1. Welcome to MKT 100-021Week 12– Promotion Part 2 & Place Management Anthony Francescucci Assistant Professor, Marketing Please ensure all electronic devices are in “silent mode”, “vibrate mode” or “turned off” 1

2. Promotion management Advertising 2

3. Classic Communications Model 3

4. Advertising goals 4

5. Consumer response 5

6. Consider this image 6

7. Consider this image 7

8. Consider this image 8

9. Consumer Response Hierarchy model 9

10. Classic Response Hierarchy Models Learning Stage Feeling Stage Buying Stage 10

11. How Advertising works? 3 General Hierarchy-of-effects 11

12. 3 Hierarchy of Effects 12

13. LFB: Learn – Feel – Buy 13

14. LFB: Learn – Feel – Buy 14

15. Learn – Feel - Buy Advertising Examples 15

16. LFB: We are, we have 16

17. LFB: This is how I work 17

18. Knocked out nose LFB: Have you got this problem? 18

19. LFB: This is more of a problem than you think 19

20. LFB: We work better in this situation 20

21. LFB: We work better in this situation 21

22. FBL: Feel – Buy – Learn 22

23. FBL: Feel – Buy – Learn 23

24. FBL: Feel love, think diamonds 24

25. FBL: Smile, like me 25

26. FBL: Smile, like me 26

27. FBL: The feeling of speed 27

28. BFL: Buy – Feel – Learn 28

29. BFL: Try ME 29

30. BFL: Try ME 30 The bad taste campaign increased Buckley's market share over 10% in the Canadian cough & cold category and has won numerous advertising awards.

31. BFL: Try ME 31

32. What is the persuasion strategy? 32

33. What is the Persuasion Strategy? 33

34. What is the Persuasion Strategy? 34

35. What is the Persuasion Strategy? 35

36. What is the Persuasion Strategy? 36

37. What is the Persuasion Strategy? 37

38. What is the Persuasion Strategy? 38

39. What is the Persuasion Strategy? 39

40. What is the Persuasion Strategy? 40

41. What is the Persuasion Strategy? 41

42. What is the Persuasion Strategy? 42

43. What is the Persuasion Strategy? 43 Click on logo to start TV ad

44. What is the Persuasion Strategy? Click on logo to start TV ad when you give us the confidence to find your future we see it together 44

45. Managing the advertising 45

46. Managing the Advertising Agency Client puts together the creative brief. Agency comes up with creatives. Independent research firm tests the ads. Distributors are consulted. Link payment to performance. Salespeople get paid on performance. Why not ad agencies? 46

47. Types of MEdia Point of Purchase Billboards Newspaper Display Advertising Direct mail advertising Radio and musical jingles Television advertising Internet search advertising Magazines Email and web advertising Sponsorships 47

48. Television Advertising 48

49. RADIO Advertising 49

50. NEWSPAPER Advertising 50

51. MAGAZINE Advertising 51

52. OUTDOOR Advertising 52

53. Direct Mail Advertising 53

54. Internet Advertising 54

55. Internet Search Advertising 55

56. Place management 56

57. Marketing Channels A set of interdependent organizations involved in the process of making a product or service available for use or consumption. 57

58. players in Marketing channel Manufacturer Suppliers Manufacturers / Service Providers Distributors/Wholesalers Resellers Retailers End-users – Consumer End-users – Business Telemarketing firms Websites Banks Transportation Companies Brokers Manufacturer Representatives 58

59. the HP Marketing Channel: PC 59

60. Hp Value Chain - Simplified Corporate & SMB End-users PC Component Supplier(s) Hewlett Packard IT Distributors Value Added Resellers Retailers Consumer End-users 60

61. Hp Value Network - complex PC Component Supplier Hewlett Packard IT Distributors Value Added Resellers Corporate & SMB End-users PC Component Supplier Toshiba Retailers Consumer End-users PC Component Supplier Lenovo Altec Lansing Argyle & Broadstreet 61

62. Importance of channels 62

63. Price Breakdown of PRINTER HP LaserJet P2015 Mono Laser Printer End-User Price Retailer Markup Retailer Costs Distributor Markup Distributor Cost Manufacturer Markup Manufacturer Cost $334.99 63 Margin % 17% 2.9% 20%

64. The role of distribution 64

65. Channel Member Functions 65

66. Why delegate roles to intermediaries? 66

67. Increasing Efficiency 67

68. Developing Distribution channels 68

69. Number of Intermediaries Exclusive Selective Intensive 69

70. Manufacturer’s CapabilitiesQuality-value offering Customer service Push-pull marketing Physical delivery Process improvement Retailer’s CapabilitiesQuality-value offering Customer service Merchandising Procurement Process improvement Marketing Mix Fit Served Market Fit Retailer’s Customers What do they want to buy? Manufacturer’s Customers Where do they want to shop? Evaluate the Partnership Fit 70

71. Common CapabilitiesQuality-value offering Customer service Push-pull marketing Physical delivery Process improvement Common Customers To Become One Competitive Partnership 71

72. Partnership Fit 72

73. Managing Multiple channels 73

74. Managing Multiple Channels 74

75. Channel Conflict Types Causes 75

76. Hp Value Chain - Simplified Corporate & SMB or Consumer End-users PC Component Supplier(s) Hewlett Packard IT Distributors Value Added Resellers Retailers Corporate & SMB or Consumer End-users 76

77. Any Questions 77

78. Reminders 78 Don’t forget validated student card

79. Reminders 79

80. Before you leave today Hand In: 80

81. See you next Week 81