Description
A comprehensive PPT on management of advertising, media planning, promotions, sales force and public relations.
Managing Advertising, Public Relations & Sales Promotions
By
Dr. Kevin Lance Jones
1
Major Decisions in Advertising
? Objectives Setting ? Budget Decisions:
– a) Message Decisions – b) Media Decisions
? Campaign Evaluations
2
Advertising Objectives
? ? ? ? Specific Communication Tasks Accomplished with a Specific Target Audience During a Specific Period of Time INFORMATIVE ADVERTISING – builds PRIMARY Demand ? PERSUASIVE ADVERTISING – builds SELECTIVE Demand ? COMPARISON ADVERTISING – compares one brand to another ? REMINDER ADVERTISING – keeps consumers thinking about product.
3
The Five Ms of Advertising
? MISSION – sales goals, advertising objectives ? MONEY – factors to consider: a) Stage of PLC, b) Market share and consumer base, c) Competition and clutter, d) Advertising frequency, and e) Product substitutability. ? MESSAGE – message generation, message evaluation and selection, message execution, social-responsibility. (AIDA?) Know what this is? (Awareness, Interest, Desire, Action) ? MEDIA – Reach, frequency, impact; Major media types, Specific Media vehicles, Media timing, Geographical media allocation. ? MEASUREMENT – communication impact and sales impact.
4
Advertising Budget Factors that MUST BE CONSIDERED
? Market Share & Consumer Base ? Competition & Clutter ? Advertising Frequency ? Product Substitutability ? Stage in the PLC (Product Life Cycle)
5
Profiles of Major Media Types
? NEWSPAPERS – ? Advantages: Flexibility, timeliness; good local market coverage; broad acceptance, high believability. ? Limitations: Short-life; poor reproduction quality; small pass-along audience.
6
Profile of Major Media Types
continued
? TELEVISION – ? Advantages: Combines sight, sound, motion; high attention; high reach; appealing to senses. ? Limitations: High absolute costs; high clutter; fleeting exposure; less audience selectivity.
7
Profiles of Major Media Types
continued
? DIRECT MAIL – ? Advantages: Audience selectivity; flexibility, no ad competition within same medium; allows personalization. ? Limitations: Relative high cost, “junk mail” image.
8
Profiles of Major Media Types
continued
? RADIO – ? Advantages: Mass usage; high geographic and demographic selectivity; relatively low cost per reach. ? Limitations: Audio only; fleeting exposure; lower attention; nonstandardized rates; fragmented audiences.
9
Profiles of Major Media Types
continued
? MAGAZINES – ? Advantages: High geographic and demographic selectivity; credibility and prestige; high-quality reproduction; long life; good pass-along readership. ? Limitations: Long ad purchase lead time; waster circulation; no guarantee of position.
10
Profiles of Major Media Types Wrap-up
? OUTDOOR EXPOSURE – ? Advantages: Flexibility; high repeat exposure; low cost; low message competition. ? Limitations: Little audience selectivity; creative limitations.
11
Classification of Advertising Timing Patterns
? Concentrated – set at different times a day, month ? Continuous – set to run in morning, afternoon, evening, specific times of year (holiday stuff- National Day, May Day) ? Intermittent – set to run occasionally, more random than set pattern… Catching prospective consumer off guard.
12
Simplified Rating Sheet for Ads
1. ATTENTION? ? How well does the ad catch the reader’s attention ( 0 – 25) 2. READ-THROUGH? ? How well does the ad lead the reader to read further (0 – 25) 3. AFFECTIVE? ? How effective is the central particular appeal (0 – 25) 4. BEHAVIOR? ? How well does the ad suggest follow-through action (0 –25)
? ? ? ? ? ? GRADING SCALE: 0-20 = Poor ad 20-40 = Mediocre ad 40-60 = Average ad 60-80 = Good ad 80-100 = Great ad
13
Advertising Strategy Message Execution
? GOAL: Turning the “Big Idea” Into an Actual Ad to Capture the Target Market’s Attention and Interest! ? TYPICAL MESSAGE EXECUTION STYLES Available:
? Slice of life (making life better) ? Lifestyle (change or modification) ? Fantasy ? Mood or Image ? Musical ? Personality Symbol ? Technical Expertise ? Scientific Evidence ? Testimonial Evidence
14
Advertising Evaluation
? Advertising Program Evaluation has two considerations: ? COMMUNICATION EFFECTS – ? is the Ad Communicating Well? ? SALES EFFECTS – ? is the Ad Increasing Sales?
15
Why Increase Sales Promotion?
? ? ? ? ? ? ? ? Growing retailer power Declining brand loyalty Increased promotional sensitivity Brand proliferation Fragmentation of consumer market Short-term focus Increased managerial accountability Competition
16
Channels of Sale Promotions
? Manufacturer ? Trade Promotions designed to attract ? Retailer or Consumer Promotions to attract Consumers ? Retailers can create Retail Promotions to attract consumers. ? Manufacturers can use a PUSH strategy – offering manufacturing discounts. ? Retailers can use a pull strategy – making product or service so enticing that consumers want to buy ? Manufacturers to consumers can use Pull strategy
17
Consumer Promotion
? CONSUMERPROMOTION OBJECTIVES ? Entice consumers to try new product ? Lure customers away from competitors’ product ? Get consumers to “loadup” on a mature product ? Hold & reward Loyal customers ? Consumer Relationship building ? CONSUMERPROMOTION TOOLS ? Samples ? Coupons ? Cash refunds ? Premiums ? Advertising specialties ? Patronage rewards ? Contests ? Sweepstakes ? Games ? Point-of-purchase display
18
“Deal Proneness”
? Liechtenstein, Burton, & Netemeyer, Journal of Retailing, Summer 1997 ? Examination of “deal proneness” among consumers in a supermarket setting. ? Survey & Grocery Receipts used ? Eight types of deals: ? 1) cents off, 2) one-free, 3) gift, 4) display, 5) rebate, 6) contest, 7) sale, and 8) coupon
19
“Deal Proneness”
Liechtenstein, Burton, & Netemeyer
continued
? Cluster analysis yielded two interpretable results: ? 49% are “deal prone,” 51% not ? 24% High “deal” prone, 50% intermediate, 26% deal insensitive ? “Deal-proneness” a generalized construct – (crosses type of promotion) ? Younger & Less educated consumers more likely to be deal prone.
20
Trade Promotions
? TRADE-PROMOTION OBJECTIVES: ? Persuade Retailers or Wholesalers to Carry a Brand ? Give a Brand Shelf Space ? Promote a Brand in Advertising ? Push a Brand to Consumers ? TRADE-PROMOTION TOOLS: ? Price-offs ? Allowances ? Buy-back guarantees ? Free goods ? Contests ? Premiums ? Displays ? Discounts ? Push Money ? Specialty Advertising items
21
Business-to-Business Promotions
? BUSINESSPROMOTION OBJECTIVES ? Generate Business Leads ? Stimulate Purchases ? Reward Customers ? Motivate Salespeople ? BUSINESSPROMOTION TOOLS: ? Conventions ? Trade Shows ? Sales Contests
22
Major Public Relations Tools
? ? ? ? ? ? ? ? Written Materials Audiovisual Materials Corporate Identity Materials Public Service Activities Web Site News Bulletins Speeches Special Events
23
Managing the Sales Force
24
When might you decide to use Personal Selling?
? Right budget (straight commission) ? Concentrated Market –
– A) few buyers
– B) High value product
? ? ? ?
Product must be customized to succeed Personal contact is important Must demonstrate product Product involves trade-in/up features
25
Designing the Sales Force
? Sales force objectives clearly distinguished ? Sales force strategy outlined ? Sales force structure designed ? Sales force size determined ? Sales force compensation set
26
Additional Duties involved in Managing the Sales Force
? Recruiting and selecting sales representatives ? Training sales representatives ? Supervising sales representatives ? Motivating sales representatives ? Evaluating sales representatives
27
Improving Sales Force Effectiveness
? Training in sales techniques & professionalism ? Training in Negotiation skills ? Training in Relationship-building skills ? Training in Time management skills
28
How is your sales force doing? Performance Evaluations?
? Current-to-past ? Customer satisfaction ? Qualitative evaluations ? Benchmarking techniques (others, industry, divisional, etc)
29
Steps in the Selling Process
? STEP 1: PROSPECTING AND QUALIFYING
– Identifying and screening for QUALIFIED
POTENTIAL CUSTOMERS.
? STEP 2: PRE-APPROACH
– Learning as much as possible about a prospective
customer BEFORE making a sales call.
? STEP 3: APPROACH
– Knowing how to meet the buyer to get the
REALATIONSHIP off to a GREAT start.
? STEP 4: PRESENTATION /DEMONSTRATION
– Telling the PRODUCT “Story” to the buyer, and
SHOWING the PRODUCTS “Benefits”
30
Steps in the Selling Process
continued
? Step 5: HANDLING OBJECTIONS
– Seeking Out, Clarifying and Overcoming customer
objections to buying.
? Step 6: CLOSING
– Asking the Customer for the Order!
? Step 7: FOLLOW-UP
– Following up after the sale to ENSURE customer
satisfaction and REPEAT BUSINESS
31
Dr. Jones’ Alternative Step Approach to Sales
? Find’em ? Grab’em ? Show’em ? Answer’em ? Sell’em ? Keep’em
32
Benefits of Direct Marketing
? TO CUSTOMERS! ? Fun, Convenient & Hassle-Free ? Saves Time ? Larger Merchandise Selection ? Comparison Shopping ? Order Products for Themselves or Others
? TO COMPANIES! ? Mailing Lists for Almost any Market ? Customized Offers ? Ongoing Relationships with Customers ? Timed to Achieve Higher Readership & Response ? Alternative Media/Message Testing ? Privacy ? Measurable Responses
33
Uses for Databases
? Identify Prospects easier ? Match customers & offers easier ? Deepen customers loyalty easier ? Reactivate customers easier
34
Direct Marketing Channels
? Face-to-Face Selling ? Direct-Mail Marketing ? Catalog Marketing ? Telemarketing ? Direct-Response TV Marketing ? On-line Marketing
35
Consumer Issues in Direct Marketing
? It’s an Irritation ? It’s Unfair business dealings ? It’s too deceptive and fraudulent ? It’s an invasion of our privacy
36
doc_937853015.ppt
A comprehensive PPT on management of advertising, media planning, promotions, sales force and public relations.
Managing Advertising, Public Relations & Sales Promotions
By
Dr. Kevin Lance Jones
1
Major Decisions in Advertising
? Objectives Setting ? Budget Decisions:
– a) Message Decisions – b) Media Decisions
? Campaign Evaluations
2
Advertising Objectives
? ? ? ? Specific Communication Tasks Accomplished with a Specific Target Audience During a Specific Period of Time INFORMATIVE ADVERTISING – builds PRIMARY Demand ? PERSUASIVE ADVERTISING – builds SELECTIVE Demand ? COMPARISON ADVERTISING – compares one brand to another ? REMINDER ADVERTISING – keeps consumers thinking about product.
3
The Five Ms of Advertising
? MISSION – sales goals, advertising objectives ? MONEY – factors to consider: a) Stage of PLC, b) Market share and consumer base, c) Competition and clutter, d) Advertising frequency, and e) Product substitutability. ? MESSAGE – message generation, message evaluation and selection, message execution, social-responsibility. (AIDA?) Know what this is? (Awareness, Interest, Desire, Action) ? MEDIA – Reach, frequency, impact; Major media types, Specific Media vehicles, Media timing, Geographical media allocation. ? MEASUREMENT – communication impact and sales impact.
4
Advertising Budget Factors that MUST BE CONSIDERED
? Market Share & Consumer Base ? Competition & Clutter ? Advertising Frequency ? Product Substitutability ? Stage in the PLC (Product Life Cycle)
5
Profiles of Major Media Types
? NEWSPAPERS – ? Advantages: Flexibility, timeliness; good local market coverage; broad acceptance, high believability. ? Limitations: Short-life; poor reproduction quality; small pass-along audience.
6
Profile of Major Media Types
continued
? TELEVISION – ? Advantages: Combines sight, sound, motion; high attention; high reach; appealing to senses. ? Limitations: High absolute costs; high clutter; fleeting exposure; less audience selectivity.
7
Profiles of Major Media Types
continued
? DIRECT MAIL – ? Advantages: Audience selectivity; flexibility, no ad competition within same medium; allows personalization. ? Limitations: Relative high cost, “junk mail” image.
8
Profiles of Major Media Types
continued
? RADIO – ? Advantages: Mass usage; high geographic and demographic selectivity; relatively low cost per reach. ? Limitations: Audio only; fleeting exposure; lower attention; nonstandardized rates; fragmented audiences.
9
Profiles of Major Media Types
continued
? MAGAZINES – ? Advantages: High geographic and demographic selectivity; credibility and prestige; high-quality reproduction; long life; good pass-along readership. ? Limitations: Long ad purchase lead time; waster circulation; no guarantee of position.
10
Profiles of Major Media Types Wrap-up
? OUTDOOR EXPOSURE – ? Advantages: Flexibility; high repeat exposure; low cost; low message competition. ? Limitations: Little audience selectivity; creative limitations.
11
Classification of Advertising Timing Patterns
? Concentrated – set at different times a day, month ? Continuous – set to run in morning, afternoon, evening, specific times of year (holiday stuff- National Day, May Day) ? Intermittent – set to run occasionally, more random than set pattern… Catching prospective consumer off guard.
12
Simplified Rating Sheet for Ads
1. ATTENTION? ? How well does the ad catch the reader’s attention ( 0 – 25) 2. READ-THROUGH? ? How well does the ad lead the reader to read further (0 – 25) 3. AFFECTIVE? ? How effective is the central particular appeal (0 – 25) 4. BEHAVIOR? ? How well does the ad suggest follow-through action (0 –25)
? ? ? ? ? ? GRADING SCALE: 0-20 = Poor ad 20-40 = Mediocre ad 40-60 = Average ad 60-80 = Good ad 80-100 = Great ad
13
Advertising Strategy Message Execution
? GOAL: Turning the “Big Idea” Into an Actual Ad to Capture the Target Market’s Attention and Interest! ? TYPICAL MESSAGE EXECUTION STYLES Available:
? Slice of life (making life better) ? Lifestyle (change or modification) ? Fantasy ? Mood or Image ? Musical ? Personality Symbol ? Technical Expertise ? Scientific Evidence ? Testimonial Evidence
14
Advertising Evaluation
? Advertising Program Evaluation has two considerations: ? COMMUNICATION EFFECTS – ? is the Ad Communicating Well? ? SALES EFFECTS – ? is the Ad Increasing Sales?
15
Why Increase Sales Promotion?
? ? ? ? ? ? ? ? Growing retailer power Declining brand loyalty Increased promotional sensitivity Brand proliferation Fragmentation of consumer market Short-term focus Increased managerial accountability Competition
16
Channels of Sale Promotions
? Manufacturer ? Trade Promotions designed to attract ? Retailer or Consumer Promotions to attract Consumers ? Retailers can create Retail Promotions to attract consumers. ? Manufacturers can use a PUSH strategy – offering manufacturing discounts. ? Retailers can use a pull strategy – making product or service so enticing that consumers want to buy ? Manufacturers to consumers can use Pull strategy
17
Consumer Promotion
? CONSUMERPROMOTION OBJECTIVES ? Entice consumers to try new product ? Lure customers away from competitors’ product ? Get consumers to “loadup” on a mature product ? Hold & reward Loyal customers ? Consumer Relationship building ? CONSUMERPROMOTION TOOLS ? Samples ? Coupons ? Cash refunds ? Premiums ? Advertising specialties ? Patronage rewards ? Contests ? Sweepstakes ? Games ? Point-of-purchase display
18
“Deal Proneness”
? Liechtenstein, Burton, & Netemeyer, Journal of Retailing, Summer 1997 ? Examination of “deal proneness” among consumers in a supermarket setting. ? Survey & Grocery Receipts used ? Eight types of deals: ? 1) cents off, 2) one-free, 3) gift, 4) display, 5) rebate, 6) contest, 7) sale, and 8) coupon
19
“Deal Proneness”
Liechtenstein, Burton, & Netemeyer
continued
? Cluster analysis yielded two interpretable results: ? 49% are “deal prone,” 51% not ? 24% High “deal” prone, 50% intermediate, 26% deal insensitive ? “Deal-proneness” a generalized construct – (crosses type of promotion) ? Younger & Less educated consumers more likely to be deal prone.
20
Trade Promotions
? TRADE-PROMOTION OBJECTIVES: ? Persuade Retailers or Wholesalers to Carry a Brand ? Give a Brand Shelf Space ? Promote a Brand in Advertising ? Push a Brand to Consumers ? TRADE-PROMOTION TOOLS: ? Price-offs ? Allowances ? Buy-back guarantees ? Free goods ? Contests ? Premiums ? Displays ? Discounts ? Push Money ? Specialty Advertising items
21
Business-to-Business Promotions
? BUSINESSPROMOTION OBJECTIVES ? Generate Business Leads ? Stimulate Purchases ? Reward Customers ? Motivate Salespeople ? BUSINESSPROMOTION TOOLS: ? Conventions ? Trade Shows ? Sales Contests
22
Major Public Relations Tools
? ? ? ? ? ? ? ? Written Materials Audiovisual Materials Corporate Identity Materials Public Service Activities Web Site News Bulletins Speeches Special Events
23
Managing the Sales Force
24
When might you decide to use Personal Selling?
? Right budget (straight commission) ? Concentrated Market –
– A) few buyers
– B) High value product
? ? ? ?
Product must be customized to succeed Personal contact is important Must demonstrate product Product involves trade-in/up features
25
Designing the Sales Force
? Sales force objectives clearly distinguished ? Sales force strategy outlined ? Sales force structure designed ? Sales force size determined ? Sales force compensation set
26
Additional Duties involved in Managing the Sales Force
? Recruiting and selecting sales representatives ? Training sales representatives ? Supervising sales representatives ? Motivating sales representatives ? Evaluating sales representatives
27
Improving Sales Force Effectiveness
? Training in sales techniques & professionalism ? Training in Negotiation skills ? Training in Relationship-building skills ? Training in Time management skills
28
How is your sales force doing? Performance Evaluations?
? Current-to-past ? Customer satisfaction ? Qualitative evaluations ? Benchmarking techniques (others, industry, divisional, etc)
29
Steps in the Selling Process
? STEP 1: PROSPECTING AND QUALIFYING
– Identifying and screening for QUALIFIED
POTENTIAL CUSTOMERS.
? STEP 2: PRE-APPROACH
– Learning as much as possible about a prospective
customer BEFORE making a sales call.
? STEP 3: APPROACH
– Knowing how to meet the buyer to get the
REALATIONSHIP off to a GREAT start.
? STEP 4: PRESENTATION /DEMONSTRATION
– Telling the PRODUCT “Story” to the buyer, and
SHOWING the PRODUCTS “Benefits”
30
Steps in the Selling Process
continued
? Step 5: HANDLING OBJECTIONS
– Seeking Out, Clarifying and Overcoming customer
objections to buying.
? Step 6: CLOSING
– Asking the Customer for the Order!
? Step 7: FOLLOW-UP
– Following up after the sale to ENSURE customer
satisfaction and REPEAT BUSINESS
31
Dr. Jones’ Alternative Step Approach to Sales
? Find’em ? Grab’em ? Show’em ? Answer’em ? Sell’em ? Keep’em
32
Benefits of Direct Marketing
? TO CUSTOMERS! ? Fun, Convenient & Hassle-Free ? Saves Time ? Larger Merchandise Selection ? Comparison Shopping ? Order Products for Themselves or Others
? TO COMPANIES! ? Mailing Lists for Almost any Market ? Customized Offers ? Ongoing Relationships with Customers ? Timed to Achieve Higher Readership & Response ? Alternative Media/Message Testing ? Privacy ? Measurable Responses
33
Uses for Databases
? Identify Prospects easier ? Match customers & offers easier ? Deepen customers loyalty easier ? Reactivate customers easier
34
Direct Marketing Channels
? Face-to-Face Selling ? Direct-Mail Marketing ? Catalog Marketing ? Telemarketing ? Direct-Response TV Marketing ? On-line Marketing
35
Consumer Issues in Direct Marketing
? It’s an Irritation ? It’s Unfair business dealings ? It’s too deceptive and fraudulent ? It’s an invasion of our privacy
36
doc_937853015.ppt