TLI 306 The Art & Science of Advertising STUDENT VERSION
Transcript of TLI 306 The Art & Science of Advertising STUDENT VERSION
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SalesEmpowerment
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Whatifwewerestar3ngtoday?
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Give me six hours to chop down a tree and I will spend the first four sharpening the axe.
Abraham Lincoln
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AboutPrimerWhenpeoplesucceed,Googlesucceeds.Atourbest,wehelpbusinessesofallsizestrynewthingsandgetmorecustomers.Butwealsoknowit’shardtogettheknowledgeyouneedtodoinnova3vemarke3ng.Soweassembledasmallteamofourownmarketersandchallengedthemtobuildaproducttheywoulduse.TheresultisPrimer.
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PrimerPrimerisafast,easywaytolearnnewdigitalmarke3ngskills.Youcantakeourbite-sizedlessonswhereverandwheneveryouhave5-minutesfree.
Availableviaphoneortablet
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CurrentLessons• Adver3sing
• Content• Measurement
• Strategy
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TheArt&ScienceofAdver3sing
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The Key to All Power is
Understanding
TheArt&ScienceofAdver3sing
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What is a Business There is only one valid definition of
business purpose: to create a customer. Because its purpose is to create a
customer, the business enterprise has two-and only these two-basic functions: marketing and innovation. Marketing and innovation produce results; all the
rest are costs.
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Morris Hite “Nothing will drive a bad product off the
market more quickly than a good advertising campaign.”
TheArt&ScienceofAdver3sing
“Advertising remains a business of ideas.”
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Morris Hite “To establish a favorable and well-defined brand personality with the consumer the
advertiser must be consistent.”
TheArt&ScienceofAdver3sing
“There is more money wasted on advertising by under spending than by
overspending.”
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Morris Hite “Repetition is necessary in advertising.
Few people devote their full attention to an ad.”
TheArt&ScienceofAdver3sing
“The idea must come first.”
“A good marketing person is a nosey so & so.”
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Morris Hite “What sort of person succeeds in
advertising? Someone who enjoys solving problems.
Someone interested in people and things. Someone who is sales-minded.”
TheArt&ScienceofAdver3sing
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Imagine for a moment just how easy an
advertising sales job would be if…
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Marketing
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Marketing The activity, set of institutions and
processes for creating, communicating, delivering and exchanging offerings that have
value for customers, clients, partners and society at large.
American Marketing Association
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Marketing
Everything a business does to attract, educate and retain
customers
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Marketing Marketing sits at the
intersection of the business and the customer
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Advertising
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$2,500,000,000
TheArt&ScienceofAdver3sing
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$11,500,000,000
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THE HOPPER
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We built our agency on Purpose-Based Branding. A company’s purpose is the difference the brand is trying to make in its consumers lives.
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Ideas don’t come from thin air. They take top-notch talent, research, valuable customer insight and talented people working together to meet and exceed customer’s expectations.
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Some agencies push products, some sell ads. We tell truths. The truth, as you know, can set you free. It can hurt. It can make you laugh. It never fails to make you think, and it always makes you listen.
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TheArt&ScienceofAdver3sing
From the way we recruit employees, speak to ourclients and approach our work, everything we do atTracyLocke isBuy Design. It’s not just howwe think;it’showwebehave.BuyDesign isat theheartofourgo-to-businessprocess,u3lizingartandscienceacrossinterlockingcentersofexcellence:
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What Does an Advertising Agency Do?
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Why are we talking
about Hugh
O’Brien?
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What Does an Advertising Agency Do?
Plans, creates and executes advertising plans on behalf of businesses or organizations
Advertising Federation
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What Does an Advertising Agency Do?
Thoroughly understands the business, the products and/
or the services
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Advertising Federation
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What Does an Advertising Agency Do?
Plans and organizes a media plan
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Advertising Federation
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What Does an Advertising Agency Do?
Creates & Designs Ideas
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Advertising Federation
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What Does an Advertising Agency Do?
Executes & Measures
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Advertising Federation
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Advertising does not work!
You work advertising!
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Advertising isn’t cheap (and if it is buyer beware) so there often isn’t room for making a mistake or
having a dud!
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What do you have in common with every ad?
The single most important function is to sell something.
“Selling-Something” does not always mean that money immediately changes hands?
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Advertising is a vital part of every marketing plan.
However, advertising in and of itself, does not constitute the entire marketing plan.
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Callto
Ac3on
Merchandising
Branding
TheADPyramid
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Branding in advertising is far more critically important
to the success of a business than is uncertain
attribution
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Branding is used to develop the image or reputation of a
business, which conveys a message of consistency and
quality in a company’s offerings
TheArt&ScienceofAdver3sing
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Let’slookatsomebrandsandseehowtheyareperceived
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Branding
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TheArt&ScienceofAdver3sing
-$850,000
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TheArt&ScienceofAdver3sing
-$21BILLION
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TheArt&ScienceofAdver3sing
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7 Branding Components
PurposeEveryBrandmakesa
promise.Whatisitthatthebrandrepresents?
TheArt&ScienceofAdver3sing
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7 Branding Components
Emo3onDoesitfeelgoodtoproclaimthat
thebrandisyours?
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7 Branding Components Flexibility
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7 Branding Components EmployeeInvolvement
Itisvitallyimportantthatemployeesunderstandthebrandandcommunicate,internallyandexternally
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7 Branding Components Loyalty
Rewardloyalcustomersandemployeesthatcarrythe
BrandBanner
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7 Branding Components Compe33veAwareness
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TheArt&ScienceofAdver3sing
Merchandising
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Hey you, yeah you. . . BIKE ME!
2003 / 883 Sportster ®
HOUSE OF HARLEY DAVIDSON BILLERICA, MA
KELLY
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To Bike me is to. . . LOVE ME!
2003 / 883 Sportster ®
HOUSE OF HARLEY DAVIDSON BILLERICA, MA
KELLY
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LEAVES BIKE MARKS !
2003 / 883 Sportster ®
HOUSE OF HARLEY DAVIDSON BILLERICA, MA
KELLY
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BIKE ME, AND I’LL BIKE YOU BACK !
2003 / 883 Sportster ®
HOUSE OF HARLEY DAVIDSON BILLERICA, MA
KELLY
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A BIKE AS BIG AS IT’S BARK !
2003 / 883 Sportster ®
HOUSE OF HARLEY DAVIDSON BILLERICA, MA
KELLY
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GO AHEAD, BIKE OFF MORE THAN YOU CAN CHEW ! 2003 / 883 Sportster ®
HOUSE OF HARLEY DAVIDSON BILLERICA, MA
KELLY
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TheArt&ScienceofAdver3sing
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Call To Action
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Call To Action
TheArt&ScienceofAdver3sing
30%Off3-DaysOnly!
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What does advertising do? Educates consumers
Reassures current customers Creates greater awareness
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What does advertising do? Continually extends an invitation
Competes Works…
when executed scientifically and when clients know what "works" actually means
TheArt&ScienceofAdver3sing
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What does advertising do?
Introduces consumers to brands, businesses, products & services and offers the opportunity to build
new customers for a lifetime
TheArt&ScienceofAdver3sing
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What does advertising do? Builds confidence & trust
Returns the investment by helping to position a business in order to, build or strengthen their
brand, better compete and increase their chances of capturing a greater Share of Market
TheArt&ScienceofAdver3sing
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Why do businesses advertise?
Why should businesses advertise?
TheArt&ScienceofAdver3sing
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6 Unique Ad Types
TheArt&ScienceofAdver3sing
Intrigue:TheytryandcaptureyouraZen3onandpiqueyourinterest.
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6 Unique Ad Types
TheArt&ScienceofAdver3sing
EmoJonSeLng:Theycreateafeelingoranemo3oninaperson’smind.
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6 Unique Ad Types
TheArt&ScienceofAdver3sing
SocialProof:Theyusehappycustomerstodotheselling.
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6 Unique Ad Types
TheArt&ScienceofAdver3sing
ImmediatePurchaseDriver:Theyaskfortheac3onandmakenobonesaboutit
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6 Unique Ad Types
TheArt&ScienceofAdver3sing
Features&Benefits:Appealstofolkswhohaveanaly3calminds
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6 Unique Ad Types
TheArt&ScienceofAdver3sing
Reminder:Followsupwithcustomerswhohavealreadygonethroughyoursalescycle
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The only way your customer can grow their business is to take
business from their competition
It is all about Share of Market.
TheArt&ScienceofAdver3sing
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Campaigns
TheArt&ScienceofAdver3sing
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Advertising Campaigns can, and often will, accomplish multiple
objectives. But it is much easier to manage expectations if a
specific objective is determined before the campaign is launched
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Your client likely needs your help to establish an
OBJECTIVE prior to launching a
campaign
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Media Mix Successful advertisers define the objective, they then choose the
media mix. Because some media are better than others at accomplishing
certain objectives
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The Objective is: Awareness
Create recognition of a particular business, product or service.
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The Objective is: Educate
Creates interest through
relevant information
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The Object is: Image
Maintaining or improving brand, products or service
perception
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The Objective is: Direct Response
Encouraging first-time or ongoing purchasing. Should be focused on creating customers
for life
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Source: Harvard Business Review
The development and retention of profitable customer relationships is VITAL TO THE HEALTH OF EVERY BUSINESS…Companies need to be concerned with the future revenue & profit streams associated with the ongoing satisfaction & retention of their core,
profitable customer bases. The companies that FAIL TO RECOGNIZE THIS TRUTH overspend in
marketing to acquire & retain less profitable, or even unprofitable customers and DO NOT SPEND
ENOUGH ON KEEPING PROFITABLE ONES
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EVALUATION OF MEDIA
The Science
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EFFECTIVE Do you reach the primary market ?
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EFFICIENT Do you reach the
market at a competitive price?
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REACH The number of different persons exposed at least once to an ad over a specific period of time
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FREQUENCY The number of times that a person is exposed to the ad
among those REACHED in the specific period of time
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.TheCircleOfInfluence
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Reality In Advertising
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Most Expensive
The most expensive investment is in the beginning. The dollars become more efficient after a strategic and
consistent campaign.
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Clear Message
Deliver the main message but don't confuse the consumer.
Simple is simply smart.
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Consistent Message
Today's customer
Tomorrow's customer
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Committed Message Advertising does not work as
quickly as you would like, but it also does not quit working until
long after it has been abandoned
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Full-Price Message Smart Ad-People realize that VALUE in ads almost always overcomes objections to price
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Confused Message Businesses spend thousands on advertising only to discover that the consumer has no idea what
the message or the brand is
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Memorable Messages
Advertising Age stated that the average consumer is exposed to
over 5,000 commercial impressions every day
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Wrong Message
Many businesses spend 90% of their ad budget talking to the most
disloyal 3% of consumers that care only about price.
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Infrequent Message Choosing to advertise
infrequently is not only bad business it is a waste of
good money.
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Evergreen Message If you are not continually
telling consumers about your business, you are making it
too hard to do business with you.
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Lifelong Message
Businesses must build repeat, lifelong customers that are loyal and refer their friends
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Control Message
A sound reason for a continuous advertising presence is the
investment you are making in controlling the conversation about
your business.
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Educational Message
People do not like being sold but they do like being educated.
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Billions
Businesses in America will spend $350,000,000,000
annually on advertising efforts
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Well prepared deep-sell advertising is an investment and is a good calculated risk. Advertising must be planned and should not be impetuous. It should be budgeted for just like salaries, utilities, suppl ies and other reoccurr ing “mission-critical” items.
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Advertising Realities
Consumers will only react to an ad when they are in the market for the
product or service
Lasting BRAND recognition will decline significantly unless it is continually
reinforced
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Advertising Realities
Advertisers can ask consumers as often as they wish but the stark reality is, as a general rule, people will not remember where or when they saw or heard any
specific ad.
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The Broad Market
The Broad Market is defined as: The amount of money that is going to be spent in a market in a specific category over a 12-month period.
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The Thin Market
The Thin Market is defined as: The number of consumers that are going to take action in acquiring a
product or service in a seven-day period.
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The Effective Market The Effective Market is defined as: The amount of money that is going
to be spent BY YOUR READERS in a market in a category during a
12-month period.
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FrequencyFrequencyFrequency
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The Thin Market Only a very small percentage consumers BUY any general
merchandise or services in any seven-day period.
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The Thin Market
Shoppers for a specific item come into the market suddenly, remain in the market for only a few days and
then quickly leave.
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The Thin Market
Advertising has its greatest effect in the hours
immediately after being perceived.
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In almost every merchandise and service category the percentage of adults BUYING in a given week is
significantly less than 10%!
The Thin Market
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People have different wants & needs everyday
In half of all general merchandise categories measured the decision to buy and the actual purchase are made on the
same day.
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Reaches customers regardless of media engagement habits.
Just like exercising, advertising gets the best results over time. Each ad
builds on prior brand recognition and momentum.
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Higher than average results
A study conducted by the Ad Research Foundation found that more frequently advertised products
resulted in higher profit per sale.
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Timing Scheduling the biggest
percentage of advertising during the busiest time of year
will produce the greatest results.
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THE PLAN
0
5,000
10,000
15,000
20,000
25,000
January February March April
SalesAdver3sing
$400 $480$680 $920
$10,000$12,000
$17,000
$23,000
ADVERTISINGIS4%OFSALES
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People forget
80% forget a message within
24 hours
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Better investment
A commitment to frequency drives the cost per ad down.
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Six-Inch ads that run frequently are noted 59% as often
as full-page ads that run once.
Small Space Works
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Then you don’t need that sign out front
If clients have a sign in front of their business or on their vehicles, they
already believe that a commitment to frequency is important.
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A Balanced Plan
Advertising
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An unbalanced plan
Advertising
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Always think in terms of what is in the best interests of the client.
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You are presented with a wonderful opportunity to
professionally guide the client in the direction they need to go.
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The purpose of business is to create and keep
customers. All business activities must be
focused on this single purpose.
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Baby Boomers will make up ½ of the population by 2017
and possess 70% of the nations disposable income.
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NielsenMarke3ngProjects
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No matter how long you have been doing what you have been doing,
the question is; “What are you going to do if things change beyond your
willingness or ability to adapt?”
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What may happen once you educate your prospects and clients about the
art & science of advertising?
They may go somewhere else, unless you have a plan that helps to solve the problems
you have identified.
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Thank You
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