Chapter 15 Advertising, Sales Promotion, And Personal Selling
The AIDA Model
AIDA Model: A common model of the series of mental stages through which
consumers move as a result of marketing communications: awareness leads
to interest, which leads to desire, which leads to action. (Also known as the
“think, feel, do” model.)
Brand awareness refers to a potential customer’s ability to recognize, or
recall that the brand name is a particular type of retailer g/s. It is the
strength of the link between the brand name and the type of g/s in the minds
There are a number of awareness metrics:
o Aided recall: Occurs when consumers recognize the brand when its
name is presented to them.
o Top-of-Mind awareness: A prominent place in people’s memories
that triggers a response without them having to put any thought into
High top-of-mind awareness means that a particular brand will
probably be carefully considered when customers decide to
shop for that g/s.
Firms build top of mind awareness by having memorable names;
repeatedly exposing their name customers through advertising,
locations, and sponsorships; and using memorable symbols.
Once the consumer is aware that the company or product exists,
communication must work to increase his interest level. Consumers must be
persuaded that a product is worth investigating.
Marketers do so by ensuring that the ad’s message includes attributes that
are of interest to the target audience.
After the message has gotten the consumers attention, the messages should
move the consumer from liking it to wanting it.
If the message has caught the consumer’s attention and made them
interested enough to consider that product as a means to satisfy a specific
desire of theirs, they likely will act on that interest by making a purchase.
This step-by-step process works well with expensive, high involvement
products. The consumer decision process is more complex for specialty and
shopping products. The Lagged Effect
Lagged effect: a delayed response to a marketing communication campaign.
It generally takes several exposures to an ad before a consumer fully
processes its message.
First, advertising is not free; someone has paid, with money, trade, or other
means to get the message shown.
Second, advertising must be carried by some medium: television, radio,
newspaper, the Internet, sidewalk, and so on.
Third, legally the source of the message must be known or knowable.
Fourth, advertising represents a persuasive form of communication,
designed to get the consumer to take action.
In order to get your attention, advertisers use creativity and a mix of
promotional elements that offer better opportunities to reach their target
All advertising campaigns aim to achieve certain objectives: to inform,
persuade, and remind customers.
Informative advertising: communicates to create and build brand
awareness, with the ultimate goal of moving the consumer through the
buying cycle to a purchase.
It helps determine some important early stages of a product’s life cycle
particularly when consumers have little information about the type of
Retailers use this type of advertising to tell their customers about upcoming
sale events or the arrival of new merchandise.
Persuasive advertising: Communication used to motivate consumers to
Generally occurs in the growth and early maturity stages of the PLC, when
competition is most intense, and attempts to accelerate the market’s
acceptance of the product.
In later stages of PLC, it may be used to reposition an established brand by
persuading consumers to change their existing perception of the advertised
Firms often use persuasive advertising to convince consumers to take action:
switch brands, try a new product, or even continue to buy an advertised
Reminder advertising: communication used to remind consumers of a
product or to prompt repurchases, especially for products that have gained
market acceptance and are in the maturity stage of their life cycle. Focus of Advertisement
Product focused advertisement: used to inform, persuade, and remind
consumers about a specific product or service.
Institutional advertisements: Used to inform, persuade, and remind
consumers about issues related to places, politics, and industry, or a
Public service announcements (PSA): advertising that focuses on public
welfare and generally is sponsored by non-profit institutions, civic groups,
religious organizations, trade associations, or political groups; a form of
Social marketing: The application of marketing principles to a social issue to
bring about attitudinal and behavioral change among the general public or a
specific population segment.
Regulatory And Ethical Issues In Advertising
In Canada, the regulation of advertising involves a complex mix of formal
laws and informal restrictions designed to protect consumers from deceptive
The primary federal agencies that regulate advertising activities are the
Competition Bureau, the Canadian Radio-television and Telecommunications
Commission (CRTC), the Food and Drug Act, and Advertising Standards
In addition to these agencies, marketers must adhere to other pieces of
legislation such as Consumer Packaging and Labeling Act and the Tobacco
Puffery: The legal exaggeration of praise, stopping just short of deception,
lavished on a product.
Stealth marketing: A strategy used to attract consumers that employs
promotional tactics that deliver a sales message in unconventional ways,
often without the target audience knowing that the message even has a
It can take many forms and use many different communication channels.
With new media, it can become extremely difficult for consumers to
determine whether they are viewing a promotional message or factual info.
Viral marketing: A marketing phenomenon that encourages people to pass
along a marketing message to other potential consumers.
Sales promotion are special incentives or excitement building programs that
encourage consumers to purchase a particular g/s, typically used in
conjunction with other advertising or personal selling programs. In the context of IMC campaigns, advertising generally creates awareness,
interest and desire, while the value in sales promotions is in closing the deal.
The tools of any sales promotion can be focused on either channel members,
such as wholesalers or retailers, or end user consumers.
When sales promotions are targeted at channel members, the marketer is
employing a push strategy; when it targets consumers themselves, it is using
a pull strategy.
Consumer Sales Promotions
Coupons: offers a discount on the price of specific items when they’re
o Manufacturers or retailers in issue coupons: newspapers, magazines,
freestanding inserts, on products, on shelves, at the cash register, over
the Internet, and by mail.
Deals: a type of short-term price reduction that can take several forms, such
as a “featured price,” a price lower than regular price; a “buy one, get one
free” offer; or a certain percentage more “free” offer contained in larger
o Deals encourage trial because they lower the risk for consumers by
reducing the cost of the good, but they can also alter perception of
Premiums: an item offered for free or at a bargain price to reward some type
of behavior, such as buying, sampling, or testing.
Contests: a brand-sponsored competition that requires some sort of skill or
Sweepstakes: a form of sales promotion that offer prizes based on a chance
drawing of entrants’ names. Do not require the entrant to complete a task
other than buy a ticket or fill out a form.
Sampling: offers potential customers the opportunity to try a g/s before they
make a buying decision.
Loyalty programs: specifically designed to retain customers by offering
premiums or other incentives to customers who make multiple purchases
Point-of-Purchase Displays: a merchandise display located at the point of
purchase, such as the checkout counter in a grocery store.
Rebates: refer to a particular type of price reduction.
Product placement: inclusion of a product in nontraditional situations, such
as in a scene in a movie or TV programs.
Trade Channel Sales Promotion
Discount and allowances: effective incentives used to maintain or increase
inventory levels in the distribution channel.
Cooperative advertising: helps to compensate trade channel members for
money they spend promoting products and encourage them to feature
products more often. Sales force training: because retailers have contact with end consumers and
are ultimately responsible for selling the products they carry, manufacturers
may offer to train the retailer’s sales staff. This training gives a company’s
sales force more in-depth product knowledge, which enhances their
confidence in the product and increases the likelihood of future sales.
Using Sales Promotion Tools
Marketers must be careful in their use of promotions, especially those that
focus on lowering prices. Depending on the item, consumers may stock up
when items are offered at a lower price, which simply shifts sales from the
future to now and thereby leads to short