19-1

19-2 Advertising, Sales Promotion, and Public Relations Chapter 19 McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

19-3 Chapter Goals McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved. Nature and scope of advertising, sales promotion, and public relations Characteristics of the major types of communication tools How advertising campaigns are developed and media are selected Alternative ways firms organize the advertising efforts How sales promotion is managed to maximize effectiveness The role of public relations in the promotion mix

19-4 Advertising Verbal and/or visual Nonpersonal message Delivery through media Identified sponsor Payment By sponsor To media Carrying message

19-5 Advertising Expenditures

National Advertisers

19-7 Types of Advertising TARGET: Consumer or Business TYPE OF DEMAND: Primary or Selective MESSAGE: Product or Institutional SOURCE: Commercial or Social

19-8 Advertising Campaign All tasks involved in transforming a theme into a coordinated advertising program to accomplish a specific goal for a product or brand All tasks involved in transforming a theme into a coordinated advertising program to accomplish a specific goal for a product or brand Several different messages Over an extended time Using a variety of media Several different messages Over an extended time Using a variety of media Advertising Campaign Involves

19-9 Developing an Advertising Campaign Framework for an advertising campaign Identify the Target audience Establish Promotional goals Set Promotional budget Determine promotional theme

19-10 Budgets Vertical Cooperative Advertising Horizontal Cooperative Advertising allowance

19-11 Creating a Message Attention Execution Appeal Influence

19-12 Selecting Media Type Of Media Specific Media Vehicles Category Of Medium

19-13 Selecting Media: General Factors Objectives of the Ad Requirements of the Message Audience Coverage Time and Location Media Cost

19-14 Media TV MAGAZINES NEWSPAPERS DIRECT MAIL RADIO OUT-OF-HOMEINTERACTIVE YELLOW PAGES

19-15 Cost of Advertising

19-16 Evaluating the Advertising Effort Difficulty Of Evaluation Methods Used to Measure Effectiveness

19-17 Organizing for Advertising Internal Departments Advertising Agencies Inside department and Outside Agency Inside department and Outside Agency

19-18 Sales Promotion Demand-stimulating devices to supplement advertising and facilitate personal selling Demand-stimulating devices to supplement advertising and facilitate personal selling Trade Promotions Consumer Promotions

19-19 Developing Sales Promotion Plans Determine Objectives and Strategies Determine Budgets Direct The Sales Promotion Effort Select Appropriate Techniques

19-20 Major Sales Promotion Devices

19-21 Examples of Product Placements

19-22 Public Relations Management tool designed to favorably influence attitudes toward an organization, Its products, and its policies Management tool designed to favorably influence attitudes toward an organization, Its products, and its policies

19-23 Benefits of Publicity Lower Costs Increased attention Timeliness More information

19-24 Limitations of Publicity Loss of control Limited exposure Publicity is not free

19-25 Key Terms and Concepts McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved. Advertising Business-to-Consumer advertising Primary-demand advertising Selective-demand advertising Comparison advertising Product advertising Institutional advertising Advertising campaign Cooperative advertising Advertising media Cost per thousand Direct tests Indirect tests Advertising agency Sales promotion Public relations Publicity