Advt, sales prom

What is Advertising
Advertising is any paid form of non-personal
communication from an identified sponsor using
mass media to persuade or influence the choice of an
audience.
Advertising is:
1) Structured and composed non-personal communication
of information.
2) Usually paid for and usually persuasive in nature,
about products (goods, services, and ideas)
3) By identified sponsors through various media.
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The Marketing Communications (Promotion) Mix.
Advertising.
Sales Promotion.
Public Relations.
Personal Selling.
Direct Marketing.
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Types of advertising Campaigns.
1) A series of coordinated
advertisements.
2) Single advertisement placed in
multiple media.
3) Several different advertisements with
a similar look, feel, and message
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New Communications Realities
Mass markets have fragmented, leading to a shift away
from mass marketing. Improvements in information
technology are speeding movement toward segmented
factors have shifted the marketing communications
model, Less broadcasting and More narrow
Integrated Marketing Communications
Using IMC, the company carefully integrates and
coordinates its many communication channels to deliver
a clear, consistent, and compelling message about the
organization and its brands. Several factors influence
the choice of promotional.
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Advertising Can reach masses of geographically
dispersed buyers. Can repeat a message many times.
Is impersonal, one-way communication. Can be very
costly for some media.
Personal Selling Involves personal interaction between
two or more people. Most effective tool at building
preferences, convictions and actions. Most expensive
promotion tool; requires long-term commitment. Allows
relationship building.
Sales Promotion Wide assortment of tools. Attracts
consumer attention. Offers strong incentives to buy.
Invites and rewards quick consumer response. Effects
are short-lived.
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Public Relations
Very believable. Reaches people who avoid
salespeople and ads. Can dramatize a company or
product. Tends to be used as an after thought.
Planned use can be effective and economical.
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Major Advertising Decisions
Setting advertising objectives.
Setting the advertising budget.
Developing advertising strategy.
Evaluating advertising campaigns.
1) Setting Advertising Objectives
Specific communication task to be accomplished with
a specific target audience during a specific period of
time.
Classified by purpose:
Inform
Persuade
Compare
Remind
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2. Setting the Advertising Budget
Affordable method
Percentage-of-sales method
Competitive-parity method
Objective-and-task method.
Sales Promotion Sales promotion consists of
short-term incentives to encourage the purchase or
sales of a product or service.
The idea behind sales promotion is to generate
immediate sales.
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3. Rapid Growth of Sales Promotion
Sales promotion can take the form of consumer,
business, trade, or sales force promotions. Rapid
growth in the industry has been achieved because:
Product managers are facing more pressure to
increase their current sales Companies face more
competition Advertising efficiency has declined
Consumers have become more deal oriented.
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Consumer Promotion Objectives:
Increase short-term sales. Help build long-term market
share. Many tools exist which can help to achieve
these objectives.
Consumer Sales Promotion Tools
Samples Coupons
Cash refunds
Price packs
Premiums advertising
Specialties patronage
Rewards point-of-purchase displays
Demonstrations
Contests Sweepstakes Games.
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Public Relations Public Relations
building good relations with the firm’s various publics
by obtaining favorable publicity, building up a good
corporate image, and handling or heading off
unfavorable rumors, stories, and events.
Public Relations Functions
Press relations or press agency
Product publicity
Public affairs
Lobbying
Investor relations
Development.
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Public Relations Role & Impact
May strongly impact public awareness at a lower cost than
advertising. Results can be spectacular. Beginning to play
an increasingly important brand-building role.
Public Relations Tools
News speeches
Special events
Buzz marketing
Mobile marketing
Written materials
Audiovisual materials
Corporate identity materials
Public service activities
Company Web site
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CAREER IN ADVERTISING.
A bachelor's degree in advertising is an essential step
on the path to a full-time career in the industry.
Students who earn advertising degrees learn about
all facets of the business, such as copywriting, art
direction and media buying, planning and sales.
Career options are:
Advertising, Promotions and Marketing Manager.
Advertising Sales Representative.
Market Research Analyst.
Writer.
Photographer, Film and Video Editor.
Graphic Designer.
Meeting, Convention and Event Planners.
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The status of this relationship can make a difference
between good marketing campaigns and great ones.
This relationship is complex and is held together by
honesty, respect, trust and understanding.
Similar to a personal relationship, the client-agency
relationship is a two-way relationship.
1) Traditional Advertising Agency.
2) Branding Agency.
3) Design Focused Agency.
4) Media Buying & Planning Service.
5) Promotional.
6) PR or Public Relations Agency.
7) Marketing Agency.
8) Digital Agency.
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ATL, BTL, & TTL Advertising
Marketing activities (basically advertisements) today
can be divided into three segments
Above the Line (ATL),
Below the Line (BTL), &
Through the Line (TTL) Marketing.
The line was originally used to separate marketing
activities which had mass penetration (above the line)
to those which had specific penetration (below the line).
But then, due of the increased competition and
development in technology, emerged through the line
marketing activities which blurs the line and include the
use of both ATL & BTL advertising activities.
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Above the Line
Above the Line advertising (often referred as Above
the Line promotion/ Above the Line marketing/ ATL
marketing/ ATL advertising) consist of advertising
activities that are largely non-targeted and have a wide
reach. ATL communication is done to build the brand
and inform the customers about the product.
Conversions are given less importance in above the line
advertising.
To make it simpler-
Above the line marketing includes mass marketing
strategies which are largely untargeted and
are focused on building the brand.
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Television
An average Indian watches 4.3 hours of TV in a day.
TV advertisements have a reach from local, to
national, and international audience depending on the
TV channel and the contract between the parties.
TV advertisements have a better connection with
the users as moving images with audio are preferred
over still images or audio alone.
Radio
Psychologists tell us that consumers need to be
exposed to an advertising message at least three
times before it begins to penetrate. Radio is a perfect
option for marketers to fulfill all the frequency and
creative demands of an advertisement. Radio have a
local, national, and international reach just like TVs.
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Print Advertisements (magazine & newspaper)
Local, regional and national print media have a wider
reach than any of the other mediums. Newspapers have
fixed ad-slots that are used by the marketers to inform
customers / prospective customers about the brand or
offers. Magazines exist in niches and make it easier for
marketers to reach their niche directly through them.
Advantages of Above the line marketing
Wider Reach
Above the line advertising mediums have a wide
(national/international) reach.
Better Connect with the audience
The mediums like TV and radio use audio-visuals which
have a better connect with the audience.
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Below the Line
Below-the-line advertising (often referred as Below the
Line promotion/ Below the Line marketing / BTL
marketing / BTL advertising) consists of very specific,
memorable and direct advertising activities focused on
targeted groups of consumers. Often known as direct
marketing strategies, below the line strategies focus
more on conversions than on building the brand.
To make it simple. Below the line marketing include
direct marketing strategies directed to specific target
groups and focused on conversions rather than
building the brand.
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Outdoor Advertising
Outdoor advertising is usually done in public places and
are constantly on display, have a greater (and more
targeted) reach depending on the locations. They
include Flags, Banners, Wraps, Billboards, etc.
Direct Mail Marketing
One of the most personal strategies used by marketers,
direct mails (e-mails, text messages, etc.) are tailor-made
messages about the brand or different offers
drafted according to the needs of each customer. Hence
this BTL strategy could result in more conversions if
planned properly.
Sponsorship
Sponsorship is a partnership with different corporates or
events to get more impressions and is usually carried as
a part of brand building strategies at a BTL level.
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Through the Line
Through the Line advertising (often referred as Through the
Line promotion/ Through the Line marketing / TTL
marketing / TTL advertising) involves the use of both ATL &
BTL marketing strategies. The recent consumer trend in the
market requires integration of both ATL & BTL strategies for
better results.
It refers to 360-degree advertising Campaign,
which are developed with the vision of brand building as
well as conversions. Sometimes above the line strategies
are used to execute their direct marketing strategies.
To make it simple. It involves marketers to create marketing
campaigns which include both ATL & BTL strategies.
This too comes under TTL marketing.
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Trends in the Advertising Industry.
Advertising trends have evolved from the essentially
traditional print ads, radio and TV spots to new marketing
strategies that include QR codes, co-branding, content
marketing and online advertising. While print and TV are
steadfast in the ad industry, new technology is opening
new avenues to reach consumers.
For businesses that want to stay ahead of the curve with
interactive advertising, these trends can do just the trick.
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QR Codes
A QR code, or a “quick response” code, is a two-
dimensional symbol akin to the UPC (Universal
Product Code, or "bar code"). A QR code elicits a
digital action when scanned by a QR code reader. In
advertising, it has gained traction as an interactive tool
in which consumers can scan the code to retrieve
additional information about the product or promotion.
When scanned by a smart-phone, a QR code can
initiate several actions, such as opening a website,
making a phone call or sending an SMS message
payment remittance of late.
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Content Marketing
Content marketing is a term that began gaining
popularity around 2003 with the birth of social
media websites such as Face-book and Twitter.
Content marketing includes advertorials
(newspaper or magazine articles that are written
editorially to promote your product), blogs or any
other kind of content that is published on the web
for promotional purposes. As a form of
advertising, content marketing is effective at
creating awareness when it comes to brand
storytelling.
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Online Advertising
Consumers use the web to find many things, including
businesses and brands. When it comes to capitalizing on
reaching consumers, advertisers are using tools such as
Google Ad-Words to create online advertising campaigns.
Ad-Words is a Google product that allows small businesses
to create online advertisements with keyword and budget
parameters to target their primary customers. Other trends
in online advertising include marketing efforts such as
search engine optimization (SEO -- the process of using
keywords to get a website to rank higher in results as
opposed to using Ad-Words); social media; mobile devices
such as I Pads and other handhelds; display ads; and
website banner ads.
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Understanding the Definition of Marketing Environment.
Marketing environment can be defined as the various internal
and external factors that surround the business on a day to
day basis and influence the marketing strategies and other
operations of the firm.
These factors can be divided into internal, micro, and macro
marketing environmental factors of which some are within the
control of the management of the firm and some of the micro
factors such as government policies and technological
developments amongst others that are not in the control of
the company.
The company management has to plan and strategize its
marketing operations depending on the factors that have the
positive impact on its operations and some that affect it in a
negative manner.
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1) Essential for planning. 4 P’s
2) Understanding Customers. Cons.Behaviour
3) Tap new trends.
4) Keep a check on threats SWOT
5) Harp on the opportunities.
6) Understand the competition.
7) Building strategy & brand. Vision & Mission
8) Innovation.
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1. “AIDAS” theory
2. “Right set of circumstances” theory
3. “Buying-formula” theory
4. “Behavioural equation” theory.
“AIDAS” theory and “Right set of
circumstances” theory is seller oriented.
“Buying-formula” theory is buyer oriented.
“Behavioural equation” theory emphasizes the
buyer’s decision process but also takes the
sales person’s influence process into account.
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“Right Set Circumstances” Theory of Selling
This theory sometimes called “Situation-
Response” theory, and it emphasizes on
creating a right circumstance or situation by
the sales person so that he succeeds in
securing the attention and gaining the interest
of the prospect, and if the sales person
presents the proper stimuli or appeals, the
desired response (that is the sale) will result.
This is a seller-oriented theory and stresses
upon the sales person controlling the situation.
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“Buying Formula” Theory of Selling
To ensure purchase , the product or service
and the trade name (that the source of
supply ) must be considered adequate, and
the buyer must experience a (pleasant)
feeling of anticipated satisfaction when
thinking of the product and/or service and/or
the trade name.
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Theories of Selling (“ Behavioural
Equation” Theory of Selling) J.A Howard
explains buying behavior in terms of the
purchasing decision process , viewed as
phases of the learning process. Four
essential elements of the learning process
included in the stimulus-response model
are
1) Drive.
2) Cue.
3) Response.
4) Reinforcement.
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Advertising media refers to the various media
channels through which advertising is done.
Advertising media is used for showcasing
promotional content which communicated
in various forms such as text, speech, images,
videos using TV, radio, online, outdoor etc.
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