*Chapter_15_-_Advertising_Promotion_and_Personal_Selling_A2L

Advertising and Its Objectives

• Advertising is a paid form of communication designed to persuade consumers.
• Objectives of Advertising:
  • Inform: Early in the Product Life Cycle (PLC), advertising aims to educate consumers about a product/service.
  • Example: CNIB promotes eye health by warning about the risks of UV rays through informative advertising.
  • Persuade: Typically used during the growth and early maturity stages of the PLC to encourage brand trial and preference.
  • Example: Quiznos highlighting its products surpassing Subway in quality.
  • Remind: After market acceptance is achieved, reminders maintain top-of-mind awareness.
  • Example: Milk campaign slogans reinforcing product consumption habits.

The AIDA Model in Advertising

• The AIDA model is critical in marketing communication:
  • Attention: Capturing consumer interest through compelling visuals/messages.
  • Interest: Persuading consumers to learn more about the product.
  • Desire: Creating a personal liking or wanting for the product.
  • Action: Encouraging consumers to take specific actions, like making a purchase. Additional actions may include visiting a website or engaging with content.

Regulatory and Ethical Issues

• Regulatory Framework: In Canada, adherence to advertising regulations ensures fairness and consumer protection against deceptive practices.
  • Key Institutions:
  • Competition Bureau: Enforces fair business practices and addresses misleading advertising.
  • CRTC: Regulates broadcasting and telecommunications advertising, ensuring compliance with federal standards.
  • Key Terms:
  • Deceptive Advertising: Misleading consumers through false representations.
  • Puffery: Legal exaggeration for promotional purposes that is not considered deceptive.

Sales Promotions and Their Role

• Consumer Sales Promotions: Designed to target either end-users or channel members and can adopt either push or pull strategies.
• Types of Promotions:
  • Coupons: Stimulate demand but have low redemption rates.
  • Deals: Encourage trial and reduce consumer risk.
  • Premiums: Enhance perceived value, but can shift focus from product to premium.
  • Contests/Sweepstakes: Increase engagement but require careful management.
  • Loyalty Programs: Create repeat purchase behaviors but can be costly.

Personal Selling Process

• Personal selling encompasses various methods like face-to-face communication, video conferencing, and internet interaction.
• Steps in the Personal Selling Process:
  • Generate & Qualify Leads: Sourcing potential clients through existing connections, events, and digital platforms.
  • Preapproach: Setting goals and expectations before consumer interaction.
  • Sales Presentation & Overcoming Objections: Engaging with customers, listening attentively, and managing any concerns that arise.
  • Closing the Sale: Finalizing the purchase agreement, which is often a stressful but vital part of sales.
  • Follow-Up: Ensures customer satisfaction and promotes repeat business by assessing service quality.