Quality comes first profit is its logical sequence.
Corporate advertising
One of the more controversial forms of advertising is corporate advertising. Actually an extension of the public relations function, corporate advertising does not promote any one specific product or service. Rather, it is designed to promote the firm overall, by enhancing its image, assuming a position on a social issue or cause, or seeking direct involvement in something.
Why is corporate advertising controversial?
A number of reasons are offered:
Consumers are not interested in this form of advertising
It’s a costly form of self-indulgence
The firm must be in trouble
Corporate advertising is a waste of money
Objectives of corporate advertising
Corporate advertising may be designed with two goals in mind:
Creating a positive image for the firm
Communicating the organizational view’s on social, business, and environmental issues
More specific applications include:
Boosting employee morale and smoothing labor relations.
Helping newly deregulated industries ease consumer uncertainty and answer investor questions.
Helping diversified companies establish an identify for the parent firm rather than relying solely on brand names.
Types of corporate advertising
Marketers seek attainment of corporate advertising objectives by implementing different types of corporate advertising as follows:
Image advertising
Image advertising may accomplish a number of objectives, including creating goodwill both internally and externally, creating a position for the company, and generating resources, both human and financial. A number of methods are used:
General image or positioning ads
Sponsorships
Recruiting
Generating financial support
Event sponsorships
Companies sponsor specific events or causes with primarily traditional public relations objectives in mind, a separate and more marketing oriented use of sponsorships is also on the increase.
Advocacy advertising
A third major form of corporate advertising addresses social, business, or environmental issues. Such advocacy advertising is concerned with propagating ideas and elucidating controversial social issues of public importance in a manner that supports the interest of the sponsor.
Cause-related advertising
An increasing popular method of image building is cause related marketing, in which companies link with charities or non-profit organizations’ as contributing sponsors. The company benefits from favorable publicity, while the charity receives much needed funds.
Advantages of corporate advertising
A number of reasons for the increased popularity of corporate advertising become evident when you examine the advantages of this form of communication:
It is an excellent vehicle for positioning the firm
It takes advantage of the benefits derived from public relations
It reaches a select target market
