End Of Advertising

TheTheEnd of Advertising End of Advertising

as you know it.as you know it.

Today’s Advertising Mix

Do you have an advertising Do you have an advertising Budget?Budget?

Do you:•Randomly buy local print ads•Buy High School Yearbook ads without thinking of your message•Automatically renew your yellow page ad•Advertise the same way you have for the past 10 years

Do you have an advertising Do you have an advertising Budget?Budget?

Do you:•Randomly buy local print ads•Buy High School Yearbook ads without thinking of your message•Automatically renew your yellow page ad•Advertise the same way you have for the past 10 years•Not Advertise!

I do not advertise…I do not advertise…• Too expensive• Does not work• Waste of time• Business is growing, I don’t need to advertise• Business sucks, I cannot afford to advertise

Rule #1

If you don’t keep giving customers a reason to

buy from you they won’t!

Rule #1

If you don’t keep giving customers a reason to

buy from you they won’t!

Remember there is someone out there

telling your customer constantly to buy

from them!

What is Advertising?What is Advertising?

• Advertising has become more than a radio spot



• More than an ad in a magazine, newspaper, weekly publication or flyer




• More than your last direct mail piece or targeted email




• More than your last direct mail piece or targeted email

• Advertising is a comprehensive viral package that allows us to sell more stuff more often to more people for more money!

Advertising CampaignAdvertising Campaign Setup Setup

First lets change the term Advertising to Marketing!



Marketing is more inclusive of all elements and it is a disciplined marketing campaign

that will make advertising effective



Marketing is more inclusive of all elements and it is a disciplined marketing campaign

that will make advertising effective

There are TEN STEPS to setting up a disciplined market campaign

10 Steps to Market PlanningStep 1 Business Review

Step 2 Problems & Opportunities

Step 5 Plan Branding and Marketing Strategies *

Step 4 Target Market & Sales Objectives

Step 3 Set Overall Sales Objectives

Company ScopeStrength & WeaknessMarketing Capabilities

Product & MarketCategories ::Pricing :: Competition :: Distribution

Company ScopeStrength & WeaknessMarketing Capabilities

Step 6

Step 9

Step 7

Step 8

Communication Goals

Establish Marketing Mix

Calendar, Budget, Payback and Analysis

Execute

EvaluateStep 9

10 Steps to Market Planning10 Steps to Market PlanningStep 1 Business Review





Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

Come from the Business Review. Create a Summary of Points good and bad from Step1. This will be the foundation for the marketing plan.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

Setting Sales objective is critical! It is the basis fro the whole marketing plan. It will be the basis for deciding your budget, marketing, staffing and inventory needs.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

Establish & define who your target market really is. Surfers, skaters, tourist, mom’sdad’s, male or female.Establish what you want your advertising to achieve. Set a goal for each segment so you can measure its success.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

Brand Positioning is how you want your store and products to be perceived by yourtarget markets. Are you a hard goods store? Women’s, Skate, or Discounter(I mean cheapest)? Your brand strategy should influence the direction of all your advertising. By establishing a brand strategy evaluation will be easier at years end.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

Communication goals simply bridge the gap between your objectives and your marketing mix. Simple charting will allow you to track effectiveness of marketing tools and objectives. See HANDOUT.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

This is the tactical element of our plan. Each element used should have its ownobjectives and strategies. By establishing these objectives and strategies we will be able to judge there effectiveness. Elements include media, events, price, merchandising, product and message.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

Budget methods may include the Task Method, the Percentage of Sales Model or theCompetitive Method. With a budget in place create a detailed yearly calendar. Establish a means of judging the effectiveness of your advertising campaign, two popular methods are Contribution to Fixed Coast and Gross Margin to Net Sales Analysis






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10

With a plan in place execution is essential. A yearly calendar will give you the ability to have all marketing materials in a timely fashion. Prevent the “last minute scenario.






Step 6

Step 9

Step 7

Step 8

Communication Goals



Execute

EvaluateStep 10Like analysis in Step 8. Always evaluate the success of the marketing plan. It is importto judge not only the full plan but its specific elements as well.

Task Method – Set budget based on what needs to be accomplished! To reach the total operating cost you must establish a cost for each marketing tool and times it will be implemented throughout the year.

How Much to Budget?How Much to Budget?


Percentage of Sales Method – Traditionally 4 -5% of Gross Sales. This will help keep the number you came up with in the task method in check.



Percentage of Sales Method – Traditionally 4 -5% of Gross Sales. This will help keep the number you came up with in the task method in check.

Competitive Method – Set your marketing plan based on competition’s marketing mix. While hard to estimate competitors marketing budget. This method protects market share.


Advertising for specialty retailers continues

to change and the classic 4 P’s of Marketing:

1. Product

2. Price

3. Place

4. Promotion

Make Marketing ROI a Make Marketing ROI a Reality: Focus on the 4 A'sReality: Focus on the 4 A's

Advertising for specialty retailers continues

to change and the classic 4 P’s of Marketing:

1. Product

2. Price

3. Place

4. Promotion

May now be replaced with the 4 A’s

1. Accountability

2. Analysis

3. Accuracy

4. Action

Make Marketing ROI a Make Marketing ROI a Reality: Focus on the 4 A'sReality: Focus on the 4 A's

“In good times people want to advertise:

in bad times people have to.”Bruce Barton CEO BBDO

Do not fall to the myth that Advertising doesn’t work to sell products.

“In good times people want to advertise:

in bad times people have to.”Bruce Barton CEO BBDO

Do not fall to the myth that Advertising doesn’t work to sell products.

Remember that poorly planned advertising doesn’t work. We all make mistakes, even in advertising, by establishing, tracking and evaluating your marketing plan you will be able to growth your business and get a handle on what types of advertising are helping to make your business grow!

Stop missing opportunities to Sell More!

This year get a return on every penny you spend!

Work SheetsWork Sheets

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