UNIT

Promotion

ACTIVITY

Using note cards, describe your favorite Commercial WITHOUT indicating the

product or service. Share your commercial with the class & see how many students:

– recognize the ad

– can identify the brand, &

– got the message.

ACTIVITY

QUESTION:

How did they do that?

ASSIGNMENT

• Read Chapter 28

• Do questions 6 - 10 in the text on page 380

OBJECTIVE

Be able to identify & describe

“The Four P’s of Marketing.”

The “Four P’s” of Marketing

• Product Planning

• Pricing

• Promotion

• Physical Distribution

OBJECTIVE

Be able to break promotion down into its six components. Define each

component & provide examples

PROMOTION

• Advertising

• Display (Visual Merchandising)

• Public Relations

• Publicity

• Personal Selling

• Sales Promotion

ACTIVITY

• With a partner, describe how “Coca - Cola” uses all six of these discussed components in its promotional campaigns:

* ADVERTISING * PUBLICITY

* DISPLAY * SELLING

* PUBLIC RELATIONS * SALES PROMOTION

OBJECTIVE

Be able to define the phrase “Promotional Mix”

Promotional Mix

How a company allocates its limited resource called money to the different promotional tools

Adver.

Display

Publicity

PR

Selling

S.Promo.

OBJECTIVE

Be able to identify two advantages & two disadvantages to each type of

promotional method discussed in class

ACTIVITY

In a small group, identify the advantages & disadvantages of the promotional method given to your

group.

ACTIVITY

In a small group, identify the advantages & disadvantages of the promotional method

given to your group.

See Handout for Results

OBJECTIVE

Using the communications model discussed in Level I, be able to

identify the role business & consumers play when a company

promotes a good or service.

The Communications Model• The Sender

• The Message

• The Receiver

• Feedback

• Blocks

• Distractions

The Communications Model

The Communications Model(ACTIVITY)

• The Sender __________

• The Message__________

• The Receiver__________

• Feedback __________

• Blocks __________

• Distractions __________

ASSIGNMENT

• Read Chapter 29, pages 382 - 389.

• Do any two of the “Critical Thinking” questions on page 390.

• Do workbook pages 139 - 141

Developing a Promotional Campaign

PROJECTPromoting the School Store

School

Store

STEP 1 1

ANSWER THE 6 BASIC QUESTIONS

OBJECTIVE

Be able to identify & answer the six basic questions reviewed at the start of

any promotional campaign.

ANALOGY

If your were told to give a speech, what six basic questions would you want answered before you spoke?

The Six Basic Questions

• What should I promote?

• Why should I promote?

• To whom should I promote?

• Where should I promote?

• When should I promote?

• How should I promote?

–goals, budget, resource allocation, follow-up evaluation

The Six Basic Questions

• What should I promote?• Why should I promote?

• To whom should I promote?

• Where should I promote?

• When should I promote?

• How should I promote?

– goals, budget, resource allocation, follow-up evaluation

The Six Basic Questions

• What should I promote?

• Why should I promote?• To whom should I promote?

• Where should I promote?

• When should I promote?

• How should I promote?

– goals, budget, resource allocation, follow-up evaluation

The Six Basic Questions

• What should I promote?

• Why should I promote?

• To whom should I promote?• Where should I promote?

• When should I promote?

• How should I promote?

– goals, budget, resource allocation, follow-up evaluation

The Six Basic Questions

• What should I promote?

• Why should I promote?

• To whom should I promote?

• Where should I promote?• When should I promote?

• How should I promote?

– goals, budget, resource allocation, follow-up evaluation

The Six Basic Questions

• What should I promote?

• Why should I promote?

• To whom should I promote?

• Where should I promote?

• When should I promote?• How should I promote?

– goals, budget, resource allocation, follow-up evaluation

The Six Basic Questions

• What should I promote?

• Why should I promote?

• To whom should I promote?

• Where should I promote?

• When should I promote?

• How should I promote?– goals, budget, resource

allocation, follow-up evaluation

STEP 2 1

2

IDENTIFY WHY PEOPLE BUY

OBJECTIVE

Be able to define Buying Motives & provide examples when given

different products/services & market segments

Buying Motives

The reasons why people buy

products & services

Buying Motives

The reasons why people buy products & services.

EMOTIONAL OR RATIONAL REASONS

Buying Motives• EMOTIONAL

– love

– friendship

– sympathy

– fear

– social approval

– pleasure

– comfort

• RATIONAL– convenience

– efficiency

– durability

– dependability

– saving/making $$$

– saving time

– investments

STEP 3 1

2

Distinguish Between Product & Institutional Promotions

3

OBJECTIVE

Be able to identify examples of the different types of promotional

campaigns presented

The School Store(PROMOTIONAL CAMPAIGN)

Institutional

Product/Service

Event

Ideas

School

Store

STEP 4 1

2

Identify a Theme, Slogan, Brand, and/or Trademark

3

4

OBJECTIVE

Be Able to Define the Terms:

–Theme

–Slogan

–Brand

–Trademark

DEFINITIONS

• Theme–Central Idea or Idea of a

Promotional Campaign

• Slogan–Catchy, Easy to Remember Phrase

Summarizing a Theme

DEFINITIONS

• Brand

–Name Given to a Line of Goods

• Trademark

–A Picture or Symbol Identifying Your Product or Company

STEP 5 1

2

Conduct a Marketing Research Project

3

45

OBJECTIVE

Be Able to Define Marketing Research & the Questions it Can

Answer For Your Company

Marketing Research

• Gathering Information About the Consumers Most Likely to Buy My Product/Service

– Who are my customers?– Where can I reach them?– When can I reach them?

Marketing ResearchImportant Concepts

• Market Segmentation

– Dividing “The Market” into smaller, easier to reach, easier to satisfy groups based on their . . .

• Demographics

– The defining characteristics of people that can used to divide large groups into smaller groups

Demographics

• Age

• Sex

• Geographic Location

• Incomes

• Occupations

• Family Size

• Interests & Hobbies

Demographics

• Religion• Ethnic Background• Race• Wealth• Body Types• Education• Etc. Etc. Etc.

EXAMPLE(AGE)

• Freshman

• Sophomore

• Junior

• Seniors

9th

10th

11th

12th

EXAMPLE(INTERESTS)

• Country

• Old Rock

• Metal

• New Age

• Classics

• Jazz

• Other

Country

OldRock

Metal

NewAge

Classics

Jazz

Other

Combinations• Freshman Who Like the Classics

• Seniors Who Can Line Dance to Country

• Sophomores & Juniors Who “Head Bang”

• Seniors Who “Get Down” With Bach

• Older Students Who “Groove” to the Sound of Hubie Green

• Freshman Who “Dig” the Beatles

Combinations

• Married Couples Living in Four Bedroom Homes With No Children Left at Home

• Senior Citizens Living in the South With Incomes Over $100,000

• Young Parents With One Income in the 20 - 30,000 Range Who Rent Apartments

• Single Men Living With Mom/Dad Over the Age of 25 With Incomes Over $50,000

Questions You Need to Ask

• What do these people want & need?

• What kind of problems do they have?

• What is the most important buying motive?

• How can I reach them?

• How much will they spend?

• What are their alternatives?

• Etc. etc. etc.

EXAMPLE

Married Couples Living in Four Bedroom Homes & No Children Left

• What do these people want & need?

• What kind of problems do they have?

• What is the most important buying motive?

• How can I reach them?

• How much will they spend?

For the Answers

Do Marketing Research!!!

Marketing Research

Primary–Research

done by the company

Secondary–Reviewing

information gathered by others

ACTIVITY

First:

Using “A Capital Market Place” article as a guide, make a list of the demo-graphics of the people who live in or near Washington DC

ACTIVITY

Second:

Using your list of demographics as a guide, identify the buying motives and products for each demographic group

PROBLEM!!!

The demographics and buying behaviors of our populations change constantly & we are expected to keep up if we are to be successful

ACTIVITYFirst:

Using “You’ll Know it’s the 21st Century” article as a guide, identify the demographic changes occurring in our country.

Each student will be assigned a section to review for the class

ASSIGNMENT

Using “You’ll Know it’s the 21st Century” article as a guide, identify the buying motives and products that will become important in the future in our country

STEP 6 1

2

Identify the Advertising Media to Be Used in Your Campaign

3

456

OBJECTIVE

Be Able to Identify the Advantages & Disadvantages of the Various

Media Available

ASSIGNMENT

• Read Chapter 30, pages.

• Do two of the “Critical Thinking” questions on page 402.

• Do workbook page 145

Advertising Media• Print

– Newspaper

– Magazines

– Directories

• Broadcast– TV

– Radio

• Direct Mail

Advertising Media• Specialty (Sales Promo)

• “Out of Home”– Billboards, Transit

• Other– Telemarketing

– Movie Ads

– Specialty Items

– Etc.

Media Evaluation Criteria

• Total Cost

• Cost Per Capita (Person)

• Use of Senses

• Targeting Ability

• Quality of Graphics

• Flexibility

• Life Span

• Reach

• Response time

• Personalize

• Competition

• Measurement of Effect

Media Evaluation

Activity: Given a specific media identified in class, have a small group list three

advantages & three disadvantages of that media. Present your results to the class.

Support your opinion with sound reasoning.

Media Evaluation Homework

AssignmentAssignment

Given a list of the various media available & a chart featuring the important criteria

to consider when evaluating media, identify the strengths & weaknesses of

each media.

OBJECTIVE

Be able to describe the 12 techniques used by advertisers to encourage consumers to buy

a product, service, or idea.

Advertising Techniques

• Involvement

• Appeal to Fear

• Association

• Timing

• Repetition

• Saliency

Widget Sales

Advertising Techniques

• Appeal to Emotions

• Buzz Words

• Mkt. Segmentation

• Volume

• Brand Names

• Cinderella Syndrome

Widget Sales

OBJECTIVE

Be able to identify & explain the use of the AIDA Theory in the creation of print ads

Creating Print Advertisements

AIDA Theory

• Attention

• Interest

• Desire

• Action

OBJECTIVE

Be able to design & write copy for a printed

advertisement

Copy

Terms to Know

• Copy• Art (Graphics)• Logotype

– Trademark– Font

• Layout• White space

COPY• Headline

– Usually the largest, boldest words on the page

Sub Head– Just below headline in a medium

font

Copy– The majority of the printed

message

COPY

• Headlines

– Get the reader’s attention by:

• Asking a question

• Suggesting an action

• Stating an interesting fact

• Stating a benefit

COPY

• Sub-heads

– Builds on the headlines, draws attention to the content, & brings the reader into the copy

COPY

The Copy

– Must create interest

– Must be accurate/truthful

– Must develop desire for the product

– Must ask for an action

COPY• Building Interest:

– ID a problem

– Relate it to the customer’s problem

• Create Desire:– Offer to solve their problems

– Offer benefits

– Be absolutely clear

• Ask For a Buying Action

GRAPHICS

• Illustrations Can:– Get attention– Have sales appeal– Communicate benefits

• Types:– Pictures, drawings, designs,

backgrounds, holographs, etc.

General Guidelines for Advertising Copy

• Be Human

• Be Simple

• Be Sincere

• Be Specific

• Be Informative

• Be Enthusiastic

• Be Clear

• Be Believable

Steps in Advertisement Design

• Copywriters– Do rough drafts

• Artists– Do a Thumbnail Sketch

OBJECTIVE

Be able to write effective radio copy

(Know 8 of the 10 rules for writing radio copy)

Writing Radio Copy

• The opening must grab attention

• Talk to only one person

• Write the way you talk, not the way you write

• Stress a benefit

Writing Radio Copy

• Use “power words” or active verbs

• You don’t need complete sentences

• Use the company name a lot

• Make sure your copy is “correct” (wording)

Writing Radio Copy

• Don’t begin with a question

• Limit your ad to two main points

• Be honest (Don’t overstate your case)

• Ask for an action

OBJECTIVE

Be able to define the terms associated with media expense calculations

Media Expense Factors• Circulation (Audience)

• Production Costs

• Preferred Space Location

• Discounts

• Prestige & Credibility of Media

• Reproduction Quality

• How Specific You Want the Target Market

Newspaper Advertising• Production Costs are low

• Special requests add to cost

– color

– Inserts

• Most ads are “Run of Paper” (ROP)

• Special locations add to the expense

• “Split runs” add to the expense

Newspaper Advertising

• Advertising is sold using “Rate Cards”

• “Flat Rate” refers to a price per line inch (Found on Rate Card).

• “Sliding Scale” refers to discounts available for frequent or large ads

• A “Combination Rate” refers to the price given for advertising in various media owned by the same company

Magazine Advertising• Similar to newspaper advertising

• Allows for “secondary circulation”

• Production expense varies, but is usually much higher than newspapers (+30% for color)

• Preferred locations cost more (back cover)

• “Bleed Pages” are ads without borders (15 - 20 % surcharge is added)

Magazine Advertising

• “Gatefolds” are ads with bi- or tri- folds and cost extra

• “Spreads” are ads on two facing pages and cost extra

• “Split-runs” are similar to newspaper ads

• Size, dollar, & frequency discounts available

Television Advertising• Expense is high, but the reach is great

• Expense varies with audience size, season of the year, time of day, preferred location of ad, length, & production expense.

• Time of day is broken into parts

called “Day-parts”:

–“Prime Time” 7:30 pm - 11:00 pm

–“Day-time” 10:00 am - 4:30 pm

Television Advertising• TV viewing is highest in winter,

low in summer

• Program quality & popularity effect expense

• “Run of Program” (ROP) is done on TV

• TV rates are set by “Gross Rating Points” (GRPs) representing 1% of the potentialpotential market

Radio Advertising• Similar to TV except that

production expense is lower• “Dayparts”

– Drive time 5:30 am - 10:00 am

3:00 pm - 7:00 pm

– Day time 10:00 am - 3:00 pm

– Evenings 7:00 pm - 12:00 pm

– Overnight 12:00 pm - 5:30 am

Calculating Media Expense

• Absolute vs. relative expense of advertising

• Numbers based on marketing research– CPM Cost per thousand

– CPRP Cost per rating point

• Rating Systems– Neilson Audit Bureau of Circulation

– Arbitron Traffic Audit Bureau

OBJECTIVE

Be able to calculate the expense of advertising in the various media

Calculating Media ExpenseMath Problem Example

PROGRAM # OFSPOTS

X COSTPER

SPOT

= TOTAL

Friends 3 per wk. X $8,000 = $24,000

Veronica’s 3 per wk. X $9,000 = $27,000

The Nanny 3 per wk. X $10,000 = $30,000

Voyager 3 per wk. X $12,000 = $36,000

TOTAL 12 per wk. X -------- = $117,000

Calculating Media ExpenseMath Problem Example

Week # OFSPOTS

X Reach(Rating)

= GRPs

1 3 X 18% = 54

2 3 X 19% = 57

3 3 X 22% = 66

4 3 X 21% = 63

Summary 12 X 20% Avg. = 240 GRPs

Calculating Media ExpenseMath Problem ExampleCost Per

GRP= Budget / # of

GRPs= X

Cost PerGRP

= 117,000 / 240 = $487.50Per GRP

Cost PerGRP

= Budget / # ofGRPs

= X

Cost PerGRP

= 117,000 / 240 = $487.50Per GRP

Calculating Media ExpenseMath Problem Sample

Cost PerGRP

= Budget / # ofGRPs

= X

Cost PerGRP

= 117,000 / 240 = $487.50Per GRP

SEE HANDOUTS

VISUAL MERCHANDISINGDisplay Building