The Organization of the Advertising and Promotion Industry in the UK: - Example

Table of Contents Introduction: 3 Body: 4 Communication process: 4 The organization of the advertising and promotion industry in the UK: 5 Regulationon promotion in the UK: 6 The current trends in advertising and promotion among soft drink advertiser in the UK: 6 The impact of ICT on advertising and promotion: 7 The role of advertising in an integrated promotional strategy for Coca-Cola Enterprise Ltd: 7 Coca Cola’ branding and its strength: 8 Review the creative aspect of Coca-Cola advertisement: 9 Ways of working with advertising agencies: 10 Primary techniques of below-the-line promotion and how they are used in an integrated promotional strategy for Coca-Cola Enterprise Ltd or any business in the UK: 10 Other techniques used in below-the-line promotion for Coca-Cola Enterprise Ltd or any other business in the UK: 11 An appropriate process for the formulation of a budget for an integrated promotional strategy: 11 The development of a promotional plan for Coca-Cola Enterprise Ltd. or any business in the UK: 12 The integration of promotional techniques into the promotional strategy for Coca-Cola Enterprise Ltd. or any business in the UK: 12 Appropriate technique for measuring campaign effectiveness: 13 References: 13 Introduction: Advertising and promotion for any business is very important. It gives a boost to grow a business. These are count as an essential part of any business for growth. It helps to communicate with the consumers and tell them about product and product related policies. From a business point of view, advertising and promotion are marketing communication which helps to manipulate or encourage the targeted audiences for an action. In other words, it is a process to attract the consumers to buy or use the product or services of a particular business. There is various ways to do this process. Through advertising and promotion activities, the company wants to convey the messages to the viewer or consumer about the company and its product or services. To implement this process, the most companies via newspapers, magazines, and a short video thru televisions or radios are being used to promote themselves or advertise their product or services. Now a day’s consumer has very short time to spend in front of television, radios or news paper and magazine. They are now busier than the past and using more technologies to make their life fast and smooth. Currently, it is era of technology; people are more advanced and bright than past. All people are seeking for best and innovative things to make their life easier. However, the way of advertising and promotion is also changed according to the requirements and demands of the consumer. New and innovative technology is using to make better way to communicate with consumers. Coca Cola is a big brand and it is very popular throughout the world. They used lots of unique techniques to promote their product throughout the world. They understand the market and its need. Through this they targeted their customers and attracted them. Body: Communication process: The communication process means a sender can convey his/her message to a receiver via medium, and message should be understandable to the receiver. The model of communication process is sender-encoding-medium/transmission device-decoding-receiver. This whole process is a part of advertising and promotion. Here, sender is the company who wants to convey their message about product or service of the company to the consumer via advertisement or promotion. Encoding is a term, which is used to describe the innovative design of advertisement or promotion for consumers to understand about the product or service of the company. Transmission device is a media (television, magazine, radios, news paper, internet or social media) via which message will convey from sender to receiver (from the company to the consumer). Term decoding is used to define the senses (ear and eyes) of consumer through which the consumer will understand the message of the company. The receiver term is for the consumers to whom the message would be delivered via advertisement or promotion. Figure 1 Communication Process (Marketing Management, 2003, p.565) In this way the consumer will understand about the product or service of the company, and according to their needs or desires they will buy the product or service. Coca Cola is also using lots of way to communicate to their message to the buyers in the UK. They build lots of advertisements in the UK to attract the buyers. In their advertisements they used a slogan which attracts buyers more and it is unique to communicate with the consumers. Some slogans that have been used by Coca Cola in their advertisements are; “I’d like to teach the world to Sing”, “Coke is it”, “Always Coca-Cola”, “Eat Football, Sleep Football, Drink Coca Cola”. These slogans were very popular among the youths and people of the UK. It increased the sales of Coca Cola in the UK. The organization of the advertising and promotion industry in the UK: PMC: The Promotional Marketing Council; the main objectives of PMC are to serve sales promotion industry in their development throughout Europe, help to maintain the professional image for the industry, it also assist to promote quality by providing annual pan-European awards to industry and also aids the companies for cross-border advertisement and promotional activity to the sales and understanding the need of different market of various nations. EACA: The European Association of Communication Agencies; the mission of EACA is to symbolize the media and full service advertising agencies and agency association throughout the Europe. The main motive is to promote effective and honest advertising, high standards and professional advertising and awareness of advertising in free economy market. It also aids to encourage the close relationship and co-operation among media, agencies and advertiser. Regulation on promotion in the UK: All nations have their own laws and regulations over promotion activity. Since, the cultures of all nations are different and their consumer buying perceptive are also different. Hence, the UK also has their own laws and regulations over advertising and promotion. The UK government is very strict in advertising and promotion activity to protect their consumers. They have many rules and regulations for direct marketing and other form of promotion and advertising. In the UK, no company cannot use false statements or message in their advertisement and promotion activity. The advertisement and promotion should contain important information related to product or services. The advertisement should not contain any aggressive sales technique. These are few basic rules and regulations to protect the consumer form misleading and harass. In the UK, all companies should follow the standard codes during advertising and promotion. It includes, the advertising to children, political advertising and causing offence are strictly prohibited in terms of direct marketing and broadcast advertising. Even though, using logo or trademark of competitors and compression between your product and services with competitors are strictly against of code of conduct of advertising and promotion. The current trends in advertising and promotion among soft drink advertiser in the UK: The current trends in advertising and promotion among soft drink advertiser in the UK market are depends on many factors. They all are focusing on immoderate consumption of soft drink. For this they are endorsing celebrities in their soft drink advertisements and using of licensed characters in advertisements. They are also distributing promotional coupons for children to attract to their soft drink product. They are encouraging the buyers by introducing new generation of soft drink. In their ads, they also tell the buyers about different flavors of soft drink for different kind of people or customers. The impact of ICT on advertising and promotion: Now a day’s the world is moving fast and rapidly growing to achieve the goals. However, it boosted due to information and communication technology, which liked the all nations and people. People are now more advanced and developing than past. They are able to share and gather knowledge with the of information and communication technology. Hence, there is a big impact of information and communication technology on advertising and promotion. ICT give a different level to advertising and promotion world. In current days many advertisement and promotion activities are done through the help of live broadcast and internet. Although, it has some misuse but it is being regulated by cyber experts and governments. Now all companies can target huge mass at same time via social media and it is also cost effective. The role of advertising in an integrated promotional strategy for Coca-Cola Enterprise Ltd: Advertising for any company play a big role to increase sale and brand equity. Even, for Coca Cola which is a big brand in the world market, advertising also play a big role. There are lots of advertising done by Coca Cola in all over the world to promote and increase their sales. As a brand and for it good ads Coca Cola are very popular all over the world. Coca Cola achieved this brand by promoting themselves in a good way. Few of them are; traditional advertising through televisions and posters, they sponsors the sports events like FIFA, many online promotion has done by Coca Cola and point of sales by local retailers also promoted them. Coca Cola’ branding and its strength: Branding means developing trust among the consumers, stake holder and employees. A well developed brand always gives a value and goodwill to the company and its product or services in the market. It can be developed by providing better services and good quality of product and also through the help of good advertising and promotion. It makes a better purchasing power to the buyers before consuming the product or services of the company. The customers always believe in strong brand, since they know about the product or services of the company. Coca Cola is a strong brand in the world market. Many consumers trust them for their brand. A strong brand like Coca Cola always helps to increase their sales. They know, at what time price of product should be increased so that the buyers will accept it. A good branding always gives a confidence and trust to the company. So the company could introduce a new product in market or the company can enter to new market to attract the buyers. This always helps to net sales of the company. A good brand should be reflected in the logo and name of the company. It increases the brand value of the company in to the market. Coca Cola’ logo and name always reflect a good brand to the buyers, since their logo and its colour combination of logo is good. The identity of the company should be same throughout their different advertising and promotion activities. Coca Cola also do same thing to maintain their image in front of the buyers. Review the creative aspect of Coca-Cola advertisement: Coca Cola has done lots of innovative advertisement throughout the world to promote and increase their sales. It also encourages the costumer to attract them towards Coca Cola. Few famous advertisements of Coca Cola are following: “Drink Coca Cola”- 1890: It was first print ad of Coca Cola. In this ad, a young Bostonian actress image was used and this young actress was also a spoke person of the company. Her name was Hilda Clark. “Be refreshed”- 1950: This ad was designed in such way that, when people feel for refreshing they should buy Coke for their refreshment. It was amazing ad of Coca Cola, which attracts the buyers and helped the company to increase their sale. “Thing Go Better with Coke”-1960: This ad campaign was to target the youth with the help of attracting colors in the advertisement. This ad was being very popular among the youth. “Coke Adds Life”-1976: In 1976, the company introduced a new ad campaign. The fact behind of this ad was to presenting the soft drink for all occasions. This ad was targeted to the young people of the world with a message, to enjoy every moment of life with Coke. “Always Coca Cola”-1993: In this ad, the company used an animated polar bear, which became the symbol of the company for that time. The ad was very creative and won the heart of every people. It also increased the sales of Coca Cola. “The Coke Side of Life”-2009: This ad campaign was very unique and being very popular among the people. In this ad campaign they launched music in every local language of all different nations with a message, coke is happiness of life. Ways of working with advertising agencies: There should be mutual understanding between the company and the advertising agency. Since, a good relationship between them always produces good and innovative advertisements, which will be essential for both. The company will get good responses from the buyers in term of sales and the agency will be recognized as a reputed service industry in the market. Hence, both parties should play their role in a good way, so that they van left a foot print in the market. There are many aspects that Coca Cola should follow while working with advertising agencies. They have to be flexible in their work, so they can ask their desire ads from advertising agencies. They should have technical knowledge, since advertising is art of science. It will help them to understand about technical aspect behind the ads. There should be a good communication between Coca Cola and ads agencies, so that what they want to say or deliver the message thru advertisement to the buyers, it will provide clear picture. Hence, an ad can be successfully if you know your costumers then it provides better result thru advertisement. Primary techniques of below-the-line promotion and how they are used in an integrated promotional strategy for Coca-Cola Enterprise Ltd or any business in the UK: Below the line is promotional strategy, where no media and advertising are required to perform. It is different way to communicate with customers. In this use of conventional methods are less rather than above the line. Even more, it is cost effective and very attractive way to communicate with costumers. It may include public relation, direct mail, and sale promotion. It mainly focuses on direct way to communicate with customers. It is very efficient and influence way to attract customers to the product or service. For example, point of sale which mainly performed by the retailers and supermarkets, where at the point of billing there will be display or rack of product, thru which customer attract and buy that product. In the UK market, below the line strategy is very famous and effective. Coca Cola also used this strategy to increase their sales. They displayed their product in front of billing counter of retail shops and super markets. This method is direct promotion selling of Coca Cola product. Other techniques used in below-the-line promotion for Coca-Cola Enterprise Ltd or any other business in the UK: Coca Cola is a big brand in the world market. They mainly focus on above the line strategy to marketing their product. There are lots media advertisements of Coca Cola and which help them to increase their sales. They perform the below the line to ensure that the customer first choice should be Coca Cola’ product. It gave boost in their sales and brand. They are few others below the line strategy used by Coca Cola, which are Green Contest and Coca Cola Wonder of the World Promotion. Green contest was designed to promote sustainability of environment. Whereas in “Coca Cola Wonder of the World Promotion”, they provide the consumer to visit their dream destination in the world. These methods of below the line activity help Coca Cola to increase the sales and earned trust from customers. An appropriate process for the formulation of a budget for an integrated promotional strategy: First develop a plan, which should have link between company strategy and marketing activity. Here you should know about the marketing objective of the company. Then analyze the market, in this you have to know all information about the strategy of your competitor, your market area, the industry and other influential factors. You have to identify the market segment, target customers, and demand of the market. Then implement your strategy thru marketing mix principles. At the end, you have to know your goal and estimate the budget according to it. To achieve your target. The development of a promotional plan for Coca-Cola Enterprise Ltd. or any business in the UK: Sampling: Sampling is an effective sales promotion activity, if the product is for trial. It helps to get feedback about the product before launching it in to the market from customers and the employee. They will rate them after use of the product. If the result is positive thru sampling method then company wills launch the product in to market. Coupons: It is old promotion strategy. Generally this method is used by the low brand companies to increase their sale. In this, the company provides free coupons with the product to attract the customers and increase their sales instantly. Loyalty schemes: It used to maintain god relations with old and loyal customers of the company. In this, the company provides special discounts to their loyal customers and retains them. Packaging: Packaging of product is essential of the company to attract the costumers. A good packaging always increases the sales of the company. It gives a value to the product and the company. Packaging of the product should be attracting and innovative so it can attract the customers to buy it. The integration of promotional techniques into the promotional strategy for Coca-Cola Enterprise Ltd. or any business in the UK: The main motive of promotional strategy is to increase of sales of the company. It helps to change the buying behavior pattern of customer instantly. Thru interrogation of promotion always change the mind of the customers thru offering those free coupons or extra service with the product at same price. Coca Cola has done lots of integrated promotional activity during the FIFA world cup. They offered the costumers, free tickets of FIFA with Coke. It was very popular and increased the sale of the company. Appropriate technique for measuring campaign effectiveness: The appropriate technique is requiring to measure campaign, since it help to know about return of investment thru advertisement and promotion activities. It also helps to find out potentiality of campaign and whether it should be stopped or continued. It tells about in which area of the campaign need modification or not. This activity is performed with various steps. First it checks the objective of the campaign and is it matching with the company requirement or not. After performing the advertisement or promotion activity, is there any increase of sales of the product, if not why and this thing to be solved immediately with help of agencies. Calculate the number of returned vouchers and coupons from the customers. If you are performing integrate promotion activity, then check whether your product is matching with another service or product or not, which you are offering to the customer. Ask your customer to give feedback on your product and services and take suggestion from them about area improvisation and how it would be. References: UK Govt., 2014. Regulation that Affect Advertising. [Online]. Available at: https://www.gov.uk/marketing-advertising-law/regulations-that-affect-advertising. [Accessed on May 17, 2014]. Association of Promotional Marketing Consultants,. no date. About APMC. [Online]. Available at: http://apmc.ie/about-hub/. [Accessed on May 17, 2014]. The European Association of Communication Agencies. No date. About EACA. [Online]. Available at: http://www.eaca.eu/#!about/cx19. [Accessed on May 17, 2014]. Perreault, W. D., Cannon, J. P., & McCarthy, E. J., 2010. Essentials of marketing. NY: McGraw-Hill/Irwin. Read More