Promotion Decisions

Objectives:

• Communication process

• Effective communication

• Introduction to communication mix

• Dealing with communication mix

Elements in the Communication Process

SENDEREncoding Decoding

RECEIVER

MediaMedia

MessageMessage

Feedback ResponseResponse

Noise

Effective Integrated Marketing Communications (IMC)

Step 1. Identifying the Target AudienceStep 1. Identifying the Target Audience

PurchasePurchase

Conviction

Preference

Liking

Knowledge

Awareness

Step 2. Determining the Communication ObjectivesBuyer Readiness Stages(Lavidge and Steiner model)

Step 2. Determining the Communication ObjectivesBuyer Readiness Stages(Lavidge and Steiner model)

Cognitive

Affective

Motivational

Role of Integrated Marketing Communication (IMC)

• Start dialogue and build relationship

• To inform, persuade, and remind consumers directly or indirectly

• Show way of use and user profile of product or service

• Inform about brand marketer

• May offer incentive or reward for trial and usage

Communication Objective: DRIP: Differentiate-Reinforce-Inform-Persuade

AdvertisingDirect

MarketingInteractive/

Internet Marketing

SalesPromotion

Publicity/PublicRelations

PersonalSelling

Factors Affecting the Choice of Promotional Mix

Nature of the ProductNature of the Product

Stage in PLCStage in PLC

Target Market FactorsTarget Market Factors

Type of Buying DecisionType of Buying Decision

Promotion FundsPromotion Funds

Push or Pull StrategyPush or Pull Strategy

What is Advertising?What is Advertising?

• Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor.

• Advertising is used by:–Business firms,

–Nonprofit organizations,

• Advantages of advertising

– Advertiser controls the message

– Cost effective way to communicate with large audiences

– Effective way to create brand images and symbolic appeals

– Often can be effective way to strike responsive chord with consumers

• Disadvantages of advertising

– High costs of producing and running ads

– Credibility problems and consumer skepticism

– Clutter

– Difficulty in determining effectiveness

Advertising

Typical structure in advertising agency

Client Servicing/Account Mgmt.

CreativeMedia

(Planning & Buying)Accounts

Copy Art

Head(CEO/VP)

Ogilvy & Mather India

Developing Advertising StrategyMessage Execution

Developing Advertising StrategyMessage Execution

TypicalMessage

ExecutionStyles

TypicalMessage

ExecutionStyles

TestimonialEvidence

..\ad clip\cinthol-testimonial evidence.DAT

TestimonialEvidence

..\ad clip\cinthol-testimonial evidence.DATSlice of Life

..\ad clip\band-aid-slice of life.DAT

Slice of Life..\ad clip\band-aid-slice of life.DAT

ScientificEvidence

..\ad clip\Eggs-evidence.DAT..\ad clip\BANDAID.dat

ScientificEvidence

..\ad clip\Eggs-evidence.DAT..\ad clip\BANDAID.dat

Lifestyle..\ad clip\Fortune Gold Whiskey-lifestyle.DAT

Lifestyle..\ad clip\Fortune Gold Whiskey-lifestyle.DAT

TechnicalExpertise

TechnicalExpertise

Fantasy..\ad clip\lehar fantacy 3.DAT

Fantasy..\ad clip\lehar fantacy 3.DAT

Musical..\ad clip\coke -musicial.DAT

Musical..\ad clip\coke -musicial.DAT

PersonalitySymbol

..\ad clip\PERSONALITY-DEW.dat

PersonalitySymbol

..\ad clip\PERSONALITY-DEW.dat

Mood orImage

..\ad clip\The Hindu - -Classroom- Ad - Good Quality - YouTube.flv

Mood orImage

..\ad clip\The Hindu - -Classroom- Ad - Good Quality - YouTube.flv

Turning the “Big Idea” Into an Actual Ad to Capture the Target Market’s Attention and Interest.

Teaser Type..\ad clip\India - Balbir Pasha Campaign Teaser - YouTube.flv

..\ad clip\India - Balbir Pasha Campaign - Regular - YouTube.flv

Teaser Type..\ad clip\India - Balbir Pasha Campaign Teaser - YouTube.flv

..\ad clip\India - Balbir Pasha Campaign - Regular - YouTube.flv

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

Major Decisions in AdvertisingMajor Decisions in Advertising

Objectives SettingObjectives Setting

Budget DecisionsBudget Decisions

Developing Advertising StrategyMessage Decisions

Developing Advertising StrategyMessage Decisions

Campaign Evaluation Campaign Evaluation

Developing Advertising StrategyMedia Decisions

Developing Advertising StrategyMedia Decisions

Major Types of Advertising Media

NewspapersNewspapers

MagazinesMagazines

RadioRadio

TelevisionTelevision

Outdoor MediaOutdoor Media

InternetInternet

Alternative MediaAlternative Media

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.

Checklist: Stages:: Campaign Planning

• The advertising opportunity is appraised• The Market is analyzed• Ad objectives are determined• The budget and necessary control system are

established• Planning the strategy for : Selecting Media;

Creating Message• Ad is coordinated with promotion and marketing

system• Results are evaluated

THANK YOU