The first time a man looks at an advertisement, he does not see it.  The second time he does not notice it.  The third time he is conscious of its existence.  The fourth time he faintly remembers having seen it before.  The fifth time he reads it.  The sixth time he turns up his nose at it.  The seventh time he reads it through and says, "Oh brother."  The eighth time he says, "Here's that confounded thing again."  The ninth time he wonders if it amounts to anything.  The tenth time he thinks he will ask his neighbour if he has tried it.  The eleventh time he wonders how the advertiser makes it pay.  The twelfth time he thinks perhaps it may be worth something.  The thirteenth time he thinks it must be a good thing.  The fourteenth time he remembers he has wanted it for a long time.  The fifteenth time he is tantalized because he cannot afford to buy it.  The sixteenth time he thinks he will buy it some day.  The seventeenth time he makes a memorandum of it.  The eighteenth time he swears at his poverty.  The 19th time he counts his money carefully.  The twentieth time he sees it he buys it, or instructs his wife to do so.

I. The Promotion Mix

Exercise   Communications Mix In what way does Public Relations particularly stand out as different from the other four methods of communication?  Post your answer in the Moodle Discussion Group.

II. Integrated Marketing Communications  

We are moving from an age of mass communication (think Coca-Cola before the 1990s) to an age that takes advantage of all the media coming to use for advertisers - more digitally oriented customers, focused marketing programmes, new technology...
 

The Need for Integrated Marketing Communications (IMC)

III. Shaping the Overall Promotion Mix

Just as your Marketing Plan must be developed with every element in relation to all the others, so a Promotion Mix must be developed.

Promotion Mix Strategies: Push vs. Pull

Does your company advertise mostly to retailers to encourage them to PUSH your product through the channel to the final consumer?	or are you going to focus on advertising to reach consumers who will then PULL your product through the channel?
The small print says that retailers can expect coffee sales to rise 567% with in-store displays

Exercise - Plan Push or Pull Will you use mainly Push or Pull for your Marketing Plan product? Describe what you will do and why. Post your answer in the Moodle Discussion Group.

The IMC Process

The combination of the elements of communication must be consistent with what you are trying to accomplish. Which market are you going after? What are your buyers like? What magazines do they read? What are their demographics? Advertising may be more important in consumer marketing, while personal sales is usually more important in industrial marketing. 

The Communication Mix must reflect your overall marketing strategy. You wouldn't advertise a $20,000 Rolex watch in Magazine. See the earlier challenge to this here

Exercise Mad Magazine LAB? Seriously, under what circumstances MIGHT you reasonably advertise a Rolex watch in Mad Magazine? Think outside the box; you can't just say, "You can't do it"! Post your answer in the Moodle Discussion Group. If you don't know what Mad Magazine is, make this a Marketing Lab exercise and go buy a copy and find out. It was your professor's favourite magazine when she was a teenager. Do check this out and think it through; I almost always ask it on the in-class test! Or, these days you can check it out online.

IV. Advertising

The Top 24 Most words in English

Setting Advertising Objectives

Inform e.g.: describing available services
Persuade e.g.: changing buyer perceptions of product attributes	If this is how you think sharks look at people, you need to take a good look at our exhibit... (the shark is saying, "Hey you, little fat kid! Yeah you, come up closer to the glass")
Compare In addition to the three major objectives mentioned in your text, advertising also can be used to compare one product to another, as in this ad by Tripod, an internet advertising company
Remind e.g.: maintaining top of mind product awareness

Exercise Advertising Objectives Describe a favourite TV ad of your own that accomplishes one of these objectives. In your opinion, what makes the ad effective? Post your answer in the Moodle Discussion Group.

Setting the Advertising Budget

Method	Question to Ask	Drawbacks
Affordable	How much can we afford to spend?	ignores effect of promotion on sales
Percentage of Sales	What did we make last year?	sees sales as a cause of promotion rather than a result
Competitive-Parity	What's our competition doing?	assumes your competitor knows more than you do
Objective/Task  probably best	What do we want to accomplish?	difficult to directly tie objectives  to specific promotion tasks

Developing Advertising Strategy

You need a good message that can break through advertising clutter and catch peoples' attention, positioning the product to meet the consumer's needs with a creative concept or "Big Idea" that will capture the essence of what you're trying to communicate.

Message Strategy and Execution

This involves deciding on what kind of argument you will make in your promotion. This is the area where I do most of my academic research. Advertisements can argue for the product in many different ways

Rational Logic is our favourite way of making an argument in North America and most promotional messages will be based to at least some degree in a consistent sensible logical argument

Emotional We've seen a real shift in the last years from almost complete avoidance of fear appeals to much more active use of them Exercise Emotional Advertising Why do you think we're seeing so much more emotional advertising now?   Post your answer in the Moodle Discussion Group.

Moral Who decides whether it's right to air a particular ad or run a particular promotion campaign? Censorship should not be needed; companies and associations of companies try to police themselves

Advanced: Add to this list of types of arguments made by the communications process: Visceral and Kisceral

Selecting Advertising Media

You next need to choose the place and voice in which to present your message. It's not always a matter of how much money you spend, but more often of where your money will be most effective. If you are advertising an expensive tennis racket, a $15,000 ad in Tennis Life may effectively reach far more of your target market than a $100,000 ad in Maclean's. 

Exercise - Plan Type of Media Where will it be most effective to put your promotion for your marketing plan product? Why? Post your answer in the Moodle Discussion Group.

Evaluating Advertising Effectiveness and Return on Advertising Investment

Aim for Effect Not Just Exposure - Recall versus Recognition
Imagine I am doing a Marketing Research study for the new Porsche Boxster. Imagine I have properly introduced myself and ascertained that you watched TV last night. Then I ask you

"What ads do you remember seeing last night?"  I'm hoping you'll say "the Porsche Boxster" This is unaided recall, and it's the best answer I can hope for; it means you remembered the company's ad without any help, that it's right there in the top of your mind (top of the mind awareness). If you don't remember, I will ask

"Do you remember seeing an ad about X (or with X, Y, and Z in it)?" I'm still hoping you'll say yes, and maybe that it will trigger you to say, "yes, it was for that new Porsche!" This is aided recall and it's not as good as unaided recall but it's better than the next one

"Do you recognize this ad?" This is recognition. I'm hoping you'll say, "yes, I saw it last night" but it's the least impressive result I can bring to Porsche to tell them how effective their ads are And of course ultimately the company does not really care who saw their ad no matter how they remembered it; the company wants to know how many people went out and bought the product -- measure effect not exposure

Exercise   Recall Unaided Recall is difficult. Try it right here while you're at the computer. Think back, can you tell us what ads you saw last night? (either on TV or on your way home from somewhere). Post your answer in the Moodle Discussion Group.

Other Advertising Considerations
   Organzing for Advertising

This is the area of Advertising that overlaps what I did in my doctoral dissertation with respect to channels of distribution. To put it in a few spare words, a company has to decide whether to hire someone from outside or do the functions themselves. 

   International Advertising Decisions

One of the exciting things about teaching at York is having students who come from all over the world. This section of your text deals with the problems of international advertising. 

Exercise   International Advertising Does anyone who has lived in a country other than Canada have any stories to share about advertising in other countries? Post your answer in the Moodle Discussion Group.

IV. Public Relations

The Role and Impact of Public Relations

Building good relations with the company's various publics by obtaining favourable publicity, building up a good "corporate image" and handling or heading off unfavourable rumours, stories, and events, through the use of news stories, features, press conferences, annual reports, corporate website, product publicity, lobbying, and public service. It is often seen as more believable than advertising. 

Press Relations or Agency - creating and placing newsworthy information in the media
Product Publicity - publicizing specific products
Public Affairs - building and maintaining national or local community relations (sponsoring a Little League baseball team)
Lobbying - building and maintaining relations with legislators and government officials
Investor Relations - maintaining relationships with shareholders and others in the financial community
Development - maintaining relationships with donors or members of not-for-profit organizations
Crisis Management - helping a company in the media spotlight because of a problem with product, employees, or business

Major Public Relations Tools

Chapter 13: Personal Selling and Sales Promotion

I. Personal Selling

Most sales people are well-educated, highly trained professionals whose main job it is to build and maintain long-term relationships with customers through two-way personal communication. The sales force can be manufacturer's representatives or people hired directly by the firm, and they range from Order-Takers (department store salesperson) to Order Getters (someone selling a Lear jet). One of the things that makes them good at their jobs is their ability to really know their customers and find out what they want and need. 

Five Stages in the History of the Salesperson

	Time	Mythology	Popular Culture
The Music Man	Pre World War I	Personality of the salesman is what counts	The Music Man The Iceman Cometh
The Animated Catalogue	Post World War I	Add Product Knowledge to Personality and you can't lose	Tin Men
The Magic Formula	Late 1930's, early 1940's	The good salesman controls the sale See Below	101 Successful Closes
The Problem Solver	1950's	The salesman as consultant - What's your problem? I've got the solution
????	Today	Machines will never replace us	Will computerized selling be the "Death of a Salesman" ?

"The 5 Stages of the Salesperson" is adapted from a lecture Professor Larry Ring used to do when I was a doctoral student at the University of Toronto. Professor Ring has no idea, because I never got around to telling him before he moved to William and Mary College, that he was one of the best professors I've known and one of my favourites in my doctoral programme, and I hope that he takes my use of his material as a tribute to his excellent teaching skills. This story of the AIDA model is also his. 

The AIDA Model

The AIDA model is popular in Advertising, and it also gives us a clue to what makes a successful salesperson.  Awareness (said loudly as you enter the customer's office) "Mr. Sheppard, your wastebasket's on fire!!!!!" Interest (said in a continual stream, not leaving time for the customer to interrupt) "How's the wife and kids? Taking a vacation this year, I know you've always taken the family to the cottage, lovely up there this time of year I'd bet. Hey! Last time we talked, I remember you were looking for a new floor cleaner for the plant?" Desire "How would you like to try something that's going to knock your socks off? It's not officially out on the product line yet, I'm only giving it to a very few select customers." Action "You'll take it! I knew you would! I know you know a good deal when you seen one, just sign here!"  Also known as "THE CLOSE" and the worst possible thing you can say about a salesman, the true test of his manhood, particularly a salesman when his entire success was (surely we've moved beyond that?!) measured by how his work day went, the worst thing you could say about him was

Exercise   Sales People-Good or Bad Everyone has a "favourite good salesperson" story - what's yours? From whom did you buy something and felt wonderful about the purchase mainly because of the salesperson? Or alternatively, what is your "worst salesperson" story? Post your answer in the Moodle Discussion Group.

The Role of the Sales Force

A company needs to decide whether its sales force will be product oriented or customer oriented, outside or inside, or a combination of these.

The Personal Selling Process

From prospecting and qualifying through to the following-up, the personal selling process is all about getting new customers, and we know from research that it costs a company roughly 4 times as much to get a new customer as it does to keep an old one.

II. Sales Promotion

Offers short-term incentives to encourage purchase or sales of a product or service
Offers reasons to buy NOW. In general, Sales Promotion techniques focus on customer relationship building. 

Sales Promotion Objectives and Tools

Consumer Promotion Tools samples, coupons, cash refunds, price packs, premiums, advertising specialties, patronage rewards, point-of-purchase, contests, sweepstakes, games	Objective: increase short-term sales or help build long-term market share
Trade Promotion Tools discounts, buying allowances, merchandise allowances, free goods, push money, specialty ad items, cooperative advertising, dealer sales contests	Objective: persuade channel members to carry a brand, give it shelf space, promote a brand in their advertising, or to push a brand to consumers
Business Promotion Tools conventions, trade shows, sales contests, bonuses	Objective: generate business leads, stimulate purchase, reward customers, motivate sales people

Exercise - Plan Sales Promotion Which of these three will be most useful to you in your Marketing Plan? Post your answer in the Moodle Discussion Group.

Sales Promotion Decisions

Relationship Marketing

This is what it's all about in Marketing, what it's always been all about since the clerk in the country store told Mrs. Jones that he was expecting a new shipment of calico cloth in on Tuesday that he knew her daughters would like for new dresses that fall. It's nothing new. It is simply about meeting the needs of your consumer, knowing them well enough to know what is of value to them, and putting their needs before yours, which will, almost always, ensure you a profit. 

Exercise   Relationship Marketing Remember our early discussion about Relationship Marketing, back in Unit 1? (my story about earbags). What do you now know that you didn't back then that would help you better understand what makes relationship marketing work? Post your answer in the Moodle Discussion Group.

III. Wrapping It Up, Tying It Together

The promotional tools are all related. A company may use advertising to promote its image to the public through corporate or institutional advertising, which, unlike specific product advertising, promotes the organization as a whole, while ensuring that Public Relations experts get stories of their events to the newspapers.

Exercise Benetton Advanced While this ad appears to deal with social issues, why is it NOT Social Marketing?   Post your answer in the Moodle Discussion Group. If you don't have the faintest idea and are interested, check the course on Social Marketing

Socially Responsible Marketing Communication
What's Bad About Ads? The only even quasi-political statement I make when teaching Introductory marketing is a section I do in this chapter from my own research into sexism and racism in advertising. I have not yet been able to convert it to the Internet due to copyright problems with the large number of ads I use, but you can see it for yourself. Open your eyes and your mind and go look at ads, in magazines, on TV.