Advertising Programs. Effects of Advertising Programs ¶ Cognitive stageExposure to message Message recall Awareness of product Knowledge of product attributes.

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Presentation transcript:

Advertising Programs

Effects of Advertising Programs ¶ Cognitive stageExposure to message Message recall Awareness of product Knowledge of product attributes and uses · Affective stageWillingness to seek more information Interest in product Favourable evaluation of product or brand attributes Intention to try or buy ¸ Behavioural stageProduct trial Product purchase StagesSpecific Effects

ADVERTISING Paid messages designed to inform or persuade buyers or users about a product, service, belief or action.

Developing Advertising Programs Ê The process of setting advertising objectives Ë Procedures for developing advertising budgets Ì Considerations involved in devising a message and a media plan Í Approaches for evaluating the effectiveness of a program

Basic Elements of an Advertising Programs Marketing Strategy Advertising Objectives Tentative Budget Message Design Media Schedule ImplementRevisions Evaluation

Types of Advertising Objectives è Awareness è Reminder to use è Changing attitudes about the use of the product form è Changing perceptions about the importance of brand attributes è Changing beliefs about brands è Attitude reinforcement è Corporate and product-line image building è Obtaining a direct response

The Advertising Budgeting Process Ê Establish a baseline budget Ë Based on the advertising objectives, estimate the message design and media costs required Ì If time and resources permit, run experiments to obtain a rough estimate of the impact of the proposed program Í Revise the budget (or objectives) as necessary

Developing a Tentative Advertising Budget Prior Year Budget Percentage of Sales Adjustment Product Objective Competitor’s Budgets Profitability Analysis Productivity Judgments Baseline Budget Advertising Objective Message Design Cost Media Cost Results of Experiments Changes in Other Programs Tentative Budget

Developing the Media Schedule Advertising Objectives Target Audience Frequency and Reach Criteria Message Design Potential Media Vehicles Audience SizeSize, Length and Position Duplication Among Vehicles Cost per Insertion Media Scheduling Model Compare Alternative Schedules Review Budget Tentative Budget

Elements of Message Design Copy-Claim Alternatives: u Claims that describe the physical attributes of the product u Claims that describe the functional benefits that can be obtained from the product u Claims that characterize the product in terms of the types of people who use it

Elements of Message Design Execution Style: n Humour n Symbolic Associations n Testimonials n Product demonstrations n “Slice of Life” n Case histories n Documentation of the product’s attributes n Comparative advertising

How to Evaluate Advertising Programs Specific Advertisements: ¶ Recognition Tests Estimate the percentage of people claiming to have read a magazine who recognize an ad when it is shown to them. · Recall Tests Estimate the percentage of people claiming to have read a magazine who can recall an ad and its contents. ¸ Opinion Tests Potential audience members are asked to rank alternative advertisements as most interesting, most believable, best liked, etc. ¹ Theatre Tests Theatre audience is asked for brand preferences before and after an ad is shown in context of a TV show.

How to Evaluate Advertising Programs Specific Advertising Objectives: ¶ Awareness Potential; buyers are asked to indicate the brands that come to mind in a product category. A message used in an ad campaign is given, and buyers are asked to identify the brand that was advertised using that message. · Attitude Potential buyers are asked to rate individual or competing brands on determinant attributes, benefits, other characterizations using rating scales.

How to Evaluate Advertising Programs Evaluating Motivational Impact: ¶ Intentions to Buy Potential buyers are indicate likelihood they will buy a brand (on a scale from “definitely will not” to “definitely will”. · Market Test Sales changes in different markets are monitored to compare effects of different messages, budget levels, etc.