6 Chapter Six Advertising Management Perfect Pushup 6 • Alan Mills • Navy Seal • Functional Training • The Perfect Pushup • Created the BODYREV company • Infomercials • Buzz marketing • Advertising campaign • Co-op advertising www.bodyrev.com 6 Advertising Management Chapter Overview • Advertising management • Choosing an advertising agency • Advertising campaign management • Communications market analysis • Advertising goals • Advertising budget • Media selection • Creative brief FIGURE 6.1 Overview of IMC FIGURE 6.2 Advertising Design Overview Overview of Advertising Management 1. Review the company’s activities in light of advertising management. 2. Select in-house or external advertising agency. 3. Develop an advertising campaign management strategy. 4. Develop a Creative Brief. In-House vs. Advertising Agency Decision Variables • • • • • The size of the account The media budget Objectivity Product complexity Creative ability Money Spent on Media 75-15-10 75% - Media buys 15% - Creative work (agency) 10% - Ad production External Agencies Boutique • • • • • Full-Service Advertising agencies Media service companies Direct marketing agencies Consumer and trade promotion specialists Public relations firms Whole Egg Theory Advertisement for Ogilvy & Mather Advertising FIGURE 6.3 Steps in Selecting an Advertising Agency Set goals. Select process and criteria. Screen initial list of applicants. Request client references. Reduce list to two or three viable agencies. Request creative pitch. Select agency. FIGURE 6.4 Evaluation Criteria in Choosing an Ad Agency • • • • • • • • • Size of the agency Relevant experience of the agency Conflicts of interest Creative reputation and capabilities Production capabilities Media purchasing capabilities Other services available Client retention rates Personal chemistry Leo Burnett Co. Conflict of interest means agencies do not serve competing firms. Company General Motors Hallmark Kellogg’s VISA McDonald’s Allstate Gain Source: www.leoburnett.com Year Obtained Industry Account Automobile 1971 Greeting cards 1988 Cereal 1949 Credit cards 1979 Fast food 1981 Insurance 1957 Detergent 2000 Grey Worldwide Advertising Company Sara Lee Kraft Foods Volkswagen 3M Corporation Coca-Cola Cannon Playtex Toshiba Source: www.grey.com Number of Year Obtained Countries Account 21 1993 North America 2002 15 1998 14 1984 6 2004 5 1976 North America 1968 16 2007 Advertising Planning and Research • General pre-planning input • Product-specific research • Major selling idea • Qualitative research • Anthropology • Sociology • Psychology • Value and lifestyle model (VALS) • Personal drive analysis (PDA) Advertising Planning and Research at Strawberry Frog Advertising Agency Click to play clip from Strawberry Frog: Inside an Advertising Agency VIDEO Key Advertising Personnel Client Marketing Manager Client Marketing Manager Client Marketing Manager Account Executive Creative Director Creative Creative Traffic Manager Creative Creative Media Buyers & Planners Angela Talley of DDB Worldwide discusses the work of the creative team in advertising production. Click picture to play movie. Steps in Advertising Campaign Management 1. Review communications market analysis. 2. Establish advertising portion of IMC objectives. 3. Review advertising budget. 4. Select media. 5. Prepare creative brief Promotions Opportunity Analysis (From Chapter 5) Communication Market Analysis • • • • • Competitors Opportunities Target markets Customers Product positioning •Media usage habits of the target market. •Media used by the competition FIGURE 6.5 Advertising Goals • To build brand image • “Top of mind” • “First choice” • To inform • To persuade • To support other marketing efforts • To encourage action In terms of soup, Campbell Soup ranks the highest in “top of mind” as well as “top choice.” As a result of this brand image, they enjoy a 43% market share in the soup industry. Example of Persuasion Advertising Budget Manner of Distribution • Continuous schedule • Flighting schedule • Pulsating schedule FIGURE 6. 6 The Creative Brief • • • • • The objective The target audience The message theme The support The constraints The Objective An advertisement for Bic designed to enhance the brand’s image. The Target Market The target market for this ad is females, 13-30, who enjoy sports and have an active life style. The Message Theme The message theme of this milk advertisement was that milk will provide calcium. The calcium will provide the customer with benefit of strong bones. The Message Theme • “Left brain” advertisement • Logical, rational side of brain • Manages numbers, letters, words, and concepts • Use rational appeal • “Right-brain” advertisement • Emotional side of brain • Manages abstract ideas, images, and feelings • Use emotional appeal The Support The support claims highlighted in this advertisement is that MicroThins are: •30% thinner • 40% lighter • 4 times more scratch resistant • 10 times more impact resistant • 99.9% UV protection • Anti-reflective Creative Brief After listening to this radio ad, identify the various components of the creative brief. Click on speaker to play ad. 1. 2. 3. 4. 5. What is the objective? Who is the target market? What is the message theme? What support is given? What are the constraints? Creative Brief Del Monte • The Objective – increase awareness of the smallersize cans with pull-top lid. • Target Audience – senior citizens, especially those that live alone and suffer from arthritis. • Message Theme – the new cans not only contain a smaller portion but are easier to open. • Support – 30 cent introductory coupon to encourage usage. • Constraints – copyright logo, toll free number, Web site address, legal requirements of a coupon, and what is meant by a small serving. Del Monte Advertisement Based on the Creative Brief in the previous slide.