Sales and Promotions Management Session 2nd

Dated: -14-03-2010

By: -Neeraj Gupta

Advertising

Mass persuasive communication paid for by an identified sponsor that makes use of various media

Advertising Strategy

Three levels Annual advertising plan Annual plan and an advertising plan Develop a copy strategy for an individual ad that

runs independent of any campaign This is because an advertising campaign and

advertising plan are similar in structure.

Advertising campaign & Advertising Strategy

A campaign is an interrelated and coordinated set of promotional activities that focus on some single theme or idea and is built to accomplish some predetermined objective(s). Can have a single ad or series of ads placed together. Like Vodafone’s ZOO ZOO campaign. It is built to last for a long time or short time depending on objectives targeted.

An advertising plan aims at matching the right target audience to the right message and presents it in the right medium to reach that audience

Steps in advertising planning and managing Situation Analysis

Research and Review current business Target Audience

Who buys the product? What do they really buy? When do they buy? Who is the end-user?

Basis for segmentation Geographic Demographic

Steps in advertising planning and managing Situation Analysis

Basis for segmentation Psychographic Segmentation

Lifestyle

Basis of Segmentation-Psychographic

Orientations used for segmentation in VALS matrix

Status Oriented: -Value a secure place in society

Action Oriented: -desire physical and social activity, variety and risk taking

Principle Oriented: -guided in their choices by their beliefs and principles and not by feelings, desires and events

Psychographic Segmentation

ACTULIZERS:

Successful, sophisticated, take-charge people with high self-esteem.

Image is important to Innovators

Established and emerging leaders in business and government

seek challenges, variety

FULFILLEDS

Motivated by ideals

Mature, satisfied, comfortable , and reflective people who value order,

knowledge, and responsibility

well educated and actively seek out information in the decision-making

Psychographic Segmentation

ACHIEVERS:

Motivated by the desire for achievement,

have goal-oriented lifestyles and a deep commitment to career

and family

structured around family, their place of worship, and work

EXPERIENCERS

Motivated by self-expression

Young, enthusiastic, and impulsive consumers

seek variety and excitement

Psychographic Segmentation

BELIEVERS:

Believers are motivated by ideals

Conservative, conventional people with concrete beliefs based on traditional,

established codes: family, religion, community, and the nation

STRIVERS

trendy and fun loving.

motivated by achievement, Strivers are concerned about the opinions and

approval of others.

Money defines success for Strivers, who don’t have enough of it to meet their

desires

Psychographic Segmentation

MAKERS:

Makers are motivated by self-expression

express themselves and experience the world by working on it-building a

house, raising children, fixing a car, or canning

Practical people who have constructive skills and value self-sufficiency.

STRUGGLERS

Narrowly focused lives

with the familiar and are primarily concerned with safety and security

Steps in advertising planning and managing Advertising Objectives

Creating Awareness Increasing sales Knowledge Comprehension Associating feelings with brands Enticing Regular brand use among existing and new

customers both. Increasing the percentage of target consumers who

associate specific features or benefits with company's brand.

Increasing number of target consumers who prefer company's brand rather than competing brands.

Steps in advertising planning and managing-DAGMAR Approach

DAGMAR (Defining Advertising Goals for Measured Advertising Results) Awareness: Involves making target audience aware

of the existence of the brand or company. Comprehension: The purpose is to develop an

understanding among audience of what the product is and what it would do for them.

Conviction: The objective is to create a mental disposition among target audience members to buy the product.

Action: To motivate target audience to purchase the product or service.

Effect of Advertising on Consumers

Steps in advertising planning and managing Product Positioning

Communications Media The Advertising message-What is to be said

and how First thing is preparing a creative brief (often referred

as copy platform, a work plan, copy or creative strategy document) and it addresses following issues like who is the potential customer, why to focus ads on needs of customers which they value-under this comes two types of appeals: - Rational and Emotional, What can satisfy their needs, Where, when and how to deliver these messages, and what style or tone to use to convey the message.

Steps in advertising planning and managing A creative brief can cover these issues: -

Objective statement – what to achieve out of the ad. Support Statement-to give evidence to the promise made. Tone or Brand Character Statement

Budget Allocation-Objectives are effected directly by the amount of budget we have.

Factors to consider to set budget Product life cycle stage Market share Intensity of competition and clutter Advertising frequency Product differentiation

Setting Advertising Budget

Steps in advertising planning and managing Advertising Strategy Implementation Using all the elements discussed before

this point we can go ahead with the implementation of the advertising strategy.

The Big Idea in Advertisements The Great Idea in advertising is far more than the

sum of the recognition scores, the ratings and all the other superficial indicators of its success; it is in the realm of myth, to which measurements cannot apply.“–Leo Bogart

Great Ideas have some elements in common: - A potent Strategy A Strong selling ides Stands out ahead of others Always relevant Can be built into campaigns

The Big Idea in Advertisements It is conveyed using the message strategy which has

following elements: - Verbal Element Non-Verbal Element Technical Element

Creative Process Steps: - Orientation: Pointing out the problem Preparation: Gathering pertinent data Analysis: Breaking down the relevant material Ideation: Piling up alternative ideas Incubation: Putting the problem aside to invite spontaneous

ideas at some later, unguarded time. Synthesis: Putting the pieces together, and Evaluation: Judging the resulting ideas.

The Big Idea in Advertisements

Creative Execution-Print

Elements: - Headline Sub-Heads Body copy Slogans Seals Logos Signature Visual Elements Layout

Body Copy-Types

Design Principles Ads must be designed to attract consumer attention

immediately as the advertiser has only a second or two to capture the reader's attention.

Basic design rules include the following:- Unity: The complete layout (copy, visual, headline, logo etc.)

should appear as a single unified composition. Balance: Balance means controlling the size, tone, weight, and

position of the elements in the ad. Contrast: It imparts life to a layout and adds emphasis to

selected elements. Sequence or eye movement Emphasis or proportion: Emphasis refers to division of space

among layout elements.

Design Principles Use of Colour: -

Colour adds attention-capturing value to the advertisement. Colour can help in imparting emphasis to important elements in

an ad. Colour can add a sense of realism or atmosphere. Colour can help easy identification of brand name, package, and

trademark. Colour imparts a feeling of quality and prestige to the

advertisement. Typography and Copy Testing

They should always consider the four important concepts when selecting type: readability, appropriateness, harmony or appearance, and emphasis.

Thank You