CH-10-13 Media Planning and Budgeting for IMC – Advertising and Promotion: An Integrated Marketing Communications Perspective : Chapter Notes

This Document Contains Chapters 10 to 13 Chapter 10 Media planning and budgeting for IMC Chapter Overview This chapter introduces the concepts involved in media planning. The chapter begins with an overview of media planning by introducing the content of the plan and media planning challenges. The chapter then focuses on media strategy decisions and media tactics decisions. The chapter concludes with a description budgeting process, theories underlying budgeting decisions, and the managerial approaches to budgeting. Learning Objectives 1. Illustrate how a media plan is developed. 2. Explain the process and identify the decisions for implementing media strategies. 3. Explain the process and identify the decisions for implementing media tactics. 4. Distinguish among the theoretical and managerial approaches for media budget setting. 5. Apply the methods for allocating the media budget to relevant IMC tools and market situations. Chapter and Lecture Outline I. MEDIA PLANNING This first section presents a brief discussion of the factors involved in the media planning process and illustrates the fact that media planning is an involved process influenced by a variety of factors including the nature of the media, the marketing strategy, and the product being advertised. A. Overview—a media plan defines a combination of media that will enable the marketer to communicate the message effectively and efficiently. The activities involved in this plan are detailed in Figure 10-2. A media plan is the actual document detailing these decisions. B. Media Plan—media planning involves the series of decisions in delivering the message to the target audience. • media objectives—the objectives sought by the media plan • media strategy—action designed to attain the media objectives. It includes the medium, the general category of media channels like broadcast, print, or out-of-home, the media type, the specific media category like television or radio for broadcast, and finally the media class such like specialty TV channels for that context. Decisions include: • reach—the number of potential audience members exposed once to a media vehicle in a given period of time • coverage—the potential audience that might receive a message through a vehicle • frequency—the number of times the receiver is exposed to the media vehicle in a given time period • media tactics—the more specific media decisions involving media vehicle (e.g., type of television show to advertise on), fine-tuning the budget and timing of all media purchases. C. Media Planning Challenges—a number of problems are identified, each of which directly impacts the planning process such as: insufficient information, inconsistent terminology, need for flexibility, role of media planners and problems in measuring effectiveness of a media plan. An understanding of these problems is critical to the proper design of the media plan. II. MEDIA STRATEGY DECISIONS A. Media Mix—many media strategies require a combination of media to be used. The media mix determines the various channels used. The objectives of the plan, the budget, and other factors, will directly impact this decision. Figure 10-4 summarizes the strengths and limitations of the key media characteristics. An attempt to include the same sixteen criteria for all six traditional media makes comparison more systematic. Descriptive words to indicate the relative intensity of the strength or limitation have be omitted as this is more of a judgment and is heavily dependent upon other media decisions and creative decisions. Items for each media are investigated more fully in each chapter. B. Target Audience Coverage—Figure 10-5 provides a graphic illustration of marketing coverage possibilities. Of course, the marketer would like to achieve full coverage through a combination of media. As noted, this is not a likely outcome, and decisions have to be made that involve trade-offs between less than full market coverage and over coverage or waste coverage. C. Geographic Coverage—the decision as to where to promote at this point involves geographical considerations. Once again, the discussion turns to the use of secondary information and indices as aids in making this decision. A number of critical terms are introduced including: the Brand Development Index, and the Category Development Index. The calculation of both BDI and CDI is provided, based on actual examples. Figure 10-8 is a very useful way of presenting strategies evolving around BDI and CDI. D. Scheduling—marketers will typically employ one of three scheduling alternatives since it may not be feasible (or necessary) to maintain a constant advertising schedule. 1. Continuity refers to a continuous pattern of advertising—that is every day, week, or month depending on the planner’s time horizon for planning (food products, laundry detergents, etc.) 2. Flighting is a scheduling method in which there are intermittent periods of advertising and nonadvertising (snow skis, etc.) 3. Pulsing is actually a combination of the two previous methods, in which a continuous schedule is used, though the amount of monies spent will vary throughout the time period (automobiles). E. Reach and Frequency—given that advertisers have differing objectives, and are constrained by budgets, the media decision usually involves a trade-off between reach and frequency. This decision is essentially one of exposing more persons to the ad, or exposing fewer persons more often. In making this decision, the media planner must take into consideration a number of factors including: 1. How much reach is necessary? 2. What frequency level is needed? 3. Determining effective reach and frequency. 4. Using gross ratings points (GRP's) These four sections have been substantially re-written for clarity in the 5th edition. III. MEDIA TACTICS DECISIONS A. Media Vehicle—Creative aspects of the ad may require the use of specific media. For example, television may be required to implement certain types of creative campaigns. Likewise, the mood that a medium creates may carry over to the ad itself. For example, certain magazines may create various moods as they are being read Research may be designed to determine which media class (broadcast vs. print) generate the most effective results, the location within a particular medium (front page or back page) and size or length of time the ad or commercial runs. Another factor is the vehicle option source effect—the differential impact that the advertising exposure will have on the same audience member if the exposure occurs in one media option rather than another. B. Relative Cost Estimates—costs must be considered in the determination as to which media will be employed. Two types of costs must be addressed—absolute cost—which is the actual cost to place the ad in the medium—and relative cost—or the relationship between the price paid for advertising time or space and the size of the audience delivered. A comparison of media vehicles is usually necessary, using criteria such as cost per thousand (CPM), and cost per ratings point (CPRP) C. Blocking Chart—the blocking chart summarizes many of the media strategy and media tactics decisions made thus far, and includes extensive implementation details that guide the media buyers as they attempt to achieve the media objectives. IV BUDGET SETTING A. Theoretical approaches in budget setting—most of the models used to establish advertising budgets can be categorized as taking an advertising or sales response perspective. In this section we discuss some of these. 1. Marginal analysis—Figure 10-21 in the text illustrates the concept of marginal analysis. As the figure indicates, as advertising/promotional efforts increase, sales and gross margins will also increase to a point and then level off. In using marginal analysis, the firm would continue to spend promotional dollars so long as the marginal revenues created by these expenditures exceeded the incremental costs. When the dollar expenditures exceed the returns, the budget should be scaled back. In other words, the optimal budget would be at that point where marginal revenues are equal to marginal costs, or where mr = mc. While this economic model seems logical intuitively, in fact, there are two major weaknesses that limit its applicability: (1) The assumption that sales are a direct measure of advertising and promotions efforts, and (2) the assumption that sales are determined solely by advertising and promotions. 2. Sales response models—two budgeting models based on sales response are discussed in the text. The first of these—the concave-downward function—is based on the microeconomic theory of the law of diminishing returns. Essentially, the model states that as the amount of advertising expenditures increases, its incremental value decreases. The basic argument is that those most likely to buy the product are likely to do so as a result of the earliest exposures. Additional exposures are not likely to increase the probability of their purchasing, nor is it likely to have an effect on those who are undecided or unlikely to buy. Thus, the effects of advertising would rapidly diminish. The second model—the S-shaped response function—takes a very different approach. In this model, it is argued that initial outlays of promotional dollars will have very little impact on sales. As indicated in Figure 10-22, in Range B an impact will begin to be noticed, carrying through to Range C, where additional expenditures have again very little impact. This S-shaped curve suggests that there are incremental values to be accrued from additional dollar outlays, but only to a point. For example, it would be argued that a certain level of expenditures is necessary to make an impact. However, after a certain point (beginning of Range C) these dollars are unlikely to be of value. In addition to considering the theoretical aspects of budget setting, a number of other factors must be taken into consideration including: situational factors; customer factors; the competitive environment; etc. Figure 10-23 can be used to demonstrate this point quite effectively. B. Managerial Approaches in Budget Setting—the more traditional methods of setting budgets and the relative advantages and disadvantages of each are summarized. Both top-down and bottom up approaches are summarized. Top down approaches occur when the budget is established at the “top” by management and is passed down to the managers (e.g., affordable, arbitrary, percentage, competitive, ROI). Bottom-up approaches focus on establishing specific objectives and determining the budget based on the costs required to attain these goals (e.g., objective and task, payout). a. the affordable method—In this approach, the firm determines what level of advertising and promotions expenditures they feel that they can afford, and set this amount as the ad budget. b. arbitrary allocation—when budgets are set through arbitrary allocation, there is no real rhyme or reason for the amount established. Sad as this may seem, the truth is that for many firms this is the method employed. c. percentage of sales—perhaps the most commonly employed method of setting budgets in large firms is the percentage of sales method. As noted in the text, there are a number of variations on this method, as some firms use a flat percentage of sales figure, while others may assign a percentage of the product cost to advertising with the budget based on the number of units sold (see Figure 10-26). In addition, another variation stems from which year is considered the base year for sales. One approach uses past sales histories, while the second—a percentage of projected future sales—uses projected sales figures. Many firms employ both methods, with a projection used for planning, and the final budget adjusted according to actual sales. d. competitive parity—in this method, budgets are set by matching the percentage advertising/sales ratios of competitors. e. return on Investment (ROI)—while good in theory, the ROI method is rarely used. The basis of this approach is that advertising expenditures should be considered as an investment, returning sales as a result. Unfortunately, for many of the reasons cited in the text, the ability to demonstrate this relationship is very difficult. f. objective and task method—Figure 10-29 demonstrates the steps required in using the objective and task approach. As can be seen, the process involves establishing objectives, determining the specific tasks associated with attaining these objectives, and determining the costs associated with these tasks. Monitoring and re-evaluation of these steps is critical to the success of this method. g. payout planning—By projecting the revenues that a product is expected to return over a period of two to three years, the marketer can develop a payout plan. Based on this expected rate of return, the marketer can assist in the determination of the advertising expenditures necessary. An example of a payout plan is presented in Figure 10-31. V. IMC PLANNING: BUDGET ALLOCATION Budget allocation is determined by a number of factors. A. IMC Tools—direct marketing, the Internet and other promotional tools are also receiving increased allocation and requiring additional budget for marketing communications. Figure 10-31 summarizes a couple of examples. At this planning stage, managers are concerned with determining the relative emphasis across various media and IMC tools to maximize media and communication objectives and to the need to stay within the budget. B. Market share goals—increasing or maintaining market share will impact the allocation decision. Markets have varying sizes and potential and managers adjust their market share goals accordingly. A study by John Jones concluded that (1) new brands generally receive higher than average advertising support; (2) older, more mature brands are often “milked—that is, advertising expenditures are reduced; and (3) there is an advertising economy of scale operating. James Schroer’s approach (Figure 10-34) illustrates managerial options given a competitive and company situational analysis. Some practitioners believe that there are economies of scale that accrue to marketers holding large market shares, which allows them to spend less money due to their past successes. As noted in the text, there is little or no evidence to support this theory, and some studies show that an opposite effect may occur. C. Organizational Factors After reviewing the literature, Low and Mohr conclude that a number of organizational factors influence the budget allocation decision. These factors include: (1) the organization’s structure, (2) power and politics in the organizational hierarchy, (3) the use of expert opinions, (4) characteristics of the decision maker, (5) approval and negotiation channels, and (5) pressure on senior managers to arrive at an optimal budget. Teaching Suggestions Both the length and complexity of this chapter make it a difficult one for students to comprehend. The chapter contains a large number of terms, definitions, and formulas. Unfortunately, there is no way to ignore all of these, as they are critical to the students' learning of media planning and strategy, and are the "buzzwords" with which they will need to become familiar to participate in the advertising world, regardless of which side of the buying-selling process they may be on. One suggestion is to break the chapter into two lectures. In the first, the terms, formulas, etc., as well as an overview of the planning process can be discussed. The second lecture can be more specific, focusing on some of the objectives to be accomplished, discussing reach and frequency trade-offs, effective reach and issues of budgeting. Vignette 1. Do you agree with the placing of the three winners? This is an opinion question to get a discussion going to essentially assess in what way the media selections are innovative. A key point to raise is the interplay between creativity and media, and the fact that creativity can exist within the selection of the media chosen. 2. How do these examples influence our thoughts about IMC? Each of the winners demonstrates unique innovation in media such that one may wonder why or how they are in the media chapter. This is precisely the point of the question where design, technology and the ability to connect all facets of communication is opening the door for alternative views of what constitutes the delivery of a marketing communication message. In fact the alternate view of media raises the issue of whether the marketing communication message is in fact the same type of message historically viewed. In either respect, the examples are interesting and presumably interesting topcis for students to discuss. IMC Perspective 10-1 1. How could Nissan have leveraged the experiential component of the plan beyond obtaining press coverage? This question invites students to consider other IMC tools that can work with an original idea once it is fully established. Often in an IMC program a key lead tool or media, along with the creative element, is fully established and then related messages and exposures can take hold. Students might suggest placing the video imagery recorded of the car in public places with the screening on the walls of buildings. This would produce a similar feeling to having seen it live and certainly surprise people. Promotional activities might be possible in terms of product placement or promotional products for continued exposure. IMC Perspective 10-2 1. Which of these media executions appears to be the most innovative? The awards winners manage to find a good fit with their message, creativity and media selected. Media decisions in isolation cannot be considered effective as it is predicated on the target and what the brand is attempting to say to the target audience. Combined, the overall effect appears quite innovative in an area where it is difficult to innovate. Chapter 11 Broadcast media Chapter Overview The purpose of this chapter is to examine the broadcast media of television and radio. We examine the general characteristics of television and radio as well as their strengths and limitations as advertising media. Attention is given to how advertisers use TV and radio as part of their media strategy, how they buy television and radio time, how audiences are measured and evaluated for each medium, and how rates are determined. Recent developments in the area of audience measurement for television are examined. Learning Objectives 1. Describe the different types of television advertising, specialty television advertising, alternate time periods, program format, and measurement of television audiences. 2. Summarize the strengths and limitations of television TV as an advertising medium. 3. Describe different types of radio advertising, specialty television advertising, alternate time periods, program format, and measurement of radio audiences. 4. Summarize the strengths and limitations of radio as an advertising medium. 5. Apply the media knowledge of TV and radio for strategic IMC decisions. Chapter and Lecture Outline I. TELEVISION There are a number of options available to advertisers purchasing television time. The instructor should point out that the purchase of television advertising time is a very specialized part of the advertising business, particularly for large companies spending huge sums of money and advertising on a national or regional basis. The various considerations involved in the purchase of television time are examined. A. Types of Television Advertising—a basic consideration that faces all advertisers is the allocation of their television media budget among network versus local or spot announcements. It is important to cover each of the ways television time can be purchased including: 1. Network advertising—advertisers disseminate their messages by the purchase of airtime from a television network which assembles a series of affiliated stations or affiliates to which its supplies programming. Network advertising simplifies the purchasing process for advertisers who want to reach broad target audiences. Most prime-time commercial spots, particularly on the popular shows, are sold during the up-front market while time can also be bought during the scatter market that runs throughout the TV season. 2. Spot and local advertising—spot advertising refers to commercials shown on local television stations, with the negotiation and purchase of time being made directly from the individual stations. All non-network advertising done by a national advertiser is known as national spot, whereas airtime sold to local firms is known as local advertising. 3. Sponsorship—under a sponsorship arrangement, an advertiser assumes responsibility for the production and content of the program as well as the advertising that appears within it. B. Specialty Television Advertising 1. Cable and Satellite—Cable or CATV (community antenna television) is probably the most significant development in the broadcast media. Today cable penetration is about 66% of Canadian households. Programming reaches Canadian homes digitally through alternative direct broadcast satellite (DBS), and now digital cable. 2. Specialty Networks—have approximately 28% of the Canadian viewing audience. Specialty networks offer a lower cost, more flexible alternative to regular network and spot advertising and this makes them particularly attractive to smaller advertisers. C. Time Periods and Programs—another consideration in buying television time is the selection of the particular time period and program during which the commercial will be shown. Considerations here include the selection of a specific time period or daypart segment and audience size and demographic composition. Common television dayparts are shown in Figure 11-5. Dayparts are important to advertisers because they attract different demographic groups. D. Measuring the TV Audience An important considerations in using television advertising concerns the size and composition of the TV viewing audience. Audience measurement is critical to advertisers, networks and stations since they want to know the size and characteristics of the audience they are reaching when they buy time on a particular program. Audience size and composition are important to the network or station as these figures determine the amount they can charge for commercial viewing time. Programming decisions are made on the basis of audience size. Audience Measurement—the source of network TV and local audience information is the Bureau of Broadcast Measurement of Canada (BBM Canada). BBM Canada uses a diary research method for gathering audience information using standard marketing research practices to ensure valid and reliable information. BBM Canada has begun implementing people meters to measure national local audiences in major cities. This improved technology over the original people meter offers individual level data and Audience Measures 1. Program rating—the percentage of TV households in an area that are tuned to a specific program during a specific time period. A ratings point is a figure that represents 1 percent of the TV households in a particular market tuned to a specific program. 2. Share of audience—the percentage of households watching TV in a specified time period that is tuned to a specific program. Share figure are important because they reveal how well as program does with the available viewing audience. Total audience is the total number of homes viewing any five-minute part of a program. Audience Measurement Reporting BBM’s subsidiary offers numerous software applications for analyzing the data collected to understand audience composition for TV shows. The breakouts of the data include a wide variety of segmentation variables identified in Chapter 3. II. EVALUATON OF TELEVISION Television has virtually saturated households throughout the Canada and many other countries and has become a mainstay in the lives of most people. They rely on TV for news and information and it is their primary form of entertainment. The penetration and popularity of television make it the predominant form of mass media. It has often been noted that television represents the ideal advertising medium with its ability to combine visual images, sound, motion, and color. While television has numerous strengths, it also has limitations as an advertising medium. A. Strengths of Television 1. Creativity for cognitive and emotional responses—the interaction of sight and sound offers tremendous creative flexibility and makes possible dramatic, lifelike representations of products and services. 2. Target audience coverage—marketers selling products and services that appeal to broad target audiences find that TV lets them reach mass markets. 3. Cost efficiency—extensive coverage across markets permits markets to reach many thousands of millions of consumers with very little cost per person or cost per thousand. 4. Attention—television commercials are intrusive in that they impose themselves on consumers. Unless we make a special effort to avoid commercials, most of us are exposed to thousands of them each year. While some of the viewing audience may be lost during commercial breaks, many viewers are likely to pay some attention to commercials. 5. Scheduling flexibility—TV has often been criticized for being a nonselective medium, since it is difficult to reach a precisely defined market segment. However, some selectivity is possible due to variations in the composition of audiences as a result of scheduling flexibility through different programs and broadcast times. 6. Geographic coverage—scheduling flexibility gives rise for advertiser to cover more desirable geographic markets or more strongly emphasize some regions over others. 7. Reach—with nearly 100% penetration of televisions and virtually all Canadian reporting television consumption, advertisers have the opportunity to reach virtually everyone. 8. Frequency—advertisers can control the number of times consumers receive the message through proper scheduling and can optimize their frequency based on their market needs. 9. Media Image—advertising on television places a certain degree of legitimacy upon an advertiser due to the extensive absolute costs involved. B. Limitations of Television 1. Absolute cost—the absolute costs for commercial time can be very high, particularly on the major networks. Production costs for quality commercials can also be prohibitive. The production costs for a national brand commercial average more than $300,000 and can be much higher for more elaborate spots. 2. Target audience selectivity—advertisers who are seeking a very specisfic, often small, target audience find the coverage of TV extends beyond their market, reducing its cost efficiency particularly within a local market area. 3. Amount of processing time—most TV commercials are only 15 or 30 second spots and leave nothing tangible for the viewer to examine or consider. 4. Clutter—the problems of fleeting messages and shorter commercials are compounded by the fact that the advertiser’s message is only one of many spots and other non-programming material seen during a commercial break. 5. Viewer attention—the increased penetration of VCRs and prevalence of remote control channel changing or zapping is creating a major problem for advertisers. Studies have shown that nearly a third of a TV program’s viewing audience is lost during commercial breaks as they stop watching television or switch to another channel. 6. Involvement—the overall effect of the many characteristics of television implies that low involvement persuasion despite its significant invasiveness. 7 Media image—TV commercials are probably the most criticized form of advertising because of the intrusiveness of the medium. Studies have shown that of the various forms of advertising, distrust is generally the highest for TV commercials. III. RADIO The role of radio as an entertainment and advertising medium changed dramatically with the rapid growth in the popularity of television. Radio has evolved primarily into a local advertising medium characterized by highly specialized programming which appeals to very narrow segments of the population. Radio has survived and actually grown as an advertising media vehicle because it offers advertisers certain advantages. However, radio does have certain limitations that affect its role as an advertising medium. A. Types of Radio Advertising—purchase of radio time is similar to that of television in terms of purchasing options as advertisers can make either network, spot or local buys during various time periods or dayparts. Various options should be discussed including: 1. Network radio—a new option for Canadian advertisers who can now purchase advertising time on the CHUM and The Team radio networks. 2. Spot radio—national and local advertisers can use spot radio to purchase airtime on individual stations in various markets. B. Time classifications—the broadcast day for radio is divided into various time periods or dayparts. The size of the radio listening audience varies widely across the dayparts, and advertising rates follow accordingly. The largest audiences (and thus the highest rates) occur during the early morning and late afternoon weekday drive times. Various dayparts for radio are shown in Figure 11-14. C. Measuring the Radio Audience—BBM Canada provides information on radio listenership and this includes person estimates, rating and share including average quarter hour (AQH) figures and cumulative audience data (Cume). IV. EVALUATON OF RADIO A. Strengths of Radio 1. Cost efficiency and absolute cost—radio commercials are inexpensive to produce and the absolute and relative costs for radio advertising time is generally lower than for television. 2. Reach and frequency—cost implications suggest tremendous opportunity to build strong reach through placement across various radio formats and enhanced frequency. 3. Target audience selectivity—allows marketers to focus their advertising on specialized audiences such as certain demographic and lifestyle groups. For example, talk radio reaches the adult market effectively while top 40 music reaches teens and young adults. 4. Geographic coverage—advertisers often use radio stations and personalities to enhance their involvement with a local market and to gain influence with local retailers. Radio provides marketers with a variety of integrated marketing opportunities such as event marketing and point-of purchase promotions. 5. Scheduling flexibility—radio is probably the most flexible of all the advertising media because it has a very short closing period, which means advertisers can change their message almost up to the time it goes on the air. 6. Creativity for cognitive responses—verbal characteristics permit extensive rational messages or ads designed to communicate more factual information about a product. 7. Media image—consumers rely on radio for basis day-to-day media and good impressions about it are generally reported by market research. B. Limitations of Radio 1. Creativity for emotional responses—radio is an advertising medium without a visual image. The radio advertiser cannot show the product, demonstrate it, or use any type of visual appeal or information. However, there is potential for mental imagery. Creative radio ads encourage listeners to use their imagination when processing a commercial message. It can also reinforce TV messages through a process called image transfer where the visual elements of TV commercials are implanted in a radio spot. 2. Amount of processing time—similar to television, radio features very short messages. 3. Target audience coverage.—the percentage of the market tuned to any particular station is usually very small. 4. Attention—radio programming, particularly music, is often the background to some other activity and may not receive the listeners’ full attention. Many people who listen in their cars preprogram their radios and change stations during commercial breaks. Another factor that is detracting from radio listening in motor vehicles is the rapid growth of cellular telephones. Commuters who own a cell phone are talking on the phone more and listening to less radio. 5. Selective exposure—pre-programmed radios provide instant availability of other stations during ad breaks. Consumers have significant control to avoid ads. 6. Clutter—most radio stations carry an average of nearly 10 minutes of commercials every hour. During the popular morning and evening rush hours, the amount of commercial time may exceed 12 minutes. A new technology called Cash is making it possible for radio broadcasters to reduce the pauses between words of radio announcers and add more time for commercials. 7. Low involvement—like television, radio is often construed as a low involvement media. V. IMC PLANNING: STRATEGIC USE OF BROADCAST MEDIA A. Television—The points raised build on Figure 5-5 where each media plays a role in the consumer decision-making process and has particular communication objectives. While TV has specific strengths and limitations, how a promotional planner constructs the message in the media can help achieve varying degrees of the communication objectives options described in Chapter 5. B. Radio—The same argument if put forth for radio as seen above for TV. The key strengths of radio allow many different advertisers take advantage of this media for consumers at the purchase stage of their decision-making. Teaching Suggestions This chapter is designed to provide the student with a general understanding of the broadcast media of television and radio. Radio and television are probably the most pervasive media in the lives of most Canadian consumers. The instructor may want to direct the students’ attention to the statistics cited in the text regarding penetration of radio and television and the amount of time spent with these media. It is important for students to understand the general characteristics of television and radio including their specific strengths and limitations, the role they play as advertising media vehicles, how television and radio time is purchased and how audiences are measured and evaluated for each medium. Television is changing as an advertising medium as the growth of cable has led to a fragmentation of viewing audiences and the major networks are facing a decline in the size of the viewing audiences they attract. An interesting and informative website that you may want to visit is the Television Advertising Bureau which can be found at www.tvb.ca. The nature of television as an advertising medium has changed dramatically in recent years and will continue to do so with the evolution of the Internet. The trend toward shorter commercials and the resulting clutter problem, the growth of cable and concomitant decrease in network viewing audiences, and the increasing technological sophistication of video equipment, such as personal or digital video recorders are likely to have a profound impact on television as an advertising medium. Advertisers are increasingly calling for more precision in audience measurement such as measures of commercial viewing rather than simply program viewership. The instructor should encourage the student to explore these changes and consider their impact on advertising in terms of not only media planning, but also creative strategy and sales promotional programs. Radio has become a very viable media option for national as well as local advertisers. Examples of the creative and effective use of radio are readily available just by spending some time listening to the medium. Since students tend to be heavy listeners of radio, you might ask them to record some radio ads that could be discussed in class. The Radio Marketing Bureau has a very informative web site (www.rmb.ca ) which you may want to visit for some interesting material and information on the effective use of radio by various advertisers. There are several interesting developments in radio that should be discussed including the growing popularity of various formats such as talk radio and webcasts of radio stations. Radio is facing more competition from cable television as advertising rates on local cable stations are often comparable to radio and there is the added advantage of TV’s visual impact and creative options. Vignette 1. Is Sportsnet more attractive for advertisers with its changes? Many of the steps taken would be welcomed by advertisers especially the broadened media vehicle selection so that advertisers can increase their exposure levels with one supplier. Advertisers look for efficiency across its media partners and this should now be an opportunity with Sportsnet. Furthermore, with stronger buys, an advertiser might have greater say in its placement rotation. The branding aspect would help to attract stronger audience numbers so that the advertiser would get great efficiency in that regard as well. A stronger number two player in the sports domain might lower overall costs as TSN would move away further from its monopoly position. IMC Perspective 11-1 1. Explain why the selection of shows is so important to networks? Quality programming turns into stronger audience numbers so networks and all types of stations look to figure out which show coming out will resonate with audiences. Naturally, larger audiences translate into higher levels of advertising revenue since advertisers will want to spend to reach the bigger audiences. This idea is central for most advertising no matter what the media. In this respect, all media vehicles are distributors or sort or who take a margin and look for volume to achieve higher levels of overall profit. Instructors can use this example and contrast this with digital media to show that many established methods in existing media for the past 100 years are not being duplicated online. IMC Perspective 11-2 1. How is viewing a TV show on TV the same as or different from viewing it online at the broadcaster’s website? The actual selection of the show is somewhat different (adjusting the remote vs. finding the show on a website), however the viewing occurs similarly in the sense that marketing communication messages occur during the streaming. Of course we are talking about legal access to TV show content online that is on the broadcaster’s website (e.g., CTV, CBC). Another aspect is the control online, pausing and delaying the playing for a moment, however this is now possible with “live” TV with the latest technology. We are concerned with the actual viewing with this question, so issues of scheduling are not material, and the article shows that many viewers are watching approximately when the show originates on TV. Of interest would be whether consumers notice more or fewer ads with online TV and whether the placement timing during the show is a relevant factor. Additionally, it is very easy for viewers to look at another window, or tab, while watching a show online, but then on TV, we can easily change channels and have picture in picture to know when the show is back on. All in all, many of the experiences are quite consistent. Chapter 12 Print media Chapter Overview This chapter continues the analysis of the major mediums for advertising by examining the two primary types of print—magazines and newspapers. Magazines and newspapers are high-involvement media which allow the presentation of detailed information that can be processed at the reader’s own pace. The characteristics of each media are examined including the different types of magazines and newspapers and their strengths and limitations as advertising media. Attention is given to audience measurement for magazines and newspapers, their rate structures and the purchase of advertising space in each. The discussion of each media concludes with an application of magazines and newspapers for strategic IMC decision. Magazines have become a highly specialized medium that reaches specific target audiences in both the consumer and business markets. Newspapers are particularly important to local advertisers and retailers to encourage shoppers to visit their store locations and still represent a large portion of the total Canadian advertising expenditures. Advertising revenue is extremely important to magazines and newspapers as few could survive without it, however newspapers face a difficult situation of having lost significant classified advertising revenue to digital alternatives. Learning Objectives 1. Identify the different types of magazines available for advertising, how circulation and readership levels are determined, how audience size and its characteristics are measured, and the factors that influence advertising rates. 2. Evaluate the strengths and limitations of magazines as an advertising medium. 3. To identify the types of newspapers offered for advertising, how circulation and readership levels are determined, how audience size and its characteristics are measured, and how advertising rates are determined. 4. Evaluate the strengths and limitation of newspapers as an advertising medium. 5. Apply the media knowledge of magazines and newspapers for strategic IMC decisions. Chapter and Lecture Outline I. MAGAZINES Magazines serve the educational, informational, and entertainment needs and interests of a wide range of readers in both the consumer and business markets. While some magazines are general mass-appeal publications, most are targeted to very specific types of audiences in for many different markets. A. Classifications of Magazines—a useful way of classifying magazines is provided by Canadian Advertising Rates and Data (CARD) which divides the publications into three broad categories based on the audience to which they are directed. 1. Consumer magazines—those that are bought by the general public for information and/or entertainment. CARD divides domestic consumer magazines into numerous classifications, among them general interest, sports, travel, and women’s. Consumer magazines represent the major portion of the magazine industry in terms of advertising revenue. 2. Ethnic Publications—growth of languages spoken in Canada has spurred many publications in a variety of dialects. Some of these publications are large and earn reasonable advertising revenue; however, many are early in their development and offer limited options to communicate with less overall quality. 3 Farm publications—the second major CARD category consists of magazines direct to farmers. There are approximately 80 publications targeted to nearly every possible type of farming or agricultural interest. 4. Business publications—these are magazines or trade journals that are published for specific businesses, industries, or occupations. CARD’s major categories of business publications include those directed to specific professional groups, industrial magazines directed to various manufacturing and production industries, trade magazines, and general-business publications. 5. Foreign publications—magazines from other countries, notably the USA, provide competition for domestic publications but allow advertisers an alternative vehicle to reach Canadians through specialized editions. Moreover, brands with North American mandates reach Canadians through the same ads in the original publication. B. Magazine Circulation and Readership—two of the most important considerations in deciding whether to utilize a magazine in the media plan are the size and characteristics of the audience reached by the publication. Important considerations include the circulation of the publication as well as its total readership. 1. Circulation—circulation figures represent the number of individuals who receive a publication, either through subscription, store purchase or controlled circulation. The number of copies distributed to original subscribers or purchasers is known as primary circulation and is used as the basis for the magazine’s rate structure. Many publications base their rates on guaranteed circulation and provide rebates if the number of delivered magazines fall below the guarantee. Circulation verification services are provided by several companies to ensure circulation figures for magazines are accurate. Most major publications are audited by the Alliance for Audited Media (AAM). 2. Readership—in addition to primary circulation figures, advertisers may be interested in the number of people that a publication reaches as a result of secondary or pass-along readership. Total audience or readership of a magazine can be determined by taking the readers per copy and multiplying this figure by the circulation of an average issue. C. Magazine Audience Measurement-PMB—media planners are interested in the match between a magazine’s readers and the advertiser’s target audience. Information on readers’ demographic, lifestyle and product usage characteristics are available from studies conducted by the magazines themselves as well as from syndicated research studies. The primary Canadian source of information concerning magazine audiences is the Print Measurement Bureau (PMB). It measures readership, consumption of other media, shopping behaviour and product usage. D. Magazine Advertising Rates—while magazine rates are primarily a function of the circulation of the publication, rates will vary in response to a number of other variables including size of the ad, position, number of colours, particular editions chosen (geographic, demographic), any special mechanical or production requirements, the number and frequency of insertions and whether the circulation is controlled (free) or paid. Advertising space is generally sold on the basis of space units such as full page, half page and quarter page. Ads can be produced in black and white, black and white plus one colour or four colours. II. EVALUATION OF MAGAZINES A. Strengths of Magazines 1. Target audience selectivity—magazines are the most selective of all media except direct mail. Most magazines are published for special interest groups, activities, or obvious segments that marketers use such as demographics. 2. Geographic coverage—national, regional and city coverage is possible with appropriate use of some magazine titles. 3. Creativity for emotional and cognitive responses—magazines are generally printed on high-quality paper stock and use printing processes that provide excellent reproduction in black and white or colour. These production qualities offer tremendous opportunity for advertisers to effectively portray their product. Some magazines offer a variety of special options that can enhance the creative appeal of the ad and increase attention and readership. Examples include gatefolds, bleed pages, inserts, pop-ups, and creative space buys. 4. Reader involvement and amount of processing time—magazines are often kept for reference and/or read over several days. One benefit of the longer life of magazines is that reading occurs at a less hurried pace and there is more opportunity to examine ads in considerable detail thereby increasing the amount of processing time compared to broadcast media. 5. Media image—companies whose products rely heavily on perceived quality, reputation, and/or image often buy space in prestigious publications with high-quality editorial content whose consumers have a high level of interest in the advertising pages. 6. Selective exposure and attention—magazines are generally purchased because the information they contain interests the reader, and ads provide additional information that may be of value in making a purchase decision. Consumers consider magazines to be the primary source of information for a variety of products and services. B. Limitations of Magazines 1. Absolute cost and cost efficiency—the absolute cost of advertising in large mass-circulation magazines like MacLean's can be very expensive, particularly for popular positions such as back covers. 2. Reach and frequency—the percentage of adults reading any individual publication tends to be much smaller, so magazines have a thin penetration of households. Thus, companies who want to reach mass markets have to buy space in a number of magazines. 3. Scheduling Flexibility—most major publications have a 30- to a 90-day lead time, which means space must be purchased and the ad must be prepared well in advance of the actual publication date. 4. Target audience coverage—magazines typically do not very high circulation rates so even the best of magazines can only reach a smaller portion of its target audience relative to other media, and especially the main other print media, newspaper. 5. Clutter—this is something of a paradox for magazines. The more successful a magazine becomes, the more advertising pages it attracts, which leads to greater clutter. III NEWSPAPERS Newspapers are the second major form of print media and represent the largest of all advertising media in terms of total advertising volume. Newspapers are an especially important advertising medium to local advertisers such as retailers. However newspapers can also be a valuable medium to national advertisers as well. A. Types of Newspapers—the vast majority of newspapers are daily publications serving a local community. However, there are other types of newspapers that have special characteristics that make them valuable to advertisers. Classifications of newspapers include: 1. Daily newspapers—published each weekday and found in larger cities and towns across the country. In 2000, there were 134 daily newspapers in Canada and these were read by approximately 50% of adults each weekday and 80% each week. 2. Community newspapers—most community newspapers originate in small towns or suburbs where the volume of news and advertising is not adequate to support a daily paper. They appeal primarily to local advertisers in the community because of their limited geographic focus. 3. National newspapers—national newspapers in Canada include The National Post and The Globe and Mail. They appeal primarily to national advertisers and to regional advertisers that use specific geographic editions of these papers. 4. Internet newspapers—many of the above newspapers offer on-line versions of their newspapers and are experimenting with varying advertising approaches. 5. Special-audience newspapers—there are a variety of papers that offer specialized editorial content and are published for specific groups. Marketing Magazine is an example of a special audience newspaper as are college newspapers. 6. Newspaper supplements—although not a category of newspapers per se, many papers include magazine type supplements. An example is The Globe and Mail’s Report on Business which is published monthly. B. Types of Newspaper Advertising—advertising in newspapers has categories including: 1. Display advertising—display ads are found throughout the paper and generally use illustrations, headlines, white space and other visuals in addition to copy text. Display ads account for approximately 70 percent of the advertising revenue of the average newspaper. Display ads can be further classified as local or national/general advertising. Local advertising refers to ads placed by local advertisers targeted to the market area served by the newspaper. National or general advertising refers to newspaper display advertising done by marketers of branded products sold which are sold on a national or regional level. 2. Classified advertising—classified ads are those arranged under subheads according to the product, service, or offering being advertised and run in the classified section of the newspaper. Major categories include employment, real estate, and automotive. 3. Special ads and—special ads in newspapers include a variety of government and financial reports and notices and public notices. Preprinted inserts do not appear in the paper itself but are printed by the advertiser and then distributed with the newspaper. These include circulars, catalogs, brochures and free standing inserts (FSIs) which are popular for distributing coupons. 4. Inserts C. Newspaper Circulation and Readership—media planners must understand the size and characteristics of the audience reached by a newspaper 1. Circulation and Readership – the basic source of audience information comes from the circulation figures in CARD. The Alliance for Audited Media (AAM) verifies circulation figures for newspapers as shown in the magazine section. The Canadian Community Newspapers Association (CCNA). 2. Readership –Data on newspaper audience size and readership characteristics is available from NADbank. D. Daily Newspaper Audience Measurement—media planners must understand the size and characteristics of the audience reached by a newspaper 1. Newspaper Audience Measurement – NADbank specifically measures readership of local and national newspapers. Its measurements include time spent reading, frequency of reading, method of newspaper receipt as well as product usage and usage habits for other media. Their study indicates that adults spend an average of 48 minutes per weekday and over 90 minutes on the weekend reading newspapers. 2. Newspaper Audience Measurement – ComBase administers the audience measurement for CCNA. ComBase is also the name of the study. ComBase is an organization with a composition and mandate similar to that of NADbank. The independent board features newspapers, advertisers, and advertising agencies. Its mandate is to publish audience research information of the community newspapers throughout Canada to allow them to sell their advertising space more effectively. E. Newspaper Advertising Rates—advertising space in newspapers is sold by the agate line and column width. Most newspapers offer volume discounts (e.g., open-rate structure). There are additional charges for the use of colour and for preferred page and section positions. IV. EVALUATION OF NEWSPAPERS A. Strengths of Newspapers 1. Reach and frequency—in most areas, 60 percent or more of households read a daily newspaper, and the reach figure may exceed 70 percent among household with higher incomes and education levels. 2. Scheduling flexibility—newspapers are flexible in terms of requirement for producing and running the ads and from the creative options they make available to advertisers. 3. Geographic coverage—advertisers can vary their coverage by choosing a paper or combination of papers that reaches the areas with the greatest sales potential. Most major newspapers offer advertisers various geographic or zone editions within their market. 4. Reader involvement and amount of processing time—an important feature of newspapers is consumers’ level of acceptance and involvement with the paper, including the ads it contains. Consumers are generally very familiar with the various sections of the newspaper and knowledgeable about the types of ads they contain. 5. Media Image—consumers rely on newspapers as a trusted source of information and therefore carry a significant source effect as a legitimate media. 6. Creativity for cognitive responses—extensive long-copy appeals are possible for make for more thoughtful and elaborate processing of informational messages. 7. Absolute cost and cost efficiency—newspapers allow large and small advertisers to find the most appropriate sized ad to fit their overall advertising budget. 8. Target audience coverage—the general nature of newspapers permits extensive coverage of its target audience, especially with such a high readership. The resulting weaker selectivity can be offset with placement in appropriate sections. B. Limitations of Newspapers 1. Creativity for emotional responses—the course paper used for newspapers, the absence of extensive colour, and the lack of time papers have available to achieve high-quality reproduction limits the quality of most newspaper ads. 2. Selective exposure and attention—because a newspaper is generally kept for less than a day, an ad is unlikely to have any impact beyond the day of publication and repeat exposure is unlikely. 2. Target audience selectivity—while newspapers can offer advertisers geographic selectivity, they are not a selective medium in terms of demographics or lifestyle characteristics. The only exception to this is the various sections that are available in most newspapers. 4. Clutter—because a high percentage of the average Canadian daily newspaper is devoted to advertising, the advertiser’s message must compete with numerous other ads for consumers’ attention and interest. V IMC PLANNING: STRATEGIC USE OF PRINT MEDIA A. Magazines—The points raised build on Figure 5-5 where each media plays a role in the consumer decision-making process and has particular communication objectives. While magazines have specific strengths and limitations, how a promotional planner constructs the message in the media can help achieve varying degrees of the communication objectives options described in Chapter 5. B. Newspaper—The same argument if put forth for newspaper as seen above for magazines. The key strengths of newspaper allow many different advertisers take advantage of this media for consumers at the purchase stage of their decision-making. Teaching Suggestions This chapter is designed to provide the student with a general understanding of the two major types of print media, magazines and newspapers. As with television and radio, it is important for students to understand the general characteristics of magazines and newspapers including the different types or classifications of each medium, their specific strengths and limitations as advertising media, how readership is measured, and how rates are determined and advertising space is purchased. The instructor should call students’ attention to the wide variety of magazines available and their ability to reach nearly every consumer interest, lifestyle, and activity as well as most businesses. You might ask your students if there is any segment of the consumer or business market that does not have one or more magazines targeted towards it. One interesting point of discussion is whether there are too many magazines on the market and whether it is possible for the highly specialized publications to survive. Students might also be asked to find and discuss examples of magazines that are using selective binding and inkjet imaging to target and personalize ads. A very interesting web site that you may want to visit for some interesting information on Canadian magazines is Magazines Canada at www.cmpa.ca. With regard to newspapers, it is important to stress their importance as an advertising medium for local advertisers and also to discuss how national advertisers might be encouraged to allocate more of their budgets to newspapers. You might ask students how many of them read a newspaper on a daily basis and what particular sections they read. It is likely that many of them do not read a newspaper regularly, however people are gravitating to reading newspapers online and potentially young adults are doing adopting readership there. The implications of this for advertisers can be discussed. Vignette 1. Why are these print media firms diverging into other types of media? Newspapers have been decimated with less ad revenue; collectively losing $600 million from classifieds, which is pretty much exactly the level of online classified advertising. Looking to other avenues, especially the distribution of the regular newspaper to online channels is a logical step for Torstar and is in a direction that may be profitable. Vice has always been an innovator and a leader in media right from its first magazine issue so its iconic leaders are expected to go in a direction that is new and potentially profitable. With a blurring of content and advertising, Vice’s direction is an interesting move for further discussion. IMC Perspective 12-1 1. How is the experience of reading a print magazine similar or different from reading the same title online? This question continues a line of similar questions in other perspectives to generate discussion about how the processing and communication effects may be similar or dis-similar with new media. It also raises the idea of whether an online version of a magazine is really a magazine. In fact, it is a website with a magazine brand name! The interaction is much different even though the content maybe identical. Moreover, the placement and type of ads are somewhat the same, but considerably different as well. All of this suggests that the discussion of media experience is one that students should be exposed towards. IMC Perspective 12-2 1. Why are newspapers a stronger or weaker alternative as an advertising medium compared to online blogs? The perspective outlines the key advantage of newspapers over blogs in that there is reliable and credible authenticity of the information content due to the existence of its history of journalism and of an editorial board that questions and reviews the journalists work. In fact, the article highlights the importance of newspapers as a resource for bloggers. While there are no doubt some credible bloggers, the view that all bloggers are superior or overtaking newspapers is not a view shared by all. In essence, this perspectives calls into question the editorial content in which an advertiser would want to be associated with and suggests that newspapers retain their credibility still. Chapter 13 Out-of-home and support media Chapter Overview In addition to the broadcast and print mediums discussed in the two previous chapters, marketers have a variety of alternatives from which to choose. In addition to the familiar outdoor ads and transit ads, a number of new out-of-home media appear in a many places and point-of-purchase locations. Out-of-home media are assuming an increasing role in the media mix as a primary media and as a support media. Moreover, other forms of support media are gaining prominence. The purpose of this chapter is to explore out-of-home and support media, and to discuss their strengths and limitations. Learning Objectives 1. Identify the options within out-of-home for developing an IMC program and for audience measurement, and their strengths and limitations. 2. Apply the concepts of out-of-home media to promotional products and product placement to construct support programs within an IMC plan. 3. Show how out-of-home media and support media are important elements of IMC planning. Chapter and Lecture Outline I OUTDOOR MEDIA A. Outdoor Media Options—outdoor media are available in a wide variety of formats including posters, backlit posters, bulletins, superboards, spectaculars, street-level posters and transit shelter posters, mobile signage. All of these options feature creative opportunities as advertisers look to make a unique public impression to large audience passing by these media on a regular basis. Most options are sold by a few media companies as there is concentration in this industry much like others. B. Audience Measurement for Outdoor Media—Reach and frequency are measured by the Canadian Outdoor Measurement Bureau (COMB). Their methodology involves using traffic circulation data from municipalities and analyzing this data with respect to the average number of people in the vehicle and the origin of the vehicle within the CMA. COMB measurement results can be used to estimate reach and frequency levels for individual outdoor advertising campaigns. The Outdoor Marketing Association of Canada (OMAC) is an industry group designed to foster the growth of outdoor media. To facilitate this, they commission research, Day in the Life, that demonstrates the effectiveness of outdoor media by understanding their consumption habits. Instructors should provide commentary on the sophistication of the research methodology for both organizations and indicate the strength of the reliability and validity of the audience data. It is easy to be skeptical regarding the quality of this data, but these organizations represent world-class standing on the confidence advertisers can have when purchasing media from these sources. C. Strengths of outdoor media • reach • frequency • geographic coverage • creativity for emotional responses • cost efficiency • scheduling flexibility • selective exposure • attention D. Limitations of outdoor media • target audience coverage • amount of processing time • creativity for cognitive responses • absolute cost • media image • target audience selectivity • clutter • low involvement II. TRANSIT ADVERTISING A. Transit Media Options—another form of out-of-home advertising is transit advertising. While similar to outdoor in the sense that signs and electronic billboards are often employed, transit differs in that these ads are oriented around transportation. Buses, taxis, commuter trains, airplanes, and subways are some of the transit forms employed. Four types of transit advertising are most commonly employed: • interior transit cards are placed in backlit units above the seating area in buses, streetcars and subway cars. • interior door cards are placed on both sides of the doors of subway and commuter train cars. • exterior posters are placed on the on the sides and backs of buses. • station posters are found in places where people wait for public transportation and include bus shelters. Travel between cities offers additional exposure avenues for advertising messages. Video and audio ads can be placed in airplanes along with additional collateral material. B. Strengths of transit media • amount of processing time • reach • frequency • geographic coverage • absolute cost and cost efficiency • selective exposure • scheduling flexibility C. Limitations of transit media • media image • target audience selectivity • target audience coverage • creativity for emotional and cognitive responses • clutter • attention • involvement III. PLACE-BASED MEDIA A. Place-Based Media Options—place-based media bring the message to the audience. They include mall posters and advertising placements in convention centres, movie theatres, hotels, sports venues and school campuses. B. Strengths of Place-Based Media • target audience selectivity • absolute cost and cost efficiency • creativity for processing responses • control for selective exposure • attention and involvement C. Limitations of Place-Based Media • media image • clutter • reach and frequency • target audience and geographic coverage • amount of processing time • scheduling flexibility IV PROMOTIONAL PRODUCTS The Promotional Products Association International (PPAI) defines promotional products marketing as “the advertising or promotional medium or method that uses promotional products such as ad specialties, premiums, business gifts, awards, prizes or commemoratives”. A. Strengths of promotional products • target audience selectivity and coverage • creativity for cognitive responses • frequency • absolute cost and cost efficiency • creativity for emotional responses • attention, involvement, and amount of processing time B. Limitations of promotional products • media image • clutter • scheduling flexibility • reach • geographic coverage • selective exposure C. Promotional Products Research Because of the unique nature of the ‘medium’, there is no established audience measurement system for it. Various studies have shown that the use of advertising specialties can dramatically improve brand recall and response to direct mail offers. V PRODUCT PLACEMENT In increasing numbers, marketers are paying to have their products used in movies, television shows and music videos. In many instances such product placements have resulted in significant sales increases. A. Product Placement Decisions—the source in which the product is place is critical since the plot, actors or other characteristics of the entertainment vehicle can be associated effectively with the brand. Issues of the amount of time and the number of different vehicles are also highlighted as important. B. Strengths of Product Placement • reach • frequency • creativity for emotional responses • cost efficiency • geographic coverage • selective exposure • clutter • involvement C. Limitations of Product Placement • absolute cost • amount of processing time and attention • creativity for cognitive responses • scheduling flexibility • media image • target audience selectivity • target audience coverage D. Audience Measurement While no formal audience measurement organizations exist, some studies have shown that product placement generates relatively high recall and that it can add an aura of glamour to products associated with celebrities. VI. IMC PLANNING: STRATEGIC USE OF OUT_OF_HOME & SUPPORT MEDIA A. Out-of-Home—The points raised build on Figure 5-5 where each media plays a role in the consumer decision-making process and has particular communication objectives. Out-of-home’s strengths suggest its ability for enhance awareness. Place-based media is often used for purchase intention objectives due to the time and location characteristics. B. Support—The points raised build on Figure 5-5 where each media plays a role in the consumer decision-making process and has particular communication objectives. Promotional products and product placement offer good awareness and brand-building characteristics due their disperse and narrow availability and their ability to fit into the message context successfully. Teaching Suggestions Coverage of the characteristics of the media presented in this chapter can lead to interesting exchanges. As indicated, discussions of product placements, advertising in the movies, and new places where ads are appearing generally get students involved, and may lead to heated discussions. Students may be encouraged to engage in a debate over the merits and/or ethics of some of these advertising forms. Our lectures generally follow the outline set forth in the text. We discuss the characteristics of the various media, the strengths and limitations, and some of the sources of information that are available. We then tie these materials back to the media strategy chapter and the communications models chapter to demonstrate how and when such media might be employed. Vignette 1. Why are advertisers turning to experiential messages? Advertisers always look for new avenues to deliver their messages and gravitate to popular changes that competitors may be using. Another reason is that the experiential component often offers an opportunity for personal selling to occur as staff is usually at the location. Many of these experiential messages are designed for consumers further along in their decision-making so that seeing, using, and communicating about the brand becomes paramount. IMC Technology Perspective 13-1 1. Which of these ideas appears to be the most creative use of new technology? These out-of-home technological messages offer ideas for students so that they can always be thinking creatively no matter what the brand or product is. Furthermore, it is possible to do successful marketing communication without spending considerable amounts in regular media as these exmaples suggest. Of course, in a couple of the instances other advertising existed, so these examples also review the point of outdoor advertising being appropriate as a support media. As for the most creative, the question invites a friendly debate that allows instructors to encourage students to put forth their idea. Instructors can use the material to show the link between creative strategy and tactics decisions and the media implementation. IMC Perspective 13-2 1. In what way do you think product placement is effective? Clearly product placement delivers on exposure as the brand is presented visually or verbally, and presumably given the non-commercial exposure, the processing of the brand occurs with a strong probability beginning with attention. Whether extensive cognitive or emotional responses occur depends on the amount of exposure time and the content of the brand presentation. This is one variable that decision makers certainly try to influence with the producers and directors of the show/movie. This exposure and processing presumably leads some enhanced awareness with additional frequency and the context could help build stronger retention. A strong brand effect in terms of attitude is expected from the presentation context. Certainly some brands experience publicity with news reporting on the usage of such devices in the shows and word of mouth can be enhanced as w well. As this suggests, the communication of a brand through placement is quite positive if the audience does not perceive it as an intrusion or too gratuitous. Instructor Manual for Advertising and Promotion: An Integrated Marketing Communications Perspective George E. Belch, Michael A. Belch, Michael A. Guolla 9780070891302