MODULE 1-Advertising
MODULE 1-Advertising
MODULE 1-Advertising
Topic 1
Title : Introduction to Integrated Marketing Communication
Introduction :
Updates its coverage of IMC examples and fundamentals and continues to provide a
model of the marcom process that structures the text as well as provides a useful
framework for comprehending the strategic and tactical aspects of marketing
communications
Topic Objectives:
Topic Content:
IMC is a goal worth pursuing because using multiple communication tools in conjunction with one
another can produce greater results than tools used individually and in an uncoordinated fashion. There
is a synergistic effect of using multiple well-coordinated marcom tools. A study of Levi Strauss’ Dockers
khaki pants illustrated this value of synergy.
Using regression modeling and sales trajectories, researchers determined that the use of both TV and
print advertisements produced a synergistic effect on sales of pants that significantly added to the
individual effects of each advertising medium. Another study demonstrated that TV and online
advertising used in conjunction produced positive synergistic effects that were additional to each
medium’s individual effects. TV and online advertising used together produced more attention, more
positive thoughts, and higher message credibility than did the sum of the two media when used
individually.
Definitions of IMC
Consumers in Control
Outside-in approach: learn the media preferences and lifestyles of
customers/prospects to know the best contexts to reach them with
brand messages.
Reduced Dependence on Mass Media
Consumers are increasingly in control of their media choices for acquiring
information about brands.
Key Feature #2: Use Any Form of Relevant Contact. As carpenters, plumbers, and auto mechanics know,
some tools are more appropriate for a given task at hand. Similarly, a truly professional marketing
communicator selects the best tools (advertising, social media, publicity, etc.) for the job.
360-Degree Branding
Surround customers/prospects with the message, but not to the point of being
irritatingly present.
Key Feature #3: Speak with a Single Voice . Since the early origins of IMC, it was clear that marketing
communications must speak with a single voice. Coordination of messages and media is absolutely critical to
achieving a strong and unified brand image and moving consumers to action. Failure to closely coordinate all
communication elements can result in duplicated efforts or, worse, contradictory brand messages.
Consistently deliver the same unified message across all media channels on all
occasions.
Key Feature #4: Build Relationships Rather Than Engage in Flings . Successful marketing communication
requires building relationships between brands and their consumers/customers. A relationship is an enduring link
between a brand and its customers. Successful relationships between customers and brands lead to repeat
purchasing and, ideally, loyalty toward a brand.
Loyalty programs promote long-term relationships between customers and brands that
lead to customer retention.
Experiential marketing programs can create brand experiences that make positive and
lasting impressions on customers.
Key Element #5: Don’t Lose Focus of the Ultimate Objective: Affect Behavior
A final IMC feature is the goal of affecting the behavior of the target audience. This means that marketing
communications ultimately must do more than just influence brand awareness or enhance consumer attitudes
toward the brand. Instead, successful IMC requires that communication efforts be directed at encouraging
some form of behavioral response. The objective, in other words, is to move people to action.
The goal of IMC is to influence the target audience in such a way that the audience
engages in a specific desired behavior.
The effectiveness of an IMC program is judged by its success in terms of its ultimate
influence on behavior.
Advertising agencies, which traditionally have offered a greater breadth of services than do other
specialists, are well qualified to develop mass media advertising campaigns; most, however, do not also
have the ability nor scale to conduct direct-to-customer advertising, and even fewer have departments
for sales promotions, special events, and publicity campaigns. In the final analysis, although most
marketers consider themselves proponents of IMC, a major challenge facing brand marketers and their
agencies is assuring that all marcom tools used in a particular marketing execution are consistently
executed.
Positioning
A brand’s position represents the key feature, benefit, or image that it stands for in the consumer’s or
the target audience’s collective mind. Brand communicators and the marketing team in general must
decide on a brand positioning statement, which is the central idea that encapsulates a brand ’s meaning
and distinctiveness vis-a-vis competitive brands in the product category. It should be obvious that
positioning and targeting decisions go hand in hand: positioning decisions are made with respect to
intended targets, and targeting decisions are based on a clear idea of how brands are to be positioned
and distinguished from competitive offerings.
Setting Objectives
Marketing communicators’ decisions are grounded in the underlying objectives to be accomplished for a
brand. For example, whereas mass media advertising is ideally suited for creating consumer awareness
of a new or improved brand, point-of-purchase communications are perfect for influencing in-store
brand selection, and personal selling is unparalleled when it comes to informing B2B customers and
retailers about product improvements. The most important question to pose is this: “What is the
communications supposed to do or accomplish?” The choice of appropriate marketing communications
tools and media naturally flows from the answer to this key question.
Budgeting
Financial resources are budgeted to specific marcom elements to accomplish desired objectives.
Companies used different budgeting procedures in allocating funds to marketing communications
managers and other organizational units. At one extreme is top-down budgeting (TD), in which senior
management decides how much each subunit receives. At the other extreme is bottom-up budgeting
(BU), in which managers of subunits (such as at the product category level) determine how much is
needed to achieve their objectives; these amounts are then combined to establish the total marketing
budget. Most budgeting practices involve a combination of top-down and bottom-up budgeting (e.g., a
bottom-up/top-down process [BUTD] or a top-down/bottom-up process [TDBU]).
A Concluding Point
Mixing Elements
A fundamental issue confronting all companies is deciding exactly how to allocate resources among the
various marketing communications tools. For B2B companies, the mixture typically emphasizes, in the
following order of budgeting importance, direct mail, online marketing, trade shows, brand advertising,
and telemarketing. For consumer goods marketers, mixture decisions are, in many respects, more
complicated because greater options are available. The issue boils down in large part to a decision of
how much to allocate to advertising and to sales promotions. (Note: In keeping with practitioner
convention, the word promotion hereafter will be used interchangeably with sales promotion.) The
trend during the past two decades has been toward greater expenditures on promotions and fewer on
advertising.
Creating Messages
A second implementation decision is the creation of messages in the form of advertisements, publicity
releases, promotions, package designs, social media, and any other form of marcom message.
Subsequent chapters will address specific message issues relating to each marcom tool. Suffice it to say
at this point that systematic (versus ad hoc) decision making requires that message content be dictated
by the brand’s positioning strategy and aligned with the communications objective for the designated
target audience.
Selecting Media
Establishing Momentum
The word momentum refers to an object’s force or speed of movement—its impetus. A train has
momentum as it races down the tracks, a spacecraft has momentum as it is launched into orbit, a
hockey player has momentum when skating past the defensive opposition, a student has momentum
when making good progress on a term paper or when finished studying for an exam. Marketing
communications programs also have, or lack, momentum. Simply developing an advertising message,
creating a buzz-generating viral campaign, or releasing publicity is insufficient. The effectiveness of each
of these message forms requires both a sufficient amount of effort and continuity of that effort.
Marcom Outcomes
Based on our conceptual framework, the outcomes for a marcom program are twofold: (1) enhancing
brand equity and (2) affecting behavior. Figure 1.3 displays a double-headed arrow between these
outcomes, which signifies that each outcome can influence the other. For example, an ad campaign can
result in enhanced brand equity leading to trial behavior. Conversely, trial, via a free sample, may lead to
more positive brand perceptions and equity.
As established previously, a fundamental IMC principle is that marcom efforts must ultimately be
gauged by whether they affect behavior. Sales promotion is the marcom tool most capable of directly
affecting consumer behavior. However, excessive reliance on promotions can injure a brand’s
reputation by creating a
low-price and perhaps low-quality image. It is for this reason that marketing communicators often seek
first to enhance a brand’s equity as a foundation to influencing behavior.
Program Evaluation
The final step in the process is that a program evaluation must take place, accomplished by measuring the
results of marcom efforts against the objectives that were established at the outset. Regardless of the
situation, it is critical to evaluate the results of marcom efforts. Throughout the business world there is
increasing demand for accountability, which requires that research be performed and data acquired to
determine whether implemented marcom decisions have accomplished the objectives they were expected
to achieve. Results can be measured in terms of behavioral impact (such as increased sales) or based on
communication outcomes versus comparable time periods or control groups.
Topic 2
Title : The Role of IMC in the Marketing Process
Introduction :
New chapter opener focuses on Creating a New Image for Buick” and discusses Buick’s attempt
to reposition the 100 + year old auto to appeal to a younger market. Updated IMC Perspective
on targeting Millennials; updated discussion of marketer’s attempts to reach Hispanic Market;
updated charts and graphs and new ads throughout the chapter.
Topic Objectives:
Describe the role of advertising and promotions in an organization’s
integrated marketing program.
Define target marketing
Discuss the role of market segmentation in an IMC program.
Describe positioning and repositioning strategies.
Identify the marketing mix decisions that influence advertising and
promotional strategy.
Topic Content:
Introduction
Marketers know that to be successful they must understand their buyers and potential buyers and
develop specific strategies to best reach them. These include the identification of market opportunities,
market segmentation, target marketing and positioning and marketing program development. This
model consists of four major components: the organization’s marketing strategy and analysis, the target
marketing process, the marketing planning program development (which includes the promotional mix),
and the target market. As model shows, the marketing process begins with the development of a
marketing strategy and analysis in which the company decides the product or service areas and
particular markets where it wants to compete. The company must then coordinate the various elements
of the marketing mix into a cohesive marketing program that will reach the target market effectively.
Marketing to Lifestyle
Shows a print ad for Merrill shoes and relates to analyzing marketing opportunities. Marketing
opportunities are areas where there are favorable trends, where companies believe customer needs are
not being satisfied, and they can compete effectively. This ad shows how Merrell sees opportunity in
the growing segment of “lifestyle” shoes. used to show how companies need to capitalize on marketing
opportunities. For instance the athletic shoe industry has changed dramatically as we have seen an
emergence of a new segment called “lifestyle” shoes. Merrell is competing in this segment by using ads.
• Determining market segmentation – dividing a market into distinct groups that have
common needs and will respond similarly to a marketing action.
• Selecting a market to target – determining how many segments to enter and which
segments offer the most potential.
• Positioning through marketing strategies – defined as the art and science of fitting the
product or service to one or more segments of the broad market in such a way as to set
it meaningful apart from competition.
Market Segmentation
It is not possible to develop marketing strategies for every consumer. Rather, the marketer attempts to
identify broad classes of buyers who have the same needs and will respond similarly to marketing
actions. Marketing segmentation is dividing a market into distinct groups that (1) have common needs
and (2) will respond similarly to a marketing section.
There are a number of methods that are available for segmenting markets. These methods can
be broken into two broad categories based on customer characteristics and aspects of the
buying situation. Segmentation based on customer characteristics includes:
• Geographic segmentation, which divides markets by geographic locations such
as nations, states, regions, or cities.
• Demographic segmentation which divides markets based on demographic
variables such as gender, age, education, race, and life stage.
• Socioeconomic segmentation, which divides markets based on socioeconomic
variables such as income, education, and occupation.
• Psychographic segmentation, which divides markets based on personality values
or lifestyle. SRI’s VALS 2 is a popular approach to lifestyle segmentation
Segmentation based on the buying situation includes:
• Behavioral segmentation which divides a market into groups according to their
level of involvement with and purchase behavior toward a product or service.
• Outlets which segments a market based on the type of store where a product is
sold such as convenience, supermarket, mass merchandiser, specialty
• Benefit segmentation divides markets on the basis of the specific benefits or
outcomes consumers want from a product or service.
• Usage segmentation which classifies customer based on their level of use of a
product or service including heavy, medium, and light users.
Developing a Positioning Strategy
A number of positioning strategies might be used by marketers. These include positioning on the basis
of the following:
• Use/Application – associate the brand with a specific use. This approach can also be
effective way to expand usage of a product.
• Product Class – competition can come from outside the product class whereby a
product is positioned against another product category
• Product User – associating a brand with a type of person or group that uses a product
or service.
• Cultural Symbols – use symbols that have acquired cultural meaning and associating a
brand with these symbols to differentiate it from competitors
Provides an overview of the six steps involved in the development of a positioning platform which
include:
1. Identify the Competitors – requires broad thinking and considering all likely
competitors. Competitors can be from other product classes.
3. Determine Their Positions – what are our competitors’ positions, as well as ours, in
relation to important product or service attributes
4. Analyze Consumer Preferences – what are consumers’ purchase motives and what
attributes are important to them? Determining a consumer’s ideal brand or product is
one way to assess this.
5. Make Positioning Decision – going through the first four steps should lead to a decision
regarding which position to assume in the marketplace.
6. Monitor the Position – assessing how well the position is being maintained in the
marketplace
Branding and Packaging Work Closely Together
Branding and packaging are very important in creating an image for a product and must be coordinated
to present an image or position that extends beyond a product’s physical attributes. Many marketers
rely on their brand name and packaging to communicate with consumers and help create a position
and/or image.
• A brand name identifies a product or service and often communicates attributes and
meaning.
• Brand equity refers to the intangible assets of added value or goodwill that results from
the favorable image, impression, and consumer attachment to a company, brand name,
or trademark.
• Price, advertising and distribution must be unified in identifying the product position
• A product positioned as a high quality while carrying a lower price than competitors will
confuse customers
• Motivating the channel members to stock and promote the company’s product
The “Middleman” Can Play a Key Role
The marketing channel intermediaries are critical to the success of a company’s marketing program.
Brokers, distributors, wholesalers, and retailers are all intermediaries or “middlemen” who play an
important role in the marketing process.
Topic 3
Title : Introduction to Advertising
Introduction :
Explores concepts intended to appreciate and understand advertising roles in the marketing
organization’s products and services.
Topic Objectives:
Introduction
Advertising and other forms of promotion are an integral part of the marketing process in most
organization. Over the past decade, the amount of money spent on advertising, sales promotion and
other elements of the promotional mix has increased tremendously, both for the local and global firms.
The basic task of marketing is to combine the elements of promotional mix into a comprehensive
program that facilitates exchange with a target market.
The importance of integrated marketing communications, coordinating the various marketing and
promotional elements to achieve more efficient and effective communication programs. Reasons for the
growing importance of the integrated marketing communications perspective include a rapidly changing
environment with respect to consumers, technology and media.
Basis of payment are time and space. Time is the basis of payment for broadcast advertising, and space
is the basis for print advertising. Per column centimeter is the unit of measurement for advertisement in
print media particularly those for magazine. Per agate line is the unit of measurement for
advertisements also in print media, but classified in newspaper.
As a marketing function, it is openly persuasive and convincing in order to sell or secure favorable
consideration. Companies spent millions of pesos in exchange for a recognition and patronage of their
products or services.
Personal selling is a direct, face to face contact among buyers, seller and product, intended to convince
the buyer to purchase the product offered for sale. Publicity a non- paid , non- personal communication
of information about products and services also uses the mass media. To create goodwill and build good
image, public relations is another element. Sales promotion includes activities that will promote increase
in sales for the product or service, by planning for freebies or samples, premiums, price-off and contest.
Planning for the right product or service at the right time, for the right market and price is
merchandising as the final element of the hexagon.
Classifications of Advertising
According to Source or Origin. This traces back the party who requested for the
preparation of the advertisement, or the party who wants the advertising project be
done. This is also known as the advertiser, in the contract.
According to Media Used. Media of mass communication serve as tools to
communicate information about products or services. Print media include newspapers
and magazine. Broadcast media are the television and the radio programs , where
advertisements are placed on the air to capture viewership or listenership. Outdoor
media consist of painted bulletins, posters, streamers, tarpaulins, spectacular and aerial
signs. Transit media utilize public utility vehicles. Field media use fleet of men and
vehicle roaming around a residential area, with their audio system, announcing the
products they are marketing.
According to Objective. Advertisements identifying the brand of the item for patronage
is known as promotional advertisements. Communicating message of public interest or
seeking to develop goodwill, also those mentioning the name of the organizations or
business entity is known as institutional advertising.
According to Audience Targeted. Consumer advertising targets the ultimate users of
the product, convincing them to purchase the item for personal or household use.
Industrial advertising targets businessmen, convincing them to purchase the product
advertising for use in their operations. Trade advertising also targets businessmen,
convincing them to buy the product advertised for resell. Finally, professional
advertising targets physicians, educators and other groups for them to prescribe or
recommend product advertised.
Advertiser. It is called the client, an account or sponsor. This can be anyone from among
the sources of advertisement, under the topic – classification of advertising according to
the source of origin.
Advertising agency. It is an independent service organization whose function is to
provide advertising, merchandising, and other promotional activities related to selling of
the client’s products, services or ideas.
Advertising media. It include the mass media of communication in broadcast, print,
outdoor, transit, field and movie.
The Advertising Agency
This is an independent service organization operating outside of the control of the advertiser or
client.
• The Account Management Department. It is headed by Account Executive. This is the
department where the advertiser or client, or representative of the client’s advertising
department, communicates their requirements to the agency, for an advertising
product.
• Research Department. It is responsible for gathering information under cases where
data given by the client may be insufficient, to start the project.
• Copy Department. Prepares the text or words of the advertisement. This may include
the story board for television commercial, or the script for radio, and the layout for print.
• Art Department. Translates the words into pictures. The department is responsible for
preparing the visual presentation of the advertisement. Pictures shall be created the
illustration of the advertisement.
• Media Department. Prepares the detailed media schedule, the list of media selected for
the delivery of the advertising message. The department may consist of two – the space
buying section – for print media; and the time buying section – for broadcast media.
• Production Department. It is responsible for handling the mechanical requirements of
the advertisement including preparing several copies of the mastertape, blue print for
distribution to media, typefacing, color reproduction
• Traffic Department. Sees to it that the advertisements are shown or published according
to schedule.
The Advertising Theme
The central buying incentive featured in an advertising message is the frame of
reference, serving as stimulus to an expected response from the audience. This stimulus
called advertising appeal.
The ideas created using a defined advertising appeal must be directly related to the
product benefits desires by the consumers, thus sales point must be developed.
To communicate these sales points capitalizing on features, advantages and benefits,
the advertisement may target any of these attention-getting factors: involuntary and
voluntary.
Involuntary attention-getting factors holds that mental processes are directed toward
something else, and not focused on looking, listening or watching advertisement.
Voluntary attention-getting factor can be beneficial to the advertiser since the mental
processes of the consumer is really intended towards checking, looking or reading an
advertisement.
References:
Advertising Principle, Marketing Communication Approach, 3rd Edition by: Ruby Alminar-Mutya
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