Integrated Marketing Communications PDF

INTEGRATED
MARKETING
COMMUNICATIONS
BY
PROF. SHIVAKUMAR. R.
SHARMA
MMS III SEMESTER
PILLAI INSTITUTE OF
MANAGEMENT STUDIES
AND RESEARCH
MUMBAI UNIVERSITY
COURSE CONTENTS
Communications Process Communication models
for urban and rural communication, Integrated
Marketing Communications.
2. Advertising Organizational structure of advertising
agency and its function. Evaluating of agency
functioning.
3. Advertising objectives with specific reference to
DAGMAR , Brand objectives, Consumer attitude and
market structure.
4. Brand position and brand image strategy
development.
5. Persuasion and attitudinal change through
appropriate copy development.
6. Creative decisions.
1.
Copy decision Creation and production of the Copy.

8. Advertising budget, Media planning and media
research.
9. Advertising research
10.Public relations & Publicity campaigns.
11.Event management.
12.Role of advertising manager in firms, advertising
briefs, Agency coordination activities, managing
advertising campaigns.
7.
REFERENCE TEXT
Advertising and Promotion: An Integrated Marketing
Communications Perspective George Belch, Michael
Belch San Diego University.
2. Advertising Management Rajeev Batra, John G
Myers, David A Acker.
3. Logo Naomi Klien.
4. Brand Reporter Fortnightly.
5. Other Guy Blinked Jesse Kornbluth.
6. Belch Advertising & Promotions ( TMH ).
7. J V Vilanilam & A K Verghese: Advertising Basics
( Sage )
1.
Integrated Marketing
Communication
Marketing Communication
Its importance and relevance in todays world
Aims and objectives
To provide a historical perspective of marketing
communication
To introduce the study of marketing communications and
the reason for its growing importance
To consider the impact of the overlap of the tools of
marketing communications
To explain the communication process
The changing nature and role of Marketing
Communication
Unprecedented changes in the marketing environment
Dramatic increase in competition, locally as well as
globally
Mergers and acquisitions to confront the future needs of
the organisation are common place
At the same time, companies are divesting themselves of
non-essential business to concentrate on their core business
The nature of the retail environment continues to change
Proliferation of brand choices
Consumer confused at the array of choices
Rapid pace of technological changes
Multiplicity of media channels available for
communication
Yet, within this array of confusion, marketing
communications increasingly represents the single most

important opportunity for companies to convince potential
consumers of the superiority of their products and services
What is Communication?
It
is concerned with sending and receiving information,

knowledge, ideas, facts, figures, goals, emotions and values
It is an constant activity
It is universal and essential feature of human expression
and organisation.
It scope is as broad as society itself, for every social act
involves communication
It is central element of the way in which people relate to
and co-operate with each other
Communication is the act of sending information from the
mind of one person to the mind of the other person
Sender Message Receiver
Sounds simple but is quite complex
A brief historical perspective
At a very basic level, communications are the most
important element of social interchange between
individuals
As time passed, with the development of rudimentary
printing processes, it became possible to reach a wider
audience
With that, the era of mass communications had begun
In the earliest form, these communications took the form
of the printed word and with the advent of the newspaper,
this style continued.
Different Communication Equations

One individual to another individual
One individual to many individuals
One organisation to one individual
One organisation to many individuals
One organisation to another organisation
One organisation to many organisations
Types of Communication
Internal
External
Oral communication
Written communication
Audio-visual communication
Passive communication
The Communication Process
Understanding
the basic process of communications

fundamental to the development of an appreciation of how
marketing communications might function
Important to know how people extract information from
the environment they live in
How they interpret this information to assist them in their
daily lives
90% of the stimuli that individuals perceive comes as a
result of sight and the balance 10% from hearing
The Theory of the Communication Process
What is Marketing Communication?

The process by which a marketer develops and presents
stimuli to a defined target audience with the purpose of

eliciting a desired set of responses
It is a systematic relationship between a business and its
market in which the marketer assembles a wide variety of

ideas, designs, messages, media, shapes and forms and
colours, both to communicate ideas to, and to stimulate a
particular perception of products and services by,
individual people who have been aggregated into a target
market
The result of this process of assembling is referred to by
marketers as the communication mix

To assemble this mix, the marketer uses a number of
marketing communication tools personal selling,

advertising, sales promotion, public relations, direct
marketing etc.
Direct Tools
Advertising
Personal Selling
Direct Marketing
Promotions
Exhibitions
Direct Mail
Indirect Tools
Public
Relations
Sponsorships
Corporate Identity
Packaging
Brand Identity
Word of Mouth
The growth of marketing communication

The growth of manufacturing and services
Improvements in transportation
The proliferation of brands
The increasing separation of the manufacturer from the
consumer
The relative decline in personal selling
The changing face of distribution
The growth in technology
The increased use and sophistication of market research
Increasing improvements in living standards
Use of credit facilities
The wider reach of the media
Growing understanding of the use of marketing
communications
Access to specialist companies in the field of marketing
communications
The expanded marketing communications mix
Marketing Communication Models
Three key stages in the consumers response
Knowledge (Cognitive)
Feelings (Affective)
Action
(Conative)
Each of these stages are inter-related and also reversible
Marketing Communication Models
AIDA (Strong, 1925)
DAGMAR (Colley,1961)
HEIRARICHY OF EFECTS (Lavidge and Steiner,1961)
ADOPTION (Rogers,1962)
PROCESSING (McGuire, 1969)
Depicting the stages through which the consumer passes
en route to purchase
The Integration of Marketing Communication
Old
marketing communication strategies have lost their

value as competitive weapons
Todays marketing environment can be best described as
an age of hyper-competition
Successful marketing today require total consumer
orientation
Consumers are today seeking more than a single element
in any transaction
They buy into the array of relevant experiences which
surround the brand
Integrated
Marketing Communication
A concept of marketing communications planning that
recognises the added value of a comprehensive plan that
evaluates the strategic roles of a variety of communication
disciplines and combines them to provide clarity,
consistency, and maximum communications impact
through the seamless integration of discrete messages

American Association of Advertising Agencies
Factors impacting IMC
The growth of narrow casting
The growth of global marketing
Non-verbal communications- importance of visual
communication
Growing consumerism recognition of their rights
The driving forces behind the growth of IMC
Clients seeking value for money
Increasing client sophistication
Disillusionment with advertising
Disillusionment with agencies
Power shift towards retailers
Environmental factors
Forget the 4 Psthink 4 Cs
Forget productStudy consumer wants and needs
Forget priceUnderstand the consumers cost to satisfy
that want or need
Forget placeThink of the consumers convenience to
buy
Forget promotionsthe word is communications
Marketing Communication Wheel.
Budgeting
The process
Factors influencing the budget
Determining the budget appropriation
Allocating the budget

Characteristics of a good Budget
The budget process

Preparation
Presentation
Execution
Control
Monitoring
Factors influencing the budget
PLC
Competition
Product category
Usage pattern (Seasonal v/s All year round)
Consumer pull v/s Dealer Push
Determining the budget appropriation the methods
Percentage of sales (A/S Ratio)
Percentage of product gross margin
Market share
Competitive expenditure
Need based
Affordability
Arbitrary
Media inflation
Allocating the budget
Time (monthly)
Media
Promotional Activity
Segment
Geographical
Product Category
Brand
Budget allocation
Brand objectives
Past performance of the brand
Review of past mix
Category trends
Contingency
Characteristics of a good budget
Dedicated
Based on realistic estimation
Contingency
Sustainable
Flexible
Advertising
Advertising creates a sympathy between the maker and
the user that becomes, in time, the most valuable asset any
manufacturer can acquire.
J. Walter Thompson
One of the many communication tools
Plays the lead role in many categories
The most visible and vocal form of brand communication
Expensive
Wide reach
The Structure and disciplines in an advertising agency
Account
servicing
Creative
Media
Account
planning
Research
Administration
Accounts
Print Production
Film Production
The
functions of advertising
To inform
To persuade
To sell
To inform
Seeks
to provide specific pieces of information

Details about performance
New uses
New features
Operating or usage convenience
Availability
To persuade
Change
consumers point of view or perception

Attitudes
Habits
Beliefs
To sell
Promoting
the sale of the product through advertising of a

promotional nature
Accelerate purchase
Prepone a purchase
Incentivise a purchase
Advertising Process is all about What to say, How to say
and How to reach the message to your target prospect.
Advantages
Helps create a image which will serve to differentiate the
brand in the market place
Assist in the creation and maintaining brand equity
Can create a unique personality for the brand
Reduces overall selling costs
Limitations
Is not a universal panacea or a magic wand
Expensive
Essentially represents a one-way mediumlacks
interactivity
The Advertising Process
The development of advertising is a sequential process
which must reflect the marketing strategy
Understanding how advertising works

AIDA (Strong, 1925)
DAGMAR (Colley,1961)
HEIRARICHY OF EFECTS (Lavidge and Steiner,1961)
ADOPTION (Rogers,1962)
PROCESSING (McGuire, 1969)

Depicting
the stages through which the consumer passes

en route to purchase
Consumers interaction with advertising
The Scale of Advertising Effect
The ultimate goal of any advertising is to affect the
consumers thinking or behaviour.
In the Scale of Ad Effect, we have a tool which helps
determine what that effect should be.
There are 5 possible effects from direct call for action, to
the indirect reinforcements of attitudes
Direct Action
Prompting immediate consumer action

like Coupons filled, telephone calls, orders placed, reps
invitedpurchase made
Seek Information Disseminating informationpurchase
is imminent
Relate to own needs and wants Get into the considered
setpurchase will be made when the opportunity arises
Bring
to Top of Mind Remind for repurchase

purchase will be made when the opportunity arises
Modify Attitudes Correct, modify or re-evaluate,reasons
inhibiting purchasewill encourage re-trial
Reinforce Attitudes Reassure correctness of purchase
encourages repeat purchase
Determination of Advertising Strategy
The Butterfield Diamond framework for strategic analysis*

Definition of the brands business problem
Interrogation of all aspects of the brands marketing mix
Analysis of the brands total marketing situation
Analysis of the consumers relationship
with the brand
Derivation of a realistic defined role for advertising
The advertising objectives & strategy
The Campaign Planning Cycle
J Walter Thomson
The Campaign Planning Cycle
The planning cycle is a series of 5 questions
These questions lead us through the entire planning and
creative process
It constitutes a unique way of thinking about advertising,
as it takes us through a process of learning, building,
evaluating and modifying hypothesis
The planning cycle is not a short term, one campaign
system. It is a system dedicated to brand building. Starts
where we enda cycle
Q 1 - Where are we?
It requires you to collect facts; about the market, the
competition, the consumer and your brand.
These
may be culled from available statistics, from

syndicated studies, government sources, your media or
research departments or supplied by the clients themselves
Get as much information as possible to obtain the correct
analysis, a must to begin well
Where are we?
Social and Economic Factors
The Market
The Products in the market
Consumers in the market
Competitive position
Company policy
Q 2 - Why are we there?
An analysis based on the study of all the information
collected in the earlier stage
What trends in the competitive marketing, brand or
advertising activity have led to the current situation
Must be able to draw conclusions as to why the current
position exists, in the market and in the consumers mind
Why are we there?
Past brand and competitive advertising analysis
The consumer; attitudes and perceptions
Factors affecting the brand sales
Q 3 - Where could we be?
These are objectives and goals that is set for the brand
They must be designed to be achievable
Marketing Objectives in terms of brand share and brand
volume
Advertising goals being the changes, new directions or
restatements of what we need to do at the different stages
of the consumer buying system that is new, different or

simply the same
What can we do to modify or restate the brands position
Where could we be?
Brand Objectives
Product Change
Market Share Projection
User Change
Usage Change
Brand Positioning
Brand Strategy
Q 4 - How do we get there?
The answer must encompass all activities, not only
creative and media recommendations, but total
communications; PR, DM, Display, Research, Timing and
Budgets
How do we get there?
The summary of the creative brief
Creative Proposals
Media Proposals
Research Proposals
Any other specific proposals
Q 5 Are we getting there?
Monitoring progress
Tracking studies
Research
Sales, Brand Share performance
Annually or Bi-annually
Positioning
The
position of a brand or product is the perception it

brings about in the mind of the target consumer
This perception reflects the essence of the brand in terms
of its functional and non-functional benefits in the
judgment of the consumer
It is relative to the perception held by that consumer, of
competing brands, choices, categories, all of which, can be
represented as points or positions in this perceptual space
and together, make a product class
Positioning
The four basic components of positioning concepts
Product class or the structure of the market in which our
brand will compete
Consumer segmentation
Consumer perception of our brand in relation to
competitors, leading to perceptual mapping
The benefits offered by a brand. These benefits may also
be expressed as attributes
Setting Advertising Objectives
First part of the campaign development process
Evolved out of the total marketing strategy
It could be either short term or long term
Should be realistic, achievable and measurable
Must take into account what advertising can and cannot
do
Must lay decision criteria to evaluate campaigns
The Definition
A specific communication task aimed at a defined target
audience and accomplished in a given time
A clearly stated measurable end result of an advertising
message, messages, campaign or programme
The
objective is always measure in terms of change in

awareness, preference, attitude, belief, conviction or
behaviour
The advertising objectives could be to:
Inform and build awareness
Create brand knowledge
Reinforce positive attitudes about the brand
Precipitate buying action
Build an image
Increase sales
It is important to note that increasing sales cannot be the
sole objective of advertising
Advertising must be viewed as one of the many factors
influencing sales, the other elements of the marketing mix
like pricing, distribution, packaging, timing of launch,
environmental factors etc.
Short term Objectives
Build awareness
Promote new uses for a product
Extend the selling season
Motivate Dealers
Stimulate primary demand for a product type
Establish credentials
Establish image
Long term Objectives
Change habits
Change attitude and beliefs
Build a favourable image
Educate the consumer
Correct a well entrenched perception

An example:
To create an awareness of Brand X among 70 % of our
target market (primarily women in the top 50 markets,in
the age group 18-45, with one or more children, and having
a monthly household income of Rs. 25000 and above) by
the end of year 1, the introductory year of the national
campaign
To have 70% aided recall in our target group of our
brands message/image as projected by the creative
To have 60% of our target group report a preference for
Brand X over other competing brands
Effect of advertising on consumer response
Product - Filter cigarette
Brand A
Three Advert Campaign
Various models for defining advertising goals
DAGMAR
Defining Advertising Goals for Measured Advertising
Results
DAGMAR
Proposed by Russell H.Colley

Denotes advertising goals as a specific communication
task and achievement level to be accomplished with a

specific audience in a specific period of time
Advertising has been assigned various communication
and sales objectives
DAGMAR
The four stages of commercial communication suggested
by Colley:
Awareness The prospect must be made aware of the
product
Comprehension The prospect must comprehend what
the product is and what it will do for him
Conviction The prospect must arrive at a mental
disposition or conviction to buy the product
Action Finally, the prospect must take action
DAGMAR
The 6 M approach
Merchandise is the product to be advertised. The ad
campaign includes the positive attribute of their
merchandise and/or negative aspects of the competitors
merchandise
Market includes both the present as well as potential
customers of the product advertised. Different ad
campaigns are designed for different segments of the
market
DAGMAR
Motives are utilised for advertising purposes and are
also changed depending on the consumer behaviour. And,
the approaches to deal with the consumers in the right way

are evaluated for effective advertising results
Messages Alternative messages are developed to appeal
to consumers and the best message is utilised for the
advertising communication process
DAGMAR
Media A thorough knowledge about the different media,
their cost, benefits and disadvantages is gathered keeping
in mind the product type
Measurement are framed to provide real guidelines for
comparison of results with advertising efforts
Factors that affect setting of Advertising Objectives
Factors that affect the setting of the advertising objectives
are:
Marketing Objective
Marketing Strategy
PLC
Competition
Financial Resources
Developing the Advertising Plan
Integral part of the marketing plan
Cannot and does not exist in isolation of other marketing
communications mix
Needs total integration
Competitive factors will influence the effectiveness of the
advert campaign
Review of the background situation

Competitive analysis
Overview of the brand
Analysis of the consumer
Who is he?
How does he buy?
What are his motivations?

Statement of the marketing goals
Summary of advertising recommendations
Summary of creative recommendations
Budget determination
Summary of evaluation procedures
The Buying System
The Buying System
Understanding how people buy
Six stages of thought and action that consumers go
through when making a purchase decision
The objective is to move the consumer swiftly through the
process towards either purchase or re-purchase
Ensures total communication plan for the brand
The Buying System
The Six Stages

Trigger
Consider
Search
Choose
Buy
Experience
The Buying System

Trigger
First there is a something that triggers off the need
What has been the trigger for the purchase?
Routine The need to replenish supplies like washing
powder, toothpaste, soap etc
Impulse A purely spontaneous purchase like ice-creams,
chocolates or candy
Solution A need to solve an existing problem like a new
washing machine or disinfectant or medicines
Lifestyle An indulgence purchase for pleasure, like
holidays or a new suit or Hi-Fi
Some categories are a blend or reasons, for e.g. Cars can
be bought for both solution and lifestyle reasons.
The Buying System
Consider
Next, the consumer begins to think about what he wants
from the purchase
There are 4 needs a purchase can satisfy:
Self maintenance Shampoo, Razor or Foodstuff
Self Expression For Personal Image - Clothes,
Cars, Cigarettes
Self Reward or gift For Personal Satisfaction like
chocolates,jewelry or books
Self Improvement Computers, Books, Banking
The Buying System
Search
Next, the consumer begins to collect and evaluate

information
There are 4 sources which range from active to passive
Direct Experience
Word of Mouth
Editorial
Publicity or Advertising
The Buying System

Choose
The consumer now begins to compare and form
preferences for the available brands
There are 2 factors which will influence choice
Functional Values: Will one purchase perform better than
another? Is it better value? Is it going to last longer?
Non-functional Values: Which brand is more appealing? A
more attractive personality? A better reputation? A
perceived popularity? Reflects the image of the user?
The Buying System

Buy
Now, that the consumer has made up his mind to make a
final purchase
There are six factors that could make or break the
selection of our brand
Distribution Availability
Display On the shelf, In-store
Promotion Ideally Brand related
Trial Can the consumer try it at the POS?
Salesman
After-Sales Warranties, Guarantees, AMC etc
The Buying System

Experience
Now, the consumer is using the brand, only one factor has
any effect: Did the product perform as promised?
Development of advertising
Most
advertising agencies use a precise format for the

purpose of briefing creative work
Aim is to provide the creative departments with the
appropriate guidance to the development of creative
material in a succinct and easily comprehensible form
The creative brief is the basis of all advertising
development and should encompass, in summary form, all
major findings of research and other inputs upon which the
advertising will be eventually based
The Creative Brief Point 1
What is the opportunity and/or problem which the
advertising must address?
A brief summary of why we are advertising at all
The current consumer perceptions that advert is suppose
to enhance or correct
The consumers point of view
What do we want the people to do as a result of the
advertisement?
Direct Action, Seek Information, recognise brands
relevance, bring it top of mind, change attitudes or retain
The Scale of the Ad Effect

Who are we talking to?
The Creative Target group and not the Marketing Target
Group
Not just Demographics, but Psychographics as well
Accurate profile
The Target Group
The
most effective advertising knows who it is talking to

The Marketing Target Group
The Advertising Target Group
The Creative Target Group
The job is to derive a specific and clear advertising target
group from within the marketing target group, then translate
this into meaningful creative terms that will allow us to get
into the targets mind
The Marketing Target Group
Very broad definition
Encompasses all potential users latent as well as potent
Casting the net very wide
E.g. Anti-dandruff shampoo targeting people with
dandruff as well as people who want to prevent dandruff

The Advertising Target Group
Narrow casting Current Users, Occasional Users,
Lapsed Users, Users of another category, brand etc.
Precise for maximum effect what stage of the buying
system are we trying to impact
E.g. A cooking
oil can broadly target all who cook but can

narrow it down to women who cook regularly and use a
specific oil, quantity or a brand
The Creative Target Group
Tightly focused Defined in terms of lifestyle, mindset,
motivation, personality, opinions, passions etc.
Igniting or Lighting the Creative fire
E.g. A health drink targeting Mothers aged between 25-40
with small children who are concerned about the proper all
round development of their children as opposed to Mothers
aged between 25-40 with small children
What is the Key Response we want from our Advertising?
One single thing that we want the consumer to notice or
believe as a result of our advertising that will best
distinguish our brand from competition
Consumer language How will the consumer express it?
Its not what you put init is what the consumer takes
outthe stimulus response theory
The GIGO effect
The Stimulus & The Response
The most effective advertising is not about sending
messages
The Stimulus-Response Theory
E.g. The Comedian
Identify the desired responsethe key responsebear the
following in mind:
Consumer is not a moron
Be Single minded
Consumer language and not manufacture language
What information attributes might help produce this
response?
Functional or physical attribute
Psychological emotional user need which the brand fulfills
Avoid a laundry list
Functional Discriminators
What
unique, practical characteristic makes your product

different from others?
It should be a formula or technical enhancement. It could
be faster, or lighter or tougher or bigger.
Functional Discriminators
It
has to be a practical difference. If it has no

demonstrable advantage, then it will not discriminate in
the consumers mind
It must not be too easily duplicated otherwise it will soon
be equalled or superceded
If the product has nothing physically unique, then say so.
It highlights the importance of the Non-functional
discriminators
Non-functional
Discriminators
Unique
characteristics which serve no practical purpose

the brand possesses that differentiate it from other
products
It could be reputation or rarity
It could be more beautiful or more contemporary or more
colourful or more fragrant
Generally, it will be what, purchase or ownership of this
brand will say about the consumer that others would not. It
could be a display of their good judgment, their status or
their intelligence
Non-functional Discriminators
Discriminators
fabricated by the advertising are fragile

unless based on a product characteristic
If there is no alternative to the fabrication of brand
discriminators, major emphasis will be placed upon the
brand personality
What aspect of the brand personality should the
advertising express?
Capture the essence of the brand in one single sentence
Unique blend of its characteristics that the advertising
help to highlight
Not a cluster of traits
Luna, Spark, CDM, Amul
Describe the brand in human terms
Unique personality can be the key differentiator
Makes the brand more appealing
Cannot be replicated
Does not mean a description of the target group
Brands,
like people, have a blend of functional and

emotional appeals which can be described in human terms
And while the individual appeal may not be unique, your
particular blend of appeals can be
In a highly competitive market, where no single appeal
can discriminate, the way be blend our brands personality
becomes critical
Lists of human traits like; intelligent, lively, gregarious
only represent the ingredients.
A personality has to be humanized, e.g.the brand is your
favourite uncle, not very exciting but completely
trustworthy
Ensure that the brand personality is supportable by the
brand. At the risk of stating the obvious, a luxury soap
could not have the personality of Rambo
How to describe a Brand Personality
Vivid and human like
Distinctive
Relate to TG identification or aspiration
Brand Personalities
Mrs. Corn Flakes A woman who dedicates her life
selflessly to the well-being of her family. But retains her
sense of proportion. Your Mother
Ms.Lux A woman who is extremely aware that her very
glamorous life means she is continually under close public
scrutiny. A star
Brand Personalities
The Salem Couple Young, modern, optimistic, innocents
who love the life they live. Todays beautiful people
Mr.
Listerine A totally gregarious fellow with an

extremely wide circle of friends who leads full life. A real
popular guy
Mr. Colgate A Teacher
Mr. Mentadent A scientist
The
Creative Brief Point 7

Are there any media or production constraints?
Medium
Size
Colour
Length
Any additional information that could be useful
Promotional Plans
Public Relation exercise
Legal Restrictions
Company Sensitiveness
Ethics
Recap
What is the opportunity and/or problem which the
advertising must address?
What do we want the people to do as a result of the
advertisement?
Who are we talking to?
What is the Key Response we want from our Advertising?
Recap
What information attributes might help produce this
response?
What aspect of the brand personality should the
advertising express?
Are there any media or production constraints?
Any additional information that could be useful
Creative Strategies and Tactics
The determination of the creative platform
Achieving distinctiveness is a paramount consideration
and the driving force behind the creative process

Bland advertising fails to attract the attention of the
consumer
It passes like a ship in a dark night
Key factors which make people notice advertising are:
When
When
When
the product itself is inherently different

the advertisement is sufficiently unusual
the advertisement has some particular personal
relevance
The
Hard-Sell approach
Is an approach in which the advertiser uses specific facets
of the product or service, to convince the target audience
that it is the best available
More of a rational approach
The Soft-Sell approach
By contrast, it uses a somewhat more subtle approach to
the differentiation of its products
More of an emotional approach
The Idea
The most effective advertisement has a recognisable idea
Both for creators as well as evaluators

Vivid Demonstration What the brand does
Vivid Metaphors What the brand stand for
The Idea
An idea is a new combination of old elements
Kaleidoscope always a new pattern
An idea rests upon the ability to see relationships
A new relationship
Random Juxtaposition/Syncopate
The Idea
Characterised by
Surprise
Sympathy
Shivers
Simplicity
Synergy
The Idea
Distinctive
Memorable
Durable
The Advertising Appeals
Few
purchases of any kind are made for entirely rational

reasons. Even a purely functional product such as a laundry
detergent may offer what is now being called an emotional
benefit say the satisfaction of seeing ones children in
bright clean clothes. In some product categories, the rational
element is small. These may include soft drinks, beer, certain

personal care products, lifestyle products (Ogilvy &
Raphaelson, 1982)
The advertising appeal refers to the basis or approach
used in the advertising to attract the interest and attention

of consumers and influence their feelings towards the
product
Feature appeal
Competitive advantage appeal
Price or value appeals
Quality appeals
News appeals
Popularity appeals
Appeals to ego or self-esteem
Styles of advertising creative execution style

Product as hero
Product demonstration
Problem-solution
Slice of life
Testimonial
Spokesperson presenter
Endorsements
Opportunistic or topical advertising
People like me
Mini-drama
Continuing character
Pastiche or borrowed interest
Spectacular, musical, stage show
Non-verbal
Infomercial
Teaser advertising
Animation
Fantasy
Fear/Intrigue/Shock advertising
Humour
Surrogate
Media & Media planning

The
underlying media scene has become dramatically

more complicated, with changes in both the number and
scope of the available media outlets
The task of the media planner and, with it, the
responsibilities of getting it right have become more
involved
The improvements in technology have provided access to
an ever increasing volume of data. The tasks of media
analysis have become more sophisticated
The media role has become, in many instances, a
discipline separated from other aspects of advertising
planning, not divorced but has an separate identity
The need for media planners to adopt an innovative
approach to break through noise level and clutter is
becomingly increasingly important
The requirement of the media function to be accountable
is greater than at any other time
The role of media planning
Identifying the appropriate target audience
Determining the media objectives
Specifying the media categories and vehicles
Determining the optimum time to advertise

Negotiating for and buying media
Evaluating the performance of the media plan
Media and their characteristics

Media must be considered against three separate
dimensions:
Does it enable the communication of the advertising
message?
Does it provide cost-effective coverage of the target
audience?
Is it the appropriate environment in which to place the
message?
A comparison of media
Importance of media plan
The development of the appropriate media plan
commences with a statement of media objectives
Media objectives are the translation of marketing and
advertising objectives and strategies into goals that can be
achieved by media
Media strategy (plan) is the translation of these objectives
into general guidelines that will control the planner and the
use of media
The guidelines
What target audience should be reached by the media?
What is the message that the advert wishes to convey?
To what geographic markets should the message be
directed?
How far into the target audience can the advert reach
given the budgetary constraints?
With what frequency should the message reach the target
audience during the campaign period?
At what times should the message reach the target
audience?
What type of medium provides the best match between the
intended market and the actual audience?
Factors for consideration
The intrusive nature of the message
The competitive environment
The nature of the message
Message length
Number of exposures
Status of the brand
Seasonality factors
Purchasing patterns
Scheduling options
Burst or flighting
Continuous or drip
Pulsing
Advertising Research
Think of an advertisement not as what you out into it, but

as what the consumer takes out of it
Rosser Reeves
Factors to be addressed
Whether or not to test
What and When to test
What criteria or test to use
Should you test?
New Product Entry - Y
Cut throat competition - N
New Concept - Y
Relaunch - Y
Creative Work - N
Extension of existing advert N
Testing implies cost and time
When and What should you test?
Testing can be done at
Beginning of the creative process (Pretest)
Ideation (Advert Platform)
Alternate Strategies
End of the creative process (layout) (Pretest)
Quicker
Less Expensive
Storyboard/Layouts/Animatics/Photomatics/Cinematics
End of the production stage ( finished commercial or
advert) (Pretest)
Expensive
Alternative executions
After the advert has been released (Posttest)
Five
most widely used criteria

Advert Recognition (Low involvement categories)
Awareness/Recall (Low involvement categories)
Comprehension
Likeable
Persuasion (High involvement categories)
Behavior
Unlikely one single criteria will exist for advert
effectiveness;multiple criteria are usually required
Recognition
( Attention getting capability)

Refers to whether a respondent can recognize an advert as
one has seen before
Necessary condition for Advert Effectiveness
Low recognition > Low Involvement > Low Trial
Mail Survey
Edit exposure (TV/radio programs)
Recall
Refers to a proportion of the sample audience being able

to recall the advert
Unaided
Aided
Proven
Day after recall (DAR) - George Gallop
Mainly used for television adverts
Can be used for Press/Radio Adverts
Real Time recall
Inappropriate for emotional adverts
Comprehension
/ Persuasion/Likeable
Refers to ability of the advert to bring about about an
attitudinal or behavioral change in the target audience
Diagnostic Exploration:
Comprehension of message/Slogan
Communication of secondary copy ideas
Evaluation of Demonstrations/Spokesperson/Message
Perception of brand uniqueness/differentiation
Irritating/Confusing Elements
Viewer Involvement
Comprehension/Persuasion/Likeable
Forced
Exposure Test
Clutter test
Multiple Exposure Test (Growth Factor)
Portfolio Tests
Consumer
Jury
Rating Scales
Character Empathy
Purchase Behavior/Brand Preference loyalty
Refers to actual brand choice in an in-store, real world
setting
Coupon-Stimulated Purchasing
Test group exposed to commercial/ Control Group
Though exposure is artificial, buying is realistic
Coupon Use or Inquiries: Split-Run Tests (Magazine)

Mostly used for Industrial Products
Measured by inquiries generated via coupons

Two advert versions checked
Adverts coded
BUY Test - Intention to buy scores
Diagnostic Tests
Qualitative Research
Focus Group
Audience Impressions of the advert
Adjective Checklists
Advert Testing Emotional Response
Words (Verbal Scales)
Pictures (Non-verbal Scales)
Diagnostic Tests
Physiological Measures
Eye Movement Check
Pupillometrics (Eye Dilation)
Facial Expression Observation
CONPAD (Conjugately Programmed Analysis of
Advertising)
Operation of a device that controls the audio and video
intensity of signals
Measures interest levels
Diagnostic Tests
Physiological Measures
On-line Monitoring of Response
Operation of device indicating Interest/Irritation
(Program Analyser)
Brain Waves
Brain wave activity measured through EEG
( Electroencephalograph)
Left
Brain V/s Right Brain

Tracking Studies
Purpose to evaluate and reassess the advert campaign and
understand why it is working or not working
Measures tracked
Awareness
Awareness of elements of the advert
Brand awareness
Brand attributes
Credibility
Brand Image
Occasion/Frequency of use
Brand Loyalty
Brand Satisfaction
Diary Method
Principles of testing
A good testing system should
provide measurements which are relevant to the objectives
of the advertising
requires agreement about how the results will be used in
advance of each test
provides multiple measures, single measures are
inadequate to assess the performance of the advert
be based on Human Response Model - Reception of a
stimulus, comprehension of the stimulus and response to
the stimulus
allow for considerations of whether the advert stimulus
should be exposed more than once
recognize
the consistency in the extent of finishing of the
advert
provide controls to eliminate bias
consider the difference between forced and natural
exposure
consider reactivity in test environment
demonstrate reliability and validity
consider the competitive Context
relevant to the target prospect
robust recruitment system in selection of respondents
Testing Options
The advert used
Mock-up
Finished Advert
Frequency of exposure
Single exposure test
Multiple exposure test
Method of exposure
Isolated
In a clutter
In a program or a magazine
Testing Options
Where the exposure occurs
In a shopping center facility
At home on TV
At home through mail
At a centralized location
At a theatre
How
respondents are obtained

Pre-recruited forced exposure
Not pre-recruited, natural exposure
Testing Options
Geographic Scope
One city
Several cities
Nationwide
Alternative Measures of persuasion
Pre/Post measures of attitude or behavior shifts
Multiple measures - Recall/Involvement/Buying intention
Single Measure - Brand preference
Test Market sales measures
Bases of comparison and evaluation
Comparing test results to norms
Using a control group
Media Research
DAR
Structured Questionnaire (NRS)
Audit (ABC)
Diary Method (Radio Listenership)
T V Meters (TRP)
Telecheck (Viewership)
Sales Promotion
The growing role of sales promotion
Today, significantly large percentage of marketing
expenditure is driven towards sales promotion
Very relevant at times of economic recession
Pressure on personal disposable income tends to make
consumers more price and value sensitive
Used
to create an on-shelf differentiation for the brand in

a highly competitive market place
Increased pressure from the retailers to step up
promotional support to increase profitability
Quick-fix sales increase
Pressure on marginspressure from management to
deliver volumes
Increasing cost of other forms of marketing
communications tools
What is sales promotion?
It is to offer the consumer some sort of incentive to
accelerate the desired action
It is often short term, with a specific time period
Often used tactically, seldom strategically
Benefits of sales promotion
Enable the manufacturers to regulate demand-supply
variations
Helps even out peaks and troughs of consumer demand
Helps smaller brands to compete with large brands with
big advertising budget
Increase in retailer involvement
Increase stocking
Liquidate stocks
Encourage trials in new categories or for newer lesser
known brands
Limitations of sales promotion
Sales oriented but not conducive to brand building
Loyalty
lasts till the offer lasts

Increasing use of sales promotion may diminish the
strength of the brand franchisemay be perceived to be a
discounted brand
As a rule, promotions can never improve the brand image
or help the stability of the brand franchise
Conditions consumers to becomes price-sensitive or
bargain-seeker
The determination of objectivessome guidelines
Sales promotion objectives must be defined clearly and
succinctly
Must be capable of measurement
Quantify the impact on volume and contribution
Must be achievable
Must be realistically budgeted
Sales promotion objectives
Consumer objectives
Generate enquiries
Build and refine data base
Initiate trial and sampling
Product re-purchase post trial
Build loyalty
Increasing rate/frequency of purchase
Prepone purchasesstock up
Upgrade to larger pack sizes
Trade objectives
Traffic building
Inventory building
Stock reduction or liquidating
Offsetting impact of competitive activity
Promotional support to the trade

Increase dealer involvement
Sales promotion techniques

Immediate price-offs
Deferred price-offs (Redemption coupons)
Cross-couponing
Bonus or multi-packs (extra gm/ml or but three for the
price of two)
Free gifts
On-pack free gift (stuck to the product)
In-pack free gift (inside the pack)
With-pack free gift (independent of the pack)
The pack itself
Proof of purchase for gift item
Self liquidating offers
Contests and competition
In-store/In-house sampling
Evaluating sales promotion activities
Factors to be borne in mind
Does the promotional concept fit well with the brand, its
desired imagery and its target audience?
Is the recommended solution the most likely to achieve the
desired objective?
Is the promotion easy to understand and credible to the
audience?
Factors to be borne in mind
Is it easy to participate in, or does it create a series of

unnecessary obstacles for the potential consumer to
overcome?
Is the promotion likely to satisfy the needs of consumers?
Ideally, promotional offers should not over claim, since this
is likely to result in post-purchase dissonance. Rather, they

should get more than they expected
Is the promotion dependent on a particular fad or fashion
(such as a tie-in with a specific event) or does it provide a
concept which can be repeated over time?
Research & Sales promotion
Market research can provide an important contribution
to the understanding of sales promotion in two broad
areas:
Testing
Monitoring
Research
can contribute to the development or more

efficient and effective sales promotion
Desk research
Pre-testing (Simulation techniques)
Qualitative research (Simulation techniques)
Quantitative research
Monitoring research
The legal framework
Any price offer should be clear and not contain hidden
extra charges
The promoter should avoid implying that the price is less
than it really is, where there is some form of restriction on
the nature of the offer, for e.g. the money off next purchase.
Both parts of the offer should be made clearly and
distinctly in the same typeface and size
Where some form of comparison of value or worth is
made, this must be justified in a way that consumers can
understand
Should conform to MRTP regulation

Should conform to Standard Weights and Measures Act
Must conform to Prizes and Lotteries act
Should not encourage gambling
Direct Marketing
Factors contributing to the growth of direct marketing
Acceleration in the pace of life, leading to change in lifestyle
Desire for greater convenience
Desire for personalised service
Greater need for customisation, especially in the growing
service sector
Emergence of micro segments
Increasing mass media costs
Fragmented audiences
Improvements in information technology, helps in
identifying customers, keeping track and servicing them
What is Direct marketing?
Quite simply, it is the attempt made by the manufacturer
or marketer to establish direct contact with his potential

customer, with the intention of either eliciting information
or soliciting a sale.
This process is a continuous and ongoing process.
More importantly
Direct Marketing:
Allows you to isolate someone as an individual
Allows you to build a continuing relationship with them
Allows you the ability to test and measure responses
Drayton Bird
The
key differentiator between direct marketing and

other attempts to contact the consumer directly is the
emphasis that direct marketing places on building a
relationship with the consumer
Merely establishing a contact could be done by
introducing response devices in conventional brand
advertising
Should not be confused with Direct Selling or Personal
Selling
It is not about sending an one-off mail
The essentials
Identify your consumer
Understand your customer, know him well
Keep in touch regularlyhave a continuous dialogue
Build a relationship
Make him feel that he is the center of your world
Treat him like a friend and not a buyer
Be sensitive to his needs and requirement
Keep him satisfied by fulfilling promises made by you
The advantages of direct marketing
Helps in targeting your customers precisely
Encourages high degree of interactivity
Creation and maintenance of relationship between the
manufacturer/marketer and the prospect, overtime nets
better yield
Works better in motivating action
Relatively easy to measure
Results can be predicted based on past exercise
Comparatively low investment
Controlled growth
Conducive to testing
Identify your customer

Important here to classify the word customer from a long
term perspective than from a short term single sale
Gathering key contact information at the end of a visit or
sale visiting card, visitors book, guarantee/warranty
cards, feed back forms, etc. or
While expressing an interest; response coupon in the
advert filled, telephone call made, email received, snail mail
received, call solicited etc.
Getting information from an outside source
Ready lists are available in the environmenta good
revenue generating activity
However these lists have to be checked and verified on the
following before employing them
Source of list
Restrictions on use
When collected
Frequency of use
Size
Profiling information
Extent of profiling
Cost
Establishing the contact
You can establish contact with your prospect by any of the
following media
Email
Telephone call
Mail
SMS
Personal
contact
Establishing the contact The essentials
Make the contact appealing
The contact should be should be made to feel special about
the contact
It should be personalised
Addressed rightly
Value his time
Be Courteous
Motivate a response
If need be incentivise, it works most of the time
Seed required profiling data
Profiling the database
An important part of gaining an understanding of the
customer database
Different ways to profile demographics, psychographics,
location, ownership of durables etc.
This is an important information to enable the
identification of potential customers with particular needs
Detailed analysis will enable far more precise targeting of
potential customers with a high propensity to respond to a
particular type of product, service or offer
Customer profiling focuses your sales message onto
specific segments with reduced media costs and increased
consumer response
If you have an accurate picture of your present customer,
you are more likely to be able to look for and find more of
the same
Build a relationship
Relationship means:
Creating a bond
Nurturing this bond
Making this bond unbreakable
Fostering a feeling of togetherness
Loyalty that is made for life
How is it relevant in the business context?
Today,increasingly business seem to be transacted on an
emotional plane
All factors being equal,people would like to do business
with people with whom they have a chemistrythey like
80% of the business tends to come from a small base of
20%
The Conveyor Belt Analogy
Every business can be visualised as an infinitely long
conveyor belt
Most marketers concentrate on getting prospects to step
up onto that belt to begin a customer relationship
But a lot of customers fall off the belt at some point
Here is where the biggest opportunities and the biggest
profits are waiting
The Challenge
Very few organisations pay attention to their customer
turn-over or churn rate,the rate at which customers let
their account slip into inactivity
Getting customers on the belt
Keeping them on the belt and if they fall

Getting them back on the belt
Economics of customer retention

In an increasingly competitive and sluggish market
environment, sellers will find the economics of customer
retention very compelling and attractive
The moment customer loyalty increases, a beneficial flywheel effect kicks in - repeat sales and referrals increase
Economics of customer retention
Company becomes less vulnerable to competition entering
the customers life
Customers become less price sensitive
A study revealed that a decrease in customer defection
rate by 5% can boost profits by as high as 25-50%
Less energy to be expended to get back lapsed users
Requisites of a successful relationship programme
Know him well
Understand your customer
Keep in touch regularly
Make him feel that he is the center of your world
Treat him like a friend and not a buyer
Be sensitive to his needs and requirement
Requisites of a successful relationship programme
Make him participative,involve him in your business
Conduct regular checks on the status of your relationship
with your customer
The Relationship Barometer
The Relationship Barometer
It is a measurement of the intensity,extent of your
relationship with your customers,through research
Set pre-determined parameters for the check
Set bench-marks for these parameters

Track the scores on these over time
Redefine the parameters if required
The limitations of direct marketing
Increase yield
Role of Direct Marketing Agencies

Database Generation
Database Management
Response Handling
Creating Direct Response Communication
Mail Handling/Sorting/Dispatch
Contest Management
Measuring Relationship Through Research-The
Relationship Barometer
Telemarketing
Fulfillment
Public Relations
Public relations is the dimension of communications
which is specifically concerned with establishing and
enhancing goodwill between an organisation and the
various publics with which it seeks to communicate
Although sometimes used independently, more often PR is
integrated with other aspects of the promotional mix, for
example, advertising, sales promotion or personal selling
The Institute of Public Relations (IPR) defines public
relations as:
The deliberate, planned and sustained effort to establish
and maintain mutual understanding between an
organisation and its publics
The Public Relations Society of America adopts a
broader-based definition and more, importantly, identifies

a series of specific functions relating to public relations;
Anticipating, analysing and interpreting public opinion,
attitudes and issues which might impact, for good or ill, on
the operations and plans of the organisation
Counselling
management at all levels with regard to policy

decisions, courses of action and communication
Researching, conducting and evaluating, on a continuing
basis, programmes of action and communication to achieve
informed public understanding necessary for the success of
the organisations aims
Planning and implementing the organisations efforts to
influence or change public policy
Managing the resources needed to perform the functions
of public relations
Distinction between Publicity and Public Relations
In simple terms, publicity may be any form of
information from an outside source used by the news media
It is largely uncontrollable, since the source of the news
item will have little control of how and when the story will
be used and, most importantly, on how it will be
interpreted
Distinction between Publicity and Public Relations
Although much of public relations is concerned with the
gaining of publicity, not all publicity is derived from public
relations
The responsibility of public relations is to create and
influence publicity in such a way as to have a positive
impact on the company for which the activity is undertaken
Comparison between PR and Advertising

The primary goal of advertising is to inform and persuade
consumers in relation to a specific product offering,
whereas the goal of PR is to establish goodwill, and to
develop favourable attitudes and an understanding of the
organisation and its products and services
A major distinction between advertising and PR is the
credibility of the alternative routes to message delivery. PR
messages are included in media vehicles as news stories and
are, as a result , more credible than advertising
Advertising is inherently based upon the self-interest of
the organisation placing it and paying for the exposure
hence is subjected to a greater degree of scrutiny and is
often discounted by the reader or viewer
On the other hand, since PR messages appear as editorial
content, they are seen to be independent of the company
that originated them viewed less cynically and more likely
to be accepted
In many respect, the story carries an apparent
endorsement, of the media vehicle which carries it, hence
viewed with greater credibility
The credibility of the medium or the vehicle enhances the
credibility of the PR message
Public Relation exercise is much cheaper than advertising
PR can address issues outside conventional marketing,
issues that would be rendered ineffective in an advertising
environment company values, philosophy etc.
PR
can be very cost-effective reaching some specific

audiences Small retail outlets can often gain coverage in
local newspapers for a new opening or some other activity
which is likely to arouse public interest
PR can be used to publicise, enhance a companys name,
image, reputation better than corporate advertising
Institution of Awards, Public Service activity like blood
donation camps etc
Public relations often involves the creation of special
events, either to provide a vehicle for direct communication
to others or through media coverage
The disadvantages
Unlike advertising, where the nature and content of the
message is entirely within the control of the initiating
company, a PR message is uncontrollable
Must have the buy-in from the media organisation so that
the message appears
Functions of Public Relations
Opinion forming
Counselling senior management
Liaison with public officials
Communicating policies
Community relations
In-house activities Internal PR
Business relations - Financial Institutions/Tax Authorities
Media relations
Event management Samsung Super Singer
Business Sponsorship Brand Equity Quiz
The Publics Of PR
Employees and potential employees

Shareholders and investors
Suppliers and vendors to the company
The Trade Distribution channels
Buyers and consumers
The local community
The national community
Opinion formers/leaders
The Media local/national/international
The tools
Press release
Exclusive story
Interviews
Press conference
By-lined article
Speeches
Special events
Advertorials
Infomercials
Event Management & Sponsorship
Initially a part of the PR armoury, have spun off to be
independent function
Event Management is the creation, implementation and
administration of short-term activities designed to promote
product/service/organisation
Hospitality events, exhibitions, conferences etc.
Sponsorship is a more embracing activity
It is the association with some third party activity,
designed to achieve a series of separate but mutually
agreed objectives
Definition
An
investment in cash or in kind, in an activity, in return

for access to the exploitable commercial potential
associated with that activity (Meenaghan, 1991)
Sponsorship
is a business relationship between the

provider of funds, resources or services and an individual,
event or organisation which offers in return some rights
and associations that may be used for commercial
advantage
(Sleight, 1989)
Advertising
works in a direct way; creating its own

values and context for the product, and stimulating the
desired consumer response from the way they perceive the
brand
Events/Sponsorship,
by contrast works in a more indirect

way. It borrows the values of the sponsored event or
programme, making them part of the brand in the mind of
the viewer
The creativity in advertising comes in defining the nature
of the brand, while creativity in sponsorship comes in

determining the nature of the fit between the required
brand personality and the donated associations
(Byles and Walford, 1991)
Events/Sponsorship can be used for:
Name and brand awareness
Image reinforcement
Media exposure
Hospitality
Sales Promotion Contests,
Sampling etc.
Staff Motivation
Community relations
Key factors to be considered:

Is
there a fit between the activity and the brand or

corporate positioning?
Is the sponsorship sufficiently distinctive?
Are there other sponsors associated with the event?
Does the activity have an existing identity, or does one
need to be created?
Can the sponsorship be ambushed?
Key factors to be considered:
Who
are the audience for the vent both live and in terms
of the expected media coverage?
What exploitation opportunities exist?
Is there synergy with the current advertising or other
marketing communications activity?
INTEGRATED
STRATEGY
MARKETING
COMMUNICATION
promotion- introduction
It is not enough to have good products sold at
attractive prices. To generate sales and profits,
the
benefits
of
products
have
to
be
communicated to customers.
Promotion is, therefore, about
communicating with customers.
companies
A business' total marketing communications

programme is called the promotional mix and
consists of a blend of:
Advertising
Direct marketing
Personal selling
Sales promotion
Public relations tools
Promotion has several possible objectives and
many pieces of marketing promotion aim to
achieve several of the following objectives at
the same time:
Inform
Management may need to make their audience
aware that their product exists, and to explain
exactly what it does. This is a particularly
important objective for new products
Persuade
An important stage in creating favourable
attitudes towards the business and its brands.
Through persuasive promotion, management
will seek to persuade customers and the trade
that their brand has benefits that are superior
to competitors
Image creation
Sometimes, promoting a brand image is the
only way to create differentiation in the mind of
the consumer (e.g. lager advertising)
Reassurance
Much promotion (particularly advertising) is
about reassuring customers that they have
made the right choice and encouraging them to
stay loyal to a brand.
There are a large and growing number of
promotional methods that businesses can use.
The main instruments - advertising, direct
response mailing, sales promotion, public
relations and direct selling, are often mixed
together as part of the promotional mix. Each
has
different
strengths.
What is important is that the promotional mix
is carefully planned and the results monitored
to ensure that the total promotional cost is
controlled.
promotion
introduction
promotional mix
to
the
It is not enough for a business to have good

products sold at attractive prices. To generate
sales and profits, the benefits of products have
to
be
communicated
to
customers.
In
marketing, this is commonly known as
"promotion".
Promotion
is
all
about
communicating with customers.
companies
A business' total marketing communications

programme is called the "promotional mix" and
consists of a blend of advertising, personal
selling, sales promotion and public relations
tools. In this revision note, we describe the four
key elements of the promotional mix in more
detail.
It is helpful to define the four main elements of
the promotional mix before considering their
strengths and limitations.
(1) Advertising
Any paid form of non-personal communication
of ideas or products in the "prime media": i.e.
television, newspapers, magazines, billboard
posters, radio, cinema etc. Advertising is
intended to persuade and to inform. The two
basic aspects of advertising are the message
(what you want your communication to say) and
the medium (how you get your message across)
(2) Personal Selling
Oral communication with potential buyers of a
product with the intention of making a sale.
The personal selling may focus initially on
developing a relationship with the potential
buyer, but will always ultimately end with an
attempt to "close the sale".
(3) Sales Promotion

Providing incentives to customers or to the
distribution channel to stimulate demand for a
product.
(4) Publicity
The communication of a product, brand or
business by placing information about it in the
media without paying for the time or media
space directly. otherwise known as "public
relations" or PR.
Advantages and Disadvantages of Each Element
of the Promotional Mix
Mix
Element
Advantages
Disadvantages
Advertising Good for building Impersonal

awareness
cannot answer all
a
customer's
Effective
at questions
reaching a wide
audience
Not
good
at
getting
Repetition of main customers
to
brand and product make
a
final
positioning helps purchasing
build
customer decision
trust
Personal
Selling
Highly interactive Costly

lots
of employing a sales
communication
force has many
between the buyer hidden costs in
and seller
addition to wages
Excellent
for Not suitable if
communicating
there
are
complex / detailed thousands
of
product
important buyers
information
and
features
Relationships can
be
built
up
important
if
closing the sale
make take a long
time
Sales
Can
stimulate If used over the
Promotion quick increases in long-term,
sales by targeting customers
may
promotional
get used to the
incentives
on effect
particular
Too
much
products
promotion
may
Good short term damage the brand
tactical tool
image
Public
Relations
Often
seen
as Risk of losing
more "credible" - control - cannot
since the message always
control
seems
to
be what
other
coming from a people write or
third party (e.g. say about your
magazine,
product
newspaper)
Cheap
way
of
reaching
many
customers - if the
publicity
is
achieved through
the right media
promotion- the promotional mix

Promotional mix
It is helpful to define the five main elements of
the promotional mix before considering their
strengths and limitations.
Advertising
Advertising is any paid form of non-personal
communication of ideas or products in the
"prime media": i.e. television, newspapers,
magazines, billboard posters, radio, cinema etc.
Advertising is intended to persuade and to
inform.
The two basic aspects of advertising are the

message (what you want your communication to
say) and the medium (how you get your message
across)
Direct marketing
Direct marketing creates a direct relationship
between the customer and the business on an
individual basis.
Personal Selling
Personal selling refers to oral communication
with potential buyers of a product with the
intention of making a sale. The personal selling
may focus initially on developing a relationship
with the potential buyer, but will always
ultimately end with an attempt to "close the
sale".
Sales Promotion
Sales promotion refers to the provision of
incentives to customers or to the distribution
channel to stimulate demand for a product.
Public Relations
Public relations is the communication of a
product,
brand
or
business
by
placing
information about it in the media without
paying for the time or media space directly
Factors that determine the type of promotional

tools used
Each of the above components of the
promotional mix has strengths and weaknesses.
There are several factors that should be taken
into account in deciding which, and how much
of each tool to use in a promotional marketing
campaign:
(1) Resource availability and the cost of each
promotional tool
Advertising (particularly on television and in
the national newspapers can be very expensive).
The overall resource budget for the promotional
campaign will often determine which tools the
business can afford to use.
(2) Market size and concentration
If a market size is small and the number of
potential buyers is small, then personal selling
may be the most cost-effective promotional
tool.
A good example of this would be businesses
selling
software
systems
designed
for
supermarket retailers. On the other hand, where
markets are geographically disperse or, where
there are substantial numbers of potential
customers, advertising is usually the most
effective.
(3) Customer information needs

Some potential customers need to be provided
with detailed, complex information to help
them evaluate a purchase (e.g. buyers of
equipment for nuclear power stations, or health
service managers investing in the latest medical
technology). In this situation, personal selling is
almost always required - often using selling
teams rather than just one individual.
By contrast, few consumers need much
information about products such as baked beans
or bread. Promotional tools such as brand
advertising and sales promotion are much more
effective in this case.
promotion - advertising: introduction
The Institute of Practitioners in Advertising
(IPA), the body which represents advertising
agencies, defines advertising as:
"The means of providing the most persuasive
possible selling message to the right prospects
at the lowest possible cost".
Kotler and Armstrong provide an alternative
definition:
"Advertising is any paid form of non-personal
presentation and promotion of ideas, goods and
services
through
mass
media
such
as
newspapers, magazines, television or radio by

an identified sponsor".
There are five main stages in a well-managed
advertising campaign:
Stage 1: Set Advertising Objectives
An
advertising
objective
is
a
specific
communication task to be achieved with a
specific target audience during a specified
period of time. Advertising objectives fall into
three main categories:
(a) To inform - e.g. tell customers about a new
product
(b) To persuade - e.g. encourage customers to
switch to a different brand
(c) To remind - e.g. remind buyers where to find
a product
Stage 2: Set the Advertising Budget
Marketers should remember that the role of
advertising is to create demand for a product.
The amount spent on advertising should be
relevant to the potential sales impact of the
campaign. This, in turn will reflect the
characteristics of the product being advertised.
For example, new products tend to need a larger
advertising budget to help build awareness and
to encourage consumers to trial the product. A
product that is highly differentiated may also

need more advertising to help set it apart from
the competition - emphasising the points of
difference.
Setting the advertising budget is not easy - how
can a business predict the right amount to
spend. Which parts of the advertising campaign
will work best and which will have relatively
little effect? Often businesses use "rules-ofthumb" (e.g. advertising/sales ratio) as a guide
to set the budget.
Stage 3:
Messages
Determine
the
key
Advertising
Spending a lot on advertising does not

guarantee success (witness the infamous John
Cleese campaign for Sainsbury). Research
suggests that the clarity of the advertising
message is often more important than the
amount spent. The advertising message must be
carefully targeted to impact the target customer
audience. A successful advertising message
should have the following characteristics:
(a) Meaningful - customers should find the
message relevant
(b) Distinctive
attention
capture
the
customer's
(c) Believable - a difficult task, since research

suggests most consumers doubt the truth of
advertising in general
Stage 4: Decide which Advertising Media to Use
There are a variety of advertising media from
which to chose. A campaign may use one or
more of the media alternatives. The key factors
in choosing the right media include:
(a) Reach - what proportion of the target
customers will be exposed to the advertising?
(b) Frequency - how many times will the target
customer be exposed to the advertising
message?
(c) Media Impact - where, if the target customer
sees the message - will it have most impact?
For example does an advert promoting holidays
for elderly people have more impact on
Television (if so, when and which channels) or
in a national newspaper or perhaps a magazine
focused on this segment of the population?
Another key decision in relation to advertising
media relates to the timing of the campaign.
Some products are particularly suited to
seasonal
campaigns
on
television
(e.g.
Christmas hampers) whereas for other products,
a regular advertising campaign throughout the
year in media such as newspapers and specialist
magazines (e.g. cottage holidays in the Lake

District) is more appropriate.
Stage 5: Evaluate the results of the Advertising
Campaign
The evaluation of an advertising campaign
should focus on two key areas:
(1) The Communication Effects - is the intended
message being communicated effectively and to
the intended audience?
(2) The Sales Effects - has the campaign
generated the intended sales growth. This
second area is much more difficult to measure.
advertising- why and what?
Why and what should a business advertise?
Before undertaking an advertising campaign,
marketers should be able to answer two key
questions:
(1) Why are we advertising?
(2) What are we advertising?
On the face of it these seem like two fairly
obvious questions. But they are significant.
Advertising can be a very expensive promotional
tool. It is widely believed that much advertising
spend is wasted. So careful consideration about

Why and What can pay dividends.
Why advertise?
The following may be good reasons why a
business is advertising:
To create awareness, customer interest or
desire
To boost sales (moving the demand curve to
the right)
To build brand loyalty (or to maintain it at the
existing level)
To launch a new product
To change customer attitudes perhaps trying
to move a product more upmarket or to dispel
some widely held perceptions about the product
To support the activities of the distribution
channel (e.g. supporting a pull strategy)
To build the company or brand image
To reminds and reassure customers
To offset competitor advertising businesses
may defend market share by responding to
competitors
campaigns
with
their
own
advertising
To boost public standing: companies can boost

their public standing with advertisements that
link them with generally approved campaigns
such as care for the environment
To support the sales force advertising can
make the job of the sales force easier and more
effective by attracting leads from potential
customers and perhaps motivate them by
boosting the profile of the business
Take a look through any magazine and select a
sample of adverts. Which of the above reasons
do you think are behind the adverts you
choose? Dont forget that some adverts aim to
achieve multiple objectives.
What to advertise?
Factors that help answer the what are we
advertising? focus on what the advertising
message should be. In general, there are really
only two kinds of effective advertising message:
Firstly, does the business/product
Unique Selling Proposition (USP)
have
A unique selling proposition is a customer

benefit that no other product can claim
In reality these are rare, although that does not
stop marketers from claiming them for their
products.
Secondly, does the thing that is

advertised add value and if so, how?
being
For example, advertising for washing powders

will focus on the added value created by
whitening agents or the fact that a particular
formulation
will
last
longer
than
the
competition (take a look at the Fairy web site to
see if you can spot the other added value
features
claimed
for
its
products)
Whatever is advertised, it is important that the
message is:
Seen
Read
Believed
Remembered
Action upon by target customers
advertising
budget
setting
the
advertising
Introduction
A famous comment usually attributed to Lord
Leverhulme goes:
I know that half of my advertising budget is
wasted, but Im not sure which half
It is notoriously difficult to measure the effect
of advertising on a business sales. Advertising
is just one of the variables that might affect

sales in a particular period. These include:
Consumer
and
business
confidence
Levels
of
disposable
income
Availability of product (e.g. does the retailer
actually
have
stock
to
sell?)
Availability
of
competing
products
The weather (often blamed by retailers for
poor sales!)
How can a business know whether a specific
advertising campaign was effective?
As
a
percentage
of
sales,
advertising
expenditure varies enormously from business to
business, from market to market. For example,
the leading pharmaceutical companies spend
around 20% of sales on advertising, whilst
business such as Ford and Toyota spend less
than 1%. An average for fast-moving consumer
goods markets (FMCG) is around 8-10% of
sales.
In practice, the following approaches are used
for setting the advertising budget:
Approaches to setting the advertising budget
Method (1) Fixed percentage of sales
In markets with a stable, predictable sales
pattern, some companies set their advertising
spend consistently at a fixed percentage of
sales. This policy has the advantage of avoiding

an advertising war which could be bad news
for profits.
However, there are some disadvantages with
this approach. This approach assumes that sales
are directly related to advertising. Clearly this
will not entirely be the case, since other
elements of the promotional mix will also affect
sales. If the rule is applied when sales are
declining, the result will be a reduction in
advertising just when greater sales promotion is
required!
Method (2) Same level as competitors
This approach has widespread use when
products are well-established with predictable
sales patterns. It is based on the assumption
that there is an industry average spend that
works well for all major players in a market.
A major problem with this approach (in addition
to the disadvantages set out for the example
above) is that it encourages businesses to ignore
the effectiveness of their advertising spend it
makes them lazy. It could also prevent a
business with competitive advantages from
increasing market share by spending more than
average.
Method (3) Task
The task approach involves setting marketing

objectives based on the tasks that the
advertising has to complete.
These tasks could be financial in nature (e.g.
achieve a certain increase in sales, profits) or
related to the marketing activity that is
generated by the campaigns. For example:
Numbers of enquiries received quoting the
source
code
on
the
advertisement
Increase in customer recognition / awareness
of the product or brand (which can be measured)
Number of viewers, listeners or readers
reached by the campaign
Method (4) Residual
The residual approach, which is perhaps the
worst of all, is to base the advertising budget on
what the business can afford after all other
expenditure. There is no attempt to associate
marketing objectives with levels of advertising.
In a good year large amounts of money could be
wasted; in a bad year, the low advertising
budget could guarantee a further low year for
sales.
advertising- media
Advertising media
There is a huge variety of media available
through which a business can conduct an
advertising campaign. What are the main types

of media and what considerations should a
business make in choosing between them?
The starting point in the selection of
appropriate advertising media is a media
analysis. This can be defined as:
"An investigation into the relative effectiveness
and the relative costs of using the various
advertising media in an advertising campaign"
Before committing an advertising budget it is
necessary to carry out marketing research on:
- Potential customers
- Their
habits
reading
habits,
television-watching
- How many times the advertisers wish the

potential customers to see an advertisement
- How great a percentage of the market they
wish to reach, etc.
These elements all need to be considered and
balanced to plan a campaign that will effectively
reach its target audience at a reasonable cost.
A useful distinction can be made between
published media and visual/aural media.
Published media include:

National
daily
newspapers
Sunday
newspapers
Local
and
regional
newspapers
Consumer
magazines
Specialist
magazines
Trade
and
professional
press
Internet
Visual and aural media include:
Television
Direct mailing
(terrestrial
and
digital)
Radio
Cinema
Billboards
Transport
advertising - effectiveness?
Judging the effectiveness of advertising
How can the effectiveness of an advert be
judged?
The answer depends on what objectives or tasks
were set for the advert.
The table below sets out some possible
objectives/tasks and how the effectiveness of
the advert might be measured:
How
success
can
be
measured
an - Number of enquiries from
Advertising objective
Stimulate
advert
increase in sales
- Number of enquiries
converted into sales
- Test customer awareness
Remind
customers
both before and after the
of the existence of a
advertising
campaign
product
- Number of enquiries
- Test customer awareness
Inform customers
- Number of requests for
further information
-Sales
-Test customer awareness
Build a brand image
of brand recognition and
perceived values
Build
customer - Levels of repeat purchase
loyalty
and Levels
of
customer
relationship
retention
- Measure demographic
profile
of
purchases
Change
customer - Measure type of goods
attitudes
ordered by new purchasers
- Compare with previous
data
promotion - direct marketing
Introduction
Direct marketing is concerned with establishing
an individual relationship between the business
offering a product or service and the final

customer.
Direct marketing has been defined by the
Institute of Direct Marketing as:
The planned recording, analysis and tracking
of customer behaviour to develop a relational
marketing strategies
The process of direct marketing covers a wide
range of promotional activities you may be
familiar with. These include:
Direct-response adverts on television and
radio
Mail
order
catalogues
E-commerce (you bought this marketing
companion following tutor2us direct marketing
campaign!)
Magazine
inserts
Direct mail (sometimes also referred to as
junk
mail)
Telemarketing
Direct mail
Of the above direct marketing techniques, the
one in most widespread use is direct mail.
Direct mail is widely thought of as the most
effective medium to achieve a customer sales
response.
Why?
The advertiser can target a promotional
message down to an individual level, and where
possible personalise the message. There are a
large number of mailing databases available that
allow businesses to send direct mailing to
potential customers based on household
income, interests, occupation and other
variables
Businesses can first test the responsiveness of
direct mailing (by sending out a test mailing to
a
small,
representative
sample)
before
committing to the more significant cost of a
larger campaign
Direct mailing campaigns are less visible to
competitors it is therefore possible to be more
creative, for longer
However, direct mail has several weaknesses:
A piece of direct mail is less interactive than
a television or radio advert, although creative
packaging can still stimulate customer response
Lead times to produce
campaigns can be quite long
direct
mailing
There is increasing customer concern with

junk mail the receipt of unsolicited mail
which often suggests that the right to individual
privacy has been breached.
The Direct marketing database

Direct mailing is based on the mailing list a
critical part in the direct marketing process.
The mailing list is a database which collects
together details of past, current and potential
customers.
A
properly
managed
mailing
database enables a business to:
Focus on the best prospective customers
Cross-sell related products
Launch new products to existing customers
How is the mailing database compiled?
The starting point is the existing information
the business keeps on its customers. All forms
of communication between a customer and the
business need to be recorded so that a detailed,
up-to-date profile can be maintained.
It is also possible to buy mailing lists from
elsewhere. There are numerous mailing list
owners and brokers who sell lists of names. The
Internet, directories, associations and other
sources are good sources.
promotion - personal selling
Introduction
Personal selling can be defined as follows:
Personal selling is oral communication with

potential buyers of a product with the
intention of making a sale. The personal
selling may focus initially on developing a
relationship with the potential buyer, but will
always ultimately end with an attempt to
"close the sale"
Personal selling is one of the oldest forms of
promotion. It involves the use of a sales force to
support
a
push
strategy
(encouraging
intermediaries to buy the product) or a pull
strategy (where the role of the sales force may
be limited to supporting retailers and providing
after-sales service).
What are the main roles of the sales force?
Kotler describes six main activities of a sales
force:
(1) Prospecting - trying to find new customers
(2) Communicating - with existing and potential
customers about the product range
(3) Selling - contact with the customer,
answering questions and trying to close the sale
(4) Servicing - providing support and service to
the customer in the period up to delivery and
also post-sale
(5)
Information
gathering
obtaining
information about the market to feedback into
the marketing planning process
(6) Allocating - in times of product shortage, the
sales force may have the power to decide how
available
stocks
are
allocated
What are the advantages of using personal
selling as a means of promotion?
Personal selling is a face-to-face activity;
customers therefore obtain a relatively high
degree of personal attention
The sales message can be customised to meet
the needs of the customer
The two-way nature of the sales process allows
the sales team to respond directly and promptly
to customer questions and concerns
Personal selling is a good way of getting across
large amounts of technical or other complex
product information
The face-to-face sales meeting gives the sales
force chance to demonstrate the product
Frequent meetings between sales force and
customer provide an opportunity to build good
long-term relationships
Given that there are many advantages to

personal selling, why do more businesses not
maintain a direct sales force?
Main disadvantages of using personal selling
The main disadvantage of personal selling is the
cost of employing a sales force. Sales people are
expensive. In addition to the basic pay package,
a business needs to provide incentives to
achieve sales (typically this is based on
commission and/or bonus arrangements) and
the equipment to make sales calls (car, travel
and subsistence costs, mobile phone etc).
In addition, a sales person can only call on one
customer at a time. This is not a cost-effective
way of reaching a large audience.
promotion- push and pull strategies
"Push or Pull"?
Marketing theory distinguishes between two
main kinds of promotional strategy - "push" and
"pull".
Push
A push promotional strategy makes use of a
company's sales force and trade promotion
activities to create consumer demand for a
product.
The producer promotes the product to

wholesalers, the wholesalers promote it to
retailers, and the retailers promote it to
consumers.
A good example of "push" selling is mobile
phones, where the major handset manufacturers
such as Nokia promote their products via
retailers such as Carphone Warehouse. Personal
selling and trade promotions are often the most
effective promotional tools for companies such
as Nokia - for example offering subsidies on the
handsets to encourage retailers to sell higher
volumes.
A "push" strategy tries to sell directly to the
consumer,
bypassing
other
distribution
channels (e.g. selling insurance or holidays
directly). With this type of strategy, consumer
promotions and advertising are the most likely
promotional tools.
Pull
A pull selling strategy is one that requires
high spending on advertising and consumer
promotion to build up consumer demand for a
product.
If the strategy is successful, consumers will ask
their retailers for the product, the retailers will
ask the wholesalers, and the wholesalers will
ask the producers.
A good example of a pull is the heavy

advertising and promotion of children's toys
mainly on television. Consider the recent BBC
promotional campaign for its new pre-school
programme the Fimbles. Aimed at two to fouryear-olds, 130 episodes of Fimbles have been
made and are featured everyday on digital
children's channel CBeebies and BBC2.
As part of the promotional campaign, the BBC
has agreed a deal with toy maker Fisher-Price to
market products based on the show, which it
hopes will emulate the popularity of the
Tweenies. Under the terms of the deal, FisherPrice will develop, manufacture and distribute a
range of Fimbles products including soft, plastic
and electronic learning toys for the UK and
Ireland.
In 2001, BBC Worldwide (the commercial
division of the BBC) achieved sales of 90m
from its children's brands and properties last
year. The demand created from broadcasting of
the Fimbles and a major advertising campaign is
likely to pull demand from children and
encourage retailers to stock Fimbles toys in the
stores for Christmas 2002.
promotion - public relations
Introduction
The Institute of Public Relations defines public

relations as follows:
The planned and sustained effort to establish
and
maintain
goodwill
and
mutual
understanding between an organisation and its
publics
What is meant by the term publics in the
above definition?
A business may have many publics with which
it needs to maintain good relations and build
goodwill. For example, consider the relevant
publics for a publicly-quoted business engaged
in medical research:
Employees
Shareholders
Trade
unions
Members
of
the
general
public
Customers
(past
and
present)
Pressure
groups
The
medical
profession
Charities
funding
medical
research
Professional research bodies and policyforming
organisations
The
media
Government and politicians
The role of public relations is to:
Identify
the
relevant
publics
Influence the opinions of those publics by:
o
Reinforcing
favourable
opinions
o Transforming perhaps neutral opinions into
positive
ones
o Changing or neutralising hostile opinions
Public relations techniques
There are many techniques available to
influence public opinion, some of which are
more appropriate in certain circumstances than
others:
Consumer communication
Customer
Trade
Promotional
Consumer
Competitions
Product
Celebrity
Web sites
press
press
and
launch
releases
releases
videos
exhibitions
prizes
events
endorsements
Business communication
Corporate
identity
Company
and
product
Direct
Web
Trade exhibitions
Internal / employee communication
design
videos
mailings
site
In-house
Intranet
Notice
Employee
Email
newsletters
and
magazines
boards
conferences
External corporate communication

Company literature (brochures, videos etc.)
Community
involvement
programmes
Trade, local, national and international media
relations
Financial communication
Financial
media
relations
Annual
report
and
accounts
Meetings with stock market analysts, fund
managers
etc
Shareholder meetings (including the annual
general meeting
Given the wide range of techniques used in
public relations, how is it possible to measure
the effectiveness of public relations?
It is actually quite difficult to measure whether
the key messages have been communicated to
the target public. In any event, this could be
quite costly since it would involve a large
amount of regular research. Instead, the main
measures of effectiveness concentrate on the
process of public relations, and include:
Monitoring the amount of media coverage

obtained (press cuttings agencies play a role in
keeping businesses informed of this)
Measuring
conferences
attendance
at
meetings,
Measuring the number of enquiries or orders

received in response to specific public relations
efforts.
promotion - sales promotion
Introduction
A good definition of sales promotion would be as
follows:
An activity designed to boost the sales of a
product or service. It may include an
advertising campaign, increased PR activity, a
free-sample campaign, offering free gifts or
trading stamps, arranging demonstrations or
exhibitions, setting up competitions with
attractive prizes, temporary price reductions,
door-to-door calling, telemarketing, personal
letters on other methods.
More than any other element of the promotional
mix, sales promotion is about action. It is
about stimulating customers to buy a product.
It is not designed to be informative a role
which advertising is much better suited to.
Sales promotion is commonly referred to as

Below the Line promotion.
Sales promotion can be directed at:
The ultimate consumer (a pull strategy
encouraging purchase)
The distribution channel (a push strategy
encouraging the channels to stock the product).
This is usually known as selling into the trade
Methods of sales promotion
There are many consumer sales promotional
techniques available, summarised in the table
below:
Price promotions
Price promotions are also commonly known as
price discounting
These offer either (1) a discount to the normal
selling price of a product, or (2) more of the
product at the normal price.
Increased sales gained from price promotions
are at the expense of a loss in profit so these
promotions must be used with care.
A producer must also guard against the possible
negative effect of discounting on a brands
reputation
Coupons
Coupons are another, very versatile, way of
offering a discount. Consider the following
examples of the use of coupons:
- On a pack to encourage repeat purchase
- In coupon books sent out in newspapers
allowing customers to redeem the coupon at a
retailer
- A cut-out coupon as part of an advert
- On the back of till receipts
The key objective with a coupon promotion is to
maximise the redemption rate this is the
proportion of customers actually using the
coupon.
One problem with coupons is that they may
simply encourage customers to buy what they
would have bought anyway. Another problem
occurs when retailers do not hold sufficient
stocks of the promoted product causing
customer disappointment.
Use of coupon promotions is, therefore, often
best for new products or perhaps to encourage
sales of existing products that are slowing
down.
Gift with purchase
The gift with purchase is a very common
promotional technique. It is also known as a
premium promotion in that the customer gets

something in addition to the main purchase.
This type of promotion is widely used for:
- Subscription-based products (e.g. magazines)
- Consumer luxuries (e.g. perfumes)
Competitions and prizes
Another popular promotion tool with many
variants.
Most
competition
and
prize
promotions are subject to legal restrictions.
Money refunds
Here, a customer receives a money refund after
submitting a proof of purchase to the
manufacturer.
These schemes are often viewed with some
suspicion by customers particularly if the
method of obtaining a refund looks unusual or
onerous.
Frequent user / loyalty incentives
Repeat purchases may be stimulated by
frequent user incentives. Perhaps the best
examples of this are the many frequent flyer or
user schemes used by airlines, train companies,
car hire companies etc.
Point-of-sale displays
Research into customer buying behaviour in
retail stores suggests that a significant
proportion
of
purchases
results
from
promotions that customers see in the store.
Attractive, informative and well-positioned
point-of-sale displays are, therefore, very
important part of the sales promotional activity
in retail outlets.
promotion - sponsorship
Introduction
An increasingly common form of promotional
activity is sponsorship. What is sponsorship?
Sponsorship can be defined as follows:
Supporting an event, activity or organisation
by providing money or other resources that is
of value to the sponsored event. This is usually
in return for advertising space at the event or
as part of the publicity for the event.
There are many kinds of sponsorship:
Television and radio programme sponsorship
(e.g.
Cadburys
sponsor
broadcasts
of
Coronation
Street).
The
increasing
fragmentation of television in the UK through
new digital channels is providing many more
opportunities for sponsorship of this kind
Sports sponsorship: major sporting events
have the advantage of being attended and (more
importantly) watched by large numbers of
people. They also attract significant media

coverage.
Arts sponsorship; arts events or organisations
are not as well attended as sports events but are
often regarded as more worthy and more in
keeping with the image of certain businesses
and brands.
Educational sponsorship; this can take several
forms from the sponsoring of individual
students at college through to the provision of
books and computers nationwide using the
redemption of product or store-related vouchers
(e.g. Tescos Computers for Schools)
What is involved in developing a sponsorship
promotion?
Smith suggests a six-stage process to decide
what and how to sponsor:
(1) Analyse the current situation: look at which
other businesses are sponsoring in the target
area. Are competitors already doing this and is
it providing them with an advantage?
(2) Define the sponsorship objectives: e.g. raise
awareness of the brand; build an image; promote
a new product
(3) Agree the strategy: how does the sponsorship
fit in with any other promotional activity?
(4) Develop the tactics: agree the details of what

to sponsor, price, timing etc
(5) Define the target audience
(6) Consider what resources are needed to make
the sponsorship a success.

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INTEGRATED

Copy decision Creation and production of the Copy.

Yet, within this array of confusion, marketing

communications increasingly represents the single most

is concerned with sending and receiving information,

Different Communication Equations

the basic process of communications

What is Marketing Communication?

stimuli to a defined target audience with the purpose of

market in which the marketer assembles a wide variety of

marketers as the communication mix

marketing communication tools personal selling,

The growth of marketing communication

marketing communication strategies have lost their

through the seamless integration of discrete messages

Allocating the budget

The budget process

The Structure and disciplines in an advertising agency

to provide specific pieces of information

consumers point of view or perception

the sale of the product through advertising of a

Understanding how advertising works

PROCESSING (McGuire, 1969)

the stages through which the consumer passes

Prompting immediate consumer action

to Top of Mind Remind for repurchase

The Butterfield Diamond framework for strategic analysis*

may be culled from available statistics, from

of the consumer buying system that is new, different or

position of a brand or product is the perception it

objective is always measure in terms of change in

Setting Advertising Objectives

Proposed by Russell H.Colley

task and achievement level to be accomplished with a

the approaches to deal with the consumers in the right way

Review of the background situation

Developing the Advertising Plan

The Buying System

The Six Stages

The Buying System

Next, the consumer begins to collect and evaluate

The Buying System

The Buying System

The Buying System

advertising agencies use a precise format for the

The Creative Brief Point 3

most effective advertising knows who it is talking to

dandruff as well as people who want to prevent dandruff

oil can broadly target all who cook but can

Identify the desired responsethe key responsebear the

unique, practical characteristic makes your product

has to be a practical difference. If it has no

characteristics which serve no practical purpose

fabricated by the advertising are fragile

like people, have a blend of functional and

Listerine A totally gregarious fellow with an

Creative Brief Point 7

What aspect of the brand personality should the

and the driving force behind the creative process

the product itself is inherently different

Both for creators as well as evaluators

purchases of any kind are made for entirely rational

element is small. These may include soft drinks, beer, certain