Advertising:

Principles and Practice

LECTURE 8 and LECTURE 9

The Internet: Digital and Social Media

Sales Promotion

Semester 1, 2024-25
PART ONE

Chapter 15 - The Internet :

Digital and Social Media
Chapter Fifteen, Advertising and Promotion: An Integrated Marketing
Communications Perspective, by George E. Belch, and Michael A. Belch,
McGraw-Hill/Irwin (13th edition)

-Readings: pp.486-518

2
Paid, Owned and Earned Media
§ Paid media: channels of communication a marketer pays
for, including various forms of digital advertising such
as paid search and online display and video ads
§ Owned media: channels of marketing communication
that a company controls, such as its websites, blogs, and
mobile apps as well as social media channels
§ Earned media: exposure for a company or brand that it
did not have to pay for and is generated by entities
outside the firm such as media coverage or through
others sharing information via social media, or
customer-created content on blogs, forums, and social
media platforms
3
Advertising on the Internet - Some Common
Advertising Forms
§ Banners
§ Pop-Ups—ads that appear on the screen
when the user opens the site
§ Search engine advertising (paid searches)
• When the visitor to the search engine sites
keys in a specific search word or phrase, an
advertisement targeted to that category
appears near the search results
Search Engine Optimization (SEO): the process of improving
the volume of traffic driven to one’s site by a search engine
through unpaid (organic) results – SEO considers how search
engine works and edits the site’s HTML and coding, in order
to move the site to the top of the unpaid search result list
4
Advertising on the Internet - Some Common
Advertising Forms

§ Behavioral Targeting
• Targets a specific audience by tracking their website
surfing behaviors and patterns, such as which websites
they have visited and/or searches they have made.

• By compiling clickstream data and Internet protocol (IP)

information, segments of potential buyers can be
identified and ads can be directed specifically to them
(e.g. by tracking an individual’s visits to a number of
camera/photography websites, an ad for cameras could be
displayed to that individual)

5
• Retargeting
• When potential customers visit a company’s
website without any transaction, the company’s
ads will be displayed in other websites they visit,
and hence recapture their interest in the
company’s products

6
Source: figure 15-3 on p.487 of the textbook
Advertising on the Internet - Some Common
Advertising Forms
§ Online Video Ads
§ It is very common nowadays for advertisers to
produce online videos – usually in the form of
advertainment – the creation of video or music
content by an advertiser in an attempt to entertain
viewers while advertising their products
§ Advertisers can boost the reach of the videos by
paying the video platforms and/or influencers/key
opinion leaders (KOL) to spread the videos
§ Recently, short-form videos (usually under 60
seconds) have become increasing popular. Short
video content in platforms such as Reels (on
Instagram or Facebook), YouTube Shorts or Douyin
(Tiktok) becomes more important for advertisers.
7
Examples of Online Video Ads
Brands may appoint ad agencies/production houses to create
online video ads. Brands and ad agencies may also appoint
popular online media companies, online video production
teams or YouTubers, such as Pomato (小薯茄) and Trial & Error
(試當真). The creative style of such online media
companies/production teams/YouTubers may help attract their
followers to view and share the video.

Case study of Deliveroo x Trial and Error -

Advertising playlist of music video (2021) (with English subtitles)
Pomato channel (some
videos with English
subtitles) –

https://youtube.com/playl
ist?list=PLCLioSzos2Yuk98
zC5mBExAhdGm5ogTGZ
http://kamfan.admango.com/kamfanarchive/ 8
Detail.aspx?archive_id=3929
Exercise: Find out more examples of online video. Identify
their different characteristics. You are suggested to browse
through the channels of some famous YouTubers/video
production teams, as well as Facebook pages/Instagram
accounts of various brands.

9
Advertising on the Internet - Why do brands use
social media as marketing communication tools?
encourage

Ø Users may share brand/product information and opinions

among friends – increase exposure and trustworthiness (as
the message is shared by friends)
building relationship
Ø Connect and build relationships with customers
/potential customers through regular posts and timely
responses on social media; users’ responses on social media
also allow brands to understand customers better
stronger impression
interactivity higher recall
Ø Engage users and enrich user experience – through
interactivity and different forms of online experience,
customers may have stronger impression and higher
recall about the brand and the advertising messages 10
Advertising on the Internet - Why do brands use
social media as marketing communication tools?
Ø Reach selected target customers more effectively - as social
media sites collect and analyze data regarding the users and
their activities on social media, advertisers can choose to
show paid posts to selected groups with specific
demographic profiles, interests or online behaviors

Ø Enable customers to interact with one another as well as the

company – people nowadays no longer receive advertising
messages passively, but will actively search for information
and opinions from the company and other customers with
better knowledge (friends, peer communities, influencers or
other strangers) – customers may prefer to find information
and opinions from social media sites -> a social media site11
may be used by customers as a search platform
Advertising on the Internet - Why do brands use
social media as marketing communication tools?
Potential to Make the Messages Viral
• Viral messages refer to images, articles or videos that
spread quickly from person to person with the help of
the Internet.
• For example, viral videos which are extraordinary
and unique enough to cause the viewers to share
them with their friends
• Creative ideas are important to make the messages
viral – people only share interesting, extraordinary or
useful content
• If the messages become viral, visibility for the brand
can be raised and brand awareness can be enhanced
12
Reference for Slides #10-12: Joel Postman, SocialCorp: Social
Media Goes Corporate, New Riders, 2009. (Ch.1 and Ch.3)
Promotion Through the Brand’s
Own Facebook Page / Instagram Account
Brands need to develop creative ideas to maintain and
grow their Facebook pages /Instagram accounts
§Regular and updated posts with interesting,
inspiring, useful or interactive contents for target
audience
§ maintain relationships and actively engage with
fans/followers – encourage engagement such as
“likes” or other “reactions”, comments, clicks,
sharing or saving the post (in Instagram)

YouTube, Facebook and Instagram are

the most popular social media platforms
in Hong Kong. 13
Developing Creative Ideas for FB/IG Posts
§ Create interesting, inspiring or useful posts (with visually
attractive photographs or pictures, videos, infographics, comics,
polls, quizzes, etc.) - encourage engagement and sharing
§ For example, useful and interesting
information/guides/tips/ stories that are relevant to the
target audience and match with the brand
§ Interactive games, branded Instagram filters, contests or
other promotional activities – sometimes with incentives
such as coupons or gifts
§ Instagram (or Facebook) Stories, Live and Reels are also
good ways to reach current followers more effectively, as
well as to engage and interact with the audience
§ Post about timely and relevant topics
§ Treat the followers as friends of the brand 14
Ways to Increase the Reach of Social Media
Posts/Videos (such as Facebook, Instagram, YouTube)

1) Create posts or videos that are special, interesting,

inspiring or useful enough to get many people share them
and engage with them. (Posts/videos with higher
engagement may also gain higher reach due to algorithm(演算
法) [this complicated algorithm determines which
posts/videos people see from friends, advertisers and other
sources, according to various factors.].)

It is also common for brands to release a series of posts with

consistent theme and creative ideas across a time period.

15
Ways to Increase the Reach of Social Media Posts/Videos
(such as Facebook, Instagram, YouTube)
2) Pay the social media platforms (such as Facebook, Instagram
or YouTube) to use their various advertising options to send
the right messages to the right people, and to boost the reach
§ It may be difficult to have a high reach if the Page owner
does not pay for any of the advertising options available
(for example, Facebook limits the reach of “organic
posts”[posts that are unpaid] – a post will not automatically
appear on all fans’ News Feed.)
§ Social media platforms allow advertisers to show paid
posts/videos to selected users with specific demographic
profiles, interests or online behaviors. (Social media
platforms know what pages and content its members like,
what their interests are, and who are in their social
network – targeting can be more precise) 16
 Ways to Increase the Reach of Social Media
Posts/Videos (such as Facebook, Instagram, YouTube)

3) Advertisers may boost the reach of the posts/videos by

paying selected influencers /key opinion leaders (KOL)
to share and spread the posts/videos to their followers
(who may also be the brand’s target customers)

17
SUMMARY: Using Facebook/Instagram to
Promote Your Brand
CHECKLIST: Check your specific creative ideas for the
Facebook fan page/Instagram account:

q Interesting, useful or inspiring to your target audience?

q Strong visual content?
q Interactive? Encouraging engagement and sharing (or even
able to make the messages go viral)? Enriching user experience?
q Matching with your IMC campaign theme and brand
image?
q Integrating with other promotional tools? (e.g. outdoor ad,
publicity)
18
Exercise – Facebook Fan Pages and
Instagram Accounts
§ Select and review Facebook fan
pages/Instagram accounts of several brands in
Hong Kong
§ Study their specific creative ideas– e.g. regular
posts, videos, pictures, games or other special
content/ activities/functions for FB or IG users
§ Evaluate these ideas by using the “checklist” in
the previous slide

Example: You may examine the Instagram account or Facebook

page of Ikea Hong Kong – most posts are written in both Chinese
and English (IG: IKEAHONGKONG; FB:
https://www.facebook.com/IKEAhongkong) 19
Content Marketing through Social Media
Content Marketing
• create and distribute content that is interesting, useful and
relevant to the lives of the target customers but also associated
with the brand
• offer value (utility and/or entertainment) to potential customers – the
brand may reach people who search for relevant information
• not directly “selling” to customers, but building deep relationships
– it should not look like an ad
• a way to tackle “ad avoidance” problem
• quality content helps improve the brand’s search engine rankings,
making it easier for potential customers to find the brand
Create content that your target customers will like
and then amplify the reach of that content
(e.g. spread through paid social media posts and influencers)
20
Reference: Ryan, D (2014) . Understanding Digital Marketing: Marketing Strategies for Engaging the Digital
Generation (p.299-300, 312-314). London ; Philadelphia :Kogan Page Limited
 Examples of Content Marketing through social media
sites/blogs/websites
To build deep relationships with customers, content should be
valuable and relevant to the target audience – e.g. useful and
interesting tips, guides that may solve their problems, and inspiring
stories
Brands Examples of Content Marketing Ideas
Airlines Provides interesting travel tips and city guides; real stories
from travellers
Cosmetic Provides general make-up tricks, fashion news, beauty and
brand healthy tips
Fashion brand Features stories and interviews of ‘indie’ (independent)
with “indie” musicians and indie movie-makers; list of must-see/must-
image hear indie movies and music
Healthy drink Features interesting stories about healthy lifestyle; recipes
for healthy meals; how to keep fit in office
Bank Features inspiring stories of innovative entrepreneurs and
21

founders of small business

Using Mobile Apps to Promote Your Brand
1) Pay to advertise on some selected existing
mobile apps (which might reach your target
customers); OR

2) Develop new mobile apps for the brand –

Ø make the application more functional, more
interactive, or more fun
Ø extend your brand (or brand experience) to
the mobile phone while providing value,
utility or entertainment

Reference: Krum, C (2010) “Mobile Marketing:

Finding Your Customers No Matter Where They 22
Are”(p.105-122; 133-151). Indianapolis: Pearson
Education Inc.
Develop Specific Creative
Ideas for Your Brand’s
Own App:

Content
Functional
Interactive
Extending
Brand Experience Fun Case of “Penguin Navi” –
Sunshine Aquarium, Tokyo – GPS
+ AR

Supporting
other IMC
tools
Nike App
Exercise – Mobile Apps
§ Select and review mobile apps of several brands
in Hong Kong
§ Study and evaluate their specific creative
ideas – functions, features and contents of the
apps; how the apps interact with the users, etc.

24
Location-based Marketing
§ Location-based Marketing: marketing messages
that are sent or received by users based on their
physical location – determined through GPS
data from the mobile phone

§ Examples:
§ providing offers and promotions to
smartphone users who are in-store or
physically nearby
§ promoting nearest stores to smartphone users

25
Influencer (KOL - Key Opinion Leader)
Marketing
n Advertisers pay selected influencers (those who
have influence over many of the target customers) to
incorporate relevant branded content or messages
into their social media posts (the branded content –
including video, photos and texts, is usually created
by the influencers in their own style).

n The image of the influencer should match with the

image of the brand, and the fans/followers of the
influencer should also be the brand’s target
customers.
26
Case Study – TamJai Sam Gor in “Animal
Crossing” Game
TamJai Sam Gor (a chain noodle
restaurant) built a virtual island
“Spicy Island” on the Nintento Switch
game “Animal Crossing”, and spread
the messages through social media
(2021) Check：
http://kamfan.admango.com/kamfan
archive/Detail.aspx?archive_id=3882

27
Case Study – Pocari Sweat Ion Water x Mill Milk

The ion water of Pocari Sweat offers

replenishment and relaxation from the daily
pressures of urban life. The brand
collaborated with YouTube content creator
Mill MILK in 2022 to create a piece of content
called 實測7天社畜改造計劃 (“Field
Experiment- 7 Days Workaholic
Transformative Project”) to communicate
these product features.

Read the Case Study PDF file uploaded on

SOUL
(APP_DigitalAd_Pocari_MM_casestudy) and
watch the Case Study video:
https://youtu.be/AtaII8YZ_W4?si=-
zz5Lu6ZL-Z_-emw

28

Case Study Source: https://www.youtube.com/intl/zh-HK/ads/youtube-works/#youtube-works-winners

Advantages and Disadvantages of the Internet,
Digital and Social Media
Advantages Disadvantages
Target Marketing
Target Marketing Measurement problems
Measurement problems

Message Tailoring
Message Tailoring Clutter

Interactive Capabilities
Interactive Capabilities Potential for deception

Information Access
Information Access
Privacy
Sales Potential
Sales Potential
Irritation
Creativity
Creativity

Exposure/Speed
Exposure/Speed
For details, please read the PDF file on
Complement toIMC
Complement to IMC SOUL (APP_DigitalAd_Reading_L8and9)
Useful Links
§Meta Blueprint:
https://www.facebookblueprint.com/student/catalog
§Facebook for Business:
https://www.facebook.com/business/
§Advertise on Instagram
https://business.instagram.com/advertising/
§Google ads: http://www.google.com.hk/intl/en/ads/
§Advertise on YouTube:
https://www.youtube.com/yt/advertise/
§Interactive Advertising Bureau Hong Kong
https://iabhongkong.com
§Content Marketing Association: http://www.the-
cma.com/
30
References for Part 1
§ Belch, G. E., & Belch, M. A. (2017). Advertising and promotion:
An integrated marketing communications perspective. 12th
ed(p.480-510). New York: Irwin/McGraw-Hill.
§ Kotler, P. (2017). Marketing 4.0: Moving from Traditional to
Digital, New Jersey: John Wiley & Sons, Inc.
§ Krum, C (2010). Mobile Marketing: Finding Your Customers No
Matter Where They Are (p.105-122; 133-151). Indianapolis:
Pearson Education Inc.
§ Postman, J. (2009). SocialCorp: Social Media Goes Corporate, New
Riders. (Ch.1 and Ch.3)
§ Ryan, D (2014) . Understanding Digital Marketing: Marketing
Strategies for Engaging the Digital Generation (pp.170-172, 299-
300, 312-314). London ; Philadelphia :Kogan Page Limited
§ Young, M. (2018). Ogilvy on Advertising in the Digital Age. New
York: Bloomsbury.
31
PART TWO

Chapter 16 –
Sales Promotion
Chapter Sixteen, Advertising and Promotion: An
Integrated Marketing Communications Perspective, by
George E. Belch, and Michael A. Belch, McGraw-
Hill/Irwin (13th edition)

-Readings: pp. 534-554

32
Sales Promotion

“A direct inducement (誘因)that offers an extra

value or incentive (獎勵) for the product to the sales
force, distributors (wholesalers and/or retailers), or the
ultimate consumer with the primary objective of
creating an immediate sale.”

An extra
An extra AA tool
tool to
to
incentive to
incentive to buy
buy speed up sales
speed sales

Targeted to
different parties
 Objectives of
Consumer-Oriented Sales Promotion
To increase
To increase consumption
consumption of
of an an establishedbrand
established
brand

Objectives

To obtain trial and To defend (retain)

purchase current customers
Consumer-oriented
Sales Promotion Vehicles

• Sampling: consumers are given some quantity of a

product for no charge to induce trial; often used to
introduce a new product or brand to the market

• Couponing: coupons can be effective way to induce

trial of new or existing products, or to encourage
repurchase

• Premiums (贈品): an offer of an item of merchandise or

service either free or at a low cost that is used as an
extra incentive for customers
35
Consumer-oriented
Sales Promotion Vehicles
• Contests: a promotion where consumers compete for
prizes or money on the basis of skills or ability

• Sweepstakes/Games: a promotion where winners are

determined purely by chance. Winners are chosen by
random selection from a pool of entries. Scratch-off
cards with instant winners are also a popular
promotional tool.

• Bonus Packs
• Loyalty Programs

36
Case Study – Hang Seng Bank Preferred Banking:
“Be a Game Changer and ‘Carry’ Yourself!”
- Sales Promotion (Gaming, Lucky Draw) x Digital Marketing
Check these pages:
https://kamfan.admango.com/kamfanarchive/Detail.aspx?archive_id
=4070
https://cms.hangseng.com/cms/ccd/eng/PDF/050923e.pdf (An
example of press release)

37
 Summary:
Key Concepts Learnt
§ Common Internet Advertising Forms
§ Online Video Ads
§ Why Do Brands Use Social Media as Marketing Communication Tools
§ Viral Messages
§ Promotion Through Facebook / Instagram
§ Developing Creative Ideas for Facebook/Instagram Posts
§ Ways to Increase the Reach of Social Media Posts/Videos
§ Content Marketing through Social Media
§ Using Mobile Apps to Promote Brands
§ Location-based Marketing
§ Influencer Marketing
§ Advantages and Disadvantages of the Internet, Digital and Social
Media
§ Sales Promotion and its Objectives 38

§ Consumer-oriented Sales Promotion Vehicles