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BMGT 411: Week 11
Kottler:

• Chapters 16 - Mass Communications and Advertising

!
Social Media and Influence Marketing

!
Chapter Questions
• What steps are required in developing an advertising program?

• How should sales promotion decisions be made?

• What are the guidelines for effective brand-building events and experiences?

• How can companies exploit the potential of public relations and publicity?
Figure 16.1 The Five M’s of Advertising
1. Developing an 

Advertising Program (Campaign): Mission
• Advertising: Any paid form of non personal presentation and promotion of a
product by an identified sponsor

1.Setting the Advertising Objective: a specific communications task and
achievement level to be accomplished with a specific audience in a specific
period of time


•

Information Advertising: Create brand awareness and knowledge of new features of
existing products


•

Persuasive Advertising: Aims to create a liking, preference, conviction, and purchase
of a product or service


•

Reminder: Aims to stimulate repeat purchase of a product or service


•

Reinforcement: Convinces current customers they made the right choice
2. Deciding on the Advertising Budget (Money)
• Stage of PLC: New products need higher budgets to increase awareness

• Market Share: Brands with high market share require less support

• Competition and clutter: Brands must advertise more heavily to be heard
among competitors and over clutter

• Frequency: The number of repetitions needed to put the brands message
across to consumers

• Product Substitution: Brands in less differentiated product classes (Beer Soft
Drinks) require heavy advertising to establish a unique image
3. Developing the 

Advertising Campaign (Message)
• Starts with a Creative Brief

• Creative brief serves as a guide on how to develop creative

• Key messages

• Product positioning

• Competitive atmosphere

• Target audience

• Media recommendation
4. Choosing Media
• Choosing Media: Finding the most cost effective media to deliver the desired
number and type of exposures to the target audience

• Reach: The number of different persons or households exposed to a
particular media schedule at least once during a specific time period

• Frequency: The number of times within a specified time period that an
average person or household is exposed to the message

• GRP (Gross Ratings Point) = Reach x Frequency

• If you reached 50 people 5 times during a campaign, the GRP’s would
be 250
4. Choosing Media
• Media Schedule Patterns

• Continuity: Ads appear evenly throughout campaign

• Concentration: Spending all ad dollars in one season - example - holiday

• Flighting: Advertising during a period, taking time off, then advertising
again

• Pulsing: Advertising consistently at lower rates, reinforced by periods of
heavier activity
4. Choosing a Media Type
Medium
TV

# Options
4,494 local TV stations, regional/national/ international cable networks

Radio

26,980 broadcast, streaming or satellite stations

Magazines

24,744 consumer or business magazines

Newspapers

1,397 local newspapers

Internet

233,000,000 registered domain names

Mobile

3,000,000 mobile-ready websites
4. Choosing the Media Type
4. Choosing the Media Type
4. Choosing a Media Type
4. Choosing a Media Type
75%

56%

38%

19%

0%
6am-9am

9am-5pm
Radio
Newspaper
Online News
Online Entertainment
Movies on TV Set

5pm-8pm

8pm-11pm

TV
Magazines
Social Media
Online shopping
Online Games

11pm-2am
Newspaper Advertising
• Although readership is down, print ads are still expensive
Volkswagen Print Ad

http://youtu.be/FhbkqFdKnP8
Coca Cola Print

http://youtu.be/hgZ0KLWpicc
New York Times

Digital Subscriptions
Television Media Buying
1. National Broadcast TV: Spot shown everywhere, during a specific program

2. Spot TV: A local spot bank for regional brands to advertise during key
programs. Less expensive than a national buy

3. National Cable: Spots delivered nationwide on specific channels

4. Local Cable: Can target down to the zip code, high regional messages with
a lower cost
4. Television Media Buying

Activities done on Tablets while watching TV % of Tablet Owners 13+
13+

13-17

18-34

35-54

55+

Male

Female

eMail

61%

52%

58%

65%

65%

58%

64%

Social Networking

47%

62%

50%

47%

33%

44%

50%

Info on TV show viewing

37%

37%

36%

38%

34%

39%

34%

Check Sport Scores

34%

34%

36%

34%

32%

44%

24%

Look for info on ad saw on TV

27%

29%

28%

27%

22%

25%

28%

Look for info on deals from ad
saw on TV

22%

22%

29%

21%

14%

21%

24%
Television Media Buying

Weekly Time Watching Video by Age

(Hours:Minutes)
P2+

K2-11

T12-17

A18-24

A25-34

A35-49

A50-64

A65+

Traditional TV (Live + TSV)

33:43

24:09

22:14

25:34

29:55

34:16

42:16

47:13

Time Shifted TV (TSV) only

2:34

1:57

1:31

1:40

3:18

3:19

3:06

1:53

Video on the Internet (PC/
Laptop)

0:30

0:08

0:23

0:51

0:54

0:40

0:25

0:12

Video on Mobile Phone

0:08

NA

0:14

0:14

0:15

0:07

0:02

<0:01
Radio Advertising
• Drive Time is the heaviest listener time

• AM Drive - 6 - 9 am

• PM Drive - 4 - 7 pm

• In April 2012, Pandora generated:

•

- 57 million monthly unique users
- 15 million average daily listeners
- 2hrs:15mins average time spent
listening per usage day
National coverage with local scale in some
markets
- Potential to be used as a “station”
on a Local Radio plan in markets
that have enough reach/coverage

• Fastest growing music brand in
•

•

the world, offering 15MM+ songs
Socializing audio listening,
notifying friends of music
consumers listen to, offering
listening lounges, etc.
Rapidly growing, with more than
half the number of Pandora’s web
listeners* in less than on year’s
time

• Local and Nationally Syndicated
•
•

Radio with terrestrial beginnings are
also players in the streaming market
Scale is growing and there for some
stations
Local connections and personalities
still matter, built in audiences
5. Measuring Sales Impact of Advertising
• Share of Advertising Expenditure: Amount spent on advertising

• Share of Voice: Proportion of company advertising a product compared to all
advertising of that product

• Share of mind and heart: Space earned by advertising in a consumers
mindset - how often they think of you or consider you3

• Share of market: Or Market share, your % of sales compared to competitors
What is Sales Promotion?
• Sales promotion consists of a collection of incentive tools, mostly short term,
designed to stimulate quicker or greater purchase of particular products or
services by consumers or the trade.
Consumer-Directed Sales Promotion Tactics
• Samples


• Patronage rewards


• Coupons


• Free trials


• Cash refund offers


• Tie-in promotions

• Price offs

• Premiums

• Prizes
Coupon Trends
Events and
Sponsorships
Why Sponsor Events?
• To identify with a particular target market or life style

• To increase brand awareness

• To create or reinforce consumer perceptions of key brand image associations

• To enhance corporate image

• To create experiences and evoke feelings

• To express commitment to community

• To entertain key clients or reward employees

• To permit merchandising or promotional opportunities
Public Relations
• Launching new products

• Repositioning a mature product

• Building interest in a product category


• Public relations tools:
–
–
–
–
–
–

News, speeches
Special events
Mobile marketing
Published materials
Website
Public service activities

• Influencing specific target groups

• Defending products that have encountered public problems

• Building the corporate image in a way that reflects favorable on products
Social Media and Influence Marketing
Source: http://www.techburgh.com/2013/09/13/a-beginners-guide-to-social-media-branding/
Source: http://www.techburgh.com/2013/09/13/a-beginners-guide-to-social-media-branding/
Source: http://www.techburgh.com/2013/09/13/a-beginners-guide-to-social-media-branding/
Source: http://www.techburgh.com/2013/09/13/a-beginners-guide-to-social-media-branding/
FACEBOOK
• Due

to audience size, facebook is must for every brand	


• Facebook

audience is varied - content should be customized
by audience	


• Mobile

is a key growth metric for facebook - more people
now access facebook on mobile than on desktop	


• The

average time spent on facebook is 20 minutes
ENGAGEMENT DRIVES FANS
SMALL COMPANIES USING
FACEBOOK
• Event	

• Customer

Service	


• Engagement	

• Replaces Website

hours, etc)

(store
TWITTER USES
• Customer

research (social

• Customer

service	


listening)	


• Engagement	

• 2nd

screen interaction
CUSTOMER EXPERIENCE
• Brands

monitor and collect
feedback using twitter	


• Most

call centers have
been rebranded care
centers or social media
command centers	


• Customers

demand
responses - day or night
SMALL COMPANIES USING
TWITTER
• Customer
• Social

listening	


• Customer
• Event

engagement	


service	


announcements
USES FOR INSTAGRAM
• Image

storytelling	


• Inspiration	

• Location/events	

• Instagram

usually ties to
other social media
https://vine.co/v/h5WYF6Yj05z
PINTEREST

• Audience

is mostly women	


• Often

described as a digital scrapbook for sharing ideas	


• Strong

link to purchase directly from ideas
http://www.youtube.com/watch?v=InrOvEE2v38

GATORADE SOCIAL MEDIA
COMMAND CENTER
1. WHO DO YOU WANT TO
REACH?
2. WHAT DO YOU WANT TO
SAY?
3. WHEN DO YOU WANT TO
SAY IT?
4. HOW WILL YOU ENGAGE?
5. WHAT TOOLS WILL YOU
USE?
6. HOW WILL YOU MEASURE
RESULTS?
WIGLE WHISKEY SOCIAL
MEDIA STRATEGY
• Who

do you want to reach?	


• What

do you want to say?	


• When

do you want to say it?	


• How

will you engage?	


• What
• How

tools will you use?	


will you measure?

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Bmgt 411 week_11

  • 1. BMGT 411: Week 11 Kottler: • Chapters 16 - Mass Communications and Advertising ! Social Media and Influence Marketing !
  • 2. Chapter Questions • What steps are required in developing an advertising program? • How should sales promotion decisions be made? • What are the guidelines for effective brand-building events and experiences? • How can companies exploit the potential of public relations and publicity?
  • 3.
  • 4.
  • 5.
  • 6.
  • 7.
  • 8.
  • 9. Figure 16.1 The Five M’s of Advertising
  • 10. 1. Developing an 
 Advertising Program (Campaign): Mission • Advertising: Any paid form of non personal presentation and promotion of a product by an identified sponsor 1.Setting the Advertising Objective: a specific communications task and achievement level to be accomplished with a specific audience in a specific period of time • Information Advertising: Create brand awareness and knowledge of new features of existing products • Persuasive Advertising: Aims to create a liking, preference, conviction, and purchase of a product or service • Reminder: Aims to stimulate repeat purchase of a product or service • Reinforcement: Convinces current customers they made the right choice
  • 11. 2. Deciding on the Advertising Budget (Money) • Stage of PLC: New products need higher budgets to increase awareness • Market Share: Brands with high market share require less support • Competition and clutter: Brands must advertise more heavily to be heard among competitors and over clutter • Frequency: The number of repetitions needed to put the brands message across to consumers • Product Substitution: Brands in less differentiated product classes (Beer Soft Drinks) require heavy advertising to establish a unique image
  • 12. 3. Developing the 
 Advertising Campaign (Message) • Starts with a Creative Brief • Creative brief serves as a guide on how to develop creative • Key messages • Product positioning • Competitive atmosphere • Target audience • Media recommendation
  • 13. 4. Choosing Media • Choosing Media: Finding the most cost effective media to deliver the desired number and type of exposures to the target audience • Reach: The number of different persons or households exposed to a particular media schedule at least once during a specific time period • Frequency: The number of times within a specified time period that an average person or household is exposed to the message • GRP (Gross Ratings Point) = Reach x Frequency • If you reached 50 people 5 times during a campaign, the GRP’s would be 250
  • 14. 4. Choosing Media • Media Schedule Patterns • Continuity: Ads appear evenly throughout campaign • Concentration: Spending all ad dollars in one season - example - holiday • Flighting: Advertising during a period, taking time off, then advertising again • Pulsing: Advertising consistently at lower rates, reinforced by periods of heavier activity
  • 15. 4. Choosing a Media Type Medium TV # Options 4,494 local TV stations, regional/national/ international cable networks Radio 26,980 broadcast, streaming or satellite stations Magazines 24,744 consumer or business magazines Newspapers 1,397 local newspapers Internet 233,000,000 registered domain names Mobile 3,000,000 mobile-ready websites
  • 16. 4. Choosing the Media Type
  • 17. 4. Choosing the Media Type
  • 18. 4. Choosing a Media Type
  • 19. 4. Choosing a Media Type 75% 56% 38% 19% 0% 6am-9am 9am-5pm Radio Newspaper Online News Online Entertainment Movies on TV Set 5pm-8pm 8pm-11pm TV Magazines Social Media Online shopping Online Games 11pm-2am
  • 20. Newspaper Advertising • Although readership is down, print ads are still expensive
  • 23. New York Times Digital Subscriptions
  • 24. Television Media Buying 1. National Broadcast TV: Spot shown everywhere, during a specific program 2. Spot TV: A local spot bank for regional brands to advertise during key programs. Less expensive than a national buy 3. National Cable: Spots delivered nationwide on specific channels 4. Local Cable: Can target down to the zip code, high regional messages with a lower cost
  • 25. 4. Television Media Buying Activities done on Tablets while watching TV % of Tablet Owners 13+ 13+ 13-17 18-34 35-54 55+ Male Female eMail 61% 52% 58% 65% 65% 58% 64% Social Networking 47% 62% 50% 47% 33% 44% 50% Info on TV show viewing 37% 37% 36% 38% 34% 39% 34% Check Sport Scores 34% 34% 36% 34% 32% 44% 24% Look for info on ad saw on TV 27% 29% 28% 27% 22% 25% 28% Look for info on deals from ad saw on TV 22% 22% 29% 21% 14% 21% 24%
  • 26. Television Media Buying Weekly Time Watching Video by Age
 (Hours:Minutes) P2+ K2-11 T12-17 A18-24 A25-34 A35-49 A50-64 A65+ Traditional TV (Live + TSV) 33:43 24:09 22:14 25:34 29:55 34:16 42:16 47:13 Time Shifted TV (TSV) only 2:34 1:57 1:31 1:40 3:18 3:19 3:06 1:53 Video on the Internet (PC/ Laptop) 0:30 0:08 0:23 0:51 0:54 0:40 0:25 0:12 Video on Mobile Phone 0:08 NA 0:14 0:14 0:15 0:07 0:02 <0:01
  • 27. Radio Advertising • Drive Time is the heaviest listener time • AM Drive - 6 - 9 am • PM Drive - 4 - 7 pm • In April 2012, Pandora generated: • - 57 million monthly unique users - 15 million average daily listeners - 2hrs:15mins average time spent listening per usage day National coverage with local scale in some markets - Potential to be used as a “station” on a Local Radio plan in markets that have enough reach/coverage • Fastest growing music brand in • • the world, offering 15MM+ songs Socializing audio listening, notifying friends of music consumers listen to, offering listening lounges, etc. Rapidly growing, with more than half the number of Pandora’s web listeners* in less than on year’s time • Local and Nationally Syndicated • • Radio with terrestrial beginnings are also players in the streaming market Scale is growing and there for some stations Local connections and personalities still matter, built in audiences
  • 28. 5. Measuring Sales Impact of Advertising • Share of Advertising Expenditure: Amount spent on advertising • Share of Voice: Proportion of company advertising a product compared to all advertising of that product • Share of mind and heart: Space earned by advertising in a consumers mindset - how often they think of you or consider you3 • Share of market: Or Market share, your % of sales compared to competitors
  • 29. What is Sales Promotion? • Sales promotion consists of a collection of incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular products or services by consumers or the trade.
  • 30. Consumer-Directed Sales Promotion Tactics • Samples • Patronage rewards • Coupons • Free trials • Cash refund offers • Tie-in promotions • Price offs • Premiums • Prizes
  • 33. Why Sponsor Events? • To identify with a particular target market or life style • To increase brand awareness • To create or reinforce consumer perceptions of key brand image associations • To enhance corporate image • To create experiences and evoke feelings • To express commitment to community • To entertain key clients or reward employees • To permit merchandising or promotional opportunities
  • 34. Public Relations • Launching new products • Repositioning a mature product • Building interest in a product category • Public relations tools: – – – – – – News, speeches Special events Mobile marketing Published materials Website Public service activities • Influencing specific target groups • Defending products that have encountered public problems • Building the corporate image in a way that reflects favorable on products
  • 35. Social Media and Influence Marketing
  • 36.
  • 41.
  • 42. FACEBOOK • Due to audience size, facebook is must for every brand • Facebook audience is varied - content should be customized by audience • Mobile is a key growth metric for facebook - more people now access facebook on mobile than on desktop • The average time spent on facebook is 20 minutes
  • 43.
  • 44.
  • 46.
  • 47. SMALL COMPANIES USING FACEBOOK • Event • Customer Service • Engagement • Replaces Website hours, etc) (store
  • 48.
  • 49. TWITTER USES • Customer research (social • Customer service listening) • Engagement • 2nd screen interaction
  • 50.
  • 51. CUSTOMER EXPERIENCE • Brands monitor and collect feedback using twitter • Most call centers have been rebranded care centers or social media command centers • Customers demand responses - day or night
  • 52. SMALL COMPANIES USING TWITTER • Customer • Social listening • Customer • Event engagement service announcements
  • 53.
  • 54. USES FOR INSTAGRAM • Image storytelling • Inspiration • Location/events • Instagram usually ties to other social media
  • 55.
  • 57.
  • 58.
  • 59. PINTEREST • Audience is mostly women • Often described as a digital scrapbook for sharing ideas • Strong link to purchase directly from ideas
  • 60.
  • 62. 1. WHO DO YOU WANT TO REACH?
  • 63. 2. WHAT DO YOU WANT TO SAY?
  • 64. 3. WHEN DO YOU WANT TO SAY IT?
  • 65. 4. HOW WILL YOU ENGAGE?
  • 66. 5. WHAT TOOLS WILL YOU USE?
  • 67. 6. HOW WILL YOU MEASURE RESULTS?
  • 68. WIGLE WHISKEY SOCIAL MEDIA STRATEGY • Who do you want to reach? • What do you want to say? • When do you want to say it? • How will you engage? • What • How tools will you use? will you measure?