Advertisement and promotion in Business

Advertisement and promotion in Business
October 30, 2015 Uncategorized
Advertisement
and promotion in Business
Morrison PLC
Table
of Contents
INTRODUCTION.. 1
Task 1. 2
1.1 Explain the communication process that
applies to advertising & promotion. 2
1.2 Explain the organizations of the advertising
and promotions industry. 3
1.3 Assess how promotion is regulated. 4
1.4 Examine current trends in advertising and
promotion, including the impact of ICT. 6
Task 3. 7
3.1 Explain primary techniques of below the line promotion and how they are
used in an integrated promotional strategy for a business or product. 7
3.2
Evaluate other techniques used in below the line promotion. 8
TASK 4. 9
4.1 Follow an appropriate process for the
formulation of a budget for an integrated promotional strategy. 9
4.2 Carry out the development of a promotional
plan for a business or product. 11
4.3 Plan the integration of promotional
techniques into the promotional strategy for business or product 12
4.4 Use appropriate techniques for measuring
campaign effectiveness. 14
Conclusion. 15
References. 15
INTRODUCTION

For a business in order to be
successful in the modern business world, effective use of advertising and
promotion would be fundamental requirement. The present assignment would
explore the marketing communication process by taking Morrison Supermarket as
the core area of study. In the present paper four key learning outcomes would be
achieved which would include scope of marketing communication process,
importance of the advertisement process in the organization setting, below the
line advertisement techniques used by the organizations and lastly planning
mechanism of integrated marketing communication process in the business (Clow & Donald, 2009). The learning outcomes that would be achieved through the
assignment are:
LO1 Understand the scope of marketing
communications
LO2 Understand the role and
importance of advertising
LO3 Understand below the line
techniques and how they are used
LO4 Be able to evaluate integrated
promotional strategies
Task
1
1.1
Explain the communication process that applies to advertising & promotion.
Communication process is the process of sharing of information between
two or more people for the purpose of delivering and exchanging knowledge so
that mutual understanding can be build within the communicators of information.
The main components of communication process include context, sender, message
to be shared, medium, recipient and finally the feedback.
Components of Communication Process

Figure1. Showing communication process
In the present context of Morrison super market; there could be several
audiences with which communication system must be established so that
understanding can be developed. Morrison needs to apply communication process
in order to persuade and inform its customer about their products or services (Tom
& Caywood, 2006). In
order to communicate with the customers company need to formulate a message
describing the features and the benefits about their products and services. In
a communication process some of the vital key elements would be source &
encoding feature, signal & channel, decoding & receiver, noise &
feedback. If any of the elements got absent in the communication process then
the transmitted information may distort.
In order to make advertising very effective, it is crucial for the
advertisers to analyze that how the message may be met by the customers in the
market. To make it easy, AIDA model of communication can be used for effective
advertising & promotion by Morrison supermarket. AIDA model of
communication stands for attention, interest, desire and action. It helps in
developing effective communication strategies and communication with the
customers in such a way that better responds to their needs & desires. In Morrison
supermarket AIDA model would help in making an impactful advertisement process
wherein the attention of the customers would be sought first before conveying
message to them. After their attention is sought, organization would make sure
to keep them interested by offering solution their problems. Then the desire
would be created once the customers feel interested to the message conveyed by
the company. In doing so, the promotional planner must create desire for the
products which company wants to offer not which customer wants to have. At
last, as customer have already shown their interest and desire for the
products, final action should be to offer goods or services to them (Schultz & Schultz, 2008). The whole system of communication
process for advertising and promotion purposes guide the marketers to target a
market effectively. Hence, the role of effective communication using AIDA model
can’t be undermined from the overall marketing process.
Figure 2.Showing AIDA Model
1.2
Explain the organizations of the advertising and promotions industry.
Advertisement process as a marketing communication is developed strategically
for enhancing the business by use of creative advertisement tools. Advertising
agencies design strategic elements in the advertisement process in sync with
the marketing plan and marketing objectives of Morrison supermarket (Beakbane,
2013). From the advertising &
promotion industries, the essential organizations that are doing the
advertising and promotional work can be described as under:
·
Generalized
advertising organizations work for doing normal tasks in the advertising
process like designing of logo etc. For example, WCRS is one of
the full service advertising agencies which offer its services to many big
clients such as BMW, The Sky, The Sun, Sony and Transport of London etc.
·
Specialized
advertising organizations designated for doing special tasks of advertising such
as recruitment, industrial, entertainment etc. For example,
Creative shops that are formed by few members of full service agencies for
offering specialized services keeping in mind consumer requirements.
·
Interactive
advertising organizations designated for internet advertising bringing the
utmost amount of consumers by way of promotion through popular websites face
book, YouTube etc. For example, Carat, biggest media agency in UK
offering services related with media (Beakbane,
2013).
·
In-house
advertising organization designated to do individual to individual
advertisement. Such organizations main task is to achieve every single person
though their promotional campaign.
1.3
Assess how promotion is regulated.
Regulation of promotion can be done through abiding by the rules &
regulations imposed by the regulating bodies for promotion and advertisement.
The regulating bodies lay down rules and laws so as to ensure that proper
standards are followed by the business organizations like Morrison supermarket.
One such authority in UK which has laid down the standards for advertisement is
Advertising Standards Authority (ASA). ASA is one of the key governing bodies
for advertisements in UK and plays crucial role in developing vital rules such
as protecting consumers from unfair trade regulations, distance selling
act, data protection act,
consumer credit act and sales of goods act (McCarthy, 2012).
·
A
sale of good act was developed in year 1893 in UK for regulating the contract
for purchase and sale of goods. This act regulates the organizations that
whether they are offering products in good working conditions and to ensure
that the goods are safe and satisfactory for the consumers. The main aim of
this act is to examine that the organizations commitments pertaining to
specific goods or services are true or not.
·
Unfair
trade regulations act regulates organizations to not to convey misleading
messages to the consumers and it examines whether the companies are offering
the same which they promise in their advertisements. This act forbids
organizations to use sales techniques which cause consumers harassment, to
claim false credentials, to display false trade mark, to claim false
endorsements.
·
Customer
credit act was established in year 1974 and amended thereafter with minor
changes in year 2006. Under customer credit act there are several restrictions
on the organizations in order to maintain relationship between the debtors and
creditors by way of fair trade practices in the business. The restrictions imposed
can be regarding proper license requirements, avoidance of unfair trade with
the creditors and creditors amounting £ 25000 can be termed as
unfair trade (Matt, 2009).
·
Data
protection act was developed in the year 1984 in UK and finally amended in year
1988 to be applicable in the present business context. Under this act, provisions
are imposed on maintaining the secrecy of the customer data. The consumer data
has to be erased after some time from the organization database and it must be
only used for the purpose it was taken by the company.
·
Under
the distance selling act, rules are framed pertaining to online selling process
which enlists the regulations that key information on the product, true contact
details and refund policy etc. must be provided to the customers. Customers
must be informed about dispatch of product or receipt of return and must be
given ample time for checking the product so that in case the product is not as
per the customer needs then they have the opportunity to return the same to the
company (McCarthy, 2012).
1.4
Examine current trends in advertising and promotion, including the impact of
ICT.
The impact of information
communication & technology (ICT) is very significant in taking the
organizational advertisement strategies to the next level. Due to ICT, the
promotional and advertisement strategies can be developed with more
effectiveness. In the present context example of Morrison supermarket’s
community engagement campaign “Let’s grow” can be considered for understanding
the impact of ICT on the advertisement and promotion strategies of the campaign.
The improvements which have been made by ICT in developing advertisement and
promotional domain for the campaign can be discussed in below points:
·
Website: Website regarding the
campaign has been developed in such a manner that customers can look into the benefits
of the campaign by just one click on the website. Also the parent website of
Morrison supermarkets has provided links to the “Let’s Grow” pages for customer
convenience. Thus the advertisement made with the help of online tools may help
Morrison Supermarkets to take their advertisement to next level (Moskowitz,
2006).
·
Email: For promoting the campaign, Morrison
used direct mailing system to inform the schools about the campaign and to
inform them that how they could get involved. The mailing system helped in
communicating with the schools, third party gardening equipment suppliers etc. Morrison
technical department designed attractive mails which are then sent to the
schools and other interested parties in order to explain the various salient
features of the campaign. Being a lost cost and high impact tool, email
marketing tool is highly effective (Matt,
2009).
·
Video conferencing: Video
conferencing tools helped in direct connection with the clients for promoting
the campaign. In addition to this, celebrity Gardener Diarmuid Gavin was
featured on the videos to talk with the client and explain features of the
campaign through video conferencing.
Hence, the present example has shown
that the campaign “Let’s Grow” has been benefitted through usage of ICT tools
so as to take the advertisement and promotion process of
Morrisons to the next level wherein effectiveness of their promotional campaign
is much higher as compared to the traditional advertisement methods.
Task
3
3.1
Explain primary techniques of below the line promotion and how they are used in
an integrated promotional strategy for a business or product.
In order to have direct
interaction with the customer segment or other channels at which Morrison have
direct control, below the line promotional techniques are used by the company.
Basically, there are two types of below the line techniques- primary techniques
and secondary techniques. These techniques include sales promotion, personal
selling, and public relations, direct marketing as the major tools for promotion
purposes and they can be discussed in the below points:
§
Sales promotion: Sales promotion tool included
under below the line promotion techniques include distribution of free items
with the main product sold by the company, or offering gift vouchers or loyal
points to the consumers. This technique would include offering of discounts to
the consumers of the company based on their purchasing frequency and loyalty
with the company. For example, Morrison in its campaign “let’s Grow “offered
that for each £10 spent by the customer, he would be given a voucher which can
be used for redeeming gardening tools (Elliott, 2010).
§
Sponsorship: Sponsorship is also used by the company as a below the line promotion
technique for building consumer awareness. For example, Morrison should
sponsor the television show Ant & Dec which eventually would act as an
advertisement tool for the fresh foods offered at Morrison.
§
Public relation: The promotional tool of PR as a below the line promotional technique
would be used for building a positive environment with the help of various
publicity activities. In this technique Morrison can arrange for press
launches, press releases or PR events for promoting the campaign or for
promotion of its products or services.
§
Direct Marketing: Direct marketing tool of below the line promotion uses mails, flyer,
personalized letters, telemarketing tool, packaging design etc. for directly
reaching to the clients. A range of leaflets and factsheets can be prepared in
this technique for targeting the audiences. For example, for promoting the
“let’s Grow” campaign, Morrison distributed leaflets throughout all the Morrison
stores, and before the launch, staff briefing were held to inform about the
campaign mechanisms.
§
Digital Marketing: Through this tool Morrison can create company website and can use
application of social media tools such as Face book, twitter, you tube etc. One
more way to promote the campaign can be through the use of blogging over
internet so that it would reach more potential consumers.
§
Product Placement: This advertising and promotion technique would help in promoting the
company products via television, films or other media. With this tool,
companies hope that public will take note of the products used by the movie
characters and thus would think of using the products themselves (Mick, 2006).
§
Loyalty programs: Promotional tools that offer customer a reward that can be price
discounts and free products due to their frequent buying pattern or other such
activity are called the loyalty programs. These promotion tools can be used by Morrison
supermarket for retaining the existing customers to its brand. In this program
Morrison may opt to give its loyal customers a verification card as an evidence
for enrollment in the program and for taking the given advantage.
3.2 Evaluate other techniques used in below the line
promotion.
Other techniques that can be deployed
by Morrison for promoting its products and services on a non- traditional basis
of advertising would include personal selling techniques, word of mouth
techniques, use of corporate communication, new media etc. These effective and
non conventional methods of promotion can be described in the below points as:
§ Personal Selling: As a promotional tool personal selling has a direct impact on the
customer creation aim of advertisement strategies which is due to the fact that
in this technique personal contact is developed between the advertiser and the
client which would eventually help in knowing the customer desires for the
particular product. It is a way of setting one to one communication with the
potential buyer. There could be various methods of doing personal selling which
would be explained below as:
a. Door to door sale technique can be
used as an effective personal selling tool in which a salesman is appointed for
doing sale and advertisement of products to the general public by walking from
door to door. In this technique there would be face to face conversation
between the customer and the salesman.
b. Exhibition: By arranging exhibition
for the products or services, customers can be attracted and informed about the
products as in this method, the company staff gives demonstration about the
working of the particular product which greatly impacts a customer decision to
buy the product (Benjamin & Baker,
2012). Also, in such
exhibitions full information and advantages of the product are illustrated to
the customers to convince them to purchase the same.
§ New Media: Through
this technique Morrison can influence the customer’s decisions in a positive
manner as development of web would provide source of information to the
consumers. Morrison can use ‘search engine optimization’ web tool to make sure
that its company’s website is shown at the top of every relevant search results
page. Moreover, Morrison can use paid for web advertising, such as pay per
click on Google in order to profile its business to prospective customers.
§ Customer newsletters and magazines:
Using
customer newsletters for promotional purposes would help Morrison in building
good image of the company as sharing information with the customers through
newsletters and magazines would show that it is a knowledge based company.
Consequently, the company would appear open and trustworthy which would support
in building image of the company.
TASK
4

4.1
Follow an appropriate process for the formulation of a budget for an integrated
promotional strategy.
Process of campaign management
Process adopted for the campaign
management in present context for Morrison would contain below mentioned steps:
Assessment of the market
communication opportunities: This step of the campaign would analyze
expectations from the target market. Further this step of the process
would identify to whom we are sending message i.e. customer, general
public or any other stakeholder.
Determining objectives: Chosen
target market of Morrison would be capture by launching their promotional
campaign with defined short term and long term objectives.
Determining promotional mix: Promotional
mix decisions are taken by the organization by making sure that setup of
promotional mix is such that interest can be created among the buyers by
making use of different promotional techniques (Ademola, 2010).
Communication channel to be
adopted: After identification of the target market and objectives with
which communication need to be developed it is important that based on the
budget and effectiveness parameter communication channels are being
selected by the Morrison.
Development of promotional
message: Promotional message for the campaign would be developed based on
the content, structure, format and appeal. This promotional message would
be implemented for the target audience and as per the demand of product
for Morrison.

 

Unit 4 – Personal  and professional development in health and social care
Development of promotional
budget: In this process overall budget would be set for the promotional
campaign including above mentioned processes and especially mix of
promotions and media planning etc.
Determination of the campaign
effectiveness: This process would be initialized for Morrison’s present
campaign through situational analysis, making timetable and copy platform
etc. Feedback from the consumers can be taken regarding their satisfaction
with the products and services of Morrison.
4.2
Carry out the development of a promotional plan for a business or product.
Development of promotional plan for
Morrison’s new campaign named “Let’s Grow” can be given as under:
Morrison background: Morrison
wants to setup a new campaign wherein organizational value of Morrison can
be highlighted to the consumers so as to deal with the current price war
going in the retail industry segment. Concept of fresh fruits and
vegetables needs to be showcased to customers along with habit among
children to grow their fruits and vegetables themselves.
Company analysis: SWOT analysis
for Morrison can be given as under:
Strength
Weakness
Efficient
distribution channel to accomplish strong supply chain
More
than 450 stores in UK with employee strength of 130,000
Among
the four biggest supermarkets in UK
Diverse
product portfolio
Suffering
from product recall issues
Geographical
reach for Morrison is limited comparing it with other retail brands in
UK
Opportunities
Threats
Global
expansion
Private
label demand is increasing which can help Morrison to enhance their
revenue
High
end market for organic products
High
cost for manpower deployed
Competitor
market share is increasing
Changes
in government policies
Table 1: Showing the SWOT
Analysis for Morrison
Product or idea launched: To provide shopping voucher for
consumers at the purchase of every £10 spent in the store which can be
redeemed in the gardening tools, seeds and farming equipments for schools.
4.3
Plan the integration of promotional techniques into the promotional strategy
for business or product
Integration promotional techniques

Understanding specific need in health and social care
would be used by Morrison through usage of different media types such as the
press, TV advertisements, direct mails and online advertisements etc.
Objectives of the promotional plan
To combat price war in industry
by establishing values of Morrison
To highlight importance of fresh
fruits and vegetables for making it USP of Morrison
To enhance customer footfall and
overall revenue by the campaign
Type of campaign
Present campaign of
Morrison would run for three months period. For the first two weeks burst
campaign would be made with high frequency parallel with the new idea launch.
For the rest 10 weeks drip campaign would be made with lesser frequency as
compared to the initial weeks of the campaign (Goldstein
& Lee, 2011).
Campaign strategy
Strategy adopted for the
present campaign would be pull strategy so as to target the end consumers. End
consumers would be persuaded by making use of the below the line promotional
mix such as sales promotion and direct marketing sponsorship. CSR would also be
used for the campaign so that consumers are asked to donate farm equipments and
seeds for schools.
The Budget
Budget for the present
campaign would be approx £2.5 million. Some of the important factors which
would be used to determine this budget would include size of the target
audience, objective of the campaign, based on competitor activities and based
on previous budget of the organization.
Promotional mix
Direct mail: Direct mails would be sent to the schools so as to inform
them regarding Let’s Grow campaign of Morrison and way through which they can
get involved into the campaign run by the organization.
TV advert: TV adverts were given which features celebrity named Gardener
Diarmuid Gavin.
Local and national press: News given in the local and national press so as to
create awareness among general public and consumers regarding “Let’s Grow”
campaign.
Online activities: Online activities were done on various parenting websites so
as to provide the link for Let’s Go campaign of Morrison.
Type of media and media planning
Reach and frequency are

 

Unit 4 – Personal  and professional development in health and social care
the two important factors while making decision regarding media. Electronic
media would be used by making advertisements in television for the present
campaign. Burst campaign is made by running the spot advertisement and detailed
advertisements as well (between 5 PM to 8 PM for 2 weeks). Drip campaign can be
used by running advertisement for every 2 hours between 4 PM to 9 PM between
week days for next 10 weeks. Print media can be used through local and national
press. Timetable for the media would be developed according to the 10 week plan
and by considering different stages for the media plan such as the initial
research, evaluation of the search results & planning, pre-advertisement,
launch of idea, post advertisement and evaluation & measurement of the
results in comparison to the original objectives of the campaign. All these
steps would be helpful in order to develop the media planning (Dacko, 2008).
4.4
Use appropriate techniques for measuring campaign effectiveness
The promotional campaign developed
for Morrison would be evaluated for achieving the desired results and
objectives for which present campaign was designed. Outcomes of the campaign
would be compared with the initial objectives and a comparative analysis would
determine whether results were obtained in accordance to the planned objectives
or not. Based on the attainment of results this promotional campaign would be
given the heading of successful or failure. Below factors would be important in
order to determine the success criteria for the presently developed promotional
campaign of Morrison:
No of customers coming to the
Morrison store as a result of the present campaign along with incremental
revenue gained by Morrison as compared to the normal business days
Perception of consumers
regarding Morrison stores and their product offering for the fresh fruits
and vegetable (Dev & Don, 2005)
To assess whether Morrison brand
is compared with other retail industry brands for price effectiveness or
for the product effectiveness through the concept of fresh fruits and
vegetables
To gain higher market share
through showcasing values of Morrison in the retail industry to the
consumers
Incremental revenue gained by
Morrison would be compared through the present campaign and in case there is
additional earning made by the organization then the success or failure of the
campaign would be decided.
Conclusion

Present paper has revealed the
promotional campaign designed for one of the major retail brand in UK i.e.
Morrison. In order to combat the price war and highlight values for the
Morrison present campaign was designed by making use of the different media
types and promotional techniques. It is expected that Morrison would be able to
attain the objectives for which present campaign have been developed by the
organization.
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