© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/IrwinSlide 19-6 TYPES OF ADVERTISEMENTS Advertising Product Advertisements Competitive (or Persuasive)

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-6

TYPES OF ADVERTISEMENTS

• Advertising

• Product Advertisements

Competitive (or Persuasive)

Pioneering (or Informational)

Comparative

Reminder

Reinforcement

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-8

ADVERTISEMENT 19-AADVERTISEMENT 19-A Pioneering product advertisement: iMac

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-17

TYPES OF ADVERTISEMENTS

• Institutional Advertisements

Pioneering Institutional

Advocacy

Competitive Institutional

Reminder Institutional

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-19

ADVERTISEMENT 19-EADVERTISEMENT 19-E Institutional advocacy advertisement: Motion Picture Association of America, Inc.

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-27

DEVELOPING THEADVERTISING PROGRAM

• Identifying the Target Audience

• Setting the Advertising Budget

• Specifying Advertising Objectives

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-28

FIGURE 19-1 FIGURE 19-1 Super Bowl, super dollars, super audience

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-29

Sierra Mist Why advertise during the Super Bowl?

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-31

DEVELOPING THEADVERTISING PROGRAM

• Designing the Advertisement

Message Content

• Fear Appeals

• Sex Appeals

• Humorous Appeals

Creating the Actual Message

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-32

Partnership for a Drug Free America What is the appeal and purpose of this ad?

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

ETHICS AND SOCIAL RESPONSIBILITY ALERT

Who Decides What Is“Appropriate” Advertising?

Slide 19-35

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-39

FIGURE 19-A FIGURE 19-A Top 15 advertising slogans of the century

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-40

FIGURE 19-B FIGURE 19-B Top 10 advertising icons of the century

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-43

DEVELOPING THEADVERTISING PROGRAM

• Selecting the Right Media

Advertising Media

• Maximizing Exposure

Choosing a Medium and a Vehicle within That Medium

• Minimizing Costs

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-44

FIGURE 19-2 FIGURE 19-2 U.S. advertising expenditures, by category (in millions of dollars)

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-45

DEVELOPING THEADVERTISING PROGRAM

• Selecting the Right Media

Basic Terms

• Frequency

• Gross Rating Points (GRPs)

• Reach

• Rating

• Cost per Thousand (CPM)

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-46

FIGURE 19-3 FIGURE 19-3 The language of the media buyer

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-47

DEVELOPING THEADVERTISING PROGRAM

• Different Media Alternatives

Television

• Wasted Coverage

• Digital Video Recorders (DVRs)

• Out-of-Home TV

• “Spot” Ads

• Infomercials

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-48

FIGURE 19-4 FIGURE 19-4 Advantages and disadvantages of major advertising media

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-51

DEVELOPING THEADVERTISING PROGRAM

• Different Media Alternatives

Radio

Magazines

Newspapers

Yellow Pages

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-59

DEVELOPING THEADVERTISING PROGRAM

• Different Media Alternatives

Internet

• Rich Media

• Online Advertising Options

• Permission-Based Advertising

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-62

DEVELOPING THEADVERTISING PROGRAM

• Different Media Alternatives

Outdoor

• Billboards

• Transit Advertising

• Place-Based Media

Other Media

Selection Criteria

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-65

DEVELOPING THEADVERTISING PROGRAM

• Scheduling the Advertising

Buyer Turnover

Purchase Frequency

Forgetting Rate

Continuous (Steady) Schedule

Flighting (Intermittent) Schedule

Pulse (Burst) Schedule

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-69

EXECUTING THEADVERTISING PROGRAM

• Pretesting the Advertising

Portfolio Tests

Jury Tests

Theater Tests

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-70

EXECUTING THEADVERTISING PROGRAM

• Carrying Out the Advertising Program

Full-Service Agency

Limited-Service Agencies

In-House Agencies

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-71

FIGURE 19-5 FIGURE 19-5 Alternative structures of advertising agencies used to carry out the advertising program

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-72

EVALUATING THEADVERTISING PROGRAM

• Posttesting the Advertising

Aided Recall (Recognition-Readership)

Unaided Recall

Attitude Tests

Inquiry Tests

Sales Tests

• Making Needed Changes

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-76

SALES PROMOTION

• Consumer-Oriented Sales Promotion

Coupons

Deals

Premiums

• Self-Liquidating

Contests

Sweepstakes

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-77

FIGURE 19-6 FIGURE 19-6 Sales promotion alternatives

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-80

SALES PROMOTION

• Consumer-Oriented Sales Promotion

Samples

Loyalty Programs

Point-of-Purchase Displays

Rebates

Product Placement

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-85

SALES PROMOTION

• Trade-Oriented Sales Promotion

Allowances and Discounts

Cooperative Advertising

• Merchandise Allowance

• Case Allowance

• Finance Allowance

Training of Distributors’ Salesforces

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-89

PUBLIC RELATIONS

• Publicity Tools

News Release

News Conference

Public Service Announcements (PSAs)

Personal Appearance/Visibility

© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 19-92

INCREASING THE VALUEOF PROMOTION

• Building Long-Term Relationships with Promotion

• Self-Regulation