Advertising Slide 2

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 3

Why Do We Do Advertising

• Personal Selling is preferred, because it is so

effective - but, it is expensive sometimes to
contact EVERYBODY this way
• Advertising is not as direct as Personal
Selling, but you can reach a lot of people

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 4

Advertising in Canada has to

be International
• Our Canadian market is very multi-cultural
• Advertising in Canada has to acknowledge the
international aspects in order to be successful
• A large part of the market in Toronto is NOT
from the U.K. so we have to have advertising
that can be understood by other people

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
 Advertising Slide 5

The Top 10 Advertisers in Canada

Revenue
Rank Name (thousands of dollars)

1 General Motors of Canada 113 048.4

2 Procter & Gamble 84 499.5
3 The Thomson Group 70 159.3
4 BCE 53 972.9
5 John Labatt Ltd. 50 036.0
6 Eaton’s of Canada 47 135.9
7 Sears Canada 46 582.1
8 Government of Canada 43 928.7
9 The Molson Companies 42 873.6
1993 stats
10 Chrysler Canada 41 171.5
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 6

http://www.westga.edu/~stalpade/303ch17/sld003.htm

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 7

Advertising Objectives are a

Strategy Decision

• Every ad should have clearly defined

objectives
• these objectives guide the people who
create the ads

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 8

Product Advertising
Nonpersonal selling of a particular
good or service.
- TV ads
- billboards
- junk mail
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Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 9

Institutional Advertising

Also called Advocacy advertising

See slide # 16

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 10

Pioneering Advertising, also called Informative

“… tries to develop primary demand…”
Done in the early stage of the Product Life Cycle.

Competitive Advertising

Direct Indirect

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 11

Competitive Advertising
Direct
Tries to get you to take action now - buy the product
now. Immediate Buying

Indirect
Tries to point out the advantages so if you think
about this product later, you will buy their brand

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 12

Comparative Advertising

Advertising that makes direct comparisons

with competitive brands.
Companies used to hesitate to do this, but now they
do it freely.

Sometimes it can backfire and cause the viewer to

NOT want to buy the product - if the comparison is
too harsh eg. Political advertising that is too nasty

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 13

Comparative Advertising

Some countries do not allow Comparative

Advertising.

Other countries allow it,,, but,, you have to

prove any statements you make

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 14

Reminder Advertising

Done in the Maturity and Decline stage of the

Product Life Cycle. You already know about the
product - they want you to keep using it, even if new
competitors come along.

These ads are usually “soft-sell” and try to be

entertaining.
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Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 15

Relationship between Advertising and the Product Life Cycle

Competitive
Comparative

Pioneering
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 16

Institutional Advertising

Promoting a concept, idea, or

philosophy, or the goodwill of an
industry, company, or organization.
This is closely related to the PR program
of the company
Also called Advocacy advertising Page 521
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 17

Institutional Advertising

Used often by Japanese conglomerates

that have many types of products
eg.

Hitachi
SONY
Mitsubishi
Page 521
Panasonic (Matsushita Electronics)
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 18

Retail Advertising
Retail advertising is the advertising done by stores
that sell “stuff” directly to the consumers.

Co-operative Advertising
The sharing of advertising costs between the
middlemen and retailer and the manufacturer. This
means they will co-operate to display sales
promotion material and share the costs of
commercials and billboards etc.
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 19

Page 523 8th edition

Page 444 9th edition

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 20

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 21

Before we talk about

choosing the best way
to advertise, we first
have to discuss our
Position

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 22

Positioning
• Remember Chpt 3
• Positioning involves developing a
marketing strategy aimed at a particular
market segment - in order to achieve a
desired position with respect to the
competition, in the mind of the buyer.
• ie. That buyers will think a certain way
about a product - re: its competitor

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 23

Positioning
1. By attributes - shampoo (Pantene Pro V)
2. By price - Zeller’s “lowest price is the law”
3. By competitor- Snapple, “We’re #3”
4. By application - Nutrigrain - until we get beamed to
work!
5. By product user - consumer, industry, govt

6. By product class - convenience, shopping, specialty

goods

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 24

Media Selection

• Newspapers
• Magazines ? - in which
• Television category is the
most money
• Radio spent
• Direct Mail
• Outdoor
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 25

Media Selection

• Newspapers - largest share of advertising, 26%

• Magazines - 12%
• Television - 2nd major category, 14%
• Radio - 7%
• Direct Mail
• Outdoor, billboards etc. - 6%
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
 Advantages and Disadvantages of the Various Advertising Media
Media Advantages Disadvantages
Newspapers Flexibility Short lifespan
Community prestige Hasty reading
Intense coverage Poor reproduction
Reader control of exposure
Co-ordination with
national advertising
Merchandising service
Magazines Selectivity Lack of flexibility
Quality reproduction
Long life
Prestige associated with
some magazines
Extra services
Television Great impact Temporary nature of
Mass Coverage message
Repetition High cost
Flexibility High mortality rate for
Prestige commercials
Evidence of public distrust
Lack of selectivity
 Advantages and Disadvantages of the Various Advertising Media

Media Advantages Disadvantages

Radio Immediacy Fragmentation
Low cost Temporary nature of
Practical audience message
selection Little research information
Mobility
Outdoor Quick communication of Brevity of the message
Advertising simple ideas Public concern over
Repetition aesthetics
Ability to promote products
available for sale nearby
Direct Mail Selectivity High cost per person
Intense coverage Dependence on quality of
Speed mailing list
Flexibility of format Consumer resistance
Complete information
Personalization
Advertising Slide 28

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Advertising Slide 29

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 30

To produce, then additional money to get “air” time

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 31

Planning The Best Message

What should an ad accomplish

1. Gain attention and interest
2. Inform and persuade
3. Lead to the person buying

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Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 32

Planning The Best Message

“Copy Thrust”

the words you say to get the attention

1. Copy - the text
2. Thrust - the intention, direction

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 33

Planning The Best Message

“A I D A”
A - Attention
I - Interest
D - Desire
A - Action

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Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 34

Direct Response Ads

• Call 1-800-………….
• See our web site at
WWW.STUFF.COM

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 35

The Advertising Campaign

• When developing a mktg comms

strategy, you do not restrict your
plan to just advertising
• Many things are also done such as
direct mailing, PR, special events,
radio, media

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 36

Assessing the Effectiveness of an Advertisement

• Pretesting
The assessment of an advertisement’s
effectiveness before it is actually used.
• Post-testing
The assessment of advertising copy
after is has been used.

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Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 37

Advertising Agency

A marketing specialist firm that assists the

advertiser in planning and preparing its
advertisements.

They have specialists who know all about the

effect of different advertising methods and
can help a company with their strategy.

Page 535
Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 38

Celebrity Marketing Having

celebrities lend
their name and
influence to the
promotion of a
product.

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College
Advertising Slide 39

Role Model Marketing

Marketing technique
that associates a
product with the
positive perception of
a type of individual or
role.
(ie. Naya water with
healthy lifeguards)
Sometimes used by companies who cannot afford to
pay a celebrity.

Prepared for Marketing 106 Copyright, Professor W.T.G. Richardson, Seneca College