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Define the role of advertising within marketing

Mix
Explain how the four key concepts in marketing
relate to advertising
Identify the key players in marketing and how the
organization of the industry affects advertising
List and explain the six critical steps in the
marketing process
Summarize the structure of the advertising
agency industry
Analyze the changes in the marketing world and
what they portend for advertising

The

way a

P: Product

is designed, tested, produced,

branded, packaged,

P: Priced,
P: Placed in the market i.e. distributed,
P: Promoted
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The marketing
concept
Exchange
Branding
Added value

Marketing should focus first


on identifying the needs and
wants of the customer

To compete effectively,
marketers must focus on the
customers problems and try
to develop products to solve
them

The marketing
concept
Exchange
Branding
Added value

The act of trading a


desired product or
service to receive
something of value in
return
Money is exchanged for
goods or services

The marketing
concept
Exchange
Branding
Added value

The process of creating


a distinctive and special
meaning for a product
Brand equity is
reputation, meaning,
and value that the
brand name or symbol
has acquired over time

The marketing
concept
Exchange
Branding
Added value

Advertising activity
makes a product more
valuable, useful, or
appealing

The marketer
Suppliers and
vendors
Distributors and
retailers

The organization,
company, or
manufacturer producing
the product and
offering it for sale
The advertiser or client
(from the agencys
point of view)

The marketer
Suppliers and
vendors
Distributors and
retailers

Other companies that


manufacture the
materials and
ingredients used in
producing the product

The

marketer
Suppliers
and vendors
Distributors
and retailers

Various companies that


are involved in moving
a product from its
manufacturer to the
buyer

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Market
Where the exchange
between buyer and
seller takes place
A particular type of
buyer

Consumer

Businesstobusiness

Institutional

Channel

Market share
The percentage of the
total market in a
product category that
buys a particular brand

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1.

2.
3.
4.
5.
6.

Conduct research and develop a situation


analysis
Set objectives for the marketing effort
Assess consumer needs and wants
Differentiate and position the product
Develop the marketing mix strategy
Evaluate the effectiveness of the strategy

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Product

Place
Price
Promotion

The product is both


the object of the
advertising and the
reason for
marketing
Product category
A class of similar
products

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Product
Place
Price

The channels used


in moving the
product from
manufacturer to
buyer

Promotion

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Product
Place
Price
Promotion

Based on the cost


of making and
marketing the
product and on
expected profit
Customary
Psychological

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Product

Place
Price
Promotion

Use face-to-face
contact between
marketer and
prospective
customer
Used to create
immediate sales

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1.

1.

Which element of the marketing mix


does advertising and IMC have the
most impact on?

Which P of the marketing mix is


different than all other P?

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Full-Service Agencies
Include the four major
staff functions
Account management
Creative services
Media planning and
buying
Account planning

Specialized Agencies
Specialize in certain
functions, audiences,
industries or markets
Creative boutique
Media-buying services

Also have accounting,


traffic, production, and
HR departments

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Account
Management
Acts as a liaison
between the client
and the agency
Responsible for
interpreting the
clients marketing
strategy

Creative
Development
People who write
People who design
ideas for ads and
commercials
People who convert
these ideas into
commercials

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Media
Planning/Buying
Recommends to the
client the most
efficient means of
delivering the
message
Responsible for
buying, planning, and
research

Account Planning
Gathers all
information on the
market and
consumers and acts
as the voice of the
consumer
Prepares
comprehensive
recommendations

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Internal Agency
Services
Traffic department
Print production
department

Revenues and
Profits
Commission
Fee
Retainer

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An international brand is available virtually


anywhere in the world
The shift requires new tools for advertisers,
including one language, one control
mechanism, and one strategic plan
The choice of an agency depends on the
decision to standardize messages or localize
them to accommodate local cultures

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Integrated marketing
All areas of the marketing mix work closely together
to present the brand in a coherent and consistent
way

Relationship marketing
Marketing that considers all the firms stakeholders

Permission marketing
Inviting prospective customers to self-select into a
brands target market in order to receive marketing
communication

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Advertising is the preparation of visual


and oral message and their dissemination
through paid media for the purpose of
making people aware of and favourably
inclined towards a product ,brand,
service, institution, idea or point of view.

It can be also described as the art of


creating a demand for an article or a
service.

Makes a non-personal presentation of goods


or services or ideas to group of persons.
It carries the message about the quality and
utility of the goods or services
Advertisement is sponsored and paid for.
The idea behind it is to compel action in
accordance with the intent of the
advertiser.

To give information regarding


existence
To create new demand for the product
To instruct about the use of the
product
To make the selection of commodities
easy
To remove the doubt and confusion
about the products
To encourage consumer

1. It encourage the prospective buyers to purchase the


products.
2. It is indispensible in the introduction of a new product in the
market.
3. It acts as a potent instrument in the hands of the
manufacturer for increasing the sales by creating permanent
demand for the product.
4. It is considerably helpful in decreasing the number of
middlemen.
5. It builds up the reputation of the produces hereby enhancing
the goodwill of the concern.
6. It educates the people in the use of new products and tell
about the different uses of the existing products.

Advantages to manufacture

Creates demand for new commodities


Maintain demand level and increases
goodwill
Advantages to salesman
Simplifies the work of salesman and increases profit

Advantages to consumers

Increases personal satisfaction


Guarantees good quality of commodities
It saves consumers time

Advertisement to society

Provide employment opportunity


Increases income of the newspaper

It increases price
Consumers desire do not remain stable
False advertisement
Possibility of wrong purchase increases
Encouragement to luxury
Excessive expenditure on competition

Generating news about a product or service


in the media
Publicityis the deliberate attempt to
manage the public's perception of a subject.
The subjects of publicity include people (for
example, politicians and performing
artists),goodsand services, organizations
of all kinds, and works of art or
entertainment.

Favorable publicity increases the credibility


and result in building faith in the product or
company where as unfavorable publicity will
result in creating doubt in the mind of
people for the product or the company.
Favourable publicity increase the demand
and unfavorable publicity decrease the
demand.

Loss of trust from the public


Effects on sale i.e reduces the sale of the
product
Possibility to fall in investigation
Financial loss
Cease-and-Desist Orders of the company

The

extent of truth is greater in publicity as


compared to advertising
Advertising is always related to business
while publicity may be moral, social and
political also.
Most of the times inadvertising social
responsibilityignored while in publicity
special focus is given on social responsibility
Advertising is paid form of ideas,goods and
services while publicity is not paid by
sponsor.

Give to example of publicly in the market


which helped a brand in the market.
Identify two of the worst advertising failure
in the market

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