Household Consumers

Business Organizations

Trade Channel

Professionals

Government Officials

Coca Cola

Microsoft

IBM

GE

Disney

Information and Persuasion

Introduction of New Brand/extensions

Building and Maintaining Brand Loyalty

Creating Image and Meaning for Brand

Maintaining Brand Loyalty

Economic Effects of Advertising

GDP

Business Cycles

Competition

Prices

Value

-firms compete for consumers favor and operate to make a profit

-consumers are not forced to buy

-caveat emptor

-firms make their own decisions

Natural Pressure

-results in competition

-specialization

-efficient performance

-Undoing of Agency Consolidation and Globalization

-Media Proliferation (expansion) and Consolidation

-Media Clutter and Fragmentation

-Consumer Control: Blogs-Tivo

-Advertisers

-Advertising and Promotion Agencies

-External Facilitators

-Media Organizations

-Target Audiences

-manufacturers and service firms

-trade sellers

-federal, state, and local govt

-social organizations

-full service agencies

-creative boutiques

-interactive agencies

-In house agencies

-media specialists

-Direct Marketing

-Ecommerce Agencies

-Sales Promotion

-Event Planning

-Design Firms

-PR firms

-Account Services

-Marketing Research Services

-Creative and Production Services

-Administrative Services

-Media Planning and Buying

-Commission

-Markup Charges

-Fee System

-Pay for Results

-Online computer services

-home shopping broadcasts

-interactive broadcast entertainment programming

-kiosks

-cd roms

-internet

-promotes superficiality

-creates parent/child conflict

-contributes to obesity

-ethics

-deception

-puffery

-deception and unfairness

-competitive issues

-advertising to children

-Federal Trade Commission

-Federal Communications Commission

-Food and Drug Administration

-Securities and Exchange Commission

-US Postal Service

-Bureau of Tobacco,Alcohol, Firearms and Explosives

Consumer Decision Making Process

-Need Recognition

-Information Search and Alternative Evaluation

-Purchase

-Postpurchase Use and Evaluation

4 Modes of Consumer Decision Making

-experience and involvement

-extended problem solving: high involvement, low experience

-limited problem solving: low involement, low experience

-habit/variety seeking: low involvement, high experience

-brand loyalty: high involvement, high experience

-cognitive consistency: challenges existing beliefs

-advertising clutter: so much adv hard to get through to consumer

-selective attention: most ads ignored, break through with novelty

-cognitive response: thoughts that occur at exact time beliefs are challenged

-peripheral cues: refer to features of ad bc low involvement, batteries and chips, catchy jingle, novel, humor

Segmenting

Targeting

Positioning

-Usage

-Demographic Segmentation

-Geographic Segments

-Psychographics and Lifestyle

-Benefit

Rules for Kid Promotion

-play by their tools

-treat them like family

-look for high road, cool to be smart!

-firm's ability to provide what segment wants

-size and growth potential

-competitive field

Essentials for Effective Advertising

-Substantive: back ad up

-Consistent: communicates same message year after year

-Simple and Distinct: get through to people

-Benefit

-User

-Competitive

-customers

-stockholders

-suppliers

-employees

-government entities

-citizen action groups

-general public

-promoting goodwill

-promoting a product or service

-preparing internal communication

-counteracting negative publicity

-lobbying

-giving advice

-press releases

-feature stories

-company newsletters

-interviews and press conferences

-sponsored events

-publicity

-buzz/viral marketing

-Image Advertising: enhancing overall image

-Advocacy Advertising: establishes position on an issue

-Cause Related Advertising: features a firm's affiliation with an important social cause

-rise of capitalism

-industrial revolution

-manufacturer's pursuit of power in channel of distribution

-rise of mass media