Advertising

Advertising

A shop wants to attract more customers or clear stocks, so

it decides to offer special discounts for a period.
It advertises in the daily newspapers to inform the public
of its sale.

A company brings out a new product which is much

more economical than the existing ones in its category.
If the company cannot advertise the product, it would
never be able to enter the market. Any other form of
communication would be long drawn out and uneconomical.

The Government wants corporate, businessmen and salaried

people to pay taxes. It advertises in newspapers, radio
and television to reach the target audience.

Who needs advertising?

Companies use advertising to:

inform people about their products and services

to make their

brand names familiar to the public

Who needs advertising?

Companies use advertising to:

to give the company a personality which sets it

apart from the others.

brands
right time and right place

to remind customers about their

at the

to tell the public about improvements in products

to help their sales force to be more effective

to reinforce customer confidence in his/her purchase

Who needs advertising?

Governments and autonomous bodies use
advertising to:

Inform people about their policies

Promote birth control

Educate the masses on health care

Prevent panic during natural disasters

Dispel harmful rumours

Attract foreign investment

Who needs advertising?

Public bodies prefer to use professional

advertising agencies because agencies
have the creative talent to explain
complex issues in a way which makes
them interesting, easy to understand
and meaningful.
Examples: SBI, Bank Of India, LIC etc.

What is ADVERTISING?
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What is ADVERTISING?

ADVERTISING is the delivery of the

persuasive product
message at the right time, in
the right place, to the right
person, at the lowest possible cost
most

Todays Product/Brand Manager

What really is Advertising?

Paid form of non-personal communication about an

organization, product, service or idea from an
identified sponsor, using mass media to persuade
or influence an audience
The paid aspect of this definition reflects
the fact that the space or time for an advertising
message must be bought.
The non-personal component means that advertising
involves mass media (eg. TV, radio, magazines,
newspapers) that can transmit a message to large
groups of individuals, often at the same time.

What really is Advertising?

The non-personal nature of advertising

means that there is generally no opportunity
for immediate feedback from the message
recipient (except in direct response
advertising)
Therefore before the message is sent, the
advertiser must consider how the audience
will interpret and respond to the message

What really is Advertising?

Advertising is communication of
information and values by an
identified sponsor
Advertising is the third partner in the
relationship between a consumer and a
product/service.

Importance of Advertising
There are several reasons why advertising
is an important part of the marketers
promotional mixes.

Firstly, it is very cost effective method

to communicate to a large audience.
Secondly, it helps create brand image and
symbolic appeal for the brand which is a
very important for companies selling
product/services that are difficult to
differentiate on functional attributes.

Importance of Advertising

Another advantage of advertising is its

ability to strike a responsive chord with
the consumers when differentiation across
other elements of the marketing mix is
difficult to achieve.
Popular advertising campaigns attract
customers attentions and can help
generate sales. For example pepsis Oye
bubbly, Mera number kab aye ga, Asian
Paints Badiaya hai, Alpenleibe -Lage
raho, etc

Importance of advertising

The nature and purpose of advertising differs from

one industry to another and/or across situations.
The targets of an organization's advertising efforts
often vary as do the advertising role and function in
the marketing program.
For eg. One advertiser may seek to generate
immediate response or action from customers,
another may want to develop awareness or positive
image for its products or service over a longer
period.

Role of Advertising in Brand Promotion

Information and persuasion

Introduction of new brand or brand
extensions
Building and maintaining brand loyalty
among consumers
Creating an image and meaning for a brand

How does advertising work?

The stages in consumer purchase process

Need recognition
Information search
Evaluation of options
Outlet selections
Purchase
Post purchase evaluations

How does advertising work?

Awareness
Comprehension
Conviction
Action

How does advertising work?

Awareness
Interest
Desire
Action

How does advertising work?

Hierarchy of effects
100% target audience
75% aware of the product
50% show some interest in the product
30% preferred the product
25% tried the product

15% Repurchase

Importance of advertising

What advertising does is create awareness,

interest, desire and drives the consumer
to the shop.
For any advertising to be successful, it is
essential that the service or product must be
superior or meaningfully different; certainly,
at the very least, it must be at least
satisfactory.
If it is a public message, then it must be a
credible proposition.

Importance of advertising

Any amount of good creative advertising

can never help in selling a brand or a
product of inferior quality.
At the most advertising will help in
inducing a trial from the consumers,
thereafter it is entirely on the quality
of the product or brand.

Some dos

Advertising

Advertising should be informative

Advertising should be entertaining

Advertising should be involving

Advertising
Some donts

Advertising should never over claim any

benefit in a product or a brand.
Never try to put down or talk down your
consumers in manner that will insult them.
Try not to compare your brand with a
competitor and try not to show your
competitor in bad light.

Advertising

Some donts

In case you do any comparison with your competitor or show your

competitor it should be done in a intelligent and tactful manner
that such that it is memorable and not in bad taste.

Avis v/s Hertz (Rent-a-car)

How is good advertising created?

Creating good advertising is to build

the most meaningful relationship
between the Brand and its customers.
For creating meaningful advertising one
must know Why do people buy?

Why people buy?

People buy a product because they

have a need for it
I need a pressure cooker because I
have to lay food on the table
everyday

People buy a brand because they have

a relationship with it.
I will buy a Hawkins Pressure Cooker
because I can trust Hawkins.

Types of benefits
a) Objective benefits
b) Subjective benefits
c) Values-oriented benefits

Objective benefits

These are tangible, physical and measurable

These are in the product

They are what you get by using it

Example - Hawkins
pressure cooker
cooks quickest with
least trouble and
greatest safety

Subjective benefits

These are in the consumers mind

These are perceptions. These are what the

consumer believes she will get as a result of
the objective benefit.
Example - Cooking with
Hawkins will make me
feel that I am fulfilling
my role as a wife better

Values oriented benefits

These appeal to the consumers deepest concerns, their

basic drives as individual human beings.
There are only a few of them - power, security, social
acceptance, status, greed, sex, survival - and they are
very powerful.
Example - Owning the beautiful Toyota Corolla car
makes me feel special, a person clearly of a higher
status with a more refined taste

Classification of Advertising

Advertising in the consumer market

- National Advertising
- Retail/Local Advertising
- Brand Advertising
- Primary/Secondary demand advertising
- Political Advertising
- Directory Advertising
- Direct-Response Advertising
- Public Service Advertising
- Interactive Advertising
Advertising to Business & Professional markets
- Business to Business Advertising
- Professional Advertising
- Trade Advertising

What client expect from their advertising?

Innovative solutions that Break through the clutter

Beat the competition, Stretch and magnify budgets
Different, Innovative
Great creative and media that offers full value
at prices at least as good, if not better, than
the competition.
The most cost-effective and innovative way to
successfully reach and communicate with consumers.

Biggest risk in advertising

SAFE CONVENTIONAL ADVERTISING IS THE

BIGGEST RISK OF ALL
It doesnt get seen. It doesnt get remembered.
It doesnt cause any reaction.
Safe advertising just lies there quietly, hoping
no-one will notice it. And no one does.

Half my advertising budget is wasted. The problem is

I dont know which half.
John Wanamaker, Advertising & Retailing Pioneer

Should we take risks in advertising?

Yes, but wisely. Foolish risks are for fools

Smart businessman take only calculated risks

One can be smart by getting the basics right defining target clearly, appealing to the right values,
and creating a seamless fusion of product and user.

T H A N K Y O U !!