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Advertising & Sales PromotionAdvertising & Sales Promotion
Marketing MixMarketing Mix
 Advertising (paid non-personal presentation)
 Sales Promotion (incentives for enticing trial)
 Events & Experiences (company sponsored events)
 Public Relations and Publicity (programs to promote or protect
company’s image)
 Direct Marketing (mail, telephone, internet)
 Interactive Marketing (online activities, polls)
 Word-of-mouth Marketing (p2p, oral, written)
 Personal Selling (f2f presentation)
Why Do We Do AdvertisingWhy 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.
Sources of AdvertisingSources of Advertising
Print and broadcast ads
Packaging inserts
Motion pictures
Brochures and booklets
Posters
Billboards
POP displays
Logos
Videotapes
Sources of Sales PromotionSources of Sales Promotion
Contests, games
Premiums
Sampling
Trade shows,
exhibits
Coupons
Rebates
Entertainment
Sources of Personnel SellingSources of Personnel Selling
Sales presentations
Sales meetings
Incentive programs
Samples
Fairs and trade shows
Characteristics:-Characteristics:-
Advertising
 Pervasiveness (repetition)
 Amplified expressiveness
 Impersonality (no obligation)
Sales Promotion
 Communication (gains
attention)
 Incentive
 Invitation
Personal Selling
 Personal interaction
 Cultivation (relationship)
 Response (must)
Product Advertising
Non-personal selling of a particular good or service.
- TV ads
- billboards
- junk mail
Comparative Advertising
•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.
•Some countries do not allow Comparative Advertising.
•Other countries allow it,,, but,, you have to prove any
statements you make.
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.
Prepared for Marketing 106
Copyright, Professor W.T.G.
Richardson, Seneca College
Relationship between Advertising and the Product Life Cycle
Pioneering
Competitive
Comparative
Retail Advertising
Retail advertising is the advertising done by stores that sell
“stuff” directly to the consumers.
Co-operative Advertising
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.
Institutional Advertising
•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
•Also called Advocacy advertising
•Used often by Japanese conglomerates that have many types of
products
•eg. Hitachi
SONY
Mitsubishi
Panasonic (Matsushita Electronics)
Media SelectionMedia Selection
Newspapers
 Magazines
 Television
 Radio
 Direct Mail
 Outdoor
 ? - in which category is
the most money spent
Media SelectionMedia Selection
 Newspapers - largest share of advertising, 26%
 Magazines - 12%
 Television - 2nd major category, 14%
 Radio - 7%
 Direct Mail
 Outdoor, billboards etc. - 6%
Advantages and Disadvantages of the VariousAdvantages and Disadvantages of the Various
Advertising MediaAdvertising Media
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
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 VariousAdvantages and Disadvantages of the Various
Advertising MediaAdvertising Media
Thank you…Thank you…

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Advertising and sales promotions

  • 1. Advertising & Sales PromotionAdvertising & Sales Promotion
  • 2. Marketing MixMarketing Mix  Advertising (paid non-personal presentation)  Sales Promotion (incentives for enticing trial)  Events & Experiences (company sponsored events)  Public Relations and Publicity (programs to promote or protect company’s image)  Direct Marketing (mail, telephone, internet)  Interactive Marketing (online activities, polls)  Word-of-mouth Marketing (p2p, oral, written)  Personal Selling (f2f presentation)
  • 3. Why Do We Do AdvertisingWhy 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. Sources of AdvertisingSources of Advertising Print and broadcast ads Packaging inserts Motion pictures Brochures and booklets Posters Billboards POP displays Logos Videotapes
  • 5. Sources of Sales PromotionSources of Sales Promotion Contests, games Premiums Sampling Trade shows, exhibits Coupons Rebates Entertainment
  • 6. Sources of Personnel SellingSources of Personnel Selling Sales presentations Sales meetings Incentive programs Samples Fairs and trade shows
  • 7. Characteristics:-Characteristics:- Advertising  Pervasiveness (repetition)  Amplified expressiveness  Impersonality (no obligation) Sales Promotion  Communication (gains attention)  Incentive  Invitation Personal Selling  Personal interaction  Cultivation (relationship)  Response (must)
  • 8. Product Advertising Non-personal selling of a particular good or service. - TV ads - billboards - junk mail
  • 9. Comparative Advertising •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. •Some countries do not allow Comparative Advertising. •Other countries allow it,,, but,, you have to prove any statements you make.
  • 10. 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.
  • 11. Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College Relationship between Advertising and the Product Life Cycle Pioneering Competitive Comparative
  • 12. Retail Advertising Retail advertising is the advertising done by stores that sell “stuff” directly to the consumers. Co-operative Advertising 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.
  • 13. Institutional Advertising •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 •Also called Advocacy advertising •Used often by Japanese conglomerates that have many types of products •eg. Hitachi SONY Mitsubishi Panasonic (Matsushita Electronics)
  • 14.
  • 15. Media SelectionMedia Selection Newspapers  Magazines  Television  Radio  Direct Mail  Outdoor  ? - in which category is the most money spent
  • 16. Media SelectionMedia Selection  Newspapers - largest share of advertising, 26%  Magazines - 12%  Television - 2nd major category, 14%  Radio - 7%  Direct Mail  Outdoor, billboards etc. - 6%
  • 17. Advantages and Disadvantages of the VariousAdvantages and Disadvantages of the Various Advertising MediaAdvertising Media 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
  • 18. 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 VariousAdvantages and Disadvantages of the Various Advertising MediaAdvertising Media
  • 19.
  • 20.