Mc. Graw-Hill/Irwin Copyright © 2009 by The Mc. Graw-Hill Companies, Inc. All Rights Reserved.
LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 19, YOU SHOULD BE ABLE TO: LO 1 Explain the differences between product advertising and institutional advertising and the variations within each type. LO 2 Describe the steps used to develop, execute, and evaluate an advertising program. LO 3 Explain the advantages and disadvantages of alternative advertising media. 19 -2
LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 19, YOU SHOULD BE ABLE TO: LO 4 Discuss the strengths and weaknesses of consumer-oriented and tradeoriented sales promotions. LO 5 Recognize public relations as an important form of communication. 19 -3
A PROVOCATIVE ADVERTISEMENT WITH A SERIOUS MESSAGE 19 -4
LO 1 Explain the differences between product advertising and institutional advertising and the variations within each type. 13 -5
LO 1 TYPES OF ADVERTISEMENTS PRODUCT ADVERTISEMENTS Product Advertisements • Pioneering (or Informational) • Competitive (or Persuasive) • Comparative • Reminder • Reinforcement 19 -6
Archipelago and LG What is the type and purpose of these advertisements? 19 -7
Samsung and M&M What is the type and purpose of this advertisement? 19 -8
Dial Soap What is the type and purpose of this advertisement? 19 -9
SAMSUNG SERIES 6 LCD What is the type and purpose of this advertisement? 19 -10
LO 1 TYPES OF ADVERTISEMENTS INSTITUTIONAL ADVERTISEMENTS Institutional Advertisements • Advocacy • Pioneering Institutional • Competitive Institutional • Reminder Institutional 19 -11
SINGAPORE TOURISM BOARD What is the type and purpose of this advertisement? 19 -12
LO 2 Describe the steps used to develop, execute, and evaluate an advertising program.
LO 2 DEVELOPING THE ADVERTISING PROGRAM Identifying the Target Audience Specifying the Advertising Objectives Setting the Advertising Budget 19 -14
FIGURE 19 -1 Advertising expenditure forecast for the Asia Pacific and the world, 2007 -2010 19 -15
LO 2 DEVELOPING THE ADVERTISING PROGRAM DESIGNING THE ADVERTISEMENT Message Content • Informational Element • Persuasive Element Types of Appeals • Fear Appeals • Sex Appeals • Humorous Appeals 19 -16
OSIM u. Squeez What is the appeal and purpose of this advertisement? 19 -17
Creative Zen V Plus What is the appeal and purpose of this advertisement? 19 -18
The National Council Against Drug Abuse What is the appeal and purpose of this advertisement? 19 -19
LO 2 DEVELOPING THE ADVERTISING PROGRAM DESIGNING THE ADVERTISEMENT Creating the Actual Message • Celebrity Spokespeople • Ideas and Artwork • Cost 19 -20
LO 2 DEVELOPING THE ADVERTISING PROGRAM SELECTING THE RIGHT MEDIA Advertising Media Planning Goals • Maximize Exposure • Minimize Costs 19 -21
FIGURE 19 -2 2007 global advertising expenditure by category (in US$ million) 19 -22
LO 2 DEVELOPING THE ADVERTISING PROGRAM SELECTING THE RIGHT MEDIA Basic Terms • Reach • Rating • Frequency • Gross Rating Points (GRPs) • Cost per Thousand (CPM) = Reach × Frequency 19 -23
FIGURE 19 -3 The language of the media buyer
USING MARKETING DASHBOARDS What is the Best Way to Reach 1, 000 Customers? Cost per Thousand (CPM) Impressions 19 -25
LO 3 Explain the advantages and disadvantages of alternative advertising media.
FIGURE 19 -4 Advertisers must consider the advantages and disadvantages of the many media alternatives 19 -27
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Television 19 -28
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Television • Wasted Coverage • Cable and satellite TV • Infomercial 19 -29
FIGURE 19 -5 Household penetration of television in selected Asian countries
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Radio 19 -31
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Magazines 19 -32
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Newspapers • Production and Distribution Costs • Online Newspapers • Free Tabloids 19 -33
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Yellow Pages 19 -34
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Internet • Rich Media • Click Fraud • Banner Ads • Permission-Based Advertising 19 -35
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Outdoor • Billboards • Transit Advertising 19 -36
LO 3 DEVELOPING THE ADVERTISING PROGRAM DIFFERENT MEDIA ALTERNATIVES Other Media • Placed-Based Media Selection Criteria 19 -37
LO 3 DEVELOPING THE ADVERTISING PROGRAM SCHEDULING THE ADVERTISING Factors to Consider • Buyer Turnover • Purchase Frequency • Forgetting Rate 19 -38
LO 3 DEVELOPING THE ADVERTISING PROGRAM SCHEDULING THE ADVERTISING Approaches • Continuous (Steady) Schedule • Flighting (Intermittent) Schedule • Pulse (Burst) Schedule 19 -39
SCHEDULING THE ADVERTISING 19 -40
LO 3 EXECUTING THE ADVERTISING PROGRAM PRETESTING THE ADVERTISING Pretests • Portfolio Tests • Jury Tests • Theater Tests 19 -41
LO 3 EXECUTING THE ADVERTISING PROGRAM CARRYING OUT THE ADVERTISING PROGRAM Full-Service Agency Limited-Service Agencies In-House Agencies 19 -42
FIGURE 19 -6 Alternative structures of advertising agencies used to carry out the advertising program 19 -43
LO 3 ASSESSING THE ADVERTISING PROGRAM POSTTESTING THE ADVERTISING Posttests Aided Recall Unaided Recall • Noted Attitude Tests • Seen-Associated Inquiry Tests • Read Most Sales Tests 19 -44
Discuss the strengths and weaknesses of LO 4 consumer-oriented and trade-oriented sales promotions.
FIGURE 19 -7 Sales promotions can be used to achieve many objectives 19 -46
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Consumer-Oriented Sales Promotion Coupons 19 -47
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Deals 19 -48
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Premiums • Self-Liquidating 19 -49
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Contests 19 -50
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Sweepstakes • Instant-win game • “Experience” 19 -51
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Samples 19 -52
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Loyalty Programs 19 -53
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Point-of-Purchase Displays 19 -54
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Rebates 19 -55
LO 4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Product Placement 19 -56
LO 4 SALES PROMOTION TRADE-ORIENTED SALES PROMOTION Trade-Oriented Sales Promotion Allowances and Discounts • Merchandise Allowance • Case Allowance § Free Goods • Finance Allowance § Floor Stock Protection § Freight Allowance 19 -57
LO 4 SALES PROMOTION TRADE-ORIENTED SALES PROMOTION Cooperative Advertising Training of Distributors’ Salesforces 19 -58
LO 5 Recognize public relations as an important form of communication.
LO 5 PUBLIC RELATIONS PUBLICITY TOOLS Public Relations Publicity Tools • News Release • News Conference • Public Service Announcements (PSAs) 19 -60
LO 5 INCREASING THE VALUE OF PROMOTION Building Long-Term Relationships with Promotion Self-Regulation 19 -61
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