U.S. Advertising
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What is Marketing?
Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization. Value Relationship marketing Mass customization Customer relationship management (CRM)
Marketing communications are the means by which firms attempt to inform, persuade, and remind consumers, directly or indirectly, about the products and brands they sell.
Point of purchase
Publicity
Special events
Media Advertising
Word of Mouth
Direct response
Interactive marketing
Word of Mouth
Sales promotion
Direct response
Media Advertising
Public relations
Interactive marketing
Direct marketing
Special events
Defining IMC
IMC is a strategic business process used to plan, develop, execute and evaluate coordinated, measurable, persuasive brand communication programs with consumers, customers, prospects employees and other relevant external and internal audiences. The goal of IMC is to generate short-term financial returns and build long-term brand value.
IMC
Importance of relevant audience Multiple relevant audiences Demand for accountability and Demand for accountability Measurement of Outcomes
Toward
Multiple forms of communication Specialized media Retailer dominance Data-based marketing Greater agency accountability
Performance-based compensation
1. Coca-Cola 2. Microsoft 3. IBM 4. GE 5. Intel 6. Nokia 7. Disney 8. McDonalds 9. Marlboro 10. Mercedes
$67.52 $59.94 $53.38 $46.99 $35.59 $26.45 $26.44 $26.01 $24.84 $21.19
What is Advertising
Advertising is any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor.
Advertising Objectives
Informative advertising Reminder advertising Persuasive advertising Reinforcement advertising
Characteristic of Advertising
Stage in the product life cycle Market share and consumer base Competition and clutter Advertising frequency Product substitutability
Advertising Platforms
Print and broadcast ads Packaging inserts Motion pictures Brochures and booklets Posters Billboards POP displays Logos Videotapes
Television Ads
Advantages Reaches broad spectrum of consumers Low cost per exposure Ability to demonstrate product use Ability to portray image and brand personality Disadvantages Brief Clutter High cost of production High cost of placement Lack of attention by viewers
Print Ads
Advantages Detailed product information Ability to communicate user imagery Flexibility Ability to segment Disadvantages Passive medium Clutter Unable to demonstrate product use
Classifications of Advertising
National Advertising
Consumers
Business-to-Business Advertising
Professional Advertising
Trade Advertising
Organizations
Direct Marketing
Direct marketing is: A marketing channel without intermediaries An element of the promotion mix Fastest-growing form of marketing
Benefits to Buyers
Convenience Ready access to many products Access to comparative information about companies, products, and competitors Interactive and immediate
Benefits to Sellers
Tool to build customer relationships Low-cost, efficient, fast alternative to reach markets Flexible Access to buyers not reachable through other channels
Direct Marketing
TV Shopping Shopping Channels Catalogs Telemarketing
Personal selling direct marketing Direct-mail direct marketing Catalog direct marketing Telephone marketing Direct-response television marketing Kiosk marketing Digital direct marketing Online marketing
The Internet
Sales promotions consist of a collection of incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular products or services by consumers or the trade.
Trade Allowances POP Displays Training Programs Trade Shows Coop Advertising
Consumeroriented
[For end-users]
Tradeoriented
[For resellers]
Combat competition
Sales Promotion
Enhance personal selling Maintain sales in off season
Low Tentative
Publicity Vehicles
Feature Articles
News Releases
Publicity Vehicles
Interviews
Press Conferences
Special Events
Community Activities
Corporate Advertising
Sponsorships
Launching new products Repositioning a mature product Building interest in a product category Influencing specific target groups Defending products that have encountered public problems Building the corporate image in a way that reflects favorable on products
Internet/ interactive
Out-of-home media
Direct marketing
Target Audience
Personal selling
Point-ofpurchase (displays, packaging)
Sales Promotion
Word-ofmouth
Integrate and implement marketing communications strategies Monitor, evaluate and control IMC Program