Clow05 Basic (2)

download Clow05 Basic (2)

of 37

Transcript of Clow05 Basic (2)

  • 8/17/2019 Clow05 Basic (2)

    1/37

     Advertising Management 

    Chapter 5

    5-1Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    2/37

    A product of fauji

    group

    5-2Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    3/37

    5 - 3

    Chapter Objectives1. What activities are involved in advertising

    management?2. What roles do the companys overall mission!

    products! and services play in advertisingprograms?

    ". When is it best to use an in#house advertisingapproach and $hen is it better to employ ane%ternal agency?

    &. What are the steps of an e'ective advertisingcampaign management program?

    5. (o$ should the functions performed by theadvertising account e%ecutives and theadvertising creative interact in preparing anadvertising campaign?

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    4/37

    Chapter Overvie$

    Course faculty Ayesha Pervaiz 4-4

    • Advertising management•

    Choosing an advertising agency• Advertising campaign management Communications mar)et analysis Advertising goals Advertising budget *edia selection Creative brief 

  • 8/17/2019 Clow05 Basic (2)

    5/37

    5 - 5

    Advertising *anagement

    • +valuate role of advertising in ,*C

    program.• -elect in#house or e%ternal agency.• evelop advertising management

    strategy.

    • evelop creative brief.

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    6/37

    /0lanning for W3s 4uy *urphy is actually usingthem to inuence ho$ people engage $ith brands.hat may involve introducing +urope to sachets! or

    getting his palm read by a desi astrologer.6

     W3s 4uy*urphy7

    0lanning is not just aboutpeddlinginsights

    4lobal planningchief W

    5-6Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    7/37

     8oung and 9ubicam

    $$$.yr.com

    5-7Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    8/37

    5 - 8

    ,n#(ouse or AdvertisingAgency

    ecision Criteria

    • he si:e of the account

    • he media budget• Objectivity• 0roduct comple%ity

    • Creative ability

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    9/37

    ;udget spent on big

    accounts•

  • 8/17/2019 Clow05 Basic (2)

    10/37

    5 - 10

    +%ternal Agencies

    • Advertising agencies• *edia service companies• irect mar)eting agencies• Consumer and trade

    promotion specialists• 0ublic relations >rms

    ;outiue ##################  @ull#service

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    11/37

    *edia service companies negotiate and purchasemedia pac)ages /called media buysB6 for companies.

    irectmar)eting agencies handle every aspect of adirect#mar)eting campaign! either through telephoneorders ! ,nternet programs! or by direct mail. -omecompanies focus on either consumer promotions! tradepromotions! or both. hese companies assist indeveloping promotions such as coupons! premiums!

    contests! and s$eepsta)es. hey also provide assistancein ma)ing posters! end#of#aisle displays! and point#of#purchase displays.

    5-11Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    12/37

    • 0ublic relations >rms provide e%perts to helpcompanies and individuals develop positivepublic images.

    •  09 >rms are often called in for damage control$hen negative publicity arises.

    •  ,n#house members of the organi:ation can

    render these activities! just as an in#housemar)eting department can perform advertisingand ,*C programs.

    5-12Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    13/37

    5 - 13

    Whole +gg heory• e$ trend in advertising•  8oung and 9ubicam Ad Agency• otal success in the mar)etplace• ,ntegration of mar)eting

    approach.

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    14/37

    (+ COC+0 D

    • he concept of the $hole egg theory isto move from selling a clients productsto helping the client attain total successin the mar)etplace. Achieving successreuires integrating the mar)etingapproach by o'ering a fuller array ofservices to both business and consumer

    clients. hus! as client companies beganto move to$ard more integratedmar)eting approaches! agencies such as 8oung E 9ubicam captured more

    accounts. 5-14Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    15/37

    Whole egg

    •  Advertising, technology, media buying,brand planning, public relations, and

    marketing and business strategies

    5-15Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    16/37

    • Advertising is >rst and last! apeople driven business

    5-16Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    17/37

    5 - 17

    Choosing an Agency1. -et goals.2. -elect process and criteria.". -creen initial list of applicants.&. 9euest client references.5. 9educe list to 2#" viable

    agencies.F. 9euest creative pitch.

  • 8/17/2019 Clow05 Basic (2)

    18/37

    Gey pointsH

    • -et Corporate goals7 Without clearly understood goals, it is virtually

    impossible to choose an agency because company

    leaders may not have a clear idea what they wantto accomplish.

    • -elect process and criteria7Even firms with experience in selecting agencies should set

    selection criteria in advance. The objective is to reduce biasesthat may enter into the decision. Emotions and other feelingscan lead to decisions that are not in the company’s bestinterests

    5-18Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    19/37

    5 - 19

    +valuation Criteria

    -electing Advertising Agency• -i:e of agency• 9elevant e%perience

    • Conicts of interest• Creative reputation• 0roduct capabilities• *edia purchasing capabilities

    • Other services available• Client retention rates• 0ersonal chemistry

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    20/37

    Gey uestions for agencyselection

    • A >rm that needs an agency to producea television commercial and also buymedia time should chec) on theseactivities as part of the initial screening

    process. *edia buying s)ills areimportant. Iuestions to as) include7 Joes the agency buy eKciently? J

    •  ,s the agency able to negotiate specialrates and publication positions? J

    • oes the agency routinely getbumpedB by higher#paying >rms! $hichmeans ads do not run at highly desirabletimes?

    5-20Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    21/37

    The final three selection criteria—

    –other services available,–client retention rates,–and personal chemistry—

     Preparing a creative pitch is time-consumingand costly for the advertising agencies;therefore, agencies only want to spend timeon preparing pitches with a decent chance ofbeing accepted.

    5-21Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    22/37

    -(OOOL

    •  Advertising agencies that are chosen to compete forthe contract provide a formal presentation addressinga specific problem, situation, or set of questions. This

    process is called a “shootout.”

    •  The presentations reveal how each agency would deal with specific issues that arise as a campaign isprepared. This helps a client company decide which

    agency best understands the issues at stake and hasdeveloped an advertising or integratedcommunication approach that $ill solve theproblem or issue

    5-22Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    23/37

    +%ampleH.

    • ,n competing for the ne$ or$estMWells @argoaccount! the >rm ; $orld$ide communicationgroup ! $as chosen over the incumbent agency!

    Carmichael Nynch! because @argo e%ecutivesbelieved ; had greater strategic insights!

    • a better range of services! higher#uality creatives!

    • and a more thorough media plan.

    • ; $as able to sho$ ho$ the agency intended tocombine the strength of Wells @argos 15=#year

    heritage $ith the e%cellent customer serviceualities of or$est. his presentation led to thedecision to hire ;. ,t came after @argo e%ecutiveslistened to the presentations of both agencies andas)ed )ey uestions about $ho $ould actually be

    $or)ing on the account 5-23Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    24/37

    5-24Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    25/37

    5 - 25

    Advertising 0lanning and9esearch

    • 4eneral pre#planninginput/read up on the client 6

    • 0roduct speci>c#research *ajor selling idea• Iualitative research

    Anthropology -ociology 0sychology

    • Palue and lifestyle model/PAN-6

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    26/37

    *ajor selling ideaH

    • The “ot mil!"# theme emerged from product$specific research. %ustomers were as!ed to go without mil! for a wee! and then to report bac! tothe agency. The method is called a “deprivationapproach.# The advertising agency’s creative teamlearned that a !ey selling point could be to focus onhow well mil! fits with a person’s lifestyle. &oing

     without it 'deprivation( made people aware of the vital role mil! plays in eating cereal) coo!ies) andother snac!s and food

    5-26Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    27/37

    5-27Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    28/37

    5-28Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    29/37

    5 - 29

    Gey Advertising 0ersonnel

    Course faculty Ayesha Pervaiz

    • Creatives /idea Qusp inadd 6

    • Gey Account managersevelop reports /called ste$ardship

    reportsB6 help clients understand theprocess and the outcome more clearly

    • raKc managers/ mediascheduling6

    • *edia planners

    • *edia buyers

  • 8/17/2019 Clow05 Basic (2)

    30/37

    5 - 30

    • 9evie$ communication mar)et analysis.

    /media $atching habits of target mar)et6

    /the media utili:ed by competition6• +stablish advertising portion of ,*C objectives.

    • 9evie$ advertising budget.

    • -elect media.

    • 0repare creative brief.

    Course faculty Ayesha Pervaiz

    -teps in Advertising Campaign*anagement

  • 8/17/2019 Clow05 Basic (2)

    31/37

    5 - 31

    Communication *ar)etAnalysis

    9evie$

    • Competitors

    • Opportunities• arget mar)ets• Customers

    • 0roduct positioning

    Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    32/37

    5 - 32

    • o build brand image op of mind

    @irst choice• o inform• o persuade• o support other mar)eting e'orts

    • o encourage action

    Course faculty Ayesha Pervaiz

    Advertising 4oals

  • 8/17/2019 Clow05 Basic (2)

    33/37

    op of mind

    • That name has the property of being a topof mind brand.

    • For example, when asked to identifyfastfood restaurants, Mconald!s and"urger #ing almost always head the list.

    The same is true for $ike and %eebok

    shoes. 

    5-33Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    34/37

    o persuade

    •  oals of advertising programs is persuasion. Advertisements can convince consumersthat a particular brand is superior to otherbrands.

    •  They can show consumers the negativeconsequences of failing to use a particular brand.

    • !hanging consumer attitudes andpersuading them to consider a newpurchasing choice is a challenging task.

    5-34Course faculty Ayesha Pervaiz

  • 8/17/2019 Clow05 Basic (2)

    35/37

    5 - 35Course faculty Ayesha Pervaiz

    Advertising ;udget

    • Continuous

    schedule/advertise in levelamounts M year round addson bilboards6

    • @lighting schedule/pea)times6

    • 0ulsating schedule

     Continuous adds /high

    intensity#more adds on more

    *anner ofistribution

  • 8/17/2019 Clow05 Basic (2)

    36/37

  • 8/17/2019 Clow05 Basic (2)

    37/37

    5 37

    Neft M 9ight ;rain Ads

    • Neft brainB advertisement Nogical! rational side of brain *anages numbers! letters! $ords! and

    concepts 9ational appeal

    • 9ight#brainB advertisement +motional side of brain *anages abstract ideas! images! and

    feelings +motional appeal