MARKETING AND

COMMUNICATION
MANAGEMENT
 CHAPTER 2 ADVERTISING COMMUNICATION
2.1. INTRODUCTION
Why is advertising so relevant

2.2. NATURE AND CHARACTERISTICS OF ADVERTISING

NATURE
•Contribute to increasing sales
•Cause variations in the price elasticity of demand based on message
content •Contribute to product differentiation
•Accelerate the launching of new products and promote innovation
• Contribute to stabilising demand for seasonal products
•Serve as an important source of information for consumers
•Serve as an important source of media funding
CHARACTERICTICS
• It is a communication tool that aims to inform, persuade, and
remind
• It is a unilateral tool because there is no interaction between sender
and receiver.
• It is an impersonal tool because it is primarily directed at an
anonymous audience.
• The sender controls the message (content, length, timing, and
frequency of broadcast).
• The sender pays for the insertion of an advertisement or the use of
media space.
• The message is directed at a selected target audience.
2.3. STAKEHOLDERS IN THE ADVERTISING SYSTEM
1. Advertisers (Brands &
Businesses) Companies,
organizations, or individuals who
want to promote products,
services, or ideas. Provide the
funding for campaigns.
2. Advertising & Media Agencies
Intermediaries who design, plan,
and manage campaigns. Roles
include: Creative agencies:
develop concepts, visuals, and
messaging. Media agencies: plan and buy ad space across channels.
Specialized agencies: PR, digital, influencer, social, experiential.
3. Media Owners / Publishers Platforms and channels that host the ads.
4. Technology & Data Providers Tools that enable targeting, tracking, and
optimization. AdTech (demand-side platforms, supply-side platforms,
programmatic exchanges). Data management and analytics companies.
5. Audiences (Consumers) The ultimate target of advertising. Their attention
and behaviour determine the value of ad campaigns.
6. Regulators & Industry Bodies Governments and self-regulatory
organizations that set rules on transparency, privacy, and ethics. Examples:
GDPR (EU), FTC (US), ASA (UK), IAB (industry body).

2.4. ADVERTISING PLANNING PROCESS

Planning benefits?
• Action guide: resources optimization
• Correct short and long term combination
• Internal communication instrument
• Management by objectives
• Control element
• Taking advantage of opportunities
S.M.A.R.T. "S" specific. "M" measurable. "A" achievable. "R"
realistic. "T" time-bound.

CREATIVE STRATEGY
Determining WHAT the advertising message will say or communicate It is a
creative process, where the number of different ways a message can be
generated is limited only by the imagination of those responsible for
developing the message. When creating a message we have to consider: •
Target audience • Media • Product characteristics • Objective
CREATIVE TACTICS
Determining HOW the message strategy will be executed What type of
impact does the message need to achieve? Definining the selling strategy: •
Benefits • Features • Value pricing • Unique-selling proposition •
Informational • Emotional…
All the strategies must be focus in the concept of: AIDA (Attention, Interest,
Desire and Action)
CREATIVE PROCESS

VERIFICATION AND REVISION OF IDEAS

Once the creative process has started we have to:
Objectives:
1. Evaluate the ideas generated 2. Reject inappropriate ideas 3. Refine
remaining ideas 4. Give then final expression
Techniques used:
1. Directed focus groups 2. Message communication studies 3.
Portfolio tests 4. Viewer reaction profiles
Use of storyboards and animatics.
CREATING THE MAJOR SELLING IDEA
“The major selling idea should emerge as the strongest singular thing you
said about your product or service. This should be claim with the broadest
and most meaningful appeal to your target audience…”
Several approaches: 1. Using a unique selling position 2. Creating a Brand
image 3. Finding the inherent drama 4. Positioning
ADVERTISING APPEALS
– Two broad categories of appeals
Informational/Rational Appeals:
• Focuses on the consumer´s practical, functional or utilitarian need for the
product or service
• Emphasizes the features or benefits
• Massages emphasize facts and logic

Emotional Appeals:
• Relate to consumer’s social and/or psychological needs for purchasing a
product or service
• Many advertisers believe consumer’s emotions work better at selling
brands that do not differ markedly from competing brands
BUDGETING DECISIONS

BUDGETING APPROACHES
TOP-DOWN APPROACH: METHODS

BOTTOM-UP APPROACH

CONTROL & FOLLOW UP

MAIN OBJECTIVES WITH A CAMPAIGN- > ROI AND ROAS

KET ASPECT -> CLEAR AND SPECIFIC OBJECTIVES
Objective:
• Increase Brand Image • Coverage • Contact frequency

2.5. TRADITIONAL MEDIA AND DIGITAL MEDIA

 This technological revolution allows clients to:
– Purchase worldwide
– Improve their knowledge about the organizations with which they interact
– Share their opinions and reviews with millions of clients
– Increase their expectations on their puchases´ perceived value
– Create or destroy brands in one day
 This new environment (the digital era) creates new challenges that
the Marketing area needs to manage:
– Manage the huge amount of data
– Improve participation in social networks
– Manage the increase in distribution channels and devices
– Include results that show the return on marketing investiment (ROMI)

 This new environment (the digital era) is developing a shift in the

Marketing activities:

2.6. CHARACTERISTICS OF MEDIA IN ADVERTISING USE

1. TV
2. RADIO
3. TRADE MEDIA
4. PRESS
5. OOH (Out of home)
6. MERCHANDISING
 7. ADS IN CINEMA AND THEATRES
8. PRODUCT PLACEMENT
9. ADS IN FLIGHTS
2.7. IMPLICATIONS OF DIGITAL MEDIA IN MEDIA PLANNING

2.8. ADVERTISING PLATFORMS ON THE INTERNET AND THEIR

CREATIVE FORMATS
Online Communication: Advertising

• Integrated formats: – Formats that have a fix position in the webpage: sponsored
links, banner, skyscraper, Split screen, squares, etc

• Expandable formats: – Gain more space through a second format called panel, which
size, expansion and execution will vary depending on the medium

• Floating formats: – Formats that do not have a fix position on the webpage: pop
up/under, layer, etc.

Online Communication: Promotions

 Online sales promotion´s objectives:  Awareness  Neutralize competitors´ actions 

Establish sinergies within the communication mix  Obtain information about the
target  Act on the price  Increase the purchases
 Main promotion possibilites:  Tangible gifts  Services without cost as free trials 
Raffles and contests  Discounts  Points and online coupons.

Online Communication: e-mail marketing

 Usage of the e-mail : One of the most efficient manners to communicate with users
and clients.
 Two types of e-mail marketing: a) Spam b) Permission marketing (Double opt in)
 “The key to be able to be a great e-mail marketer is not to send campaigns to those that
did not give you permission to do it”.

Online Communication: Social Media

Social Media: Digital communication platforms that allow the user to generate and
share content and information through profiles.

Characteristics

• High participation • High number if connections • Interactivity • Effect and influence

on users • Segmentation opportunities.

Types of Social Media: blogs, microblogs, social Networks, podcasting, on-line videos,
etc.

Effect of social media on the company´s image and reputation

• Companies are increasing the use of social media as a tool to improve their
reputation

• Nowadays, reputation is not build through advertising since it depends also on the
opinion of internet users.

• Online reputation management is a crucial process in which we are demonstrating

our Brand´s credibility

 Influencer marketing and virtual influencers

 Characteristics of Mobile Marketing
• New communication formats • Offer segmentation • Real time & Everywhere
• High efficiency and response measurement • Attributes related to the
technology´s characteristics:
– Originality, proximity etc

Mobile Marketing Instruments

1. Mobile Web • Adapting the web contents to mobile devices

2. Messages (SMS/ MMS) – SMS sent by an advertiser: at the beginning you are
informed of its comercial nature and at the end how to stop receiving those
messages. – Sponsored messages: at the beginning or at the end of the message
the advertising content is included, so that the message has no cost for the user.
3. Video and Mobile Television • Development of content directed to this devices •
Advertising formats: • Pre-roll: advertising at the beginning of the content • Post-
roll: Advertising at the end of the content • Over impressions: during the
reproduction of the video (logos, banners, etc.)
4. Advergaming – Introducing products or brands in videogames to advertise them
5. Proximity Marketing • Used to send advertising messages through bluetooth when
crossing a specific area • It relates to advertising and promotional activities
developed by local companies that try to encourage the consumer to act on that
moment
6. QR Codes – Codes located in magazines, billboards etc that allow the user to access
specific promotions or sites
 VIRAL MARKETING: Consumers promote the product or service because they want to
do it. (Videos through internet, social media etc)

BUZZ MARKETING: Companies search for volunteers to test their products and after
comment their opinion in the Internet and social media to achieve a greater impact.

• Key aspects for Viral and Buzz Marketing success:

• Transparency in everything that the company does during the action

• The content must not be too promotional

• Natural and original message

• Interact with consumers

• Don´t forget that we are directing the campaign to people

STREET MARKETING

Communication actions that take place on the street, shopping centers etc to impact on
costumers.

EXPERIENTAL MARKETING

Companies try to link their brand with positive experiences and emotions for the customers

•Related to PR and events more than social networks

•Contact between the brand and costumer (not between consumers).

•There are different types of experiences (senses, feelings, thoughts etc)