Transcript Basic Strategic Planning Decisions Situation analysis

Strategic IMC Planning
Part 2: Planning and Strategy
Chapter 7
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Key Points
Differentiate between objectives,
strategies, and tactics in strategic planning
Identify the basic decisions in an
advertising plan
Outline the key features in an IMC plan
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Strategic Planning
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Strategic Planning
The process of
determining
objectives,
deciding on
strategies, and
implementing
the tactics
Wells, Moriarty, Burnett & Lwin - Xth Edition
 Objectives
 What you want to
accomplish
 Strategies
 How to accomplish
the objectives
 Tactics
 Make the plan come
to life
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Basic Strategic Planning Decisions
 It is important for advertisers to know what to
expect from a campaign or an ad
 Measurable objectives
 Specific effect that can be measured
 A time frame
 A baseline
 The goal
 Percentage change
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Basic Strategic Planning Decisions
Typical Plan Outline
I. Situation analysis
II. Key strategic decisions
III. Media strategy
IV. Message strategy
V. Other tools
VI. Evaluation of effectiveness
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Basic Strategic Planning Decisions
 Situation analysis
 Researching and
reviewing the current
state of the business
that is relevant to the
brand and gathering
all relevant
information
 After the research is
compiled, analysis
begins
Wells, Moriarty, Burnett & Lwin - Xth Edition
 SWOT analysis
 Strengths
 Weaknesses
 Opportunities
 Threats
 Key problems and
opportunities
ADVERTISING Principles and Effective IMC Practice
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 SWOT analysis
 Internal environment analysis
 Strengths: positive traits, conditions, and good
situation of something
 Weaknesses: traits, conditions, and situation of
something that are perceived as negative
 External environment analysis
 Opportunities: an area in which we could develop an
advantage over its.
 Threats : a trend or development in the environment
that will erode business unless we take action.
Strengths
Wells, Moriarty, Burnett & Lwin - Xth Edition
Opportunities
Weaknesses
Threats
ADVERTISING Principles and Effective IMC Practice
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Basic Strategic Planning Decisions
 Segmenting and
targeting
 Market segment: a
group of consumers
having similar
characteristics
 The segments the
planner selects
becomes the target
audience
Wells, Moriarty, Burnett & Lwin - Xth Edition
 Getting deeper
insight into
consumers is the
responsibility of the
account planning
function
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Basic Strategic Planning Decisions
 Positioning Strategy
 Determining what
place a product should
occupy in a given
market
 To establish a location
in the consumer’s mind
based on what the
product offers and how
that compares with the
competition
Wells, Moriarty, Burnett & Lwin - Xth Edition
 Product features
 Feature analysis
 Competitive advantage
 Importance/performance
 Differentiation
 Branding
 Locating the brand
position
 Perceptual mapping
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A Perceptual Map for Automobiles
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Basic Strategic Planning
Decisions
Media strategy
 Media objectives
 Vehicle selection
 Message strategy (what & how)
 Selling Premise
Big Idea
Execution
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Basic Strategic Planning
Decisions
 Budgeting
 Determines how many targets and multiple
campaign plans a company or brand can support
and the length of time the campaign can run
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ADVERTISING Principles and Effective IMC Practice
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Budgeting Methods
 Historical method
history’s spending+ inflation+ market situation
 Objective-task method
develop budget from the ground up ,
by determining the cost of accomplishing each objective’s
activities
 Percentage-of-sales method
Combine historical and “sales performance
Step1:
Past ads. Spending / past sales = % of sales
Step 2: % of sales performance * next year sales forecast
 Competitive budgets
 All you can afford
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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Summary
Advertising (Campaign) Objective
Situation Analysis
Consumer Analysis
Message Analysis
Media Analysis
Wells, Moriarty, Burnett & Lwin - Xth Edition
ADVERTISING Principles and Effective IMC Practice
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