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Advertising and Promotion

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Advertising and Promotion (MKT621)
VU
Lesson 17
CONSUMER BEHAVIOUR
OVERVIEW
This lecture will explain various moods and mindsets of the consumer defined as consumer
behavior. Subsequently the appeals as made through advertising will be discussed with special
reference to its types. Besides this execution of advertising plans will be explained including
Media mix decisions and its implications. We will also cover advertisement scheduling,
"Reach" and tools used in deciding "Reach" and methods to work out program rating for this
purpose.
PRINCIPLES APPLYING TO CONSUMER BEHAVIOUR
Eight principles apply to consumer behavior
1.
Unpleasant appeals can be learned as readily as pleasant ones.
2.
Appeals made over a period of time are more effective.
3.
Unique messages are better remembered.
4.
It is easier to recognize an appeal than to recall it.
5.
Knowledge of results increases learning of a message.
6.
Repetition is more effective when related to satisfaction.
7.
Messages are easier to learn when they do not interfere with earlier habits.
8.
Learning a new pattern of behavior can interfere with remembering something else.
ADVERTISING APEALS
Three Types of Appeals
1. Informational / Rational / Logical.
2. Emotional appeal.
3. Moral appeals.
Informational / Rational / Logical ­ Appeals
·  Focuses on consumer's practical, functional or utilization need for a product or service.
·  Emphasizes features of a product & service.
·  Informs about benefits or reasons for owning or using a particular brand.
Emotional ­ Appeals
-- Relates to consumer's psychological and / or social needs for purchasing a product or
service.
-- Many purchase motives of consumers relate to emotions & feelings about a brand..
Two types:
·  Positive emotional appeals.
·  Negative emotional appeals.
Moral ­ Appeals
Moral appeals attempt to draw audience to "What is right"
Generally used to urge people to support or show concern to social causes such as polio
eradication, environment protection, population control, donations etc.
ADVERTISING EXECUTION
Always keep in mind two big questions What you say? &
How you say?
·  Straight sell or factual message.
·  Animation.
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Advertising and Promotion (MKT621)
VU
·  Scientific / technical evidence.
·  Personality symbol.
·  Demonstration.
·  Fantasy.
·  Testimony.
·  Dramatization.
·  Humor.
·  Combinations.
MEDIA MIX DECISIONS
Following factors essential to keep in mind:
A.
Target Audience.
B.
Type of product category.
C.
Message Appeal.
D.
Execution Style.
E.
Budget.
Few Terms to understand Media strategy
In the professional world of advertising it will be very handy and useful if you understand
following terms as and when used:
·
CLUTTER. No. of ads in a medium.
·
FLEETING MESSAGE. commercials
·
ZAPPING. Changing channels to avoid commercials.
·
ZIPPING. Fast forward thru commercials while watching programs on videos etc..
·
SCHEDULING STRATEGY. 3 types
1. PULSING. --- Peaks & valleys.
2. CONTINUITY. Spreads continuous publicity.
3. FLIGHTING. Alternates between intense & no advertising.
Effective Media Choice Decision
Following factors influence decision:
·  Product characteristics.
·  Media objectives.
·  Media budget.
·  Preference of media planner.
Media Planner's Objective
·  Reach most of the target market.
·  Define coverage in terms of:
1. Geographical Area.
2. Percentage of Target audience.
Issues to Be Decided
Reach, Frequency, Scheduling, Media choice.
How Scheduling Decision Is Made
Calendar of advertising plan ­ Assumptions:
How will target audience respond to the presence or absence of the advertising messages?
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Advertising and Promotion (MKT621)
VU
Three Approaches of Scheduling
CONTINUITY - FLIGHTING - PULSING
For Brand ~ buying cycles ~ budget ~ Advertising decay ~ competitive spending
How to Decide About "Reach"
Reach requires:
·  Achieving awareness needs "Reach."
·  Exposing potential buyers to message Needs "Reach."
·  Trial stage of adoption hierarchy needs "Reach."
Tools Used in Deciding Reach
Program Rating
It is number as percentage. Measure of potential reach of TV or Radio....
Easy formula
Program rating = No. of households viewing program
No. of households owning TV sets.
e.g.
In Lahore 1 mil. Households own TV sets & a program "Raat Gaye" is watched by 3 lakh
households then program rating is:
3,00,000 X 100
= 30 %
10,00,000
Gross Rating Point (GRP )
To know how many potential audiences may be exposed to series of commercials -- The sum of
total exposure potential expressed as a % of the audience population is called Gross Rating
Point - (GRP).
GRP = reach X frequency
Total Exposures
GRP
Frequency = ---------------------
= -------------
Reach
Reach
Target Rating Point (TRP)
Refers to number of people in the primary target audience that will be reached & reached
number of times. Unlike GRP it refers to the number of times (frequency) and the number of
individuals- media will reach the primary target audience.
ONE TRP is = 1 % of total TV audience
SO - if TV program has 50 TRP's i.e. 50% watched the program in that week.
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Table of Contents:
  1. INTRODUCTION TO ADVERTISING:Its growing importance, Explanation of Personal and non-personal selling
  2. INTRODUCTION TO ADVERTISING:ADVANTAGES, Communication, Information, Various Media
  3. INTRODUCTION TO ADVERTISING:FUNCTIONS OF ADVERTISING, IMPACT OF ADVERTISING
  4. ADVERTISING AND SOCIETY:PRACTICAL BENEFITS, ETHICS IN ADVERTISING, Marketplace & Market space
  5. MARKETING TOOLS:COMPONENTS OF MARKETING MIX, PRODUCT LIFE CYCLE (PLC) CURVE
  6. MARKETING TOOLS:SWOT Analysis, Contents & Structure, ROLE & FUNCTION OF ADVERTISING
  7. ROLE AND FUNCTIONS OF ADVERTISING:Structure of an Advertising Agency, How to Select an Advertising Agency
  8. ADVERTISING PLANNING:ADVERTISING OBJECTIVES, Types of Advertising, Positioning Strategies
  9. POSITIONING:BRANDING, 7 Steps of Creative Process, UNIVERSAL ADVERTISING STANDARDS
  10. ADVERTISING MESSAGE:Message Content, BASIC TERMS & CONCEPTS
  11. ADVERTISING BUDGET:4 Methods to determine, ADVERTISING RESEARCH, ADVERTISING RESEARCH
  12. ADVERTISING REACH:BROAD COMMUNICATION OBJECTIVES, ADVERTISING COPY METHODS, MEDIA RESEARCH
  13. PRE – PLACEMENT EVALUATION:ACCOUNT PLANNING, MARKET, COMPETITION
  14. WORKING OF ADVERTISING:12 Steps to develop effective campaign, SOURCE or THE ADVERTISER
  15. ADVERTISING RESPONSE HIERARCHY MODELS:AIDA MODEL, PROCESS REQUIRED TO GET BIG IDEA
  16. PROBLEM SOLVING STRATEGIES:Procedure to Handle Problems, In brief, Eight principles apply to consumer behavior
  17. CONSUMER BEHAVIOUR:ADVERTISING APEALS, MEDIA MIX DECISIONS, Target Rating Point (TRP)
  18. CREATIVITY IN ADVERTISING:Three aspects are most accepted, Four Rules of Creativity
  19. COPY WRITER:CHARACTERISTICS OF COPYWRITER, IMPORTANCE OF LANGUAGE
  20. WHY ADVERTISING:Advertising & Market Education, ADVERTISEMENT CAMPAIGNS
  21. METHODS TO APPRECIATE A PROBLEM:SPONSORSHIP—an important tool, Special Characteristics
  22. IMPORTANT TOOL OF ADVERTISING:TELEVISION ADVERTISING, TRANSIT ADVERTISING
  23. ONLINE ADVERTISING:Banners, Logos, Email Ads, Keywords on Search Engines, New Developments
  24. ONLINE ADVERTISING:Structural Challenges, Adobe Photoshop, JAVA, HTML, DHTML, ASP & JSP
  25. SALES PROMOTION:Consumer Oriented Promotion, HOW TO USE TRADE PROMOTION, Dealing with the Trade
  26. PUBLICITY:PERSONAL SELLING, ROLE OF SALES PERSON, FUTURE OF GLOBAL ADVERTISING
  27. MARKETING ENVIRONMENT:Competitors, The Target Buyer, Segmenting your Market, FUTURE OF MARKET GROWTH
  28. MARKETING PLAN:Situational Analysis, Macro – Environment Situation, Marketing Objectives, Financial Objectives
  29. MARKETING PLAN:PROMOTING BUSINESS IN LOW COST, SUPPLY CHAIN, BUYER IDENTIFICATION
  30. HOW TO BE GOOD CLIENTS:CHANNEL BUYERS, HOW TO BE GOOD CLIENTS 14 RULES
  31. CLIENT – AGENCY RELATIONSHIP:HOW TO KEEP CLIENTS (10 Ways), Three Points for Consideration
  32. CLIENT – AGENCY RELATIONSHIP:ADVERTISING WITHOUT AN AGENCY, LOGO AND CORPORATE IDENTITY
  33. NEWSPAPER ADVERTISING:AD PRODUCTION,TYPES OF NEWSPAPER ADS, CIRCULATION
  34. OTHER ADVERTISING MEDIUM:HOW TO USE MAGAZINES, HOW TO USE RADIO, Daypart buying options
  35. UTILITY OF VARIOUS MEDIA:TAPE OR FILM, UTILITY OF TV, DIRECT MAIL PACKAGE
  36. OTHER ADVERTISING MEDIA:POINT OF PURCHASE (POP), TRANSIT ADVERTISING, LIMITS OF ADVERTISING
  37. CONTINUOUS TRACKING:PLANNING CAMPAIGN, HOW TO UNDERSTAND ADS, ASK BASIC QUESTIONS
  38. SEASONAL ADVERTISING:MAXIMIZING IMPACT, THE WEB ADVERTISING, MEASURING ADVERTISING
  39. COMPONENTS OF ADVERTISING:BUY - OLOGY OF MIND, BUY - OLOGY OF MIND
  40. CRITICISM ON ADVERTISING:SHOULD ADVERTISING BE ABOLISHED,
  41. EFFECT OF ADVERTISING:HOW TO PROMPT AWARENESS, CREATING DESIGN THAT SELLS
  42. CREATING EFFECTIVE DESIGN:LANGUAGE OF TYPOGRAPHY, HEADLINES THAT COMMUNICATE
  43. WORKSHEETS:DEMOGRAPHICS OF YOUR TARGET, YOUR COMPETITOR
  44. GLOSSARY OF ADVERTISING:ACCOUNT EXECUTIVE, PROOF, VOICE OVER
  45. CONCEPT OF AN AD:HOW TO DEVELOP A CONCEPT OF AN AD