1
Q
Promotion Mix (MKT Comm. Mix)
A
- specific blend of promotion tools that a company uses to
+ persuasively communicate customer value
+ build customer relationship
2
Q
5 promotion tools (SAPPD)
A
- Sales Promotion
- Advertising
- Personal Selling
- Public Relations (PR)
- Direct and digital marketing
3
Q
Sale Promotion
A
Short-term incentives to encourage purchase/sale of a product/service
4
Q
Advertising
A
Paid form of
Non-personal presentation and promotion of ideas/goods/services
by an identified sponsor
5
Q
Personal Selling
A
Personal presentation by firm’s sales forces to engage customers, make sales and build customer relationship
6
Q
Public relations
A
activities designed to engage and build good relations with the company’s various publics by
-obtain favorable publicity
- build up good corporate image
-handle/head off unfavorable rumors/stories/events
7
Q
Direct and digital marketing
A
engage directly with carefully targeted individual consumers and customers communities
to obtain immediate response and build lasting customer relationships
8
Q
Changing landscape in IMC
A
- Consumers: more informed - find info on their own - exchange brand-related info - create a brand message and experience
- Strategy: more narrowcast, highly targeted, less mass market
- Digital Tech: More targeted + Social media + engaging communication + content marketing
9
Q
Content Marketing (CIS)
A
-Create + Inspire + Share
brand message and conversation with and among consumers
- across a fluid mix of paid, owned, earned and shared channel
10
Q
The definition and role of IMC
A
- IMC: Integrated Marketing Communication
- Integrate + Coordinate communication channels
-> deliver a clear, consistent, compelling (3C) message about org. + product
11
Q
Sales Promotion (P&C)
1vs3
A
+ Attract and Engage via strong incentives to purchase (buy now)
=> Boost sales in the short term
- short-lived,
-does not build brand preference, - doesn’t build customer relationship
12
Q
Advertising (P&C) 5vs3
A
+ Reach the largest number of people
+ Repeat a message many times
+ Large-scale ads = seller’s size, popularity, success
+ Sometimes to build a long-term image
+ trigger quick sales
- Impersonal
- Lack of direct persuasiveness of the salesperson
- Can be expensive
13
Q
Personal Selling (P&C) 3vs2
A
+ Favorable impression of brand/product => long-term loyalty
+ Build customer’s preferences + convictions + actions
+ Buyers feel the need to response
- Long-term commitment (than ad)
- Most expensive (training + maintenance)
14
Q
Public Relations (Pros and Cons)
2vs2
A
+ More credibility
+ “News and events” rather sales
- Expensive + difficult
- No guaranteed success
15
Q
Direct and digital marketing (P&C)
A
+ Highly targeted
+ Immediate and personalized
+ Interactive dialogue - message can be altered based on response
- Complex: attention to details + careful planning
16
Q
Promotion Mix Strategies (2)
A
Push and Pull Strategies
17
Q
Push Strategy
A
Use sales force + trade promotion to push the product through channels.
= Producer promotes the product to channel members, then channel members promote to final customer
18
Q
Pull Strategy
A
- Spend a lot on consumer advertising and sales promotion to induce final consumers to buy
=> Create a demand vacuum that “pulls” the product through the channel.
19
Q
4 major advertising decisions
A
- Objectives setting
- Budget decisions
- Message + Media decisions
- Advertising evaluation
20
Q
Ad Objective settings decisions (2)
A
- Communication objectives
- Sales and profit objectives
21
Q
Budget decision (4)
A
- Affordable approach
- Percent-of-sales approach
- Competitve-paritiy approach
- Objective-task approach
22
Q
Affordable Method
A
Set the promotion budget at the level management thinks the company can afford
ignore the effects of promotion on sales
23
Q
Percentage-of-sale method
A
Set a budget at a certain percentage of current or forecasted sales or as a percentage of the unit sales price
24
Q
Competitive-parity method
A
set budget to match competitor’s outlays
25
Objective-and-task method
Budget by
1. define specific promotion objectives
2. determine the tasks needed to achieve these objectives
3. estimate cost of performing these tasks
26
Advertising Objective Definition
Specific Comm. task to be accomplished with a
specific target audience
during a specific period of time
27
Possibile Ad objective (IPR)
Inform
Persuade
Remind
28
Inform Ad Objective
Introduce a new product -> build a primary demand
+ customer value
+ build image
+ new product/new uses
+ price change
+ correct false impressions
etc.
29
Persuasive Ad Objective 4
Competitive - Build Selective Demand
+ build brand preferences
+ persuade to buy now/switch to a brand
+ create customer engagement
+ change perceptions
30
Reminder Ad Objective (3)
+ Maintain customer relationship
+ Remind where to buy/may be needed in the near future
+ Keep in mind during off-seasons
31
Advertising Strategy
The strategy that the company uses to accomplish its advertising objective
32
2 elements of advertising strategy
- Create Ad MESSAGE (creative way to communicate)
- Select ad MEDIA (vehicles to communicate)
33
3 types of appeals for ad message
1. Rational
2. Emotional
3. Moral
34
Rational Appeal
- audience's self-interest
- show product will produce the desired benefits
35
Emotional Appeal
- Stir up negative/positive emotions that can motivate purchase
36
Moral appeal
- audience's sense of what is "right" and "proper"
- often used to urge people to support social causes
37
Advertising Clutter
- Consumers can easily skip, mute, or block TV and digital content = they don't want to watch ads
38
Madison and Vine
Merge ad and entertainment in an effort to break through the clutter and create new avenues for reaching customers with more engaging messages
39
Branded Integrations (branded entertainment)
make the brand an inseparable part of some other form of entertainment or content
40
Native advertising (sponsored content)
Ads/brand -produced online content that looks in form and function like other natural content surrounding it on a web/SM
41
Message Strategy Statements 4
plain
straightforward - show benefits + positioning points
42
Creative concept
the compelling "big idea" that will bring an ads message strategy to life in a distinctive and memorable way
43
Advertising Appeals 3
- Meaningful (point outs benefits: desirable or interesting)
- Believable
- Distinctive (how is it better)
44
Execution Style 6
- approach,
- style,
- tone: positive/ edgy humour to breakthu the clutter
- memorable words,
- format: strong illustrations to draw attention, headline, - - copy (simple but convincing)
45
4 steps to select ad media
1. Determine reach, frequency, impact and engagement
2. choose among major media types
3. select media vehicles
4. media timing
46
Reach (S1)
percent of people in target market who are EXPOSED to an ad campaign during a given period of time
47
Frequency (S1)
how many times the average person in the target market is exposed to an ad
48
Media impact (S1)
qualitative value of message exposure through a given medium
49
engagement -> action (S1)
extend to which customers become engaged with/interact with advertising
50
TV (S2)
3vs4
+ Mass-mkt coverage
+ low cost per exposure
+ sight/sound/motion -> appealing to senses
- high absolute cost
- high clutter
- fleeting exposure
- less audience selectivity
51
Digital (S2)
4vs2
+ High selectivity
+ Low cost
+ Immediate
+ Engagement Capabilities
- potentially low impact
- high audience control of content and exposure
52
Newspaper (S2)
5vs2
+Flexible
+Timeliness
+Good local market coverage
+ Broad acceptance
+ High credibility
- Poor reproduction quality
- Small pass-along audience
53
Direct mail (S2)
4 vs 2
+High selectivity
+Flexible
+No ad competition with same medium
+Personalization
-Relatively high cost per exposure
-"junk mail"image
54
Magazine (s2)
4vs3
+High geographic, demographic selectivity
+Credibility + prestige
+High quality reproduction
+ Long life and good pass-along readership
- Long ad purchase lead time
- high cost
- No guarantee of position
55
Radio S2
3vs4
+Good local acceptance
+High geo+demographic selectivity
+ Low cost
- audio only
- short time exposure
- low attention
- fragmented audience
56
Outdoor (S2)
4vs2
+Flexible
+High repeat exposure
+low cost
+good position selectivity
- little audience selectivity
-creative limitations
57
How to choose Media Vehicles (3)
-Choose specific media with each general media type
-compute the cost per 1000 people reached by a vehicle
-consider the costs of producing ads for different media
58
S4: Media timing approach (3)
- seasonal advertising
-ads that response to event in real time
- pulsing and continuous ad:
pulsing: a lot - stop - a lot again (ad at peak time)
59
S5: Evaluation (2)
2 results to evaluate
- Comm. results
- Sales and profit effects
60
Comm. effects Evaluation (S5) 2 things
- 3
- 4
+ Pre-evaluation: show to customers: feel, message recall, attitude changes
+ Post-evaluation: product recall/awareness, engagement, knowledge, preference
61
Sales and profits. effects Evaluation (S5)
- Way 1: compare past sales and profits with past ad expenditures
- Way 2: through experiments
62
Return on ad investment
the net return on advertising investment divided by the costs of the ad investment
63
Organize ads for small companies
maybe by someone in sales department
64
organize ads for large companies
- Advertising department
- Advertising agency
+ marketing service firm that assists companies in
* planning
*preparing
*implementing
*evaluating
all or portions of their ad program
65
International advertising decisions
most ads are created in the country in which they are shown,
because successful ad requires an understanding in language and culture of the market
66
PR activities includes (6)
- Press relations/press agency: create and place newsworthy info in news media to attract attention
- product and brand publicity
- public affairs: build customers and local communities relationships
- lobbying: relationships with legislators and gov. officials -> influence legislation and regulation
- investor relations
- development: donors and NGO to gain financial and volunteer support
67
Copywriter's Pyramid (5)
| AICDA
ACTION
DESIRE
CREDIBILITY
INTEREST
ATTENTION
68
# Copywriter pyramid
Attention 2
- ads must breakthru consumers' psychological screens to create attention that leads to perceptions
- print ads often use headline as the major attention-grabbing device
69
# Copywriter pyramid
interest
- must keep the prospect investment alive as the info became more detailed, specific
70
# Copywriter pyramid
Credibility
- a product/service claim is backed up by fact
- well-known presenters may lend credibility to commercials
- ads often show independent test results to substantiate product claims
71
# Copywriter pyramid
Desire
encourage prospects to picture themselves enjoying the benefits of the product/service
-> invite them to experience the process of visualization
72
# Copywriter pyramid
Action
motivate people to do sth
73
Headlines def.
the words that will be read first
situated to draw most attention
74
Headlines qualities 5
-grab attention
- engage audience
- quickly understood
- lead to body
- present selling message
75
5 Types of headlines
- Benefit headline
- News/Info
- Provocative (stimulate curiosity, questions, thoughs through visuals etc)
- Questions
- Command
76
Subhead
- an additional smaller headline, may appear above the headline or below it
- transmits key sales points fast, but less important than the headline
77
Body text covers (5)
- features
- benefits
- utility of the product/services
- handles the sales appeal
- call for action
78
Slogans purposes (2)
- provide continuity to a series of ads in a campaign
- to reduce an advertising message strategy to a brief/repeatable/memorable positining statement
79
Logotypes and signatures 3
- Logotypes and signature are special designs of the advertiser's company name or product name
- Appear in all company's ads
- give the product individuality + provide quick recognition at the point of purchase
80
Body copy styles 4
- straight-sell copy
- narrative
- dialogue/monologue
- picture-caption
81
straight-sell copy
- immediately explain/develop the headline and visual in a straightforward, factual presentation
82
Narrative copy
set up a situation - resolve last minute by having service/product come to rescue
83
Dialogue/monologue copy
add believability
sell thru testimonials/quasi testimonial technique/comic strip
84
picture-caption copy
useful for products that have different uses or come in a variety of styles/design
85
The influence process (3)
- Message arguments
- Peripheral cues
- Receiver's initial position
86
Message arguments in the influence process
-the strength/quality of message arguments = major determinant of whether and to what extend persuasion occurs
- need to be believable and convincing
87
Peripheral cues in influence process
- Second determinant
- Presence of cues that are peripheral to the primary message arguments like background music, scenery, graphics
88
Receiver's Initial Position in influence process
- From self-generated thoughts that people produce in response to persuasive efforts (before you look at the ad)
- 2 primary forms of response: supportive/counterargument
89
Voluntary attention
engages when consumers devote attention to an ad/ message that is perceives as "relevant to their current purchase -releted goals"
90
involuntary attention
- attention that needs to use attention-gaining techniques
91
Appeals to Information and Hedonic Needs
Message that serve infomational needs (relevant fact/figures) or serve feel goods and pleasure (hedonic needs)
92
Use of intense stimuli
- Intense stimuli (loud, colorful, big) to increase the prob. of attracting attention
93
How to gain involuntary attention 3
- Appeals to informational and hedonic needs
- Intense stimuli
- Motion
94
How to motivate the audience to process the message 2
- increase the relevance of the brand to consumer's self-interest (use question, dramatic presentation)
- increase curiosity (humor, present little info in the message with surprise or suspense)
95
How to increase the opportunity to encode information (3)
- Repetition
- repeat brand info
- repeat key scenes
- repeat the ad on multiple occasions
96
Pros and cons of comparative advertising
2vs1
+ gain attention (especially for lesser-known or new brand)
+ directly comm. features and attributes, benefits and advantages
- may focus more attention on competitor's brand
97
Major PR tools
- News
- Special events
- Written material (newsletter, annual reports, brochures)
- Audiovisual (DVD, online, video)
- Corporate identity material
- Public services activities
- Website, blog, sm
Marketing An Introduction
flashcards
Decks in class (10)
# Cards
