Chapter 2

Advertising in a Marketing
Communications

1.1
 Learning Objectives
 Assess role of advertising
 Identify distinctions among forms of
advertising
 Explain how advertising can be
effective

1.2
 Advertising
 Mass communication that is paid for
 The most visible element of the
communications mix
 The roles of advertising:
• Create awareness, persuade, and reinforce
purchase behavior
• Hospitality: create and maintain awareness
 Advertising (cont.)
 In hospitality:
• Tangibilize the intangible
• Provide a solution to a problem
• Differentiate from the competition
• Create positive effects on the employees executing
the promises
• Create word-of-mouth
 Advertising (cont.)

 The use of advertising today

• Advertise if you can do it effectively
• Don’t advertise if it is not worth the cost
• Manage with regard to the firm’s overall
strategy
 Advertising (cont.)

 Evaluating
• Pre/post exposure perceptions of the product
or brand
• Theoretical cost per thousand prospects
 Advertising (cont.)

• Step one: calculate total communications

expense
• Step two: calculate net margin per product
• Step three: match advertising cost with
expected results
 Advertising Has
One Key Role

To influence behaviour so that

a receiver of the message views
something positively and then
takes the appropriate action.

1.8
 Attitudinal Components and Their
Impact on Communications Strategy

Consumer Stage Effect Stage Strategy

Cognitive: the stage of Create awareness, Provide information, get

thoughts/beliefs beliefs attention, inform,
remind

Affective: the stage of Change attitudes and Position, create benefits

emotion feelings, get and image, stir
involved, evaluate emotions, arouse

Conative: the stage of Stimulate and direct Move to action,

motivation and desires, adopt reinforce
intention expectation,
persuade
 Push/Pull Strategies
Push Pull

Push the communication Pull the mix directly to

mix through the market/customers
distribution channels who will then go
which then get to the through the
customer distribution channels
 Product and
Promotional Advertising

Product
• Informs customers about a brand’s
benefits.
Promotional
• Incentive oriented to create
immediate action.

1.11
 Classifications of Advertising

 Classification by target audience:

• Consumer advertising: aimed at people who buy for

their own use : Advertising directed at consumers (e.g. National,
Retail, End-Product, Direct Response,

• Business advertising: aimed at people who buy for use

in business :Advertising directed by business to business: ( e.g. Trade,
Industrial, Service Industry, Corporate)
 Classifications of Advertising
 Classification by geographic area:

 International/global advertising (foreign

markets)
 National advertising
 Regional advertising (in one area or region)
 Local advertising (in only one city or local
trading area)
Classifications of Advertisement
 Classification by medium:
 Print advertising (newspaper, magazines,
brochures, flyers)
 Broadcast advertising (television, radio,
Internet)
 Outdoor advertising (billboards, kiosks, public
transport, events)
 Narrowcast advertising (through the Postal
Service, by e-mail, Catalogues)
 POP advertising: (point of purchase)
 Media Type Advantages Disadvantage Strategic Use

Newspa National/ Geographic Limited color Coverage medium

pers local/ targeting Poor reproduction Geographic
High credibility quality targeting
Permanence/ One day life span Local retail ads
User-paced Unattractive High involvement
High information layouts consumers/products
potential Hard to measure Rational appeals
actual exposure

Print
Media
Magazi General High color Hard to measure Highly specialized
nes magazines reproduction actual exposure target marketing
Specialized quality Long lead times Geographic
Magazines High credibility Expensive: High targeting with zip
Trade Permanence/ Cost editions
Magazines User-paced High involvement
Pass along factor consumers/products
High information Rational and
potential emotional appeals
 Media Advantages Disadvantage Strategic Use

Billb- High frequency Fleeting message Good coverage

oards Geographic Limited medium
flexibility information Localized support
Low cost per Long lead times medium
exposure Location Low involvement
unavailability products
Visual pollution

Outdoor
Media Transit Captive audience Lack of status Localized support
Low cost Cluttered medium
Supports mass environment High and low
transit systems Limited involvement products
information
potential
 Media Type Advantages Disadvantage Strategic Use

TV National/ Mass coverage High production Coverage medium

local/cable Some content- costs Low involvement
based targeting High absolute media consumers/products
High impact costs Emotional appeals
Creativity Brevity
Impermanence/Not
user-paced
Low information
potential
Clutter
Broad Zipping and Zapping
cast
Media Radio Local/ Low media cost No visuals Good targeting
network Low production Low information medium
costs potential Localized support
Short lead Impermanence medium
times Fragmented High and low
Captive audiences involvement
audiences Complicated media products/consumers
Specialized buys Rational and
audiences Clutter emotional appeals
 Media Advantages Disadvantage Strategic Use of
Newspapers

Internet Interactive Untested medium Target marketing

medium/Active Fragmented audience High involvement
audience Security and privacy consumers/products
Affluent market issues
Permanence/User-
paced
High information
Broadc potential
ast Immediate response
Media
 Media Advantages Disadvantage Strategic Use of
Newspapers

Direct Mail Interactive High cost Target marketing

Catalogues medium/Active Junk mail Relationship
audience High audience refusal marketing
Affluent market rates High involvement
Permanence/User- Environmental consumers/products
paced concerns
High information Key is a high quality
Narrow potential mailing list
cast Immediate response
Media
 Advertising Media & Methods
 wall paintings  subway platforms
 web banners  shopping bags
 web popups  inflatables
 mobile telephone  train cars
screens  event tickets and
 shopping carts supermarket receipts
 skywriting  e-mails (spam)
 human directional  street furniture
 town criers
 blimps
 painted vehicles
 “logojets”
 in-flight ads
 Conditions for Using
Advertising Effectively

1. Market and Product Demand

2. Product Life Cycle
3. Competitive Advantage
4. Competitive Environment

1.22
 Conditions for Using
Advertising Effectively

5. Product Quality
6. Management Commitment
7. Marketing Mix

1.23
 Characteristics of
advertising
 Brief
 Affability
 Creativity
 Dainty

 “KISS” principle: Keep it sweet & simple.

Keep it short & simple.