Transcript Chapter 10
Newspapers are under pressure to increase revenue while more and more consumers are turning to electronic media as sources of information. The Wall Street Journal made a decision to give up editorial space on its front page to make room for advertise- ments. The 120-year-old newspaper has been a standard for information about financial and business news around the world. Judy Barry, Senior VP---Advertising Sales, was quoted as saying, ‘‘Our new front-page advertising opportunity enables our clients to make a powerful statement to the journal’s unique readership.’’ Work with a another classmate A. Go online to obtain a copy of “The Wall Street Journal”. 1. Identify who you think reads this news- paper. 2. What kind of advertisements would be appropriate to appear on the front page? 3. Who would be the ads’ target customers? 4. How could The Wall Street Journal attract young readers? 10.1 Promoting Sports and Entertainment 10.2 Advertising and Placement 10.3 Publicity and Sales Promotions THE PURPOSE OF PROMOTION promotion the process of making customers aware of a product, service, or event http://www.youtube.com/watch?v=R55e-uHQna0 Chapter 10 Slide 4 Promotional Goals Increasing sales is the primary goal of promotion. Related goals include increasing customers’s usage maintaining customer loyalty building a fan base educating potential customers overcoming the hesitation of first-time buyers Chapter 10 Slide 5 Gaining New Fans – An Example Soccer fans from all over the world were beginning to get mad over the faking of injuries and bad sportsmanship going on in the game. So, In 2006 Nike started a “Joga Bonito” campaign for the up coming world cup in Germany. http://www.youtube.com/watch?v=Bp1b4UrvMjA Chapter 10 Slide 6 What is the goal of promotion? Chapter 10 Slide 7 PROMOTIONAL ELEMENTS The four elements of promotion are advertising publicity sales promotions personal selling Chapter 10 Slide 8 • advertising • • a paid form of communication delivered by a product maker or seller to consumers Most common type is TV Advertising • • • Advertising Roughly $4 million dollars per 30 seconds in the 2013 super bowl, $1.7 million dollars for the 2013 Oscars. The Simpsons: It's not exactly the ratings powerhouse it once was, but it's still a top ten most-expensive show for advertisers, pulling in around $254,000 per spot. Monday's most expensive series for advertisers is Two and a Half Men ($252,000), Tuesday's is Glee ($267,000), Wednesday's and Thursday's are both X Factor ($320,000 and $283,000), poor Friday's is Blue Bloods ($76,000), and Saturday's is college football ($85,000) product placement • • • a product integrated into the plot of a television show or a movie more discreet than advertising http://www.youtube.com/watch?v=XVUipHYKKrU Chapter 10 Slide 9 Publicity publicity any unpaid media attention either positive or negative Chapter 10 Slide 10 Sales Promotions sales promotions additional incentives offered for a limited time to encourage consumers to buy a product Chapter 10 Slide 11 Personal Selling personal selling an in-person, face-to-face communication between a seller and a customer http://www.youtube.com/watch?v=y_yNq3EtXmk Chapter 10 Slide 12 List four elements of promotion. Chapter 10 Slide 13 The Schedule frequency the number of times the targeted customer is exposed to the media concentration schedule relying on a single medium dominance strategy a firm buys the maximum reach and frequency in one medium and purchases additional space in or time on other media Chapter 10 Slide 14 The Effectiveness response rate the number of customers who connect with and act in relation to the ad Chapter 10 Slide 15 Its Showtime primetime when the largest viewing audiences are watching TV the most expensive time to advertise Chapter 10 Slide 16 List the steps involved in developing effective advertising. Chapter 10 Slide 17 PRODUCT PLACEMENT Product placement is a fast growing form of sales promotion used in films TV shows live theater Chapter 10 Slide 18 The Basics Product placement can be used to offset the need for traditional advertisements. 24 on the Fox network Ford vehicles used extensively Chapter 10 Slide 19 Who Pays? Three common ways that product placement deals might be constructed include fee basis A corporation will pay a fee to the film’s producers for prominent product placement. barter If a very expensive product is needed, it may be provided for use in the film in exchange for the prominent display of the brand name. Chapter 10 Slide 20 A corporation may make an agreement with a film producer to include movie promotion in its product advertising in exchange for placement of the product in the movie. Assuming they appeal to the same market, both parties will gain from the connection. Chapter 10 Slide 21 Name three ways product placement deals are constructed. Chapter 10 Slide 22