WEB EXERCISE 8
1
Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
Chapter 13 Support Media
13-2
Other Terms for Support Media
Alternative media
Below-the-line media
Nonmeasured media
Nontraditional media
13-3
Outdoor Advertising
Factors contributing to its success
Increase in the number of:
Women in the work force
Vehicles on the road
Ability to remain innovative through technology
Digital out-of-home media
Video advertising networks
Digital billboards
Ambient advertising
13-4
Alternative Out-of-Home Media
Aerial advertising
Outdoor advertising incorporating use of airplanes
pulling banners, skywriting, and blimps
Not expensive and reaches specific target markets
Mobile billboards: Devices that carry
advertisements and are mobile
Costs depend on the area and the mobile board
company’s fees
13-5
In-Store Media
Reach shoppers at the place where they buy
Include:
In-store ads
Aisle displays
Store leaflets
Shopping cart signage
In-store TV
13-6
Transit Advertising
Targets people who are exposed to commercial
transportation facilities
Gained popularity due to:
Increased number of women in the work force
Audience segmentation
People spending more time outdoors
2
13-7
Types of Transit Advertising
Inside cards
Placed above the seats and luggage area inside
public transport vehicles
Outside posters
Appear on the sides, backs, and/or roofs of buses,
taxis, trains, and subway and trolley cars
Station, platform, and terminal posters
13-8
Advantages of Outdoor Advertising
Wide coverage of local markets
Frequency and Geographic flexibility
Creativity
Ability to create awareness
Efficiency and effectiveness
Production capabilities
Timeliness
13-9
Disadvantages of Outdoor Advertising
Waste coverage
Limited message capabilities
Wearout
Cost
Measurement problems
Image problems
13-10
Advantages and Disadvantages of
Transit Advertising
Advantages
• Exposure
• Frequency
• Cost
Disadvantages
• Reach
• Mood of the audience
13-11
Sources of Audience Measurement in
Out-of-Home Media Competitive Media Reports
Simmons Market Research Bureau
Point of Purchase Advertising Institute
Outdoor Advertising Association of America
Traffic Audit Bureau
Scarborough
American Public Transportation Association
13-12
Promotional Products Marketing
Promotional medium or method that uses the
following promotional products
Ad specialties
Premiums
Business gifts
Awards
Prizes
Commemoratives
3
13-13
Specialty Advertising
Employs imprinted, useful, or decorative products
for:
Advertising
Sales Promotion
Motivational Communication
Distributed free
13-14
Advantages and Disadvantages of
Promotional Products Marketing
Advantages
Selectivity
Flexibility
Frequency
Cost
Goodwill
High recall
Supplementing other media
Disadvantages
Image
Saturation
Lead time
Reach
13-15
Measurement in Promotional Products
Marketing
Specialty advertising does not have an established
ongoing audience measurement system
Studies show that:
Promotional products have a positive impact on
brand image
Brand impressions and purchase intent improves by
adding promotional products to integrated media
mix
13-16
Yellow Pages Advertising
Is declining due to increased preference for online
directories
Yellow Pages are referred to as a directional
medium
Directional medium: Ads do not create awareness
or demand for products or services but provide the
location
13-17
Advantages and Disadvantages of
Movie Theater Advertising
Advantages
Exposure
Emotional attachment
Cost
Attention
Clutter
Proximity
Segmentation
Integration
Disadvantages
Irritation
Cost
13-18
Branded Entertainment
Blends marketing and entertainment through
television, film, music talent, and technology
Methods
Product placements: Refers to advertising within
another program
Product integration: Placement is integrated
throughout the program content and/or script
4
13-19
Methods of Branded Entertainment
Advertainment: Creation of audio-visual content
to entertain users while advertising products
Advergames: Online games that are designed to
promote products
Content sponsorship
Ad-supported video on demand (VOD)
Others
13-20
Advantages and Disadvantages of
Branded Entertainment
Advantages
Exposure
Frequency
Support for other media
Source association
Cost
Recall
Bypassing regulations
Acceptance and targeting
Disadvantages
High absolute cost
Time of exposure
Limited appeal
Lack of control
Public reaction
Competition
Negative placements
Clutter
13-21
Guerrilla Marketing
Nontraditional method of marketing
Known as:
Stealth
Street
Buzz
Ambush
Viral marketing
13-22
Miscellaneous Other Media
Videogame ads
Parking lot ads
Gas station pump ads
Place-based media
Others
13-23
Advantages and Disadvantages of
Miscellaneous Alternative Media
Advantages
Awareness and attention
Cost efficiencies
Targeting
Disadvantages
Irritation
Wearout
1
Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
Chapter 14 Direct
Marketing
14-2
Factors that Led to the Growth of Direct
Marketing
Development and expansion of the Postal Service
Consumer credit cards
Changing structure of American society and the market
Technological advances
Changing values and lifestyles
More sophisticated marketing techniques
The industry’s improved image
14-3
Role of Direct Marketing in the IMC
Program
Combines:
Advertising and public relations
Personal selling and sales promotions
Support media
Companies decide:
Program objectives
Which markets to target and the strategies to use
How to evaluate the program’s effectiveness
14-4
Direct-Marketing Objectives
To seek a behavioral response
To build an image
To maintain customer satisfaction
To inform and/or educate customers in an attempt to lead to future actions
14-5
Direct-Marketing Approaches
One-step approach: Medium is used directly to
obtain an order
Two-step approach: Uses more than one medium
First effort - Screens potential buyers
Second effort - Generates the response
14-6
Direct-Marketing Media
Direct Mail Catalogs E-mail
Broadcast Media
TV Spots Infomercials
Home Shopping
Print Media Telemarketing
2
14-7
Direct Mail
Unsolicited mail
Advertisers spend substantially on this medium
Keys to success
Mailing list: Database from which names are
generated
Ability to segment markets and offers
Threat - The Internet
14-8
Catalogs and E-mail
Catalogs
Number of catalogs mailed is decreasing
Available on the Internet for consumer and business- to-business customers
E-mail: Electronic version of regular mail
Direct mail on the Internet
Lower cost and higher effectiveness than traditional direct mail
Spam: Electronic equivalent of junk mail
14-9
Broadcast media and TV spots
Broadcast media
Categories - Television and radio
Direct-response advertising: Sales response for the offered product is solicited, through the one- or two- step approach
Support advertising: Supports other forms of advertising
TV spots
Short-form programs, include direct-response commercials seen on TV
14-10
Infomercial and Home Shopping
Infomercial: Long commercial designed for 30-
minute or 1-hour time slot
Designed to be viewed as a regular TV show
Effective with a broad demographic base
Home shopping
Substantial growth due to toll-free telephone
numbers and widespread use of credit cards
14-11
Print Media and Telemarketing
Print media
Difficult to use for direct marketing
Ads compete with the clutter of other ads
Space is relatively expensive
Response rates and profits are low
Telemarketing: Sales by telephone
Declined due to its potential for fraud and deception,
and for annoyance
14-12
Direct Selling
Direct, personal presentation, and sales in consumers’ homes
Repetitive person-to-person selling - Salesperson visits the buyer’s location to sell frequently purchased products
Nonrepetitive person-to-person selling - Salesperson visits the buyer’s location to sell infrequently purchased products
Party plans - Salesperson offers products to groups of people through parties and demonstrations
3
14-13
Sales Strategy (Methods Used to Generate Sales,
Reported as a 2012 of Sales Dollars)
14-14
Evaluating the Effectiveness of Direct
Marketing
Cost per order (CPO): Evaluates the relative
effectiveness of an ad based on the number of calls
generated
Customer Lifetime Value (CLTV): Determines
the dollar value associated with a long-term
relationship with a customer
Helps determine if a customer should be acquired
Optimizes existing customers’ service levels
14-15
Advantages and Disadvantages of
Direct Marketing
Advantages
• Selective reach
• Segmentation capabilities
• Frequency
• Testing
• Timing
• Personalization
• Costs
• Measures of effectiveness
Disadvantages
• Image factors
• Accuracy
• Content support
• Rising costs
• Do Not Contact lists