Chapter 1

Report
Introduction to Advertising & IMC
Defining Advertising
• Paid Communication
• Informs, persuades or reminds
• Mass Audience Target
• Media-driven
Basic Elements of the Promotional Mix
Personal
Advertising
Selling
Direct Marketing
Interactive/
Internet Marketing
Sales Promotion
Publicity/Public
Relations
Advertising
Defining Advertising
THE
BRIGHT SIDE
“The lifeblood of our business.” - P&G executive
“Sometimes entertaining stuff that makes tv free.”
- anonymous consumer
“A driving force behind the American economy.” Adam Smith, Distinguished Economist
Defining Advertising
THE
DARK SIDE
“A shot in the dark. A necessary evil.” anonymous executive
“An annoying interruption to my favorite tv show
that makes my Big Mac more expensive.” anonymous consumer
“…gets on everybody’s nerves… intrudes
everywhere… and gets at you when you least expect
or want it.” - Theodore Levitt, Marketing Academic
The Growth of Advertising and Promotion
Expenditure in Billions of Dollars
Advertising Outside
U.S.
U.S. Sales
Promotion
U.S. Advertising
$0
$100
$200
$300
$400
Traditional Approach to Marketing
Communications
Point of
purchase
Special
events
Publicity
Media
Advertising
Public
relations
Direct
marketing
Sales
promotion
Packaging
Direct
response
Interactive
marketing
Contemporary IMC Approach
Packaging
Sales
promotion
Point of
purchase
Publicity
Interactive
marketing
Media
Advertising
Direct
marketing
Direct
response
Public
relations
Special
events
Defining IMC
IMC is a strategic business
process used to plan, develop,
execute and evaluate coordinated,
measurable, persuasive brand
communication programs with
consumers, customers, prospects
employees and other relevant
external and internal audiences.
Reasons for the Growing Importance of IMC
From
Toward
Media advertising
Multiple forms of communication
Mass media
Specialized media
Manufacturer dominance
Retailer dominance
Concept
Driven Appeals
General focus
Data-driven
Data-based marketing
Low agency accountability
Greater agency accountability
Traditional compensation
Performance-based compensation
Limited Internet availability
Widespread Internet availability
IMC Audience Contact Tools
Broadcast
media
(TV/radio)
Print media
(newspapers,
magazines)
Public
Relations/
publicity
Out-of-home
media
Internet/
interactive
Direct
marketing
Target Audience
Personal
selling
Point-ofpurchase
(displays,
packaging)
Sales
Promotion
Word-ofmouth
Events and
sponsorship
Product
placements
(TV and movies)

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