11 29 12 12 36 PM Advertising and Public Relations Momo s does no advertising because they do marketing right They have great pizza not really expensive and only need one When you have lots of competition you have to advertise more because you need to distinguish the better product If a company advertises a lot it means that they don t have a product that is better than the competition Reminder ad Use Condoms Humor ad swear jar commercial cannot put on tv but companies know that these commercials will go viral and they can get away with it With the internet it is free to advertise Advertising Pervasiveness day The average American is exposed to more than 3 000 ads every o Logos o Internet o Billboards signs exposure that counts o Radio o Apps on your phone Clutter Ad find ways to present the information they want you to know in ways that you aren t necessarily used to or expecting o BMW embedding their product in a short film This is a way that isn t expecting Guy Ritchie and Madonna were married o 100 000 views on YouTube o Low wear out people like to watch this stuff over and over again Cutting through the clutter Spending more on direct mail television Down the road more spending online special projects Product advertising promotes the uses features and benefits of specific Spending products Pioneer primary demand focuses on a product category Got Milk Campaign entirety of milk campaign Beef is what s for dinner the entire beef product category o People pay into a pot creating demand for the entire category and everyone wins Advocacy advertising conveys a firm s position on a public issue Like the Free Tibet ad shown Competitive points out a brands advantages relative to competing brands Three types o Comparative two or more brands on one or more characteristics Domino s the taste that beat Subway 2 1 Only works if you aren t the leading player in that category o Reminder reminds customers of an established brand s characteristics and benefits Remind you that is everywhere popular and everyone wears Nike does this with logos o Reinforcement assures current users they have made the right choice AT T does this the right choice Mobile Ads advertisements sent to mobile phones or other wireless devices First mobile ad was sent in 2000 Now accounts for 2 of the advertising market Wave of the future more individualized ads offers one on one advertising with each individual consumer 33 for TV ads 2 85 for mobile small category but will grow soon 6 45 for online ads Branded entertainment With all the advertising clutter recall of a typical ad is only 10 Recall of a branded entertainment episode is 24 o So much more bang for your buck with branded entertainment So what is branded entertainment o It is an ad or show that the company who is sponsoring will get their name in somehow o College entertainment Axe was sponsoring the prank Axe Body Spray paid University of Maryland to do this prank o They paid 50 000 o In return the company was allowed to stream the video on YouTube His favorite Ad o Terry Tate office linebacker ad from Reebok o It isn t always obvious o Reebok sponsored this ad very subtle but very entertaining Coke s new campaign o Reach people that get them involved in the campaign itself instead of passive observers we want active participants o Lets users buy the world a coke from the palm of their hand o Where the coca cola machine themselves buy people in other countries a free coke o Letting people buy people a coke making the world smaller o Reaching people at a younger age o Social media to market to consumers Gatorade s Replay o Was done in attempt to take the Gatorade back to its core o Teaming up two teams that had tied 15 years ago to replay market athletes the game o Whole thing is sponsored by Gatorade Peyton Manning is a coach on the side huge o Not just showing the Gatorade commercial but getting you involve commercials Scheduling advertising o Finding ways to get around the problem of ignoring Continuous runs steadily throughout the year o Coca Cola o Good for continuously used products not a seasonal product people always use it Flighting runs in spurts o Heavy none o Good for seasonal products suntan lotion Pulsing a combination Runs steadily but with bursts at certain times o Super Bowl o Back to school always advertising something but at a large level right before school starts Measuring advertising Reach the percentage of consumers in the target audience exposed to a particular advertisement in a state period o What percentage of the target market did I reach o Good ads reach the highest percentage o If you pick the right show then your reach goes up and your ad dollars go further Frequency the number of times these targeted consumers are exposed Advertising effectiveness times Is it more effective to touch 100 customers once or 25 customers 4 o 25 customers 4 times because we don t really internalize an ad the first time It really takes 4 times What is the optimal number of times to reach a target consumer o At some point there is a diminishing return so what is the optimal number o 3 is the ideal number o Exposure 1 what is that o Exposure 2 what of it o Exposure 3 what is its intended purpose o Curiosity recognition decision o Find the point at which you have reached everyone at least three times but not too much beyond that Measuring advertising effectiveness Pretest posttest o Pretest o Run the campaign o Posttest Evaluation performed before a campaign begins Evaluation after the campaign ends Measure something like reach how many have you reached with your message Recognition recall respondents shown a portion of an ad or sometimes a memorable image and asked 1 Do you recognize this ad recognition measure 2 Please type in the sponsor of this aid unaided recall measure 3 Please choose the sponsor of this ad from the following list aided recall Advertising allows us to put together all the things we have talked about Focus groups used for testing products and ads Testing ads are tested using the consumer jury test Nielsen Ratings An audience measurement system designed to assess the size and composition of TV audiences Nielsen sets the prices of how much ads cost Since there are an estimated 116 000 000 television households in the US o One ratings point represents 1 of that number 1 16 million households Nielsen traditionally relied on a combination of data from the audiometer and consumer diaries o There were concerns over the accuracy of the
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