【优质】ObjectiveSettingandBudgeting.pptVIP

Objective Setting and Budgeting Setting Marcom Objectives Marcom Objectives Goals that the various marcom elements aspire to achieve individually or collectively during a scope of time such as a business quarter or fiscal year Setting Marcom Objectives Is an expression of management consensus Guides the budgeting, message, and media aspects of advertising strategy Provides standards against which results can be measured Marcom Objectives and Tools Marcom Objectives and Tools (cont’d) The Hierarchy of Marcom Effects Advancing Consumers from Unawareness to Awareness Advertising is the most effective and efficient method for quickly creating brand awareness. Creating an Expectation Product benefits from buying and experiencing a brand Encouraging Trial Purchases Free samples, coupons, major price discounts and rebate offers encourage trial behaviors The Hierarchy of Marcom Effects (cont’d) Forming Beliefs and Attitudes Beliefs form the basis for developing an overall attitude toward the brand. Beliefs and attitudes are mutually reinforcing Reinforcing Beliefs and Attitudes Marcom serves to reinforce consumer beliefs and attitudes based on product usage experience Accomplishing Brand Loyalty Brands that continue to satisfy expectations foster brand-loyalty which reduces price sensitivity Should Marcom Objectives Be Stated in Terms of Sales? Objectives of Presales Communication To increase the target audience’s brand awareness To enhance the target ir attitudes toward the brand To shift their preferences from the competitors’ brand Sales Objectives The marcom objective literally is to increase sales by a particular amount. Should Marcom Objectives Be Statedin Terms of Sales? Marcom Budgeting Budgeting in Theory The best (optimal) level of any investment is the level that maximizes profits Marginal revenue = Marginal cost, MR=MC Marginal Cost = Change in total cost = ?TC Change in quantity Q Marginal Revenue = Change in total revenue = ?TR Change in quantity Q