BAMM PROF 5:ADVERTISING MODULE FOR FINALS WEEK 13: Advertising Media a. Describe traditional types of advertising media; and b. Identify advertising media selection criteria. c. Describe various types of Internet advertising; and d. Recognize alternative forms of advertising media outlets; and e. Describe the latest advertising media trends. WEEK 14: Effective Advertising and Sales Promotion a. Explain the need for creativity in advertising; and b. Describe the desired results of an advertising campaign. c. Explain the marketing research process; and d. Describe the benefits and limitations of marketing research. WEEK 15-17: Management of Effective Advertising a. Identify the steps in creating an advertising plan; and b. Recognize the various types of analyses that should be performed when creating an advertising plan. c. Describe different advertising creative formats; and d. Identify processes involved in the copywriting, art, and production stages of advertising. e. Describe various methods used to evaluate advertising effectiveness; and f. Identify simple approaches to use in determining advertising effectiveness. g. Define consumer-oriented advertising and explain how it is used; and h. Explain why branding is important to the success of a business WEEK 13: Advertising Media a. Describe traditional types of advertising media; and b. Identify advertising media selection criteria. c. Describe various types of Internet advertising; and d. Recognize alternative forms of advertising media outlets; and e. Describe the latest advertising media trends. Part 1: Types of Advertising Media A business cannot succeed without effective and targeted advertising. An important aspect of advertising involves choosing the appropriate media, which are the channels of communication used to send a message to the target market. 1. Television Advertising Advantages of Television Advertising Television gives advertisers the ability to convey their message using sight, sound, and motion. It provides many creative opportunities for advertisers. Television advertising is more likely to have an emotional impact on consumers than any other type of advertising. It reaches a large number of people, making the cost per viewer low. Disadvantages of Television Advertising Although the cost per viewer is low, the overall cost of television advertising is quite high. Television advertisers’ have to pay to produce the commercial. In addition, they have to pay the networks to air the commercial, which can be very expensive depending on the time of day, the television show's ratings (number of viewers), and the length of the advertisement. The average length of commercials is 30 seconds, which limits the amount of information that can be communicated. Because of the lengthy creative and production processes, it could be months before a television advertisement is ever aired. When the commercial is finally aired, advertisers cannot be assured that consumers will watch it. Consumers may use the remote to channel surf during commercials. 2. Radio Advertising Radio can be an effective way to advertise. Radio station listeners can be segmented by demographics. For example, a pop rock station will attract younger listeners, while a classic rock station will attract older adults. Radio commercials can be created and produced in a relatively short period of time at a much lower cost than television commercials. One of the biggest disadvantages of radio advertising is that it provides only an audio message because the product cannot be seen. Also, listeners can casily tune out commercials or change the station. Because listeners usually are doing something else while listening to the radio, it can be difficult to get their attention with an ad. 3. Print Advertising Print advertising is one of the best ways to promote a business and its products. However, a print ad may have to work harder than a television ad to get the consumer's attention. Creative headlines and appealing visual images are necessary. Print advertising includes newspapers, magazines, direct mail, flyers, and brochures. A. Newspapers There are several advantages of newspaper advertising. Newspapers reach large numbers of people, and newspaper advertising is relatively inexpensive. Newspapers sell advertising space based on the advertisement's location, size, and color. Newspaper advertising allows businesses to target a specific geographic area. Newspapers are not the best type of media when trying to reach a niche market. They are more effective for mass marketing. Since newspapers are published daily, the advertisement will have a short life span. B. Magazines Another popular form of media is magazines. One of the biggest advantages of magazine advertising is the ability to target specific markets. On the downside, magazine advertising can be expensive in comparison to newspaper advertising. Also, it takes much more time to produce and place an ad in a magazine. C. Direct Mail Direct mail can be a highly segmented advertising strategy when businesses use mailing lists that correlate with their target markets. Also, with the use of mailing lists, the advertising message can be personalized, which will elicit a more positive response. Direct mail campaigns are hidden from competitors, making it difficult for them to react quickly. It is easy to measure the effectiveness of direct mail advertising because the business can track the replies or orders received in response to the ad. D. Flyer and Brochures Flyer may be mailed, distributed door to door, or placed on car windshields to advertise numerous things, such as community events, grand openings, and special sales. Businesses such as landscapers and painters use flyers to advertise their services. They are an inexpensive form of advertising. Brochures are used to describe a product or service in an easy-to-read, eye-catching format. 4. Outdoor Advertising Outdoor advertising can take a variety of forms, including billboards, posters; ads on the sides of buses and at bus stop shelters, signs in malls, sports arenas, and airports, and any other space designed specifically for ads outside the home. It is effective at reaching a broad market and provides wide exposure for local businesses. Local retailers, service businesses, entertainment venues, hotels, and restaurants are the leading outdoor advertisers. Billboards are attention-getting and provide around-the-clock exposure. Digital billboard displays let advertisers rotate their messages throughout the day. The biggest drawback to outdoor advertising is the limit on the length of the message. People must be able to view the ad quickly as they drive or walk by it. The location of outdoor advertising has an impact on its effectiveness. Advertisers must evaluate sites to find the most desirable ones. Part 2: Media Selection Criteria Media planning is required to ensure that a business's advertising message is carried out effectively. There are several key factors to consider when selecting the media for advertising, including the reach, frequency, lead time, and cost. 1. Reach When choosing a media outlet, advertisers must consider the exposure it offers. The reach is the total number of people who will be exposed to an advertisement over a period of time. For a television ad, the reach is based on a show's ratings.. A show that has higher ratings wil have a higher reach. The potential reach of a billboard can be measured by examining traffic statistics. 2. Frequency Radio, television, and newspaper advertisements are repeated frequently to remind consumers about a product or service. Frequency is the number of times a person is exposed to an advertisement. Advertisers must consider the number of times the target market needs to be exposed to a message to meet its objectives. Continuous advertising is a strategy in which advertisements are run steadily over an extended period of time to continuously remind consumers of a product or service. Pulsing strategy, advertising is heavier during certain times of the year, such as holidays. Although retailers may advertise year-round, they advertise more often during the Christmas Holiday 3. Lead Time Lead time is the amount of time required to produce and place an advertisement. The lead time for outdoor advertising can depend on the complexity of the ad and the 'availability of the desired location. 4. Cost Cost could be the most important factor when it comes to selecting advertising media. The goal is to reach the most people at the lowest cost while staying within the advertising Budget. A common way to measure cost efficiency is to determine the cost-per thousand (CPM), which is the dollar cost of reaching 1,000 members of an audience. (The "M" in CPM comes from the Roman numeral for 1,000.) Cost per mille (CPM) is a pricing model and metric commonly used in marketing and advertising. Also called cost per thousand impressions, CPM refers to the the total ad spend for every 1,000 impressions an ad receives. The CPM formula is as follows: CPM = cost of media/ total audience X 1,000 For example, if it costs $75,000 for an advertisement in a magazine with a circulation of 1.2 million people, the CPM would be S62.50. Advertisers can use this formula to compare the cost efficiency of two or more media choices. Part 3: The Internet and Advertising The Internet has had a major impact on the advertising industry. Online advertising is a form of promotion that uses the Internet and World Wide Web as the advertising medium to deliver marketing messages that attract customers. Online advertising is growing faster than any other type of advertising. Types of Online Advertising Online advertising can be approached in many ways. Over the years, it has advanced from simple e-mail and banner advertisements to inter active social media advertising. Choosing the right approach depends on the product or service being advertised and the target market. 1. E-Mail Advertising E-mail is one of the quickest and easiest ways to reach customers. Many businesses collect e-mail addresses from customers and prospective customers, making it easy to send out information about promotions. Company websites often have an opt-in feature that allows customers to sign up for e-mails about the company and its products.E-mail advertisements sometimes get a bad reputation because of spam, which is an unwanted online communication that is sent out in mass. 2. Banner and Pop-Up Advertising If you have spent any time surfing the Internet, you have most likely seen banner and pop-up ads. A banner ad is a small, rectangular advertisement that usually appcars at the top or side of a web page and contains a link to the advertiser's site. Banner ads are also referred to as display ads. Pop-up ads can also be used to acquire e-mail addresses of individuals who are interested in receiving product information or other special offers for a product or service. Many consumers think pop-up ads are annoying and use pop-up blocking software to avoid them. 3. Search Engine Advertising A popular approach to online advertising is a search engine ad. Search engine ads (also known as paid search) are a form of online advertising where businesses pay to have their ads displayed on Google, Yahoo!, and other major search engines. Search engine ads allow businesses to reach a wider audience than they would be able to through organic search. Advertisers pay a certain amount each time someone clicks on their link. Marketers must carefully evaluate website visits resulting from search engine advertising to determine which keywords are producing results. 3.1 Search engine optimization (SEO) is the process of improving the visibility and ranking of a website or web page in search engines through organic practices. 3.2 Search engine marketing (SEM) utilizes paid or unpaid methods to promote a website or web page in search engines. 3.3 Search engine advertising (SEA) refers to the use of ads placed on Google, Bing, Yahoo!, and other major search engines. 4. Website Advertising Large companies spend millions of dollars to develop, launch, and maintain their websites. However, there are some inexpensive ways for smaller businesses to set up websites. Website advertising may be a good choice for startup companies that have limited capital. It is also the fastest way to reach a global market 5. Blogs A blog (web log) is a website maintained by an individual or business where entries (posts) that are intended for public access are made on a regular basis. Posts could include commentary on various topics, descriptions of events, reviews, and targeted advertising messages. 6. Social Media Advertising Advertisers are realizing the value of social media and have begun to shift significant amounts of their advertising dollars into this technology. Social media are websites where users create and share information. Web-based and mobile technologies are used to turn communication into interactive dialogue Advertisers often use social media to create buzz about a product or brand. Once they have created interest, they rely on consumers to spread the word through their communications on social media sites. Customer satisfaction and company image can be tracked based on these communications. Advantages and Disadvantages of Online Advertising Online advertising offers several advantages, including flexibility to update messages quickly, interactive communication between businesses and consumers, broad global reach, and ease in targeting specific audiences. For example, companies can place ads on relevant platforms to attract their desired market, such as a hotel advertising on a tourism website. However, online advertising also has disadvantages. Companies have limited control over negative or inaccurate information posted by others, which can harm their reputation. Additionally, threats like spamming and phishing are significant concerns. Spamming floods the internet with mass advertisements, often annoying users but still effective in generating responses. Phishing scams deceive individuals into sharing personal information, leading to identity theft. To counter phishing, recipients should verify requests directly with the organization instead of responding to suspicious emails. Part 4: Alternative Forms of Advertising Media Other Advertising Outlets 1. Transit Advertising Transit advertising includes ads that appear on the interior or exterior of public transportation (buses, taxis, subways) and other vehicles. This form of advertising is closely related to billboard advertising. Transit advertising now uses digital signage, making it easy to customize and change messages. Although many transit ads are placed on signs in or on a vehicle, vehicle wraps are ads consisting of pictures and graphics that completely encase the vehicle. 2. Aerial Advertising Advertising in the sky is known as aerial advertising. Banners with advertising messages are hooked onto planes that fly over stadiums, beaches, and entertainment venues to capture the interest of potential customers. Some of the airplanes use loud speakers, combining audio and visual elements. Skywriting delivers messages in the form of white cloud formations. Blimps are used to advertise at outdoor college and professional sporting events. Some have full color LED screens. Small blimps are also available for rental. Hot air balloons imprinted with company names and logos can be seen flying over special events. 3. Cinema Advertising Cinema advertising includes ads that run in movie theaters before the start of movies. Theaters offer 40-foot screens and great sound systems for viewing ads. Now ads can even be shown in 3D. Ads can be targeted based on the film's rating (G, PG, PG-13, and R). Both local and national companies can advertise. With all of these benefits, big screen advertising is becoming more popular. Over $600 million.IS invested each year in cinema advertising. Advertising is also included on popcorn boxes and cups that are sold at movie concession stands. Sometimes the concession stands offer product samples. Upcoming movies are advertised using tranlers (previews) shown before the feature presentation. 4. Product Placement Advertising Consumers often skip over commercials and use the remote control to flip to other channels when commercials are playing. Thus, advertisers are finding other ways to get their brands noticed. Product placement is a form of advertising in which a business's product, service, or name is used in a television show, movie, video game, or other form of entertainment. Because specific brands are being promoted, this form of advertising is also known as brand placement. Coca-Cola cups sit on a table in front of the judges for American Idol. Charmin bathroom tissue and Pringles" snacks have been included as part of the challenge prizes awarded to contestants on Survivor. The film Iron Man 2 featured more than 64 brands. Companies pay for product placement on popular television shows and movies to increase brand awareness. TV shows and movies offer large audiences and a global reach. When viewers develop an emotional connection with the show or movie and its characters, they have a higher recall of the brands used. Video game advertising, also called advergaming, is a way to promote brands using video games. Companies pay to have their brands featured in the games played by millions of consumers every day 5. Directory Advertising Telephone directories like the Yellow Pages have been around for a long time. Specialized telephone directories have been designed for neighborhoods, ethnic groups, and other special interest groups. A telephone directory is an advertising medium that consumers use to seek out products or services. Larger ads that use color and higher-quality graphics attract more attention. Directory advertising is often used to supplement other advertising media. Latest Advertising Media Trends 1 Video Advertising Video advertising is one of the fastest-growing forms of online advertising. While traditional advertising is on the decline, the number of video ads seen online is rising. Videos can be embedded on company websites or exported to other websites, such as You'Tube. Marketers have found that when a video is featured within an online article, website visitors tend to play the video before they start reading the article. Videos can run from 15 seconds to several minutes. Companies are slipping advertisements under the radar by using viral videos. Viral videos become popular through Internet sharing. Marketers create videos and post them on video sharing websites like YouTube. People that think the videos are funny, cool, or informative share them on social networking sites and through personal C-mails. When the video is circulated, it could get over a million views. In some instances, product users will create and post videos that go viral. 2 Mobile Advertising Another trend that is having a major impact on the advertising industry is mobile advertising. Mobile advertising directs messages to consumers Internet-enabled mobile devices, such as smartphones, MP3 players, and digital tablets like the iPad. The growing number of mobile devices represents many opportunities for advertisers to reach potential customers, especially younger consumers. Ads can be sent directly to mobile devices. Marketers believe mobile advertising can be very effective for local retailers, restaurants, entertainment businesses, and service providers if used to send promotional offers, such as coupons and price discounts. WEEK 14: Effective Advertising and Sales Promotion e. Explain the need for creativity in advertising; and f. Describe the desired results of an advertising campaign. g. Explain the marketing research process Part 1: The Need for Creativity in Advertising Advertising agencies typically have creative departments where print ads, television commercials, and other marketing communications are produced. These departments are staffed by writers who choose the words in advertisements, graphic artists who plan and construct visual layouts, and other specialists who transform the strategy into actual advertisements. Creativity can be defined in many ways. It could be described as a different way of looking at things or a new way of thinking. Creativity often is associated with fresh, new ideas. Creativity is a key element in effective advertising campaigns. It makes an advertisement stand out from the crowd, earning it more attention and making it more memorable. Creative ads make an emotional connection with the audience.Although creativity is important, an advertisement cannot be judged on creativity alone. Creative advertising must have a purpose to influence consumers' product and brand buying decisions. A. Elements of Creativity in Advertising There are many kinds of creative styles used in the advertising industry, but creative ads share common features. Creative ads that have one or more of these elements are more memorable and are more likely to influence the consumers' buying behavior Creative ads make a connection with the target audience. Creative ads have an element of unexpectedness. Creative ads use mischief in the form of tricks, pranks, and playfully naughty behavior to keep the audience interested. Creative ads provide concrete images. Creative ads use storytelling. Creative ads build momentum. Momentum can be measured by the buzz generated by an advertising campaign. When an advertising campaign gets people talking, leads to news stories, results in a following among celebrities and everyday consumers, it is building brand momentum. B. Synergy from Teams Successful advertising campaigns are created by teams consisting of members who have different areas of expertise. Advertising teams get direction from the creative brief, which is a description of what the advertising campaign is to accomplish. It states the objective of the advertising effort, which is to be carried out by the team. The client (advertiser) and various members of the advertising agency must work together to define the advertising objective and develop a creative, unique advertising campaign to achieve the objective. Synergy, which is the sum of the results produced by a team, is important to creative advertising. The idea behind synergy is that the whole is greater than the individual parts. Under the direction of a team leader, each team member will have a specific assignment. But through coordination and collaboration, the team as a whole will produce and implement the advertising campaigns. Brainstorming is one way to generate creative ideas. Brainstorming is an organized approach of generating a large number of ideas in a group setting. During brainstorming sessions, team members generate a list of ideas to help achieve objectives. In the case of advertising, teams may brainstorm ideas about the best way to communicate a message to the target audience. Ideas should not be judged or criticized because this will discourage participation. C. Determine the Desired Results of an Advertising Campaign Advertising objectives identify the desired results of an advertising campaign. All advertising efforts are directed toward the achievement of the advertising objectives. Often the objectives depend on the target market's level of experience with the brand. Objectives are set to move consumers from brand awareness to brand loyalty. Build brand awareness. This is the initial objective for new brands of products and services. If consumers are not aware of the brand's existence, few sales will be made. To build brand awareness, advertisers may use many forms of promotion, including advertising, sales promotion, and publicity. Communicate product benefits. In addition to making consumers aware of a brand, companies need to communicate its benefits. To do this, advertisers must supply information that explains the benefits obtained from purchasing the product. A consumer wants to know, "What's in it for me?" Advertisers may promote benefits related to money, health, convenience, leisure time, family, the environment, or other issues. Encourage trial purchases. Companies must encourage consumers to try a specific brand for the first time. Advertisements and sales promotions work in conjunction to meet this objective. Advertisements draw attention to the product, and sales promotions (coupons, free samples, price discounts, and rebates) motivate consumers to try it. At this stage, it is important that the brand live up to expectations so consumers have a positive experience. Create, change, or reinforce consumers’ attitudes about a brand. After consumers try a brand, they develop beliefs and attitudes about it. If the brand meets their needs, consumers' attitudes will be positive. Advertising is used to remind consumers about the product's benefits and encourage repeat purchases. Advertisers try to convince consumers that their brand is superior and persuade consumers to switch brands. Attain brand loyalty. This is the objective that every company strives to meet. When consumers develop a strong brand preference, they become loyal customers. A company must continue to provide a brand that provides more satisfaction than competitive brands, and the advertising campaign must continue to communicate the benefits of the brand. Part 2: What Is Marketing Research? Marketing research is the process of planning, collecting, and analyzing the data needed to solve marketing problems. Marketing research provides information about consumers, products, services, brand awareness, advertising, prices, wants and needs, and much more. The information collected during the marketing research process can be used to create a new marketing plan or analyze the current one to determine if changes are needed. Marketing research also helps businesses understand what is happening in the marketplace. It identifies opportunities in new, untapped markets. Although marketing research can be a costly and time-consuming process, the benefits usually outweigh the costs. Steps in Marketing Research 1. Identify and Define the Problem 2. Develop the Research Design - The research design is the plan that specifies how the marketing research process will be implemented. It identifies which research questions must be answered, how and when the data will be gathered, and how the data will be analyzed. 3. Determine the Method for Collecting Data 4. Collect the Data 5. Analyze the Data 6. Report and Present the Data Developing an Effective Sales Promotion Strategy Sales promotion generally involves short-term, incentive-offering and interest-creating marketing activities, other than advertising, personal selling, and public relations. The purpose of sales promotion is to motivate and influence a purchase or other desired action from the company's customers. Sales promotion offers a direct incentive to act by providing value that is over and above the product's value at its regular price. These temporary incentives can be offered at a time and place where the buying decision is made to increase the likelihood of an immediate sale. Sales promotions are increasing at a fast pace because of competitive market conditions and consumer demand for greater value. Sales promotion is an important component of a business's overall marketing strategy. It often is used in conjunction with the other forms of promotion-advertising, public relations, and personal selling. A business's profitability is greatly enhanced with an effective sales promotion strategy Several sales promotion techniques are used to attract attention and create demand for a product or service. 1.Coupons A coupon is a certificate that entitles the buyer to a price reduction on a product or service. Coupons are the most common form of sales promotion. 2.Price Deals Price deals can have an immediate impact on consumer demand. They are used frequently to encourage the trial use of a new product, to recruit new customers for a mature product, or to convince existing customers to purchase larger quantities. 3.Rebates A rebate is a refund of money offered to consumers who purchase a specific product. Rebates are used to increase the quantity or frequency of a purchase. Although rebates are offered on a wide variety of products, they often are used as a value enhancement for higher priced products, such as automobiles, computers, and major appliances 4.Premiums A premium is an item offered to consumers for free or at a reduced price with the purchase of another item. Premiums reinforce the consumer's buying decision and increase consumer demand. Examples of premiums include a free prize inside of a cereal box or a free garden tool for attending the grand opening of a hardware store. 5.Loyalty Marketing Programs Companies use loyalty marketing programs, or frequent-buyer programs, to reward customers for making repeat purchases. Loyalty marketing programs require that consumers keep buying the same brand or shopping at the same store to get the reward. By offering ongoing incentives, companies are able to build long-term relationships with customers. 6.Sampling An important goal of any promotional campaign is to get the product into the hands of the consumer. Sampling provides consumers with the opportunity to use a product on a risk-free trial basis. Sample products must have benefits or features that will be obvious while being tested by the consumer. Sampling is a useful technique for new products, but it also works well for brands that want to increase their market share. 7.Contests and Sweepstakes Companies use contests and sweepstakes to gain publicity and to create interest in a product or brand. Contests allow consumers to compete for a prize based on their skills or abilities. 8.Point-of-Purchase Displays Retailers use point-of-purchase (POP) displays to promote a particular brand and encourage impulse buying. POP displays include special racks, display cartons, banners, signs, price cards, and mechanical product dispensers. They are commonly found at the end of aisles or near cash register checkout lanes. High product visibility is the goal of POP displays. POP displays provide or remind consumers about a brand and its benefits. WEEK 15-17: Management of Effective Advertising a. Explain the four Cs of communication; and b. Describe how to create effective advertising messages. c. Identify the steps in creating an advertising plan; and d. Recognize the various types of analyses that should be performed when creating an advertising plan. e. Describe different advertising creative formats; and f. Describe various methods used to evaluate advertising effectiveness; and g. Identify simple approaches to use in determining advertising effectiveness. h. Explain why branding is important to the success of a business The Four Cs of Communication Effective communication is the key to successful advertising and promotional campaigns. It can be achieved by using the 4Cs Model - comprehension, connection, credibility, and contagiousness. Messages that contain these four components make a bigger impact with the audience. Comprehension Communication should be simple enough for the target audience to understand. Messages should be short and concise. A lengthy message that uses technical jargon will not be well received by the audience. Repetition aids comprehension. Advertisers should repeat the most important elements of the communication, such as the brand name. Connection Making a connection means that the message evokes some kind of reaction from the audience. The message will have meaning and significance for the audience and will usually trigger emotions, such as excitement, anger, empathy, guilt, happiness, or sadness. When the message makes a connection, audience members are more likely to make a change in their behavior or take some kind of action. Credibility The audience must believe who is saying the message (the brand or communicator's voice) and what is being said. When this does not happen, the connection begins to break down. The message should come from a person of authority or a trustworthy source. When backed by data and research, the message is more credible. Even if the audience comprehends the message and connects with it on an emotional level, it will not have the intended effect on the audience if it isn't credible. Contagiousness Have you ever noticed that when you see a television commercial that is clever or humorous, you share it with your friends, reenact it, or repeat the slogan or catch phrase in conversations? This is an example of a contagious message. Contagious messages are energetic, new, different, memorable, and relevant. The message should evoke an emotional response, make an impact, and motivate the target audience to do something. Put the 4Cs in Action As advertisers develop advertising and promotional messages, they should apply the 4Cs Model. Messages should be easy to comprehend, make a connection with the audience, have credibility, and be contagious. By showing the advertising or promotional message to a test group of consumers before releasing it to the general public, advertisers can determine if the 4Cs have been achieved. Questions to ask to help evaluate the effectiveness of the communication include the following: Does the audience understand the main idea or point of the message? What does the message instantly communicate to the audience? Can the audience recall the message? Does the message evoke an emotional response from the audience? Does the audience think the message or messenger is believable? Does the message motivate audience members to react in some way? Would audience members be likely to spread the message to others? Based on the answers to these questions, advertisers can make modifications as needed to ensure their message has the maximum impact on the target audience. What Is Effective Advertising? As businesses develop their advertising campaigns, they need to consider how to create effective advertising. Effective advertising has the following characteristics: 1. It is created from the consumer's perspective. Advertising must relate to the consumer's, not the businesses, needs and wants. Effective advertising demonstrates a keen insight into what consumers are looking for when making buying decisions about products and services. 2. It finds a unique way to break through the clutter. Advertisements can be found in every medium-newspapers, magazines, television, radio, and the Internet. Because consumers see a massive number of advertisements daily, advertisers find it difficult to stand out from the crowd. Advertisers must compete for the consumers' attention by using unique and memorable advertising techniques. 3. It never overpromises and underdelivers. Once consumers have been deceived by an advertiser that promised results or benefits that went undelivered, they will lose respect for the business. Effective advertising must be truthful. If an ad says that a car can go from O to 60 mph in 6 seconds, the product better be able to meet that promise. 4. It does not allow creativity to overwhelm the marketing strategy. Although creativity is important, it should not over shadow the purpose of advertising, which is to inform, persuade, or remind the audience about the product or service. An advertisement that doesn't meet its objectives is ineffective no matter how clever or humorous it might be. 5. It works in conjunction with the other elements in the marketing strategy. Using an integrated marketing communication strategy ensures all advertising and promotional messages about a product or service are compatible and deliver consistent messages. Processing Advertising Messages When creating advertising messages, advertisers should consider how to increase consumers’ motivation, opportunity, and ability to process advertising messages. Because brands in most product categories are similar, advertisers must create advertising messages that generate enthusiasm and interest among consumers about a specific brand. Ability to Process Advertising Messages To ensure that consumers will fully understand an advertising message, advertisers need to determine the consumers' existing knowledge about the product or service. If consumers are already familiar with the product or service, advertisers can spend more time promoting the brand and less time explaining the product features. For example, an effective advertisement for Snickers" might consist of only the Snickers brand name and a picture of a person eating the candy bar. However, this advertising strategy would not work well for a new product that is unfamiliar to consumers. Without knowing about the product and its benefits, consumers would not fully comprehend such an advertisement. The Advertising Plan The advertising plan describes the goals of an advertising campaign, methods to use to accomplish those goals, and ways to evaluate whether those goals are achieved. Developing the advertising plan requires research about the audience, product, and type of media to use to deliver the most effective message. Although the content of an advertising plan will vary based on the product or service and market the general outline of an advertising plan will be similar. Steps for creating the advertising plan are described below. 1. Perform a Situational Analysis A situational analysis describes the environment in which a business is operating. Before planning an advertising campaign, a business needs to review its history and take a look at where things stand currently. It needs to review its current products, target market, competitors, and financial condition. Industry and market trends and the state of the economy should also be considered. An analysis of all of these factors will help advertising planners determine the best type of message, timing of the message, and the most effective forms of media for a successful advertising campaign. A SWOT analysis, which is an examination of a business's strengths, weaknesses, opportunities, and threats, is often conducted as part of a situational analysis. Strengths and weaknesses are internal factors 2. Set Advertising Objectives Advertising plans are based on objectives that describe the desired results of the advertising campaign. In many cases, a business has more than one advertising objective for a campaign. Common advertising objectives include the following: Build consumer awareness of a product or brand Communicate product or brand benefits Generate interest in a product or brand Create, change, or reinforce consumers attitudes about a brand Persuade consumers to switch brands Attain brand loyalty Increase sales 3. Determine the Budget After the advertising objectives have been identified, it is time to create the budget. There are several methods businesses can use to determine the budget. Unfortunately, some businesses base the budget on what they can afford. In other words, the advertising budget depends on how much money is left over after all of the business's expenses are covered. This is not the best method because it doesn't always meet the business's advertising needs. 4. Develop the Creative Strategy The creative strategy describes who the target market is, what the advertising message should be, and how the message will be communicated. Before an ad can be created, the business must determine the purpose of the advertising message, such as to inform, to compare, to persuade, to remind, or to defend. It must also determine the best medium for communicating the message to the target audience. 5. Execute the Plan Once the strategy is in place, the creative development process begins. The business often works with copywriters and art directors to create the advertising concept. Ad copy, slogans, headlines, designs, illustrations, photos, and scripts are important elements of the creative development process. Marketers frequently test their advertising campaigns in focus groups consisting of members of the target audience. Feedback may suggest that changes are needed. Once the business approves the creative concept, the actual advertisement(s) will be produced. Producers and directors help create television commercials. 6. Evaluate the Plan The advertising campaign must be evaluated to determine if the objectives outlined in the advertising plan were met. The criteria stated in the objectives can be used to measure the effectiveness of the advertising campaign. When it comes to advertising, businesses are highly interested in their return on investment (ROI), which is the amount is earned as a result of money invested, expressed as a percentage. The equation for ROI is as follows: Advertising Plan Analyses Industry Analysis An industry analysis focuses on the developments and trends within an entire industry. It helps a business understand its position relative to other businesses producing similar products and services. It also identifies opportunities and threats that can be addressed in the planning process. Questions to ask when performing an industry analysis include the following: What is the estimated size of the industry (in total sales or number of products/services sold)? What is the expected outlook of the industry? (Is it on the rise or decline?) What are the sales trends in the industry over recent years? What are the product/service trends in the industry? Who are the leading businesses (top brands) in the industry? What types of marketing strategies are commonly used in this industry? Is the industry sensitive to economic conditions? Market Analysis A market analysis is performed to learn more about current and potential users of a product or service. It helps clearly define the target market and its needs. Questions to ask about the market include the following: Who is the target customer? What is the size of the overall target market? What features and benefits are most important to the target customer? What would motivate the target customer to buy our company's product or service instead of the competitors? What is the best way to reach the target customer? How is the market changing? Competitor Analysis After studying the industry and the market, it is important to take a look at the competitors. A competitive analysis will help a business determine its competitive advantages or disadvantages relative to other businesses. Businesses can use this information to develop strategies to overcome the competition. Questions to ask about competitors include the following: Who are the competitors? What threats do they pose? What are the strengths and weaknesses of the competitors? What marketing strategies do the competitors use and how successful are those strategies? How are the competitors likely to respond to changes in our marketing strategies? Global Analysis Many businesses are expanding into international markets. Even if a business's advertising strategy has been successful in its own country, the same advertising may not work well in different countries or cultures. Target markets differ from country to country in terms of how they perceive or interpret the advertising message. Businesses must decide when they can standardize advertising campaigns throughout the world and when they must customize advertisements for different cultures. Creation of the Advertising The information outlined in the creative strategy portion of the advertising plan is used by the creative team to develop the advertisement. Numerous creative formats can be used to convey the advertising message to the target customers. The advertiser must select the format that will be the most effective at meeting the advertising objectives. The format used must make an advertising appeal, which serves to capture the audience's attention and identify a reason for the consumer to buy the product. Advertising Formats: Slice-of-Life Advertising Slice-of-life advertising portrays a scene from everyday life. Advertisements depict people in normal social settings, such as at the dinner table, at a park, or in their car. The audience feels like it is watching or listening to a real event. The goal of slice-of-life advertising is to socially embed the brand in the consumer's everyday life. Lifestyle Advertising When using lifestyle advertising, advertisers have to understand the psychographic characteristics interests, attitudes, and opinions-of their target audience. This form of advertising attempts to develop an image or identity for the brand. It not only promotes the product, but it also promotes a way of living. Lifestyle advertising is depicted in Mountain Dew commercials. The brand presents itself as the choice for consumers who have a young attitude and active lifestyle. Testimonial Advertising When a spokesperson endorses a product in an advertisement, it is known as a testimonial. The endorser may be a well-known celebrity or athlete, a knowledgeable professional such as a doctor, or a satisfied customer who uses the product. The idea behind testimonial advertising is that prospective customers are more likely to trust a recommendation coming from a third party than from the business itself Humorous Advertising Humor is used in advertising as a way to make an emotional connection with the audience. When humor is used appropriately, consumers develop a positive and memorable association with the brand. People actually enjoy humorous ads and talk about them with others. However, humorous ads have to do more than just entertain. There must be a direct link between the humor and the brand; otherwise, people will remember the joke but not the brand. Advertising humor works best for established and commonly purchased products. Unknown, risky, expensive, or sensitive products are not normally suitable for advertising humor. Image Advertising Image advertising promotes the general perception of a product or service rather than its function or purpose. It is effective at building brand awareness, creating familiarity, and contributing to the development of a mental picture of the brand or product in the minds of consumers. Celebrities often are used to help promote the desired image. Image advertising attempts to generate positive attitudes about a brand, company, or concept through the use of visual images. Scientific Advertising Scientific advertising uses research or scientific evidence to promote a brand. This type of advertising is effective when showing the results of pain relievers, hair growth products, weight loss remedies, and skin creams. The Federal Trade Commission (FTC) carefully monitors scientific advertising to make sure that it is accurate and not misleading. Product Demonstration Advertising Product demonstration ads show how to use the product, identify the benefits of using the product, and emphasize the value of owning the product. Product demonstrations are based on the motto, "seeing is believing." Musical Advertising Advertisers often choose to convey their message through the use of music. Music functions as a bridge between the target audience and the advertisement. The audience becomes more engaged when a familiar tune or catchy jingle is used. In addition, music can trigger an instant emotional response from the target audience. Comparison Advertising Comparison advertising is used to promote the superiority of a brand by comparing its features to those of a competitive brand. Copywriting and Art Directing Copywriting is the process of using words to express creative ideas and concepts. In advertising, copywriters must effectively communicate the benefits and value of a brand in a new or unique way. The copywriting process varies depending on the media used. However, one element of copywriting is common across all media formats. Copywriters must create a slogan, or tagline, that will appear in all of a company's advertisements. A slogan is a short, memorable phrase that establishes an identity for a brand Print Advertising Components of print advertising include the headline, subhead, and body copy. A headline is used to capture the reader's attention. It may provide information about the brand, emphasize a brand claim, or arouse the reader's curiosity. The subhead, which usually appears below the headline, provides brand information not included in the headline. Body copy describes the brand in more detail. Copywriters are challenged to use familiar words and phrases in an interesting and exciting way. Art directors are responsible for the visual elements of print advertising. One of the most important visual elements is the illustration, which is the actual drawing, photography, or other type of art used in the advertisement. The illustration should work with the ad copy to attract the attention of the target audience and communicate brand features or benefits. By creating interest, illustrations entice people to read the ad copy. Illustrations also help create the desired image for the brand. If a clothing manufacturer is targeting teenagers, its print ads may contain pictures of teens having fun while wearing the manufacturer's clothing. The pictures set the tone for the ad. Evaluate Advertising Effectiveness The final step in the advertising plan is to evaluate the effectiveness of the advertising campaign. There are many reasons to measure the effectiveness of advertising. It determines whether the advertising message made an impact on the target audience. It identifies which strategies worked and which didn't. It also provides useful information that advertisers can use to make future advertising messages more effective. Finally, it is used to justify the investment in advertising. In most cases, measuring the results of an advertising campaign is directly related to the advertising objectives. It is important to determine if the advertising objectives were met. A recognition test measures a lower level of brand awareness by determining whether audience members remember seeing the ad. Audiences are asked if they recognize the ad and if they can name the company sponsoring the ad or the brand name of the product in the ad. Recall requires more actual memory of an ad. A recall test measures how much the audience remembers about the advertising message. If audiences indicate they recognize the ad, they are then asked more specific questions relating to brand attributes. Results are tabulated from both tests to determine the recognition and recall scores. A common advertising objective is to create, change, or reinforce consumers' attitudes about a brand. An attitude study measures consumer attitudes before and after exposure to an ad. Target audience members are recruited and surveyed about their attitude toward the advertised brand and competitors’ brands before being shown the ad. Then audience members are shown the ad, and their attitudes are measured again to see if they have changed. The goal of the advertising message is to produce a positive attitude about the brand and build brand preference. Emotional Measures One way to generate interest in a brand and attain brand loyalty is to make an emotional connection with consumers. Ads that appeal to consumers emotions have a stronger and longer lasting effect. To make an emotional connection, advertising messages must be relevant and meaningful. A resonance test measures the extent to which an advertising message resonates or strikes a chord with the target audience. This type of test usually is given in a group setting. The ad is shown to the group and then discussed. Advertisers question group members to see if the advertisement matches their own experiences Behavioral Measures The main purpose of an advertising campaign often is to influence consumers' behavior. Advertisers want consumers to take some kind of action, such as visit a website or make a purchase. There are several behavioral-based measures that advertisers can use, many of which are related to sales. Businesses can measure the effectiveness of their advertising campaign by comparing sales before, during, and after the ad campaign.