This document provides an overview of integrated marketing communications, direct marketing, sales promotion, and public relations/publicity. It defines direct marketing and discusses its key features, functions, growth, advantages, disadvantages, and strategies. It also outlines various tools and techniques used in consumer-oriented and trade-oriented sales promotion. Finally, it discusses the meaning, importance, tools, and strategies used in public relations and publicity.
2. Integrated Marketing Communications
UNIT - 4
Direct Marketing: Features, Functions, Growth,
Advantages/Disadvantages, And Direct Marketing
Strategies.
Promotion: Meaning, Importance, tools used,
Conventional/unconventional, drawbacks, push pull
strategies, Co-operative advertising, Integration with
advertising and publicity
Public Relation/ Publicity:- Meaning, Objectives,
tools of public relations, Public Relation strategies, Goals
of publicity, Corporate Advertising – Role, Types,
Limitations, PRVs Publicity.
3. Direct Marketing
Direct Marketing is a marketing tool that allows businesses
to reach customers on a more personal basis can be used by
an individual or organization to increase generated sales of a
product or service or raise awareness on a campaign
Peter Bennett defines direct marketing as: the total of
activities by which the seller, in effecting the exchange of
goods and services with the buyer, directs efforts to a target
audience using one or more media (direct selling, direct mail,
telemarketing, direct-action advertising, catalogue selling,
cable TV selling, etc.) for the purpose of soliciting a response
by phone, mail, or personal visit from a prospect or
customer.
It is a selling method that establishes a one to one
relationship with the customers.
It is also called as Dialogue, personal, Relationship & Data
base marketing.
4. Direct marketing is a system of marketing by which
organizations communicate directly with target customers
to generate a response or transaction. This response may
take the form of an inquiry, a purchase, or even a vote.
Examples of Direct Marketing:
Eureka Frobes
Brooke Bond’s new Rich café Instant Coffee granules was
launched in a very competitive market.
In order to increase the trial and simultaneously establish a
direct link with coffee drinkers, Brooke bond began an
interesting experiment to conduct product sampling by
mail.
The mailers list was provided by advertising agency and
this list was bought by Brooke Bond. The list consisted of
only coffee drinkers in the city of Chennai.
The target sample customers of 4000 were home
delivered small jar of coffee granules. The delivery was
done by courier and registered post.
5. Features of DM
It goes directly to an identified person.
It is different type of action.
The results can be measured with precision.
It is an interactive process.
It makes use of customer data base.
6. Features - DM
It goes directly to an identified person or a household. It
is not put in print or broadcast to general audience.
The goal of direct marketing is different types of actions.
The action may take the form of return mail, sending a
coupon, requesting more information, telephoning for
further details and so on.
The results can be measured with precision.
Direct marketing is interactive. There happens a direct
exchange of information between the two parties.
Makes use of customer data base. A record is kept of
each customer and his background, purchase patterns,
interests and so on. This provides an excellent source for
precisely targeting future marketing efforts in direct
marketing.
7. Functions of DM
To get sales needs.
To help build new customers.
To retain or increase the business from
existing customers.
To improve selection of market segment.
To stimulate repeat purchase.
To generate goodwill.
8. Functions of DM
Improving the selection of market segments –
Marketer can target a greater potential
purchaser, users, voters and so on.
Stimulate repeat purchases – Companies build
a base of customers and contact them when
they are due to repurchase.
Cross-sell – Customers who demonstrate a
specific interest also constitute strong potential
for other products of the same nature.
For eg. A person who has purchased Aqua Guard
water purifier can also be interested in
purchasingVacuum Cleaner and Air Purifier etc.
9. Functions of DM
Customer Relationship Management – The
aim of CRM is to establish a relationship
with one’s customers through affinities,
personalized communications and
product/service offerings.
Build an image and generate goodwill by
personally meeting the potential customers.
Maintain customer satisfaction by resolving
their problems personally.
Inform/educate customers in an attempt to
lead to future actions.
10. The Growth of Direct Marketing
The changes in the life style.
Technological advancements.
More women in the work force.
Credit card explosion.
11. Growth of Direct Marketing
Consumer credit cards – It makes it feasible for
consumers to purchase both low and high ticket items
through direct response channels and assures sellers
that they will be paid.
Direct marketing syndicates – Companies
specializing in list development, statement inserts,
catalogs and sweepstakes have opened many new
opportunities to marketers.
The changing structure of society and so on –
People are now money rich and time poor. The rapid
increase in dual income families has meant more
income.
At the same time, the increased popularity of
physical fitness, and home entertainment has reduced
the time available for shopping and has increased the
attractiveness of direct purchases.
12. Technological Advances – The rapid technological
advancement of the electronic media and of
computers has made it easier for consumers to shop
and for marketers to be successful in reaching the
desired target markets.
Miscellaneous factors – Changing values, more
sophisticated marketing techniques and the industry’s
improved image have also ensured the success of
direct marketing in future.
Toll free Number – Makes it easier for customer to
respond to an offer by placement of the order and
calling free of charge.
13. Advantages of Direct Marketing
Selective Reach – Lets the advertiser reach a large
number of people and reduces waste coverage. A
good list allows for minimal waste as only those
consumers with highest potential are targeted.
Segmentation capabilities – Marketers can purchase
list of recent product purchasers, car buyers, bank
card holders and so on. These lists may allow
segmentation on the basis of geographic area,
occupation, demographics and job title.
Frequency – As they are usually the most inexpensive
vehicle, so the customer can afford to purchase repeat
times.
Flexibility – Can take on a variety of creative forms.
Test drive approaches, product information sent
through mail etc.
14. Advantages of Direct Marketing…….
Timing – Can be much more timely. Direct
mail can be put together very quickly and
distributed to the target population.
Personalization – No other advertising
medium can personalize the message as well
as direct media. Parents with children at
different age levels can be approached with
their child’s name included in the appeal.
Costs – Its ability to specifically target the
audience and eliminate waste coverage
reduces the actual CPM.
Measures of effectiveness – Feedback is
often immediate and always accurate.
15. Disadvantages of Direct Marketing
Image Factors – Mail segment of this industry is
often referred to as junk mail. Direct response ads
on TV are often low budget ads for lower priced
products which contributed to the cheap image.
Accuracy – People move, change occupations change
phone numbers. If the lists are not kept current,
selectivity will decrease.
Content support – Ability of magazines to create
mood contributes to the overall effectiveness of the
ads they carry.
Rising costs – Postal rates and print costs are rising
which drives up the costs of mailers, catalogs etc.
16. Direct Marketing Strategies
One Step Approach – The medium is used
directly to obtain an order.
For eg. TV commercials for products like exercising
equipment in which the viewer is urged to phone a
toll-free number to place an order immediately.
Two step approach – May involve the use of
more than one medium. The first effort is designed
to screen, or qualify potential buyers. The second
effort generates the response.
For eg. Insurance companies use telemarketing to
screen on the basis of and then personal selling to
close the sale.
17. 1. Direct Mail Direct mail is often called “junk mail”—
the unsolicited mail you receive.
2. Catalogs Major participants in the direct-marketing
business include catalog companies.
3. Broadcast Media The success of direct marketing
in the broadcast industry has been truly remarkable
4. Infomercials The lower cost of commercials on
cable and satellite channels has led advertisers to a
new form of advertising. An infomercial is a long
commercial that ranges from 30 to 60 minutes.
5. TV Advertorials: TV programming by developing a
series of advertorials to show the public its entire
model range.
Types of medias & Strategies used in DM /
Major Channels of Direct Marketing
18. Types of medias & Strategies used in DM /
Major Channels of Direct Marketing
6. Teleshopping The development of toll-free telephone
numbers, combined with the widespread use of credit cards,
has led to a dramatic increase in the number of people who
shop via their TV sets.
7. Print Media Magazines and newspapers are difficult media to
use for direct marketing.
8. Telemarketing If you have a telephone, you probably do not
have to be told about the rapid increase in the use of
telemarketing, or sales by telephone.
9. Electronic Teleshopping: electronic teleshopping is an
online shopping and information retrieval service accessed
through personal computers.
19. Evaluating the Effectiveness of
Direct Marketing
Using the cost per order (CPO), advertisers
can evaluate the relative effectiveness of an ad
in only a few minutes based on the number of
calls generated.
By running the same ad on different stations, a
direct marketer can determine the relative
effectiveness of the medium itself.
For Direct-marketing programs that do not
have an objective of generating a behavioral
response, traditional measures of effectiveness
can be applied.
20. SALES PROMOTION
Sales promotion consists of a diverse collection
of incentive tools, mostly short term, that
offers an extra value or incentive for the
product to the sales force, distributors or the
ultimate consumer, designed to stimulate
quicker and/or greater purchase of particular
products/services by consumers or the trade.
Where advertising offers a reason to buy, sales
promotion offers an incentive to buy.
21. Role and objectives of Sales Promotion
Help the launch of a new product by
introducing it to the trade and consumers.
Obtain trial purchases from consumers.
Stimulates sales force enthusiasm.
Increase shelf space in the market.
Hold current users by encouraging repeat
purchasing.
Increase product usage rate.
22. The Scope and Role of Sales Promotion
Sales promotion has been defined as “a direct inducement
that offers an extra value or incentive for the product to
the sales force, distributors, or the ultimate consumer
with the primary objective of creating an immediate sale.”
sales promotion involves some type of inducement that
provides an extra incentive to buy.
This incentive is usually the key element in a promotional
program; it may be a coupon or price reduction, the
opportunity to enter a contest or sweepstakes, a money-
back refund or rebate, or an extra amount of a product.
Sales promotion can also provide an inducement to
marketing intermediaries such as wholesalers and
retailers.
sales promotion is essentially an acceleration tool,
designed to speed up the selling process and maximize
sales volume.
23. Importance of SP
For introducing of new products.
To face unique competitive situation.
To overcome seasonal slumps in sales.
To retain the lost customers.
To support & complement advertising & make
it more effective.
To support & complement sales force
effectiveness.
To motivate distribution channels.
To unload accumulated inventory.
24. Importance
It is used as an effective tool to boost the sales and induce the
target group to take impulse decisions.
For introducing new products and services Eg. Cell Phone,
Electric power driven car.
To face unique competitive situation, it is used as an effective
weapon to topple the arch rival. Like Pepsi, Cola.
To unload accumulated inventory. Eg. Sale Sale
To overcome seasonal slump in sales. Eg. Discount on AC
during off-season.
To retain the lost customer
To support and complement advertising and make it more
effective.
To support and complement sales force effectiveness.
To motivate distribution channel to buy/stock. Eg. Dealers
contest by Maruti
25. Reasons for the Increase in Sales Promotion
The Growing Power of Retailers
Declining Brand Loyalty
Increased Promotional Sensitivity
Brand Proliferation
Fragmentation of the Consumer Market
Short-Term Focus
Increased Accountability
Competition
Clutter
27. Consumer-Oriented Sales Promotion
Consumer-Oriented Sales Promotion include sampling,
couponing, premiums, contests and sweepstakes, refunds and
rebates, bonus packs, price-offs, frequency programs, and event
marketing. These promotions are directed at consumers, the end
purchasers of goods and services, and are designed to induce them
to purchase the marketer’s brand.
Objectives of CSP:
1. ObtainingTrial and Repurchase
2. Increasing Consumption of an Established Brand
3. Defending Current Customers
4. Targeting a Specific Market Segment
5. Enhancing Integrated Marketing Communications and Building
Brand Equity
28. Consumer-Oriented Sales PromotionTechniques
1. Sampling involves a variety of procedures whereby consumers are
given some quantity of a product for no charge to induce trial.
Methods:
Event sampling has become one of the fastest-growing and most
popular ways of distributing samples.
Sampling through the mail is common for small, lightweight,
nonperishable products.
In-store sampling is increasingly popular, especially for food
products.
On-package sampling, where a sample of a product is attached to
another item, is another common sampling method
Door-to-door sampling, in which the product is delivered directly
to the prospect’s residence, is used when it is important to control
where the sample is delivered.
29. 2.Coupons
An in/on-pack coupon that is redeemable for the next
purchase of the same brand is known as a bounce-back
coupon. This type of coupon gives consumers an
inducement to repurchase the brand.
Another type of in/on-pack coupon is the cross-ruff
coupon, which is redeemable on the purchase of a
different product, usually one made by the same
company but occasionally through a tie-in with another
manufacturer.
instant coupon, which is attached to the outside of the
package so the consumer can rip it off and redeem it
immediately at the time of purchase.
in-store couponing, which includes all co-op
couponing programs distributed in a retail store
environment.
30. 3. A premium is an offer of an item of
merchandise or service either free or at a low
price that is an extra incentive for purchasers.
The two basic types of offers are the free
premium and the self-liquidating premium.
1. Free premiums are usually small gifts or
merchandise included in the product package
or sent to consumers who mail in a request
along with a proof of purchase.
2. Self-liquidating premiums require the
consumer to pay some or all of the cost of the
premium plus handling and mailing costs.
31. 4. Contests and Sweepstakes: A contest is a
promotion where consumers compete for prizes or
money on the basis of skills or ability. A sweepstakes is a
promotion where winners are determined purely by
chance; it cannot require a proof of purchase as a
condition for entry.
5. Refunds (also known as rebates) are offers by the
manufacturer to return a portion of the product
purchase price, usually after the consumer supplies
some proof of purchase.
6. Bonus Packs: Bonus packs offer the consumer an
extra amount of a product at the regular price by
providing larger containers or extra units.
32. 7. Price-Off Deals: Another consumer-oriented promotion
technique is the direct price-off deal, which reduces the
price of the brand.
8. Frequency Programs: One of the fastest-growing areas
of sales promotion is the use of frequency programs (also
referred to as continuity or loyalty programs).
9. Event marketing is a type of promotion where a
company or brand is linked to an event or where a
themed activity is developed for the purpose of creating
experiences for consumers and promoting a product or
service.
event sponsorship is an integrated marketing
communications activity where a company develops actual
sponsorship relations with a particular event and provides
financial support in return for the right to display a brand
name, logo, or advertising message and be identified as a
supporter of the event.
33. Trade-Oriented Sales Promotion
Trade-oriented sales promotion includes dealer
contests and incentives, trade allowances, point-of-purchase
displays, sales training programs, trade shows, cooperative
advertising, and other programs designed to motivate
distributors and retailers to carry a product and make an
extra effort to push it to their customers.
Objectives:
1. Obtain Distribution for New Products
2. Maintain Trade Support for Established Brands
3. Encourage Retailers to Display Established Brands
4. Build Retail Inventories
34. Types ofTrade-Oriented Promotions
1. Contests and Incentives
2. Trade Allowances Probably the most common trade
promotion is some form of trade allowance, a discount or
deal offered to retailers or wholesalers to encourage them to
stock, promote, or display the manufacturer’s products.
Methods:
A buying allowance is a deal or discount offered to resellers
in the form of a price reduction on merchandise ordered
during a fixed period.
Promotional Allowances Manufacturers often give
retailers allowances or discounts for performing certain
promotional or merchandising activities in support of their
brands.
Slotting allowances, also called stocking allowances, introductory
allowances, or street money, are fees retailers charge for
providing a slot or position to accommodate the new
product.
35. 3. Displays and Point-of-Purchase Materials
4. SalesTraining Programs
5. Trade Shows Another important promotional activity targeted
to resellers is the trade show, a forum where manufacturers can
display their products to current as well as prospective buyers.
6. Cooperative Advertising: where the cost of advertising is
shared by more than one party.Types:
Horizontal cooperative advertising is advertising sponsored in
common by a group of retailers or other organizations providing
products or services to the market.
Ingredient-sponsored cooperative advertising is supported by
raw materials manufacturers; its objective is to help establish end
products that include the company’s materials and/or ingredients.
vertical cooperative advertising, in which a manufacturer pays for
a portion of the advertising a retailer runs to promote the
manufacturer’s product and its availability in the retailer’s place
of business.
36. Non ConventionalTools &
Techniques
Game show – Eg. Family Fortune,
Eg: Khul Jaa Sim Sim
Quiz Program – Sponsored by companies
Surprise visit by celebrities to consumer’s
house, Eg: Pepsi by Madhavan.
Tour / DomesticTour
ForeignTrips
Surprise gifts to existing customers
37. Trade Promotion Tools
Manufacturers use a combination of push and pull strategies to
accomplish both retail and consumer purchasing. Trade
promotions are directed at wholesalers, retailers and other
intermediaries.
Price-Off – A straight discount off the list price on each
case purchased during a stated time period. Eg. Off-season
sale.
Allowance – An amount offered in return for the retailer’s
agreeing to feature the manufacturer’s products in some way.
Eg. An advertising allowance compensates retailers for
advertising the manufacturer’s product.
Free goods – Offers of extra cases of merchandise to
intermediaries who buy a certain quantity or who feature a
certain flavor or size. Eg. Calendars, paper weight, pen
carrying company name.
38. Push and Pull Promotion Strategies
PUSH STRATEGY
PULL STRATEGY
Manufacturer
Retailers and
Wholesalers
Consumer
Manufacturer
Demand
Retailers and
Wholesalers
Demand
Consumers
Consumer advertising and sales
promotion
Channel’s
Personal Selling,
Advertising
and Sales
Promotion
AndTrade
Promotion
Manufacturer’s
Personal Selling
39. Push & Pull strategy
Push strategy means promoting through
retailers.
Push Money or Spiffs: Manufacturers often devise
incentives or contests for the sales personnel.
These programs may involve cash payments made
directly to the retailer’s or the wholesaler’s sales staff
to encourage them to promote and sell a
manufacturer’s product.
These payments are known as push money or spiffs. For
eg. An appliance manufacturer may pay a Rs 25 spiff
to retail sales personnel for selling a certain model or
size.
Pulling directly to consumers without
cooperation of retailers.
40. Push Strategy
A push strategy (product push) involves pushing
the product through distribution channels
(Wholesalers and Retailers) to final consumers. The
manufacturer directs all marketing activities, especially
personal selling and trade promotion toward channel
members to induce them to carry the product in
large quantities and to promote it to the final
consumers.
Push strategy is appropriate where there is low brand
loyalty in a category, brand choice is made in the
store, the product is an impulse item and product
benefits are well understood.
41. Pull Strategy
Using a Pull Strategy (demand pull) the manufacturer directs
all marketing activities especially advertising and consumer
promotion toward the final consumers to induce them to
buy the product.
If the pull strategy is implemented properly, consumers will
demand the product from channel members, who will in
turn demand it from the manufacturers. Consumer’s
demand pulls the product through the channels.
It is appropriate when there is high brand loyalty and high
involvement in the category.
Examples – HUL ( Push Strategy)
P&G (Pull Strategy)
Coca Cola, Intel, Pepsi and Nike skillfully employ both push
and pull strategies.
42. Business and Sales Force promotion tools
These tools are used to gather business leads, impress and
reward customers and motivate the sales force to greater
effort.
Trade shows and conventions (meeting) – Industry
associations organize annual trade shows and conventions.
Participating vendors expect several benefits, including
generating new sales leads, maintaining customer contacts,
introducing new products, meeting new customers and
selling more to present customers.
Sales Contests – Induce the sales force or dealers to
increase their sales results over a stated period, with prizes
(money, trips, gifts or points)going to those who succeed.
Specialty Advertising – Consists of useful, low cost items
like ballpoint pens, calendars, key chains etc. bearing the
company’s name and address that salespeople give to
prospects and customers.
43. Drawbacks - SP
Lose perceived value.
sales promotion trap ( competitors).
Difficult to get distinct advantage.
Overuse of sales promotion can be dangerous to the
brand. A brand that is constantly promoted may lose
perceived value. Consumers often purchase a brand,
because it is on sale, they get a premium, rather than
developing a favorable attitude towards the brand.
Sales promotion Trap – This can result when several
competitors use promotion extensively.
The competitors following sales promotion, not only it
lowers the profit margin for each firm, but also makes it
difficult for any firm to get any distinct advantage.
44. Sales PromotionTrap
Other firms Our Firm
Cut back
Promotion
Maintain Promotion
Cut-back
Promotion
Higher profits for
all
Market share goes
to our firm
Maintain Promotion Market share goes
to other firms
Market share stays
constant. Profit
stays low
45. Co-Operative advertising
There are 3 types of Co-Operative advertising:
1. Horizontal Mode: this means group of
retailers will sponsored the advertisements.
2. Ingredient sponsored mode: this is done by
raw material manufacturer.
3. Vertical mode: this is shared by both
manufacturers & retailers.
46. Co-operative Advertising
Cost of advertising is shared by more than one
party.
Horizontal cooperative advertising –
Advertising sponsored in common by a group of
retailers or other organizations providing
product or services to the market.
For eg. Automobile dealers who are located near
one another in an auto park or along the same
street often allocate some of their ad budgets to
cooperative advertising. All Big Bazaar retailers
coming together and share the ad expenses during
the time of special offers.
47. Ingredient sponsored cooperative
advertising – supported by raw materials
manufacturers; its objective is to help
establish end products that include the
company’s materials or ingredients.
Eg. Intel inside program sponsored by Intel
Corporation in which computer
manufacturers get back 5% of what they pay
Intel for microprocessors in return for
showing the Intel inside logo in their
advertising as well as on their PCs.
48. Vertical cooperative Advertising –
Manufacturer pays for a portion of the
advertising a retailer runs to promote
the manufacturer’s product and its
availability in the retailer’s place of
business. Manufacturers generally share
the cost of advertising run by the retailer.
Eg. Olay manufacturer pays for a portion of
advertising done by the retailers selling
Olay products.
49. Public Relations
The management function which evaluates public
attitudes, identifies the policies and procedures of an
organization with the public interest, and executes a
program of action (and communication) to earn public
understanding and acceptance.
Public relations requires a series of stages, including:
1. The determination and evaluation of public
attitudes.
2. The identification of policies and procedures of an
organization with a public interest.
3. The development and execution of a
communications program designed to bring about
public understanding and acceptance.
50. Objectives – PR….
Promoting Goodwill - Blood Donation Camp,
Adopting a village by company
Promoting a product or service
To give information to internal employees – Eg.
Reduce the impact of rumor for events like
pruning of employees.
Helps to overcome negative publicity –
Eg. Bird flu and its impact on chicken
consumption NECC came up with an ad.
Lobbying: deals with govt. officials.
Give advice and council
51. Functions of Public Relations
Press Relations – Presenting news and information about
the organisation in the most positive light.
Product Publicity – Sponsoring efforts to publicize
specific products.
Corporate Communications – Promoting understanding
of the organization through internal and external
communication.
Lobbying – Dealing with legislator and government officials
to promote or defeat legislation and regulation.
Counseling – Advising management about public issues and
company’s positions and image during good times and bad.
Influencing employees to serve the customers better.
Helping create a market
Influencing non-consumer groups
Influencing the dealers and sales people
Influencing direct consumers through means other than
advertising
52. Benefits of Public Relations
Blanketing local communities and reaching
specific groups.
More cost effective than advertising. Doesn’t
pay for media space and time but only for
staff.
More influential.
Demerits
No mass coverage.
More skills are required.
54. Tools of Public Relations…..
Press Release – Statement or fact which the
company would like to see published.
Exclusive stories – about a particular
company or a product on media.
Interviews – of the company’s higher official
Press Conference – held by political figures
and organizations.
Company Newsletter
Sponsored Event – like DLF IPL (Vodafone,
DLF and Karbonn Mobile),World cup
cricket etc.
55. P R strategies
It is part of IMC.
It could be either reactive & proactive.
Proactive P R strategy is decided by the objectives of
the company & what the company seeks to publicize.
Proactive P R strategy is done to encash the
opportunities available in the market.
Reactive P R strategy is to solve a problem or defend
some issue, it’s a mostly defensive strategy.
56. Public Relations Strategies….
Proactive Public Relation Strategy –
Project the positive aspect of the company,
such as employees achievements, award
granted, contributions to community etc.
Reactive Public Relations Strategy –
When some events which are beyond the
control of the firm takes place, the company
may resort to reactive public relations
strategy. Eg. Pepsi, Coca Cola facing a ban in
some parts of the country due to pesticides.
57. Advantages and Disadvantages of PR
Advantages:
Lead generation
Image building
Ability to reach specific
groups
Avoidance of clutter.
Cost
Credibility
Disadvantages:
Not completing the
communications
process.
lack of coordination
with the marketing
department.
58. Measuring the Effectiveness of PR
1. It tells management what has been achieved
through public relations activities.
2. It provides management with a way to
measure public relations achievements
quantitatively.
3. It gives management a way to judge the
quality of public relations achievements and
activities.
59. PUBLICITY: Publicity refers to the
generation of news about a person, product,
or service that appears in broadcast or print
media.
Goals of Publicity:
Merchandising or sales orientation –
Increase the sales of the product.
Entertainment orientation – Main aim is to
generate goodwill , image etc.
Educational orientation – Holding a
programme, the proceeds of which is given
to a developmental activity such as a theatre
building etc.
60. PRVs Publicity
Publicity is a short term strategy whereas
PR is a long term strategy.
Publicity may be positive or negative
whereas PR is always positive.
Publicity is always under the control of
the person about whom publicity is made,
whereas PR is under the control of the
firm or its agent.
61. PRVs Publicity…..
To many marketers, publicity and public relations are
synonymous. In fact, publicity is really a subset of the
public relations effort.
Differences B/W publicity is typically a short-term
strategy, while public relations is a concerted program
extending over a period of time.
Second, public relations is designed to provide
positive information about the firm and is usually
controlled by the firm or its agent.
Publicity, on the other hand, is not always positive and
is not always under the control of, or paid for by, the
organization. Both positive and negative publicity
often originates from sources other than the firm.
62. Corporate Advertising
Corporate advertising does not promote any one specific product
or service. Rather, it is designed to promote the firm overall, by
enhancing its image, assuming a position on a social issue or cause,
or seeking direct involvement in something.
Done not to product, but to promote favorable attitude
towards the company. Can change the attitude of its customer. Eg.
Amitabh Bachchan for ICICI Bank
Objectives of Corporate Advertising :
1. creating a positive image for the firm.
2. communicating the organization’s views on social, business, and
environmental issues.
Boosting employee morale and smoothing labor relations.
Helping newly deregulated industries ease consumer
uncertainty and answer investor questions.
Helping diversified companies establish an identity for the
parent firm rather than relying solely on brand names.
63. Types of Corporate Advertising
Image Advertising – Promote
organizational image.
Advocacy (support) Advertising – Address
a social or environmental issue. SAY NO
TO DRUGS
Cause Related Advertising – Done to
create favorable publicity with respect to
carrying out a charitable task. Eg. FIGHT
AGAINST CANCER
64. Types of corporate advertising
Image advertising: Promote Organization Image
1. General image & positioning ad. 2. Sponsorship.
3. Recruitment 4. Generating financial support.
Advocacy Advertising: it is concerning with
propagating ideas to the public while still portraying
an image for the company.
Advocacy (support) Advertising – Address a social or
environmental issue. SAY NO TO DRUGS
Cause related advertising: this is done to create
favorable publicity with respect to carrying out a
charitable job. EG: PolioVaccination, etc……
Cause Related Advertising – Done to create favorable
publicity with respect to carrying out a charitable
task. Eg. FIGHT AGAINST CANCER
65. Benefits and Limitations of
Corporate Advertising
Benefits
ExcellentVehicle
Takes Advantage
Reaches a selected
Target Market
Limitations
-Questionable Effectiveness
-Constitutionality and/or
Ethics
-Consumers are not
interested in this Form of
Advertising
-It is a Costly Form of Self-
indulgence
-The Firm engages only
/must be inTrouble
-Waste of Money