Advertising Chapter1

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Transcript of Advertising Chapter1

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Introduction toAdvertising

Management

Chapter 1

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What is Marketing

“Marketing is the process of planning andexecuting the conception, pricing, promotion anddistribution of ideas, goods and services tocreate exchanges that satisfy individual or

organizational objectives”

 American Marketing Association

4Ps = Product, Price, Promotion (sales promotion,

advertising, sales force, public relations and direct marketing) andPlace

E.Jerome McCarthy 

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Areas of mass communication

Advertising – Marketing tool that disseminatesinformation through mass media (radio,television, newspaper, magazine) about abrand aimed at large no. of people.

Salesmanship – Involves persuasive

communication directed towards a singleindividual in an interpersonal mode

Sales promotion – Consists of diversecollection of incentive tools, mostly short term,

designed to stimulate quicker or greaterpurchase of particular products or services byconsumers or the trade

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Areas of mass communication

Publicity – Sending a message to someonebecause it is newsworthy and is published orbroadcast without charge to the sender.

Public relations – Utilizing journalists to saywhat they want to say themselves, control

over message, paid for media

Marketing public relations – Offshoot of PR.Consumer driven.

Direct marketing – Interactive system of 

marketing which uses one or more advertisingmedia to effect a measurable response andtransaction at any location

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Advertising

Advertising is any paid form of non-personalpresentation and promotion of ideas, goods, orservices by an identified sponsor. American Marketing

Association

Advertising is the discovery and

communication of a persuasive difference for abrand to the target prospect.Subroto Sen Gupta

Advertising is the mass paid communication of building brands through persuasivecommunication and positioning them in theconsumer perception with a constant eye onthe marketing environment and consumerexpectations.

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Theories of advertising

 The stimulus response theory – Conditionedresponse

 The starch model (Daniel Starch) - seen, read,believed, remembered, acted upon

 The AIDA – Attention, interest, desire andaction

 The DAGMAR model (Russel Colley) – Definingadvertising goals for measured advertisingresults Aware – Comprehension – arrive -

action

 Theory of cognitive dissonance (L.Festinger) –People see what they expect to see

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Functions of advertising

Increase customer base and demand

Increase primary demand

Increase usage

Differentiation

Reducing time between purchases

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Sales Promotion

“Consists of diverse collection of incentive tools,mostly short term, designed to stimulate quickeror greater purchase of particular products or

services by consumers or the trade”

Philip Kotler 

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Sales Promotion

Sales Promotion can be aimed at

End Users Traders

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Industry tie-upsDealer money

Sales Promotion aimed atTraders

 Trade Deals

Cooperativeadvertising tie ups

 Trader Sales Team

POP Display

Push Money

 Trade Fairs Trade Shows

 Traders

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Interactivepromotions Consumer

Sampling

Refunds &Rebates

Contest &Sweepstakes

Sales Promotion aimed at end-users

Price Deals

Premium offers

Mail Premiums

Specialty items

Continuityprograms

Coupons

End-Users

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Thank   You