Transcript promotion

UNIT
Promotion
ACTIVITY
Using note cards, describe your favorite
Commercial WITHOUT indicating the
product or service. Share your commercial
with the class & see how many students:
–
recognize the ad
– can identify the brand, &
– got the message.
ACTIVITY
QUESTION:
How did they do that?
ASSIGNMENT
• Read Chapter 28
• Do questions 6 - 10 in the
text on page 380
OBJECTIVE
Be able to identify & describe
“The Four P’s of Marketing.”
The “Four P’s” of Marketing
• Product Planning
• Pricing
• Promotion
• Physical
Distribution
OBJECTIVE
Be able to break promotion down
into its six components. Define each
component & provide examples
PROMOTION
• Advertising
• Publicity
• Display
• Personal Selling
(Visual Merchandising)
• Public Relations
• Sales Promotion
ACTIVITY
• With a partner, describe how
“Coca - Cola” uses all six of these
discussed components in its
promotional campaigns:
*
ADVERTISING
* DISPLAY
* PUBLICITY
* SELLING
* PUBLIC RELATIONS * SALES PROMOTION
OBJECTIVE
Be able to define the phrase
“Promotional Mix”
Promotional Mix
Adver.
Display
Publicity
PR
Selling
S.
Promo.
How a company allocates its limited
resource called money to the
different promotional tools
OBJECTIVE
Be able to identify two advantages &
two disadvantages to each type of
promotional method discussed in class
ACTIVITY
In a small group, identify the
advantages & disadvantages of the
promotional method given to your
group.
ACTIVITY
In a small group, identify the
advantages & disadvantages
of the promotional method
given to your group.
See Handout for Results
OBJECTIVE
Using the communications model
discussed in Level I, be able to
identify the role business &
consumers play when a company
promotes a good or service.
The Communications Model
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The Sender
The Message
The Receiver
Feedback
Blocks
Distractions
The Communications Model
The Communications Model
(ACTIVITY)
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The Sender
The Message
The Receiver
Feedback
Blocks
Distractions
__________
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__________
ASSIGNMENT
• Read Chapter 29, pages
382 - 389.
• Do any two of the
“Critical Thinking”
questions on page 390.
• Do workbook pages
139 - 141
Developing a Promotional
Campaign
PROJECT
Promoting the School Store
School
Store
STEP 1
1
ANSWER THE 6 BASIC QUESTIONS
OBJECTIVE
Be able to identify & answer the six
basic questions reviewed at the start of
any promotional campaign.
ANALOGY
If your were told to give a speech,
what six basic questions would you
want answered before you spoke?
The Six Basic Questions
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What should I promote?
Why should I promote?
To whom should I promote?
Where should I promote?
When should I promote?
How should I promote?
–goals, budget, resource
allocation, follow-up evaluation
The Six Basic Questions
• What should I promote?
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Why should I promote?
To whom should I promote?
Where should I promote?
When should I promote?
How should I promote?
– goals, budget, resource allocation,
follow-up evaluation
The Six Basic Questions
• What should I promote?
• Why should I promote?
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To whom should I promote?
Where should I promote?
When should I promote?
How should I promote?
– goals, budget, resource allocation,
follow-up evaluation
The Six Basic Questions
• What should I promote?
• Why should I promote?
• To whom should I promote?
• Where should I promote?
• When should I promote?
• How should I promote?
– goals, budget, resource allocation, follow-up
evaluation
The Six Basic Questions
• What should I promote?
• Why should I promote?
• To whom should I promote?
• Where should I promote?
• When should I promote?
• How should I promote?
– goals, budget, resource allocation, follow-up
evaluation
The Six Basic Questions
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What should I promote?
Why should I promote?
To whom should I promote?
Where should I promote?
• When should I promote?
• How should I promote?
– goals, budget, resource allocation, follow-up
evaluation
The Six Basic Questions
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What should I promote?
Why should I promote?
To whom should I promote?
Where should I promote?
When should I promote?
• How should I promote?
– goals, budget, resource
allocation, follow-up
evaluation
STEP 2
1
2
IDENTIFY WHY PEOPLE BUY
OBJECTIVE
Be able to define Buying Motives &
provide examples when given
different products/services & market
segments
Buying Motives
The reasons why people buy
products & services
Buying Motives
The reasons why people buy
products & services.
EMOTIONAL OR RATIONAL
REASONS
Buying Motives
• EMOTIONAL
– love
– friendship
– sympathy
– fear
– social approval
– pleasure
– comfort
• RATIONAL
– convenience
– efficiency
– durability
– dependability
– saving/making $$$
– saving time
– investments
STEP 3
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Distinguish Between Product &
Institutional Promotions
OBJECTIVE
Be able to identify examples of the
different types of promotional
campaigns presented
The School Store
(PROMOTIONAL CAMPAIGN)
Institutional
Product/Service
Event
Ideas
School
Store
STEP 4
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4
Identify a Theme, Slogan, Brand,
and/or Trademark
OBJECTIVE
Be Able to Define the Terms:
–Theme
–Slogan
–Brand
–Trademark
DEFINITIONS
• Theme
–Central Idea or Idea of a
Promotional Campaign
• Slogan
–Catchy, Easy to Remember
Phrase Summarizing a Theme
DEFINITIONS
• Brand
–Name Given to a Line of Goods
• Trademark
–A Picture or Symbol Identifying
Your Product or Company
STEP 5
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Conduct a Marketing Research Project
OBJECTIVE
Be Able to Define Marketing
Research & the Questions it Can
Answer For Your Company
Marketing Research
• Gathering Information
About the Consumers Most
Likely to Buy My
Product/Service
– Who are my customers?
– Where can I reach them?
– When can I reach them?
Marketing Research
Important Concepts
• Market Segmentation
– Dividing “The Market” into smaller,
easier to reach, easier to satisfy groups
based on their . . .
• Demographics
– The defining characteristics of people
that can used to divide large groups into
smaller groups
Demographics
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Age
Sex
Geographic Location
Incomes
Occupations
Family Size
Interests & Hobbies
Demographics
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Religion
Ethnic Background
Race
Wealth
Body Types
Education
Etc. Etc. Etc.
EXAMPLE
(AGE)
• Freshman
• Sophomore
• Junior
• Seniors
9th
10th
11th
12th
EXAMPLE
(INTERESTS)
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Country
Old Rock
Metal
New Age
Classics
Jazz
Other
Country
Old
Rock
Metal
New
Age
Classics
Jazz
Other
Combinations
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Freshman Who Like the Classics
Seniors Who Can Line Dance to Country
Sophomores & Juniors Who “Head Bang”
Seniors Who “Get Down” With Bach
Older Students Who “Groove” to the Sound of
Hubie Green
• Freshman Who “Dig” the Beatles
Combinations
• Married Couples Living in Four Bedroom
Homes With No Children Left at Home
• Senior Citizens Living in the South With
Incomes Over $100,000
• Young Parents With One Income in the 20 30,000 Range Who Rent Apartments
• Single Men Living With Mom/Dad Over
the Age of 25 With Incomes Over $50,000
Questions You Need to Ask
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What do these people want & need?
What kind of problems do they have?
What is the most important buying motive?
How can I reach them?
How much will they spend?
What are their alternatives?
Etc. etc. etc.
EXAMPLE
Married Couples Living in Four
Bedroom Homes & No Children Left
• What do these people want & need?
• What kind of problems do they have?
• What is the most important buying
motive?
• How can I reach them?
• How much will they spend?
For the Answers
Do Marketing
Research!!!
Marketing Research
Primary
–Research
done by the
company
Secondary
–Reviewing
information
gathered by others
ACTIVITY
First:
Using “A Capital Market
Place” article as a guide,
make a list of the demographics of the people
who live in or near
Washington DC
ACTIVITY
Second:
Using your list of
demographics as a
guide, identify the
buying motives and
products for each
demographic group
PROBLEM!!!
The demographics and
buying behaviors of
our populations
change constantly &
we are expected to
keep up if we are to be
successful
ACTIVITY
First:
Using “You’ll Know it’s
the 21st Century” article
as a guide, identify the
demographic changes
occurring in our
country.
Each student will be assigned a section to review for the class
ASSIGNMENT
Using “You’ll Know it’s
the 21st Century” article
as a guide, identify the
buying motives and
products that will
become important in the
future in our country
STEP 6
1
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3
6
5
4
Identify the Advertising Media to Be
Used in Your Campaign
OBJECTIVE
Be Able to Identify the Advantages
& Disadvantages of the Various
Media Available
ASSIGNMENT
• Read Chapter 30,
pages.
• Do two of the “Critical
Thinking” questions on
page 402.
• Do workbook page 145
Advertising Media
• Print
– Newspaper
– Magazines
– Directories
• Broadcast
– TV
– Radio
• Direct Mail
Advertising Media
• Specialty (Sales Promo)
• “Out of Home”
– Billboards, Transit
• Other
– Telemarketing
– Movie Ads
– Specialty Items
– Etc.
Media Evaluation Criteria
• Total Cost
• Cost Per Capita
(Person)
• Use of Senses
• Targeting Ability
• Quality of Graphics
• Flexibility
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Life Span
Reach
Response time
Personalize
Competition
Measurement of
Effect
Media Evaluation
Activity: Given a specific media identified in
class, have a small group list three
advantages & three disadvantages of that
media. Present your results to the class.
Support your opinion with sound reasoning.
Media Evaluation Homework
Assignment
Given a list of the various media available
& a chart featuring the important criteria
to consider when evaluating media,
identify the strengths & weaknesses of
each media.
OBJECTIVE
Be able to describe the 12
techniques used by advertisers
to encourage consumers to buy
a product, service, or idea.
Advertising Techniques
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Involvement
Appeal to Fear
Association
Timing
Repetition
Saliency
Widget Sales
Advertising Techniques
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Appeal to Emotions
Buzz Words
Mkt. Segmentation
Volume
Brand Names
Cinderella Syndrome
Widget Sales
Creating Print Advertisements
OBJECTIVE
Be able to identify & explain
the use of the AIDA Theory
in the creation of print ads
AIDA Theory
• Attention
• Interest
• Desire
• Action
Copy
OBJECTIVE
Be able to design & write
copy for a printed
advertisement
Terms to Know
• Copy
• Art (Graphics)
• Logotype
– Trademark
– Font
• Layout
• White space
COPY
• Headline
– Usually the largest, boldest
words on the page
Sub Head
– Just below headline in a
medium font
Copy
– The majority of the printed
message
COPY
• Headlines
– Get the reader’s attention by:
• Asking a question
• Suggesting an action
• Stating an interesting fact
• Stating a benefit
COPY
• Sub-heads
– Builds on the headlines,
draws attention to the
content, & brings the reader
into the copy
COPY
The Copy
– Must create interest
– Must be accurate/truthful
– Must develop desire for the
product
– Must ask for an action
COPY
• Building Interest:
– ID a problem
– Relate it to the customer’s
problem
• Create Desire:
– Offer to solve their problems
– Offer benefits
– Be absolutely clear
• Ask For a Buying Action
GRAPHICS
• Illustrations Can:
– Get attention
– Have sales appeal
– Communicate benefits
• Types:
– Pictures, drawings,
designs, backgrounds,
holographs, etc.
General Guidelines for
Advertising Copy
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Be Human
Be Simple
Be Sincere
Be Specific
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Be Informative
Be Enthusiastic
Be Clear
Be Believable
Steps in Advertisement Design
• Copywriters
– Do rough drafts
• Artists
– Do a Thumbnail Sketch
OBJECTIVE
Be able to write effective radio copy
(Know 8 of the 10 rules for writing
radio copy)
Writing Radio Copy
• The opening must grab
attention
• Talk to only one person
• Write the way you talk,
not the way you write
• Stress a benefit
Writing Radio Copy
• Use “power words” or
active verbs
• You don’t need
complete sentences
• Use the company
name a lot
• Make sure your copy
is “correct” (wording)
Writing Radio Copy
• Don’t begin with a
question
• Limit your ad to two
main points
• Be honest (Don’t
overstate your case)
• Ask for an action
OBJECTIVE
Be able to define the terms
associated with media
expense calculations
Media Expense Factors
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Circulation (Audience)
Production Costs
Preferred Space Location
Discounts
Prestige & Credibility of Media
Reproduction Quality
How Specific You Want the Target
Market
Newspaper Advertising
• Production Costs are low
• Special requests add to cost
– color
– Inserts
• Most ads are “Run of Paper” (ROP)
• Special locations add to the expense
• “Split runs” add to the expense
Newspaper Advertising
• Advertising is sold using “Rate
Cards”
• “Flat Rate” refers to a price per line
inch (Found on Rate Card).
• “Sliding Scale” refers to discounts
available for frequent or large ads
• A “Combination Rate” refers to the
price given for advertising in various
media owned by the same company
Magazine Advertising
• Similar to newspaper advertising
• Allows for “secondary circulation”
• Production expense varies, but is
usually much higher than newspapers
(+30% for color)
• Preferred locations cost more (back
cover)
• “Bleed Pages” are ads without
borders (15 - 20 % surcharge is
added)
Magazine Advertising
• “Gatefolds” are ads with bi- or
tri- folds and cost extra
• “Spreads” are ads on two facing
pages and cost extra
• “Split-runs” are similar to
newspaper ads
• Size, dollar, & frequency
discounts available
Television Advertising
• Expense is high, but the reach is great
• Expense varies with audience size,
season of the year, time of day, preferred
location of ad, length, & production
expense.
• Time of day is broken into parts
called “Day-parts”:
– “Prime Time” 7:30 pm - 11:00 pm
– “Day-time”
10:00 am - 4:30 pm
Television Advertising
• TV viewing is highest in winter,
low in summer
• Program quality & popularity
effect expense
• “Run of Program” (ROP) is done
on TV
• TV rates are set by “Gross Rating
Points” (GRPs) representing 1%
of the potential market
Radio Advertising
• Similar to TV except that
production expense is lower
• “Dayparts”
– Drive time5:30 am - 10:00 am
3:00 pm - 7:00 pm
– Day time 10:00 am - 3:00 pm
– Evenings 7:00 pm - 12:00 pm
– Overnight 12:00 pm - 5:30 am
Calculating Media Expense
• Absolute vs. relative expense of
advertising
• Numbers based on marketing research
– CPM Cost per thousand
– CPRP Cost per rating point
• Rating Systems
– Neilson
– Arbitron
Audit Bureau of Circulation
Traffic Audit Bureau
OBJECTIVE
Be able to calculate the expense of
advertising in the various media
Calculating Media Expense
Math Problem Example
PROGRAM
# OF X
SPOTS
COST
PER
SPOT
= TOTAL
Friends
Veronica’s
The Nanny
Voyager
TOTAL
3 per wk.
$8,000
$9,000
$10,000
$12,000
--------
=
=
=
=
=
3 per wk.
3 per wk.
3 per wk.
12 per wk.
X
X
X
X
X
$24,000
$27,000
$30,000
$36,000
$117,000
Calculating Media Expense
Math Problem Example
Week
1
2
3
4
Summary
# OF X
SPOTS
3
3
3
3
12
X
X
X
X
X
Reach
(Rating)
=
GRPs
18%
19%
22%
21%
20% Avg.
=
54
=
57
=
66
=
63
= 240 GRPs
Calculating Media Expense
Cost Per
GRP
Cost Per
GRP
=
Budget
/
=
117,000
/
# of
GRPs
240
=
X
=
$487.50
Per GRP
Cost Per
GRP
Cost Per
GRP
Math Problem Example
=
Budget
/
= 117,000 /
# of
GRPs
240
=
X
=
$487.50
Per GRP
Calculating Media Expense
Math Problem Sample
Cost Per
GRP
Cost Per
GRP
=
Budget
/
=
117,000
/
# of
GRPs
240
=
X
=
$487.50
Per GRP
SEE HANDOUTS
VISUAL MERCHANDISING
Display Building