Download Integrated Marketing Communications, Advertising, and Public

Chapter 16
INTEGRATED
MARKETING
COMMUNICATIONS,
ADVERTISING, AND
PUBLIC RELATIONS
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publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
1. Define Promotion.
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Western, a division of Cengage
Learning.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Introduction
▮Promotion - Function of informing,
persuading, and influencing the consumer’s
purchase decision
▮Marketing communications - Messages that
deal with buyer-seller relationships
▮Integrated marketing communications
(IMC) - Coordination of all promotional
activities to produce a unified, customerfocused promotional message
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Figure 16.1 - Integrated Marketing
Communications (IMC)
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
2. Define Advertising.
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Western, a division of Cengage
Learning.
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Learning.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising
▮Advertising - Any paid, nonpersonal
communication about a business good
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
3. What are the five ‘M’s’ of Advertising?
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
5 M’s
▮Mission
▮Money
▮Message
▮Media
▮Measurement
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
4. What are the two types of Advertising?
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Western, a division of Cengage
Learning.
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Learning.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Types of Advertising
▮Product advertising - Nonpersonal selling of
a particular good or service
▮Institutional advertising - Promotion of a
concept, an idea, a philosophy, or the goodwill
of an industry, company, organization, person,
geographic location, or government agency
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
5. What are the three objectives of advertising?
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Learning.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Objectives of Advertising
▮Informative advertising - Seeks to develop
initial demand for a good, service,
organization, person, place, idea, or cause
▮Persuasive advertising - Attempts to increase
demand for an existing good, service,
organization, person, place, idea, or cause
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Objectives of Advertising
▮Reminder advertising - Reinforces previous
promotional activity by keeping the name of a
good, service, organization, person, place,
idea, or cause before the public
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Figure 16.2 - Advertising Objectives in Relation
to Stage in the Product Lifecycle
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
6. What are the various advertising strategies?
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Strategies
▮Comparative advertising - Emphasizes
messages with direct or indirect promotional
comparisons between competing brands
• Used by firms whose products are not market
leaders
• Advertising by market leaders seldom
acknowledge existence of competing products
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Strategies
▮Celebrity testimonials
• Can improve product recognition
• A celebrity who endorses too many products may
create marketplace confusion
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Strategies
▮Retail advertising - Advertising by stores that
sell goods or services directly to the
consuming public
• Cooperative advertising - Retailer shares
advertising costs with a manufacturer or
wholesaler
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Interactive Advertising
▮Two-way promotional messages transmitted
through communication channels
• Induce message recipients to participate actively in
the promotional effort
▮Provides information throughout the purchase
and consumption processes
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Creating an Advertisement
▮Must create effective ads that increase sales
and enhance the organization’s image
▮An ad needs to accomplish:
• Educating consumers about product features
• Enhancing brand loyalty
• Improving consumer perception of the brand
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
7. What are the steps involved in creating an
advertisement?
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Learning.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Messages
▮Advertising campaign - Series of different
but related ads that use a single theme and
appear in different media within a specified
time period
• Example: Retail chain Target’s “Hello. . . . Good
Buy” ads featuring the Beatles’ music
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Appeals
▮Fear appeals
▮Humor in advertising messages
▮Ads based on sex
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Appeals
▮ Humor in advertising messages
• Seeks to create a positive mood related to a good or service
• Some advertisers believe humor distracts from brand and
product features
Copyright © 2012 by South Western, a division of Cengage Learning. All rights reserved.
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Appeals
▮Ads based on sex
• Immediately attract the consumer’s attention
• Do not appeal to everyone
Copyright © 2012 by South Western, a division of Cengage Learning. All rights reserved.
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Developing and Preparing Ads
▮Goals
• Gain attention and interest
• Inform or persuade
• Lead to purchase or other desired action
▮After conceiving an idea, ads must be refined
from rough sketch to finished layout
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Figure 16.4 - Elements of a Typical Ad
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Creating Interactive Ads
▮Advergames
▮Missiles
▮Keyword ads
▮Adware
▮Social network advertising
▮Narrowcasting
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28
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
8. What are the different types of media
selection available?
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Western, a division of Cengage
Learning.
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Learning.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Television
• Mass coverage
• Powerful impact on viewers, repetition of
messages
• Flexibility, and prestige
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Radio
• Advantages
• Ability to reach people while they drive because they
are a captive audience
• Benefits include low cost, flexibility, and mobility
• Disadvantages
• Highly segmented audiences,
• The temporary nature of messages
• A minimum of research information compared with
television
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
31
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Newspapers
• Advantages
• Flexible
• Intensive coverage for ads
• Can refer back to newspaper ads
• Disadvantages
• Hasty reading
• Relatively poor reproduction quality
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Magazines
• Consumer magazines and business magazines
• Advantages
•
•
•
•
The ability to reach precise target markets
Quality reproduction
Long life
Prestige associated with some magazines
• Disadvantage
• Lack flexibility
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
33
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Direct mail
• Advantages
• Ability to segment large numbers of prospective
customers
• Flexible
• Detailed information
• Personalization
• Disadvantages
• High cost per reader
• Reliance on the quality of mailing lists
• Consumers’ resistance
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Outdoor advertising
• Traditional - Billboards and painted displays
• Transit advertising - Ads placed inside and outside
buses, subway trains, commuter trains, and stations
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
35
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Selection and Scheduling
▮Interactive Media
• Internet and social media sites
• Augmented reality - Virtual imaging can be
incorporated into real-time video on a mobile
phone
▮Other Advertising Media
• Total Immersion’s D’Fusion system
• Ads appear on T-shirts, on store flooring, in
printed programs of live theater productions, and
as previews on movie DVDs
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Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Media Scheduling
▮Setting the timing and sequence for a series of
advertisements
▮Influenced by a variety of factors
• Seasonal sales patterns
• Repurchase cycles
• Competitors’ activities
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
37
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Marketing and Nonmarketing Public Relations
▮Nonmarketing public relations - A
company’s messages about general
management issues
▮Marketing public relations (MPR) - Focused
public relations activities that directly support
marketing goals
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
38
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
9. What is an advertising agency?
Copyright © 2013 by South
Western, a division of Cengage
Learning.
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© 2014 Cengage
Learning.
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Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Advertising Agencies
▮Firms whose marketing specialists help
advertisers plan and prepare advertisements
▮May offer creativity and objectivity that is
difficult to maintain in an internal department
Copyright © 2012 by South
Western, a division of Cengage
Learning.
All rights
© 2014 Cengage
Learning.
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Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
10. Define Publicity.
Copyright © 2013 by South
Western, a division of Cengage
Learning.
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Learning.
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Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Publicity
▮Nonpersonal stimulation of demand for a good
by unpaid placement of significant news
▮Many consumers consider news stories more
credible than advertisements
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
42
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Puffery and Deception
▮Puffery
• Exaggerated claims of a product’s superiority
• Use of subjective or vague statements that may not
be literally true
▮The Uniform Commercial Code standardizes
sales and business practices throughout the
United States
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43
Chapter 16 Integrated Marketing Communications, Advertising, and Public Relations
Evaluating Interactive Media
▮Cost per impression - Relates the cost of an
ad to every thousand people who view it
▮Cost per response (click-through) - Relates
the cost of an ad to the number of people who
click it
▮Conversion rate - Percentage of visitors to a
Web site who make a purchase
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
44