BA 315 - CHAPTER 10

COMMUNICATIONS -
ADVERTISING
LINDELL’s POWER POINTS
 COMMUNICATIONS

• Integrated Marketing Communications (IMC)

– As defined by the American Association of Advertising
Agencies, Integrated Marketing Communications
(IMC) “recognizes the value of a comprehensive plan
that evaluates the strategic roles of a variety of
communication disciplines—advertising, public
relations, personal selling, and sales promotion—and
combines them to provide clarity, consistency, and
maximum communication impact.

INFORM, PURSUADE & REMIND

Benefits of an IMC Approach
– It is synergistic, taking into account the multiple ways
to reach potential consumers.
– There is tactical consistency, whereby various
promotion tools complement each other.
– There is interactivity with consumers, with messages
better tailored to specific market segments.
– Every message positively influences the target
audience.
– Promotion themes and differential advantages are
understood by all employees who interface with the
targeted audience.
– Advertising, public relations, sales, and sales
promotion personnel cooperate with one another.
– Detailed data bases are maintained.
 PROMOTIONAL
(COMMUNICATIONS)
STRATEGY
• REVIEW YOUR MARKETING PLAN
• SITUATIONAL ANALYSIS
• BUILD ON YOUR MARKETING
OBJECTIVES
• ESTABLISH COMMUNICATION
OBJECTIVES
• ENGAGE THE ELEMENTS- MIX OF TOOLS
(INCLUDING ADVERTISING)
• IMPLEMENT AND CONTROL
• FOLLOW ON AND EVALUATE
 REVIEW YOUR
MARKETING PLAN
SITUATIONAL ANALYSIS
BUILD ON YOUR
MARKETING OBJECTIVES

Your Action Plan

 Planning Steps (continued)
Then…
• ESTABLISH COMMUNICATION
OBJECTIVES
• ENGAGE THE ELEMENTS- MIX OF
TOOLS (INCLUDING ADVERTISING)
• IMPLEMENT AND CONTROL
• FOLLOW ON AND EVALUATE
 THE ELEMENTS- MIX OF
TOOLS (INCLUDING
ADVERTISING)
• advertising
• public relations (includes publicity)
• personal selling
• sales promotion
 ADVERTISING
• The MASS COMMUNICATION
TOOL DESIGNED TO INFORM,
PURSUADE AND/ OR REMIND,
PAID FOR BY AN IDENTIFIED
SPONSOR
 and now…….
YOUR ADVERTISING PLAN
• ADVERTISING Objectives
– Advertising objectives can be divided into
two main categories: stimulating demand
and enhancing company image.
– Product advertising
– Institutional advertising
 SET ADVERTISING
OBJECTIVES
• Types of objectives include awareness, reminder
to use, changing attitudes about use of the product
form, changing perceptions about the importance
of brand attributes, changing beliefs about brands,
attitude reinforcement, corporate product_line
image building, and obtaining a direct response.
 BUDGET
• Establishing the advertising budget is one of the more difficult
tasks facing marketing managers, but a budget will provide
necessary guidance for message designers and media
planners.

Managers will adjust budgets based on product objectives,

product profitability, or productivity judgments. Given an
advertising objective, a manager can estimate message
development costs such as production costs, technical
fees, royalties to participants and media costs such as print
space and radio or television time
 MESSAGE
• The message includes the appeals that represent the central
idea of the message and the method ‑of presentation that is
used to present the copy claims.
• The three major requirements of an effective message are
desirability, exclusiveness, and believability.
• Copy claims can describe the physical
attributes, functional benefits, or
characteristics of the product.
• Various methods of execution style may be used,
including symbolic associations, testimonials, case
histories, documentation, comparison advertising, and
humor.
 MEDIA
• Various decisions are of extreme importance ‑ selecting the type of
medium; selecting possible vehicles for consideration; determining size,
length, and position of an advertisement; determining the desired reach
and frequency distribution of messages; and developing the media
schedule.

• Media objectives can be accomplished by distributing

expenditures according to their timing or reach and
frequency

• Computer routines can be used to yield a set of media schedules that

provide the largest number of GRPs for a given budget. However,
mathematical models should not serve as substitutes for managerial
judgment.
 MEDIA (continued)
• Media Considerations (1)
– Selecting media is just one part of reaching long-term
campaign goals.
– Considerations include costs, reach, waste, message
permanence, persuasive impact, narrowcasting,
frequency, clutter, lead time, and media innovations.
– Advertising media costs are outlays for media time or
space and are related to ad length or size, and media
attributes.
– Reach refers to the number of viewers, readers, or
listeners in a medium’s audience.
– Waste is the medium’s audience that is not in advertisers
target audience.
– Frequency refers to how often a medium can be used.

•
 MEDIA (continued)
– Message permanence refers to the number
of exposures one ad generates and how long
it is available to the public
– Persuasive impact is the ability of a medium
to stimulate consumers.
– Narrowcasting presents advertising
messages to limited and well-defined
audiences.
– Clutter involves the number of ads in a
medium.
– Lead time is the period required by a medium
for placing an ad.
 Online Advertising
– Predictions for online advertising in 2003
varied from $10 billion to a less optimistic
amount of $5.4 billion.
– Online advertising is less than 2.3 percent
of total ad spending via all medi(2002).
– Problems with Web advertising include
• No system to compare and rate Web ad
results with traditional measurement tools.
• Too broad a range of Web sites and users.
• Limited knowledge about what ‘works’,
when, and why.
 MEASURING
EFFECTIVENESS
Managers should attempt to evaluate the effectiveness of
advertising to determine whether advertising
expenditures are being well used

DAGMAR
 NOW CONSULT YOUR
PROMOTIONAL PLANNING
OUTLINE AND FIGURE 10-1
FROM OUR TEXT AND GO
FOR IT!
SMITHSTONE AND STEWART ARE
ON THE EXAM
OPPORTUNITYISNOWHERE!!!
CHAPTER 10, ADVERTISING
CONCLUDED

LPC1@umsl.edu