Advtg Field Planning & Objective Setting

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    Advertising Management

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    The Field of

    Advertising Management

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    Market / Consumer Behavior

    Government

    Competition

    Ad Agency

    Media

    Research

    Agency

    Advertiser

    Control Inst. Facilitating Inst.

    The Institutions Involved and their

    Role

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    Research Suppliers

    Advertiser Ad agency Media

    Role of the Facilitating Institutions

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    Advertising Management

    Planning and Decision Making

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    Framework of Advertising Planning

    and Decision Making

    Situation Analysis

    Marketing Program

    Integrated Mar. Com. Plan

    Advertising Plan

    Implementation

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    Role of Advertising

    In the Marketing Program

    Situation Analysis

    Marketing Program

    It defines the role of eachelements of the Marketing Mix

    And indicates how all elements

    will support and synergize for

    maximum impact

    IMC & Advertising plan

    Implementation

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    Advertising Plan Components

    Situation Analysis

    Marketing Program

    Advertising Plan

    And IMC

    Setting Objectives -

    (segmentation-positioning)

    Media strategy and tactics

    Message strategy and tactics

    Implementation

    Coordination and synergy

    with other IMC tools

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    Advertising Plan - Implementation

    Situation Analysis

    Marketing Program

    IMC /Advertising Plan

    Implementation

    Facilitating Agencies

    Social, legal and other

    constraints

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    Advertising

    Persuasive Communication

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    The Communication Process

    MessageSource Receiver Destination

    Media WOM

    Perception Process

    Message

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    The

    Persuasion

    Process of

    Advertising

    is through

    a variety

    of

    advertising

    effects

    Awareness/

    Familiarity

    Brand Benefits

    and Information

    Creating Image /

    Personality

    Associating

    Feelings with Brand

    Linkage of Brand withPeers/Experts/Group Norms

    Reminder / Brand trial

    Inducement

    BrandAttitude

    PurchaseBehavior

    The Persuasion Process of Advertising

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    Setting Goals and Objectives

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    Advertising and Marketing Objectives

    Advertising objectives flow from marketing objectives

    Marketing Objectives

    AdvertisingObjectives

    MediaObjectives

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    Sales as Advertising Objectives

    Operational Advertising Objectives -

    Provide criteria for decision making

    Serve as a communication and coordination tool

    Provide criteria to evaluate performance

    Can Sales be an Operative Objective?

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    Sales

    A meaningful Advertising objective?? Advertising has a lagged effect

    New customers Advertising Immediate Sales Future Sales

    Change attitude / improve image

    Isolating Ad impact from other elements of the

    marketing mix is difficult

    Hence sales cannot be an operative objective

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    SettingAdvertising Objectives

    Setting Objectives involve 3 considerations

    1. Behavioral decisions that Advertising must

    influence e.g. trail purchase, repeat purchase

    2. Decision making process that influencesbehavior and precedes communication

    3. The Target Segment

    Advertising has no direct relationship with sales

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    Sales Strategy -

    The basis for Advertising Objectives

    Sales growth comes from -

    New customers buying

    Old customers staying loyal

    Old customers consuming more

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    Demand Generation Offensive Strategy

    Market dynamics:- Sales grow because of new customers buying

    Offensive Marketing Strategies Primary demand generation an appropriate strategy

    for a market leader

    Secondary demand generation an appropriatestrategy in a mature market

    Those not the

    buying product

    Existing

    customers

    Those buying

    Other brands

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    Demand Generation

    Defensive Strategy

    Market dynamics:

    Sales grow with old customers staying loyal

    Defensive Marketing Strategy Recall the important brand features

    Reinforce use experience

    Consumerpromotions

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    Demand Generation

    I

    ncrease Consumption

    Market dynamics:

    Sales grow with product form expansion More frequent usage / share of requirement

    (SOR)

    New use applications

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    Secondary Demand-

    New customers using

    other brands

    Primary Demand -

    Customers trying

    the category for the

    first time

    Existing customer

    Loyalty

    More Consumption

    New uses and more usage

    Behavioral

    Responses

    that drive

    Purchase

    Marketing / Sales Strategies & Behavioral Objectives

    Induce Trial

    Purchase

    Induce Trial

    Purchase

    Loyalty

    Increased

    Usage / SOR

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    The Influence of Advertising

    on Desired Behavior

    Advertising is not effective in directly evoking desired

    action -Purchase.

    Advertising causal intervening response

    desired behavioral response Sales

    Sales Promotions, Direct Marketing, RetailAdvertising

    used in conjunction with Advertising can drive sales

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    The

    Persuasion

    Process of

    Advertisingis through

    a variety

    of

    advertising

    effects

    Awareness/

    Familiarity

    Brand Benefits

    and Information

    Creating Image /

    Personality

    Associating

    Feelings with Brand

    Linkage of Brand withPeers/Experts/Group Norms

    Reminder / Brand trial

    Inducement

    BrandAttitude

    PurchaseBehavior

    The Persuasion Process of Advertising

    These Intervening Variables between Advertising and Action are

    more effective Operational Advertising Objectives than Sales

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    The

    Persuasion

    Process ofAdvertising

    is through

    a variety

    of effects

    Awareness /

    Familiarity

    Brand Benefit

    Information

    Creating image -

    personality / users

    Associating feelings

    with Brand use

    Linkage with peers /

    experts/group norms

    Reminder / Brand trial

    inducement

    Purchase

    These Intervening Variables have a causal relationship between

    Advertising & Sales

    Trial Purchase

    & Loyalty

    Trial Purchase &

    Increased usage

    Loyalty

    Loyalty

    Loyalty

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    Advertising Objectives (the Intervening

    Response Variables that are persuasive in its

    context)are determined by the type of Sales

    Strategy and Behavioral Objectives

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    Other Persuasion Models

    IADA Hierarchy Innovatioof Effects Adoption

    AttentionAwareness

    Knowledge

    Awareness

    Interest

    Desire

    Liking

    Preference

    Conviction

    Interest

    Evaluation

    Cognitive

    Stage

    Affective

    Stage

    Action

    Stage

    Action Purchase

    Trial

    Adoption

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    Advertising Objectives,

    Segmentation and Positioning

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    Advertising Objectives

    Include th

    eT

    arget SegmentSegment and sub-segment can be defined by

    Behavioral measures non-users, other brand

    users, heavy / light / loyal users etc.

    Advertising response measures unaware, not

    convinced of key benefits, diffused / sharp image, etc

    Lifestyle - attitude and opinions, interests

    Benefits sought

    Demographic, psychographics, geographic basis -

    more relevant for media decisions

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    Segmentation Strategies

    Undifferentiated orAggregation Strategy : All

    groups are the focus of a singleMarketing Program

    Concentration : all marketing programs are focused

    on one large sub-group

    Concentration on a small segment is a Niche Strategy

    Differentiation : separate marketing programs for 2 or

    more sub-groups

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    Target Market and

    Media Reach

    Approach

    es Controlled Coverage using niche media to

    reach only the desired segment e.g. trade

    magazines

    Customer Selection using mass media for

    Reach is directed at mass audiences

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    Advertising and Positioning

    Brand Positioning is communicated primarily

    through Advertising

    It differentiates the brand - indicates the position

    of the brand vis--vis other brands In the absence of an USP Advertising is the

    differentiator

    Repositioning may also be considered

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    Positioning Strategies

    Positioning strategies - single or multiple:

    Product attributes or consumer benefit

    Price-quality

    Use or application

    Users

    Product class Cultural symbols

    Competitors