Presentation on Effectiveness of Advertising

Description
Commercial advertisers often seek to generate increased consumption of their products or services through "branding," which involves associating a product name or image with certain qualities in the minds of consumers.

Introd uction Adver to tising
Outline ? The mandate for effectiveness ? What makes an ad effective? ? The world of advertising ? The five players of advertising ? The evolution of advertising

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Today advertising is in a bind Advertisers expect specific results that lead to sales Advertising must be effective

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Effective ads work on two levels: with consumers and with advertisers Characteristics of effective ads:
? Strategy ?? Execution ? Advertising

must be goal directed
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Defining advertising • A paid form of communication • A sponsor is identified • Tries to persuade or influence the consumer to do something • Conveyed through mass media • Reaches a large audience • Is nonpersonal
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Brand advertising Retail/local advertising Political advertising Directory advertising Direct-response advertising

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Business-to-business advertising Institutional advertising Public service advertising (PSA) Interactive advertising

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Marketing role Communication role Economic role Societal role

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Provide product and brand information Provide incentives to take action Provide reminders and reinforcement

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Advertiser Advertising agency
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advertising department ? The in-house agency
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Media Vendors Target audience

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Age of print Industrial revolution and emergence of consumer society Modern advertising: Agencies, science and creativity Accountability era

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Interactive advertising Globalization Niche marketing Integrated marketing communications (IMC) Consumer Power

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Brand personalities Branding Trust Brand image Brand relationships Brand equity

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MARKETING PLANNING PROCESS

Complex, Varied Marketing Activity

Detailed, Rich Marketing Models

Comprehensive, Robust Marketing Measures

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Marketing communications …
are the “voice” of the brand and are a means by which it can establish a dialogue and build relationships with consumers. ? allow marketers to inform, persuade, incent, and remind consumers directly or indirectly ? can contribute to brand equity by establishing the brand in memory and linking strong, favorable, and unique associations to it.
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Consumers can be told or shown how and why a product is used, by what kind of person, and where and when; ? Consumers can learn about who makes the product and what the company and brand stand for ? Consumers be given an incentive or reward for trial or usage ? Brands can be linked to other …
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People Places Events Brands Experiences Feelings Things
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1. 3. Current Brand Knowledge

2. Desired Brand Knowledge

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One implications of the CBBE framework is that the manner in which brand associations are formed does not matter -only the resulting strength, favorability, and uniqueness

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From the perspective of customer-based brand equity, marketers should evaluate all possible communication options available to create knowledge structures according to effectiveness criteria as well as cost considerations. Different communication options have different strengths and can accomplish different objectives.
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Media Advertising (TV, radio, newspapers, magazines) Direct Response Advertising Interactive (on-line) Advertising & Web Sites Outdoor Advertising (billboards, posters, cinema) Point-of-Purchase Advertising Trade Promotions Consumer Promotions Sponsorship of Event Marketing Publicity or Public Relations
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Media Advertising (TV, radio, newspaper, magazines) Trade Journal Advertising Interactive (on-line) Advertising & Web Sites Directories Direct Mail Brochures & Sales Literature Audio-Visual Presentation Tapes Giveaways Sponsorship or Event Marketing Exhibitions, Trade Shows, Conventions Publicity or Public Relations

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Is the message clear at a glance? Is the benefit in the headline? Does the illustration support the headline? Does the first line of the copy support or explain the headline and illustration? Is the ad easy to read and follow? Is the product easily identified? Is the brand or sponsor clearly identified?

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Campaigns make brands -- not single ads Be creative and develop creative themes
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Avoid slavishly sticking to executional formulas

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Brand communications should sing like a choir
Multiple voices ? Multiple notes
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Find fresh consumer insights & compelling brand truths Productively conduct ad research
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Smart strategy
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Relative deprivation Funny but relevant “Got milk?” slogan In store

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Imaginative creative
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Clever hook
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Timely secondary media
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Right partners
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Failure to distinguish ad positioning (what you say) from ad creative (how you say it) Mistaken assumptions about consumer knowledge Improperly positioned Failure to break through the clutter Distracting, overpowering creative in ads

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Under-branded ads Failure to use supporting media Changing campaigns too frequently Substituting ad frequency for ad quality

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Audience Communication Option Overlap
Communication Option A Communication Option B

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Communication Option C
Note: Circles represent the market segments reached by various communication options. Shaded portions represent areas of overlap in communication options.
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Coverage - what proportion of the target audience is reached by each communication option employed, as well as how much overlap exists among options Cost - what is the per capita expense

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Contribution - the collective effect on brand equity in terms of
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enhancing depth & breadth of awareness improving strength, favorability, & uniqueness of brand associations

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Commonality - the extent to which information conveyed by different communication options share meaning

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Complementarity - the extent to which different associations and linkages are emphasized across communication options Versatility - the extent to which information contained in a communication option works with different types of consumers
? Different communications history ? Different market segments

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Be analytical: Use frameworks of consumer behavior and managerial decision-making to develop well-reasoned communication programs Be curious: Fully understand consumers by using all forms of research and always be thinking of how you can create added value for consumers Be single-minded: Focus message on welldefined target markets (less can be more) Be integrative: reinforce your message through consistency and cuing across all communications
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Be creative: State your message in a unique fashion; use alternative promotions and media to create favorable, strong, and unique brand associations Be observant: Monitor competition, customers, channel members, and employees through tracking studies Be realistic: Understand the complexities involved in marketing communications Be patient: Take a long-term view of communication effectiveness to build and manage brand equity 31

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