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Amity Business School
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Amity Buisness School
MBA (M&S) III
Direct Marketing
Ruchika Nayyar
Direct Marketing
Traditional Meaning: The acquiring and
retaining of customers without the use of
intermediaries.
The meaning now given to Direct
Marketing: The distribution of products,
information and promotional benefits to
target consumers through interactive
communication that allows response to be
measured.
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Direct Marketing
Marketing that reaches customers by
communications directly addressed to the
customer
The process of sending promotional messages
directly to individual consumers, rather than via
a mass medium. Includes methods such as
direct mail and telemarketing
The sale of products by a producer direct to
consumers with promotional efforts using direct
mail, advertising, or telephone sales
Key features
The main purpose is to make:
1. A sale
2. Obtain a sales lead in highly targeted
but with low cost.
Direct contact with customer
Use of database
Relationship with customer
Need for Direct Marketing
Expert sales force can explain and
demonstrate products well.
Intermediaries may be unwilling or unable
to sell the product.
Intermediaries might be too costly.
Potential buyer can be reached easily.
Benefits of Direct Marketing
Convenient and hassle free (online and
telemarketing)
Feeling of getting the shop at your place
Helps to gain more product knowledge to the
customer
Cost and time saving ( for customer)
Helps to improve relationship with customer
Better chances to convert lead into sales

Channels
Direct mail (postal) (sophisticated selling)
Telemarketing ( for mass coverage)
Face to Face (effective selling)
Online advertising
Email
Websites

Ways of direct marketing
Mass coverage
1. Average customer
2. Mass production
3. Mass distribution
4. Mass advertising
5. One way message
6. All customers
7. Customer attraction
One to one
1. Individual customer
2. Customized prod.
3. Individual distribution
4. Individual advertising
5. Two way message
6. Profitable customer
7. Customer retention
Why it is growing in developed
countries?
Higher cost of driving ( malls are away from
residential areas)
Parking charges
Long queues of checkout counters
24*7 customer support
Busy life
Plastic money factor
Credit score factor
Everything is available on EMIs
Famous
Marketing Strategies
Tupper ware
Amway
Eureka forbs- live demo of product
Dell
Sony Ericssion ( product visualization)

Direct Marketers
Lands End
DHL
Sunsilk Gang of Girls
ZAPP
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The Practice of Direct Marketing
Occurs when
a seller and
customers
deal with
each other
directly
Four tools of direct
marketing
Catalog
Direct mail
Telemarketing
Direct response
advertising
Advantages of Direct Marketing
Collection of relevant customer information
Purchase not restricted to a location
The marketer controls product until
delivery
Easier to evaluate
Flexibility in form and timing
Disadvantages of Direct Marketing
Consumers are still reluctant to purchase
a product they have not seen or touched
Annoyances associated with direct
marketing
Unable to reach everyone in the
marketplace
Direct-Response Advertising
Combines the characteristics of
advertising with a contact element
The direct-marketing process
Objectives and strategies
The offer
Message and media strategy
The response/order
Fulfillment and customer maintenance
Evaluation
Database Marketing
A practice that
uses databases
to predict trends
and monitor
consumers

Four primary
objectives
1. Record names of
customers
2. Store and measure
results of advertising
3. Store and measure
purchasing
performance
4. Vehicle for continuing
direct communication
The Database Marketing
Process
1. Collection point
2. Data entry
3. Data assessment
4. Data clustering
5. Data application
6. Data sharing
7. Data refinement
The Key Players
Advertisers
Agencies
Media
Companies
Customers
Companies whose
primary business is
selling products and
services by mail or
telephone
Retail stores who use
direct marketing as a
supplement to other
forms of marketing
communication
Amity Business School The Key Players
Advertisers
Agencies
Media
Companies
Customers
Advertising agencies
Independent agencies
Service firms
Fulfillment houses
Advertisers
Agencies
Media
Companies
Customers
The media that
deliver messages by
phone, mail, or the
Web
Advertisers
Agencies
Media
Companies
Customers
Recipients of the
information and
sometimes the
initiator of the contact
Push-button shopper
Mouse-clicking
shopper
The Tools of Direct Marketing:
Direct Mail
A print
advertising
message for a
product or
service that is
delivered by
mail

Practical Tips
Get attention
Create a need
Answer questions
Provide critical
information
Inspire confidence,
minimize risks
Make the sale
Use an incentive
Direct Mail
Advantages
Tells a story
Engages attention
Personalizes
message
Builds in feedback
Reaches the
unreachable

Disadvantages
Negative perceptions
Cost
Mailing list
Response rate
Vulnerability
Catalogs
A multi-page direct-mail publication that
shows a variety of merchandise
Growth in this field is in the area of
specialty catalogs
Video catalogs provide more information
about products

Catalogs
Advantages
Targeted
Engages attention
Complete information
Convenience

Disadvantages
Negative perceptions
Costs
Response rate
Mailing list
Tools of Direct Marketing:
Telemarketing
Types of telemarketing
Criticisms of telemarketing
Telemarketing messaging design
Direct-Response Advertising
All direct-response advertising moves the
consumer to action
Well-targeted
Reaches prime audience

The Internet and Direct Response
Same components as direct mail and
telemarketing
Greater sampling opportunities
New ways to gather info
Integrated Direct Marketing
The challenge is to integrate direct mail,
catalogs, telemarketing, Web sites, e-mail,
text messaging, and instant messaging
with other marketing communication
Integrated direct marketing (IDM)

Database
Marketing

Some Definitions of Database Marketing

Database marketing is a way of organizing a companys customer and
prospect data so that it can be used more effectively in a direct marketing
effort. It is a way of organizing the whole marketing process.
Database marketing allows you to choose what to market to whom and
when based on the sum total of your knowledge and experience
with a customer or prospect.

Other Definition:
Database marketing is the technique of gathering all the information
available about your customer, leads, and prospects into a central
database and using that information to drive all your marketing efforts.
The information is stored in a marketing database and can be used
at both the strategic and tactical levels to drive targeted marketing efforts.
Why Database Marketing?

Informational Reasons
Availability of abundance data
Permission to collect them

Technological Reasons
Technology to collect and warehouse data
Technology and computing power available to analyze them
Availability of commercial software, some of which are even
user friendly (e.g. XL miner, SAS enterprise miner)

Commercial Reason
Interest in generating intelligence to remain competitive main
market share
Drive to be efficient
Database Marketing (DBM) and
Customer Relationship Management (CRM)
1. Notice what its customers are doing
2. Remember what it and its customers have done
over time
3. Learn from what it has remembered
4. Act On what it has learned to make customers
more profitable
In order to form a learning relationship with its
customers, an enterprise (firm) must be able to:
Similarities and Differences

Criteria
Traditional Data
Analysis*

Data Mining*
Database
Marketing
Data analysis
objectives
generally clearly
stated
not clearly
stated
may or may not
be clearly
stated
Apriori Theory often exists usually not
there
may exist
Size of typical
database
small-moderate large typically large
Analytical tools relatively less
advanced
(traditional)
advanced
(newer)
advanced
CRM orientation not necessary high generally high
but not
necessary
*as viewed by marketers
Based on Transaction Data
How

Customer Relationship Management (CRM)
How

A More Inclusive Definition of Database Marketing

Database marketing is a systematic approach to the
gathering, consolidation, and processing of
marketing databases to learn more about customers
and competitors, select target markets, compare
customers' value to the company, provide more
specialized offerings, as well as make other
marketing and strategic decisions.
Database Marketing System
Memory Intelligence Output
Data Analytic
Tools/Software
Marketing
Decisions
Data
Transaction
Data
Customer
Data
Other
Data
Data
Warehousing
Database
Customer Activity Database
Data Techniques Output/Application
Frequency, Cross-Tab
Correlation
Logistic regression
Decision Tree
Survival/Churn Analysis
Demographics
Subscription
Data
Direct marketing
Prospecting
Customer retention
Customer loyalty
Exit Data
Promotions
Data
Activity Data
Customer Activity Database - 2
Frequency, Cross-Tab
Correlation
Algorithms for minimizing
distance traveled /
maximizing sales potential
Demographics
Subscription
Data
Segmentation
Store Location
Store Promotion
Location data
Distance Data
Activity Data
Geodemographic Database
Segmentation
Targeting
Advertising/Promotion
Clusters
Demographics
Purchase
Reading habits
Vacationing
Zip codes
Cluster
Analysis
Distinct
Clusters
used for
Supermarket Database
Logistic regression
Simultaneous system
Cluster analysis
Market basket analysis
Querying
Stocking/Inventory
control
Advertising
Shelf placement
Pricing/coupons
Retail
Environment
Panel
Purchase Data
Aggregate
Purchase Data
Demographics
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Dear Miss Nayyar
It gives me great pleasure to invite
you to the exclusive preview of
Pantaloons upto 50% off sale on Wed
& Thur, 4th & 5th Jan 2012. Only our
valuable greencard members can
avail sale discounts on 'Exclusive
Sale Preview Days'.
There is an entire range of apparel for
men, women and kids as well as
sunglasses, watches, perfumes,
cosmetics, jewellery, toys and much
more. Make sure to bring your family
along.
Happy Shopping!

Kailash Bhatia,
CEO - Pantaloons
Amity Business School Mailing List
A mailing list is a collection of names and
addresses used by an individual or an
organization to send material to multiple
recipients. The term is often extended to
include the people subscribed to such a
list, so the group of subscribers is referred
to as "the mailing list", or simply "the list".
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Types of Mailing List
House List
Response List
Buyers List
Membership List
Subscription List
Controlled Circulation
Paid Circulation
Donor List
Credit Card Holder List

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Compiled List
Consumer compiled List
Consumer Lifestyle enhanced List
Business Compiled List

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OFFER
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Offer
Offer
To attract the customer over a period of time
to generate sales and to retain the customer
and the launch of a new product or service.
Offer mostly restricted to a particular
geographic area.
Product
Cosmetic, Home Appliance, Kitchen
Appliance, Real Estate, Pharma, Food &
Beverage etc.

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Medium
Radio, TV, Print , Coupons, Loyalty card,
Bonus Cards, Membership Cards, Vouchers,
Newspapr Clipping,
Distribution method
Newspaper (Frequent use), DRA, Pamplet,
Hoarding, Online, Catalogue, Telemarketing,
Push Button Strategy, Mouse Clicking
Creative strategy

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Types of Offer
Sweepstakes
Toll Free Response
Guarantee
Redeem Coupons
Vouchers
Free-Gift Offer
Multi Book Offer
Free Kit Offer

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Magazines
Magazine Universe: India Advantage
Timing & Frequency (CPR)
Ad Size
Spectacular Unit
Single Full Page Unit
Small Space Unit (One Column)
56, 42, 21 Line Units, Square Card ( Two
Columns by 70 lines)

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Colors
Four Colors
Two Color
Black & White
Placing of the Advertisement
More visibility on the Right hand pages
Three Cover Ad
Back of front
Back Cover
Inside Back Cover 52
Newspaper
Newspaper Preprints
Main Newspaper v/s Newspaper
Supplement (CPM)
Local Newspaper Magazines
Timings o Newspaper Insertion
Position Factor
Colour V/s Black & White

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TV/Radio
Ratings
Commercial Lengths
Reach & Frequency
Buying Time
TV Schedules
Market Performance

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Introduction to B 2 B
Marketing
The process of planning and executing.

The conception (product), pricing, promotion,
and distribution of ideas, goods, and
services.

To create relationships that satisfy individual
and organizational objectives.
Marketing

MARKETING OF GOODS AND SERVICES TO:
Companies
Government Bodies
Institutions (i.e. hospitals)
Non-Profit Organizations (i.e. Rotary Club)
FOR
USE IN PRODUCING THEIR PRODUCTS
AND/OR TO FACILITATE THEIR OPERATIONS
Business Marketing
B2B: goods or services are sold for
any use other than personal
consumption
Note: It is not the nature of the
product; it is the reason for the
transaction.
Difference Between B2B & B2C
You buy a gear to fix your mountain bike.
Ford buys the same gear to fix a
machine.
Xerox buys soft drinks for its cafeterias.
You start a landscaping business and
purchase a lawnmower.
The Indian government buysanything.
Is it a B2B or B2C Transaction
Characteristic B2B Market B2C Market
Sales volume Greater Smaller
Purchase volume Greater Smaller
Number of buyers Fewer Many
Size of individual
buyers
Larger Smaller
Location of buyers Concentrated Diffuse
Buyer-seller
relationship
Closer More Impersonal
Nature of channel More direct Less direct
Buying influences Multiple Single/Multiple
Type of negotiations More complex Simpler
Use of reciprocity Yes No
Use of leasing Greater Less
Key promotion method Personal Selling Advertising

DERIVED DEMAND
The demand for a companys products comes
from (derived) the demand for their customers
products.
Most demand comes from consumers.

JOINT DEMAND
Two products are used together and demanded
together Both products are consumed at the
same time
B2B ITS ALL ABOUT DEMAND
For additional production (e.g.,
components are combined into
subassemblies and become part of the
finished product)

For use in operations, but not part of
the finished product

For resale
Major Uses of B2B Products
3 Main Categories of Products
Entering Goods
Become part of the finished product
Cost assigned to the manufacturing process
Foundation Goods
Capital Items
Typically depreciated over time
Facilitating Products
Support organizational operations
Handled as overhead expenses
Classifying Business Goods & Services
Entering Goods
Raw Materials
Farm products & natural products
Only processed as necessary for handling & transport
Require extensive processing
Manufactured Materials & Parts
Any product that has undergone extensive processing prior
to purchase
Component Materials require additional processing
Component Parts generally do not require additional
processing
Foundation Goods
Installations
Major long-term investment items
Buildings, land, fixed equipment, etc.
Accessory Equipment
Less expensive & short-lived
Not considered part of fixed plant
Portable tools, PCs, etc.
Facilitating Products
Supplies
Any supplies necessary to maintain the
organizations operations
Services
Maintenance & Repair support
Advisory support
Logistical support
Commercial enterprises
Indirect channel members and
facilitators
OEMs (original equipment
manufacturers)
Users = customers
Governmental organizations
Institutions
Categories of B2B Customers

CONCEPT
OF CREATIVITY
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Definition of Advertising
Creativity
Ability to generate fresh, unique and
appropriate ideas to solve communications
problems.

To be appropriate and effective the idea
must be relevant to the target audience.

Break through the clutter.
Amity Business School Importance of Advertising
Creativity
Good creative strategy is often central to
determining the success of a product or service.

Advertising campaign that is poorly conceived or
executed can be a liability.

An ad or commercial that is creative does not
mean it will effectively communicate the intended
message.
Integrated
Interrelated Coordinated
In Different Media Over a Time Period
Integrated
Interrelated Coordinated
Appears In Different
Media
Advertising Campaigns
Marketing
Communication
Activities
Centered on a Theme
or Idea
Ad Campaign versus Ads
Brand advertising relies on a series of related
ads which run over time

Average campaign length is about 03-18
months

Some campaigns last years

Creating new campaigns may be risky and
many are simply tweaks on old ideas

Burger King Tries Again . . .
and Again and Again and Yet Again
76 Have it your way.
77-78 America loves burgers
and were Americas
Burger King.
78-80 Whos got the best
darn burger?
80-82 Make it special. Make it
Burger King.
82 Arent you hungry for
Burger King now?
82-83 Battle of the burgers.
83 Arent you hungry?
83-85 The big switch.
85-86 Search for Herb.
86-87 This is a Burger King
town.
87 The best food for fast
times.
88-89 We do it like youd do
it.
89-91 Sometimes you gotta
break the rules.
91-92 Your way. Right
away.
92-94 BK Tee Vee: I love
this place!
94- 98 Get your burgers
worth.
98-99 It just tastes better.
99-?? Go the distance
Determining what the advertising
message will say or communicate
Determining what the advertising
message will say
Creative Strategy vs. Execution
Creative
Strategy
Creative
Execution
Determining how the message
will be said
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Message Objectives
1. Perception: create attention, awareness,
interest, recognition, and recall
2. Cognitive: deliver information and
understanding
3. Affective: touch emotions and create feelings
4. Persuasion: change attitudes, create conviction
and preference
5. Transformation: establish brand identity and
associations
6. Behavior: stimulate some form of action
What is the message? What is the execution?
Amity Business School Think about connecting
Brooklyn Bridge and Absolut
Vodka..become What?

What is the message? What is the
execution?
Two Perspectives on Advertising Creativity
The ability to generate fresh, unique and appropriate
ideas that can be used as solutions to communication
problems.
Managers

Its not
creative
unless it
sells.

Artists

Only artistic
value and
originality
count.

Creative Strategy
Decisions
Amity Business School Planning Creative
Strategy
Creative challenges
Creative personnel
Creative process
Preparation incubation, illumination
Verification and revision
Copy platform
Creative theme/idea
Message appeals
Creative Executions

Chapter 6 : Creative
Strategy Decisions
Creative Challenges
Creative specialists face challenge of taking
research, creative briefs, strategy statements,
communication objectives and other input and
transforming them into an advertising message.

Many people follow a proven formula when
creating ads, because they are safe.
Amity Business School Creative Personnel
Use their artistic talents to translate
communication objectives into advertising
campaign.

Account planning: plays important role
during creative strategy development by
driving process from the customers point of
view.
Getting raw material, data, immersing one's
self in the problem to get the background.
Immersion
Ruminating on the data acquired, turning it
this way and that in the mind.
Digestion
Ceasing analysis and putting the problem
out of conscious mind for
a time.
Incubation
A sudden inspiration or intuitive revelation
about a potential solution.
Illumination
Studying the revelation, evaluating it, and
developing it for practical usefulness.
Verification
Immersing one's self in the problem to get a
background.
Immersion
Ruminating on the data acquired, turning it
this way and that in the mind.
Digestion
Ceasing analysis and putting the problem
out of conscious mind for a time.
Incubation
A sudden inspiration or intuitive revelation
about an idea or solution.
Illumination
Young's (J. Walter Thompson) Creative
Process
Amity Business School Creative Process
Wallas Four-Step Approach:
Preparation
Gathering background information
Incubation
Idea development
Illumination
Seeing the solution
Verification
Refining the idea and finding the appropriate
solution

Read anything
related to the
product or market!
Listen to what
people are talking
about!
Use the product to
become familiar with
it!
Ask everyone
involved for
information!
Work in and learn
about the clients
business.
Read the market
research.
Talk to users and
non-users about
the product.
Use the product to
become familiar
with it.
Read anything
related to the
product or market.
Getting Creative Input
Amity Business School Preparation, Incubation,
Illumination
Learn as much as possible about product or
service, target market, competition and any other
relevant research
Focus groups:
Give insight as to why and how consumers use
a product or service
What is important to them in choosing a
particular brand
What they like and dislike about certain
products or services
Amity Business School Verification and Revision
Evaluate ideas generated

Reject inappropriate ideas

Refine remaining ideas

Give them final expression

Amity Business School Verification and
Revision
Techniques used:
Directed focus groups
Message communication studies
Portfolio tests
Viewer reaction profiles

Storyboard
Series of drawings used to present the visual
plan or layout of a proposed commercial
Creativity Tactics Effective Brainstorming and Ideation
Best when done in small groups (5-10 people)

All thoughts are fair game.

Never, ever criticize anyones idea at any point.

Listen and build upon others ideas.

Find the good in every idea.

Hold the session in a novel location.

Very often the creative leap will initially seem unnatural.

12 102
Head and Heart Strategies
Two basic approaches to translating
message objectives into strategy
Hard- and Soft-Sell strategies
Hard Sell: touches the mind and creates a
response based on logic
Soft Sell: uses emotional appeals or images
to create a response
12 103
Head and Heart Strategies
Most advertising messages use a
combination of two basic literary
techniques to reach the head or the heart
of the consumer
Lectures and Dramas
Lecture: a serious instruction given verbally
Drama: relies on the viewer to make
inferences
12 104
Facets of Creative Strategy
Drive Perception
Attention and
awareness
Interest
Memory
Drive Cognition
These messages get
consumers to learn
about products by
focusing on a
products features
Advertising Appeals
Advertising Appeals
Fear
Humor
Sex
Music
Rational
Emotions
Scarcity

What is an Advertising
Appeal?
Refers to the approach used to attract the
attention of consumers and/or to influence their
feelings toward the product, service, or cause.
Something that moves people, speaks to their
wants or need, and excites their interest.
The underlying content of the advertisement
movie script.
Deciding on an Advertising
Appeal
Review Creative Brief (specifically
objectives section)
The nature of the product
The preferences of the client (very
important)
Common sense and gut feeling
Fear Appeal
Increases viewer interest in the ad and the
persuasiveness of the ad.
Used with health and beauty products,
idea marketing, insurance.
Most experts believe that a moderate level
of fear is most effective.
Eg: ICICI Prudential Advertisement of Jeete Raho, i-pills Ads
Fear Appeal

Newly wed couple is
securing their future.
Humor Appeal
Used in 30% of all advertisements.
Excellent at capturing attention.
Score high in recall tests.
Should be related directly to customer
benefit. Or else, the joke can overpower
the message.

Eg: Advertisement of AMUL Butter, Zoo
Zoo Ads, Ads of Kiwi Shoe Polish

Sex Appeal
Subliminal techniques
Sexual suggestiveness
Overt sexuality

Axe , Wildstone, Kustody,
Condoms,
Are Sex Appeals Effective?
Research Results
Sex and nudity do increase attention.
Rated as being more interesting.
Often leads to strong feelings about the
advertisement.
Brand recall is lower.
Often interferes with message
comprehension
Using Sex Appeals Effectively
Be aware of differences in the international
arena.
Should be an integral part of the product.
Should utilize a variety of models in terms of
age, size, ethnicity and gender.
Should consider using regular person models.
Be careful sex does not overpower
advertisement.
Music Appeals
Has intrusive value.
Gains attention and increases the retention of visual
information.
Can increase persuasiveness of an advertisement.
Design Questions
What role will music play?
Will a familiar song be used or new song created?
What emotional feeling should song solicit?
How does the music fit with the message of the ad?

Rational Appeals
Listing Product Benefits - To use this method
effectively, the advertisement must underscore
consumer benefits rather than product features.

Convincing Proof - This approach is based
upon the premise, "Seeing is believing." Ads or
commercials take the form of a product
demonstration.

Emotional Appeals
Based on three ideas:
Consumers ignore most ads.
Rational ads go unnoticed.
Emotional ads can capture attention.
Viewed by creatives as key to developing brand
loyalty.
Uses peripheral processing route.
B-to-B advertisements using more emotional
appeals.
Works well when tied with other appeals.

Emotions Used in
Advertisements
Trust
Reliability
Friendship
Happiness
Security
Glamour/luxury
Anger

Protecting loved ones
Romance
Passion
Family Bonds
with parents
with siblings
with children
with extended family
members

Scarcity Appeals
Based on limited supply or
Based on limited time to purchase.
Often tied with promotion tools such as
contests, sweepstakes and coupons.
Encourages customers to take action.

12 122
Touch Emotions
Highlight
psychological
attraction of the
product to the target
audience through
emotional responses
Persuade
Appeal
Selling premises
Conviction
12 123
Transform Product
Branding
Image advertising is
used to create a
representation in the
customers mind
Associations
Drive Action
A signature that
serves to identify the
company or brand
Also serves as a call
to action if it gives
direction to the
consumer about how
to respond
Before Creative Work Begins

Advertising Strategy Must Define
Target Audience
Product Concept
Communications Media
Advertising Message (message strategy)
Account management group responsible
for developing the advertising strategy
The Creative Brief - (Copy Platform)
Creative teams guide for writing and
producing the ad

Who?
Why? -- Rational vs Emotional
What? - product features
Where and When?
What? - tone, style, approach
Copy Platform-Creative brief
1. Basic problem or issue the advertising must
address
2. Advertising and communications objectives
3. Target audience
4. Major selling idea or key benefits to
communicate
5. Creative strategy statement (campaign theme,
appeal, execution technique)
6. Supporting information and requirements

Message Strategy
(Rationale)
Description of the ad campaigns overall
creative approach
Verbal
Nonverbal
Technical (mandatory)

The BIG IDEA

Perspectives of Great Ad Men on the Big Idea
Brand image or personality is
particularly important when
brands are similar
Every ad must contribute to the
complex symbol that is the brand
image.
David Ogilvy
Find the inherent drama or
characteristic of the product
that makes consumers buy it
(Inherent drama) is often hard to
find but it is always there, and once
found it is the most interesting and
believable of all advertising
appeals.
Leo Burnett
Let prospects vividly experience the product
Allow you to brand the advertising
Revolve around the clinching benefit
Be likely to attract the prospects attention
Be describable in a simple word or phrase
Allows you to brand the advertising
Revolves around the clinching benefit(s)
Attracts the prospects attention
Is describable in a simple word or phrase
A Big Idea. . .
Creative Theme/Idea
Campaign theme
Should be a strong idea
Central message that will be
communicated in all advertising and other
promotional activities
Short term in nature, done on annual
basis
Creative Theme/ Idea
Best approaches for developing effective
advertising:
Positioning
Using a unique selling position
Creating a brand image
Finding the inherent drama

Positioning
Establish the brand position in the consumers
mind
Done for companies as well as brands
Establish a particular place in the
customers mind for the product or
service
Establish a particular place in the
customers mind for the product or
service
Positioning as Unique Selling Proposition
Positioning
Based on product attributes/ benefits,
price/quality, use or application, type of
user, problem solved

POSITIONING BY PRICE/ QUALITY

Parle Bisleri Bada Bisleri, same price ad campaign.

POSITIONING BY USE OR APPLICATION

Surf Excel is positioned as stain remover Surf Excel hena!
Also, Clinic All Clear Dare to wear Black.

POSITIONING BY COMPETITOR

Onida was positioned against the giants in the television industry
through this strategy, ONIDA colour TV was launched with the
message that all others were clones and only Onida was the
leader. neighbours Envy, Owners Pride.

IBMs New Positioning: Provider of Business and
Consulting Services
Unique Selling Proposition
Each advertisement makes a proposition to the
customer
It must be one the competition cannot or does not
offer
It must be strong enough to pull over new
customers to the brand
Buy this product
or service and
you will benefit
this way or
enjoy this
reward
Must be unique
to this brand or
claim; something
rivals can't or
don't offer
Unique Benefit Unique Benefit
The Unique Selling Proposition
Unique Selling Proposition
The promise
must be strong
enough or
attractive
enough to move
people
Potent

1.Low Price
Wal-Marts USP statement is short, sweet and to the point.
Wal-Mart Always Low Prices. Always

2. High Quality
Rolex also has a short USP statement that communicates volumes.
Rolex Quality Takes Time

3. Superior Service
Rackspace sums up their USP statement in two words.
Rackspace Fanatical Support

4. Size/Selection
Amazon.coms original USP was clear and focused.
Amazon.com Earths Biggest Bookstore.

5. Convenience
A good example of the Convenience USP is Schwans. This company has
been delivering frozen food items to customers homes for over 50 years. They
have kept up with technological changes by adding the convenience of online
ordering and multiple payment options.
Schwans Shopping should be easy. Cooking should be fun.


6. Customization/Most Options
Ping Golf Clubs-USP statement reflects their commitment to custom fitting
their products to their customers needs.
Ping The leaders in custom fit, custom built golf clubs.

7. Speed
The FedEx USP statement explains exactly why to use their service.
FedEx When It Absolutely Has To Be There Overnight.

8. Originality, First in Marketplace
OilOnline.coms USP statement emphasizes their first mover status in their
niche.
OilOnline.com The Original Online Source for the Oil Industry.

9. Strongest Guarantee
Like all well thought out USPs, the Craftsman USP statement leaves no
doubt what their main advantage is.
Craftsman Tools Hand tools so tough, they're guaranteed forever.

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