Chapter 7
Chapter 7
Marketing Objectives
▪ Statements of what is to be accomplished by the overall marketing
program within a given time period.
▪ Need to be quantifiable such as sales volume, market share,
profits, or ROI.
▪ Need to be realistic, measurable and attainable
IMC Objectives
▪ Statements of what various aspects of the IMC program will
accomplish based on communication tasks required to deliver
appropriate messages to the target audience.
Types of Objectives
Promotion
Product Quality Competition
Knowledge Announcements
Cognitive Descriptive copy
Realm of thoughts. Classified ads
Slogans, jingles, skywriting
Ads provide
information and facts. Awareness Teaser campaigns
Communications Effects Pyramid
Communications Effects Pyramid
90% Awareness
70% Knowledge
40% Liking
25% Preference
20% Trial
5% Use
Problems with Communications Objectives
Define
Advertising
Goals for
Measuring
Advertising
Results
DAGMAR: An Approach to Setting Objectives
Target Audience
One-Way
Purchase
Attitudes Knowledge Preference Conviction
Behavior
Linear
Acting on Consumers
Budgeting Decisions
Ad. Expenditure
Profit
Point A
Advertising / Promotion in $
BASIC Principles of Marginal Analysis
➢ Assumption:
▪ Sales are the principal objective of
advertising and/or promotion.
➢ Assumption:
▪ Sales are the result of advertising
and promotion and nothing else.
Advertising Sales/Response Functions
Incremental Sales
Little Effect
Initial Spending
High Effect
Middle Level
Little Effect
High Spending
Range A Range B Range C
Advertising Expenditures
Advertising Expenditures
Top-Down Budgeting
Establish Objectives
(create awareness of new product among
20 percent of target market)
➢ Client/Agency Policies
➢ Size of Market
➢ Market Potential
➢ Market Share Goals
➢ Market Share and Economies of Scale
➢ Organizational Characteristics
Share of Voice and Ad Spending