ADVERTISING
• Eerste 4 hoofdstukken niet kennen (wel kunnen voor de rest van het vak)
TOPIC 1: THE BASICS OF MARKETING COMMUNICATION
• Marketing: “Process of planning and executing the conception, pricing, promotion and
distribution of ideas, goods and services to create and exchange value and satisfy
individual and organisational objectives.”
• Advertising: “Non-personal mass communication using mass media, the content of
which is determined and paid for by a clearly identified sender.”
• Branding: a long-term strategic perspective on how to build, grow and maintain your
brand value. MarCom should always serve the brand strategy.
• Campaign: a strategically planned chronology and collection of Marketing
Communications with a common creative appeal and an appropriate communication
strategy and budget planning per medium.
MarCom media and tools
• Above the line 50% commission fee = mass media advertising
- Things companies hand out to communication/ marketing agencies.
• Below the line = things a company could do themselves (owned & earned)
MarCom stakeholder groups
• Advertisers want to persuade consumers and need “media” to reach them. Media
need advertisers for revenue.
• Tensions/actions from one group can affect both other groups (e.g. dissatisfied
customer can blame the medium and/or the advertiser)
1
,4P’s/4C’s
• Product Customer Need
• Price Cost to the consumer
• Promotion Communication
• Place Convenience
Integrated marketing communication (IMC)
• Combination of marketing instruments to gain a synergetic effect and result in a
seamless communication effort. “360°”
• IMC= you use different messages on different media to communicate one integrated
message and have coverage of this message on different touchpoints in the customer
journey.
• Benefits:
- Synergy: one message will strengthen the other. 1+1 will become 3
- Consistency: people will be remembered of the same message from the brand.
MarCom dynamics: reach vs relevance
• Cfr. Elaboration Likelihood Model & System1/System2
- ELM: you should address light users instead of focusing on loyal users.
• Reach: hardly noticed peripheral cues affect us, certainly when repeated over and
over again. (Sharp: “distinctive assets” + “constant availability”)
• Relevance: the best way to make consumers attentive of your message is to make it
relevant. This will make them cognitively involved in the message.
• Brands have to create:
1. Phsyical availability: distribution, you have to be able to get the brand easily.
2. Mental availability: you have to think about the brand when thinking about the
product.
• You have to be distinctive as a brand.
• Advertising works by constantly refreshing these memory structures repetition of
messages.
2
,ELM as a basis
• Solid advice based on ELM: there are two important pitfalls, one for each of the main
MarCom strategies:
- 1st strategy: aiming for eyeballs
o When aiming for eyeballs, you are typically satisfied with low involvement,
peripheral processing.
o Do not forget to use appropriate peripheral cues to lift your ad effect.
High repetition
High reach
nd
- 2 strategy: aiming for deep involvement
o When aiming for relevance, you’ll use all kinds of tricks to increase the
odds of high involvement, central processing.
o Do not forget to make sure the attitude effect is positive.
o Increase central processing
o Pitfall: you apply all of this knowledge, but you apply it in the wrong way
the attitudes towards the brand will be negative.
Bv: One way to increase involvement/ad relevance is personalization: you could do
it completely wrong and ruin the brand attitudes.
95% of MarCom is Reach (80%) vs Relevance (15%)
• Media cost: higher reach or higher relevance per reach = more expensive
- Most “new” media start from the relevance position (e.g. content marketing on
Facebook with organic reach) and, if successful they then change into reach media
(Facebook turned into a big traditional ad platform)
• Brands typically evolve from relevance-based niche players to reach-based big
companies: as a start-up you don’t have the means to advertise big.
• MarCom objectives: a lot of reach (recall, TOMA, visits, …) and a bit of relevance
(WOM, loyalty, …), usually structured in cognitive – attitudes – behavior.
• Targeting: large segments (reach) versus narrow prospects (relevance), but “targeting
is overrated (Ritson)”.
Train yourself
• When confronted with a (new) MarCom example (eg. the cases we’ll discuss)
1. Categorize Paid – Owned – Earned costs and potential
2. Analyze the degree of reach and relevance it has and to whom it is primarily
addressed…
3
, 3. Compare this with potential MarCom objectives (cognition, attitude, behaviour -
think, feel, do)
4. Evaluate how much it makes sense
The ‘theory’ behind advertising
Hierarchy of effects model (1898)
• Early model of advertising
• Effects happen in order: cognitive → affective → cognitive
• Examples:
- AIDA: awareness, interest, desire, action
- DAGMAR: defining advertising goals for measured advertising results
• Later refined into different hierarchies: FCB grid, Rossiter-Percy grid, ..
• Funnel thinking: big group that gets smaller through the process. Just a small group
will perform an action.
- Can partly explain the continued focus on EYEBALLS as a MarCom goal.
- Funnel thinking: awareness high reach/visibility think/reflect about the
product convertive phase
• HoE models:
- are still useful as a media mix metaphor
- have little proven academic value
- are still used, sometimes, because they are easy to sell
• Academically, replaced by attitude models where all advertising effects are usually
centered on persuasion and attitudes: Elaboration Likelihood Model
- If you have the motivation, the ability and the opportunity to process it central
processing
- If motivation, ability, opportunity lacks peripheral cues easily influenced by
persuasive cues (image, music…)
4
• Eerste 4 hoofdstukken niet kennen (wel kunnen voor de rest van het vak)
TOPIC 1: THE BASICS OF MARKETING COMMUNICATION
• Marketing: “Process of planning and executing the conception, pricing, promotion and
distribution of ideas, goods and services to create and exchange value and satisfy
individual and organisational objectives.”
• Advertising: “Non-personal mass communication using mass media, the content of
which is determined and paid for by a clearly identified sender.”
• Branding: a long-term strategic perspective on how to build, grow and maintain your
brand value. MarCom should always serve the brand strategy.
• Campaign: a strategically planned chronology and collection of Marketing
Communications with a common creative appeal and an appropriate communication
strategy and budget planning per medium.
MarCom media and tools
• Above the line 50% commission fee = mass media advertising
- Things companies hand out to communication/ marketing agencies.
• Below the line = things a company could do themselves (owned & earned)
MarCom stakeholder groups
• Advertisers want to persuade consumers and need “media” to reach them. Media
need advertisers for revenue.
• Tensions/actions from one group can affect both other groups (e.g. dissatisfied
customer can blame the medium and/or the advertiser)
1
,4P’s/4C’s
• Product Customer Need
• Price Cost to the consumer
• Promotion Communication
• Place Convenience
Integrated marketing communication (IMC)
• Combination of marketing instruments to gain a synergetic effect and result in a
seamless communication effort. “360°”
• IMC= you use different messages on different media to communicate one integrated
message and have coverage of this message on different touchpoints in the customer
journey.
• Benefits:
- Synergy: one message will strengthen the other. 1+1 will become 3
- Consistency: people will be remembered of the same message from the brand.
MarCom dynamics: reach vs relevance
• Cfr. Elaboration Likelihood Model & System1/System2
- ELM: you should address light users instead of focusing on loyal users.
• Reach: hardly noticed peripheral cues affect us, certainly when repeated over and
over again. (Sharp: “distinctive assets” + “constant availability”)
• Relevance: the best way to make consumers attentive of your message is to make it
relevant. This will make them cognitively involved in the message.
• Brands have to create:
1. Phsyical availability: distribution, you have to be able to get the brand easily.
2. Mental availability: you have to think about the brand when thinking about the
product.
• You have to be distinctive as a brand.
• Advertising works by constantly refreshing these memory structures repetition of
messages.
2
,ELM as a basis
• Solid advice based on ELM: there are two important pitfalls, one for each of the main
MarCom strategies:
- 1st strategy: aiming for eyeballs
o When aiming for eyeballs, you are typically satisfied with low involvement,
peripheral processing.
o Do not forget to use appropriate peripheral cues to lift your ad effect.
High repetition
High reach
nd
- 2 strategy: aiming for deep involvement
o When aiming for relevance, you’ll use all kinds of tricks to increase the
odds of high involvement, central processing.
o Do not forget to make sure the attitude effect is positive.
o Increase central processing
o Pitfall: you apply all of this knowledge, but you apply it in the wrong way
the attitudes towards the brand will be negative.
Bv: One way to increase involvement/ad relevance is personalization: you could do
it completely wrong and ruin the brand attitudes.
95% of MarCom is Reach (80%) vs Relevance (15%)
• Media cost: higher reach or higher relevance per reach = more expensive
- Most “new” media start from the relevance position (e.g. content marketing on
Facebook with organic reach) and, if successful they then change into reach media
(Facebook turned into a big traditional ad platform)
• Brands typically evolve from relevance-based niche players to reach-based big
companies: as a start-up you don’t have the means to advertise big.
• MarCom objectives: a lot of reach (recall, TOMA, visits, …) and a bit of relevance
(WOM, loyalty, …), usually structured in cognitive – attitudes – behavior.
• Targeting: large segments (reach) versus narrow prospects (relevance), but “targeting
is overrated (Ritson)”.
Train yourself
• When confronted with a (new) MarCom example (eg. the cases we’ll discuss)
1. Categorize Paid – Owned – Earned costs and potential
2. Analyze the degree of reach and relevance it has and to whom it is primarily
addressed…
3
, 3. Compare this with potential MarCom objectives (cognition, attitude, behaviour -
think, feel, do)
4. Evaluate how much it makes sense
The ‘theory’ behind advertising
Hierarchy of effects model (1898)
• Early model of advertising
• Effects happen in order: cognitive → affective → cognitive
• Examples:
- AIDA: awareness, interest, desire, action
- DAGMAR: defining advertising goals for measured advertising results
• Later refined into different hierarchies: FCB grid, Rossiter-Percy grid, ..
• Funnel thinking: big group that gets smaller through the process. Just a small group
will perform an action.
- Can partly explain the continued focus on EYEBALLS as a MarCom goal.
- Funnel thinking: awareness high reach/visibility think/reflect about the
product convertive phase
• HoE models:
- are still useful as a media mix metaphor
- have little proven academic value
- are still used, sometimes, because they are easy to sell
• Academically, replaced by attitude models where all advertising effects are usually
centered on persuasion and attitudes: Elaboration Likelihood Model
- If you have the motivation, the ability and the opportunity to process it central
processing
- If motivation, ability, opportunity lacks peripheral cues easily influenced by
persuasive cues (image, music…)
4
