Advertising, Public Relations

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Advertising,Public Relations
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Advertising

• U.S. advertising spending exceeds 215 billion
  per year
• Industry employs only 272,000
• Ad budgets of some firms exceed over 2 billion
  per year

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Advertising and Market Share

• New brands spend proportionately more for
  advertising than old ones.
• A certain level of exposure is needed to affect
  purchase habits.
• Beyond a certain level, diminishing returns set
  in.

Advertising and the Consumer

• Average U.S. citizen is exposed to hundreds of
  ads each day.
• Advertising may change a consumers attitude
  toward a product.
• Advertising can affect consumer ranking of brand
  attributes.

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Major Types of Advertising
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Major Types of Advertising
Enhance corporations identify
Institutional Advertising
Advocacy advertising
Pioneering
Product Advertising
Competitive
Comparative
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Product Advertising
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Advertising Campaign
A series of related advertisements focusing on a
common theme, slogan, and set of advertising
appeals.
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Steps in Creating an Advertising Campaign
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Setting ObjectivesThe DAGMAR Approach
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Creative Decisions
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Identify Product Benefits

• Sell the Sizzle, not the Steak
• Sell products benefits, not its attributes
• A benefit should answer Whats in it for me?
• Ask So? to determine if it is a benefit

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Advertising Appeal
Reason for a person to buy a product.
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Common Advertising Appeals
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Unique Selling Proposition
Desirable, exclusive, and believable advertising
appeal selected as the theme for a campaign.
A Diamond is Forever
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Executing the Message
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Media Types
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Advertising Spending for 1999
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Newspapers
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Cooperative Advertising
An arrangement in which the manufacturer and the
retailer split the costs of advertising the
manufacturers brand.
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Magazines
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Radio
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Television
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Outdoor Media
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Internet and World Wide Web
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Alternative Media
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Media Selection Considerations
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Media Selection Considerations
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Media Scheduling
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Public Relations
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Functions of Public Relations
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Public Relations Tools
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Managing Unfavorable Publicity
A coordinated effort to handle the effects of
unfavorable publicity or of an unfavorable event.
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Group Case (20 points)

• Read The Move from TV to TiVo
• Discuss follow-up questions in groups
• Present your thoughts to the class

Individual Assignment (10 points)

• Read Tune In and Enjoy the Ride press-release
• What do you think are the Strengths, Weaknesses,
  Opportunities, and Threats for the new mobile TV
  viewing service?