Chapter 15: Advertising, sales promotion, and public relations. After reading this chapter you should be able to: Explain the differences between product advertising and institutional advertising and the variations within each type; describe the steps used to develop, execute, and evaluate an advertising program; explain the advantages and disadvantages of alternative advertising media;...
McGrawHill/Irwin Copyright © 2013 by The McGrawHill Companies, Inc. All rights reserved LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 15, YOU SHOULD BE ABLE TO: LO1 Explain the differences between product advertising and institutional advertising and the variations within each type LO2 Describe the steps used to develop, execute, and evaluate an advertising program LO3 Explain the advantages and disadvantages of alternative advertising media 152 LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 15, YOU SHOULD BE ABLE TO: LO4 Discuss the strengths and weaknesses of consumer-oriented and tradeoriented sales promotions LO5 Recognize public relations as an important form of communication 153 WHERE CAN YOU WATCH TV? WHERE CAN’T YOU? Online TV (OTV) 154 LO1 TYPES OF ADVERTISEMENTS PRODUCT ADVERTISEMENTS Advertising Product Advertisements • Pioneering (or Informational) • Reminder • Competitive (or Persuasive) • Reinforcement • Comparative 155 LO1 Campbell’s, 1&1, and Red Bull What is the type and purpose of each advertisement? 156 LO1 Dial Soap What is the type and purpose of this advertisement? 157 LO1 TYPES OF ADVERTISEMENTS INSTITUTIONAL ADVERTISEMENTS Institutional Advertisements • Advocacy • Pioneering Institutional • Competitive Institutional • Reminder Institutional 158 LO1 Chevron and Bridgestone What is the type and purpose of each advertisement? 159 LO1 Got Milk? and U.S Army What is the type and purpose of each advertisement? 1510 LO3 ASSESSING THE ADVERTISING PROGRAM POSTTESTING THE ADVERTISING Posttests Aided Recall Unaided Recall • Noted Attitude Tests • Seen-Associated Inquiry Tests • Read Most Sales Tests 1535 FIGURE 15-B Sales promotions can be used to achieve many objectives 1536 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Consumer-Oriented Sales Promotion Coupons 1537 SALES PROMOTION LO4 CONSUMER-ORIENTED SALES PROMOTION Deals 1538 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Premiums • Self-Liquidating: Free Toy in Happy Meal • Deal-Prone & Value Seeing Consumers 1539 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Contests 1540 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Sweepstakes • Value-Based Prizes • Experience-Based Prizes 1541 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Samples 1542 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Loyalty Programs 1543 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Point-of-Purchase Displays 1544 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Rebates 1545 LO4 SALES PROMOTION CONSUMER-ORIENTED SALES PROMOTION Product Placement 1546 LO4 SALES PROMOTION TRADE-ORIENTED SALES PROMOTION Trade-Oriented Sales Promotion Allowances and Discounts • Merchandise Allowance • Case Allowance Free Goods • Finance Allowance Floor Stock Protection Freight Allowance 1547 LO4 SALES PROMOTION TRADE-ORIENTED SALES PROMOTION Cooperative Advertising Training of Distributors’ Salesforces 1548 PUBLIC RELATIONS LO5 Publicity Tools • News Release • Public Service Announcement (PSA) • News Conference 1549 ... 15 8 LO1 Chevron and Bridgestone What is the type and purpose of each advertisement? 15 9 LO1 Got Milk? and U.S Army What is the type and purpose of each advertisement? 15 10 LO2 DEVELOPING THE. .. PROGRAM Identifying the Target Audience Specifying the Advertising Objectives Setting the Advertising Budget 15 11 LO2 DEVELOPING THE ADVERTISING PROGRAM DESIGNING THE ADVERTISEMENT Message... Appeals 15 12 LO2 World Wide Fund, Candie’s, and Geico What is the appeal and purpose of each advertisement? 15 13 LO2 DEVELOPING THE ADVERTISING PROGRAM DESIGNING THE ADVERTISEMENT Creating the