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Week 17 promotion in retailing 1 2010
- 1. Retail: Theory & Practice Retail promotion 1
- 11. Models of advertising process Note: DAGMAR = Defining Advertising Goals for Measuring Advertising Results, and splits the process down to the steps listed above AIDA DAGMAR HIERARCHY OF EFFECTS ATR Attention Awareness Awareness Awareness Interest Comprehension Knowledge Trial Desire Conviction Liking Repeat buying Action Action Preference Conviction Purchase
- 13. Effectiveness of promotional mix in influencing different stages of the buying decision process Awareness Liking, preference Conviction Action Advertising high mod low low PR mod low - - Sales promotion low low low Mod/high Personal selling Very low Mod/high high high
- 15. Retail advertising expenditure by store type (Source: Retail Pocket Book 2002) 2000 (£000’s) 2001 (£000’s) Supermarket 111 448 111 973 Furniture/furnishings 110 141 109 444 Electrical 85 253 59 529 Telecom 75 205 55 478 DIY 69 910 47 394 Department store 55 022 72 989
- 16. Retail advertising expenditure selected stores (source: McGoldrick 2002) RETAILER 1996 (£000’s ) 2000 (£000’s ) Sainsbury’s 20 669 33 293 B & Q 12 073 29 374 PC World 15 850 27 860 Currys 24 073 27 239 DFS 14 666 26 279 Homebase 6 100 25 074 Tesco 15 006 19 532 Asda 14 253 17 787
- 17. Retail advertising to sales ratios RETAILER 1986 (%) 2000 (%) Asda 0.51 0.21 Boots 0.50 0.31 B & Q 2.16 1.31 M & S - 0.07 Sainsbury’s 0.20 0.25 Tesco 0.29 0.11
Hinweis der Redaktion
- Each performs a different function, but for best results the different elements of the promotions mix need to be combined appropriately to achieve the promotional objectives.
- For content & message. In order to provide a framework for the creation of retail advertising, Kapferer presented the concept of an identity prism
- The basis for most advertising is that behaviour can be affected if the potential customer is presented with information on the existence of a product. Each model above is based on an understanding of the buying behaviour of consumers and how advertising may affect this. The first 3 models assumes the customer moves in order along a scale of commitment to a brand – as they move the probability of them purchasing increases. Advertising tells customers something they don’t know about a product, or converts non-buyers into buyers. Ehrenburg’s (1976) ATR model suggests advertising can be valuable at each stage, but fr mature brands the most important factor is the pattern of repeat buying – so advertising is likely to be defensive to re-inforce the existing repeat buying habits of existing consumers
- A significant departure from the previous (hierarchy of effects) models was King’s ‘scale of immediacy’ – this suggested alternative roles that advertising could play in helping to stimulate action. His ‘scale of immediacy’ suggested 6 levels of effect