Download Contemporary Advertising

McGraw-Hill/Irwin
© 2004 The McGraw-Hill Companies, Inc. All rights reserved.
perception,
Exchanges
What
is Advertising?
satisfaction
The structured and
composed
nonpersonal
communication
Advertising
Usually paid for
Usually persuasive in nature
About products
From identified sponsors
Through various media
perception,
Exchanges
What
is Marketing?
satisfaction
Marketing
Process of planning and
executing
The conception, pricing,
distribution and promotion
Of ideas, goods, and services
To create exchanges that satisfy
Perceived needs, wants, and
objectives
Advertising and the Marketing Process
Marketing
Strategy
Determines
Where
advertising
should
appear
What
the ads
should
accomplish
Who should
be the
targets
What
media
should
be used
Current Regulatory Issues Affecting
U.S. Advertisers
Tobacco
advertising
Consumer
Privacy
Advertising to
children
Federal Regulation of Advertising in
North America
Federal Trade Commission (FTC)
http://www.ftc.gov/
Defining deception
Comparative advertising
Defining unfairness
Investigating violations
Remedies for unfair or
deceptive advertising
Consent decree
Cease-and-desist
order
Corrective advertising
The Consumer Perception Process
Physical
data
(stimuli)
Ad/commercial
Promotion
News item
Product/store
Price tag
Conversion
Physiological
Psychological
screens
(sensory)
screens
(emotional)
Sight
Hearing
Touch
Taste
Smell
Personality
Self-concept
Attitudes
Beliefs
Habits
Mental files
(memory)
Awareness
Nonawareness
Feedback
•Information
•Needs
•Wants
The Market Segmentation Process
Market Segmentation
1. Identify people with shared
needs and characteristics
2. Aggregate these groups
into market segments
according to their mutual
interest in the product’s utility
Segmenting the Consumer Market
Geographic Segmentation
Demographic Segmentation
Behavioristic Segmentation
Psychographic Segmentation
perception,
Exchanges
The Target
Marketing Process
satisfaction
Target Market Selection
The Marketing Mix: Matching
products to markets
Product concept
Marketing mix
Product
Distribution
Communication
Price
perception,
Exchanges and the
Advertising
Product
satisfaction
Element
Product life cycles
Product classifications
perception,
Exchanges and the
Advertising
Product
satisfaction
Element
Product life cycles
Product classifications
Product positioning
Product packaging
Identification
Consumer Appeal
Containment,
protection,
convenience
Economy
Exchanges
Advertising andperception,
the Price
satisfaction
Element
Key factors influencing price
Market demand
Production and
distribution costs
Competition
Corporate objectives
and strategies
Variable Influences
perception,
Exchangesand the
Advertising
Distribution
satisfaction
(Place) Element
Direct distribution
Network marketing
Indirect distribution
Intensive distribution
Selective distribution
Exclusive distribution
Vertical marketing systems
Exchanges
Advertising
and the perception,
Communication
satisfaction
(Promotion) Element
Personal selling
Advertising
Direct marketing
Public relations
Collateral materials
Sales promotion
The Marketing Plan
The importance of marketing planning
Marketing plan
Effect of the marketing plan on advertising
Top-down marketing
Situation analysis
Marketing objectives
Marketing strategy
Marketing tactics
The Advertising Plan
Reviewing the marketing plan
SWOT analysis
Setting advertising objectives
Understanding what advertising
can do
The advertising pyramid
The old model vs. the new
Advertising Strategy and the Creative
Mix
Product
concept
Target
audience
Creative Mix
Communications
media
Advertising
media
Importance of Relationship Marketing
and IMC
Advertising must work with
Direct marketing
Sales promotion
Personal selling
perception,
Exchanges
Sales
Promotion Strategies
and
satisfaction
Tactics
Push strategies
Trade
promotions
Trade
advertising
Pull strategies
Consumer
advertising
Consumer sales
promotions
The Difference Between Advertising
and Public Relations
Public Relations
Advertising
Free media
Paid media
Not openly sponsored
Openly sponsored
Imprecise placement
Precise placement
Writing the Creative Brief (Copy
Platform)
Who?
Writing the Creative Brief (Copy
Platform)
Rational
Appeals
Why?
Emotional
Appeals
Writing the Creative Brief (Copy
Platform)
Product
positioning
Special
product
features?
What?
Product
personality or
image
Claim support?
Perceived
strengths
and
weaknesses
Writing the Creative Brief (Copy
Platform)
What style, approach, and
tone?
Where and When?
Pros and Cons of Magazine Advertising
Pros
Flexibility
Cost efficiency
Color
Pass-along readership
Authority / believability
Merchandizing
assistance
Permanence
Prestige
Audience selectivity
Pros and Cons of Magazine Advertising
Cons
Long lead time
Lack of immediacy
Heavy advertising
competition
Shallow geographic
coverage
High cost per
thousand
Inability to delivery
mass audiences at a
low price
Declining circulations
Inability to deliver high
frequency
Using Magazines in the Creative Mix
Special possibilities with magazines
Bleed
Cover position
Junior unit
Island halves
Insert
Gatefold
Custom magazines
perception,
Exchanges
How Magazines
are Categorized
satisfaction
Content
Consumer
magazines
Farm publications
Business
magazines
perception,
Exchanges
How Magazines
are Categorized
satisfaction
Content
Geography
National
Regional More
Local
perception,
Exchanges
How Magazines
are Categorized
satisfaction
Content
Geography
Size
Large
Standard
Flat
Small
perception,
Exchanges
Using Newspapers
in the
satisfaction
Creative Mix
Who uses newspapers?
56%
60%
56 million
$46.3 billion
Read a daily newspaper
Adults read every section
Newspapers sold daily
Spent on newspaper ads in 1999
Pros and Cons of Newspaper
Advertising
Pros
Mass medium
Selective attention
Local medium
Creative flexibility
Comprehensive scope
An active medium
Geographic selectivity
A permanent record
Timeliness
Reasonable cost
Credibility
Pros and Cons of Newspaper
Advertising
Cons
Lack of control
Lack of selectivity
Overlapping circulation
Short life span
Low production quality
Clutter
perception,
Exchanges
How Newspapers
are
satisfaction
Categorized
Frequency of delivery
Daily
Weekly
Physical size
Standard size
Standard
advertising unit
Column inch
perception,
Exchanges
How Newspapers
are
satisfaction
Categorized
Type of audience
Other types of newspapers
Sunday
supplements
Independent
shopping guides
Types of Newspaper Advertising
Display advertising
Reading notice
Co-op programs
Classified advertising
Classified
display ads
Public notices
Preprinted inserts
The Medium of Television
Broadcast TV
VHF
UHF
Cable TV
TV audience trends
Use of television in IMC
Pros and Cons of Broadcast TV
Advertising
Pros
Mass coverage
Creativity
Low cost
Prestige
Some selectivity
Social dominance
Impact
Pros and Cons of Broadcast TV
Advertising
Cons
Brevity
High production cost
Clutter
High air-time cost
Zipping and zapping
Limited selectivity
perception,
Exchanges
TV Audience
Measurement
satisfaction
Rating services: The book
Neilsen
SMRB
Mediamark
Cable ratings
Defining television markets
Designated market
areas (DMAs)
The Medium of Radio
Who uses radio?
The use of radio in IMC
Imagery Transfer
Radio programming and
audiences
The Medium of Radio
Radio programming and
audiences
Programming formats
Digital Interactive Media
6
5
4
1996
1998
1999
2000
2001
3
2
1
0
Web Ad Spending ($billions)
The Internet Audience
Who uses the Net?
How people access the Net
Narrowband
Broadband
Cable Modem
DSL
DirecPC
WebTV
perception,
Exchanges
Types satisfaction
of Internet Advertising
Websites
Web page
Banners and Buttons
Banner
Rich media ad
Button
Interstitial
Rich mail
Pros and Cons of Internet Advertising
Pros
Interactive Medium
In-depth information
Enormous audience
Rapidly growing industry
Immediate response
Reaches BTB users
Selective targeting
Advertorials
Proximity to purchase
Virtual storefront
Affluent market
Pros and Cons of Internet Advertising
Cons
Security and privacy
Untested medium
Global marketing limits
Targeting costs
Slow downloads
Exchanges
Measuring theperception,
Internet
satisfaction
Audience
Seeking standardization
Ad request
Click rate
Promise of enhanced tracking
Cookies
perception,
Exchanges
Global satisfaction
Impact of the Internet
Online ad spending: $71 billion
Online Ad Spending
Africa
Asia/Pacific
U.S.
Europe
Canada
Latin Am
Middle East
Direct Mail Advertising: The
Addressable Medium
Growth of direct mail
Types of direct mail
Using direct mail in the media
mix
Pros and Cons of Direct-Mail
Advertising
Pros
Selectivity
Personal Impact
Coverage and reach
Exclusivity
Flexibility
Response
Control
Testability
Pros and Cons of Direct-Mail
Advertising
Cons
Selectivity problems
High cost per exposure
Negative attitudes
Delivery problems
Environmental concerns
Lack of content support
Buying Direct Mail Advertising
Acquiring direct-mail lists
House lists
Mail-response lists
Compiled lists
Production and handling
Letter shop
Distribution
Chapter 18
Using Out-of-Home, Exhibitive, and
Supplementary Media
Presents the factors advertisers
consider when evaluating various
out-of-home, exhibitive, and
supplementary media
Out-of-Home Media
Outdoor Advertising
2002: $5.2 billion
Directional
medium for
motorists
Enhances awareness
of and reinforces
the advertiser’s core
message
Regulation of Outdoor Advertising
Maine
Vermont
Hawaii
Highway Beautification Act
1965
Alaska
Transit Advertising
Types of transit advertising
Transit shelters
Terminal posters
Inside and
outside cards
and posters
Taxicab exteriors
Other Out-of-Home
Mobile
Billboard
Parking meter and public phone
Electronic Signs
Exhibitive Media
Product
Packaging
Environmental issues
Government impact
Package manufacturing
Supplementary Media
Advertising
Specialty
Premium
Directories and Yellow Pages
Emerging Media
ATMs
Videotapes
Product
Placement
Cinema advertising