Marketing Lecture Slides (Chapters 14 - 20)
The 5 M's of Advertising: Mission
- Sales goals - Advertising objectives
Developing and Managing an Advertising Program
- Setting the advertising objectives - Deciding on the advertising budget - Developing the advertising campaign - Choosing media - Evaluating advertising effectiveness
Assessing Competitors: Competitors' Strategies (1 Thing)
- Strategic group offers the strongest competition
Benefits of Direct and Digital Marketing—Sellers
- Tool to build customer relationships - Low-cost, efficient, fast alternative to reach markets - Flexible - Access to buyers not reachable through other channels
Assessing Competitors: Competitors' strengths and weaknesses (2 Things)
- What can our competitors do? - Benchmarking
Identifying the Target Audience (Steps in Developing Effective Marketing Communication)
- What will be said - How it will be said - When it will be said - Where it will be said - Who will say it
Assessing Competitors: Estimating Competitors' Reactions (1 Thing)
- What will our competitors do?
Choosing Communication Channels and Media: Buzz Marketing (Steps in Developing Effective Marketing Communication)
Buzz marketing involves cultivating opinion leaders and getting them to spread information about a product or service to others in their communities
Developing Advertising Strategy: Impact
Impact is the qualitative value of a message exposure through a given medium.
Major Sales Promotion Tools: Point-of-purchase promotions
Include displays and demonstrations that take place at the point of sale
Expanded Roles of Public Relations: Investor relations
Investor Relations - report on the Health of the Company
Choosing Communication Channels and Media: Personal communication (Steps in Developing Effective Marketing Communication)
Involves two or more people communicating directly with each other: - Face-to-face - Phone - Mail or email - Texting or internet chat
Expanded Roles of Public Relations: Lobbying
Lobbying - Political Involvement
Marketing in the Digital Age: Online Marketing
Marketing via the internet using company websites, online ads and promotions, email, online video, and blogs.
Choosing Communication Channels and Media: Nonpersonal Communication (Steps in Developing Effective Marketing Communication)
Nonpersonal communication channels are media that carry messages without personal contact or feedback, including major media, atmospheres, and events
Designed Sales Force Strategy and Structure: Inside sales force
Salespeople who conduct business from their offices via telephone, online and social media interactions, or visits from prospective buyers.
Designed Sales Force Strategy and Structure: Outside sales force (field sales force)
Salespeople who travel to call on customers in the field.
Selecting specific media vehicles + 3 Considerations that must be made (Selecting Advertising Media)
Selecting specific media vehicles involves decisions presenting the message effectively and efficiently to the target customer and must consider the message's: - Impact - Effectiveness - Cost
Marketing in the Digital Age: Email Marketing
Sending highly targeted, highly personalized, relationship-building marketing messages via email.
Sales promotion
Short-term incentives to encourage the purchase or sale of a product or service
Setting the Promotional Budget: Affordable Method
The affordable method sets the promotion budget at the level management thinks the company can afford.
Setting the Promotional Budget: Competitive-Parity Method
The competitive-parity method sets the promotion budget to match competitors' outlays.
Marketing in the Digital Age: Viral Marketing
The digital version of word-of-mouth marketing: videos, ads, and other marketing content that is so infectious that customers will seek it out or pass it along to friends.
Major Advertising Decisions
objectives setting --> budget decisions --> [message decisions + media decisions] --> advertising evaluation
Major Sales Promotion Tools: Premiums
Goods offered either for free or at a low price
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*Chapter 14*
*Chapter 14*
*Chapter 15*
*Chapter 15*
*Chapter 16*
*Chapter 16*
*Chapter 17*
*Chapter 17*
*Chapter 18*
*Chapter 18*
Public Policy Issues in Direct and Digital Marketing (5 Things)
- *Irritation* includes annoying and offending customers. - *Unfairness* includes taking unfair advantage of impulsive or less-sophisticated buyers. - *Deception* includes "heat merchants" who design mailers and write copy designed to mislead consumers. - *Fraud* includes identity theft and financial scams. - *Consumer privacy* involves concerns that marketers may have too much information and use it to take unfair advantage.
Designing a Message (Steps in Developing Effective Marketing Communication)
- *Message content* is "what to say." - *Message structure* and format is "how to say it." - Message format: To attract attention, advertisers can use novelty and contrast, eye-catching images and headlines, and distinctive formats, as shown in this Reese's ad
Message Contact - "What to say" (Steps in Developing Effective Marketing Communication)
- *Rational appeal* relates to the audience's self-interest - *Emotional appeal* is an attempt to stir up positive or negative emotions to motivate a purchase - *Moral appeal* is directed to an audience's sense of what is right and proper
Competitors can include... (3 Things)
- All firms making the same product or class of products - All firms making products that supply the same service - All firms competing for the same consumer dollars
Examples of Advertising
- Broadcast - Print - Online - Mobile - Outdoor
The 5 M's of Advertising: Measurement
- Communication Impact - Sales impact
The New Marketing Communications Model
- Consumers are changing - Marketing strategies are changing - Advances in digital technology Marketers are shifting away from old-media mainstays to online, social, and mobile media
Benefits of Direct and Digital Marketing to Buyers and Sellers
- Convenience - Ready access to many products - Access to comparative information about companies, products, and competitors - Interactive and immediate
The major steps in advertising media selection are...
- Determining reach, frequency, impact, and engagement - Choosing among major media types - Selecting specific media vehicles - Choosing media timing
Major Tools for Trade Promotions
- Discount - Allowance - Free goods - Specialty Advertising
Examples of Sales Promotion
- Discounts - Coupons - Displays - Demonstrations
Forms of Traditional Direct Marketing
- Face-to-face selling - Direct-mail marketing - Catalog marketing - Telemarketing - Direct-response TV marketing - Kiosk marketing
Public Policy LEGISLATION ADDRESSING THE ISSUES in Direct and Digital Marketing
- General Data Protection Regulation (GDPR) - Children's Online Privacy Protection Act (COPPA)
Steps in Developing Effective Marketing Communication
- Identify the target audience - Determine the communication objectives - Design the message - Choose the media to send the message - Select the message source and collect feedback
*Benefits* of web-based catalogs
- Lower cost than printed catalogues - Unlimited amount of merchandise - Real-time merchandising - Interactive content - Promotional features
Advertising Appeals must be three things:
- Meaningful - Believable - Distinctive
The 5 M's of Advertising: Message
- Message generation - Message evaluation and selection - Message execution - Social-responsibility review
Public Relations: PR Tools
- News - Speeches - Special events - Written materials - Corporate identity materials - Public service activities - Buzz marketing - Social networking - Internet
Forms of Digital and Social Media Marketing
- Online marketing (websites, online advertising, email, online videos, blogs) - Social media marketing - Mobile marketing
Direct Mail Marketing Advantages
- Personalized - Easy-to-measure results - Costs more than mass media - Provides better results than mass media
Rapid Growth of Sales Promotion is due to...
- Product managers are under pressure to increase current sales. - Companies face more competition. - Competing brands offer less differentiation. - Advertising efficiency has declined due to rising costs, clutter, and legal constraints. - Consumers have become more deal-oriented.
Assessing Competitors: Competitors' Objectives (5 Things)
- Profitability - Market share growth - Cash flow - Technological leadership - Service leadership
The 5 M's of Advertising: Media
- Reach, frequency, impact - Major media types - Specific media vehicles - Media timing - Geographical media allocation
*Challenges* of web-based catalogues
- Require marketing - Difficulties in attracting new customers
Message Execution Styles
- slice of life - lifestyle - fantasy - mood/image - musical - personality symbol - technical expertise - scientific evidence - testimonial endorsement
Developing the Advertising Campaign: Legal and Social Issues
1. Advertisers must not make false claims 2. Must not use false demonstrations 3. Must not create ads with the capacity to deceive 4. Must avoid bait-and-switch advertising
Steps in Analyzing Competitors
1. Identifying the company's competitors 2. Assessing competitors' objectives, strategies, strengths and weaknesses, and reaction patterns 3. Selecting which competitors to attack or avoid
Characteristics of Relationship Selling (vs Transactional) Hint: there are 14 :(
1. Long Term View - Approach 2. Sincere Desire to Help Client be Successful 3. Knowledge of Client Business, Industry and Environment 4. Many Touchpoints within the Client Organization 5. Understanding Business Needs / Problems 6. Customization of Solutions 7. Innovation - New Ideas, What if 8. Adaptability 9. Team Selling - Engineering / Research 10. Involve Customer - Integrate into Client Business 11. Shared Risk and Reward 12. Added Value Services 13. Making Money - Many Different Ways (Handshake) 14. Win - Win
The 5 M's of Advertising
1. Mission 2. Money 3. Message 4. Media 5. Measurement
The Personal Selling Process
1. Prospecting and Qualifying 2. Preapproach 3. Approach 4. Presentation and Demonstration 5. Handling Objections 6. Closing 7. Follow-up
Social Media Marketing *Advantages*
1. Targeted and personal 2. Interactive 3. Immediate and timely 4. Real-time marketing 5. Cost-effective 6. Engagement and social sharing capabilities
Social Media Marketing *Challenges*
1. User controlled 2. Brands need to earn the right to be there 3. Even a seemingly harmless social media campaign can backfire
ADDD THE *****Creating the Advertising Message and Brand Content********
ADDD THE *****Creating the Advertising Message and Brand Content********
Designing a Message
AIDA Model: Get *A*ttention Hold *I*nterest Arouse *D*esire Obtain *A*ction
Advertising Strategy Consists of...
Advertising strategy is the strategy by which the company accomplishes its advertising objectives and consists of: - Creating advertising messages - Selecting advertising media
Marketing in the Digital Age: Online Advertising
Advertising that appears while consumers are browsing online and includes display ads, search-related ads, online classifieds, and other forms.
IMC Content Marketing (Part of the New Marketing Communications Model)
As the lines are rapidly blurring between traditional advertising and new digital content, many marketers now view themselves more broadly as content marketing managers who create, inspire, share, and curate marketing content—both their own and that created by consumers and others
Integrated Marketing Communications - The Promotional Mix
Carefully blended mix of promotional tools: - Advertising - Personal Selling - Public Relations - Direct and Digital Marketing - Sales Promotion "In the middle" of all of those: - Consistent, clear, and compelling company brand messages
Push versus Pull Promotion Strategy: PULL STRATEGY STRUCTURE
Circular... Producer --> Customers --> Retailers and Wholesalers --> Producer...
Collecting Feedback (Steps in Developing Effective Marketing Communication)
Collecting feedback involves the communicator understanding the effect on the target audience by measuring behavior resulting from the content.
Major Sales Promotion Tools: Event marketing or event sponsorship
Creating a brand-marketing event or serving as a sole or participating sponsor of events created by others.
Expanded Roles of Public Relations: Development
Development - Non-profits
Marketing in the Digital Age: Marketing Websites
Engage consumers to move them closer to a direct purchase or other marketing outcome.
Developing Advertising Strategy: Engagement
Engagement is a measure of things such as ratings, readership, listenership, and click-through rates.
Direct and digital marketing
Engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships.
The 5 M's of Advertising: Money
Factors to consider: - Stage in PLC - Market share and consumer base - Competition and clutter - Advertising frequency - Product substitutability
Developing Advertising Strategy: Frequency
Frequency is a measure of how many times the average person in the target market is exposed to the message.
Major Sales Promotion Tools: Contests, sweepstakes, and games
Gives consumers the chance to win something—such as cash, trips, or goods—by luck or through extra effort: - Contests require an entry by a consumer. - Sweepstakes require consumers to submit their names for a drawing. - Games present consumers with something that may or may not help them win a prize.
Marketing in the Digital Age: Blogs
Online journals where people and companies post their thoughts and other content, usually related to narrowly defined topics.
Choosing Communication Channels and Media: Opinion Leaders (Steps in Developing Effective Marketing Communication)
Opinion leaders are people whose opinions are sought by others
Marketing in the Digital Age: Online Video
Posting digital video content on brand websites or social media sites such as YouTube, Facebook, and others.
Marketing in the Digital Age: Branded Community Websites
Present brand content that engages consumers and creates customer community around a brand.
Expanded Roles of Public Relations: Press relations or press agency
Press relations or press agency involves the creation and placing of newsworthy information to attract attention to a person, product, or service.
Push versus Pull Promotion Strategy: PUSH STRATEGY STRUCTURE
Producer --> Retailers and Wholesalers --> Consumers
Expanded Roles of Public Relations: Product publicity
Product publicity involves publicizing specific products.
Expanded Roles of Public Relations: Public affairs
Public affairs involves building and maintaining national or local community relations.
Developing Advertising Strategy: Reach
Reach is a measure of the percentage of people in the target market who are exposed to the ad campaign during a given period of time.
The Nature of Personal Selling: Salespeople
Salespeople are an effective link between the company and its customers to produce customer value and company profit by: - Representing the company to customers - Representing customers to the company - Working closely with marketing
Selecting the Message Source (Steps in Developing Effective Marketing Communication)
The message's impact depends on how the target audience views the communicator. Celebrities - Athletes - Entertainers Professionals - Health-care providers
Setting the Promotional Budget: Objective-and-Task Method
The objective-and-task method develops the promotion budget by specific promotion objectives and the costs of tasks needed to achieve these objectives.
Setting the Promotional Budget: Percentage-of-Sales Method
The percentage-of-sales method sets the promotion budget at a certain percentage of current or forecasted sales or as a percentage of the unit sales price.
TRUE or FALSE: "The New Direct Marketing Model" means that for many companies today, direct and digital marketing constitute a complete model for doing business.
True
Marketing in the Digital Age: Spam
Unsolicited, unwanted commercial email messages.
Major Sales Promotion Tools: Advertising Specialties
Useful articles imprinted with the advertiser's name, logo, or message that are given as gifts to consumer
Designed Sales Force Strategy and Structure: Team Selling
Using teams of people from sales, marketing, engineering, finance, technical support, and even upper management to service large, complex accounts.
Deciding on media timing (Selecting Advertising Media)
When deciding on media timing, the planner must consider: - Seasonality - Real time responses
Message Execution also Includes: ... (Creating the Advertising Message and Brand Content)
a.) Tone: - Positive or negative b.) Attention-getting words c.) Format: - Illustration - Headline - Copy
