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ADVERTISING PRACTICE
IN A DIVERSE SOCIETY
Discussion 19
The two Ps
April 15, 2014
Name tags out
Cell phones off
Situational Analysis and Media Plan due
About your creative presentation
 Remember, you’re an agency !!!
 How would an agency pitch creative?
 Formats for creative – stick figures are OK
 Rehearse
Evaluations
 For this course
 For your team
HOUSEKEEPING
BEND ME,
SHAPE ME
ANY WAY
YOU WANT
ME
Shaping
opinion
Shaping
behavior
PR AND PROMO
ALL ABOUT
SHAPING
Shaping
opinion
WHAT
WORDS ARE THE MOST
CHILLING FOR A
CORPORATE EXECUTIVE
TO HEAR?
How would
you define
Public
Relations?
PUBLIC RELATIONS
Public relations is the management function that establishes
and maintains mutually beneficial relationships between an
organization and the publics on whom its success or failure
depends.
 Publics are all the groups of people with which an organization
interacts: employees, members, local communities,
shareholders, customers and institutions
 PR is a tactical function; PR staff produce a variety of
communication tools to achieve corporate image and
information objectives
 And, PR is a strategic management function that monitors
public opinion and advises senior corporate managers on how
to achieve positive relationships with various audiences
PR BY THE BOOK
Public relations is the management function that establishes
and maintains mutually beneficial relationships between an
organization and the publics on whom its success or failure
depends.
 “…public relations and public affairs are probably higher up on
the CEO’s agenda than advertising, marketing research, or
other forms of specialist communication.”
PR BY THE BOOK
WHY IS
PUBLIC
RELATIONS
SO
IMPORTANT?
Public opinion refers to what people think; their beliefs based on
perceptions or evaluations of events, people, institutions, or
products.
THE IMPORTANCE OF PUBLIC OPINION
Public opinion and corporate reputation are connected –
Reputation = goodwill, integrity and trust
 Public goodwill is a company’s greatest asset; it is the job of
public relations to create it and maintain it.
 Integrity is not just about having a positive image, it’s a result
of a company’s actual behavior.
 Oftentimes, public relations is the conscience of the company,
with the objective of building trust and maintaining the
organization’s integrity.
THE IMPORTANCE OF PUBLIC OPINION
Goodwill (1) : the favor or advantage that a business has acquired
especially through its brands and its good reputation (2) : the
value of projected earnings increases of a business especially as
part of its purchase price (3) : the excess of the purchase price of
a company over its book value which represents the value of
goodwill as an intangible asset for accounting purposes
Integrity:
adherence to moral and ethical principles;
soundness of moral character; honesty.
PR AND ADVERTISING:
WHAT’S THE
DIFFERENCE?
Viewpoint
PR VS.
ADVERTISING
Media usage;
gatekeepers
PR VS.
ADVERTISING
Control
PR VS.
ADVERTISING
Credibility
PR VS.
ADVERTISING
Preparation
and messaging
PR VS.
ADVERTISING
 Media relations
 Employee relations
 Financial or investor relations
 Public affairs, issues management
THE TYPES OF PUBLIC RELATIONS
 Media relations
 Employee relations
 Financial or investor relations
 Public affairs, issues management
 Reputation management
 Crisis communications
THE TYPES OF PUBLIC RELATIONS
 Media relations
 Employee relations
 Financial or investor relations
 Public affairs, issues management
 Reputation management
 Crisis communications
 Cause related
 Social media monitoring and
messaging
THE TYPES OF PUBLIC RELATIONS
THE TOOLS OF PUBLIC RELATIONS
ONE FABULOUS
EXAMPLE
WHAT WAS NOVEMBER 30, 2013?
WHAT WAS NOVEMBER 30, 2013?
THE BIG PR IDEA
SMALL
BUSINESS
SATURDAY
SMALL
BUSINESS
SATURDAY
Local press
scan here
SMALL
BUSINESS
SATURDAY
SMALL
BUSINESS
SATURDAY
http://prsany.org/downloads/BigAppleAwards2013/small_business_saturday__mbooth.pdf
Shaping
behavior
PROMOTION
A BOGO is
one of many
promotion
types
WHAT’S A BOGO?
What would be
more likely to
stimulate
trial…a BOGO or
30% off one.
The media and non-media marketing pressure applied for a
predetermined, limited period of time at the level of consumer,
retailer, or wholesaler in order to stimulate trial, increase
consumer demand, or improve product availability.
 Sales promotion: increasing the value of its product or brand
by offering an extra incentive to purchase it.
 Designed to encourage action.
 Sales promotion is primarily designed to motivate people
to act by offering incentives.
PROMOTION BY THE BOOK
 TRIAL
 Get you to try something the first time
 RETRIAL
 Get you to try something that’s been improved
 REPEAT PURCHASE
 Get you to go back and buy it again
 MULTIPLE PURCHASE
 Get you to buy 2 packages instead of just one
 PURCHASE FREQUENCY
 Get you to buy it every week
 TRADE UP
 Get you to buy a larger sized package
 USAGE
 Get you to use the product up faster, or use it in new ways
 LOYALTY
 Keep you buying the brand in the face of strong competition; rewarding you for
being a loyal customer
PROMOTION OBJECTIVES
Consumer
promotions:
Price deals
BESIDE A BOGO
Broader
view
Consumer
promotions:
Premiums
BESIDE A BOGO
Consumer
promotions:
Refunds
and rebates
BESIDE A BOGO
Consumer
promotions:
Coupons
BESIDE A BOGO
Consumer
promotions:
Sampling
BESIDE A BOGO
Consumer
promotions:
Sweepstakes
BESIDE A BOGO
BESIDE A BOGO
Consumer
promotions:
Sweepstakes
Trade
promotions:
Targeted
volume
building
BESIDE A BOGO
Trade
promotions:
Channel
events
BESIDE A BOGO
Multiplatform
and multi-
discipline
A study in
integrating PR
and promotion
BESIDE A BOGO
Multiplatform
and multi-
discipline
A study in
integrating PR
and promotion
BESIDE A BOGO
Multiplatform
and multi-
discipline
A study in
integrating PR
and promotion
BESIDE A BOGO
Multiplatform
and multi-
discipline
A study in
integrating PR
and promotion
BESIDE A BOGO
Also, a significant amount of social media…posting and sharing.
 Over 200 print, online & radio segments in just 23 days
 200 million+ Media Impressions
 Print coverage in 4 of the top 5 DMAs
 Widespread national media coverage
 ESPN.com, USAToday,com, AP, Yahoo Sports, GolfWeek, Golf.com, LA Times,
New York Times
 Regional Radio (7)
 ESPN 1080 Leaderboard Radio -- Troy Merritt -- 10/25, 10/29, 11/1, 11/8,
Steve Powell – 11/1, 11/8
 ESPN Beat of Sports – Steve Powell, 11/8
 National Radio (4)
 Peter Kessler Show XM Radio – Troy Merritt, 11/1
 Matt Adams Show XM Radio – Steve Powell, 11/8
 Matt McKay, The Elevated Tee on KSPI920 - Steve Powell, 11/7
 John Abernoth, “Hooked on Golf” - Steve Powell, 11/6
RESULTS (A TYPICAL MONTH)
Public relations is critically important to brands because it
shapes public opinion, and in many cases public action
PR is growing in importance because it is versatile and
can yield huge amounts of “free ink”
Promotion drives action…behavior that typically results in a
brand experience or a sale.
KEY TAKEAWAYS
Single most
important
point
PR AND PROMOTION –
REMEMBER THAT THESE
AND MOST EVERYTHING
WE DO IN IMC SHAPES
THE WAY PEOPLE THINK,
FEEL AND ACT.
THIS IS VERY POWERFUL.
Read Chapter 16
Work your creative brief and creative presentation
 Class presentations 4/22 and 4/24
 Presentation schedule posted on BB
 Final delivery of creative due 4/24 end of day
Final exam on 5/2 covering Chapters 11 – 17, class
presentations, assigned readings and guest presentations
 Look for study guide on BB by 4/21
BE PREPARED

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Adv 206 spring 14 class 20 pr promo

Editor's Notes

  1. You know about the four Ps, well today we’re talking about the 2 Ps. More on those in a minute.But before we forge ahead, some housekeeping.
  2. Bend me, shape me. You’re probably wondering why is this idea significant and relevant to our topics today?
  3. Because when we talk about the 2Ps -- Public Relations and Promotion -- we’re talking about two very important things:Shaping opinionShaping behaviorLet’s start the first P with a question:
  4. Excuse me maam, I have someone from the TV show 60 minutes on the phone. He’d like to speak to you about what happened yesterday.What do you think has happened to GM since recalling a million cars because of faulty ignition switches, that allegedly have been responsible for over a dozen deaths?Well for one thing:Turmoil surrounding General Motors pushed down its closing share price Friday below $32, first time since June 28 last year the shares have closed below the IPO price of $33.The stock topped recently at $41.85 Dec. 17, after the federal government sold its remaining stake in GM. The closing price of $31.93 Friday is a 23.7% drop since then.
  5. Anybody take PR courses? Anybody interested in PR?What is public relations? Ask?Examples
  6. Here’s the definition in the book.Key term: publics. What does the term “publics” mean?PR is tactical BUTPR is also a very strategic function
  7. Sir Martin Sorrell, CEO of WPP, thinks very highly of PR and for good reason. WPP is the world's largest communications services group, employing 170,000 people* working in 3,000 offices in 110 countries. Some of WPP’s agencies are: AxiCOm (PR), Berlin Cameron, Bottle Rocket, BursonMarstellar, Gray Adv, J Walter Thompson, Kantar Media, Milward Brown, Ogilvy and Mather, and others.Why is PR is so important?
  8. Shaping #1PRshapes Public Opinion – PR deals with, focuses on, seeks to modify, creates AND shapes public opinion.
  9. What do you think public opinion was of BP after this (Deepwater Horizon). And the cost: an estimated $40 billion price tag for the response to its blown out well in the Gulf of Mexico.And what about this…Carnival Lines? What was the financial hit? Parent company Carnival Corp. estimated that the financial hit from the canceled trips and repair costs would be eight to 10 cents per share, or $64-$80 million, for the first half of 2013.Public relations strategists want to know:What publics are important to us now and in the future?What do these publics think?Opinion leaders: important people who influence the opinions of others.
  10. So, as we shape opinions via PR, we manage goodwill, trust and brand integrity.
  11. What are the key differences?View pointHow media is used and its gatekeepersControlCredibilityImportance of preparation and messaging
  12. Public relations takes a longer, broader view of the importance of image and reputation as a corporate competitive asset and addressesmore target audiences than advertising.
  13. Media usePublic relations seeks to persuade media gatekeepers to “cover” their companies.Gatekeepers are writers, editors, producers, talk-show coordinators, and newscasters.This aspect of public relations is called publicity.
  14. ControlWith news stories, public relations strategists are at the mercy of the media gatekeeper.There is no guarantee that your story will run. The story may be rewritten or reorganized. In contrast, advertising runs exactly as the client who paid for it has approved, and as scheduled.
  15. CredibilityThe public tends to trust the media more than they do advertisers.Public often assume a story has legitimacy if it appears in the media. When Walter Cronkite was evening anchor of the CBS news, a national opinion poll named him as the most trusted man in America.
  16. More so than advertising, PR deals with more advance planning with messaging being a critical function of the PR professional. Every statement a company and its leaders make can be news. Rarely is that the case for advertising.PR also have a myriad of incarnations.
  17. Ask the class to define.
  18. Ask the class to define.
  19. Ask the class to define.
  20. American Express OPEN offers small business owners charge cards, credit cards, tools and information to help them drive their businesses forward.Who is in the photo
  21. The last of our shaping studies today is in promotion, where the primary goal is shaping behavior of target audiences.
  22. Price Deals Temporary price reduction, sale price, or even freebies.Cents-off dealPrice-pack dealsBonus packsBanded packsFreebies can be a killer if the company doesn’t adequately predict consumer response! What might be a typical objective for this? TRADE UP (LARGER PACKAGE), REPEAT PURCHASE (BUY IT AGAIN)Why not TRIAL? Too many in the package.
  23. PremiumsA premium is a tangible reward for a particular act. It works by adding value to the product.There are four variations:Store premiums: given at retail siteIn-pack premiums: inserted in the packageOn-pack premiums: attached to packageContainer premiums: the package is the premiumWhat might be a typical objective for this? Trial (try a different product, e.g. toothpaste…or a new flavor). Retrial (sample a product that has been improved)
  24. Refunds and Rebates Marketers offer to return a certain amount of money to the consumer who purchases the product, or a coupon to encourage repeat use.What might be a typical objective for this? Loyalty (financial reward for a user). Repeat purchase. Trial (try a companion label…a white and a red)
  25. CouponsProvide a discount on the price of the product.Retailer: redeemable only at their outlet.Manufacturer: redeemable at any outlet carrying the product.What might be a typical objective for this? Repeat purchase (buy a product you like again). Loyalty. Multiple purchase ($ off if you buy two). Trade up ($ off for larger size)
  26. SamplingWhat might be a typical objective for this? Trial. Usage (use a product in a different way; different recipie)
  27. Sweepstakes -- Three thingsPrize, chance, consideration – can’t have all three unless you are a state…whyCan have two.Why a sweeps? Get people engaged with brand. Get them to a website or a place to enter. Offer a big sizzle prize that has strong appeal to the audience and could look very expensive…a luxury, a dream, or something usually unattainable. But cheap for the brand.Sweeps – prize and chance…”no purchase necessary”What might be a typical objective for this? Repeat purchase (buy another product from the brand). Loyalty.
  28. Two of the three – prize, chance and consideration. In this case prize and consideration. Involves work, some kind of skill….you have to do something. And you have to judge. Can’t involve chance.What might be a typical objective for this?
  29. What might be a typical objective for this?
  30. What might be a typical objective for this? Trial. Retrial. Loyalty.