Chapter 14 – Advertising and Digital Communications
• Paid, nonpersonal communication through various media about a business firm, notforprofit
organization, product, or idea by a sponsor identified in a message that is intended to inform,
persuade, or remind members of a particular audience
• Nonpersonal promotions ▯develop promotional mixes and marketing communication strategies
• Advertising most visible form
• used by marketers to reach certain groups of people with messages designed to appeal to
business firms, notforprofits, or ultimate consumers.
Types of Advertising
• Product Advertising
− nonpersonal selling of a particular good or service, the type people picture when they
think of promotions .
• Institutional Advertisin
− promotes a concept, an idea, a philosophy, or the goodwill of an industry, company,
organization, person, geographical location, or government agency.
− broader concept than corporate advertising ▯nonproduct advertising sponsored by a
specific profitseeking firm
− closely linked to public relations
• Advertising must create interest in the Brand by :
− Reinforcing existing attitudes about an Established Brand
− Changing attitudes about an Existing Brand
− Creating an overall impression about a new product
− Giving the consumer a Reason to Act
Objectives of Advertising
• Informative advertising
− seeks to develop initial demand for a good, service, organization, person, place, idea, or
− It’s a common method used in promoting any new market entry, because at the
introductory stage the goal is simply to announce availability.
• Persuasive advertising
− designed to increase demand for an existing good, service, organization, person, place,
idea, or cause.
− It’s a competitive method suited to the growth stage and early maturity stage of the
product life cycle.
• Reminder advertising
− strives to reinforce previous promotional activity by keeping the name of the good,
service, organization, person, place, idea, or cause in the minds of the public.
− It’s common in the latter maturity stage and through the decline stage of the product life
cycle. • Advertising attempts to condition consumers to adopt favourable views toward a promotional
• The goal of an ad is to improve the likelihood that a consumer will buy the good or service.
• To get the best value for their investment, firms must first determine their advertising
• Reasons for using ads:
− To enhance consumer perceptions of quality in a good or service
− To increase customer loyalty
− To encourage repeat purchases
− To protect themselves during a price war
− To show their superiority in order to raise prices without losing market share
Advertising Objectives: brand awareness (levels)
• Aided awareness ▯recognition
• Unaided awareness ▯recall
• Share of mind awareness
• Top of mind awareness
• effective advertising strategies accomplish at lease one of three tasks:
• choosing a strategy is to develop a message that best positions a firm’s product in the mind of
• emphasizes messages with direct or indirect promotional comparisons between competing
− Firms whose products are not the leaders in their markets often favour this format.
• Today regulators actually encourage it, before frowned upon
− keep the marketplace competitive, keep consumers better informed, and keep prices
low. Celebrity Testimonials
• Use of celebrity spokespeople for products
− Improved product recognition
− Ability to reach consumers of other cultures
− A celebrity testimonial generally succeeds when the person is a credible source of
information for the product being promoted
− Appropriately matched celebrities improve the product’s believability, recall, brand
recognition, and brand equity
• Disadvantages of using celebrities:
− A celebrity who endorses too many products may create marketplace confusion.
− If a celebrity is involved in a scandal or has legal problems, response to ads is affected.
• includes all ads by retail stores that sell products directly to the consuming public.
• accounts for a good portion of total ad expenditures, its effectiveness varies widely
• Consumers may respond with suspicion or disbelief—source, message, and shopping
experience seem to affect consumer attitudes toward these ads.
• cooperative advertising ▯a retailer often shares advertising costs with a manufacturer or
wholesaler, improving dealer relations and strengthening vertical links in the marketing
• Involves twoway promotional messages transmitted through communication channels that
induce message recipients to participate actively in the promotional effort
• ecommerce and the Internet ▯interactive kiosks = creates a dialogue between markets and
− gain and hold a shopper’s interest in an environment where shoppers like to be in
− provides information to help consumers throughout the purchase and consumption
• Interactive advertising adds value by offering the viewer more than just productrelated
information or promotion of a brand.
• A technique in which marketing partners share the cost of a promotional campaign that meets
their mutual needs
• Joint efforts between established brands create greater benefits for both organizations.
Creating an Advertisement
• With so many dollars at stake, companies must create effective and memorable ads that
increase sales and enhance a firm’s image.
• pinpointing goals that ads need to accomplish.
− Common goals include educating the public about a product’s features, enhancing brand
loyalty, or improving consumer perception of the brand.
− These objectives should guide the design of the ad.
− Research can identify what appeals to consumers, and ads can be tested with potential
buyers before committing funds. • marketers have to find a creative way to demonstrate these often intangible images and convey
Creative Process Overview
1. Marketing Strategy
2. Copy Strategy
3. Selling Idea(s)
• Marketing Strategy Includes Target Market definition, Positioning and Benefits.
= General Brand Marketing Blueprint.
• Copy Strategy Includes target Market definition and Benefits. Reflects the Positioning of the
= an agreed to important document that initiates Creative development by Agency.
• Selling IdeasGeneral, consumer friendly ideas of how to translate/visualize the Copy Strategy.
− Form the basis of an individual commercial.
• Scripts – Drafts of commercials presented to Client on paper with simple accompanying
− If accepted by Client a script will be fine tuned for testing and/or final production.
Translating Advertising Objectives into Advertising Plans
• Objecteivs ▯advertising plans
• Marketing research helps guide choices in technical areas such as budgeting, copywriting,
scheduling, and media selection.
• Posttests measure the effectiveness of an ad and provide feedback on any needed adjustments
• positioning strategy ▯aims at creating a desired image in the consumer’s mind and
distinguishing the product from those of competitors.
• Advertising then communicates the desired position by stressing certain characteristics—
features, price, quality, applications, user needs, or product classes, and competitors’
• Advertising campaign — Series of different but related ads that use a single theme and appear
in different media within a specified time period
• Tone of the ad
• Can be practical, emotional, serious/funny, informative
• Several types of appeals can be based on:
o implies that incorrect buying decisions could lead to illness, injury, or other
negative consequences; but can backfire if viewers tune it out as too strong or
o creates a positive mood, can improve audience awareness and recall and
enhance brand image; but can distract focus away from the product, lose
effectiveness quickly, or annoy certain consumers or cultural groups
− Sex o attracts attention but boosts recall only if the appeal is appropriate to the