Advertising and PR

2014 Rakesh Niraj

Case Weatherhead School of Management
Design & Innovation Department
1

Importance and types of advertising

Advertising decisions
Content decisions
Media decisions

Public relations: role and tools


U.S. advertising (all types) is over $300 billion

More than 40 U.S. companies spend over $1 billion
each

The advertising industry is smallonly 150,000
employed by the 12,000 advertising agencies

Ad budgets of some firms are more than $3 billion
annually

The average U.S. citizen
is exposed to hundreds
of ads each day.

Advertising may change
a consumers negative
attitude toward a
product, or reinforce a
positive attitude.

Advertising can affect consumer
ranking of a brands attributes.
Corporate identity
Pioneering
Competitive
Comparative
Product
Advertising
Institutional
Advertising
Advocacy
advertising
Pioneering
Stimulates primary demand for new
product or category
Used in the PLC introductory stage
Competitive
Influences demand for brand in the
growth phase of the PLC
Often uses emotional appeal
Comparative
Compares two or more competing
brands product attributes
Used if growth is sluggish, or if
competition is strong
Online
A series of related
advertisements focusing on a
common theme, slogan, and set
of advertising appeals.
Advertising
Campaign
Determine the
advertising objectives
Make creative decisions
Make media decisions
Evaluate the campaign
Develop and evaluate advertising appeals
Execute the message
Evaluate the campaigns effectiveness
Identify product benefits
Sell the Sizzle, not the Steak

Sell products benefits,
not its attributes

A benefit should answer
Whats in it for me?

Ask So? to determine
if it is a benefit
Attribute
Benefit
Powerades new line has been
reformulated to combine the scientific
benefits of sports drinks with
B vitamins and to speed up energy
metabolism.

So, youll satisfy your thirst with a
great-tasting drink that will power you
throughout the day.

- So?
Saving/Profit
Health
Love or romance
Fear
Admiration
Convenience
Fun and pleasure
Vanity and egotism
Environmental
Consciousness
Product saves, makes, or protects money
Appeals to body-conscious or health seekers
Used in selling cosmetics and perfumes
Social embarrassment, old age, losing health
Reason for use of celebrity spokespeople
Used for fast foods and microwave foods
Key to advertising vacations, beer, parks
Used for expensive or conspicuous items
Centers around environmental protection
A desirable, exclusive, and believable
advertising appeal selected as the
theme for a campaign.
Unique Selling
Proposition
Mood or
Image
Musical
Demon-
stration
Scientific
Real/
Animated
Product
Symbols
Fantasy
Lifestyle
Slice-of-Life
Humorous
Spokes-
person/
Testimonial
Newspapers
Magazines
Yellow Pages
Internet?
Radio
Television
Outdoor Media
Direct Mail
Trade Exhibits
Cooperative Advertising
Brochures
Coupons
Catalogs
Special Events
Monitored Media Unmonitored Media
Advantages
Wide, diverse audience
Low cost per thousand
Creative opportunities for
demonstration
Immediacy of messages
Entertainment carryover
Demographic selectivity
with cable
Disadvantages
Short life of message
Consumer skepticism
High campaign cost
Little demographic
selectivity with stations
Long-term advertiser
commitments
Long lead times for
production
Commercial clutter
Advantages
Fast growing
Ability to reach narrow target
audience
Short lead time
Moderate cost
Ability to experiment quickly
Types and issues

Search - Paid search and organic search
Banner ads more and more targeted - privacy
User generated content
Word of mouth social media
Scheduling:
continuous
flighted
pulsing
seasonal
Winter Spring Summer Fall
Type: Newspaper
Magazine
Radio
Television

Outdoor
Internet
Alternative
Considerations:
Mix How much of each?
Cost per contact How much per person?
Reach How many people?
Frequency How often?
Audience How targeted is
selectivity audience?
Press relations
Product publicity
Corporate communication
Public affairs
Lobbying
Employee and investor relations
Crisis management