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Promotion &
Advertising
Plan
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Elements of the Promotion Mix
Advertising
Ingredientsof the
PromotionMix
Public Relations
Personal Selling
Sales Promotion
Direct Markteting
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Corporate Image
Advocacy Advertising
Typesof
Advertising
Pioneering
Competitive
Comparative
ProductAdvertising
InstitutionalAdvertising
1. ADVERTISING
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Are you Push or Pull ?
ProducerRetailers or
WholesalersConsumers
StimulusProducer marketing activities
Demand Demand
ProducerRetailers or
WholesalersConsumersMark. activities Mark. activities
Push
Pull
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Push Strategy Example
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Push Strategy Example
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The Basic Model of Communications
Transitive Model
Sender
AdvertiserMessage and
Medium
Media Mix
Receiver
Target Audience
Encoding
AgencyDecoding
Feedback
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Adverstising Objectives
InformingReminding
Persuading
TargetAudience
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From Marketing
Strategyto
Advertising
Strategy
Creative Brief
Message Planning
Marketing & Communication
Plans & Strategies
Creative Strategy &
Message Execution
Big Idea
Copywriting
Design & Production
Objectives Vs. Effects
Copy Testing
Performance Results
Message Evaluation
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Step 1The Creative Briefing
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Prepared by the account planner for the creativeteam
Summarizes the basic marketing & advertisingstrategy
Clarifies the strategy & key execution details
Provides direction to the creative team to develop acreative concept
The Creative Brief
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The Creative Brief
The Key Points
Background on product/company
Problem or Objectives
Target audience and key insights
Brand position
Communication objectives
Key promise and benefit statement
Media considerations Creative direction
Budget
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Step 2
Creative StrategyTo translate the objectives
in creatives advertising
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a. The Big Idea
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The Big Idea
Concept or central theme
of the Campaign
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Ex. NikeJust Do It
Good creative concepts have longevity
and cross many markets.
The Big Idea
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Creative strategy : UNIQUE SELLING PROPOSITION
(USP)
Translates brand positioning into a compelling
message.
Objective is Memorability
Convince cons. to purchase our services/products
A proposal suggested for acceptance
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Creative strategy : USP
Design effective USPs
Biggest Benefits:
Unique:
Fix An Industry "Pain Point" Or "Performance Gap
Be Specific And Offer Proof
Summarize Into One Clear And Concise Sentence:...
Transposable into all marketing materials
Deliver On Your USP's Promise
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Creative strategy : USP
Examples
Package Shipping Industry
Pain - I have to get this package delivered quick!
USP - "When it absolutely, positively has to be there
overnight."(FedEx)
Food Industry
Pain - The kids are starving, but Mom and Dad are too
tired to cook!USP - "Pizza delivered in 30 minutes or it's free."
(Dominos Pizza)
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Creative strategy : USP
Examples contd.
Real Estate Industry
Pain - People want to sell their house fast without
loosing money on the deal.
USP - "Our 20 Step Marketing System Will Sell YourHouse In Less Than 45 Days At Full Market Value
Jewelry Industry
Pain - The market hates paying huge 300% mark-ups
for jewelry.USP - "Don't pay 300% markups to a traditional jeweler
for inferior diamonds! We guarantee that your loose
diamond will appraise for at least 200% of the purchase
price, or we'll buy it back."Stphane GELY - Effectiv 2011 20
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b. Creative strategy approaches
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Advertising conveys
BeliefsImages
Meanings Feelings
Transformational advertising
So, It must make the product use experience
Richer- More ExcitingWarmer- More Enjoyable
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1. ADVERTISING
Transformational advertising example
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Creative Strategy Approaches
Head and Heart
more rational,
cognitive (thinking)objectives
more emotional,
affective (feeling)objectives
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News
Price
Competitive
Feature
Creative strategy : appeals
Rational Appeals
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Creative strategy : appeals
Rational Appeals Examples
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Rejection
Fear
Pleasure
Fun
Creative strategy : appeals
Emotional appeals example
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Example of fear appeal
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Example of popularity appeal
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Socially Based Feelings appeal example
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Socially Based Feelings appeal example
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C ti t t l
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Personality Symbol
Humor
Slice of life
FantasyDramatization
Comparison
Animation - MusicalDemonstration
TestimonialScientific or Technical
Straight-sell
Lifestyle
Creative strategy : appealsMost popular styles
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S i tifi l l
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Scientific appeals example
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Sli f Lif E l
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Slice of Life Example
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T ti i l l
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Testimonial example
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C ti l
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Comparative example
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D t ti l
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Demonstration example
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Lifestyle example
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Lifestyle example
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Humor example
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Humor example
Seinfield & Superman for Amex Commercial
Southwest Airlines commercialOrangina commercial+
39
Fantasy appeal
http://southwest%20airlines%20is%20flying%20to%20the%20beaches%20of%20northwest%20florida%20%20jump%21.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://southwest%20airlines%20is%20flying%20to%20the%20beaches%20of%20northwest%20florida%20%20jump%21.avi/http://southwest%20airlines%20is%20flying%20to%20the%20beaches%20of%20northwest%20florida%20%20jump%21.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://wild%20stunts%20%20shake%20your%20bottle%20%21%20orangina.avi/http://southwest%20airlines%20is%20flying%20to%20the%20beaches%20of%20northwest%20florida%20%20jump%21.avi/http://southwest%20airlines%20is%20flying%20to%20the%20beaches%20of%20northwest%20florida%20%20jump%21.avi/8/3/2019 MI5-ADVERTISING STRATEGY PROMOTION 2
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Fantasy appeal
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1. ADVERTISING
Teasing
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1. ADVERTISING
Teasing using a combination of media
150.000 visits on the blog
A combination of means
TV + Radio + Outdoor+ Street + Internet
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b. A copywriting tool :
AIDA Model
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Creative strategy : Hierarchy-of-Effects Model
AWARENESS KNOWLEDGE LIKING
CONVICTIONPURCHASE PREFERENCE
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Creative strategy : AIDA Vs. the Hierarchy of Effects
Attention Interest Desire Action
Awareness
Knowledge
Liking
Preference
Conviction
Purchase
Affectiveemotions.
attitudes
feelingsCognitive
thoughts.
information and facts.
Conativemotives
Stimulates/direct
desires
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Creative strategy : AIDA MODEL
Step 1 : Grab the attention
Powerful words, pictures, design
A question you are answering later (interest and desire)
Express a strong benefit
Express an emotion (joy, fear)
Must be attractive
"How effective is your customer relation?"
Better than We offer you a training on customer relation management".Stphane GELY - Effectiv 2011 46
Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 1 : Grab the attention contd.
Magazine or newspaper ad -> Headline and picture
Brochure -> Cover
Direct mail -> Copy on outside of envelope or first couple
of sentences in the letter
Radio or television ad -> First few seconds of commercial
Web site -> First screen
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 1 : Grab the attention contd.
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 1 : Grab the attention contd.
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 2 : Develop the interest
You have now to convince the reader to go further
What interest for the consumers to use my products
Is the message relevant for the consumer?
Focus on benefits and emotions
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 2 : Develop the interest contd.
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 3 : Arouse the desire
Dramatize the product
Push the consumer to purchase the product the product in situation
showing the most attractive pictures
play on the storytelling
Focus on the seduction to arouse impulse buying
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 3 : Arouse the desire
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Creative strategy : AIDA MODEL
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Creative strategy : AIDA MODEL
Step 4 : Push to act
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Print Ads Structure
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Print Ads Structure
Layout
How Elements Are Blended Into a Finished Ad
Visual ElementsIllustrations Such As Drawings or Photos
Body Copy
The Main Text Portion of a Print Ad
Subheads
Between the Headline and the Copy size
Headline
Words on the top of the Ad
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1. ADVERTISING
Ad Analysis
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Headline
Visual
Body
Brand Identification
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1. ADVERTISING
Analyze this ads
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1. ADVERTISING
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WhiteSpace
Marginal and Intermediate Space That RemainsUnprinted
Format Arrangement of the Elements on the Printed Page
ColorBlack & White or Two-, Three-, or Four-colorPrinting
SizeExpressed in Columns, Column Inches or Portionsof a Page
1. ADVERTISING
Print Ads Layout
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1. ADVERTISING
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1. ADVERTISING
TV Advertising
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PostProduction
Editing Processing Sound Effect Mixing Duplicating
ProductionFilming, recording, taping, directing actors
PreproductionStoryboard, Productor/Director Selection, planning, budgetting
1 ADVERTISING
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Pretests
Examples:
Consumer jury tests
Physiological tests
Focus Groups
Post-tests
Examples:
Recognition or recall tests
Sales Response
Attitude measures
Audience size measurement
1. ADVERTISING
TEST, TEST AND TEST
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Top 10 Advertiser
Rank Parent Company Ad Dollars Spent(US $)
1 Procter & Gamble Co $2,342,319,397
2 General Motors Corp $1,441,747,399
3 AT&T Inc $1,317,893,377
4Verizon
Communications Inc$1,125,700,512
5 Johnson & Johnson $1,059,109,138
6 Time Warner Inc $878,355,332
7 Toyota Motor Corp $819,377,026
8 General Electric Co $807,869,688
9 Ford Motor Co $742,708,529
10 Pepsico Inc $730,503,931
Source: The Nielsen Company (January 1 September 30, 2008)
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Step 3
Media Planning
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S l ti h l it i t i il
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Availability
Cost
Users preference and receivers access Impact
Adaptability to the communication purpose
Adaptability to the message content Type of recipient and their stage in the adoption
process
Selecting a channel : criteria to privilege
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Television
Radio
Cinema
Billboard / Transit Advertising
Press
Web
Communication Methods
Mass Media
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Profiles
of MajorMedia
Types(Source : Pearson Education)
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Media Plan Objectives
Planning of the different elements(Advertising, Personal Selling, Sales Promotion and Public Relations)
to achieve a certain promotional objectiveswithin a targeted market.
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Creating a Media Plan
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Creating a Media Plan
Develop Media Plan & Budget
Choose Promotion Mix
Set Promotion Objectives
Identify Target Market
Analyze the Marketplace
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Media Plan Metrics
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percentage of the target market
exposed to the ad campaignduring a certain time
Reach
Ex. 80% during the first two months of the campaign
Media Plan Metrics
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Media Plan Metrics : reach contd
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Population excluding target market
Target market
Media Overexposure
Media Coverage
Target
Market
Proportion
Full
Market
Coverage
Partial
Market
Coverage
Coverage
Exceeding
Market
Media Plan Metrics : reach contd.
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Media Plan Metrics
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how many times an average
individual in the target marketwho have been reached
Frequency
Ex. the message has been seen 4 times on average
Media Plan Metrics
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Media Plan Metrics
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Advertising exposure
The Weight of the Message=
Reach x Frequency
GRP (gross rate points)
Ex. :70(Reach) x 4(Frequency) = 280 GRPs(1GRP = 1 exposure to 1% of the audience)
Media Plan Metrics
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Media Plan Metrics : Schedule method
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Continuity
Pulsing
Flighting
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Media Plan Metrics : Schedule method
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Media Plan Metrics
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Objective cost efficiency
comparison of among
different media
Media Plan Metrics
Cost per Mil (per thousand) C.P.M.
Media Cost
Media Audiencex 1,000
Ex. (Cost : 25,000 / Audience : 1,125,000) x 1,000 = 22
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Dollars Goals
Advertising
ExpendituresObjectives
Measurement
Optimizing the efficiency
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SETTING THE ADVERTISING BUDGET
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SETTING THE ADVERTISING BUDGET
Stage in the ProductLife Cycle
Competitionand Clutter
MarketShare
AdvertisingFrequency
ProductDifferentiation
Factors to takeinto account to
budget
Purchasefrequency
Productdurability
Productprice
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Top-Down vs. Bottom-Up Budgeting
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Budgeting for Promotional Strategy
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Budgeting for Promotional StrategyPERCENTAGE-OF-SALES & FIXED-SUM-PER-UNIT METHOD
Percentage of either past or forecasted sales or gross margin.
Most frequently used
Easy to apply and simple to justify
Clear method to show the advertising effort
Flexible and evolutionary method
Or fixed money amount for each unit sold or produced..
Last year This year
Sales : 5,000,000
Promotional budget : 300,000
Sales : 6,000,000
Promotional budget : 360,000% of sales
Fixed sumper unit
Forecast calls for sales : 18,000 roomsPromotional budget : 20 by room => 360,000
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Budgeting for Promotional Strategy
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Budgeting for Promotional StrategyPERCENTAGE-OF-SALES & FIXED-SUM-PER-UNIT METHOD
IndustryAdvertising as %
of sales
Advertising as %
of margin
Annual ad
growth %
AMUSEMENT PARKS 7 14.3 -6
BUSINESS SERVICES, NEC 0.4 1.1 6.5
HOTELS AND MOTELS 1.6 8 6.6
REAL ESTATE 4.2 19.1 5.5
REAL ESTATE AGENTS & MGRS 4.6 14.6 4.2
REAL ESTATE INVESTMENT TRUST 3.9 9 6.1
RETAIL STORES, NEC 3.7 8.6 6.3
Source : Advertising Age - 2007Stphane GELY - Effectiv 2011 78
Budgeting for Promotional Strategy
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Budgeting for Promotional StrategyBREAK-EVEN-POINT METHOD
ROI Orientated
I want to increase my promotional budget
So, how much must I sell to amortize the investment.
Unit sales price : 100
Variable cost : 60 Contibution margin : 40
Promotion budget for this product : 1,000,000 Market share : 25%
Objective : to appraise a 20% increase in this products promotion budgetconsidering that promotion costs represent fixed cost :
Promotion budget increase
Unit Contribution margin=
200,000
40= 5,000 units
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Budgeting for Promotional Strategy
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Budgeting for Promotional StrategyMEETING COMPETITION METHOD
Share of Market - Share of Voicelink between market share to advertising expenditure.
Example :
Competitive Parity you spend in equal amounts to your competitors as apercentage of market share.This is a self-defense method of budgeting marketing andadvertising expenditures
Market Share 20%
Advertising budget 20%
Share of Voice 1
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Budgeting for Promotional Strategy
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g g gyTASK-OBJECTIVE METHOD
Marketers determine their promotional objectives,
Then the amount (and type) of promotional spending neededto achieve them is determined.
Example :
Within the two next years, we want 75 percent of the areacompanies to be aware of our new corporate offer
How many promotional budget should we spend?
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Allocating to IMC Elements
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Share of Voice Effect on ads budgets
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Share of Voice Effect on ads budgets
Decreasefind
a defensible nicheIncrease to defend
Attack with large
SOV premium
Maintain modest
spending premiumCompetitors
Share
ofVoice
High
Low
HighLow
Your Market Share
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Organizational Characteristics
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Organizational Characteristics
Factors that influence advertising and
promotion budgets
The organizations structure
Power and politics
The use of expert opinions
Characteristics of the decision maker
Approval and negotiation channels
Pressure on senior managers to arriveat the optimal budget
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Measuring the Effectiveness of Promotion
Two basic measurement tools:
Direct sales results
Impact on sales revenues for each dollar of
promotional spending
Indirect evaluation
Quantifiable effectiveness indicators : Recall : rate about specific products or advertisements
Recognition
Readership: size and composition of a messagesaudience
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Measuring the Effectiveness of Promotion
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EFFECTIVENESS
MEASUREMENT
RatingServices Sales and
Expense AnalysisTest
Marketing
Controlled
Tests
Recall
Tests
g
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1. ADVERTISING
I t ti l Ad ti i St t i
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International Advertising Strategies
Standardization
Localization
Combination