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Special Advertising SituationsSpecial Advertising Situations

Chapter 18

Chapter OutlineChapter Outline

I. Chapter Key PointsII. Retail AdvertisingIII. Business-to-Business AdvertisingIV. Nonprofit or Social MarketingV. International Advertising and

Marketing Communication

Key PointsKey Points

• Discuss retail advertising and what makes it distinctive

• Explain the basics of B2B advertising• Identify the basic goals and operations of

nonprofit and social marketing• Describe the strategic decisions behind

international advertising and IMC

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Retail AdvertisingRetail Advertising

• Retail marketing is about selling and shopping

• Occurs on local, national, and international levels

• Accounts for nearly half of all advertising dollars

Tracking the Best in B2B Tracking the Best in B2B

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Retail Retail Advertising Advertising ObjectivesObjectives

Figure 18.1

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Retail Advertising StrategiesRetail Advertising Strategies

• Differences between retail and brand advertising

• Cooperative advertising

• Institutional and product retail advertising

Creating the Retail AdCreating the Retail Ad

• Personnel• Location• Pricing policy• Products• History• Social responsibility

issues• Image

The Media of Retail The Media of Retail AdvertisingAdvertising

• Local retailers prefer reach over frequency

• Newspapers and direct mail largest local retail advertising media– Shoppers– Preprints

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The Home Depot:The Home Depot:Preprints InPreprints In--Store and On LineStore and On Line

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BusinessBusiness--toto--Business Business

AdvertisingAdvertising

Figure 18.2 – Types of Business Markets

Industrial AdvertisingIndustrial Advertising

• Directed at original equipment manufacturers

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Government AdvertisingGovernment Advertising

• Largest purchaser of industrial goods

• Such goods may be advertised in government-targeted publications

Trade/Channel AdvertisingTrade/Channel Advertising

• Used to persuade distribution channel members to stock the products of the manufacturer

Professional AdvertisingProfessional Advertising

• Directed at mostly white-collar workers or advertising/ marketing specialists

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Agricultural AdvertisingAgricultural Advertising

• Promotes a variety of products and services– Animal health

products– Seeds– Machinery and

equipment– Crop dusting– Fertilizer

AgriMarketingAgriMarketing::The Global Hub for AgribusinessThe Global Hub for Agribusiness

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BusinessBusiness--toto--Business Buying Business Buying BehaviorBehavior

• Purchasing objectives– Price– Service– Quality– Assurance of supply

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Creating B2B Creating B2B AdvertisingAdvertising

Figure 18.3

B2B Advertising MediaB2B Advertising Media

• General business and trade publications

• Directory advertising• Consumer media• The Web• Direct marketing

Nonprofit or Social MarketingNonprofit or Social Marketing

• The use of marketing programs and marketing communication tools for the good of society

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Cause/Mission MarketingCause/Mission Marketing

• Adopting a good cause and sponsoring community and fund-raising efforts

• Links a company’s mission and core values to a cause

Nonprofit MarketingNonprofit Marketing

• Fund-raising• Public

communication campaigns

Fighting Teen Drug Use Through Fighting Teen Drug Use Through Advertising and Public RelationsAdvertising and Public Relations

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International Advertising and International Advertising and Marketing CommunicationMarketing Communication

• Exporting• Internationalization• Globalization

Video Snippet

How to develop a global brand

The Global vs. Local DebateThe Global vs. Local Debate

• Standardization• Localization• Combination

Figure 18.4 – The Adaptability Continuum

Planning Global Marketing Planning Global Marketing Communication ProgramsCommunication Programs

• Market-orientation model

• Culture-orientation approach

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Control v. AdaptationControl v. Adaptation

• Local initiative• Centrally conceived

campaigns• Variations on central

campaigns• Bottom-up creativity

Planning a Global StrategyPlanning a Global Strategy

• Global advertising objectives• Targeting issues• Positioning the global brand• Setting the budget• Executing the international campaign• Organizing for the international

campaign

Global IMC Global IMC Planning Planning

WorksheetWorksheet

Figure 18.6

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Starbucks: Globalization Through Starbucks: Globalization Through LocalizationLocalization

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Discussion QuestionsDiscussion Questions

Discussion Question 1Discussion Question 1

• Choose a restaurant in your community.– What types of people does it target? – Would you recommend that its advertising

focus on price or image? – What is (or should be) its image? – Which media should it use?

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Discussion Question 2Discussion Question 2• Tom and Wendi have just purchased a sandwich

shop. They found a good lease in a neighborhood shopping center, but the costs of franchising, leasing, and other charges have left them very little for advertising.

• With limited funds, Tom and Wendi can afford only one of the following options: – a Yellow Pages display ad,– a series of advertisements in the area’s weekly

“shopper” newspaper, or– advertising in the area’s college newspaper (the

campus is six blocks from the store)• Which of these media will best help Tom and

Wendi get the awareness they need?

Discussion Question 3Discussion Question 3

• Select a print retail advertisement. Think about how this ad could be converted into a television commercial.

• Give examples of when and on what channel this broadcast ad would be aired.

• Support your recommendations with an explanation.

Discussion Question 4Discussion Question 4

• You work for a large chain of local sporting goods stores that would like to focus all of its local philanthropic activities in one area.

• You believe the company could benefit from a mission-marketing program.

• Develop a proposal for the marketing VP that explains mission marketing and present an example of a mission-marketing project that might work for the company.

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Discussion Question 5Discussion Question 5

• Biogen Corporation’s mission is to become a leading company in genetic research and development for health industries.

• Privately held at the time of incorporation, it decided to go public and have its stock traded. – How would corporate advertising assist Biogen in its

mission? – What audience targets should be priorities for its

communication programs?– Should it develop more than one campaign?

Discussion Question 6Discussion Question 6• Although personal selling is a vital marketing

tool for business-to-business companies, advertising also has a significant role.– What if a limited budget means expanding one at the

sacrifice of the other? • Suppose you were making a decision for a

company that is beginning a marketing effort for a new set of products; you’ll need approximately six new salespeople.– If an advertising campaign to introduce the firm

would mean hiring four salespeople instead of six, is the advertising worth it?

• Explain the strengths and weaknesses of this idea.

Discussion Question 7Discussion Question 7• Dean Bennett has gotten a new assignment for

an upscale pen made in Switzerland under the brand name of Pinnacle.

• Its primary advantage is that it has an extremely long-lasting cartridge, one that is guaranteed to last for at least five years. The pen is available in a variety of forms—roller ball, felt tip—and a variety of widths from fine to wide stroke.

• Use the adaptability continuum to analyze the globalization or localization options for launching this pen first in Europe and then globally including North America and Asia.– What would your recommendation be on

standardizing the advertising?

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Discussion Question 8Discussion Question 8

• Define the difference between a high-context and a low-context culture, and illustrate the difference by finding two ads that you think effectively demonstrate these two message strategies.

• Explain how they work.