1. Chapter 3 Advertising and the Marketing Process
What is Marketing?
Planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy the perceived needs, wants, and objectives of the customer and the organization

2. Advertising’s Role in Marketing?
Strengths
Examples
Can reach a mass audience
Super Bowl commercials reach 150 million consumers
Introduces products
Windows 98 was simultaneously introduced in multiple world markets
Explains important changes
MTN Cellular’s ads explain changes in its technology
Reminds and reinforces
Pepsi has been advertised continuously for 50 years
Persuades
Nike campaigns have helped increase sales by 300% during the past decade

3. Types of Markets Market Consumer: Business-to-business Institutional
Where goods are sold and bought or
Particular type of buyer
Consumer:
Business-to-business
Institutional
Reseller

4. Approaching the Market
Undifferentiated vs. Segmentation approaches
Product differentiation
Positioning
Attribute
Price
Ability to surpass the competition
Application
Product user
Product class

5. The Marketing Concept and Relationship Marketing
Integrated marketing
Relationship marketing

6. Four Tools of Marketing
1. Product
Branding
(brand, name, mark, equity)
Packaging
Colorful and distinctive
Coordinate with image
Functional
Coordinate with advertising

7. Four Tools of Marketing
2. Place: channel of distribution
Direct marketing
Indirect marketing
Cooperative advertising allowances
Pull strategy
Push strategy
Exclusive, selective, intensive

8. Four Tools of Marketing
3. Price
Customary Pricing
Psychological pricing
Low prices
High prices
Changing prices/alternate offerings
Price lining
Match pricing with advertising

9. Four Tools of Marketing
4. Promotion: marketing communications
Personal selling
Advertising
Sales promotion
Public relations
Direct marketing
Point-of-sale/packaging

10. Ad Agencies Why hire an ad agency? Why not? Types of agencies
Full-service agencies
Specialized agencies
Industry-focused agencies
Minority agencies
Creative boutiques
Media buying services
Virtual agencies

11. How agencies are organized
Ad Agencies
How agencies are organized
Account management
Creative development and production
Media planning and buying
Account planning and research
Internal services
How agencies are paid