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Second level
A Seminar by: ● Third level
Advertising
Media Planning &
Campaign Planning
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Advertising
Advertising - Definitions
Advertising:
Is paid, non-personal communication
through various media by business firms,
nonprofit organizations, and individuals who
are in some way identified in the advertising
message and who hope to inform or
persuade members of a particular audience;
includes communication of products,
services, institutions, and ideas.
Advertising - Definitions
Advertising:
1. consists of all the activities involved in
presenting to a group, a no-personal, oral
or visual, openly sponsored message
regarding product services or idea, this
message called advertisement, is
disseminated through one or more media
and is paid for by an identified sponsor –
William J.Stanton
Advertising - Definitions
Advertising:
2. is causing to know, to remember, to do –
Wood
3. is any form of paid non-personal
presentation of ideas, goods or services for
the purpose of inducing people to buy –
Weeler
4. is a paid form of non-personal
presentation of ideas, goods or services by
an identified sponsor – Ricard Burkirk
Institutional Advertising
Institutional advertising:
Is a type of advertising in which the
retailer attempts to gain long-term benefits
by promoting and selling the store itself
rather than the merchandise in the store.
Possible Promotion Objectives in Retailing
Sales promotion
Sales promotion:
Involves the use of media and non-media
marketing pressure applied for a
predetermined, limited period of time at the
level of consumer, retailer, or wholesaler in
order to stimulate trial, increase consumer
demand, or improve product availability.
Promotional advertising:
Promotional advertising:
Is a type of advertising in which the
retailer attempts to increase short-term
performance by using product availability or
price as a selling point.
Functions of advertising: Primary
§ To increase sales
§ To induce new buyers
§ Persuasion of channel members to stock the
goods
§ To increase per capita consumption by consistent
repetition
§ To increase the receptiveness of the product
§ Creates insurance for manufacturer’s product
Functions of advertising: Primary
§ To even out seasonal fluctuations in
demand
§ To create brand images and brand loyalty
§ To increase standard of living by inducing
to buy better quality products
Functions of advertising:
Secondary
§ To assist salesmen to face customers with
confidence
§ To provide information to all stakeholders
§ To create a feeling of pride among
executives and workmen of the company
§ To create feeling of safety among
customers
§ To create feeling of security among
employees
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Campaign Planning
What is an Advertising Campaign
Webster:
ü “ a series of planned actions”
• Ads develop points around a single
primary appeal and together form a
campaign
Steps in Planning a Retail Advertising
Campaign
Selecting Advertising Objectives
Budgeting for the Campaign
Designing the Message
Media Alternatives
Media Selection
Scheduling of Advertising/ Defining Segments and
Positioning
Evaluating the Results
Steps in Planning a Retail Advertising
Campaign
Affordable Method
Is a technique for budgeting advertising in
which all the money a retailer can afford to
spend on advertising in a given time period
becomes the advertising budget.
Steps in Planning a Retail Advertising
Campaign
Percentage-of-sales method:
Is a technique for budgeting in which the
retailer targets a specific percentage of
forecasted sales as the advertising budget.
Advertising as Percentage of Sales by Line of Trade
LO 3
Steps in Planning a Retail Advertising
Campaign
Task and objective method:
Is a technique for budgeting in which the
retailer establishes its advertising objectives
and then determines the advertising tasks
that need to be performed to achieve those
objectives.
Steps in Planning a Retail Advertising
Campaign
Horizontal cooperative advertising:
Occurs when two or more retailers band
together to share the cost of advertising
usually in the form of a joint promotion of an
event or sale that would benefit both parties.
Steps in Planning a Retail Advertising
Campaign
Vertical cooperative advertising:
Occurs when the retailer and other
channel members (usually manufacturers)
share the advertising budget. Usually the
manufacturer subsidizes some of the
retailer’s advertising that features the
manufacturer’s brands.
Media Alternatives
o
Newspaper Advertising
o
Television Advertising
o
Radio Advertising
o
Magazine Advertising
o
Direct Mail
o
Internet
o
Miscellaneous Media
Steps in Planning a Retail Advertising
Campaign - Scheduling
Coverage:
Is the theoretical maximum number of
consumers in the retailer’s target market
that can be reached by a medium and not
the number actually reached.
Steps in Planning a Retail Advertising
Campaign - Scheduling
Reach:
Is the actual total number of target
customers who come into contact with an
advertising message.
Steps in Planning a Retail Advertising
Campaign - Scheduling
Cumulative reach:
Is the reach that is achieved over a period
of time.
Steps in Planning a Retail Advertising
Campaign -Scheduling
Frequency:
Is the average number of times each
person who is reached is exposed to an
advertisement during a given time period.
Steps in Planning a Retail Advertising
Campaign - Evaluation
Cost per thousand method (CPM)
Is a technique used to evaluate
advertisements in different media based on
cost. The cost per thousand is the cost of
the advertisement divided by the number of
people viewing it, which is then multiplied by
1,000.
Steps in Planning a Retail Advertising
Campaign - Evaluation
Cost per thousand – target market (CPM-TM)
Is a technique used to evaluate advertisements
in different media based on cost. The cost per
thousand per target market is the cost of the
advertisement divided by the number of people in
the target market viewing it, which is then
multiplied by 1,000.
Steps in Planning a Retail Advertising
Campaign - Evaluation
Impact:
Refers to how strong an impression an
advertisement makes and how well it
ultimately leads to a purchase.
Steps in Planning a Retail Advertising
Campaign - Evaluation
Advertising effectiveness:
Is the extent to which the advertising has
produced the result desired.
Steps in Planning a Retail Advertising
Campaign - Evaluation
Advertising efficiency:
Is concerned with whether the advertising
result was achieved with the minimum
financial expenditure.
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Second level
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Media Planning
The Media Plan Must Accomplish Three Things
To whom do we advertise?
Where do we advertise?
When do we advertise?
In which media should we advertise?
To Whom Do We Advertise? (Target Audience)
Seasonal timing
Holiday timing
Days-of-the-week timing
Hours-of-the-day timing
Other factors – frequency objectives,
budget, publication frequency
Three Scheduling Methods
Continuity
Flighting
Pulsing
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
When Do We Advertise? (Scheduling)
In Which Media Classes Should We Advertise?
Cost of ad space
CPM = (absolute cost) X 1,000
Circulation
Calculating CPM Based on the Target Audience
Time Newsweek
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