Advertising and Marketing Principles

Chapter 15: What is Advertising

• Advertising is any paid communication designed to inform and persuade consumers.
• Paid advertising is distinct due to the payment for communication opportunities.
• Advertising is prepared to communicate precisely what the advertiser intends.
• Advertising aims to inform and persuade consumers about product benefits, often without providing alternative viewpoints.

Purposes of Advertising

• Providing information or influencing consumer opinions is a key function.
• Introducing New Products: Advertising showcases new product features and category details.
• Generating Awareness: Advertising draws attention to products and makes them known.
• Reminding Consumers: Advertising reinforces existing consumer preference and encourages repurchases.

Qualities of Different Types of Advertising

• Different forms of paid communication aim to inform and persuade.

Creative Considerations in Advertising

• Ads should be memorable and noticeable.
• Ads should effectively convey the message.
• Ads should distinguish the advertised product from competitors.

Pros and Cons of Creative Approaches

• Creative advertising often uses either emotional or factual appeals.

Direct Marketing

• Direct marketing targets specific consumers to measure success through response rates.
• Direct marketers use multiple data sources to target consumers.

Internal Database

• Internal databases store consumer names and addresses for internal use.
• Companies often buy or rent lists of businesses or individuals for targeted marketing.

Soliciting Names

• Direct marketing solicitations use various lists to reach specific customers.

Call to Action

• Advertising often includes a call to action to encourage immediate response from the consumer.

Tracking Results

• Direct marketers analyze and track responses to determine success.

Testing and Marketing Automation

• Testing and marketing automation help analyze and measure response rates and variations in direct marketing messages.

Public Relations

• Public Relations focuses on providing information and creating positive public perception.
• Press releases present information communicated in a newsworthy way.

Press Releases

• Press releases provide detailed information about products or services.
• Press releases often use newspaper/magazine-style article structure.
• Press releases include contact information enabling direct communication.

Events

• Event marketing often involves carefully selected attendees in direct response to a marketed cause or event.

Publicity Stunts

• Generating buzz and publicity via unique events or campaigns to influence consumers.

Lobbying

• Public relations tools to influence decision-makers on targeted issues.

Sponsorship

• Paid partnerships with events or organizations to increase brand visibility.

Investor/Employee Relations

• Internal communication strategies to convey information regarding company issues or policies.
• Crisis management is employed to address negative public perception.

Lead Generation

• Identifying potential customers to generate leads for sales presentations.

Lead Qualification

• Good salespeople assess lead suitability and prioritize potential clients.
• Factors like potential purchase size and dissatisfaction with existing suppliers are assessed.

Pre-Approach/Preparation

• Understanding organization, industry, and client issues allows relevant pre-meeting preparations.

Dealing with Objections

• Responses to potential customer objections are planned to address concerns effectively.

This quiz explores key concepts in advertising and marketing, including the characteristics of paid advertising, direct marketing strategies, and public relations. Test your knowledge on how advertising helps introduce products, target consumers, and measure success.