Prentice Hall, © 200918-1 Special Advertising Campaigns Part 5: Principles: How to Win the Battle...

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Prentice Hall, © 2009 18-1 Special Advertising Campaigns Part 5: Principles: How to Win the Battle of the Buzz Chapter 18

Transcript of Prentice Hall, © 200918-1 Special Advertising Campaigns Part 5: Principles: How to Win the Battle...

Page 1: Prentice Hall, © 200918-1 Special Advertising Campaigns Part 5: Principles: How to Win the Battle of the Buzz Chapter 18.

Prentice Hall, © 2009 18-1

Special Advertising Campaigns

Part 5: Principles: How to Win the Battle of the Buzz

Chapter 18

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Questions We’ll AnswerQuestions We’ll Answer

• What is retail advertising all about; and what makes it distinctive?

• How can we best explain the basics of B2B advertising?

• What are the basic goals and operations of nonprofit and social marketing?

• Which strategic decisions are behind international advertising and IMC?

CHAPTER KEY POINTS

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• A campaign is a complex set of interlocking, coordinated activities.

• An Integrated Marketing Communications campaign plan outlines objectives and strategies for different but related marketing communications efforts that appear in different media, use different marketing communication tools, and convey different but complementary brand-consistent messages to a variety of stakeholders.

What is an IMC campaign?What is an IMC campaign?

IMC AND TOTAL COMMUNICATION

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• Choosing the best marcom tools based on their strengths and weaknesses in achieving campaign objectives results in synergy.– When all pieces work together, the whole is greater

than the sum of its parts.• The Integration Triangle identifies three key aspects

that must work together to create integration.– What the company/brand says about itself (say)– How the company/brand performs (do)– What other say about the company/brand (confirm)

• Brand consistency is not just a strategic need; it’s also cost-efficient and builds longer lasting customer relationships.

Planning an IMC CampaignPlanning an IMC Campaign

IMC AND TOTAL COMMUNICATION

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• Retail advertising accounts for nearly half of all money spent on advertising.

• Two missions of retail advertising:– Selling the brand of the store

– Selling individual brand items

• Three types of retail stores:– Independently owned (e.g., barber shop)

– Franchises (e.g., KFC, Hertz)

– Corporate (e.g., Starbucks, Macy’s)

What is retail advertising?What is retail advertising?

RETAIL MARKETING AND ADVERTISING

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• Primary objective is building store traffic• Attracting new customers• Building store loyalty• Increasing the average sale• Maintaining inventory balance; moving out

overstock and outdated merchandise• Creating a sense of urgency

Retail ObjectivesRetail Objectives

RETAIL MARKETING AND ADVERTISING

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• Geography– Where do my customers live?

– How far will they drive to visit my store?

• Consumer Taste– Offers, merchandise, and advertising

messages are tailored to consumer preferences.

Retail TargetingRetail Targeting

RETAIL MARKETING AND ADVERTISING

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• National brand reimburses the retailer for all or part of their advertising expenses.

• Allows retailers to compensate for their smaller budgets and limited expertise.

• Also called ad allowances or promotional allowances.

• Many retailers won’t consider taking on a new brand without co-op support.

Cooperative AdvertisingCooperative Advertising

RETAIL MARKETING AND ADVERTISING

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• People choose a store based on personnel, location, pricing policy, products, history, social responsibility.

• Store location information is essential (address, map).

• Advertising is created by in-house staff, local media, agencies, or freelancers.

• Sometimes, local campaigns created by local agencies can go national.

• Smaller retailers use stock artwork; larger ones may use custom artwork.

• Manufactures offer dealer tags or donuts.

Creating the Retail AdCreating the Retail Ad

RETAIL MARKETING AND ADVERTISING

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• Local retailers prefer reach over frequency.• Retailers use direct mail because it minimizes waste.• Newspapers offer audience selectivity.

– Zone editions– Shoppers– Pre-prints– Free-standing inserts

• Radio is used by local retailers for its low cost and high selectivity in terms of geography and audience.

• Local magazines reach upscale consumers.• National magazines offer regional or metro editions.• The Internet allows stores to sell online.

The Media of Retail AdvertisingThe Media of Retail Advertising

RETAIL MARKETING AND ADVERTISING

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• Advertising directed at people in business who buy or specify products for business use.

• Business advertising is used to: – Create corporate brand awareness– Enhance the company’s reputation– Support salespeople and other channel

members– Generate new business leads

What is B2B Advertising?What is B2B Advertising?

BUSINESS-TO-BUSINESS ADVERTISING

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• Businesses buy goods and services because they need:– Ingredients for products they make– Goods (desks) and services (legal, accounting) to

operate their business

• Business marketing differs from consumer marketing.– Decisions often by committees; focus on rational

factors – Purchase is negotiated by a buyer

• B2B advertising focuses on reasons/benefits like price, service, quality, or assurance of supply.

B2B Buyer BehaviorB2B Buyer Behavior

BUSINESS-TO-BUSINESS ADVERTISING

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Types of B2B AdvertisingTypes of B2B Advertising

BUSINESS-TO-BUSINESS ADVERTISING

• Industrial advertising

• Government advertising

• Trade/channel advertising

• Professional advertising

• Agricultural advertising

• Directed at original equipment manufacturers like General Motors, IBM

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Types of B2B AdvertisingTypes of B2B Advertising

BUSINESS-TO-BUSINESS ADVERTISING

• Industrial advertising

• Government advertising

• Trade/channel advertising

• Professional advertising

• Agricultural advertising

• Largest purchaser of industrial goods is local, state, and federal government

• May be advertised in government-targeted publications

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Types of B2B AdvertisingTypes of B2B Advertising

BUSINESS-TO-BUSINESS ADVERTISING

• Industrial advertising

• Government advertising

• Trade/channel advertising

• Professional advertising

• Agricultural advertising

• Used to persuade distribution channel members to stock the manufacturer’s products

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Types of B2B AdvertisingTypes of B2B Advertising

BUSINESS-TO-BUSINESS ADVERTISING

• Industrial advertising

• Government advertising

• Trade/channel advertising

• Professional advertising

• Agricultural advertising

• Directed at mostly white-collar workers like lawyers, doctors, accountants, teachers

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Types of B2B AdvertisingTypes of B2B Advertising

BUSINESS-TO-BUSINESS ADVERTISING

• Industrial advertising

• Government advertising

• Trade/channel advertising

• Professional advertising

• Agricultural advertising

• Promotes products and services to those involved in growing, raising, or producing agricultural commodities

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Creating B2B AdvertisingCreating B2B Advertising

BUSINESS-TO-BUSINESS ADVERTISING

• Select strongest benefit

• Dramatize most important benefit

• Choose relevant visuals

• Make the offer clear

• Provide contact information

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B2B Advertising MediaB2B Advertising Media

BUSINESS-TO-BUSINESS ADVERTISING

• General business and trade publications– Horizontal vs. vertical publications

• Directory advertising

• Consumer media

• The Web

• Direct marketing

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What is nonprofit or social marketing?What is nonprofit or social marketing?

NONPROFIT OR SOCIAL MARKETING

• Marketing for the good of society• Used by hospitals, government agencies, zoos,

museums, orchestras, religious organizations, charities, and universities and schools to “sell” their services, programs, and ideas.

• Goals include: – Membership (AARP, Chamber of Commerce)– Donations (Red Cross, United Way)– Participation (Habitat for Humanity)– Sales (museum gift shops)– Recruitment (the military, universities)– Attitude change (political parties)– Advocacy (Weyerhaeuser for forest management)– Visits or attendance (state tourism programs, museums)

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Types of CampaignsTypes of Campaigns

NONPROFIT OR SOCIAL MARKETING

• Fund-raising (development) – Capital campaigns raise a specific amount of money over a

set time for buildings, equipment, or programs.

• Social Marketing – Create awareness of social needs; motivate

consumers/businesses to act in certain ways

• Public Communications– A conscious effort to influence publics’ thoughts or actions

• Cause Marketing– Adopting a good cause and sponsoring community and fund-

raising efforts (Target’s community caring effort)

• Mission Marketing– Links a company’s mission and core values to a cause (e.g.,

Dove’s “real women” campaign)

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Factors Driving GlobalizationFactors Driving Globalization

INT’L ADVERTISING AND MARKETING COMMUNICATION

• Development of international media• Spread of market-based economies in

countries and regions like China, South America, India, and Eastern Europe

• Expansion of English as an international language

• Web-enabled ability for even small companies to market internationally

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Stages of Marketing DevelopmentStages of Marketing Development

INT’L ADVERTISING AND MARKETING COMMUNICATION

• Stage 1: Exporting– Send products to other markets

• Stage 2: Internationalization– Selling to a group of markets in a region (e.g.,

Europe or Asia)

• Stage 3: Globalization– Brands sold throughout the world

• Note: “Country of origin” doesn’t matter any more but can cause problems when countries are anti-American.

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The Global vs. Local DebateThe Global vs. Local Debate

INT’L ADVERTISING AND MARKETING COMMUNICATION

• Should companies act as if there is one global market, motivated by the same wants and desires?

• Or should they account for cultural differences when developing products and marketing for the cultures they serve?

• Three schools of thought on international advertising:– Standardization—differences are a matter of degree, so

focus on customer similarities and brand development.– Localization—consider differences in culture, economy,

media, legal environment, etc. – Combination—use a standardized strategy but adapt

advertising execution to the local culture.

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Cultural MeaningsCultural Meanings

INT’L ADVERTISING AND MARKETING COMMUNICATION

• High-context cultures– Message meanings are based on contextual cues– In Japanese, a word can have multiple meanings

• Low-context cultures– Message can be understood as it stands– Most English words have clearly defined

meanings• It’s more difficult to write advertising

messages for high-context cultures where the meaning is dependent on surrounding sentences.

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Central Control vs. Local AdaptationCentral Control vs. Local Adaptation

INT’L ADVERTISING AND MARKETING COMMUNICATION

• Some advertisers develop tightly controlled global campaigns while others develop local campaigns in every major market; most combine standardization and localization.

• Global campaigns have two starting points:– Success in one country

– A centrally conceived strategy

• Global marketers strive for a consistent brand strategy that allows them to honor cultural differences when those differences are relevant to the brand’s marketing strategy.

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Planning Approaches for Planning Approaches for International CampaignsInternational Campaigns

PUBLIC RELATIONS TOOLS

• Local initiative– A successful campaign in one country is modified and used

in other countries.

• Centrally conceived campaigns– A centralized strategy is developed for use globally (e.g.,

Xbox) with a consistent marketing strategy

• Variations on central campaigns– Local agencies may be used to adapt creative ideas for each

market, but the strategy remains consistent.

• Bottom-up creativity– Many agencies may submit ideas, the best one is selected

and used globally.

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Planning Global StrategiesPlanning Global Strategies

INT’L ADVERTISING AND MARKETING COMMUNICATION

• Global Objectives– Reminder vs. introduction (awareness and trial)

• Targeting Issues– Where to advertise

– Market development level—can the market, literacy levels, and economy support the expense of marketing the product?

– Cultural cohorts—a segment of customers from different countries with common characteristics, wants, needs (e.g. new mothers).

• Positioning the Global Brand– Problems and opportunities in each market– Consumer motives in each market

• Setting the Budget– Which method? What about exchange rate?

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Planning Global StrategiesPlanning Global Strategies

INT’L ADVERTISING AND MARKETING COMMUNICATION

• Executing the International Campaign– Use local models, language, and settings.– Pepsi’s “Come alive” in Taiwan means “Pepsi will bring

your ancestors back from the dead.”– “Finger lickin’ good” in China means “Eat your fingers off.”

• International Media Buying– Media is different, developing, evolving in every country.– Local agencies should handle media buys.– Seasons and holidays differ among countries.– Time zone differences can cause delays.

• Organization for International Campaigns– Depends on standardization or localization strategy.– Tight, central international control vs. local autonomy.

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Creating IMC Campaigns on a Creating IMC Campaigns on a Global LevelGlobal Level

THE IMC FACTOR IN GLOBAL CAMPAIGN PLANNING

• Integrated Marketing Communications– All the messages a consumer receives about a brand

work together to create a coherent brand impression.

• Requires horizontal and vertical integration.– Vertical: coordination of decisions about targeting,

positioning, objectives, strategies, and tactics.

– Horizontal: coordination across all countries or regions involved in a plan.

• May require a dedicated manager

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