Introduction to advertising

Professor Sameer Kulkarni

Prepared for, Chanakya,
Mumbai-India
 Learning Objectives: Advertising Chapter 1
1. Describe the steps involved in planning the advertising
effort.

2. List the three categories into which advertising

objectives can usually be divided.

3. Explain the difference between consumer and trade

advertising.

4. Explain the three components of advertising message

strategy and list the alternative creative formats.

5. Explain the seven factors considered when selecting

advertising media.
 Learning Objectives: Advertising Chapter 1

6. List the advertising media alternatives.

7. Describe the advantages and disadvantages of

various advertising media alternatives.

8. Describe the role of advertising agencies and the

advantages of using them.
 Steps in Planning Advertising
Set advertising objectives.
Decide on in-house advertising or agency
Establish a tentative advertising budget
Consider cooperative advertising (partnership)
Decide on advertising message strategy:

Message idea
Copy platform

Message or creative format

 Steps in Planning Advertising

Select advertising media.

Decide on timing of advertisements.
Pretest advertisements.
Prepare final advertising plan and budget.
Measure and evaluate advertising success.
 Categories of Advertising Objectives

Reminding Advertising
Informative Advertising
Persuasive Advertising

RIP acronym = Remind + Inform + Persuade

 Advertising Objectives
1.Informative advertising:
 To create awareness of the organization.
 To explain the characteristics of the
organization.
 To correct false impressions about the
organization.
 To reduce peoples’ apprehensions or fears
about visiting the organization.
 To build or enhance the organization’s image
or position.
 Advertising Objectives
2. Persuasive advertising:
 To increase customer preference for the
organization’s services.
 To increase customer loyalty to the
organization.
 To encourage customers to switch from
using a competitive organization.
 To convince customers to Use the Product
in the future.
 To change customers’ perceptions.
 Advertising Objectives
3.Reminder advertising:
 To remind customers about using the
product/ organization’s services.
 To remind customers about facilities &
services that are unique to the organization.
 To remind customers about when they
should use or recommend the
organization’s services.
 To remind customers of the presence of the
organization.
 Difference between
Consumer and Trade Advertising

 Consumer advertising: aimed at the

customers who will actually use the
product/services being promoted.

 Trade advertising: aimed at the travel trade

intermediaries who will influence customers’
buying decisions.
 Advertising Message Strategy
 The advertising message strategy describes
what is to be communicated and how it is to
be communicated.
It consists of the:
 Message idea: the main theme, appeal, or
benefit to be communicated in the message.
 Copy platform: a written statement that fully
describes the message idea.
 Message or creative format: a broad creative
approach used to communicate the message
idea to the target audiences.
 Message or Creative Formats

 Testimonial.
 Slice of life.
 Analogy, association and symbolism.
 Trick photography or exaggerated situations.
 Word plays or made-up phrases.
 Honest Twist.
 Fear.
 Comparisons.
 Advertising Media Selection Considerations

Target markets and their reading, viewing, and

listening habits.
Positioning approach, promotional goals, and
advertising objectives.
Media evaluation criteria.
Relative strengths and weaknesses of each media
alternative.
Creative requirements.
Competitive media placements.
Approximate total advertising budget available.
 Media Evaluation Criteria
 Costs.
 Reach.
 Frequency.
 Waste.
 Lead time and flexibility.
 Clutter and dominance.
 Message permanence.
 Persuasive impact and mood.
 Newspaper Advertising: Advantages

 High reach.
 High geographic concentration.
 Good frequency.
 Tangibility.
 Short lead times (flexibility).
 Relatively low cost.
 Ability to communicate detailed information.
 Ability to place in most appropriate location.
 Ability to schedule to exploit day-of-week
factors.
 Newspaper Advertising: Disadvantages

 High waste factor and inability to target.

 Limitations on creative format.
 Relatively poor reproduction quality.
 Clutter.
 Short life span.
 High cost of national coverage.
Magazine Advertising: Advantages

 Tangibility.
 High audience selectivity.
 Good reproduction quality.
 Long life span and good pass-along rate.
 Prestige and credibility.
 Ability to communicate detailed
information.
 Magazine Advertising: Disadvantages

 Limitations on
creative format.
 Clutter.
 Low reach.  Relatively expensive.
 Low frequency.  Difficulties in
 Long lead times. geographic targeting.
 Inability to schedule to
exploit day-of-week
factors.
 Television Advertising: Advantages

 Potentially high reach.

 High persuasive impact.
 Availability of uniform national coverage.
 Exploits day-of-week and time-of-day
factors.
 Some geographic and demographic
selectivity.
 Television Advertising: Limitations
 High total cost.

 Short life span.

 Inability to transmit detailed

information.

 Clutter.

 Relatively high waste factor.

 Radio Advertising: Advantages

 Relatively low cost.

 Audience selectivity.
 High frequency.
 Short lead times (flexibility).
 Exploits time-of-day and day-of-week factors.
 Radio Advertising: Disadvantages

 No visual communications.
 Can’t transmit complex messages or
detailed information.
 Short life span.
 Clutter.
 Shared attention.
 Direct Mail Advertising: Advantages

 Audience selectivity.
 Highly flexible.
 Relatively uncluttered.
 High level of personalization.
 Ability to measure response.
 Tangibility.
 Low minimum cost.
 Short lead times.
 Direct Mail Advertising: Disadvantages

 “Junk mail” syndrome and high discard

rate.
 Relatively high total cost.
 Limitations on creative format.
 Outdoor Advertising: Advantages

 High reach and good frequency.

 Geographic selectivity.
 Relatively uncluttered.
 Long life span.
 Large size.
 Outdoor Advertising: Disadvantages

 High waste factor and inability to target.

 Relatively long lead times.
 Can’t transmit complex messages or detailed
information.
 Not prestigious.
 Limitations on creative format.
 Inability to schedule to exploit day-of-work or
time-of-day factors.
A typical view of an outdoor ad:
A typical view of an outdoor ad:
A typical view of an outdoor ad:
 Interactive Media: Advantages

 Cost effectiveness.
 Easy to modify.
 Interactive content.
 International reach.
 Expanding market.
 Constant availability.
 Ease of traffic measurement.
 Interactive Media: Disadvantages

 Privacy concerns.
 Partial market coverage.
 Navigation problems.
 Loss of control.
 How the Industry Wise Usage Advertising Media

Fast-food companies tend to focus upon and

emphasize television advertising.
Airlines tend to place an emphasis on
newspaper advertising.
Hotel companies tend to use a combination
of media.
Everyone is moving toward more advertising
on the World Wide Web.
 Roles of Advertising Agencies

 Advertising planning.
 Creative services.
 Media services.
 Research services.
 Sales promotion and merchandising services.
 Advantages of Using Advertising
Agencies
 Employ the best creative minds in advertising.

 Have accumulated experience from working

with a wide diversity of clients; have a broader
perspective and are more objective.

 May save the organization money.

 Agencies are more familiar with media and

media vehicles.
Reminding Ad:
Reminding Ad:
Informative Ads:
Persuasive ad:
Thank
You!