Transcript Document

Chapter Eight
On- and Off-Premise
Signage and Point-ofPurchase Communications
 2007 Thomson South-Western
Chapter Eight Objectives
• Appreciate the role and importance of out-ofhome or off-premise advertising.
• Understand billboard advertising’s strengths
and limitations.
• Appreciate the role and importance of onpremise business signage.
• Review the various forms and functions of onpremise signage.
• Appreciate the role and importance of point of
purchase advertising.
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Chapter Eight Objectives
• Examine the tasks that P-O-P advertising
accomplishes.
• Review evidence of P-O-P’s role in influencing
consumers’ in-store decision making.
• Examine empirical evidence revealing the
effectiveness of P-O-P displays.
• Appreciate the importance of measuring audience
size and demographic characteristics for out-ofhome as well as in-store advertising messages.
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Out-of-Home (Outdoor) Advertising
• Greater than $5 billion annually
• Regarded as supplementary
• e.g., billboard(major), bus shelters, giant
inflatables, shopping-mall displays, etc.
• Americans report traveling an average of
slightly over 300 miles in a vehicle in a
typical week with an average round-trip
commute totaling about 55 minutes.
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Billboard Advertising
• 400,000 billboards in the US
• Designed with name recognition as the
primary objective
Two major forms:
(1) Poster Panels and
(2) Painted Bulletins
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Billboard Advertising
Poster Panels
• Alongside highway and
heavily traveled locale
• Silk-screened or
lithographed
• Sold on a monthly
basis
Painted Bulletins
• Hand painted directly
on the billboard
• Purchased for 1-3 year
period
• To achieve a consistent
and relatively
permanent presence
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Outdoor Advertising’s
• Board reach and high
frequency
• Geographic flexibility
• Low cost per thousand
• Prominent brand
identification
• Opportune purchase
reminder
• Nonselectivity
• Short exposure time
• Difficult to measure
audience size and
characteristics
• Environmental
concerns
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Measuring OOH Audience Size and
Characteristics
• The size of the audience to be reached
when using these media.
• The demographic characteristics of
audiences reached by media vehicles
such as individual magazines or television
programs.
• Nielsen Media Research is making great
strides toward developing ways to
determine the characteristics of outdoor
audiences.
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ABC’s of On-Premise Signs
ttract New Customers
rand the retail site in consumers’ minds
reate impulse purchases
Conspicuity: the ability of a sign to capture attention.
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Point-of-Purchase Advertising
• Point-of-purchase;store environment
• A final opportunity to affect consumer
behavior
• Many product-and-brand choice
decisions are made at this time
• It is the time and place at which all
elements of the sale (consumer, money
and product) come together
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The Spectrum of P-O-P Materials
Permanent displays
displays intended for six
months or more
Temporary and
Semipermanent
displays
In-Store Media
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Point-of-Purchase Materials
Permanent P-O-P
Temporary and
Semipermanent P-O-P
displays intended for six
months or more
displays intended for
fewer than six months
In-Store Media
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Point-of-Purchase Materials
Permanent P-O-P
Temporary and
Semipermanent P-O-P
In-Store Media
displays intended for six
months or more
displays intended for
fewer than six months
executed by a third party
(P-O-P radio, shopping
cart ads, shelf talkers,
coupon dispensers, etc..)
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What Does P-O-P Accomplish?
• Accomplishments for Manufacturers
• Service to Retailers
• Value to Consumers
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P-O-P’s Influence on Consumer
Behavior
• Informing
• Reminding
• Encouraging
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The Brand Lift Index
• Indicates how P-O-P materials affect
the likelihood that customers will buy a
product they had not specifically
planned to buy.
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Reasons Why P-O-P Materials Go
Unused
• There is no incentive for the retailer because the
materials are poorly designed and don’t meet
their needs.
• Some displays take up too much space for the
amount of sales generated.
• Some materials are too unwieldy, difficult to set
up, or flimsy.
• They lack eye appeal.
• Sales may transfer from one brand to another
but not increase retailers’ overall sales and
profits.
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Persuading Retailers to Use
P-O-P Materials
• P-O-P must satisfy the retailer’s need
and the needs of the consumer
– Right size and format
– Fit the store décor
– User friendly
– Sent to stores when they are needed
– Properly coordinated with other marketing
communications program
– Attractive, convenient, and useful for
consumers
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