How Advertising Works

1. How Advertising Works Part 2: Planning and Strategy Chapter 4 ADVERTISING Principles and Effective IMC Practice

2. Key Points • Demonstrate why communication is a key factor in advertising effectiveness • Explain the Facets Model of Advertising Effects to show how brand advertising works • List the six key effects that govern consumer response to advertising messages ADVERTISING Principles and Effective IMC Practice

3. Communication Models ADVERTISING Principles and Effective IMC Practice

4. The communication model Adding interaction to advertising Mass communication is generally a one-way process Feedback is obtained by monitoring the response of the receiver to the message Two-way communication How Advertising Works as Communication ADVERTISING Principles and Effective IMC Practice

5. Advertising Communication Model ADVERTISING Principles and Effective IMC Practice

6. Effective Communication • The following assignment grading will be subject to the creative criteria. The due date is on next week. VS • I will grade your next assignment according to the creativity level. You have to submit next week. ADVERTISING Principles and Effective IMC Practice

7. The Facets Model of Effective Advertising ADVERTISING Principles and Effective IMC Practice

8. The process by which we receive information through our five senses and assign meaning to it Perception ADVERTISING Principles and Effective IMC Practice

9. Perception • Exposure • Being seen or heard • Media planners try to find the best way to expose the target audience to the message • IMC planners consider all contacts a consumer has with a company or brand • Making contact ADVERTISING Principles and Effective IMC Practice

10. Selection and Attention The ability to draw attention, to bring visibility One of advertising’s greatest strengths Creating stopping power Interest and Relevance Interest The receiver of the message has become mentally engaged with the ad and the product Relevance The message connects on some personal level Creating pulling power Perception ADVERTISING Principles and Effective IMC Practice

11. Awareness Results when an ad initially makes an impression Most evaluations of advertising effectiveness include a measure of awareness as an indicator of perception Making an impression Recognition Memory Recognition: remember seeing the ad Recall: remember of what the ad said Perception ADVERTISING Principles and Effective IMC Practice

12. Perception • 1.Perception (seeing): message gets noticed? ADVERTISING Principles and Effective IMC Practice

13. How consumers respond to information, learn, and understand something Cognition ADVERTISING Principles and Effective IMC Practice

14. Cognition • Needs • The cognitive impact of an advertising message • A cognitive ad explains how a product works and what it can do for the consumer • Matching product features to consumer needs ADVERTISING Principles and Effective IMC Practice

15. Information Facts about product performance and features Particularly important for products that are complex, have a high price, or are high risk Fact about products and their features Cognitive Learning When a presentation of facts, information, and explanations leads to understanding Used by consumers who want to learn everything about a product before they buy it Creating understanding Cognition ADVERTISING Principles and Effective IMC Practice

16. Differentiation Occurs when consumers understand the explanation of a competitive advantage A consumer has to understand the features of a brand and be able to compare competing products Understanding the differences between competitive products Memory Recall When the consumer remembers seeing the advertisements and remembers the copy points Ads use jingles, slogans, catchy headlines, intriguing visuals, and key visuals Locking info. in memory Cognition ADVERTISING Principles and Effective IMC Practice

17. Cognition • 2.Cognition (understand): learn info. presented? ADVERTISING Principles and Effective IMC Practice

18. Mirrors a person’s feelings about something Stimulates wants Touches the emotions Creates feelings The Affective or Emotional Response ADVERTISING Principles and Effective IMC Practice

19. Affective or Emotional Response • Wants • Influenced more by emotion or desire • Desire is based on wishes, longings, and cravings • Creating Desire • Emotions • Agitates passions or feelings • Affecting feelings ADVERTISING Principles and Effective IMC Practice

20. Liking Liking a brand or ad is one of the best predictors of consumer behavior If a consumer likes the ad, the positive feeling will transfer to the brand Create positive feelings for the ad and the brand Resonance Help the consumer identify with the brand on a personal level Stronger than liking because it involves an element of self-identification e.g. associate the concern of the target group Appeal to self-interest The Affective or Emotional Response ADVERTISING Principles and Effective IMC Practice

21. Affective Response 3. Affective (feeling): stimulate want? ADVERTISING Principles and Effective IMC Practice

22. The process of making symbolic connections between a brand and characteristics that represent the brand’s image and personality (connection between the brand and desired quality) Symbolism The brand stands for a certain quality A bond or relationship is created based on these meanings e.g. Rolex Sth stands for sth Conditioned Learning The way association implants an idea in a consumer’s mind e.g. Beer always use sporting events, parties, young women Association ADVERTISING Principles and Effective IMC Practice

23. Brand Transformation A brand takes on meaning when it is transformed from a product into something special Differentiated from other products in the category by virtue of its image and identity Association ADVERTISING Principles and Effective IMC Practice

24. Association • 4.Association: brand image, brand personality? ADVERTISING Principles and Effective IMC Practice

25. The conscious intent on the part of the source to influence the receiver of a message to believe or do something Attitudes Mental readiness to react to a situation in a given way Arguments Uses logic, reasons, and proofs to make a point and build conviction Reason, proof Persuasion ADVERTISING Principles and Effective IMC Practice

26. Motivation When something prompts a person to act in a certain way Marketing communications uses incentives to encourage response Incentive to respond Conviction/Preference Conviction Consumers believe something to be true Preference An intention to try or buy a product Source credibility e.g. Colgate uses the dentist Persuasion ADVERTISING Principles and Effective IMC Practice

27. Loyalty Measured both as an attitude and by repeat purchases Built on customer satisfaction (Both attitude and action) Involvement’s Role The degree to which a consumer is engrossed in attending to an ad or making a product decision High involvement Low involvement Persuasion ADVERTISING Principles and Effective IMC Practice

28. Persuasion • 5. Believe: believe in the message and do something? ADVERTISING Principles and Effective IMC Practice

29. The action response Effectiveness is measured in terms of its ability to motivate people to do something Try and Buy Initiating action through trial Trial is important because it lets a customer use the product without investing in its purchase Try the product Behavior ADVERTISING Principles and Effective IMC Practice

30. Contact Making contact with the advertiser can be an important sign of effectiveness Respond by visiting, calling, sending back a card, clicking on website, etc. Prevention Involves counter-arguing by presenting negative messages about an unwanted behavior Discourage unwanted behavior Behavior ADVERTISING Principles and Effective IMC Practice

31. Behavior • 6. Act: want to try the product, buy one? ADVERTISING Principles and Effective IMC Practice

32. Exercise • Analyze the response(s) expected from the ads show • Dentiste • Ray Ban ADVERTISING Principles and Effective IMC Practice

33. Summary • All the SIX responses seem to be combined in one ad • However, the proportion of the response depends on the ad OBJECTIVE • Behavioral response is the highest level and what most ads want to ACHIVEVE ADVERTISING Principles and Effective IMC Practice