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Course review

Marcoms means marketer-originated messages, placed in various media, to sell the brand, by
using pictures and words, in a manner that positions the brand in the minds of target customers. -
John R Rossiter and Steven Bellman, 2005
Usually Marcoms most common been thought as promotions and advertising.
The brand contact point marcoms can be mass-media, ads TV, promotions, directories,
print media editorial, stone atmosphere, etc.
The factors affecting market communication
Adspend of advertising
Quality of advertising
Sales effect of price-off

1.1 Review the definition of advertising and the definition of promotion in the chapter
and then find an ad (the local newspaper is a good place to look) that appears to use a
fairly equal mix of both. Explain how you arrived at this assessment.
LINE is a new communication app which allows you to make FREE voice calls and send
FREE messages anytime and anywhere. LINE Corporation is subsidiary of Naver
Corporation of South Korea)
The main competitor of LINE in Asia areas was WhatsApp, Kakao Talk and WeChat.

2
nd
drink at RM1 only with any purchase of Chocolate Tea Series if you friend Chatime
on LINE Malaysia App

Maxis Hotlink offers TopUp RM30 %above at participating shell select stations $ flash
you LINE app to redeem exclusive, adorable plush dolls and more!
[LINE TVC] LINE Brings You Closer (English)
http://www.youtube.com/watch?v=xAugkuy5SDA
LINE New Ad 2014 - Malaysia Malay Moon's Week ENG.
http://www.youtube.com/watch?v=6RXPVdofKA0
[LINE TVC] Nazim Getting Romantic Stickers on LINE?! (Malaysia English)
http://www.youtube.com/watch?v=0UrD5ghJ9oc

Marketing tool Advertising Promotion
Time Long-term Short-term
Definition Advertising means to turn
toward, indicating that the
purpose of advertising is to
turn the mind of the
prospective customer
toward the brand (John
R Rossiter and Steven
Bellman, 2005)
Promotion means to move
forward or advance,
indicating that the aim of
promotions is to product
immediate purchase of the
brand (or to produce some
other immediate action that
will increase the
opportunity for purchase of
that brand, such as store
visits or inline inquiries).
Promotions offer an
incentive to act now. In
practice, promotions are
often include in
advertisements and the
most effective promotions
are those that take the
opportunity to
communicate about the
brand. (John R Rossiter
and Steven Bellman, 2005)
Price Usually expensive in most
cases
Not very expensive in most
cases
Suitable for Medium or large
companies, small
companies cannot pay
All company
Sales Assumption that is will
lead to sales, increasing the
intention
Directly related to sales
Example TV, newspaper, magazine,
internet, light box, etc.
Discount, buy one get one,
free delivery, free gift, etc.
Purpose Increasing sales and brand
building
Increasing sales
Result Slowly Very soon
Classified Brand advertising, direct-
response advertising,
corporate image
advertising, sponsorships
Manufacturers, retailers or
either of two types of
marketers(direct market)

Promotion is one of the four key aspects of the marketing mix. Advertising may be one
form of promotion. Advertising is a one-way communication whose purpose is to inform
potential customers about products and services and how to obtain them, which is build a
brand awareness in customers mind. Promotion is disseminating information about a
product, product line, brand, or company, which is an awareness about early consumption
provide by company. For example, advertising can be divided two type, emotion
advertising and functional advertising, which both to build the brand value in customers
mind. In contract, using promotion can let consumer early consumption, eg. Give free gift.
Advertising need a long-term to implement, and sometimes they have a high-budget in
that. Because for people to receive a new thing or lifestyle cannot during one day or two
day. Increasing the adspend and quality of advertising can be increasing the effect, thus
using the advertising usually need spend much money. For promotion, usually its a
short-term event to increasing the sales, for example, the LINE promotion they give a
limited time to give discount, compare with the advertising, promotion has more effetely
increasing the sales. However, all brand campaign should base on budget, give more
discount means company have to undertake risks.
The effect of adverting is slowly than promotion, advertising for sales, on average, a 10%
increase in adspend produces a cumulative sales increase over the year of 3.6% for
industrial products and consumer durables and 1.4% for fast-moving consumer goods.
However, promotions on sales, for example, a 10% price reduction produces, on average,
a 21.4% increase in unit sales for durables and 16.4% increase in unit sales for FMCG.
Thus we can easily find that promotions is directly increasing the sale effect.

1.3 Go to Coca-Colas Website and find out what major Sponsorships the brand Coke
is currently engaged in. Select one of these and explain whether you believe it to be a
good choice for Coke.

Fifa 2014 World Cup Brazil Coca Cola Commercial Ads Film
http://www.youtube.com/watch?v=iG_LG_cQf0g&index=12&list=HL1402573042
Coca-Cola: FIFA 2014 - Welcome to The World's Cup
http://www.youtube.com/watch?v=hTxrknHfxZA
Official Coca-Cola "Big Game" Commercial 2014 - America Is Beautiful
http://www.youtube.com/watch?v=443Vy3I0gJs

Coca-Cola was the most popular brand in the world, Even everyone know it, but they still
published new advertising stimulate consumer to strength they brand preference.
There are three reasons why coca-cola need publish they brand.
The need of customers
Coca-Cola was the most popular brand in the world, Even everyone know it, but they still
published new advertising stimulate consumer to strength they brand preference.
The need of retailers
Increasing the sales according the advertising
The need of enterprise
Build the brand image, position the brand value in customers mind
Gaint benefit and Gaint investment
The global partners of FIFA total has six, Adidas, Coca-Cola, Hyundai Kia Automotive
Group, Sony, VISA and Emirates airline. They have power to use all FIFA logo in
anytime and anywhere. in 2014, these six companies each should provide $120 million
sponsor fee.
According the Associated Press (AP) predict the total commercial income of 2014 Brazil
FIFA world-cup will over 4 billion USD, and Brazil will profit $ 14 billion, while the
champion team will get $35 million as the bonus. The main income of FIFA main come
from the media and sponsors, the media will be $2.6 billion and sponsors will be $1.4
billion. The basic commercial requirement of FIFA sponsors will be over $6.8 million, if
want to be the main sponsors the investment will multiple.
Suceesful case for sponsor FIFA
FIFA World cup, F1, Olympic can be the three largest enents in the world. They have
stable and large audience in the world.
In 1950, the Coca-Cola was the first company sponsor with FIFA, now there already have
over 50 years corporation relationship.
In opening ceremony of the 1974 world cup, Adidas bidding the main sponsors than Nike
in cloth, Adidas beat Nike in global sales.
In 2002 Japan-Korea world cup, Hyundai Kia Automotive Group invest 1,500 million
Euro, at same year, they sales in America increasing 40% and the brand awareness
increasing from the 32% to 67%.
According the YINGLI reported, YINGLI was the Chinese sponsor of 2010 world cup,
the sales in 2010 has 50% increasing. The share stock price of YINGLI increased $3.8,
increasing 40% in one mouth.
Thus, sponsor FIFA for Coca-cola company is a good chioce.

Reference
John R Rossiter and Steven Bellman, 2005 Marketing communications, marcons and
brand p4-8 published: Prentice hall
Online FIFA 2014, FIFA Partners and Sponsors, available at:
http://www.fifa.com/aboutfifa/socialresponsibility/fifapartners/index.html (9 April, 2014)

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