Post on 07-Apr-2018
8/6/2019 Ch01-Intro to Adv
1/22
1
Chapter 1
Introduction to Advertising
8/6/2019 Ch01-Intro to Adv
2/22
2
Learning Objectives
Definition and roles of advertising
Major players of advertisingAn overview of what makes effectiveadvertising
Current advertising issues
8/6/2019 Ch01-Intro to Adv
3/22
3
EXH4-9
8/6/2019 Ch01-Intro to Adv
4/22
4
$ %
Main media 110,956
Other media etc. 76,573Grand total 187,529Main media
Newspapers 41,670 37.6Magazines 9,821 8.9Television 44,519 40.1Radio 13,491 12.1Outdoor 1,455 1.3
Total 110,956 100.0
U.S. Advertising Volume, 1997 ($ million)
SOURCE:Reprinted with permission from the May 18, 1998, issue ofAdvertising Age. Copyright Crain
Communications Inc., 1998.
8/6/2019 Ch01-Intro to Adv
5/22
5
What is Advertising?
Advertising is:
(1) Paid,
(2) Nonpersonal Communication,
(3) From An IdentifiedS
ponsor(4)Using Mass Media,
(5) To Persuade or Influence an Audience.
8/6/2019 Ch01-Intro to Adv
6/22
6
Roles and Functions of Advertising
To identify and differentiate from other offerings
To communicate information about the product
To induce consumers to try new products and to
suggest reuse
To stimulate the distribution of a product
To increase product use
To build value, brand preference, and loyalty
To lower the overall cost of sales
8/6/2019 Ch01-Intro to Adv
7/22
7
Roles of Advertising (contd)
To associate feelings with brand
To link brand with peers and group norms
(And. More?)
To
To
To
To
8/6/2019 Ch01-Intro to Adv
8/22
8
A model of the communication/persuasionprocess
Awareness/Familiarity
with Brand
Information re Brand
Attributes or Benefits
Creation of BrandImage/Personality
Association of
Feelings with Brand
Linkage of Brand
With Peers/Experts
and roup orms
eminder or
Inducement about
Brand Trial
Creation of BrandImage/Personality
Creation of BrandImage/Personality
8/6/2019 Ch01-Intro to Adv
9/22
9
The Classifications of AdvertisingBy
Target audience
By
Geographic
Area
By
Medium
By
Purpose
Consumer
Business
-Trade
-Professional-Agriculture
Local (retail)
Regional
National
Global
Broadcast
(electronic)
- Radio- TV
Out-of-Home
Direct-Mail
Internet
Product
Nonproduct
Commercial
Non-commercial
Action
Awareness
Teaser
8/6/2019 Ch01-Intro to Adv
10/22
10
Advertiser
Government
ompetition
Advertising
Agency
Media
Research
Suppliers
Markets and onsumer ehavior
ontrol
Institutions
acilitating
Institutions
Figure 1-1 Major institutions involved in the ield o advertising management
8/6/2019 Ch01-Intro to Adv
11/22
11
Five Players of AdvertisingAdvertiser
(Client)
AdvertisingAgency
Media
Organization
Suppliers
Target
Audience
Marketing strategy and final approval
Creative and media plan
Audience delivery
Marketing communication specialists,collateral services
Receivers of marketing communications
8/6/2019 Ch01-Intro to Adv
12/22
12
Name great advertising
campaigns or great ads:
8/6/2019 Ch01-Intro to Adv
13/22
13
What Makes Effective Advertising?
Extension from sound marketing strategy
Focus on consumers view
Persuasive
Break through the clutter
Never promise more than deliverable
The creative idea not overwhelming the strategy
8/6/2019 Ch01-Intro to Adv
14/22
14
Broad Dimensions That
Characterize Great Advertising
StrategyStrategyStrategyStrategy CreativityCreativityCreativityCreativity
ExecutionExecutionExecutionExecution
The ultimate test for the greatness of an ad is whether itachieved its intended objectives.
8/6/2019 Ch01-Intro to Adv
15/22
15
Good or Great Ads Work on Two Levels
Achieve the Sponsors
Objectives
Satisfy the Customers
Objectives by Engaging
Them & Delivering a
Relevant Message
Characteristics of Great Ads
8/6/2019 Ch01-Intro to Adv
16/22
16
Interest
Knowledge
Attitude Change
Behavioral Change/ Trial
Repurchase/Commitment/Reminder
Identify Personal Needs
Gather RelevantInformation
Support Risk AssociatedWith Attitude Change
Enhance Need Reduction
Reinforce Trial andNeed Reduction
Dual Process of Great Advertising:
Reaching Objectives (Fig. 1.1)ADVERTISING
OBJECTIVES
Satisfy Curiosity/Memory/Entertainment
CONSUMERSOBJECTIVES
Attention/ Awareness
8/6/2019 Ch01-Intro to Adv
17/22
17
Interactive Advertising
Integrated Marketing Communication
Consumer Power, Relationship Marketingand Customization
Globalization
Niche Marketing
Current Advertising Issues
8/6/2019 Ch01-Intro to Adv
18/22
18
Differential Promotion Intensity/Investment
Historical
Marketing
New
MarketingMass
Communications
(One Message
Fits All)
Customized
Communications
(Discrete Messages
Targeted According
To Customer
Profile)
Undifferentiated Promotion Intensity/Investment (Same for all)
Marketing on the Average
Marketing on the Differences
8/6/2019 Ch01-Intro to Adv
19/22
19
Growing Importance of IMC
Reduced faith in mass media advertising
Increased reliance on highly targetedcommunication methods
Greater demands imposed on marketingcommunications suppliers
Increased efforts to assess communications
return on investment
8/6/2019 Ch01-Intro to Adv
20/22
20
Growing Importance of IMC
Fragmented media environment
Changes in media buying practices
Price conscious consumers
Technology
8/6/2019 Ch01-Intro to Adv
21/22
21
How SW Airlines UsedHow SW Airlines Used
the Concept of IMCthe Concept of IMC
(video case)(video case)
8/6/2019 Ch01-Intro to Adv
22/22
22
Review
Definition and roles of advertising
Major players of advertising
An overview of what makes effectiveadvertising
Current advertising issues