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Advertising 2


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  • 1. P R O M O T I O N - Advertising
  • 2.  
  • 3. Why Do We Do Advertising
    • Personal Selling is preferred, because it is so effective - but, it is expensive sometimes to contact EVERYBODY this way
    • Advertising is not as direct as Personal Selling, but you can reach a lot of people
  • 4. Advertising in Canada has to be International
    • Our Canadian market is very multi-cultural
    • Advertising in Canada has to acknowledge the international aspects in order to be successful
    • A large part of the market in Toronto is NOT from the U.K. so we have to have advertising that can be understood by other people
  • 5. The Top 10 Advertisers in Canada Rank Name 1 General Motors of Canada 113 048.4 2 Procter & Gamble 84 499.5 3 The Thomson Group 70 159.3 4 BCE 53 972.9 5 John Labatt Ltd. 50 036.0 6 Eaton’s of Canada 47 135.9 7 Sears Canada 46 582.1 8 Government of Canada 43 928.7 9 The Molson Companies 42 873.6 10 Chrysler Canada 41 171.5 Revenue (thousands of dollars) 1993 stats
  • 6.
  • 7. Advertising Objectives are a Strategy Decision
    • Every ad should have clearly defined objectives
    • these objectives guide the people who create the ads
  • 8. Nonpersonal selling of a particular good or service. - TV ads - billboards - junk mail Product Advertising Categories of Advertising Page 518
  • 9. Institutional Advertising Also called Advocacy advertising other Categories of Advertising See slide # 16
  • 10. Competitive Advertising Pioneering Advertising, also called Informative “… tries to develop primary demand…” Done in the early stage of the Product Life Cycle. other Categories of Advertising Direct Indirect
  • 11. Competitive Advertising Tries to get you to take action now - buy the product now. Immediate Buying other Categories of Advertising Direct Indirect Tries to point out the advantages so if you think about this product later, you will buy their brand
  • 12. Advertising that makes direct comparisons with competitive brands. Companies used to hesitate to do this, but now they do it freely. Sometimes it can backfire and cause the viewer to NOT want to buy the product - if the comparison is too harsh eg. Political advertising that is too nasty Comparative Advertising
  • 13. Some countries do not allow Comparative Advertising. Other countries allow it,,, but,, you have to prove any statements you make Comparative Advertising
  • 14. Reminder Advertising Done in the Maturity and Decline stage of the Product Life Cycle. You already know about the product - they want you to keep using it, even if new competitors come along. These ads are usually “soft-sell” and try to be entertaining. other Categories of Advertising Page 521
  • 15. Relationship between Advertising and the Product Life Cycle Pioneering Competitive Comparative
  • 16. Promoting a concept, idea, or philosophy, or the goodwill of an industry, company, or organization. This is closely related to the PR program of the company Institutional Advertising Also called Advocacy advertising other Categories of Advertising Page 521
  • 17. Used often by Japanese conglomerates that have many types of products eg. Hitachi SONY Mitsubishi Panasonic (Matsushita Electronics) Institutional Advertising other Categories of Advertising Page 521
  • 18. The sharing of advertising costs between the middlemen and retailer and the manufacturer. This means they will co-operate to display sales promotion material and share the costs of commercials and billboards etc. Co-operative Advertising Retail Advertising Retail advertising is the advertising done by stores that sell “stuff” directly to the consumers. other Categories of Advertising
  • 19. E t h i c a l I s s u e s Page 523 8th edition Page 444 9th edition
  • 20. Joint Ads Co-Branding
  • 21. Before we talk about choosing the best way to advertise, we first have to discuss our Position
  • 22. Positioning
    • Remember Chpt 3
    • Positioning involves developing a marketing strategy aimed at a particular market segment - in order to achieve a desired position with respect to the competition, in the mind of the buyer.
    • ie. That buyers will think a certain way about a product - re: its competitor
  • 23. Positioning
    • 1. By attributes - shampoo (Pantene Pro V)
    • 2. By price - Zeller’s “lowest price is the law”
    • 3. By competitor- Snapple, “We’re #3”
    • 4. By application - Nutrigrain - until we get beamed to work!
    • 5. By product user - consumer, industry, govt
    • 6. By product class - convenience, shopping, specialty goods
  • 24.
    • Newspapers
    • Magazines
    • Television
    • Radio
    • Direct Mail
    • Outdoor
    Media Selection ? - in which category is the most money spent
  • 25.
    • Newspapers - largest share of advertising, 26%
    • Magazines - 12%
    • Television - 2nd major category, 14%
    • Radio - 7%
    • Direct Mail
    • Outdoor, billboards etc. - 6%
    Media Selection
  • 26. Media Advantages Disadvantages Newspapers Flexibility Short lifespan Community prestige Hasty reading Intense coverage Poor reproduction Reader control of exposure Co-ordination with national advertising Merchandising service Magazines Selectivity Lack of flexibility Quality reproduction Long life Prestige associated with some magazines Extra services Television Great impact Temporary nature of Mass Coverage message Repetition High cost Flexibility High mortality rate for Prestige commercials Evidence of public distrust Lack of selectivity Advantages and Disadvantages of the Various Advertising Media
  • 27. Media Advantages Disadvantages Radio Immediacy Fragmentation Low cost Temporary nature of Practical audience message selection Little research information Mobility Outdoor Quick communication of Brevity of the message Advertising simple ideas Public concern over Repetition aesthetics Ability to promote products available for sale nearby Direct Mail Selectivity High cost per person Intense coverage Dependence on quality of Speed mailing list Flexibility of format Consumer resistance Complete information Personalization Advantages and Disadvantages of the Various Advertising Media
  • 28. Trade Magazines Page 528
  • 29. I n f o m e r c i a l s
  • 30. T V Commercials $ 2 5 0 , 0 0 0 To produce, then additional money to get “air” time
  • 31. Planning The Best Message
    • What should an ad accomplish
    • 1. Gain attention and interest
    • 2. Inform and persuade
    • 3. Lead to the person buying
  • 32. Planning The Best Message
    • “Copy Thrust”
    • the words you say to get the attention
    • 1. Copy - the text
    • 2. Thrust - the intention, direction
  • 33. Planning The Best Message
    • “ A I D A”
    • A - Attention
    • I - Interest
    • D - Desire
    • A - Action
  • 34. Direct Response Ads
    • Call 1-800-………….
    • See our web site at WWW.STUFF.COM
  • 35. The Advertising Campaign
    • When developing a mktg comms strategy, you do not restrict your plan to just advertising
    • Many things are also done such as direct mailing, PR, special events, radio, media
  • 36.
    • Pretesting The assessment of an advertisement’s effectiveness before it is actually used.
    • Post-testing The assessment of advertising copy after is has been used.
    Assessing the Effectiveness of an Advertisement Page 387
  • 37. A marketing specialist firm that assists the advertiser in planning and preparing its advertisements. They have specialists who know all about the effect of different advertising methods and can help a company with their strategy. Advertising Agency Page 535
  • 38. Having celebrities lend their name and influence to the promotion of a product. Celebrity Marketing
  • 39. Marketing technique that associates a product with the positive perception of a type of individual or role. (ie. Naya water with healthy lifeguards) Role Model Marketing Sometimes used by companies who cannot afford to pay a celebrity.