Fundamental advertising tips to create a thoughtful ad
During this pandemic, how can we stand out and break the clutter by creating a mindful ad?
During the pandemic, a lot of brands have been promoting their products and services using advertisements. Some businesses choose to stay on the hot topic, some businesses tend to ‘stay normal.’ No matter which approaches you chose, there are several things you should still be aware of when advertising at this moment. We all know that advertising costs money and effort, and how we can advertise effectively? In this article, we will be talking about how to differentiate your brand through understanding the general concept of advertisement, positioning yourself, finding target audience, and budgeting.
What is advertising?
In marketing, there are several ways to promote your brand and products, and advertising is one of them, such as:
- Advertising
- Direct marketing
- Interactive/ internet marketing
- Sales promotion
- Publicity/ Public relations
- Personal selling
Advertising is to communicate our values to consumers. Advertising is not personal, it usually directs toward groups instead of individuals, and it can also be a cost-effective tool. The purpose of advertising is to inform, persuade, and remind people.
How should advertising be like?
To advertise your product, don’t boast about your products or services too much. Instead, think about how your products can connect and resonate with your target audience.
A successful advertisement should be:
- Noticeable — Does your ad reach your target audience? Are they able to notice your ads?
- Insight-based — Have you done enough research before you launch your ad?
- Memorable — Is there any memory point in your ad that the target audience can remember your brand when they go shopping?
- Branded — Is the ad related to your brand? Can the target audience tell this ad is from your brand?
- Integrated — Is your ad integrated into your communication plan?
- Financially sustainable — Do you have a sufficient budget for your ad?
- Ethical — Is your ad ethical? Avoid doing anything immoral just to attract attention.
- Motivating — Target audience will be motivated or feel ‘something’ after watching your ad.
- Differentiated — Try not to be too generic. To break through the clutter, you need to stand out.
Other than that, we should also keep SMART in mind which is:
- Specific — It should be clear.
- Measurable — It should be possible to measure.
- Achievable — It should be achievable and attainable.
- Realistic — It should be realistic given company resources.
- Time — It should include a time frame.
Segmentation, Targeting & Positioning (STP model)
Segmentation
When we create an ad, keep in mind that we always target a specific group. The market segment means a group of customers who share a similar set of needs and wants. To segment consumers, here are several ways to do it:
- Behavioral segmentation
Based on how people behave rather than in terms of their attitudes and lifestyles; their age, income, or ethnicity; or where they live.
- Psychographic segmentation
Such as attitudes, values, motivations, or lifestyles and to evaluate how best to influence consumers to respond favorably to Marcom efforts.
- Geodemographic segmentation
People who reside in similar areas, such as neighborhoods or postal ZIP code zones, also share demographic and lifestyle similarities and general market-place behaviors.
- Demographic segmentation
Examins 3 major demographic aspects that have considerable relevance for Marcom
- The age structure of the population
- The changing household composition
- Ethnic population developments
Targeting
When targeting consumers, keep these ideas in mind:
- Measurable — Useful information exists
- Substantial — Large and profitable
- Accessible — Focus on their marketing efforts worth attention
- Differentiable — Distinguishable
- Actionable — The program can be implemented
Positioning
Create a perception in the consumer’s mind regarding the nature of the company and its products relative to the competitors. It must convey the entire brand in a few words. It represents the key feature, benefit, or image that a brand stands for in the target audience’s mind.
Positioning strategies:
- Attributes and benefits
- Price or quality
- Use or application
- Product class
- Product user
- Competitor
- Cultural symbols
Budgeting
In advertising, one of the most important elements before developing a strategy is to know how much budget we have. Here are some considerations when it comes to budgeting:
- Marketing objectives
- Product or service availability
- BDI/CDI index review*
- Marketing strategy
- Company’s advertising objectives & spending trend
*BDI = Brand development index, (% brand sales/%US population) *100
CDI = Category development index, (% Market Category Sales / % Market Population) *100
Here are also 4 types of budgeting strategies that we can reference when we are discussing the budget:
- Percent-of-sales budgeting
Set the advertising budget based on the predetermined percentage of past sales or a prediction of future sales. It is the most popular method. However, some of the marketers think it’s not logical since this method assumes sales determine advertising expenditures, but on the flip side, advertising can also drive sales.
2. Affordability method
It means only to use the money left over after everything else has been budgeted.
3. Competitive parity method
- SOM (Share of market): Brand revenue/ category revenue
- SOV (share of voice): Brand ad expenditure/ category ad expenditure
4. Objective-and-task method
Establish specific marketing objectives that need to be accomplished.
Reference
MKTG 456 A Advertising by Lea Dunn at the University of Washington.
Shimp, Terence A; Andres, J. Craig. Advertising, promotion, and other aspects of Integrated Marketing Communications, Ninth Edition. South-Western Cengage Learning, 2012.
