1. Sales and Promotions Management Session 2 nd Dated: -14-03-2010 By: -Neeraj Gupta

2. Advertising Mass persuasive communication paid for by an identified sponsor that makes use of various media

3. Advertising Strategy Three levels  Annual advertising plan  Annual plan and an advertising plan  Develop a copy strategy for an individual ad that runs independent of any campaign  This is because an advertising campaign and advertising plan are similar in structure.

4. Advertising campaign & Advertising Strategy A campaign is an interrelated and coordinated set of promotional activities that focus on some single theme or idea and is built to accomplish some predetermined objective(s). Can have a single ad or series of ads placed together. Like Vodafone’s ZOO ZOO campaign. It is built to last for a long time or short time depending on objectives targeted. An advertising plan aims at matching the right target audience to the right message and presents it in the right medium to reach that audience

5. Steps in advertising planning and managing Situation Analysis  Research and Review current business  Target Audience Who buys the product? What do they really buy? When do they buy? Who is the end-user?  Basis for segmentation Geographic Demographic

6. Steps in advertising planning and managing Situation Analysis  Basis for segmentation Psychographic Segmentation  Lifestyle

7. Basis of Segmentation-Psychographic

8. Orientations used for segmentation in VALS matrix Status Oriented: -Value a secure place in society Action Oriented: -desire physical and social activity, variety and risk taking Principle Oriented: -guided in their choices by their beliefs and principles and not by feelings, desires and events

9. Psychographic Segmentation ACTULIZERS:  Successful, sophisticated, take-charge people with high self-esteem.  Image is important to Innovators  Established and emerging leaders in business and government  seek challenges, variety FULFILLEDS  Motivated by ideals  Mature, satisfied, comfortable, and reflective people who value order, knowledge, and responsibility  well educated and actively seek out information in the decision-making

10. Psychographic Segmentation ACHIEVERS:  Motivated by the desire for achievement,  have goal-oriented lifestyles and a deep commitment to career and family  structured around family, their place of worship, and work EXPERIENCERS  Motivated by self-expression  Young, enthusiastic, and impulsive consumers  seek variety and excitement

11. Psychographic Segmentation BELIEVERS:  Believers are motivated by ideals  Conservative, conventional people with concrete beliefs based on traditional, established codes: family, religion, community, and the nation STRIVERS  trendy and fun loving.  motivated by achievement, Strivers are concerned about the opinions and approval of others.  Money defines success for Strivers, who don’t have enough of it to meet their desires

12. Psychographic Segmentation MAKERS:  Makers are motivated by self-expression  express themselves and experience the world by working on it-building a house, raising children, fixing a car, or canning  Practical people who have constructive skills and value self-sufficiency. STRUGGLERS  Narrowly focused lives  with the familiar and are primarily concerned with safety and security

13. Steps in advertising planning and managing Advertising Objectives  Creating Awareness  Increasing sales  Knowledge  Comprehension  Associating feelings with brands  Enticing Regular brand use among existing and new customers both.  Increasing the percentage of target consumers who associate specific features or benefits with company's brand.  Increasing number of target consumers who prefer company's brand rather than competing brands.

14. Steps in advertising planning and managing-DAGMAR Approach DAGMAR (Defining Advertising Goals for Measured Advertising Results)  Awareness: Involves making target audience aware of the existence of the brand or company.  Comprehension: The purpose is to develop an understanding among audience of what the product is and what it would do for them.  Conviction: The objective is to create a mental disposition among target audience members to buy the product.  Action: To motivate target audience to purchase the product or service.

15. Effect of Advertising on Consumers

16. Steps in advertising planning and managing Product Positioning Communications Media The Advertising message-What is to be said and how  First thing is preparing a creative brief (often referred as copy platform, a work plan, copy or creative strategy document) and it addresses following issues like who is the potential customer, why to focus ads on needs of customers which they value-under this comes two types of appeals: - Rational and Emotional, What can satisfy their needs, Where, when and how to deliver these messages, and what style or tone to use to convey the message.

17. Steps in advertising planning and managing  A creative brief can cover these issues: - Objective statement – what to achieve out of the ad. Support Statement-to give evidence to the promise made. Tone or Brand Character Statement  Budget Allocation-Objectives are effected directly by the amount of budget we have.  Factors to consider to set budget Product life cycle stage Market share Intensity of competition and clutter Advertising frequency Product differentiation

18. Setting Advertising Budget

19. Steps in advertising planning and managing Advertising Strategy Implementation Using all the elements discussed before this point we can go ahead with the implementation of the advertising strategy.

20. The Big Idea in Advertisements The Great Idea in advertising is far more than the sum of the recognition scores, the ratings and all the other superficial indicators of its success; it is in the realm of myth, to which measurements cannot apply.“–Leo Bogart Great Ideas have some elements in common: -  A potent Strategy  A Strong selling ides  Stands out ahead of others  Always relevant  Can be built into campaigns

21. The Big Idea in Advertisements It is conveyed using the message strategy which has following elements: -  Verbal Element  Non-Verbal Element  Technical Element Creative Process Steps: -  Orientation: Pointing out the problem  Preparation: Gathering pertinent data  Analysis: Breaking down the relevant material  Ideation: Piling up alternative ideas  Incubation: Putting the problem aside to invite spontaneous ideas at some later, unguarded time.  Synthesis: Putting the pieces together, and  Evaluation: Judging the resulting ideas.

22. The Big Idea in Advertisements

23. Creative Execution-Print Elements: -  Headline  Sub-Heads  Body copy  Slogans  Seals  Logos  Signature  Visual Elements  Layout

24. Body Copy-Types

25. Design Principles Ads must be designed to attract consumer attention immediately as the advertiser has only a second or two to capture the reader's attention. Basic design rules include the following:-  Unity: The complete layout (copy, visual, headline, logo etc.) should appear as a single unified composition.  Balance: Balance means controlling the size, tone, weight, and position of the elements in the ad.  Contrast: It imparts life to a layout and adds emphasis to selected elements.  Sequence or eye movement  Emphasis or proportion: Emphasis refers to division of space among layout elements.

26. Design Principles Use of Colour: -  Colour adds attention-capturing value to the advertisement.  Colour can help in imparting emphasis to important elements in an ad.  Colour can add a sense of realism or atmosphere.  Colour can help easy identification of brand name, package, and trademark.  Colour imparts a feeling of quality and prestige to the advertisement. Typography and Copy Testing  They should always consider the four important concepts when selecting type: readability, appropriateness, harmony or appearance, and emphasis.

27. Thank You