Chapter 16 - Advertising, Public Relations, and Sales Promotion

Institutional Advertising

Form of advertising designed to enhance a company’s image rather than promote a product

Product Advertising

Designed primarily to promote goods or services, and it is classified into three main categories: pioneering, competitive, and comparative

Pioneering Advertising

Form of advertising designed to stimulate primary demand for a new product/product category

Used in introductory stage of the PLC and offers consumers’ in-depth information about the benefits of the product class

Competitive Advertising

Form of advertising designed to influence demand for a specific brand

Used when product enters growth stage of PLC, goal is influence demand for a specific brand

Comparative Advertising

Form of advertising that compares two or more specifically named or shown competing brands on one or more specific attributes

Used when products experience slow growth or when competition in the market is strong

Advertising Appeal

A reason for a person to buy a product

Profit - Advertising Appeal

Lets consumers know whether the product will save them money, make them money, or keep them from losing money

Ex. Appliances that promote energy efficiency.

Health - Advertising Appeal

appeals to those who are body conscious or who want to be healthy

Ex. Products that appeal to an individual’s wellbeing.

Fear- Advertising Appeal

Can center around social embarrassment, growing old, or losing one’s health; because of its power, requires advertiser to exercise care in execution

Ex. Vehicles that discuss safety features for the prevention of an accident.

Admiration - Advertising Appeal

Frequently highlights celebrity spokespeople

Ex. Shaq’s “Shaq-a-Roni” Pizza collaboration with Papa Johns Pizza

Convenience - Advertising Appeal

Often used for fast-food restaurants and microwavable foods.

Ex. Ready-to-eat meals and delivery services that promote speed and ease.

Fun and Pleasure - Advertising Appeal

Keys to advertising vacations, beer, amusement parks, etc.

Ex. Disney World advertisements

Vanity and Egotism - Advertising Appeal

Used most often for expensive or conspicuous items such as cars and clothing

Environmental Consciousness - Advertising Appeal

Centers around protecting the environment and being considerate of other in the community

Ex. Products made from recycled materials or reduce the usage of natural resources.

Continuous Media Schedule

Media scheduling strategy in which advertising is run steadily throughout the advertising period

Used for products in later stages of PLC

Ex. Ivory soap and Charmin toilet tissue

Flighted Media Schedule

Media scheduling strategy in which ads are run heavily every other month or every two weeks to achieve a greater impact with an increased frequency and reach at those times

Ex. Movie ads on Wednesday and Thursday nights

Pulsing Media Schedule

Media scheduling strategy in which that uses continuous scheduling throughout the year coupled with a flighted schedule during the best sales periods

Ex. Thanksgiving, Christmas, and back-to-school sales

Seasonal Media Schedule

Media scheduling strategy that runs advertising only during times of the year when the product is likely to be used

Ex. Cold medication and sunscreen lotion

Recency Planning

Theory of scheduling television advertising for frequently purchased products, such as Coke and Tide detergents

Main premise is to influence the brand choice of people who are ready to buy

New-Product Publicity - Public Relations Tool

PR professionals write presentations releases or develop videos in an effort to generate news about their products.

Publicity can help advertisers explain what’s different about their new product by prompting free news stories or positive word of mouth about it

Product Placement - Public Relations Tool

Strategy that involves getting one’s product, service, or name to appear in a movie, television show, radio program, magazine, newspaper, video gannet, video or audio clip, book, commercial for another product , on the Internet, or at special events

Sponsorship - Public Relations Tool

Company spends money to support an issue, cause, or event that is consistent with corporate objectives, such as improving brand awareness or enhancing corporate image

Experiential Marketing - Public Relations Tool

Involves engaging with consumers in a way that enables them to feel the brand

Coupon

Certificate that entitles consumers to an immediate price reduction when the product is purchased

Rebate

Cash refund given for the purchase of a product during a specific period

Premium

Extra item offered to the consumer, usually in exchange for some proof of purchase of the promoted product

Loyalty Marketing Program

Promotional program designed to build long-term, mutually beneficial relationships between a company and its key customers

Frequent Buyer Program

Loyalty program in which loyal consumers are rewarded for making multiple purchases of a particular good or service

Contests

Promotions in which participants use some skill or ability to compete for prizes

Sweepstakes

Depends on chance and participation is free

Sampling

Promotional program that allows consumer the opportunity to try a product/service for free.

May be in-store, mailed to customer, delivered door-to-door, or packaged with another product

Point-of-Purchase (POP) Display

Promotional display set up at retailer’s location to build traffic, advertise product, or induce impulse buying

Signs attached to store shelves, shelf extenders, ads on grocery carts and bags, end-aisle and floor-stand displays, TV monitors at supermarket checkout counters, in-store audio messages, audiovisual displays