advertising research paper about chapter 1 the new world of advertising and integrated brand promotion. and a power point about it. Advertising a

advertising

research paper about chapter 1 the new world of advertising and integrated brand promotion.         

and a power point about it. 

Advertising
and Integrated
Brand Promotion

8th Edition

O’Guinn • Allen • Close Scheinbaum • Semenik

© 2019 Cengage. All Rights Reserved. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.

Chapter 1

The World of Advertising & Integrated Brand Promotion (IBP)

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Learning Objectives (Ch. 1)

Know what advertising and integrated brand promotion (IBP) are and what they can do.

Discuss a basic model of communication.

Describe the different ways of classifying audiences for advertising and IBP.

Understand advertising as a business process.

Understand the various types of advertising.

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Ch. 1 Framework

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IBP In Action: Panera
*In each chapter, we feature a brand who is using IBP and new media integration with traditional advertising, such as Panera.

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The New World of Advertising and Integrated Brand Promotion (IBP)

New media is a game changer.

Brands must blend traditional and new media; digital is NOT a pure replacement.

Consumer preferences and new technologies are reshaping the communication environment.

Mobile marketing: Communicating with target markets through mobile devices like smartphones or iPad or Surface tablet devices.

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New Media

Future is in digital and new media, as well as experiential media.

New media does not change the purpose of advertising and IBP.

Communicating effectively about the brand.

Firms of all sizes use advertising and IBP to build brands.

Brands that do not meet the needs of consumers do not succeed.

Consumers’ emphasis on brands has increased.

Google has revolutionized online advertising.

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New Media & Google AdWords
How is digital advertising a game changer?

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Advertising

Paid, mass-mediated attempt to persuade.

Essentials for advertising.

Paid: If a communication is not paid for, it’s not advertising.

Client or sponsor: company or organization that pays for advertising.

Mass mediated: Delivering through a medium designed to reach a large number of people.

Attempting to persuade: Communications designed to get someone to do something.

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Advertising Icon: Absolut

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Distinctions within Advertising

Advertisement: Specific message that an organization has created to persuade an audience

Advertising campaign: Series of coordinated advertisements that communicate a reasonably cohesive and integrated theme about a brand

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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From Advertising to IMC to IBP

-Use coordinated promotional activities to reinforce one another with the BRAND.

-Integrated BRAND Promotion goes beyond integrated marketing communications.

Traditional Advertising +

New Media

Coupons

Premiums

Event Marketing/Sponsorship

Social Media

Public Relations

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Integrated Brand Promotions (IBP) Tools

Process of using a wide range of promotional tools working together to create widespread brand exposure.

Uses a wide ranges of IBP tools:

Advertising in mass media.

Sales promotions.

Point-of-purchase materials.

Direct marketing.

Personal selling.

Internet advertising.

Event sponsorship/experiential marketing.

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Integrated Brand Promotions Tools, cont.

Social networks/social media.

Blogs.

Podcasting/smartphone messaging.

Branded entertainment.

Outdoor signage.

Billboards, transit, and aerial advertising.

Public relations.

Influencer marketing.

Corporate advertising.

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IBP Example: Cadillac
(TV, Print, & Social Media)

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Advertising as a Communication Process

Model of mass-mediated communication.

Occurs not face-to-face but through a medium.

Components.

Production: By the sender of a message.

Reception: By the sender of a message.

Accommodation and negotiation: Lie between the production and reception phases.

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A Model of Mass-Mediated Communication

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Audiences for Advertising

Audience: Group of individuals who receive and interpret messages sent from companies or organizations.

Target audience: Particular group of consumers singled out by an organization for an advertising or IBP campaign.

Potential audience since it can not be assured if the message has been received as intended.

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Audience Categories

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Household consumers

Members of business organizations

Members of a trade channel

Professionals

Government officials and employees

Audiences for Advertising: Geography (1 of 2)

Global advertising: Advertising that is used worldwide with only minor changes in the visual and message content.

International advertising: Firms prepare and place different advertising in different national markets for the same brand outside their home market.

National advertising: Reaches all geographic areas of a single nation.

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Audiences for Advertising: Geography (2 of 2)

Regional advertising: Producers, wholesalers, distributors, and retailers that concentrate their efforts in a relatively large geographic region.

Is not on a national scale.

Local advertising: Directed at an audience in a single trading area.

Cooperative advertising: Sharing of advertising expenses between national companies and local merchants.

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Advertising as a Business Process

Important aspects:

Contributing to the marketing mix.

Developing and managing the brand.

Achieving effective market segmentation, differentiation, and positioning.

Contributing to revenue and profit generation.

Being measurable.

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Role of Advertising in the Marketing Mix

Marketing: Process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services.

Creates exchanges that satisfy individual and organizational objectives.

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Advertising is Key to the Marketing Mix

Marketing Mix

Product

Perceived

Brand

Value

Promotion

(includes advertising)

Distribution

Price

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Role of Advertising in Brand Management (1 of 2)

Information and persuasion.

Informs target audiences about the values a brand has to offer.

Introduce new brands or brand extensions.

Brand extension: Adaptation of an existing brand to a new product area.

Called brand variant.

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Role of Advertising in Brand Management (2 of 2)

Building and maintaining brand
loyalty among consumers.

Brand loyalty: Consumers repeatedly purchases the same brand to the exclusion of competitors’ brands.

Brand equity: Set of brand assets linked to a brand, its name, and symbol.

Creating an image and meaning for a brand.

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IBP Example: Nike

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IBP Example: Adidas

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Role of Advertising in Brand Management

Building and maintaining brand loyalty within the trade.

Marketers can provide the trade with:

Sales training programs.

Collateral advertising materials .

Point-of-purchase advertising displays.

Premiums.

Web traffic.

Foot traffic-building special events.

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IBP Example: Non-Profit (WWF)

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Advertising’s Role in Segmentation

Market segmentation: Process of breaking down a large, heterogeneous market into submarkets that are homogeneous in terms of consumer characteristics.

Advertising helps:

Develop messages that appeal to the needs and desires of different segments.

Transmit those messages via appropriate media.

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Advertising’s Role in Differentiation

Differentiation: Process of creating a perceived difference between a brand and its competition.

Based on consumer perception.

Advertising helps:

Emphasize performance features.

Create a distinctive image for the brand.

Develop a message that is different and unmistakably linked to a company’s brand.

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Advertising’s Role in Positioning

Positioning: Designing a brand to occupy a distinct and valued place in the target consumer’s mind.

External position: Niche the brand will pursue relative to all the competitive brands.

Internal position: Position achieved with regard to the other, similar brands marketed by the firm.

Repositioning: Firm believes that a brand needs to be updated to address changing market conditions.

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IBP Example: Apple
How should Apple position their watch?

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Advertising’s Role in Contributing to Revenue and Profit Generation

Advertising contributes to the process of creating sales and revenue.

Does not generate revenue directly.

Creates pricing flexibility by:

Contributing to economies of scale.

Helping create inelasticity of demand to price changes.

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Types of Advertising (1 of 3)

Primary versus selective demand stimulation.

Primary demand stimulation: Creating demand for an entire product category.

Selective demand stimulation: Points out a brand’s unique benefits compared to the competition.

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Types of Advertising (2 of 3)

Direct versus delayed response advertising.

Direct response advertising: Encourages immediate action by consumer.

Delayed response advertising: Relies on imagery and message themes that emphasize the benefits and satisfying characteristics of a brand.

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Types of Advertising (3 of 3)

Corporate versus brand advertising.

Corporate advertising: Creates a favorable attitude toward a company as a whole.

Brand advertising: Communicates the specific features, values, and benefits of a particular brand offered for sale by a particular organization.

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Economic Effects of Advertising (1 of 2)

Effect on gross domestic product.

Contributes to levels of overall consumer demand.

Gross domestic product (GDP): Measure of the total value of goods and services produced within an economic system.

Effect on competition.

Competition is stimulated.

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Economic Effects of Advertising (2 of 2)

Effect on prices.

Advertising is built into product costs, which may be passed on to consumers.

Effect on value.

Adds value to the consumption experience.

Symbolic value: What a product or service means to consumers in a nonliteral way.

Social meaning: What a product or service means in a societal context.

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Is this ad an
example of
primary or
selective
demand
stimulation?

What’s the
difference?

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Trend towards IBP

From:

Advertising to

Integrated Marketing Communications to

Integrated Brand Promotion.

Advertising is only one of many promotional tools a marketer can use to communicate about a brand.

Beginning in about 1990, the concept of mixing various promotional tools was referred to as integrated marketing communications (IMC).

IBP involves the use of various promotional tools, including advertising, in a coordinated manner to build and maintain brand awareness, identity, and preference.

IBP emphasizes that coordinated messages must have brand-building effects, not just communications effects.

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Questions?

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