Special Advertising Situations. Chapter Outline. Key Points. Chapter 18

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1 Special Advertising Situations Chapter 18 Chapter Outline I. Chapter Key Points II. Retail Advertising III. Business-to-Business Advertising IV. Nonprofit or Social Marketing V. International Advertising and Marketing Communication Key Points Discuss retail advertising and what makes it distinctive Explain the basics of B2B advertising Identify the basic goals and operations of nonprofit and social marketing Describe the strategic decisions behind international advertising and IMC 1

2 Retail Advertising Retail marketing is about selling and shopping Occurs on local, national, and international levels Accounts for nearly half of all advertising dollars Tracking the Best in B2B Visit the Site Retail Advertising Objectives Figure

3 Retail Advertising Strategies Differences between retail and brand advertising Cooperative advertising Institutional and product retail advertising Creating the Retail Ad Personnel Location Pricing policy Products History Social responsibility issues Image The Media of Retail Advertising Local retailers prefer reach over frequency Newspapers and direct mail largest local retail advertising media Shoppers Preprints 3

4 The Home Depot: Preprints In-Store and On Line Visit the Site Business-to to- Business Advertising Figure 18.2 Types of Business Markets Industrial Advertising Directed at original equipment manufacturers 4

5 Government Advertising Largest purchaser of industrial goods Such goods may be advertised in government-targeted publications Trade/Channel Advertising Used to persuade distribution channel members to stock the products of the manufacturer Professional Advertising Directed at mostly white-collar workers or advertising/ marketing specialists 5

6 Agricultural Advertising Promotes a variety of products and services Animal health products Seeds Machinery and equipment Crop dusting Fertilizer AgriMarketing: The Global Hub for Agribusiness Visit the Site Business-to to-business Buying Behavior Purchasing objectives Price Service Quality Assurance of supply 6

7 Creating B2B Advertising Figure 18.3 B2B Advertising Media General business and trade publications Directory advertising Consumer media The Web Direct marketing Nonprofit or Social Marketing The use of marketing programs and marketing communication tools for the good of society 7

8 Cause/Mission Marketing Adopting a good cause and sponsoring community and fundraising efforts Links a company s mission and core values to a cause Nonprofit Marketing Fund-raising Public communication campaigns Fighting Teen Drug Use Through Advertising and Public Relations Visit the Site 8

9 International Advertising and Marketing Communication Exporting Internationalization Globalization Video Snippet How to develop a global brand The Global vs. Local Debate Standardization Localization Combination Figure 18.4 The Adaptability Continuum Planning Global Marketing Communication Programs Market-orientation model Culture-orientation approach 9

10 Control v. Adaptation Local initiative Centrally conceived campaigns Variations on central campaigns Bottom-up creativity Planning a Global Strategy Global advertising objectives Targeting issues Positioning the global brand Setting the budget Executing the international campaign Organizing for the international campaign Global IMC Planning Worksheet Figure

11 Starbucks: Globalization Through Localization Visit the Site Discussion Questions Discussion Question 1 Choose a restaurant in your community. What types of people does it target? Would you recommend that its advertising focus on price or image? What is (or should be) its image? Which media should it use? 11

12 Discussion Question 2 Tom and Wendi have just purchased a sandwich shop. They found a good lease in a neighborhood shopping center, but the costs of franchising, leasing, and other charges have left them very little for advertising. With limited funds, Tom and Wendi can afford only one of the following options: a Yellow Pages display ad, a series of advertisements in the area s weekly shopper newspaper, or advertising in the area s college newspaper (the campus is six blocks from the store) Which of these media will best help Tom and Wendi get the awareness they need? Discussion Question 3 Select a print retail advertisement. Think about how this ad could be converted into a television commercial. Give examples of when and on what channel this broadcast ad would be aired. Support your recommendations with an explanation. Discussion Question 4 You work for a large chain of local sporting goods stores that would like to focus all of its local philanthropic activities in one area. You believe the company could benefit from a mission-marketing program. Develop a proposal for the marketing VP that explains mission marketing and present an example of a mission-marketing project that might work for the company. 12

13 Discussion Question 5 Biogen Corporation s mission is to become a leading company in genetic research and development for health industries. Privately held at the time of incorporation, it decided to go public and have its stock traded. How would corporate advertising assist Biogen in its mission? What audience targets should be priorities for its communication programs? Should it develop more than one campaign? Discussion Question 6 Although personal selling is a vital marketing tool for business-to-business companies, advertising also has a significant role. What if a limited budget means expanding one at the sacrifice of the other? Suppose you were making a decision for a company that is beginning a marketing effort for a new set of products; you ll need approximately six new salespeople. If an advertising campaign to introduce the firm would mean hiring four salespeople instead of six, is the advertising worth it? Explain the strengths and weaknesses of this idea. Discussion Question 7 Dean Bennett has gotten a new assignment for an upscale pen made in Switzerland under the brand name of Pinnacle. Its primary advantage is that it has an extremely long-lasting cartridge, one that is guaranteed to last for at least five years. The pen is available in a variety of forms roller ball, felt tip and a variety of widths from fine to wide stroke. Use the adaptability continuum to analyze the globalization or localization options for launching this pen first in Europe and then globally including North America and Asia. What would your recommendation be on standardizing the advertising? 13

14 Discussion Question 8 Define the difference between a highcontext and a low-context culture, and illustrate the difference by finding two ads that you think effectively demonstrate these two message strategies. Explain how they work. 14

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