Using Advertising & Promotion To Build Brands LECTURE-12

Chapter Questions What is advertising? Advantages & disadvantages of advertising. The marketing and promotional mixes. Marketing communication vs media. What is Integrated marketing communications. What are the reasons for growing importance of Integrated marketing communications?

Advertising Advertising is any paid form of nonpersonal communication about an organization, product, service, idea or cause by an identified sponsor.

Advantages of Advertising Advertiser controls the message. Cost effective way to communicate with large audiences. Effective way to create brand images and symbolic appeals. Often can be effective way to strike responsive chord with consumers

Disadvantages of Advertising High costs of producing and running ads Credibility problems and consumer skepticism Clutter Difficulty in determining effectiveness

Coca-Cola is the world’s most valuable brand

Examples of creative ads

An example of a business-to-business ad Source: Courtesy Honeywell.

The objectives of this ad include image building and encouraging inquiries

Samples of television commercial ad Honda Accord Cog Making of Honda Accord Cog Volkswagen Polo “Terrorist” Commercial

The Marketing & Promotional Mixes Marketing Mix:  Product or Service  Pricing  Channels of Distribution  Promotion Promotional Mix:  Advertising  Direct Marketing  Interactive/internet marketing  Sales Promotion  Publicity/Public Relations  Personal Selling

Marketing Communications (MC) Marketing communication is a collective term for all the various types of planned messages used to build a brand- advertising, public relations, sales promotion, direct marketing, personal selling, packaging, events and sponsorships and customer service.

Media The vehicles through which marketing communication messages are carried to (and from) target audiences.

Integrated Marketing Communications (IMC) Integrated marketing communication (IMC) is a process for planning, executing and monitoring the brand messages that create customer relationship.

Reasons For Growing Importance of IMC  Shift from media advertising to other forms of marketing communication  Movement away from advertising focused- approaches that emphasize mass media  Shift in power from manufacturers to retailers  Rapid growth of database marketing  Demands for greater ad agency accountability  Changes in agency compensation  Rapid growth of the Internet  Increasing importance of branding

The IMC Process Model

FUNCTIONS Advertising Direct Marketing Public Relations Sales Promotion Interactive/ Internet Marketing Packaging Events & Sponsorships Customer Service Personal Selling The Functional Areas Of Marketing Communication

 Marketing Management – A South Asian Perspective by Philip Kotler, Kevin Lane Keller, Abraham Koshy & Mithileshwar Jha, 13th Edition, Published by Pearson Education, Inc.  Strategic Marketing Management – Meeting The Global Marketing Challenges by Carol H. Anderson & Julian W. Vincze Published by Houghton Mifflin Company.  Principles of Advertising & IMC by Tom Duncan 2 nd Edition, Published by McGraw-Hill Irwin.  Principles of Marketing by Philip Kotler & Gary Armstrong Thirteenth Edition, Published by Prentice Hall Bibliography

The End… "Yesterday's failures are today's seeds that must be diligently planted to be able to abundantly harvest tomorrow's successes.” Author Unknown