fashioned! genuine! traditionalM angie or the
Mmore modern! sophisticated! elegantM angle! while keeping to the common core positioning of
Mlu8ur! premiumM positioning.