Research in Advertising

The Internet has changed the way we take surveys.  We are no more willing to participate in an on-line survey than a face to face interaction or telephone survey.  For some being part of a survey may be something a supervisor at work may ask of you in order to create better policies.  I am in the Command Assessment Team at the Navy Operational Support Center.  The survey was intended to measure the climate and check for any forms of discrimination.  Administering the survey was a new experience.  The Navy Operational Support Center consists of a very large group of people.

     However, by using the Internet, personnel at the NOSC simply logged on to the website and went through the survey on their own time.  The results were instantly recorded and placed into  easy to see charts and tables.  Th use of the Internet in this example is similar to the way surveys can be conducted in a business.  Greefieldonline (www.greenfieldonline.com) is a survey center that gathers personal information about you in exchange for possible cash prizes and other rewards.  Although the number of people participating in surveys is declining there are some benefits in gathering the information.  The information can lead to the better implementation of studies, advertising testing, and gathering of sales data.  Companies use this information to emphasize the emotional connection consumers have with the brand.

     Oreo cookies has done a good job of emphasizing the emotional connection consumers have with the brand.  You can see how by logging on to www. nabiscoworld.com/oreo/memories to see how the “moments of Oreos and Milk” section of the website makes use of this emotional connection.  The emotional connection works well with consumers who are part of specifically characterized segments. 

      Yankelovick’s Mind Base, a segmenting tool, indentified eight major consumer groups that reflect distinctions in how they react in the marketplace and to marketers’ efforts.  Here are the eight major Mind Base segments:  (1) I am Expensive;  (2)  I am Driven;  (3)  I am At Capacity;  (4) I am Rock Steady;  (5) I am Down to Earth;  (6) I am Sophisticated;  (7)  I Measure Twice;  (8)  I am Devoted;

     In conclusion,  research in advertising is can lead to better sales data and emphasizing the emotional connection with consumers.  In addition, segmenting can also be used to show how consumers react in the marketplace to marketer’s efforts.

Sales Promotion and Coupons

     Sales promotion is a major element in successfully creating a market plan.  A good was of increasing your market share and keeping up with competitors is also possible through sales promotion.  A sales promotion strategy will work if the desired result is clearly defined and properly executed.  A company will significantly increase distribution levels and develop goodwill with use of a good sales promotion.  A very good type of sales promotion that is associated with advertising can be seen in the use of coupons.  Crest company does a good job of providing coupons.

      The two basic approaches for the use of coupons are the introduction of new products most commonly referred to as product trial and combating encroachments against present customers by competitors.  The best part about coupons is that they are easily found on the Internet.  A customer simply logs on to the preferred company website to find the best money saving coupons on all their favorite products.  An example of this can be seen when one logs loon to the Proctor and Gamble website.

     In conclusion, the use of coupons is a really good type of sales promotion.  The sales promotion will work if the desired result is defined.  Many companies are able to try out trial products by giving out coupons as an incentive  to purchase knowing it will cost much less with the use of coupons.  The customer simply logs on to the website of the product of interest and the coupons can be obtained.

-Sincerely, Erik R.

Radio Rating Services

     ArbitronINC. is a Syndicated radio ratings company that measures radio audiences.  In addition, Arbitron INC. began a service  to collect webcast audience information.  The service measures the audience of specific broadcast station websites. With this service,  Arbitron measures online usage of consumers who have agreed to be monitored.  Dozen of companies provide research services for radio.  However, most of these firms are engaged in program consulting or custom research for individual stations and advertisers.  The major source of local syndicated radio ratings and the dominant company in radio research is Arbitron.  As we discussed earlier network radio is important to a number of national advertisers.  The demand for accurate ratings will become more important.  Money is the main problem dealing with radio ratings.  The funds available to solve advertising problems is related to the level of expenditures by major advertisers.  Companies like General Motors and Procter & Gamble invest over $15 billion annually in television.  Therefore, there is an incentive to spend millions of dollars in research.

Advertising and Global Markets

     Many companies are trying to become globally integrated but it may be easier said than done.  Success means positioning products relevant to culture.  Positioning then becomes extremely challenging because firms may have a disadvantage when facing competitors in a foreign global market.  The advertising strategy, not only does it have to fulfill the clients needs and the company’s it must be able to work in places that are substantially different from a single headquarter. Examples of successful global markets can be seen in places like China. The situation in China is a good example of successful global marketing.  Subsequently, China lets foreign firms compete on equal footing. According to the Harvard Business Review, China will account for 36% of the world’s incremental GDP between 2000 and 2030 and the country’s role in preparing companies to pursue opportunities in other developing regions, it’s becoming clear that businesses wanting to succeed globally will need to win in China first.  China is the fastest growing market in the world.  Companies that have been successful in global markets like China have produced advertising that is consistent in image and message.  For example, McDonald’s and Exxon Mobil have presented their advertising in a meaningful way that is relevant to culture and has overcome language barriers.  Upholding diligently as possible to cultural differences and keeping the product image and meaning the same successfully creates brand consistency.

Planning for Advertising

    Market segmentation helps us market specific groups and create strategies that not only help the consumer but also help companies.  In following the applications applied to market segmentation we can continue with a good plan for advertising.  Preparation is very important in advertising because a good analysis will prevent you from overseeing threats and weaknesses your firm did not anticipate.  The basic ideas of a SWOT analysis may help your firm if you have the following elements: (1) information collection; (2) Plan of action with preparation and implementation;  In addition to these parts you then identify the strenghts, which means what are the advantages, of having the service your firm provides or producing the products your business creates.  The second thing to identify are the weakness such as what can be improved and what aspects are not very good.  In identifying your opportunities you may be looking at changes of technologies and infrastructes that present lucrative opportunities.  Lastly, you want to identify the threats such as what obstacles your company may face and what competitors are doing that makes you lose clients and market share.      

ADVERTISING TO GENERATION X

We have all heard of generation X typically characterized as people who were born between 1965 through 1978.  Some may consider generation X as a complex consumer group with contradicting interests and ideas.  In one article generation x is said to be very individualistic and this may raise plenty of issues when marketers try to respond to this segment.  Market segmentation presents the ideas that different generational groups such as generation X,y, and baby boomers all respond differently to advertisement and participation in an open free market.  At this point it is not too difficult to see that many baby boomers will be entering retirement.  The generation that will take their place in the work force will be generation X and then they too will eventually hit retirement.  A very good way to improve market effectiveness through advertising is to concentrate on segmentation.   Companies may be more successful marketing to generation X if they provide a form of advertising that is not too offensive.  Many people in this segment really like the straight forward approach where price and quality are clearly defined.  The individualism expressd by generation X means that advertising must be specific and the benefits and quality clearly stated.  Traditional promotional activities will work best when advertising to generation X.  A good example of activities that represent traditional promotion will cover traits such as age, sex, education levels, as a basis for marketing.  In addition, traits such as values, tastes, and preferences are more likely to influence consumers’ purchases than  demographic traits. 

    In conclusion,  generation X may be a complex group of people who very distinctive needs and interests, however, through better segmentation advertising to this group can be accomplished.  As many baby boomers prepare for retirement generation x stands by ready to step in and take their place.  Traditional promotional activities will help addressing the issues of individualism expressed by generation X.

Bio in case you wanted to see it again…

Hello Class,

My name is Erik and enrolled in the ADV 110 class at northwood to use tuition assitance.  I was able to establish a blog account and have attempted to send blogs.  I am a first time blog user and have really enjoyed the simple format for presenting out work to the class and the instructors.  I am in the U.S. Navy and I hope to take many more classes from here until my EOAS.  I have one year left and will go back to Los Angeles, California when I finish my service in the Navy.  My goal from here until 12 July 09 is to take as many business courses at Northwood University. 

-Sincerely Erik R.

Midterm jingle

The Four P’s of a Marketing Plan

First you start with a price

that all think sounds nice

you provide the service

so don’t get too nervous

 You will win devotion

when you start the promotion

but you need the right place

with plenty of space

Competitive markets stabilize price

without competition you lose your dice

thanks to supply and demand profits will increase

it is no wonder how doing business becomes an ease

-Erik

ADV 110 Brands and new ingredients

In Advertising one of the most important things a company may have is a brand. A brand is not the actual product manufactured instead it is a name or term used to identify and distinguish the product or service from competing products or services.

Advertising alone may be enough to get consumers to look at the product in a new light (Russel, 2008). There are several products that are redesigned or have included a new ingredient and require a new introduction to the public. In a related article found in the Harvard Business Review we can see how putting the brand of an ingredient on an existing product may increase its appeal. The article explains that some brands may have to comprise its brand building in order to incorporate a new ingredient which has its own brand. An example of this can be Gore- Tex for water resistant rain gear or Shimano gear systems on high performance bicycles. The article explains that there are four conditions in which a provider of the final product or service is willing to compromise its own brand-building to add the ingredient brand on the package as well as in advertising. The conditions are: (1) The ingredient is high differentiated; (2) The ingredient is central the functional performance of the final product; (3) The final product is not well branded itself; (4) The final products are complex and assembled with parts from multiple firms.

The information found in this article is related to the information presented in chapter three of our Advertising textbook under the newer pioneering stage of a product.