Adv Mangement
Adv Mangement
Adv Mangement
Advertising Management
In addition to advertising agencies, there are other closely associated types of firms, including:
Media service companies, which negotiate and purchase media packages (called
media buys) for companies.
Direct marketing agencies that handle every aspect of a direct marketing
campaign, either through telephone orders (800 numbers), Internet programs, or by
direct mail.
Consumer promotions or trade promotions agencies.
Public relations firms are experts in helping companies and individuals develop
positive public images, and are also called in for damage control when negative
publicity arises.
A recent trend in the advertising industry is that some agencies are getting larger by
purchasing smaller firms.
The decision to retain an advertising agency is largely based on the belief that the agency can
provide services and assistance that will give the client firm an advantage in the marketplace.
Choosing an Agency
Choosing the advertising agency that best suits a company requires careful planning. The steps
of choosing an agency, ash displayed in Figure 5.5, are described next.
Goal-Setting
Before any contact is made with an advertising agency, it is important to identify and prioritize
various corporate goals. Clear goals help ensure a good fit between the company and the
agency which is eventually chosen.
Selection Criteria
Even firms that have experience in selecting agencies must establish the process and criteria in
advance. The objective is to reduce biases that may enter into the decision process. Common
selection criteria, as shown in Figure 5.6 include:
1.
Agency size, especially as it compares to the size of the company hiring the
agency.
2.
Relevant experience in an industry is a second evaluation criterion that
companies use.
3.
No conflicts of interest.
4.
The initial screening process should include an investigation into each
agency's creative reputation and capabilities.
5.
Production capabilities and media purchasing capabilities of the agencies. In
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6.
Reference Requests
Once the initial screening has been completed, it is time to request references from those
agencies that are still in the running for the contract.
Discovering an agency's client retention rate helps reveal how effective they have been in
working with various clients.
Background checks also provide useful information. This can be accomplished by:
Finding firms that have dealt with each agency.
Talking to media agents who sell media time to gain insight into how an agency
buys time and how it deals with customers.
Contacting companies that have formed contracts with individual agencies for
production facilities.
Creative Pitch
The agency should be willing to provide a formal presentation (shootout) addressing a specific
problem, situation, or set of questions.
These presentations reveal how each agency would deal with specific issues, which arise as a
campaign is prepared and helps client companies to be certain the agency uses tactics and
methods that are acceptable.
Figure 5.7 lists some key do's and don'ts associated with the creative pitch.
Agency Selection
Chemistry may be a factor in the choice. It can be assessed as members of the advertising
agency meet with members of the marketing department.
A heavy hitter is a member of the advertising agency whose primary task is to close the deal.
The final step of the process is to make the choice and to notify all finalists of the decision.
When the process has been completed, the agency and the company work together to prepare
the advertising campaign.
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1.
2.
3.
4.
5.
A creative should know the target audience. The more detail that is known about the target
audience, the easier it is for a creative to design an advertisement that will be effective.
Target market profiles that are too general are not very helpful.
The Message Theme
The message theme is an outline of key idea(s) that the advertising program is supposed to
convey.
The message theme is the benefit or promise the advertiser wants to use to reach consumers or
businesses.
Message themes can be oriented toward either rational or emotional processes. A left-brained
ad is oriented toward the logical, rational side, which manages information such as numbers,
letters, words, and concepts. Left-brained advertising is logical and factual. A right-brained ad
deals with emotions and works with abstract ideas, images, and feelings.
The Support
Support takes the form of the facts, which substantiate the message theme.
The Constraints
Constraints deal with legal and mandatory restrictions for ads, or company imposed
requirements. They include:
Legal protection for trademarks, logos, and copy registrations.
Disclaimers about warranties, in which the disclaimer specifies the conditions
under which they will be honored.
Disclaimers about offers spell out the terms of financing agreements, as well as
when bonuses or discounts apply.
Disclaimers about claims identify the exact nature of the statement made in the
advertisement.
International Implications
There are two main differences in international advertising campaign management.
First, while the processes may be similar, the availability of high quality agencies may be
limited in some countries.
Second, the campaign must be adapted to the culture and customs of each country.
(Note to professors -- these materials are not in the text. They provide a method for
you to summarize the chapter in a different way)
The agency should study the client's paperwork. It will help in designing ads and IMC
programs. This includes:
Mission statements
Goals
Past history (through magazine articles, minutes of meetings, etc.)
Past advertisements and other marketing activities
Advertisements of the competition
The agency should carefully match the pitch used to gain new clients with the needs and
identities of prospective firms.
The agency should be aware of the relative advantages an external advertising agency holds
over in-house programs.
Agencies should remember the selection criteria companies use in the selection of advertising
agencies. The agency should solicit client companies where they have a built-in advantage,
because your agency has the characteristics a company is seeking. The company should, in
return, make certain they are being clear about what they are looking for in an agency.
The agency should build the capacity to provide as many marketing activities as possible. If
the company cannot provide them directly, work diligently to construct a list of freelancers
who are partner organizations, so that the firm can serve as a quality contact point for all types
of marketing efforts, including:
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REVIEW QUESTIONS
1.
2.
Define advertising management. What are the four main steps involved?
An advertising management program is the process of preparing and integrating a
company's advertising efforts with the overall IMC messages. The four main steps are:
1. Review the company's activities in light of advertising management.
2. Select an in-house or external advertising agency.
3. Develop an advertising campaign management strategy.
4. Complete a Creative Brief.
3.
What is the relationship between advertising and the overall IMC process?
Advertising is a key (but not only) part of the IMC process, which fits in with other
product, price, promotional, and distribution efforts. Together, all of these activities
form the basis for communicating with individual consumers and business customers,
with advertising playing a central role. Advertising should provide a clear, coherent
message to the consumer.
4.
5.
6.
Besides advertising agencies, what other types of organizations play roles in the
communication process?
The other organizations include:
Media service companies who negotiate and purchase media packages (called
media buys) for companies.
Direct marketing agencies that handle every aspect of a direct marketing
campaign, either through telephone orders (800 numbers), Internet programs, or by
direct mail.
Sales promotions or trade promotions agencies.
Public relations firms that are experts in helping companies and individuals
develop positive public images, and are also called in for damage control when
negative publicity arises.
7.
8.
9.
10.
Describe the roles of general planning input, product specific research, and
qualitative research play in the development of an advertising campaign.
General pre-planning input is reading up on the client organization, on the Web, in
magazines, and looking at the product.
Product specific research is undertaken to make sure there are no major problems with
the product.
The major selling idea must be created.
Qualitative research assists in creating the best possible message using anthropology
sociology, and psychology.
11.
What three academic disciplines can play a role in advertising research? What
unique contribution does each discipline make to understanding consumers and
the marketplace?
The three are: (1) anthropology, which focuses on direct observations of product use;
(2) sociology, which examines social class, trends, cohorts, and family life cycles; and
(3) psychology, which concentrates on motivation, cognition, and learning. The values
and life style (VALS) model looks at purchases based on life style. The personal drive
analysis (PDA) looks at individual psychological drives.
12.
13.
14.
15.
2.
The milk industry used the deprivation approach to remind people not to forget
milk. For what other products could the deprivation model be used? Pick one of
the products that you have identified and discuss how you would use the
deprivation model to advertise the product.
Answers could vary but centred around Fast Moving Consumer Goods (FMCG) e.g.
Special K Kellogs. Other examples include the Australian campaign of not forgetting
to eat your 5 fruits and 3 vegetables.
4.
5.
respondent sampling and recruitment, and meters and diaries. How can you use
such information to determine which television program a marketer would need
to use to target teenagers living in your local area?
For example on the 26th March 2009, AC Nielsen had an interesting research story
titled Does One Brand Strategy Fit All Channels? by Shan Xifaras Associate
Director, ACNielsen Australia. Gathering such information is important for a
marketer, likewise get some information about TV and Newspaper rating and decide
how such information is important in the decision-making of a marketers in terms of
which channel to use.
2.
3.
Answers will vary depending on what information is available at the time the Web site
is accessed. Students should relate the information to advertising and to the
development of an integrated marketing campaign.
4.
Many advertisers tend to direct ads toward the right side of the brain and
develop advertisements based entirely on emotions, images, and pictures. Auto
parts and tools are often advertised with a scantily clad female in a bikini or
shorts to attract the attention of males. The female has nothing to do with the
product, but does garner attention. The rationale for using a sexy female is that if
consumers like her, they will like the product and then purchase that brand.
Effective advertisements integrate elements from both the left side of the brain as
well as the right. They contain elements that appeal to emotions as well as having
rational arguments. A laundry detergent may be advertised as having the
rational benefit of getting clothes cleaner but also contain the emotional promise
that your mother-in-law will think more favorably about you. For each of the
following Internet sites, discuss the balance of left-brain versus right-brain
advertising appeal.
a. Pier 1 Imports (http://www.pier1.com)
b. Pig O' My Hear Potbellies (http://www.potbellypigs.com)
c. Dark Dog (http://www.darkdog.com)
e. Discount Cheerleading.com (http://www.discountcheerleading.com)
f. Backcountry.com (http://www.backcountry.com)
Answers will vary depending on the design of the Web site when it is accessed.
5.
You have been asked to select an advertising agency to handle an account for
Red Lobster, a national restaurant chain. Your advertising budget will be $30
million. Study each of the Web sites for each of the following advertising
agencies. Follow the selection steps outlined in the chapter. Narrow the list down
to two agencies and justify the decision. Then choose between the two agencies.
Justify choice.
a. DDB Worldwide (http://www.ddb.com)
b. Leo Burnett (http://www.leoburnett.com)
c. BBDO Worldwide (http://www.bbdo.com)
d. BADJAR Advertising Pty Lfg (http://www.badjar.com)
e. Anderson Lucas Advertising (http://www.aladv.com)
f. Grey Advertising (http://www.grey.com)
g. Bozell Advertising (http://www.bozell.com)
Answers will vary.
6.
an agency. First, the agency must have the capability of developing a strong
brand name. Second, the agency must be able to help with business-to-business
marketing in order to place the jeans into retail stores. Access Atlanta Ad
Agencies at http://www.AtlantaAdAgencies.com. Follow the steps outlined in the
chapter to narrow the list down to three agencies. Then design a project for each
agency to prepare as part of an oral and written presentation to the company's
marketing team.
Student answers will vary. The students should follow the appropriate procedures in
selecting an agency. The steps are:
1. Identify and prioritize corporate goals. Develop agency selection process and
criteria.
2. Initially screen firms based on credentials, size, capabilities, relevant experience,
and conflict of interests.
3. Request client references.
4. Perform background checks with other firms and media agents.
5. Request written and oral presentations.
6. Meet creatives, media buyers, account executives and other personnel that will
work with the account.
Objective:
Target Audience:
1.
You are the account executive at the advertising agency that is handling the
Minute Maid Orange launch. Discuss the creative brief in terms of completeness
of the information provided and whether the objective is realistic. What
additional information should the company provide before the creatives can
begin working on the account?
The creative brief is a document that creatives work with as they prepare the
advertisements. This document consists of the: objective, target audience, message
theme, the support and the constraint. The Minute Maid marketers have provided three
elements of the creative brief, the missing ones that the creative need to discuss are the
support for the advertisement and any constraint.
2.
The media planner for the Minute Maid account suggests a media plan
consisting of cable television, print advertising, online ads, and network
advertising on shows such as 24, Lost, The Simpsons, and CSI Miami. Evaluate
this media plan in light of the creative briefs objectives (see question 1). Do you
think these shows will reach the target audience? What information will the
creative staff and the account executive need from the media planner before
starting work on actual commercials?
The first step in preparing the creative brief or strategy is to identify the objective of
the advertisement. Of the most common advertising objectives include: building and
increasing brand awareness, building brand image, increasing customer traffic,
increasing retailer or wholesaler orders, responding to inquiries from end users and
channel members and providing information. Coca-Cola is trying to corner the Sri
Lankan market by offering a fruit juice to consumers who are looking for a juice
beverage instead of carbonated soft drinks. According to Dusty Alahakoon, marketing
manager for Coca-Cola in Sri Lanka, they are seeking a 25-percent market share in the
first year. The company plans to reach 180,000 consumers with Minute Maid Orange
the first month after its introduction. Hence the key objectives for the brand in this
initial entry stage should be on building and increasing brand awareness and building a
likeable and strong brand image. Target audiences include the wellness market,
which includes health conscious Sri Lankans who seek natural food products, and the
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marketers need to investigate the audience for programs like 24, Lost, The Simpsons
and CSI Miami in Sri Lanka. The information that the creative staff needs from the
media planner is the likely media types that Minute Maid will use to run the campaign.
3.
From the viewpoint of the creative assigned to this account, do the creative brief
and the media plan (see questions 1 and 2) contain sufficient information to
design a series of advertisements? In your opinion, what additional information
is necessary?
As mentioned in Answer 1 the information that has not been provided is the: support
and constraints. This information would help in designing the advertisement.
4.
5.
Choose a familiar good, such as the Mac 3 by Gillette, a service, such as Welcare
Hospitals in Dubai, and a retailer such as Tesco. Using the information in this
chapter, prepare a creative brief for each.
A. Refer to the concept of the creative brief in the chapter and design these.
CASES
Case 1
1.
Advertising Stew
Should Luis look to hire an external advertising agency or perform most of the
tasks in-house? Why?
Student answers will vary. If he does the work in-house he will have more money to
spend on media; however, the expertise of an outside agency would be a key
advantage.
2.
3.
4.
Design a creative brief for the upcoming Dinty Moore advertising campaign.
Student approaches will vary.
5.
Case 2
1.
face strategy?
Answers could vary depending on the region where these programs are being watched.
Global and common reality programs include: Survivor, American Idol, Amazing
Race and Britains Got Talent. Answers would include products such as Coca-Cola
for American Idol, Speedo for Survivor, and destinations featured in Amazing Race.
2.
3.
Observe some video games that feature advertisements. What types of products
and brands are typically featured? Does this communication method target a
certain demographic group? Discuss.
Could include the games like FIFA 2009 that advertise Carlsberg on the Liverpool
guernsey. Early examples of in-game advertising were static. Some of these consisted
of virtual billboards, whereas others could be considered in-game product placement.
These advertisements were placed directly into the game by artists or programmers
and could not be changed later. Examples of in-game advertising of third party
products include the sponsorship of the Zool series by Chupa Chups, leading to
various displays of the Chupa Chups product and brand in the game, including a series
of levels set in a Sweet world . Another early example of in-game advertising can be
seen in the FIFA International Soccer series, with commercial billboard
advertisements featured in-game since 1994.
4.
Make a list of other types of products and/or brands that can use these new
methods of communication as part of their overall IMC strategy. Why do you
think they could be successful in using this approach?
Products consumed by teenagers and tweenies who are heavy users of video gaming.
These product may include fast-food, sports- wear such as Reebok, Nike and Adidas,
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movies like the Harry Potter series, High-School Musical and Hannah Montana.
Bonus Case
DOGGIE DIP AND DO
Darla Domke had always been an animal lover. Early in life Darla wanted to become a
veterinarian, but unfortunately she found the science classes a little too challenging. Still,
she wanted to work with pets, especially dogs, if at all possible. Eventually an idea came
to her, a new business called Doggie Dip and Do.
Doggie Dip and Do is a full-service dog shelter. An owner can have a dogs hair
groomed and nails trimmed; in the summertime, the dog can be dipped in a solution that
provides flea and tick protection. The shelter also offers a dog kennel for owners who are
on vacation or out of town. Inside the store various dog products are sold, including
foods, medicines, collars, chewing bones, and other treats.
Darlas main worry was consumer awareness. Her store is located in a convenient
shopping plaza on the outskirts of Atlanta, Georgia. There are clearly enough potential
customers in the Atlanta area to support her business, but they need to know about all of
the products and services that Doggie Dip and Do offers.
There were other challenges. Another issue was finding ways to reach potential
Doggie Dip and Do customers efficiently. Clearly a large number of people in the Atlanta
area owned dogs, and many knew what a doggie dip was. Still, how could she steer
them to her retail outlet?
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Darla believed it would be worth her while to spend $40,000 on advertising in the
first year. She took out a loan to help finance what she thought of as start-up advertising
expenses. Her first thought was to simply hire a television station to create ads. After
visiting with a local marketing professor, she decided it would be better to spend money
on several media. Her choices were to try to figure out an advertising campaign on her
own or hire a local advertising agency. Clearly money was the biggest obstacle.
Darla decided her ads should emphasize her love for animals. Customers should
believe they were going to find quality dog products and be greeted by employees who
genuinely care about the dog as well as the pets owner.
1.
2.
Should Darla focus on television ads, or are there additional choices? What are
they?
Student answers will vary. Dog owners have both general media habits like television,
but there may also be more specialized places such as pet owner magazines.
3.
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