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MKT568

Advertisement Management
Teacher:
Sayyed Munawwar Abbas
MBA
Recommended Books

Advertising Communications & Promotion


Management
– John R. Rossiter & Larry Percy

Strategic Advertising Management


– Larry Percy, John R. Rossiter & Richard Elliot
Recommended Books

Advertising & Communications Management


– Micheal J. Ray

The Fundamental of Advertisements


– John Wilmshurst & Adrian Mackay
What Is Advertisement..?

• “Make an announcement in a public place..”

• “Describe or present goods publicly with a


view to promoting sales..”

• “A public announcement..” (by town-crier)


How Does Advertisement Work?
• The Buyer Response Sequence
1. See or Hear the Message (Exposure)
2. Pay Attention (Process)
3. Understand (Communication Effects)
4. Action

Buyer Response steps are “Gates”


How Does Advertisement Work?
• Marketing Manager’s Planning Stages
1. Target Audience Selection
2. Communication Objectives
3. Positioning
4. Creative Strategy
5. Media Strategy
6. Campaign Tracking & Evaluation
1. Target Audience Selection

• Awareness-Attitude-Behavior Approach
1. NCU – New Category Users
2. BL – Brand Loyal
3. FBS – Favorable Brand Switchers
4. OBS – Other Brand Switchers
5. OBL – Other Brand Loyals
1. Target Audience Selection
1. NCU’s – New Category Users
– Sales Potential Depends on Awareness
May cost a lot to make them aware
2. BL’s – Brand Loyals
– Awareness Maximum
– Sales
Core of our Sales
– Sales Potential Zero
Behavior (Habit)
1. Target Audience Selection
3. FBS – Favorable Brand Switchers
– Attitude Moderately Favorable
– Awareness
May slip over time
Drop in Purchase Frequency
– Sales Potential
Easy Target
Attitude should be changed
to Highly Favorable.
Offer Deals / Promotions /
Discounts.
1. Target Audience Selection
4. OBS – Other Brand Switchers
– Awareness Zero / Unaware or Low
– Attitude
Neutral or Negative
– Unaffordable
Price too high

5. OBL’s – Other Brand Loyals


– Attitude
Actively Negative (More Often)
– Sales Potential
Least / Worst Prospects
1. Target Audience Selection
Further focus / clarity..

1. Geographic National Campaign


Global Campaign

2. Demographic Age
Gender
Occupation
3. Psychographic
Lifestyle
Personality
General Attitudes
1. Target Audience Selection
Target Audience

1. Primary Usually only one group is


selected for a campaign.
Mostly FBS.
2. Secondary
Commonly BLs in most
campaigns.
Reinforcement
1. Target Audience Selection
Advertising Leverage
• Sales Leverage
# buyers x Incremental Sales / buyer
Cost of Campaign

• Profit Leverage
# buyers x Incremental Profit / buyer
Cost of Campaign
How Does Advertisement Work?
• Marketing Manager’s Planning Stages
1. Target Audience Selection
2. Communication Objectives
3. Positioning
4. Creative Strategy
5. Media Strategy
6. Campaign Tracking & Evaluation
2. Communication Objectives
2.1 Category Need
2.2 Brand Awareness
2.3 Brand Attitude
2.4 Brand Purchase Intention
2.5 Purchase Facilitation

Consider them as “mental bins”


2. Communication Objectives
2.1 Category Need
Solution
• Problem Category
• Benefits all brands in Category
• Optional Objective
• Target Audience  NCUs (mostly)
• Usually  New Category
• 1st Sell Category  Then Sell Product
• “Educate People”
2. Communication Objectives
2.2 Brand Awareness
• Buyers ability to recognize / recall the brand
• Category Need  Brand
• Universal Communication Objective
(Compulsory)
• Two Choices
– Brand Recognition
– Brand Recall
2. Communication Objectives
2.2 Brand Awareness
• When Purchase Decision is Made.?
– At Point of Purchase  Recognition
– Prior to Point of Purchase  Recall

• Effective Techniques
– Recognition  Show Close-ups of Brand Logo
– Recall  Brand Name Repetition (Jingle)
• Buyer takes 9.4 seconds from sighting the
category to putting the chosen brand in the
cart.
2. Communication Objectives
2.2 Brand Awareness
• Effective Medium
– Recognition  TV / Magazine
– Recall  TV / Radio
2. Communication Objectives
2.3 Brand Attitude
• “Perceived ability of brand..”
• Universal Communication Objective
(compulsory)
2. Communication Objectives
2.3 Brand Attitude
• Examples:
– “Mana lo food ka love with 7UP”
Food = Category Need (Link)
7UP = Brand Awareness (Recall)
Love = Brand Attitude
2. Communication Objectives
2.3 Brand Attitude
• Examples:
– “Soneya CocaCola Pilaa dey..”
Pilaa = Category Need (Link)
CocaCola = Brand Awareness (Recall)
Soneya / Zalima = Brand Attitude
2. Communication Objectives
2.3 Brand Attitude
• Examples:
– “Cheeta bhi peeta hai..”
Peeta = Category Need (Link)
??? = Brand Awareness (Recall)
Cheeta = Brand Attitude
2. Communication Objectives
2.3 Brand Attitude
• Components
– 2.3.1 Super belief
– 2.3.2 Benefits
– 2.3.3 Emotions
2. Communication Objectives
2.3.1 Super Belief
• A belief that the product solves one of the
following:
Negatively Originated Positively Originated
Motives Motives
(Informational) (Transformational)
1. Problem Removal 5. Sensory Gratification
2. Problem Avoidance 6. Intellectual Stimulation
3. Incomplete Satisfaction 7. Social Approval
4. Normal Depletion
2. Communication Objectives
2.3.2 Benefits
Multi-Attribute Model
Brand Attitude = ∑ ( Attributes x Importance)

2.3.3 Emotions
• Not linked to Specific Benefits
BAtt = ∑ ( Attributes x Importance) + Emotions
2. Communication Objectives
2.4 Brand Purchase Intention
• Self-instruction “I’ll buy that.. ”
• Ad.-instruction “Buy it now..”
• Optional Objective (depending on):
– Low Involvement Product (Low Risk)
– High Involvement Product (High Risk)
2. Communication Objectives
2.4 Brand Purchase Intention
• Low Involvement Product (Low Risk)
– Explicit Purchase Intention  Damages Appeal
– Positive B.Attitude  Implicit Purchase Intention
• High Involvement Product (High Risk)
– Positive B.Attitude  Not Enough for Internal P.I.
– Generate Brand Purchase Intention Explicitly
2. Communication Objectives
2.5 Purchase Facilitation
• Addresses Perceived Problems with 4Ps
(Marketing Mix)
– Product
– Price
– Promotion
– Place
• Include Objective IF Problem is Perceived
How Does Advertisement Work?
• Marketing Manager’s Planning Stages
1. Target Audience Selection
2. Communication Objectives
3. Positioning
4. Creative Strategy
5. Media Strategy
6. Campaign Tracking & Evaluation
Positioning
Creative Strategy
Media Strategy
Campaign Tracking & Evaluation

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