Advertising

Prepared for Marketing 106

Slide 2

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 3

Why Do We Do Advertising
Personal Selling is preferred, because it is so
effective - but, it is expensive sometimes to
contact EVERYBODY this way
Advertising is not as direct as Personal
Selling, but you can reach a lot of people

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 4

Advertising in Canada has to

be International
Our Canadian market is very multi-cultural
Advertising in Canada has to acknowledge the
international aspects in order to be successful

A large part of the market in Toronto is NOT

from the U.K. so we have to have advertising
that can be understood by other people

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 5

The Top 10 Advertisers in Canada

Rank

Revenue
(thousands of dollars)

Name

General Motors of Canada

Procter & Gamble

84 499.5

The Thomson Group

70 159.3

BCE

53 972.9

John Labatt Ltd.

50 036.0

Eatons of Canada

47 135.9

Sears Canada

46 582.1

Government of Canada

43 928.7

The Molson Companies

42 873.6

Chrysler Canada

41 171.5

10

Prepared for Marketing 106

113 048.4

1993 stats

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Prepared for Marketing 106

Slide 6

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 7

Advertising Objectives are a

Strategy Decision
Every ad should have clearly defined
objectives

these objectives guide the people who

create the ads

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 8

Product Advertising
Nonpersonal selling of a particular
good or service.
- TV ads
- billboards

- junk mail
Page 518
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Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 9

Institutional Advertising
Also called Advocacy advertising

See slide # 16
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 10

Pioneering Advertising, also called Informative

tries to develop primary demand
Done in the early stage of the Product Life Cycle.

Competitive Advertising
Direct

Indirect

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 11

Competitive Advertising
Direct
Tries to get you to take action now - buy the product
now. Immediate Buying

Indirect
Tries to point out the advantages so if you think
about this product later, you will buy their brand

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 12

Comparative Advertising
Advertising that makes direct comparisons
with competitive brands.
Companies used to hesitate to do this, but now they
do it freely.

Sometimes it can backfire and cause the viewer to

NOT want to buy the product - if the comparison is
too harsh eg. Political advertising that is too nasty
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 13

Comparative Advertising
Some countries do not allow Comparative
Advertising.

Other countries allow it,,, but,, you have to

prove any statements you make

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 14

Reminder Advertising
Done in the Maturity and Decline stage of the
Product Life Cycle. You already know about the
product - they want you to keep using it, even if new
competitors come along.

These ads are usually soft-sell and try to be

entertaining.
Page 521
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Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 15

Relationship between Advertising and the Product Life Cycle

Competitive

Comparative

Pioneering
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 16

Institutional Advertising
Promoting a concept, idea, or
philosophy, or the goodwill of an industry,
company, or organization.
This is closely related to the PR program
of the company
Also called Advocacy advertising
Prepared for Marketing 106

Page 521

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 17

Institutional Advertising
Used often by Japanese conglomerates
that have many types of products
eg.

Hitachi
SONY
Mitsubishi
Panasonic (Matsushita Electronics) Page 521
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 18

Retail Advertising
Retail advertising is the advertising done by stores
that sell stuff directly to the consumers.

Co-operative Advertising
The sharing of advertising costs between the
middlemen and retailer and the manufacturer. This
means they will co-operate to display sales
promotion material and share the costs of
commercials and billboards etc.
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 19

Page 523 8th edition

Page 444 9th edition
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Prepared for Marketing 106

Slide 20

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 21

Before we talk about

choosing the best way
to advertise, we first
have to discuss our
Position

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 22

Positioning
Remember Chpt 3

Positioning involves developing a

marketing strategy aimed at a particular
market segment - in order to achieve a
desired position with respect to the
competition, in the mind of the buyer.
ie. That buyers will think a certain way
about a product - re: its competitor
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 23

Positioning
1. By attributes - shampoo (Pantene Pro V)

2. By price - Zellers lowest price is the law

3. By competitor- Snapple, Were #3

4. By application - Nutrigrain - until we get

beamed to work!

5. By product user - consumer,

industry, govt

6. By product class - convenience, shopping,

specialty
goods
Prepared
for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 24

Media Selection
Newspapers

Magazines
Television
Radio
Direct Mail
Outdoor
Prepared for Marketing 106

? - in which
category is the
most money
spent

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 25

Media Selection
Newspapers - largest share of advertising, 26%

Magazines - 12%
Television - 2nd major category, 14%
Radio - 7%
Direct Mail
Outdoor, billboards etc. - 6%
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advantages and Disadvantages of the Various Advertising Media

Media

Advantages

Disadvantages

Newspapers

Flexibility
Community prestige
Intense coverage
Reader control of exposure
Co-ordination with
national advertising
Merchandising service

Short lifespan
Hasty reading
Poor reproduction

Magazines

Selectivity
Quality reproduction
Long life
Prestige associated with
some magazines
Extra services

Lack of flexibility

Television

Great impact
Mass Coverage
Repetition
Flexibility
Prestige

Temporary nature of
message
High cost
High mortality rate for
commercials
Evidence of public distrust
Lack of selectivity

Advantages and Disadvantages of the Various Advertising Media

Media

Advantages

Disadvantages

Radio

Immediacy
Low cost
Practical audience
selection
Mobility

Fragmentation
Temporary nature of
message
Little research information

Outdoor
Advertising

Quick communication of
simple ideas
Repetition
Ability to promote products
available for sale nearby

Brevity of the message

Public concern over
aesthetics

Direct Mail

Selectivity
Intense coverage
Speed
Flexibility of format
Complete information
Personalization

High cost per person

Dependence on quality of
mailing list
Consumer resistance

Advertising

Slide 28

Page 528
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Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Prepared for Marketing 106

Slide 29

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 30

To produce, then additional money to get air time

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 31

Planning The Best Message

What should an ad accomplish
1. Gain attention and interest

2. Inform and persuade

3. Lead to the person buying

Page531
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Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 32

Planning The Best Message

Copy Thrust

the words you say to get the attention

1. Copy - the text

2. Thrust - the intention, direction

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 33

Planning The Best Message

A I D A
A - Attention
I - Interest
D - Desire
A - Action
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Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 34

Direct Response Ads

Call 1-800-.
See our web site at
WWW.STUFF.COM

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 35

The Advertising Campaign

When developing a mktg comms
strategy, you do not restrict your
plan to just advertising
Many things are also done such as
direct mailing, PR, special events,
radio, media

Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 36

Assessing the Effectiveness of an Advertisement

Pretesting
The assessment of an advertisements
effectiveness before it is actually used.

Post-testing
The assessment of advertising copy
after is has been used.

Prepared for Marketing 106

Page 387

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 37

Advertising Agency
A marketing specialist firm that assists the
advertiser in planning and preparing its
advertisements.
They have specialists who know all about the
effect of different advertising methods and
can help a company with their strategy.

Page 535
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Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Celebrity Marketing

Prepared for Marketing 106

Slide 38

Having
celebrities lend
their name and
influence to the
promotion of a
product.

Copyright, Professor W.T.G. Richardson, Seneca College

Advertising

Slide 39

Role Model Marketing

Marketing technique
that associates a
product with the
positive perception of
a type of individual or
role.
(ie. Naya water with
healthy lifeguards)
Sometimes used by companies who cannot afford to
pay a celebrity.
Prepared for Marketing 106

Copyright, Professor W.T.G. Richardson, Seneca College