Transcript MBA671_Chapter19_advertising_modified

Dr. S. Borna
MBA 671
Objectives
The Communications Process
 Developing Effective Communications
 Deciding on the Marketing
Communications Mix
 Managing and Coordinating Integrated
Marketing Communications

The Marketing Communications
Mix
Advertising
Any Paid Form of Nonpersonal
Presentation by an Identified
Sponsor.
Sales Promotion
Short-term Incentives to
Encourage Trial or Purchase.
Public Relations
Personal Selling
Direct Marketing
Protect and/or Promote
Company’s Image/products.
Personal Presentations.
Direct Communications
With Individuals to Obtain
an Immediate Response.
Promotion Mix Decisions
*Type of product market
Consumer Goods
Industrial Goods
*Push vs. Pull strategy
*Buyer Readiness Stage (next page)
*P.L.C. stage
Buyers Readiness Stage
Awareness
Knowledge
Liking
Preference
Conviction
Purchase
Info Flow
Planning flow
Who
Com
mun.
Says What
Mess
-age
Noise
In what
channel To whom
Chan
nel
With what effect ?
Audience
Assessment of Target Market
Types of information useful for
assessing target audience:
1. Descriptive Information
-demographics
-life styles
-product-usage levels
Audience
Level of aggregation
-individual
-group
-general public
Level of Involvement
1. Cognitive stage
2. Affective stage
3. Action state
“AIDA”
MODEL
Attention
Interest
Desire
Action
Audience: Cont.
Audience Persuasability
Persuasibility
continuum
sex
self-confidence
intelligence
Assessment of Target
Market cont.
2. Perceptual Information
Image Analysis
Consumers’ perception of your
Product, Company etc.
3. Buying Process Information
Communication Objectives
Communication objectives
should include four key points:
1. Definition of target audience
2. A statement of how target
audience should change
Communication Objectives
cont.
3. A statement of how fast such
change should occur
4. A statement as to the degree
of change desired
Communication Objectives
Example
To create awareness of the new
product among 50% of the
working women between the ages
of 25 and 50 with incomes of
$25,000 or more within the next
three months.
Channels
Channel decisions are concerned
with how best to deliver the
message.
1. Which promotional-tool to use
2. Selection of specific activities
within a promotional-tool
ex. what kind of sale promotion
to use
The Channel Signifies the Medium
Through Which the Message is Sent
Non-personal channels:
t.v., radio, newspapers…
Verbal and written forms
Channels
1.
Personal Channels
Advocate channel (Salesmen)
Expert channel(Consultants,
authorities, arbitrators)
Social channel (word of mouth
communication)
2.
Nonpersonal Influence
Channel
Mass Media
Non personal Influence
Channel continued
Atmospheres ( designed
environments to stimulate
a given feeling)
Events (Designed occurrences)
Interpersonal vs. Mass
Communication
Disadvantages of Mass
Communication:
Delayed feedback
Inflexible
Likelihood of selective
screening
Advantages
Cost per capita is lower
Accuracy to mass audience is
higher
Mass Media
Mass media
Opinion
Leaders
Opinion
Followers
Opinion
Followers
The Message
A message is a summation of
signs or signals attempting to
convey one or more ideas.
Designing The Message:
Message Content
Any statement about “product”
to be communicated to the
audience
Product benefits
Reasons to buy
To remind the audience,
etc.
Denotative Meaning of Symbols
Connotative Meaning of Symbols
You will be greeted warmly at the
door by one of our youthful staff
members.
You will be greeted warmly at the
door by one of our juvenile staff
members.
Diet Coke vs. light coke
Communication is facilitated
when the communicator and the
receiver have an overlap in their
psychological fields of
experience.
Source’s
Field of
Experience
Message
Receiver’s
Field of
Experience
source
Encoder
signal
Decoder Destination
The Receiver
Actual Message Content
Perceived Message
Selective Perception
Source Credibility
According to Kelman and
Hovland
Expertness
Trustworthiness
Source Incongruity
Source Congruity and Attitude Change
Source
Message
+
Congruent
+
+
Incongruent
-
-
Incongruent
+
-
Congruent
-
Noise
Internal both: for sender and
receiver
External
Examples:
Internal noise--illness, stress
External noise--other
commercials
Feedback
Feedback from the receiver
Feedback from the message
Feedback from the channel
Summary of factors affecting
communication effectiveness
Communicator
Source Credibility
1. Expertness,
2. Trustworthiness
3. Power
4. Likeability
Source Incongruity
Messages
Message Function
Message Structure
Channels
Personal Influence Channels
Non personal influence ch.
Audience
Level of Aggregation
Image Analysis
Level of Involvement
The Promotion
Mix Decisions
PROMOTION MIX:
BUDGET DECISION
Sales
(Q)
Q2
Q1
Q3
A3
$, A
Advertising
D3
The Sales Response
PROMOTION MIX:
BUDGET DECISION
A
A=Advertising
P=Personal Selling
A*
Q=150
Q=100
Q=75
D*
Constant-Budget line
P