class 10

Principles of Marketing - Advertising & Promotion

Course Information

  • Class: 10

  • Institution: Leeds School of Business, University of Colorado Boulder

  • Term: Spring 2026

Lesson Agenda

  • Topics Covered Today:

    • Advertising vs. Promotion

    • Promotional Mix

    • Integrated Marketing Communications (IMC)

    • Marketing Plan Development

Key Marketing Concepts

Classes Overview

  • Products:

    • Definition: The good or service that meets customer needs and wants.

  • Price:

    • Definition: The amount of money customers must pay to acquire the product.

  • Place:

    • Definition: The distribution channels used to deliver the product to customers.

  • Promotion:

    • Definition: The activities and strategies used to raise awareness and persuade customers to buy the product.

Warm-Up Discussion

  • Question: What is your current understanding of "Advertising & Promotion?"

Definitions of Promotion and Advertising

Promotion

  • Definition:

    • Coordination of all seller-initiated efforts to set up challenges for information and persuasion, as well as to sell goods and services or promote an idea.

  • Key Aspects:

    • A broader set of marketing tactics aimed at stimulating immediate interest, awareness, or sales of a product or service.

    • An incentivized value exchange; can include advertising and other tactics.

Advertising

  • Definition:

    • Any paid form of non-personal communication.

  • Purpose:

    • Paid communication designed to inform, persuade, or remind a target audience about a product, service, or brand.

Purpose of Promotion

  • Objective: Create a Differential Advantage

    • Unique features perceived by the target market as significant and superior to the competition.

Factors Influencing Promotional Mix

  • Considerations:

    • Target Audience

    • Product Characteristics

    • Marketing and Communication Strategies

    • Stage in Product Lifecycle

    • Stage in Buying Process

Customer Experience Journey and Marketing Funnel

Marketing Funnel Stages

  1. Attention

  2. Interest

  3. Desire

  4. Action

  • Mix Influence: Influences the customer's experience journey; not all mix tools have the same impact.

Influencing Factors in the Marketing Mix

  • Customer Preferences (how they consume ads/news)

  • Marketing Budget

  • Reach of the Media Channel (National/Local)

  • Frequency of the Media Outlet (daily/weekly/monthly)

Closer Look: Types of Advertising

  1. Persuasive Advertising

    • Aim: Convince consumers to buy a company's products vs. competitors.

    • Often uses celebrities for greater awareness.

  2. Informative Advertising

    • Aim: Inform consumers about new products on the market.

    • Should be educational, particularly if the product is a disruptive innovation.

  3. Reminder Advertising

    • Aim: Maintain customer relationships and drive brand loyalty for mature products.

    • Keeps products top-of-mind for consumers.

Mapping Mix to Product Lifecycle

  • Stages of Product Lifecycle:

    1. Introduction

      • Promotional Objective: To inform.

      • Activities: Publicity in magazines, advertising, salesforce calling on intermediaries, sales promotion (free samples).

    2. Growth

      • Promotional Objective: To persuade.

      • Activities: Personal selling to intermediaries, advertising to differentiate from competing brands.

    3. Maturity

      • Promotional Objective: To remind.

      • Activities: Reminder advertising, sales promotions (discounts, coupons, events), limited personal selling, direct-mail reminders.

    4. Decline

      • Promotional Objective: To phase out.

      • Activities: Reminder advertising, minimal budget spent on promotion.

Integrated Marketing Communications (IMC)

  • Definition:

    • Coordinated communication of the promotional mix, ensuring each tactic has a strategic role to play.

  • Advantages of IMC:

    • Better reach and frequency

    • Greater overall amplification of the intended message

    • Consistency of brand and product perception

Strength of the IMC

  • Relies on the strength of the brand and its strategy.

  • Brand Identity Elements: Name, logo, symbols, design, packaging, and product/service attributes.

  • Consumer Connection:

    • Rooted in trust, transparency, authenticity, and engagement.

Development of Advertising & Promotion Strategy

External Analysis

  • Analyze the market for data-driven insights and white space.

Internal Analysis

  • Assess organizational capabilities and brand equities to determine white space viability.

Strategy Development

  • Rooted in brand foundations and target consumers.

  • Strategic Choices: Guide messaging and promotional mix planning.

Client or Agency Side Considerations

  1. Target:

    • Define whose behavior needs alteration; focus on psychographic and demographic profile.

  2. Insight:

    • Develop a connection rooted in understanding the target audience.

  3. Benefit:

    • Promise how the brand will improve consumer life, answering “What’s in it for me?”

Marketing Plan Overview

Components of the Marketing Plan Writing

  • Maps how to achieve SMART marketing objectives.

  • Leverages situation analysis to highlight challenges and opportunities.

  • Outlines overall marketing strategy and associated programs.

  • Recommendations for target markets and promotional mix tactics.

  • Includes budget and KPI (performance metrics).

Steps in Developing a Marketing Plan

  1. Align Objectives with Key Stakeholders:

    • Business objective as accountability for marketing delivery.

    • Marketing objective based on what needs to be accomplished (sales, share, profitability).

    • Marketing strategy outlines how to achieve marketing objectives.

    • Communications strategy defines how promotions will be deployed.

  2. Analyze the Situation:

    • External Analysis: Market segment characteristics.

    • Internal Analysis: Strategic advantages and areas of risk.

  3. Set Your Strategic Marketing Foundation:

    • Determine roles of promotional elements, identify target demographics and psychographics, craft impactful messages.

  4. Build Your Tactical Plan Recommendations:

    • Provide actionable plans for each quarter with clear promotional strategies and their respective campaigns.

  5. Budget and Measure Success:

    • Plan budget allocations across promotional mix and duration.

    • Prepare to evaluate objectives and adjust strategies, leveraging analytics for effectiveness measurement.