Advertising–1

Advertising Decisions

Ad copy analysis

ADCAD system

Exercise for Enhance hair conditioner

Advertising–2

Advertising Copy Analysis

Copy testing:

Attention Persuasion Understanding Purchase

Creativity templates:

Abstract templates based on successful ads

Advertising–3

Advertising Copy Analysis

Creative Quality Models:

Quality = Weighted Sum/Product of Key Indicators:

Indicators include:

Page number Color RH/LH side Bleed Size Short/Long copy, etc.

~ explains about 30% of variance

Artificial Intelligence Systems: ADCAD and Adduce

Advertising–4

Johnson Wax (Enhance) Map: Conditioning vs. Clean

Clean

Conditioning

0.00 1.00–1.00

–0.60

0.60

0.00

Sassoon

Agree

Loreal

W.BalsamEnh.Post

EnhanceCondition

Fx.instTame

Br. Clean

Suave

Herb.ess

F.Fawcett

I

Enhance =Before use positioning Enh.Post =After use positioningI =ideal brand positioning

Advertising–5

Enhance =Before use positioning Enh.Post =After use positioningI =ideal brand positioning

Johnson Wax (Enhance) Map: Conditioning vs. Effects

Sassoon

Agree

Loreal

W.Balsam

Enh.Post

Enhance

Condition

Fx.inst

Tame

Br. CleanHerb.ess

F.Fawcett

Suave

Effect onHair

0.00 1.00–1.00

–0.60

0.60

0.00

I

Conditioning

Note: The poor Enh.Post position suggests a need to revise copy.

Advertising–6

Systematic Approach to Ad Development

Ads should be developed based on sound marketing and advertising strategies

Good ads are developed based on a knowledge of: advertising concepts and theories

market, product, and audience characteristics

philosophies of client and ad agency

Advertising–7

Typical Sequence of Steps in Ad Design

Marketing Strategy

Objective

Target audience

Advertising Strategy

Link to marketing strategy

Find unique brand opportunity

Desired ConsumerResponse

Beliefs, feelings, or behavior

Creative strategy

Primary Benefit

Message/support

Executional elements

Advertising–8

ADCAD System Overview

ADCAD Reasoning Process

Communication ApproachesPositioning Message

Characteristics• Benefits • Message arguments• Comparisons • Ad format• Message sidedness • Educational

techniques

Presenter Characteristics Message Emotion• Attractiveness • Strength• Similarity • Direction• Expertise • Mood• Objectivity

Advertising Objectives

Marketing Objectives

Market Assessment

Knowledge Base• Published theory• Published empirical findings• Cumulative agency experience

Background information (problem definition; brand, competitor, product, and audience characteristics)

Questions, definitions, and explanations

Target audience selection and other marketing decisions

Recommendations and rationale

“What if” sensitivity analysis

User

Information from

Marketing Research

and Databases

New branduses

Product purchasemotivation

Decision involvement

Time of brand decision

Current top-of-mind

awareness

Current brandrecognition

Package visibility and recognition at

POP

Brand type

Brand purchasemotivation

Nature of product

Past & presentproduct usage

Past & present brand usage

Brandmarket share

Product purchase interval

Product usagerate

Product lifecycle stage

Currentbrand loyalty

Marketing Objectives

AdvertisingObjectives

Advertising–29

Decision involvement

Consumereducation

level

Product knowledge

Conflictinginformation

Brand attitude

Message processingmotivation Decision

involvement

Brandknowledge

Benefit awareness

BenefituniquenessBenefit

importance

Benefitdelivery

Performance evaluation

ability

Creative Strategy

Productknowledge

Benefit Presentation

Message Sidedness

ComparisonsPresentation Techniques

Advertising–30

Advertising–11

Marketing Objectives

Stimulate primary demand

Reinforce primary demand

Stimulate brand trial

Stimulate repeat purchase or loyalty

Increase rate of brand usage

Attract trier-rejectors

Advertising–12

Advertising Objectives

Create/increase brand recognition

Create/increase top-of-mind awareness

Communicate category image/mood/lifestyle

Communicate brand characteristics

Communicate brand image/mood/lifestyle

Maintain brand recognition

Maintain top-of-mind brand awareness

Reinforce category beliefs

Reinforce brand image/mood/lifestyle

Communicate brand changes/enhancements

Communicate new brand image/mood/lifestyle

Communicate new brand uses

Advertising–13

Format

Demonstration of product in use or by analogy

Demonstration of results of using the product

Endorsement by celebrity/authority

Testimonial by product user

Customer interview

Slice-of-life

Problem-solution

Fantasy, exaggeration, or surrealism

Musical

Comedy or satire

Serious drama

Vignette

Unusual/extreme

(Announcement)

(Case-history)

(Brand production/preparation)

Advertising–14

Presenter Characteristics

Species

Age

Sex

Identity

Recognizability

Credibility (Expertise, Objectivity)

Attraction (Likability, Similarity)

Advertising–15

Presentation Techniques

Package-closeup Familiar scenario

Color illustration General humor

Long package display Product humor

Jingle/rhyme/slogan Incongruent elements

Questions Animation/cartoon/rotoscope

Brand name repetition Hidden-camera

Personal reference Implicit conclusion

Music and/or singing Explicit conclusion

Visual/verbal integration Climax presentation

Visual stimuli/imagery Anti-climax presentation

Quantitative arguments Strong arguments

Surrogate indicators Capture consumer emotions

Front-end impact Message sign-off

Short copy Short headline

Nouns in headline

Advertising–16

Emotion in Ad

Anger then relief ConvenienceRelief Dullness then elationFear then relaxation ElationRelaxation Boredom then excitementFear then trust ExcitementTrust Apprehension then flatteryModerate or high fear FlatteryDisappointment the optimism Tension, discomfort, threatOptimism SurpriseAnnoyance then convenience Nostalgia

Sanguine Phlegmatic Melancholic Choleric

Advertising–17

Recommended Benefits

Price/economy

Value

Quality

Challenge

Enjoyment

Safety

Status

Convenience

Guarantees or warranty

Nutrition or health

User satisfaction or loyalty

New product or option

New brand uses

New solution

(Dependability)

(Self-expression)

Advertising–18

Marketing Objectives RuleExample in ADCAD

Marketing Objectives (11 rules)

IF product life cycle stage = introductionAND innovation type = discontinuousTHEN marketing objective = stimulate primary demand

IF brand usage = noneTHEN marketing objective = stimulate brand trial

IF current brand usage = someAND (brand switching = high OR product usage rate = fixed)THEN marketing objective = stimulate repeat purchase/loyalty

IF current brand usage = someAND brand switching = lowAND product usage rate = variableTHEN marketing objective = increase rate of brand usage

Advertising–19

Positioning Rule Examplein ADCAD

Positioning (24 rules)

IF ad objective = convey brand image or reinforce brand imageAND brand purchase motivation = social approvalAND brand usage visibility = highTHEN possible benefit = “status” (c.f. Holbrook & Lehmann 1980)

IF ad objective = convey brand information or change brand beliefsAND perceived differences between brands = small or mediumAND perceived relative performance = inferior or parityAND relative performance = superiorAND current brand loyalty = competitor loyalTHEN message comparison = direct comparison against competition

(Gorn & Weinberg 1983)

IF ad objective = convey brand information or reinforce brand beliefsAND conflicting information = likely AND education = college or graduateAND product knowledge = high AND involvement = highTHEN message sidedness = two-sided (McGuire & Papageorgis 1961)

Advertising–20

Message Characteristic Rule Example in ADCAD

Message Characteristics (80 rules)

IF ad objective = increase top-of-mind awareness

THEN technique = jingle, rhyme, or slogan (MacLachland 1984)

IF ad objective = convey brand information or reinforce brand beliefs

AND market share = large

AND brand switching = high

AND product type = existing

THEN technique = sign off (Stewart & Furse 1986)

IF ad objective = convey brand information or change brand beliefs

AND message processing motivation = low

AND message processing ability = low

THEN ad format = problem solution (Schwerin & Newell 1981)

Advertising–21

Output: Marketing and Advertising ObjectivesMarket objective = stimulate brand trial Advertising objectives = create/increase brand

recognition,communicate brand image/mood/lifestyle

Output: Communication ApproachesPositioning:

Featured benefit = quality (user replaced Message comparison = none recommend benefit = “value”) Message sidedness = one-sidedBenefit claim = extremely positive Number of benefits = few

Message Characteristics:Format = demonstration of product in use, Technique = closeup, color illustrations, long package endoresement by celebrity, vignette display, music, visual stimuli/imagery, surrogate

indicators of performance, capture consumer emotions

Presenter/Principal Character:Identity = celebrity Sex = female Likability = highIdentification in message = early Attraction = high Recognizability = high

Message Emotion:Strength = high Direction = positiveTone = apprehension/flattery Authenticity of portrayal = high

ADCAD Consultation: Output

Advertising–22

Benefits of ADCAD System

Flexible representation and processing of advertising knowledge using AI methods

Separate knowledge from its processing

Verbally rich models that are closer to the way people normally tend to think -- incorporating qualitative elements relevant to a situation

Improved explanatory features

Deliver knowledge when and where decisions are made

Advertising–23

Limitations of ADCAD Knowledge Base

Unclear specification of the context in which a rule is valid

No clear assessment of the degree of uncertainty associated with a knowledge element

Much of the knowledge is not empirically verified in a scientific sense

Advertising–24

Initial Ad Agency Reactions

Creating an advertisement is like making an omelette—easy to do but difficult to do well! Do you know any computers that can make an omelette?

Computers and creatives? Forget it!!

What do you think?

Advertising–25

Potential Application Areasof Knowledge-Based Systems

Too much information Systems to interpret information and generate insights for

managerial actions. Example: Interpretation of log files from web servers

Too many options to consider and evaluate Systems to reduce the number of options to a few important ones

Example: Design of TV commercials

No single individual has all the relevant skills/knowledge

Systems incorporating multiple sources of knowledge and expertise. Example: New Product Development screening

Advertising–26

Potential Application Areasof Knowledge-Based Systems

Routine problems with highly variable input data Systems to automate problem solving. Examples: credit card

authorization, product configuration

Shortage of skilled employees/frequent turnover Systems that embed procedures and plans. Example: Help desk

Need “just-in-time” knowledge to solve a management problem

Network of expert systems available on demand