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MKT568

Advertisement
Management
Teacher:
Humbal Tariq

Recommended Books
Advertising Communications &
Promotion Management
John R. Rossiter & Larry Percy

Strategic Advertising Management


Larry Percy, John R. Rossiter & Richard
Elliot

Recommended Books
Advertising & Communications
Management
Micheal J. Ray

The Fundamental of Advertisements


John Wilmshurst & Adrian Mackay

What Is Advertisement..?
Make an announcement in a public
place..
Describe or present goods publicly
with a view to promoting sales..
A public announcement.. (by towncrier)

How Does Advertisement Work?


The Buyer Response Sequence
1.
2.
3.
4.

See or Hear the Message (Exposure)


Pay Attention (Process)
Understand (Communication Effects)
Action

Buyer Response steps are Gates

How Does Advertisement


Work?
Marketing Managers Planning Stages
1.
2.
3.
4.
5.
6.

Target Audience Selection


Communication Objectives
Positioning
Creative Strategy
Media Strategy
Campaign Tracking & Evaluation

1. Target Audience Selection


Awareness-Attitude-Behavior
Approach
1.
2.
3.
4.
5.

NCU New Category Users


BL Brand Loyal
FBS Favorable Brand Switchers
OBS Other Brand Switchers
OBL Other Brand Loyals

1. Target Audience Selection


1. NCUs New Category Users
Sales Potential

Depends on
May cost Awareness
a lot to make them aware

2. BLs Brand Loyals


Awareness
Maximum
Sales
Sales Potential Core of our Sales
BehaviorZero
(Habit)

1. Target Audience Selection


3. FBS Favorable Brand Switchers
Attitude
Awareness
Sales Potential

Moderately Favorable
May slip over time
Drop in Purchase
Frequency
Easy Target
Attitude should be
changed to Highly
Favorable.
Offer Deals /
Promotions /

1. Target Audience Selection


4. OBS Other Brand Switchers
Awareness
Attitude
Unaffordable

Zero / Unaware or Low


Neutral or Negative
Price too high

5. OBLs Other Brand Loyals


Attitude
Sales Potential

Actively Negative (More


Often)
Least / Worst Prospects

1. Target Audience Selection


Further focus /
clarity..
1. Geographic
2. Demographic
3. Psychographic

National Campaign
Global Campaign
Age
Gender
Occupation
Lifestyle
Personality
General Attitudes

1. Target Audience Selection


Target Audience
1. Primary
2. Secondary

Usually only one


group is selected for a
campaign.
Mostly FBS.
Commonly BLs in
most campaigns.
Reinforcement

1. Target Audience Selection


Advertising Leverage
Sales Leverage
# buyers x Incremental Sales / buyer
Cost of Campaign
Profit Leverage
# buyers x Incremental Profit / buyer
Cost of Campaign

How Does Advertisement


Work?
Marketing Managers Planning Stages
1.
2.
3.
4.
5.
6.

Target Audience Selection


Communication Objectives
Positioning
Creative Strategy
Media Strategy
Campaign Tracking & Evaluation

2. Communication
Objectives
2.1
2.2
2.3
2.4
2.5

Category Need
Brand Awareness
Brand Attitude
Brand Purchase Intention
Purchase Facilitation
Consider them as mental bins

2. Communication
Objectives
2.1 Category Need
Solutio
Problem
Category
n
Benefits all brands in Category
Optional Objective
Target Audience NCUs (mostly)
Usually New Category
1st Sell Category Then Sell Product
Educate People

2. Communication
Objectives
2.2 Brand Awareness
Buyers ability to recognize / recall the
brand
Category Need Brand
Universal Communication Objective
(Compulsory)
Two Choices
Brand Recognition
Brand Recall

2. Communication
Objectives
2.2 Brand Awareness
When Purchase Decision is Made.?
At Point of Purchase Recognition
Prior to Point of Purchase Recall

Effective Techniques
Recognition Show Close-ups of Brand
Logo
Recall Brand Name Repetition (Jingle)

Buyer takes 9.4 seconds from


sighting the category to putting the
chosen brand in the cart.

2. Communication
Objectives
2.2 Brand Awareness
Effective Medium
Recognition TV / Magazine
Recall TV / Radio

2. Communication
Objectives
2.3 Brand Attitude
Perceived ability of brand..
Universal Communication Objective
(compulsory)

2. Communication
Objectives
2.3 Brand Attitude
Examples:
Mana lo food ka love with 7UP
Food = Category Need (Link)
7UP = Brand Awareness (Recall)
Love = Brand Attitude

2. Communication
Objectives
2.3 Brand Attitude
Examples:
Soneya CocaCola Pilaa dey..
Pilaa = Category Need (Link)
CocaCola = Brand Awareness (Recall)
Soneya / Zalima = Brand Attitude

2. Communication
Objectives
2.3 Brand Attitude
Examples:
Cheeta bhi peeta hai..
Peeta = Category Need (Link)
??? = Brand Awareness (Recall)
Cheeta = Brand Attitude

2. Communication
Objectives
2.3 Brand Attitude
Components
2.3.1 Super belief
2.3.2 Benefits
2.3.3 Emotions

2. Communication
Objectives
2.3.1 Super Belief
A belief that the product solves one
of the following:
Negatively
Originated Motives
(Informational)
1.Problem Removal
2.Problem Avoidance
3.Incomplete
Satisfaction
4.Normal Depletion

Positively Originated
Motives
(Transformational)
5.Sensory
Gratification
6.Intellectual
Stimulation
7.Social Approval

2. Communication
Objectives
2.3.2 Benefits
Multi-Attribute Model
Brand Attitude = ( Attributes x
Importance)
2.3.3 Emotions
Not linked to Specific Benefits
BAtt = ( Attributes x Importance) +
Emotions

2. Communication
Objectives
2.4 Brand Purchase Intention
Self-instruction Ill buy that..
Ad.-instruction Buy it now..
Optional Objective (depending on):
Low Involvement Product (Low Risk)
High Involvement Product (High Risk)

2. Communication
Objectives
2.4 Brand Purchase Intention
Low Involvement Product (Low Risk)
Explicit Purchase Intention Damages
Appeal
Positive B.Attitude Implicit Purchase
Intention

High Involvement Product (High Risk)


Positive B.Attitude Not Enough for
Internal P.I.
Generate Brand Purchase Intention

2. Communication
Objectives
2.5 Purchase Facilitation
Addresses Perceived Problems with
4Ps (Marketing Mix)
Product
Price
Promotion
Place

Include Objective IF Problem is


Perceived

How Does Advertisement


Work?
Marketing Managers Planning Stages
1.
2.
3.
4.
5.
6.

Target Audience Selection


Communication Objectives
Positioning
Creative Strategy
Media Strategy
Campaign Tracking & Evaluation

3. Positioning
X-YZ Macro Model
3.1 X-factor..??
The brands position in its category
with respect to other competing
brands.
Options:
Centrally Positioned
Differentiated

Perceptual Maps

Blackberr
y

Luxur
y

Moder
n

Class
ic

Econom

3. Positioning
3.1.1 Central Position
Centrally positioned brand has to
deliver all the main benefits that are
characteristic of the category.
Two Types Brands:
3.1.1.1 Market Leader
3.1.1.2 Me Too Brand

3. Positioning
3.1.1.1 Market Leader Brand
Successful Pioneer Brand
Defines a new category
Mostly Category Name = Product Name
Surf = Detergent
Xerox = Photocopy
Coke / Cola
Raphan Jelly = gelatin (Jello-O)
TCS = Courier

3. Positioning
3.1.1.2 Me Too Brand
All Subsequent brands trying to imitate
Market Leader (offer all of the same
benefits)
Lower Price (otherwise will fail)
Benefits objectively determined
(otherwise will fail)
IBM imitators (unbranded computers from Hafeez Centre)
TCS, OCS, Leopards, DHL (reasonable delivery time)

3. Positioning
3.1.2 Differentiated Positioning
All other follower brands should
differentiate
Existing Attribute Specialize
Offer New Attribute
e.g. Colgate Taste
Crest Cavity Prevention
Aim Offered both in Gel Form

3. Positioning
3.2 YZ Factor
Y = User As Hero (Target Audience)
Z = Product As Hero (Benefits)
3.2.1 User As Hero Positioning
Focus Users Characteristics
Market Specialist Established benefits
Hewlett Packards Professional
Calculators

3. Positioning
3.2.1 User As Hero Positioning
Social Approval
Dalda Jehan Dalda wahan maamta
Laziza Kheer Mix
Mobilink - Shaan

Technical Product Novice Users


Canon AE-1 Camera Andre Agassi
Fuji Camera Even a child can do it
State Life Insurance Aye Khuda Mairay
Abbu
Blueband Changed Position from Z to Y

3. Positioning
3.2.2 Product As Hero Positioning
Mostly all brands
Focus on Brand benefits
Duracell / Energizer Long lasting
Bunny
Ufone

Creative Strategy

Media Strategy

Campaign Tracking &


Evaluation