Presentation Transcript

1. Recap Define advertising and explain its key components Discuss the roles and functions of advertising within society and business Identify the key players and their roles in creating advertising Explain the different types of advertising Summarize the characteristics of effective advertising and explain why it is always goal directed Analyze the changes affecting the advertising industry
2. An Effective Ad If it creates an impression for a product or brand If it influences people to respond in some way If it separates the product or brand from the competition in the mind of the consumer
3. The Evolution of Advertising Age of Print Industrial Revolution and Emergence of Consumer Society Modern Advertising Era Accountability Era
4. The Current Advertising Scene Expanded view Integrated Marketing Communication Globalization Electronic media are changing the media landscape New media are more personal and interactive
5. The Current Advertising Scene Expanded view Integrated Marketing Communication Globalization The practice of unifying all marketing communication tools so they send a consistent, persuasive message Coordination of IMC tools creates synergy
6. The Current Advertising Scene Expanded view Integrated Marketing Communication Globalization Increasing globalization of marketing programs Advertisers are moving into global markets and agencies are forming huge multinational operations
7. BMW Films-Ambush
8. References Wells, W., Burnett, J. and Moriarty, S. (2006), Advertising Principles and Practice, Prentice-Hall, New Delhi, ND.

9. Next SessionSession 2: Advertising Role in Marketing

10. Recap Define advertising and explain its key components Discuss the roles and functions of advertising within society and business Identify the key players and their roles in creating advertising Explain the different types of advertising Summarize the characteristics of effective advertising and explain why it is always goal directed Analyze the changes affecting the advertising industry

11. Advertising’s Role in Marketing

    Session 2
12. Chapter Outline What is Marketing? The Key Players and Markets The Marketing Process How Agencies Work International Marketing The Dynamics of Modern Marketing
13. What is Marketing? The way a product is designed, tested, produced, branded, packaged, priced, distributed, and promoted. According to American Marketing Association “an organisational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organisation and its stake holders”.
14. Play… Clever Little Bag by PUMA and Fuse Project- Video
15. The marketing concept Exchange Branding Added value Marketing should focus first on identifying the needs and wants of the customer To compete effectively, marketers must focus on the customers’ problems and try to develop products to solve them Key Concepts in Marketing
16. The marketing concept Exchange Branding Added value The act of trading a desired product or service to receive something of value in return Money is exchanged for goods Key Concepts in Marketing
17. The marketing concept Exchange Branding Added value The process of creating a distinctive and special meaning for a product Brand equity is reputation, meaning, and value that the brand name or symbol has acquired over time Key Concepts in Marketing
18. The marketing concept Exchange Branding Added value A marketing or advertising activity makes a product more valuable, useful, or appealing Key Concepts in Marketing
19. The marketer Suppliers and vendors Distributors and retailers The organization, company, or manufacturer producing the product and offering it for sale The advertiser or client (from the agency’s point of view) The Key Players and Markets
20. The marketer Suppliers and vendors Distributors and retailers Other companies that manufacture the materials and ingredients used in producing the product The Key Players and Markets
21. The marketer Suppliers and vendors Distributors and retailers Various companies that are involved in moving a product from its manufacturer to the buyer The Key Players and Markets
22. Types of Markets Market Where the exchange between buyer and seller takes place A particular type of buyer Market share The percentage of the total market in a product category that buys a particular brand
23. Types of Markets Consumer Business-to-business (Industrial) Institutional Channel
24. The Marketing Process Conduct research and develop a situation analysis Set objectives for the marketing effort Assess consumer needs and wants Differentiate and position the product Develop the marketing mix strategy Evaluate the effectiveness of the strategy
25. Product Place Price Promotion The product is both the object of the advertising and the reason for marketing Product category A class of similar products Marketing Mix Strategies
26. Product Place Price Promotion The channels used in moving the product from manufacturer to buyer Marketing Mix Strategies
27. Product Place Price Promotion Based on the cost of making and marketing the product and on expected profit Customary Psychological Marketing Mix Strategies
28. Product Place Price Promotion Use face-to-face contact between marketer and prospective customer Used to create immediate sales Marketing Mix Strategies
29. Full-Service Agencies Include the four major staff functions Account management Creative services Media planning and buying Account planning Also have accounting, traffic, production, and HR departments Specialized Agencies Specialize in certain functions, audiences, industries or markets Creative boutique Media-buying services How Agencies Work
30. Account Management Acts as a liaison between the client and the agency Responsible for interpreting the client’s marketing strategy Creative Development People who write People who design ideas for ads and commercials People who convert these ideas into commercials How Agencies Work
31. Media Planning/Buying Recommends to the client the most efficient means of delivering the message Responsible for buying, planning, and research Account Planning Gathers all information on the market and consumers and acts as the voice of the consumer Prepares comprehensive recommendations How Agencies Work
32. Internal Agency Services Traffic department Print production department Revenues and Profits Commission Fee Retainer How Agencies Work
33. International Marketing An international brand is available virtually anywhere in the world The shift requires new tools for advertisers, including one language, one control mechanism, and one strategic plan The choice of an agency depends on the decision to standardize messages or localize them to accommodate local cultures
34. The Dynamics of Modern Marketing Integrated marketing All areas of the marketing mix work closely together to present the brand in a coherent and consistent way Relationship marketing Marketing that considers all the firm’s stakeholders Permission marketing Inviting prospective customers to self-select into a brand’s target market in order to receive marketing communication
35. References Wells, W., Burnett, J. and Moriarty, S. (2006), Advertising Principles and Practice, Prentice-Hall, New Delhi, ND.
36. Summary Define the role of advertising within marketing Explain how the four key concepts in marketing relate to advertising Identify the key players in marketing and how the organization of the industry affects advertising List and explain the six critical steps in the marketing process Summarize the structure of the advertising agency industry Analyze the changes in the marketing world and what they portend for advertising