Chapter

Advertising Research and

strategy
Fundamentals of an AD campaign
 Ad campaign

• Is a series of ads of a brand that are related because

they all have the same central idea and are run
during the same time period.
 Ad campaign
• Digging for facts, data, information and knowledge
• Helps unearth nuggets about target audience, spot new
Research trends, uncover new product uses, discover competitor’s
weaknesses, etc.
• ‘Message’ that the advertiser gives to solve a
Advertising communications-related problem
• What the advt proposes to do or say to solve the
strategy communication problem
• Idea that advertisers select for communicating the strategic
message in a creative way- link b/w strategy and creative
Big idea execution
• Central theme for a series of ad campaigns

Creative • Physical form of an advertisement – story, script, copy, art,

music, words and phrases, colour, production, etc.
execution
• Short-term decisions about specific, tangible tasks related
Tactics to the advertising method, media, etc.
 DHARA HEALTH SUNFLOWER
OIL

STRATEGY:
Demonstrate that
Dhara keeps
consumers’ hearts &
health strong

BIG IDEA: Kids are

proud of fathers who
are healthy and
strong (due to
Dhara)
 Advertising Research

Define Problem Check Carry out

& Research Secondary Primary
Objectives Sources Research

Present the Interpret the

Findings Results
Define the problem

• Should not be too broad or too narrow

• Exploratory
• Descriptive
• Causal
LUX DISCOVERS A MALE
AUDIENCE THROUGH RESEARCH
 Choice of strategy approach-
Generic
• Taken by mkt
leaders,monopolist
or category creators.

• Brand ignores the

competition and
behaves that it is the
only brand in the
mkt
 USP
• Brand may have true and distinctive
competitive advantage
• USP- valued by its customers and
unexploited by competitors
• Eg Apple think different
 Brand image

• Mkters try to establish a difference based

on factors that are extrinsic to product
• Through marketing communication
• eg DeDecor setting is everything
Competitive positioning
• Establishes the difference or superiority
of the brand through direct or indirect
competition
• eg Tata salt vs captain cook
 Preemptive claim

• Claim something unique for the

brand preemptively
 Resonance
• For products with little or no
differentiation.
• Links the product with an experience
or occasion
• eg Meri Maggie
Affective

• Use emotional appeal

• Eg Amul a gift for someone you
love
Price claim

• Use price advantage

• isse sasta aur acha kahi
nahi
Ideal ad campaign
The ideal ad campaign would ensure that:
1) The right consumer is exposed to the right
message at the right place and at the right time.
2) The ad causes the consumer to pay attention to
the ad but does not distract from the intended
message.
3) The ad properly reflects the consumer’s level of
understanding about the product and the brand.
4) The ad correctly positions the brand in terms of
desirable and deliverable points-of-difference
and points-of-parity.
5) The ad motivates consumers to consider
purchase of the brand.
6) The ad creates strong brand associations with
all of these stored communication effects so that they
 ADVERTISING COPY STRATEGY
(CREATIVE BRIEF)

• SHOULD BE TRUE TO OVERALLPOSITIONING OF PRODUCT

• SHOULD BE WRITTEN
• POSITIONING SHOULD BE CLEAR, COMPETITIVE,
CORRECT FOR PRODUCT & TARGET MARKET, NON-
GENERIC, BELIEVABLE
 GOOD COPY STRATEGY

HAS FOUR PARTS

1. WHAT ADVERTISING AIMS TO CONVEY - CENTRAL
PROMISE
2. FACTS TO SUPPORT
3. CUSTOMER ADDRESSED
4. TONE & ATMOSPHERE
 SUPPORT

1. PRODUCT ITSELF - INGREDIANTS - REAL OR PERCEIVED

2. PEOPLE WHO MAKE IT
3. PACKAGING
4. WAY IT IS SOLD
5. ACTUAL CONSUMER REPORTS
6. PEOPLE WHO BUY IT
7. REGION
8. OPINION OF INDEPENDENT JUDGES
 RECOGNISING GOOD ADVERTISING

1. STRATEGIC FIT WITH POSITIONING

2. DISTINCTIVE / EXCLUSIVE
3. COMPETITIVE
4. NON-GENERIC
5. PROVOCATIVE
6. CONTENT MORE IMPORTANT THAN STYLE
7. BOING FACTOR
8. BELIEVABLE LOGIC
9. VISUAL / VERBAL COHERENCE
10. CONSUMER EMPATHY
MEDIA BRIEF

• TARGET AUDIENCE
• ADVERTISING
• REACH V/S FREQUENCY
• MEDIA HABITS OF TARGET AUDIENCE
• TIMING OF CAMPAIGN
• REGIONAL WEIGHTS
• SHARE OF VOICE DESIRED IN EACH MARKET
• CREATIVE REQUIREMENTS - MINIMUM SIZE OR
LENGTH OF TIME
 JUDGING MEDIA PLANS

1. AGREED TARGET AUDIENCE

2. AGREED ADVERTISING MESSAGE
3. MEDIA DECISIONS
 AGREED TARGET AUDIENCE

QUESTIONS TO ASK
1. CAPTIVE SALES OR CONQUEST SALES
2. DEMOGRAPHIC CHARACTERISTICS
3. REGIONAL CHARACTERISTICS
4. PSYCHOLOGICAL CHARACTERISTICS
 Marketing communication work
plan format
Pro
duct • Name, category, price, place. unique
des
cript
ion

• Who are the people with a need to be filled. Who is most likely to buy,
Pros
pect demographics and psychographics
s

Prod
uct • What are the human traits would describe the product
pers
onali
ty

Rew
• What positive feelings will customer have using the product
ard

Com • Who are the competitors? How are we different from the competitors
petiti
on

Obst
acle
• What resists the prospects from buying
to
sale

Mes
• What action do you want the prospect to take? What do you want them to
sage
obje
believe
ctive
Marketing communications
briefing format

Background

Communication

Implementation and
process
I. Background

• Usually covers the business and marketing

1.Background context and why the task is important

2. • This sometimes includes the business case

Marketing/Sales for the activity
objective

• include brand identity/brand capsule/brand

3. Brand vision/brand architecture/brand status/brand
values/brand personality

4. Previous
learning
II. Communications brief

1. Communication • Intended aim for the communication

objective exercise

2. Target Audience • Segmentation and profiling of TA

3.Consumer insights • Specifically linked to the objective

• single-minded proposition/the one thing we want to

4.Key say
message/proposition • OR Strategic benefit: May ask for emotional and
functional benefits

• consumer take away/what they will

5. Consumer takeaway think or do

Tone of voice
III. Implementation and process
deadlines
• include project timelines as well as
Timings/keydates timing for response

Budget • specify if production is included or not

Evaluation criteria

Mandatory
guidelines

Response • relevant types of brief

mechanisms

Approvals
 Setting objectives and
budgeting for the promotional
program
 Value of objectives

– Communications – problems can be avoided if all parties have

written, approved objectives to guide their actions and serve as a
common base for discussing issues related to the promotional
program.

– Planning and decision-making – specific promotional objectives guide

the development of the integrated marketing communications plan.
Objectives also guide decisions regarding strategic and tactical
issues, such as creative options, media selection, and budget
allocation.

– Measurement and control – objectives provide a benchmark against

which the success or failure of the promotional campaign can be
measured.
Characteristics of objectives
Marketing vs communication objectives
Sales as an objective
Product sales are a function of many
factors ..
 Towards operational objectives..

• Need segmentation data

Identify the TA • Need to id end users of the product

• What is the ultimate behavior within that segment

Desired behavioral that advt is attempting to precipitate, reinforce,
change or influence? Eg trial,loyalty,usage etc
change • Long term value of change- LTV

Process reqd to
change behavior • Need to change awareness,brand
and role of advt in knowledge,feelings and attitudes
the same
Behavioural dynamics

• Increase in sales
1. New customers from other brands
2. New customers from other categories
3. Increasing share of requirement
 New customers from other brands

• Targets exclusive buyers, mixed buyers,

non users
• Target dissatisfied users of competitor
brands, profitable users and influencers
 New customers from other categories

• Targets users from other product class

• Use primary demand advertising
Increasing brand loyalty, reducing attrition and
price elasticity

• Reinforce current brand preference

• Maintain loyalty and repurchase rates by
reducing consumer price sensitivity
• Reduce attrition by creating switching
costs for the customer
• Increase usage by suggesting new
usages, new occasions and consuming
more per occasion
Establishing and allocating the
promotional budget
Establishing & Allocating the Promotional Budget
Budget Adjustments

Increase IfIf the

the cost
cost is
is less
less than
than the
the
Increase Spending
Spending marginal
marginal return
return

Hold
Hold IfIf the
the cost
cost is
is equal
equal to
to the
the
Spending
Spending incremental
incremental returnreturn

Decrease
Decrease IfIf the
the cost
cost is
is more
more than
than the
the
Spending
Spending incremental
incremental returnreturn
Assumptions for Marginal Analysis

Sales are a Sales are

direct measure determined
of advertising solely by
and promotions advertising
and promotion
efforts
Top-Down vs. Bottom-Up Budgeting
Top-Down Budgeting Methods

Affordable
Affordable
Method
Method

Return
Return on
on Arbitrary
Arbitrary
Top
Top
Investment
Investment Allocation
Allocation
Management
Management

Competitive
Competitive Percentage
Percentage
Parity
Parity of
of Sales
Sales
• Affordable method
– After determining the amount of resources for production and
operation ,left over is allocated to promotional activities.
• Arbitrary allocation
– No systematic allocation of budget ,for non profit organizations
or small firms .
• Percentage of sales
– Total sales 100,000
– 10% of sales 10,000
– Advertising budget 10,000
• Percentage of unit cost
– Cost /unit 12
– Allocation for adv. 3
– Forecasted sales 10000 units
– Budget 10000 x 3 30000
• Competitive parity
– Must have a collective wisdom of the industry
– If competitor don’t take an aggressive approach you don’t
– Useful when you are not a market leader and don’t have the
resources to be that.
• Return on investment
– Advertising and promotion are considered as an investment
like plant etc.
– Very difficult to access the return of advertising.
Object and Task Method

Isolate
Isolate objectives
objectives

Determine
Determine tasks
tasks required
required

Estimate
Estimate required
required expenditures
expenditures

Monitor
Monitor

Reevaluate
Reevaluate objectives
objectives