Info

Figure 7-20 Example of three-year payout plan ($ millions)

Belch: Advertising and I IV. Objectives and I 7. Establishing Objectives I I © The McGraw-Hill

Promotion, Sixth Edition Budgeting for Integrated and Budgeting for the Companies, 2003

Marketing Promotional Program Communications Programs

Figure 7-21 How advertising and promotions budgets are set

The Nature of the Decision Process

• Managers develop overall marketing objectives for the brand.

• Financial projections are made on the basis of the objectives and forecasts.

• Advertising and promotions budgets are set on the basis of quantitative models and managerial judgment.

• The budget is presented to senior management, which approves and adjusts the budgets.

• The plan is implemented (changes are often made during implementation).

• The plan is evaluated by comparing the achieved results with objectives. Factors Affecting Budget Allocations

• The extent to which risk taking is encouraged and/or tolerated.

• Sophistication regarding the use of marketing information.

• Managerial judgment.

• Use of quantitative tools.

• Brand differentiation strategies.

• The strength of the creative message.

• Short- versus long-term focus.

• Top-down influences.

• Political sales force influences.

• Historical inertia.

Was this article helpful?

0 0
Offline Advertising In Newspapers and Magazines

Offline Advertising In Newspapers and Magazines

This is a great video all about offline marketing using advertisements through such things as newspapers and magazines. A great way to get more traffic to your business or even your website. learn how this can be done by watching this great video all about this subject.

Get My Free Video


Post a comment