MKTG1000 Chapter Notes - Chapter 16: Mobile Marketing, Crisis Management, Specsavers
MKTG10 Principles of Marketing
Chapter 16
Main Topics
• What is advertising?
- An impersonal, one-way mass communication about a product or organisation that is paid for by a
marketer
- Advertising helps marketers increase or maintain brand awareness and, subsequently, market
share
- Typically, more is spent to advertise new brands with a small market share than to advertise older
brands
- Brands with a large market share use advertising mainly to maintain their share of the market
- Advertising affects consumers dail lies as ell as their purhases
- Although advertising can seldom change strongly held consumer attitudes and values, it may
trasfor a osuers egatie attitude toard a produt ito a positie oe
- Finally, advertising can also change the importae of a rads attriutes to osuers
- By emphasizing different brand attributes, advertisers can change their appeal in response to
osuers hagig eeds or tr to ahiee a adatage oer opetig rads
- Advertising is any form of nonpersonal, paid communication in which the sponsor or company is
identified
- The two major types of advertising are institutional advertising and product advertising
- Institutional advertising is not product oriented; rather, its purpose is to foster a positive company
image among the general public, investment community, customers, and employees
- Product advertising is designed mainly to promote goods and services, and it is classified into three
main categories; pioneering, competitive and comparative
- A produts plae in the product life cycle is a major determinant of the type of advertising used to
promote it
- Before any creative work can begin on an advertising campaign, it is important to determine what
goals or objectives the advertising should achieve
- The objectives of a specific advertising campaign often depend on the overall corporate objectives
and the product being advertised and are often determined using the DAGMAR approach (defining
advertising goals for measured advertising results)
- Once objectives are defied, reatie ork a egi (e.g. idetifig the produts eefits,
developing possible advertising appeals, evaluating and selecting the advertising appeals,
executing the advertising message, and evaluating the effectiveness of the campaign)
• What is public relations?
- Puli relatios is a ital part of a firs prootioal i
- A company fosters good publicity to enhance its image and promote its products
- Popular public relations tools include new-product publicity, product placement, consumer
education, sponsorship, and company Web sites
- An equally important aspect of public relations is managing unfavourable publicity in a way that is
least daagig to a firs iage
• What is sales promotion?
- Marketing managers can use sales promotion to increase the effectiveness of their promotional
efforts
- Sales promotion can target either trade or consumer markets
- Trade promotions may push a product through the distribution channel using sales contests,
premiums, POP displays, trade allowances, push money, training, free merchandise, store
demonstrations, and business meetings
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- Consumer promotions may push a product through the distribution channel using coupons,
rebates, premiums, loyalty marketing programs or frequent buyer programs, contests,
sweepstakes, sampling, and POP displays
- The biggest trend in sales promotion on both the trade and consumer sides has been the
increased use of the internet
• What are media schedules?
- After choosing the media for the advertising campaign, advertisers must schedule the ads
- A media schedule designates the medium or media to be used, the specific vehicles and the
insertion dates of the advertising
- There are four basic types of media schedules:
1. Continuous media schedule – allows the advertising to run steadily throughout the advertising
period
2. Flighted media schedule – the advertiser may schedule the ads heavily every one month or
every two weeks to achieve a greater impact with an increased frequency and reach at those
times
3. Pulsing media schedule – combines continuous scheduling with flighted scheduling
4. Seasonal media schedule – runs advertising only during times of the year when the product is
most likely to be used
- New product publicity – publicity is instrumental in introducing new products and services.
Publiit a help adertisers eplai hats differet aout their e produt proptig free
news stories or positive word of mouth about it. During the introductory period, an especially
innovative new product often needs more exposure than conventional, paid advertising affords.
- Product placement – a public relations strategy that involves getting a product, service, or
company name to appear in a movie, television show, radio program, magazine, newspaper, video
game, video or audio clip, book, or commercial for another product; on the internet; or at special
events
- Sponsorship – a public relations strategy in which a company spends money to support an issue,
cause, or event that is consistent with corporate objectives, such as improving brand awareness or
enhancing corporate image
- Experiential marketing – involves engaging with consumers in a way that enables then to feel the
brand – not just read about it.
- Company web sites – are used to introduce new products; provide information to the media,
including social media news releases; promote existing products; obtain customer feedback;
communicate legislative and regulatory information; showcase upcoming events; provide links to
related sites, release financial information; interact with customers and potential customers; and
perform many more marketing activities.
- Crisis management – a coordinated effort to handle all the effects of unfavourable publicity or
another unexpected unfavourable event
• What are the media selection considerations?
- An important element in any advertising campaign is the media mix, the combination of media to
be used
- Media mix decisions are typically based on several factors: cost per contact, cost per click, reach,
frequency, target audience considerations, flexibility of the medium, noise level, and the life span
of the medium
Definitions
Major Types of Advertising
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Document Summary
An impersonal, one-way mass communication about a product or organisation that is paid for by a marketer. Advertising helps marketers increase or maintain brand awareness and, subsequently, market share. Typically, more is spent to advertise new brands with a small market share than to advertise older brands. Brands with a large market share use advertising mainly to maintain their share of the market. Advertising affects consumers(cid:859) dail(cid:455) li(cid:448)es as (cid:449)ell as their pur(cid:272)hases. Although advertising can seldom change strongly held consumer attitudes and values, it may tra(cid:374)sfor(cid:373) a (cid:272)o(cid:374)su(cid:373)er(cid:859)s (cid:374)egati(cid:448)e attitude to(cid:449)ard a produ(cid:272)t i(cid:374)to a positi(cid:448)e o(cid:374)e. Finally, advertising can also change the importa(cid:374)(cid:272)e of a (cid:271)ra(cid:374)d(cid:859)s attri(cid:271)utes to (cid:272)o(cid:374)su(cid:373)ers. By emphasizing different brand attributes, advertisers can change their appeal in response to (cid:272)o(cid:374)su(cid:373)ers(cid:859) (cid:272)ha(cid:374)gi(cid:374)g (cid:374)eeds or tr(cid:455) to a(cid:272)hie(cid:448)e a(cid:374) ad(cid:448)a(cid:374)tage o(cid:448)er (cid:272)o(cid:373)peti(cid:374)g (cid:271)ra(cid:374)ds. Advertising is any form of nonpersonal, paid communication in which the sponsor or company is identified.
