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Advertising Strategy. Session 7 Summer 2008 XMBA 206.1. ODI assignment. Overall mean is 17.5 with a standard deviation of 1.29 across 69 submissions. Overall, for a first deliverable for an incoming MBA class, the submissions were very good.

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Advertising strategy

Advertising Strategy

Session 7

Summer 2008

XMBA 206.1

Odi assignment
ODI assignment

  • Overall mean is 17.5 with a standard deviation of 1.29 across 69 submissions.

  • Overall, for a first deliverable for an incoming MBA class, the submissions were very good.

  • The best submissions shared some key characteristics in that they tended to - Concise and within the two page allotted length - Address the value of the ODI lens clearly and in both qualitative benefits as well as well showed the process to compute savings - Comment on the value created by the lens to relate to how ODI should price the lens to the farmer (ie is 8c the right mark and why or why not) - Look at market segmentation across both geography and size of farm, and consider the selling implications and company related implications in making the recommendation. - Identify some of the non-quantifiable sources of value in addition to the 3-4 key quantifiable ones for which data are provided in the case

Odi assignment1
ODI assignment

  • The submissions that could have been better shared some key characteristics as well in that they tended to: - Do not attempt sufficient quantitative analysis of the components of value. - Leave out any indication of the manner in which the value created by the ODI lens could be translated to the way in which ODI should price the lens - Go well beyond 2 pages without making the point much stronger, or provide extraneous analysis beyond the scope of the key question, often at the expense of not answering the case questions.

Term projects
Term projects

  • Thanks to all the groups who have sent me survey questionnaires drafts

  • Will make myself available in S497 on Friday…11.30 am to 12.30?

  • Tips on the use of survey instruments. Please see readings, textbook.

  • Please note some of the suggestions in the h.o.

Analysis framework
Analysis Framework

Perceptual mapping

First mover advantages

Company Analysis

Marketing Myopia

Customer Analysis





Marketing Orientation

Marketing Strategy



Pricing process

Pricing and innovation (ODI)

Product Line Strategy




Advertising and promotions




Advertising planning process
Advertising Planning Process

Advertising Objectives

Target Market

Brand Positioning

Budget Decisions

Creative Strategy

Media Strategy

Campaign Evaluation

Advertising objectives
Advertising Objectives

Create awareness for new products

Inform consumers

  • of product features and benefits

  • price changes

  • Important for building primary demand


  • Build brand preference or change buyer perceptions

  • especially important for building demand in competitive markets.

    Reminder advertising: maintain top-of-mind awareness

Hierarchy of effects communication process
Hierarchy of effects Communication Process



Liking, Preference

Purchase, Action

Creative strategy
Creative Strategy

  • Develop the USP “unique selling proposition” or the “Creative Hook”

    Unique Selling Proposition

  • Translates “brand positioning” into a compelling message.

  • Objective is “Memorability”

Creative strategy emotional vs rational appeal
Creative Strategy:Emotional vs. Rational Appeal

Emotional = appeal to psychological, social or symbolic needs. “Pull at the consumer’s heartstrings”

Rational = provide information about functional and utilitarian aspects of the products.

Shift towards emotional execution strategy in the later part of the product lifecycle

  • Intense competition and proliferation of substitutable products (Michelin)

  • Critical to increase “Product involvement”



Taxonomy of emotional appeals
Taxonomy of Emotional Appeals

Fear appeal

  • can be an effective motivator but has the danger of alienating consumers

    • Show the consumer how to avoid the problem.

    • Provide concrete supporting information

Taxonomy of emotional appeals1
Taxonomy of Emotional Appeals


  • “Memorability” device.

  • Humor should not clutter the product benefits.

  • Execution detail: Show consumer how to avoid the problem.

  • Pre-test to check if consumer

    • i) recalls product benefit

    • ii) Attitude_product versus Attitude_ad = will the message be persuasive and will the product be taken seriously.





  • seen often in cosmetics advertising


Types of rational informational appeal
Types of Rational / Informational Appeal

Technical Expertise or Scientific Evidence: (Crest…“Look ma no cavities”)

Comparative: Product features vs. competition (Nike vs. Reebok)


  • Advantages

    • High ability to get attention

    • Helps in competitive positioning

  • Disadvantages

    • Advertise the competition. Makes competition more salient.

    • Can use only if there is clear objective superiority for the advertised attribute.

  • Media decisions
    Media Decisions

    • Define the target market.

      Quantitative Measures

    • Reach: the percentage of people in the target market who are exposed to the ad campaign during the defined time duration

      • 70% of the target market during the first three months of the campaign

    • Frequency: A measure of how many times an average individual in the target market who have been reached .

    Media decisions1
    Media Decisions

    Advertising Exposure

    • Gross Rating Points = 70(Reach) 4(Frequency) = 280 GRP’s

    • 1GRP = 1 exposure to 1% of the audience.

      Qualitative Measures

    • Impact; is the qualitative aspect of the medium

      • Newsweek vs. The National Enquirer

      • Sports illustrated vs. Time for tennis racquets

    • Trade-off between reach and frequency

    • Pulsing vs. Continuity

      • Pulsing most critical for new products. Why?

      • Continuity needed when faced with intense competition


    Good advertising creative strategy translates the brand’s positioning statement into a persuasive and memorable message. A great creative will provide lasting impact even if advertising budgets are constrained.

    “ How you say it is as critical as what you say”