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Chapter 15

Advertising and Public Relations

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Advertising

A persuasive message carried by a nonpersonalmedium and paid for by an identified sponsor.

Two types: Product advertising

Institutional advertising

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Institutional Advertising

Advertising designed topromote an organizational

image or to build goodwill.Example:

GEs We bring good things to

light.

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Advocacy Advertising Advertising in which an

organization expressesits views oncontroversial issues orresponds to mediaattacks

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Product AdvertisingAdvertising promoting a specificproduct.

Two types: Direct-action advertisement:

stimulates immediate purchase

Indirect-action advertisement:

stimulates sales over the long run.

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Product Advertising

Pioneering

Competitive

Comparative

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Creative Decisions inAdvertising

AdvertisingCampaign

A series of related

advertisements focusing

on a common theme,

slogan, and set of

advertising appeals.

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Creative Decisions inAdvertising

Determine theadvertising objectives

Make creative decisions Make media decisions

Evaluate the campaign

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Some Specific Advertising

Objectives Might Include: Sales lead

generation Increasing brand

awareness Increasing repeat

purchases Increasing

consumption bycurrent users

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Creative Decisions

Develop and evaluateadvertising appeals

Executethe message

Evaluate thecampaigns effectiveness

Identifyproduct benefits

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Identify Product Benefits What is the attribute?

What is the benefit?

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The Advertising Appeal Identifies the reason

for a person to buy aproduct Unique Selling

Proposition

Common AdvertisingAppeals: Profit

Health

Love or romance

Fear

Fun Vanity

Environmentalism

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Executing the Message

Mood orImage

Musical

Demon-stration

Scientific

Real/AnimatedProductSymbols

Fantasy

Lifestyle

Slice-of-Life

Humorous

Spokes-person/Testimonial

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When developing media strategy, answer

these two questions: Which media will

effectively andefficiently get the

message to thedesired audience?

What scheduling ofthese media will

neither bore norallow people toforget?

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Media

Advantages/DisadvantagesNewspapers:

+ Convenient & quick

- Poor quality of printMagazines:

+ Long-life ad

- Clutter

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Media Advantages/Disadvantages

Television:

+ Audio-visual

+ Very high reach- Expensive & perishable

Radio:

+ Flexible

+ Inexpensive

- Clutter & perishable

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Media

Advantages/DisadvantagesInternet+ Inexpensive+ High reach: worldwide

- Cannot reach non-computer users

Outdoor ads+ High reach & frequency

+ Inexpensive- Brevity of message

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Creating a Media Plan Cost per contact

Reach

Frequency Gross Rating Points

Audience Selectivity

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Media Scheduling

ContinuousMedia Schedule

Flighted

Media Schedule

PulsingMedia Schedule

SeasonalMedia Schedule

Advertising is run steadilythroughout the period.

Advertising is run heavily every

other month or every two weeks.

Advertising combines continuousscheduling with flighting.

Advertising is run only when theproduct is likely to be used.

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Evaluating Advertising Pretesting:

Focus groups

Quantitative studies Posttesting:

Recall tests

Changes in attitudes

Generating inquiries Sales performance

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Ethical Issues in Advertising

Deceptive Advertising

Misleading advertising

Bait-and-switch

Puffery

Public Standards

Quality of Childrens Lives

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Public Relations

Public RelationsThe element in the

promotional mix that:

evaluates public attitudes

identifies issues of publicconcern

executes programs to gain publicacceptance

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Publicity versus Public Relations

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Press relations

Product publicity

Corporate communication

Public affairs

Lobbying

Employee and investor relations

Crisis management

Functions of Public Relations

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Product placement

Consumer education

Event sponsorship

Issue sponsorship

Internet Web sites

New product publicity

Public Relations Tools

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Crisis

Management

Managing Unfavorable

Publicity

A coordinated effortto handle the effects

of unfavorable

publicity or of anunfavorable event.