Advertising Management

1. Advertising Management Chapter 5 Lecturer – MdShahedurRahman

2. Introduction • The average person encounters more than 600 advertisements per day – delivered through an expanding variety of media. • Marketers now face a challenge: • They can’t afford to design communication for all the different media – choices need to be made • The messages must be designed to give the company an edge in a highly cluttered world

3. To be effective……… • The ad must be noticed • It must then be remembered • The message should incite some kind of action (purchase, change of brand loyalty, or at least find a place in the long-term memory)

4. Ingredients of Effective Advertisements • There are essentially 3 elements to creating an effective ad: • Development of a logical advertising management scheme for the firm • Thoughtful design of advertisements • Careful selection of media • Selecting media and designing ads go hand in hand – one cannot be performed without the other. Sugar n Spice n Everything Nice!

5. Overview of Advertising Management • An advertising management program is the process of preparing and integrating a company’s advertising efforts with the overall IMC message. • An effective program consists of 4 activities that combine to form the advertising management process: • Review the company’s activities in light of advertising management • Select an in-house or external advertising agency • Develop an advertising management strategy • Complete a creative brief

6. Advertising and the IMC Process • Advertising is a part of IMC • The role advertising plays varies by company, products, and the marketing goals established by the firm. • For some products and companies, advertising is the central focus and the other components (Trade Promotions, Consumers Promotions, and Personal selling) support the ad campaign.

7. Advertising and the IMC Process • For others, advertising may play a secondary role, such as supporting the national sales force, and a firm’s trade promotion program. • In both B2C and B2B scenarios, the key to using advertising effectively is to see advertising as one of the “spokes” in the “wheel” of the promotional effort.

8. Choosing an Advertising Agency • In-house advertising group Vs.External advertising agency • Lack of expertise • Going Global • Understanding of the product

9. Choosing an Advertising Agency • The factors to consider are: • The size of the Account ( Big or Small ?) • Amount of money that can be spent on media ( 75-15 -10 or 25 -40-35 ) • Objectivity factor (Unbiased or ignore the unusual effect) • Complexity of the product (Complex or simple product) • Creativity concerns (who is more creative ?)

10. External Advertising Agencies • Boutique agencies to Full Service Agencies • A Full-Service Ad Agency may provide: • Consulting and giving advice on how to develop target markets • Providing specialized services for business markets • Providing suggestions on how to project a strong company image • Supplying assistance in selecting company logos and slogans • Preparation of advertisements • Planning and purchasing media time and space • Young & Rubicam’s “whole egg theory”

11. Steps in Selecting an Advertising Agency • Set goals • Select process and Criteria • Screen initial list of applicants • Request client references • Reduce list to two or three viable agencies • Request creative pitch • Select Agency

12. Evaluation Criteria in Choosing an Ad Agency • Size of the agency • Relevant experience of the agency • Conflicts of interest • Creative reputation and capabilities • Production capabilities (Printing – Admaking) • Media purchasing capabilities ( Not all the agencies getting the same rate ) • Other services available • Client retention rates • Personal chemistry

13. Advertising Planning & Research • General pre-planning input ( What and how we want to do it ?) • Product-specific research • Problem detection • Deprivation (Got Milk?) • Qualitative research • Major Selling Idea / Big Idea

14. Role of Adv Account Executives • The Account Exec is the key go-between for both the advertising agency and the client. • Generating stewardship reports. • An account exec starts by getting a client brief for a project, and ends after providing client with an evaluation report of the campaign. For the client, the account exec is often the face of the agency.

15. Role of Creatives • Creatives are the people who actually develop and produce advertisements. • They appear to hold the glamour jobs in advertising

16. Communication Market Analysis • 2 important elements are outlined as part of the communication market analysis: • The media usage habits of people in the target market ( What media our consumers use ?) • The media utilized by the competing brands ( Coke and Pepsi )

17. Advertising Goals • This is the second step of advertising planning – to establish and clarify advertising goals. • Most common advertising goals: • Building Brand Image (TOM, Top Choice) • Providing Information • Persuasion • Supporting Marketing Efforts (Part of a promotional campaign. Eg. Buy now ) • Encouraging Action ( Last step from AIDA model)

18. Advertising Budget • Now time to decide on media to be used, and the manner of distribution as well. • The tactics of distributing • Advertising the most when sales are at peak seasons (pulsating schedule or flighting) • Advertising the most during low sales seasons (drumming up business) • Level amounts (Continuous campaign schedule)

19. Media Selection • Media buying • When media selection is performed correctly and messages are designed to fit with the chosen media, the chances for success greatly increase.

20. The Creative Brief • Parts of a creative brief: • The objective • Increasing brand awareness, building brand image, increasing customer traffic, providing quality information, etc. • The target audience • Males, 20 to 35, college educated, professionals • The message theme • USP • The support • 20% better, 99.9% UV protection, 30% less cholesterol, etc. • The constraints • Legal

21. Midterm 1 Next Week!! Please go through with the Text book