Objectives Setting
Major Decisions in Advertising
Advertising Objectives
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Sales Objectives
Communications Objectives
Sales Objectives
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Specific, measurable outcomes within a given
time period.
E.g. sales volume, market share, profits, or
ROI.
A good sales objective is quantifiable,
realistic and attainable. In addition, it also
delineates the target market and time frame.
Appropriate Situations for
Sales Objectives
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Induce an immediate behavioral response
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Direct-response advertising
Retail advertising for special events, e.g. 新光三
越, 家樂福.
Advertising plays a dominant role in a firm’s
marketing program and other factors are
relatively stable, e.g. consumer packaged
goods.
Sales Objectives are Appropriate
for Direct Response Advertising
Problems with Sales
Objectives
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Too many factors influence sales.
Carryover effect: for mature, frequently
purchases, low-priced products, advertising
effect on sales lasts up to 9 months.
Offer little guidance to the managers.
Induce the managers to take a short-term
perspective.
Many Factors Influence Sales
Product Quality
Technology
The Economy
Promotion
SALES
Competition
Distribution
Price Policy
Communications Objectives
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Designed to achieve such communications
as brand knowledge and interests, favorable
attitudes and images, and purchase
intentions.
Not all Ads are Designed to
Achieve Sales
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Pampers
Toyota
Ford
中華汽車
The Response Process
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Traditional Response Hierarchy Models
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AIDA model
Innovation adoption model
Hierarchy of effects model
Information processing model
Alternative Response Hierarchies
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The dissonance/attribution model (Dissonance-reducing
buying behavior)
The low-involvement model (variety-seeking buying
behavior & habitual buying behavior)
AIDA Model (Strong, 1925)
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Attention → Interest → Desire → Action
The stages a salesperson must take a
customer through in the personal-selling
process.
Hierarchy of Effects Model
(Lavidge and Steiner, 1961)
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Awareness → Knowledge → Liking →
Preference → Conviction → Purchase
A paradigm for setting and measuring
advertising objectives
Premise: advertising effects occur over a
period of time.
Innovation Adoption Model
(Rogers, 1962)
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Awareness → Interest → Evaluation → Trial
→ Adoption
The stages a consumer passes through in
adopting a new product or service
Information Processing Model
of Advertising Effects (William McGuire,
1978)
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Presentation → Attention → Comprehension
→Yielding → Retention → Behavior
Assume that the receiver in a persuasive
communication situation like advertising is an
information processor or problem solver.
McGuire’s model includes a stage not found
in the other models: retention, or the
receiver’s ability to retain that portion of the
comprehended information that he or she
accepts as valid of relevant.
Models of Obtaining Feedback
Effectiveness Test
Persuasion Process
Circulation reach
Exposure/presentation
Listener, reader,
viewer recognition
Attention
Recall, checklists
Comprehension
Brand attitudes,
purchase intent
Message acceptance/
yielding
Recall over time
Retention
Inventory
POP consumer panel
Scanner data
Purchase behavior
Examples of
Exposure/Presentation
In the Internet era, what stage will
you add into the response process?
有「梗」的產品
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榨汁機
豬排飯
Models of the Response Process
Models
Stages
AIDA
Hierarchy of
Innovation
Information
model
effects model
adoption
Processing
Attention
Awareness
Awareness
Presentation
Cognitive
Attention
Knowledge
Interest
Affective
Linking
Comprehension
Interest
Yielding
Evaluation
Retention
Preference
Desire
Conviction
Trial
Behavioral
Action
Purchase
Behavior
Adoption
Three Basic Stages
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Cognitive stage (think): what the receiver knows
or perceives about the particular product or
brand.
Affective stage (feel): the receiver’s feelings or
affect level for the particular product or brand.
Behavioral or Conative stage (do): the receiver’s
action toward the particular product or brand.
Implications of the Traditional
Hierarchy Models
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Potential buyers may be at different stages in
the hierarchy, so the advertiser will face
different sets of communication problems.
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Cognitive, e.g. DHC, Pinky, 3M魔布強效拖把.
Affective, e.g. 全 國 電 子 , Guinness, 泰 國 人 壽 ,
Pantene Thailand.
Behavioral, e.g. Heineken, KFC, www.one.org.
It is useful for the measurement of
communication effect.
Alternative Response Hierarchies
(Michael Ray, 1973)
High Perceived
Product
Differentiation
Low Perceived
Product
Differentiation
High Involvement
Low Involvement
Standard Learning
Model
Low-Involvement
Model
(C→A→B)
(C→B→A)
Dissonance/Attribute
Model
(B→A→C)
Four Types of Buying Behavior
(Henry Assael, 1987)
Significant Differences
Between Brands
Few Differences
Between Brands
High Involvement
Low Involvement
Complex buying
behavior
Variety-seeking
buying behavior
(C→A→B)
(C→B→A)
Dissonancereducing buying
behavior
Habitual buying
behavior
(C→B→A)
(B→A→C)
Ads for Complex Buying
Behavior
Theory of Cognitive
Dissonance
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When a person is confronted with inconsistence
among attitudes or behaviors, he or she will take
some action to resolve this “dissonance,” perhaps
by changing an attitude or modifying a behavior.
It helps to explain why evaluations of a product tend
to increase after it has been purchased.
One implication of this phenomenon is that
consumers actively seek support for their purchase
decisions.
Ads for Dissonance-Reducing
Buying Behavior
Ads for Low-Involvement
Behavior
Think
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In spite of C→A→B, B→A→C and C→B→A,
is there another type of response process?
Involvement Concept
Possible results
of involvement
Antecedents of
involvement derived
from the literature
Person factors
- Needs
- Importance
- Interest
- Values
Object or stimulus factors
- Differentiation of
alternatives
- Source of communication
– Content of
communication
Situational factors
-Purchase/use
-Occasion
Elicitation of
counterarguments to
ads
Involvement
With advertisements
With products
With purchase decisions
Effectiveness of ad to
induce purchase
Relative importance of
the product class
Perceived differences
in product attributes
Preference of a
particular kind
Influence of price on
brand choice
Amount of information
on search
Time spend
deliberating alternatives
Type of decision rule
used in choice
Decision Rules
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Compensatory
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Simple Additive Rule
Weighted Additive Rule
Noncompensatory
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The Lexicographic Rule
The Elimination-by-Aspects Rule
The Conjunctive Rule
Decision Rules –
Compensatory
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Simple Additive Rule
Weighted Additive Rule
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Fishbein-Ajzen Model
Akj  i 1Wki Bkij
n
k: consumer, j: brand, i: attribute, n: number of attribute, W:
weight, B: belief, A: attitude.
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The Idea-Point Model
Akj  i 1Wki I kij  Bkij
n
A Consumer’s Brand Beliefs
about Computers
Computer
Attribute
Memory
Capacity
Graphics
Capability
Size and
Weight
Price
A
10
8
6
4
B
8
9
8
3
C
6
8
10
5
D
4
3
7
8
Marketing Strategies
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Alter beliefs about the brand: psychological
repositioning, e.g.農心辛拉麵, DHL, 威滅滅蟑隊.
Alter beliefs about competitor’s brands: competitive
positioning, e.g. 威寶電信, 德恩奈系列牙刷.
Alter the important weights, e.g. 台灣啤酒, 薄酒萊,
統一陽光燕麥穀奶, PSP–1, 2.
Call attention to neglected attributes, e.g. 聲寶殺菌
光, 永慶房屋, Online Store, KFC.
Redesign the product: repositioning, e.g. Arm &
Hammer, 綠油精 – 1, 2, 18銅人行氣散.
Case: Beaujolais (薄酒萊)
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產地：South of Burgundy
品種：Gamay Noir
一般品嚐葡萄酒常強調陳年、厚實。
薄酒萊強調新鮮、果香，利用行銷策略、舉辦
「新酒節」等方式，使消費者接受其訴求。
Decision Rule –
Noncompensatory
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The Lexicographic Rule
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The Elimination-by-Aspects Rule (Tversky, 1972)
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The brand on the most important attribute is selected.
Brands are evaluated on the most important attribute, and
specific cutoffs are imposed.
Compromise effect, e.g. 菜單上最貴的的菜色(HBR中文版
June 2008, p.38).
The Conjunctive Rule
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Cutoffs are established for each attribute.
A Consumer’s Brand Beliefs
about Computers
Computer
Attribute
Memory
Capacity
Graphics
Capability
Size and
Weight
Price
A
10
8
6
4
B
8
9
8
3
C
6
8
10
5
D
4
3
7
8
Think
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What factors may affect a consumer’s
decision rule?
Setting Objectives Using the
Communications Effects Pyramid
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Product: Backstage Shampoo
Time period: Six months
Objective 1: 90% awareness
Objective 2: 70% interest
Objective 3: 40% positive feelings and 25%
preference
Objective 4: 20% trial
Objective 5: 5% main regular use
Inverted Pyramid of Communications
Effects
90% Awareness
70% Knowledge
40% Liking
25% Preference
20% Trial
5% Use
Case: Harley-Davidson
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1999年推出租賃方案
目的：希望承租哈雷機車的客人在騎乘後，會
誘發其購買的欲望。
結果：
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32%的承租人在之後購買了哈雷機車。
37%的承租人計畫在一年內購買一台哈雷機車。
多達半數的承租人花了超過100美元購買哈雷周邊
商品。