78992778 Finale Project on Role of Advertising 1

May 28, 2016 | Author: Deepak Oswal | Category: Types, Presentations
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CHAPTER 1:- INTRODUCTION Advertising, generally speaking, is the promotion of goods, services, companies and ideas, usually performed by an identified sponsor. Marketers see advertising as part of an overall promotional strategy. Other components of the promotional mix include publicity, public relations, personal selling, and sales promotion. Advertising involves the process where in a message is designed so as to promote a product, a thought, an idea or even a service. The concept of advertising has assumed a dynamic form with the use of the various mediums of communication. From the newspaper, magazines, posters, neon and fluorescent signboards, billboards to the commercial on TV, laser shows to inflated high-rise figures and objects, advertising has come a long way. The work is formidable as it spearheads a process intended to attract, modify, change and influences public opinion. From the local business to multinational firm and all need to advertise. While politicians, social organizations, government special groups need to advertise their motto, national airlines, auto mobile manufactures, food and consumer goods manufacturers have to reach the consumer. Advertising is Communication Advertising sends a message. The advertising campaign, regardless of its scope or size, portrays the organization, products and services, and values. Each attribute is tested with each new customer the companies acquire.


1.1 History of Advertising

 15th and 16th century- printing developed- advertising expanded to include handbills.  17th century- advertisements in weekly newspapers in England- mainly books & medicines.  19th century- economy expanded advertising grew.  1841- first advertising agency established by Volney Palmer in Boston, USA.  1875- N. W. Ayer & Son- the first full service agency in Philadelphia, USA.

1.2 HISTORY OF ADVERTISING IN INDIA 18th Century # Concrete advertising history begins with classified advertising # Ads appear for the first time in print in Hickey's Bengal Gazette. India's first newspaper (weekly). # 1931- National Advertising Service Pr. Ltd. Bombay set up # 1936- Indian Broadcasting Company becomes All India Radio (AIR) # 1978 -First television commercial seen # 1990-Marks the beginning of new medium Internet # 1991- First India-targetted satellite channel, Zee TV starts broadcast # 1993-India's only advertising school, MICA (Mudra Institute of 2

Communications Ahmedabad), is born

1.3 DEFINITION Advertising: Advertising is a form of communication used to promote products and services of a company primarily to generate sales and secondary to create a brand identity, introduce new products and services, communicating a change in the existing product line. It also helps in communicating social messages to the masses.

According to the American Marketing Association advertising is defined as “Any paid form of non –personal presentation and promotion of ideas, goods or services by an identified sponsor”.

Latin Word: “ADVERTERE” - Turning the valuable attention towards the product”. “Any paid form of non personal communication of information about products or ideas by an identified sponsor through the media in an effort to persuade or influence behavior of the people in such a manner as to induce them to buy.” What is advertising? 

It is a message designed to promote a product service or an idea.

Its purpose is to persuade people to buy products or services

Businesses use advertising to gain new customers and increase sales.

Advertising helps shape tastes, habits, attitudes and culture of a country.

“Advertising can only create awareness & demand but CAN NOT sell a product on its own.” 3



Advertising provides information:

The basic purpose of advertising is to provide information about products, goods, services or ideas to perspective buyers. The details of products such as features, uses, prices, benefits, other instructions to be followed while using the product are given in the advertisements.


Advertising is a paid form of communication:

Advertising may be in any convenient form such as sign, symbol, slogan, Illustration or message.


Advertising is a non-personal presentation:

Advertising is non-personal in character as against salesmanship which is personal (face to face communication) in character. In Advertising, the message is given to all and not to one specific individual. e.g. T.V., radio, etc.


Advertising is an art, science and profession:

It is an art as it needs creativity for raising its effectiveness. It is treated as science as it has its principles, rules, etc. Advertising is now treated as profession with its professional bodies and code of conduct for members.



Creativity-the essence of Advertising:

Advertising is a method of presenting a product in an artistic, attractive and agreeable manner. This is possible through the element of creativity which is the essence of Advertising of the present period.


Advertising is for persuasion:

Advertising is not only for giving information but also for appealing people to buy a specific product. It aims at persuasion of potential customers.


Advertising is target oriented:

It is possible to make intensive Advertising by selecting a specific market or specific segment of consumers for the purpose of Advertising. This selection of specific market is called target market.


Advertising is an important element in marketing mix:

Advertising supports the sales promotion efforts of the manufacturer. It can make positive contribution in sales promotion provided other elements in the marketing mix are reasonably favorable.

Brand plays an important role in promoting the product or the company, let the advertisement be the best if it won’t have a particular it won’t work out in the market.


1.5 FUNCTIONS OF ADVERTISING Advertising has become an essential marketing activity in the modern era of large-scale production and severe competition in the market. It performs the following functions:


Promotion of sales: It promotes the sale of goods and services by informing people to buy them. A good

advertising campaign helps in winning customers and generating revenues.


Introduction of new products: It helps in the introduction of new products in the market. A business enterprise can

introduce itself and its products to the public through advertising. Advertising enables quick publicity in the market.


Support to production system: Advertising facilitates large-scale production. The business firm knows that it will be

able to sell on a large scale with the help of advertising. Mass production will reduce the cost of production per unit by making possible the economical use of various factors of production.



Increasing standard of living: Advertising educates the people about the products and their uses. It is advertising

which has helped people in adopting new ways of life and giving up-old habits. It has contributed a lot towards the betterment of the standard of living of society.


Public image: It builds up the reputation of the advertiser. Advertising enables a business firm to

communicate its achievements and its efforts to satisfy the customers’ needs to the public. This increases the goodwill and reputation of the firm.


Support to media: It sustains press. Advertising provides an important source of revenue to the

publishers of newspapers and magazines and the producers of T.V. programmes.



General Objectives … Persuade : Objective is to build demand for a particular “Brand” of product – Toilet soaps, toothpastes, etc. Remind : After establishing the product – to remind the public about the product – Coca Cola, Pepsi, Cadbury’s, etc. Specific Objectives … Induce Trial : Induce the customer to try the product - Ariel, Vim, Surf, - any detergent Intensify Usage : Get another segment to try the product - Cadbury’s by older people Sustain Preference : Established Brands advertise to maintain ‘Market Share’ – Cadbury’s is generic to chocolates Confirm Image : Of the Brand in the minds of the customer –Nescafe Change Habits : Change the buying pattern – Dove soap, other cosmetics and beauty creams


Build Line of Acceptance : Display the entire range of its products - Bata - formal shoes, sports, slippers, chappals, gum boots, etc. In short anything in footwear

1.7 TYPES OF ADVERTISING 1.7.1 Classified Advertising •

Classified advertising provides information in a dry matter-of-fact manner. Useful information about the employment market (situations vacant and situations wanted) about births, deaths, engagements and marriages, about change of names, about accommodation and housing (accommodation available and accommodation wanted), about the availability of various services such as tuitions, and about various items on sale.

Matrimonial advertising are also a part of classifieds and are frequently casteist, racist and sexist. Another type of classifieds is service advertising which focuses on services such as professional training , coaching classes, consultancies, public speaking, hotel, tourism and others.

The approach here is usually more direct and information oriented. Very little creativity is allowed and creativity is used for complimenting the important factual information / data.


1.7.2 Consumer Advertising •

Consumer advertising is the type of advertising readers, listeners and viewers are exposed to most of the times. It is the type that tends to promote attitude and lifestyles, which praise acquisition and consumption at the expense of higher values.

They play on emotions, change real human situations into stereotypes, exploit anxieties and employ techniques of direct and indirect persuasion.

1.7.3 Retail Advertising Advertising that conveys to the consumers messages about the retailer, its products, its service and its goals. The objective here is to inform reader listener or viewer about Retailer Offerings Prices Services. Retail ads primarily look at Stimulating trial, Increasing demand, improve availability Includes : premiums, Frequent buyer programs, coupons Long Term goals are to Create a positive store image, Store Positioning in Marketplace, Public Service Short Term focus is to Increase sales to current customers, Attract new customers •

The ad message is designed based on and inclusive of: 

Age of Store

Store location

Types of Goods

Level of competition

Market Area Size

Supplier Support 10

1.7.4 Viral Marketing

Viral marketing is a term used to describe the technique used to increase awareness of a certain advertisement through self-replicating processes.

The basic rule about viral marketing is that you only have to think of a way that your advertisement would encourage people to pass it along. This is why this technique is more often called “word-of-mouth marketing”. Where and what to use for the advertisement is up to you.

Using the internet as means of marketing is becoming a need nowadays if the goal is to have a cheap advertisement and gain brand awareness in a fast and effective way.

The goal of viral marketing is to make people promote your product in order to increase brand awareness.

If your target consumer is everybody this technique is used.

People are the means and target of these advertisements.


1.7.5 Web Advertising Web advertising is the action of promoting your website using online advertising tools, techniques and methods proven to get the results you are looking for.

It is used simultaneously as online advertising. Online advertising is basically the action of actively promoting your new business. “The signposting should give a concise and accurate idea of what they can expect to find when they get there with that precious click. What happens after that, is another matter. “

Types Of Web Advertising •

Banners –

Interstitial –

(static, animated and interactive)

(poups and similar pages that interrupt the user)

Rich Media –

(Advanced technology, incorporating video, audio, animation and photographs)

Sponsorships, events and corporate sites

Opt-ins –

(forms, newsletters push technologies)

Viral marketing and email campaigns

Spam, and cookies


1.8 THE ROLE OF ADVERTISING…. The role the Advertising plan can only be in the context of the Marketing Plan – The Advertising Plan must support and synergise with: •

the elements of the Marketing Mix

• and other elements of the Communication Mix Need to understand ‘How Advertising Works’ to appreciate the role it plays





Personal Selling


Mass Selling

Sales Promotion


Target audience

Kind of advertising

Media types


Outdoor Publicity


1.9 GROWTH OF ADVERTISING IN INDIA: Advertising as we understand today has its origin in the early historical period. It has made steady progress over centuries. Its need or importance is growing along with the growth and expansion of business activities. Many significant changes have taken place during the process of evolution of advertising. Like other countries, advertising has a long history in India. However, advertising was officially recognized as a medium of mass communication only in the 18th century. The first newspaper “BENGAL GAZETTE” was published in India in 1780. By 1786, there were four weekly newspapers and monthly magazines published in Calcutta. Advertising on radio started in India in 1950’s. Advertising on radio proved to be a powerful medium useful for creating new markets. Commercial Broadcasting has informed and entertained people for more than 40 years. In 1928, two advertising agencies were started in India. The importance of advertising started increasing only after the Second World War. The Association of Advertising Agencies of India (AAAI) was established in 1945. The Audit Bureau of Circulation (ABC) was started in 1948. T.V. started in India in September 1959. In addition to DD Metro now we also many other channels on television like Zee T.V., STAR PLUS, COLORS, ETC. cable T.V. and many more such channels for advertising purpose. Introduction of satellite T.V. has made a revolution in the advertising field in India. The progress of advertising in terms of quality, creativity and coverage is extremely fasten India since 1950 due to the introduction of new advertising media. Ample of scope is available for advertising due to industrial growth. 14




Money Mission Sales goals Advertising objectives

Factors to consider: Stage in PLC Market share and consumer base Competition and clutter Advertising frequency Product substitutability

Message generation Message evaluation & selection Message execution Social responsibility review

Measurement Communication impact Sales impact

Media Reach, frequency, impact Major media types Specific media vehicles Media timing Geographical media allocation


5 Ms OF ADVERTISING While making an Advertising program five Ms should be taken into consideration, they are:  MISSION: What are the Advertising objectives?  MONEY: How much can be spent? (Advertising budget)  MESSAGE: What message should be sent?  MEDIA: What media should be used?  MEASUREMENT: How should the results is evaluated?


There are various types of advertising which are mentioned below · Print Advertising: Newspapers, Magazines, Brochures, Fliers · Broadcast advertising: Television, Radio and the Internet · Outdoor Advertising: Billboards, Kiosks, Tradeshows and Events · Covert Advertising: Advertising in Movies · Public Service Advertising: Advertising for Social Cause · Celebrity Advertising



CHAPTER 2:- ADVERISING PROCESS When preparing your search proposal, you should take into account that the “lead-in” time needed to place an ad can vary anywhere from days to months depending on the publication. You should plan to have your ad approved and an estimate of the cost done at least one month prior to the date when you want the ad to be published. The advertising process for professional staff and faculty positions involves five basic steps: 1. Writing an Ad 2. Getting Approval for the Text of the Ad 3. Estimating the Cost of the Ad 4. Placing Ads & Posting Announcements 5. Paying for Ads STAGE Briefing Stage

Creation Stage

Production Stage

Post Production Stage


Briefing from the client Internal briefing to the creative and media Any research briefing if required

• • • • • • • • • • • •

Ad campaign and media plan development Internal review and finalization Presentation to client and approvals Any pre-testing if required Budget and estimate approvals Production of film, press ads, collaterals Media Scheduling and media booking All release approvals for creative & media Material dispatch to media Media release monitoring Any post-testing if required Billing and collection






Marketing and Promotions Process Model Marketing Strategy and Analysis

Competitive analysis

Target marketing

Target Marketing Process

Marketing Planning Program Development

Identifying markets

Product decisions

Market segmentation

Pricing decisions

Selecting a target market Positioning through marketing strategies

Channel of distribution decisions

Promotional decisions •advertising •direct marketing •internet/ interactive marketing •sales promotion •publicity and public relations •personal selling

Target Market Promotion to final buyer

Promotion to trade

Ultimate customer •Consumers •Businesses




2.2 ACTIVE PARTICIPANTS IN ADVERTISING Advertising is a type of collective activity which needs the support and participation of certain individuals or organizations. They are called active participants in advertising. Such participants are called: 1) Advertisers 2) Advertising agency 3) Audience 4) Advertising media and finally 5) The government authorities




Advertisers are the individuals/firms/organizations which desire to advertise their products or services. They support the whole advertising process as they provide finance by paying the advertising charges. They initiate entire advertising process. It is the advertiser who takes broad decisions about advertising. He decides the advertising budget, select the audience, media and agency for the purpose of advertising. He is the key participant in the entire advertising activity.


Advertising agencies:

An advertiser can implement his advertising plan directly through his own sales or advertising department or may transfer the entire responsibility of advertising to a specialized professional agency called advertising agency. These agencies provide expert services to their clients that is advertisers. They prepare advertising plan and execute them the same on behalf of their client. An advertiser can transfer his botheration about advertising to such advertising agency. Such agencies charge commission of 15% from media owners on the media bills. Such agencies offer benefit of their skills and experience to their clients. HTA, Lintas mudra, Everest, O and M are some leading advertising agencies operating in India.




Advertising is for giving message about goods or services to readers, viewers or listeners. They constitute the audience. It is for their information and guidance that advertisements are given. An advertiser desires to cover his target audience/market for promoting sales. Efforts are also made to make advertisements attractive and agreeable to the audience. Moreover, waste in advertising is possible when the advertising message is not received or accepted by audience.


Advertising Media :

Advertising media act as a connecting link between the advertiser and the audience. The media act as a channel of communication for giving message to two or more media for advertising purpose. Newspaper, magazine, radio and T.V. are some popular advertising media and are used extensively by advertisers. In India T.V. advertising is popular but is equally costly. The advertising agency guides their clients in the selection of convenient advertising media that is media planning.


Government Authorities:

Government authorities act as a one important participant in the advertising field. Government acts as a supervisory authority in the field of advertising. It makes rules and regulations as regards that use of media for advertising purpose. Some advertising media such as radio and T.V. operate directly under the control of central government. 23

2.3 IMPACT OF ADVERTISING Advertising plays an important role in today’s competitive business world. It provides benefits to Manufacturers, Retailers, Customers, Salesman and Society as well.


Introduces a New Product:

Advertising is used to introduce a new product in the market. It helps to compete with establish brands and, thereby, ensures the survival and success of new product.


Creates Demand for Product:

Advertising creates demand for the product. Advertising spread information about the product or services and makes consumers aware about it through various mass media which makes positive effect on the mind of the people and create demand for the product.


Expand Market:

It helps in expanding local markets, to national level and even to international level. Trading at national and international level is impossible without advertising


Assists Personal Selling:

Advertising reaches a prospect before a salesman could. The prospect is well informed through advertising. Makes the salesman’s job easier.



Building Brand Image:

The purpose of repeat advertisings is to make people more brands conscious. Once good brand image is developed, buyers generally become brand loyal. Money spent on advertising is a long term investment to build brand and company image.


Reduces the cost of goods:

Advertising generates more demand, which leads to large scale production and distribution. This results in economies in large scale which in turn reduces cost of goods.


Persuades prospects:

Every competitor makes superior claims of his product. Therefore, a prospect needs to persuade to buy products. So, the role of Advertising is not only to inform but also to persuade.



Advertising provides employment in the field of advertising to copywriters, models, etc. It provides indirect employment in society due to large scale production and distribution.



Marketing mix refers to advertising combination of four elements of marketing useful for large-scale marketing. Such elements are: Production, Price, Place, and Promotion (4 Ps). According to W.J. Stanton “Marketing mix is the term used to describe the combination of the four inputs which constitute the core of advertising company’s marketing system: the product, the price structure, the promotional activities and the distribution system”

3.1Advertising and elements of marketing mix:


Advertising and product:

Product is the core element in the marketing mix. The market demand finally depends on the popularity and utility of the product. Popularity again depends on the Quality, benefits and uses of the product. It is necessary to give publicity to physical and other features of the product. Such information needs to be communicated to the prospects through advertising.


Advertising and price:

Buyers are always sensitive about the market price. They shift from one product to the other due to quality or price. Price charged should be reasonable. This is necessary for the support and co-operation of consumers.



Advertising and Place:

Place relates to physical distribution which is possible through various channels of distribution. Advertiser has to decide whether to adopt direct or indirect channels of also useful for large-scale distribution. Advertising plays a crucial role to ensure smooth distribution of goods and keep the consumers well-informed.


Advertising and Promotion:

Promotion is perhaps the most important element in the marketing mix. Companies introduce sales promotion campaigns for capturing market. Price discounts and schemes like buy one, get one free are also offered as sales promotion. Various sales promotion techniques are introduced at the consumer and dealer levels. Window display, provision of after sales services and coordinal public relations also facilitate sales promotion. Massive advertising is useful to support the sales promotion campaigns.




Newspapers are one of the traditional mediums used by businesses, both big and small alike, to advertise their businesses. Newspaper brings 'immediacy' to a communication. Newspapers also have the authority of the written word, and are good at presenting detail. As a print medium, the national press suffers from clutter and from the fact that the reader can and does edit ruthlessly to avoid advertising. Advantages •

Allows you to reach a huge number of people in a given geographic area

You have the flexibility in deciding the ad size and placement within the newspaper

Your ad can be as large as necessary to communicate as much of a story as you care to tell

Exposure to your ad is not limited; readers can go back to your message again and again if so desired.

Free help in creating and producing ad copy is usually available

Quick turn-around helps your ad reflect the changing market conditions. The ad you decide to run today can be in your customers' hands in one to two days.


Disadvantages •

Ad space can be expensive

Your ad has to compete against the clutter of other advertisers, including the giants ads run by supermarkets and department stores as well as the ads of your competitors

Poor photo reproduction limits creativity

Newspapers are a price-oriented medium; most ads are for sales

Expect your ad to have a short shelf life, as newspapers are usually read once and then discarded.

You may be paying to send your message to a lot of people who will probably never be in the market to buy from you.

Newspapers are a highly visible medium, so your competitors can quickly react to your prices

With the increasing popularity of the Internet, newspapers face declining readership and market penetration. A growing number of readers now skip the print version of the newspaper (and hence the print ads) and instead read the online version of the publication.




TV has traditionally been the most powerful and popular advertising medium for people in the media business. This is mainly because it does most things well - coverage, frequency, image, persuasion, demonstration, impact etc. Traditionally a high-cost medium, the downside with TV is that the audience is now fragmented across many different channels, production costs are extremely high and viewers are increasingly avoiding ad breaks. Advantages •

Television permits you to reach large numbers of people on a national or regional level in a short period of time

Independent stations and cable offer new opportunities to pinpoint local audiences

Television being an image-building and visual medium, it offers the ability to convey your message with sight, sound and motion

Disadvantages •

Message is temporary, and may require multiple exposure for the ad to rise above the clutter

Ads on network affiliates are concentrated in local news broadcasts and station breaks

Preferred ad times are often sold out far in advance

Limited length of exposure, as most ads are only thirty seconds long or less, which limits the amount of information you can communicate

Relatively expensive in terms of creative, production and airtime costs 30


Direct Mail:

Direct mail, often called direct marketing or direct response marketing, is a marketing technique in which the seller sends marketing messages directly to the buyer. Direct mail includes catalogs or other product literature with ordering opportunities; sales letters; and sales letters with brochures. Advantages •

Your advertising message is targeted to those most likely to buy your product or service.

Marketing message can be personalized, thus helping increase positive response.

Your message can be as long as is necessary to fully tell your story.

Effectiveness of response to the campaign can be easily measured.

You have total control over the presentation of your advertising message.

Your ad campaign is hidden from your competitors until it's too late for them to react

Active involvement - the act of opening the mail and reading it -- can be elicited from the target market.

Disadvantages •

Some people do not like receiving offers in their mail, and throw them immediately without even opening the mail.

Resources need to be allocated in the maintenance of lists, as the success of this kind of promotional campaign depends on the quality of your mailing list.

Long lead times are required for creative printing and mailing

Producing direct mail materials entail the expense of using various professionals copywriter, artists, photographers, printers, etc.

Can be expensive, depending on your target market, quality of your list and size of the campaign. 31



Advantages •

Radio is a universal medium enjoyed by people at one time or another during the day, at home, at work, and even in the car.

The vast array of radio program formats offers to efficiently target your advertising dollars to narrowly defined segments of consumers most likely to respond to your offer.

Gives your business personality through the creation of campaigns using sounds and voices

Free creative help is often available

Rates can generally be negotiated

During the past ten years, radio rates have seen less inflation than those for other media

Disadvantages •

Because radio listeners are spread over many stations, you may have to advertise simultaneously on several stations to reach your target audience

Listeners cannot go back to your ads to go over important points

Ads are an interruption in the entertainment. Because of this, a radio ad may require multiple exposure to break through the listener's "tune-out" factor and ensure message retention

Radio is a background medium. Most listeners are doing something else while listening, which means that your ad has to work hard to get their attention 32



Magazines are a more focused, albeit more expensive, alternative to newspaper advertising. This medium allows you to reach highly targeted audiences. Magazines are useful to advertisers because of the relationship they have with the readers, who consume them in a personal way. They allow targeting by lifestyle and interest group. In many magazines the ads are seen as part of the magazine experience. Weaknesses of magazines include the fact that lead times can be very long depending on the title's frequency of publication, the high levels of clutter, and the reader's inclination to simply turn the page. Advantages •

Allows for better targeting of audience, as you can choose magazine publications that cater to your specific audience or whose editorial content specializes in topics of interest to your audience.

High reader involvement means that more attention will be paid to your advertisement

Better quality paper permits better color reproduction and full-color ads

The smaller page (generally 8 ½ by 11 inches) permits even small ads to stand out

Disadvantages •

Long lead times mean that you have to make plans weeks or months in advance

The slower lead time heightens the risk of your ad getting overtaken by events

There is limited flexibility in terms of ad placement and format.


Space and ad layout costs are higher

4.6 •


The strength of outdoor advertising lies in its ability to suddenly confront the consumer with an idea or a challenge, in a very public way. Like radio, posters also operate within time which people think of as free - typically travelling time.

The weaknesses of outdoor advertising mainly stem from three issues: it has no editorial context, it uses extremely simple, striking ideas to be effective, and it suffers from relatively expensive production.

As the name sounds, it is the advertising in open-air. In the past, much of the outdoor advertising consisted of hoardings, posters, billboards and signboards. Now there are innovations taking place every month. Today we have a range of media available e.g. transit advertising, mobile bill boards, traffic signals, bus stops, railway stations, airport, subways, phone boxes, coffee tables, traffic barriers, blimp and inflatable, packaging materials, cups, corporate stationary, etc.

There are a number of outdoor advertising choices available. Eateries and hotels commonly make use of highway billboards to steer customers in for a rest or a bite. The automobile and tourism industries account for a very large percentage of billboard revenue. Bus benches often feature outdoor advertising for local businesses, while bus shelters might display a major movie promotion. Beverage companies commonly make use of sporting events and arenas, among other venues, while taxicabs, buses, railways, subways and wall murals offer other forms of outdoor advertising. 34

4.7Yellow Page: There are several forms of Yellow Pages that you can use to promote and advertise your business. Aside from the traditional Yellow Pages supplied by phone companies, you can also check out specialized directories targeted to specific markets (e.g. Hispanic Yellow Pages, Blacks, etc.); interactive or consumer search databases; Audiotex or talking yellow pages; Internet directories containing national, local and regional listings; and other services classified as Yellow Pages. Advantages •

Wide availability, as mostly everyone uses the Yellow Pages


Action-oriented, as the audience is actually looking for the ads

Ads are reasonably inexpensive

Responses are easily tracked and measured


Disadvantages •

Pages can look cluttered, and your ad can easily get lost in the clutter

Your ad is placed together with all your competitors

Limited creativity in the ads, given the need to follow a pre-determined format

Ads slow to reflect market 35



Telephone sales, or telemarketing, are an effective system for introducing a company to a prospect and setting up appointments. Advantages •

It's easy to prospect and find the right person to talk to.

It's cost-effective compared to direct sales.

Results are highly measurable.

You can get a lot of information across if your script is properly structured.

If outsourcing, set-up cost is minimal

Increased efficiency since you can reach many more prospects by phone than you can with in-person sales calls.

Great tool to improve relationship and maintain contact with existing customers, as well as to introduce new products to them

Makes it easy to expand sales territory as the phone allows you to call local, national and even global prospects.

Disadvantages •

An increasing number of people have become averse to telemarketing.

More people are using technology to screen out unwanted callers, particularly telemarketers

Government is implementing tougher measures to curb unscrupulous telemarketers

Lots of businesses use telemarketing.

If hiring an outside firm to do telemarketing, there is lesser control in the process given that the people doing the calls are not your employees


It can be extremely expensive, particularly if the telemarketing is outsourced to an outside firm

It is most appropriate for high-ticket retail items or professional services.


Specialty Advertising:

This kind of advertising entails the use of imprinted, useful, or decorative products called advertising specialties, such as key chains, computer mouse, mugs, etc. These articles are distributed for free; recipients need not purchase or make a contribution to receive these items. Advantages •

Flexibility of use

High selectivity factor as these items can be distributed only to the target market.

If done well, target audience may decide to keep the items, hence promoting long retention and constant exposure

Availability of wide range of inexpensive items that can be purchased at a low price.

They can create instant awareness.

They can generate goodwill in receiver

The items can be used to supplement other promotional efforts and media (e.g. distributed during trade shows).

Disadvantages •

Targeting your market is difficult. 37

This can be an inappropriate medium for some businesses.

It is difficult to find items that are appropriate for certain businesses

Longer lead time in developing the message and promotional product


Profile Of Major Advertising Mediums ADVANTAGES


Newspapers Flexibility; timeliness; good local market Short coverage;






high quality; small pass along audience.

believability. Television

Combines sight, sound and motion; High absolute cost, high clutter, appealing to the senses; high attention; fleeting exposure, less audience high reach.

Direct mail


Audience selectivity, flexibility, no ad Relatively high cost, junk mail competition within the same medium, image. personalization.






demographic selectivity; low cost.

and Audio presentation only; attention



lower non

standardized rate structure; fleeting exposure. Magazines




demographic Long ad purchase lead time; some

selectivity; credibility and prestige; high waste circulation; no guarantee of quality reproduction, long life; good pass- position. along readership. Outdoor

Flexibility; high repeat exposure; low Limited cost; low competition.



creative limitation. 38


Flexibility; full control; can dramatize Overproduction could lead to run message.

away costs.


4.11 Market MarketAnalysis Analysis

Where does advertising objectives fall in the marketing plan Consumer ConsumerAnalysis Analysis

Advertising Advertising in in the the Marketing Plan: Marketing Plan: The The Company’s Company’s overall overall marketing marketing plan determines promotional plan determines promotional objectives objectives and and from from these these objectives, objectives, advertising advertising objectives objectives are are derived. derived. Promotion Promotion objectives objectives specify specify what is to be accomplished what is to be accomplished and and where where advertising advertising fits fits in. in. The next step is to set The next step is to set specific specific ad ad objectives objectives and and goals. goals.

Competitive CompetitiveAnalysis Analysis

Brand Brand

Organizational OrganizationalRealities Realities

Marketing MarketingPlan Plan Marketing MarketingObjectives Objectives Sales Objectives Sales Objectives

Advertising AdvertisingObjectives Objectives

Advertising AdvertisingStrategy Strategy

Advertising AdvertisingTactics Tactics Promotions Promotions

Creative CreativeStrategy Strategy

Media MediaStrategy Strategy




Organization Structure

The activities within an advertising agency are typically divided into 4 broad groups: account management, the creative department, media buying, and research. These divisions are usually physically separated, although all four areas work closely together to produce an advertising campaign in its entirety. Account managers usually have daily interaction with a counterpart at the client's office and coordinate the activities of the other departments according to the client's wishes. The creative department designs original themes or concepts for ads, while the media department places finished ads within the media in which they will receive the most exposure to a target audience. The research department provides data about consumers to help the agency and the client make informed advertising decisions. Recently added to advertising agencies' roster of services are public relations, direct marketing, and promotional services. Other activities that used to be completed by outside vendors, such as photography and high-tech print work, have been brought in-house in many agencies.




Board of Directors

Managing Director

Client Services Director

Creative Director

Servicing Group

Creative Groups Audio Visual




Studio Production

Finance / Accounts

Secretarial / Legal Personnel Branches



6.1 6.1.1



As we all know CADBURY and AIRTEL are two different companies for two entirely different product groups, in the market. Cadbury is the FMCG Company whereas Airtel is a leading company in the field of telecommunication. Both these companies are different from each other, as both are from entirely different background and manufacture, distribute and sell entirely different products from each other, the purpose behind selecting both these companies in the project of advertising is that both are leading brands, their products are sell all around the world, successful products, and a goodwill, these all reasons are equally important for success of both these companies, and all this is only possible as both these companies are best in marketing their products in proper and a different manner through advertising. Advertising is one of the essential tool of these companies to set a place for their products in the minds of all the people.




CADBURY AND AIRTEL ARE THE TWO COMPANIES WHICH STOOD IN TOP 5 RANKING OF THE BEST ADVERTISEMENTS TELECASTED ON TELEVISION The consumers are quite impressed by both these companies, because of their different way of marketing and advertising. Social advertising, besides FMCG and telecom companies, beat the slowdown blues to emerge as the country’s top television advertising categories in the first two months of 2009, as per data collated by media tracking firm TAM AdEx. Among individual firms, Hindustan Unilever, Reckitt Benckiser, GlaxoSmithKline, Bharti Airtel and Cadbury were the top five advertisers by volumes (seconds spent advertising) on TV.




Cadbury is an FMCG Company that is the fast moving consumable goods company, it gives strong competition to all the companies which sell eatable items and mostly chocolates and one among those competitors is Nestle and Amul which also sells chocolates and some other eatable items. Cadbury is ahead from both these companies when advertising is considered, because of which most of its products are a hit in the market among the consumers, but the consumers delight is the Dairy Milk chocolate. Dairy Milk chocolate is the favourite of the consumers among all the other chocolates available in the market. Other than this some more products of Cadbury are Perk, 5 Star, Bournvita, Fruit and Nut, Celebrations. Cadbury is one company which sells its products and promotes and advertise them as per the demand and liking of the product in the minds of the people and in the market. It considers all the situations, seasons, likings, behavior of the people to advertise its products. The most important thing which we see in the ads of Cadbury is the theme and the emotion. In the advertisement of Cadbury dairy milk the theme is to have something sweet whenever it is the time of happiness of celebration, so to have dairy milk to celebrate it, may be when India wins a cricket match or when anybody passes in exam in this the tagline was “pappu pass ho gaya”, or when it is the day of salary. Currently the tagline is “kuchh meetha ho jaye”


Whenever we see an ad commercial of Cadbury on television we feel like having a Cadbury dairy milk chocolate at that time, this is the impact of the advertisements of Cadbury. These ads are totally different from other chocolate companies ads and always have a logic or theme behind it for having something sweet which attracts the customers a lot.



AIRTEL as we all know is a well known and a well established company in the field of telecommunication. It sells sim cards in the market and give tough competition in the market to companies such as BSNL, VODAFONE, RELIANCE, etc. Airtel is having a stable and good place in the market, it is all because of its marketing strategies and different way of promoting its product. The advertisements of Airtel are very well planned and are different as compare to the advertisements of other companies sim cards. People are able to relate with these advertisements, mostly having R.Madhavan and Vidya Balan in them, people loved the ads of airtel in which both these stars acted as they really share a superb chemistry in these advertisements which appealed and impacted a lot on the consumers and it created a strong and a positive impact in the minds of the consumers.




The advertisement should be attractive enough and should leave a positive and a good impact in minds of the people. One of the examples of such advertisement is of VODAFONE which really advertise its brand in a different manner which appeals the overall society and which also impacts a lot on all the people.




This advertisement of Vodafone was specially created only for telecasting during the IPL season and for the T20 world cup, these types of 36 advertisements were created and people loved these advertisements a lot, this ad really created a lot of positive impact in minds of all group of consumers, today also people like recalling these advertisements as it was a piece of creativity and something different in the world of advertisements seen till today by all the consumers.



The advertising is one thing which impacts all, the society on a whole, and the society includes all children, youngsters, adults and even old aged people. The overall impact of advertising can be positive for some people and some consider only the negative aspect of the advertisement, it depends from person to person, every person thinks differently for every other advertisement some ads may appeal to some people and some may not appeal to those people, it depends on their perception and thinking about a particular product. The advertisement of a product should be such which appeals all from child to a adult including the youngsters, may be the target audience be different for different products but no one should feel inferior after seeing the advertisement or it should not highlight the negative aspect of any group of persons, this also plays important role in brand building of a particular product, success of the product and the image of the company.






Costly Functions:

The strong objection and arguments against the advertising is that it is a costly function. It is generally criticized that the cost of advertising to too high and that such high cost is covered by the selling price of the advertising goods. Advertisement is considered as an indirect cost which is added in the distribution expenses. When expenses are to be increased, the selling price of the products will also be enhanced. It is true factor because large advertisers spend thousand of Rupees for advertising in a week. In one study it is found that advertising cost exceeded 6% of sales. It means that consumers will have to pay higher prices of the advertised products. But if the goods were not advertised the cost of advertisement cannot become burden on the consumer. Thus the unbalanced advertising may cause certain goods to cost the consumers more than they should. So it is regarded as an economic waste.


Encourage monopoly

Advertisement restricts the competition among the products. Big industrialists and manufacturers may exercise their monopolistic control over the market with the help of advertisement technique which is always against the public interest.



High prices

It is undoubtedly true that effective advertising increase the sales volume. This increased sale will require more products. Thus the large scale production brings down the cost of goods per unit due to economies in various sectors which reduces the consumes selling prices. But the producers do not lower the prices and the burden of advertising remains on the shoulders of consumers.


Disconnection of business

Small firms cannot properly advertise their products due to limited resources. But on the other side entire market is controlled over by great advertisers. It becomes impossible for small firms to continue their business in the business field so small firms disappear form the market.


Influences purchasing power

Advertising goods are generally available in the market at high prices which influence the purchasing power of the consumers. So some people use foul means to increase their income for the purpose of meeting their necessities of life. Thus unnecessary advertising creates the corruption in the society.



Buying problems

There are numerous similar types of products which are advertised in the market. But producers lay great emphasis on minor differences in the formula or technique of advertised goods. For example there are many brands of advertised Shaving Creams which perform the same function. But is has become impossible for the average buyer to judge with any certainly the quality of the hundreds of articles he buys.


Miscellaneous objection


Inferior quality of goods are introduced in the market to deceive the consumers.


The new firm having limited resources cannot compete with a already established big firms, with the help of advertising.


A large firm can divert demand from one product to another with the help of advertisement.


Consumer’s choice is greatly injured by the advertisement.


As advertising is a comparatively new art so certain media of advertisement is ineffective and inefficient than it could be.






After doing the study on advertising, I think that the perfect advertising is the advertising which should atleast contains the following things after planning and doing research on the customer preference:

Jingle and signature tune: -

Jingles are like a song therefore it is more likeable by Indians. It is easy to remember the product which has jingle in its advertising and it sounds nice. Most of advertisings that have signature tunes are successful in the market so it is useful. And also signature tunes are now used as a ring tones which makes other people also aware about the product. (JingleCadbury and signature tune-Airtel)

Use different modes of advertising: -

Using different modes of advertising makes chances of aware of products in a large scale. Modes like online, TV serials and show, billboards, standard newspaper, magazines, word of mouth, etc give a desired publicity to a product. More use of modes may increase initial cost but it gives good return to new product.


If advertising has to be made within the home than its condition should well enough because its reflect the company image. Its environment should look comfortable. If the advertising has to shoots at outdoor then city or foreign frames is a good option because it gives advertising a rich business culture and in many country it is cheap to do advertising because of tax break (Bangkok, Prague, Dubai, etc). 53

Advertising in sports:-

The FIFA and the Cricket are the medium through which the millions of people are connected to the advertising. The advertising shown at the time of India and Australia match has a same effect as the advertising shown during FIFA. In India cricket is much liked as compared to other sports so it is to be used for promotion. (Ford fiesta-MOM, Nike, etc.)

Brand ambassador:-

Shahrukh, Amitabh, Aishwarya, Aamir, Sachin, Dravid, Sania, Dhoni and John are the brand ambassadors who are popular and make the product sale through their advertising. The personality other than this had not make good effect on their own. The survey by TAM Media says that this above mentioned personality has a good effect not only on men but also on women and kids. In the Promo Survey 2006, which analysed buying behaviour, said 52% of respondents or consumers think that celebrities make brands popular. 40% changed their buying behaviour based on the celebrity endorsement. 52% customers believe that a brand should always have a brand ambassador.

Innovation in advertising:-

Advertising should also be published through innovative media like outdoor campaign, advertisings in the serials and show (Kit Kat), use of that product in a movie (Virudh-Calcium Sandoz, Bournvita-Koi mil gaya, Motorola-Don, etc), streets play (Airtel), give advertising on the another product (‘rang de basanti’ printed on the coke bottles), advertise through SMS or Free Promos, neon, etc because it attract the target people at cheaper cost.


Different advertising for rural areas:-

Rural people are more attentive towards the advertisings which are non-traditional. The word of mouth particularly by the main person in that particular area is one of the best methods in rural areas. Many company had use different strategies for expanding their market in rural (Mortein, Asian paints, Fevicol, Cadbury, etc)

Animation or icon:-

Animation in advertisings has given a positive response to an advertising industry. Many advertising with an animation character or icon are known on the basis of animation character or icon (Eveready- ‘billi chaap’, Energizer-‘bunny’, Scrat in Horlicks etc.)

Colour theme:-

A particular colour should be used as a theme for the product so that whenever a person see that colour he get a click in his mind about the product feature (scooty - pink, bikeblack fear, etc.).

Different advertisings for different regions:-

The advertising shown in south and west should be with their culture and with rocking sound, whereas the advertising in north and east should be of soft theme. In south their local hero should be used and in north and west bollywood star should be used and in east tellywood star should be taken.



In todays competitive and a globalised economy the need and importance of advertising is increasing day by day, as the development in all fields is taking place rapidly. Advertising is really a very interesting and a very important topic related to marketing as marketing depends a lot on advertising. Advertising helps the advertiser to communicate the message to the consumer in a proper manner. Everyone needs advertising for promoting its products or services in this competitive market. Advertising acts a tool for the companies to inform the consumers about the latest product in the market and also to give reminder to the consumers for already existing products in the market. Advertising is useful for both the advertiser and the consumer, as the companies boost their sales through it and consumer get the knowledge of the product or service in the market. Advertising has really changed from past to present, today advertising is done in a totally different and in an extra ordinary manner from the previous years, its appeal and impact is more as compare to past, this is because of globalization and development and in future we may see more different type of advertising as compare to today’s advertising.


In todays India which is fast moving & dynamic, people’s wants, need and desires are changing; it’s very important to know them and give them what they want. This is the main objective of advertising where ad agency plays major role in market research, making of creative, launching it in the market, taking the feedback of consumer and making any product famous and acceptable among consumers. Ad agencies are playing an important role in shaping present and future of not just selected brand but of entire company.

There is no one -- sure-fire -- best way to advertise your product or service. It is important to explore the various advertising media and select those which will most effectively convey your message to your customers in a cost-efficient manner.


remember, advertising is an investment in the future of your business.


Bibliography & Webliograpy

Books •

ADVERTISING MANAGEMENT Concepts and Cases by Manendra Mohan

Advertising Management by B. S. Rathor


4 Ps Business & Marketing

Economic Times









View more...


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