Professional Documents
Culture Documents
CH 1
CH 1
CH 1
ADVERTISING: MEANING.
SCOPE AND FUNCTIONS
1. Introduction
Consumer is the central point in every business. Now-a-days, attracting and satisfying customers is
more difficult than producing the goods. For any product, many brands are available in the market. Every
business unit wants to increase its market share. Now buyers dominate the market. So seller has to make
lot of efforts to attract and to persuade the persons to purchase his products and services. Advertising is an
important means to influence the potential customers. It is an important tool of communication and
promotion. Business units ranging from large multinational corporations to smallretailers increasingly rely
on advertising to sell their products and services. Customers also give importance to advertising whiue
making purchase decisions. Evidence of increasing importance of advertising is clearly reflected from the
increase in advertisement expenditure of almost al business units. Advertising influences consumer
attitudes and buying behaviour. Advertisements increase brand-familiarity, develop brand-image and
help the organisation in increasing its market share.
2. Meaning of Advertising
The term advertising is derived from a Latin word 'adevertere', which means to turn attention
towards a specific thing. The dicionary meaning ofthe word advertising is to announce publicly ortogive
public notice. In other words, it may be interpreted as to attract the attention of the people concerned to a
specific message which has been announced by the advertiser. In this way, advertising is turning the
attention of the people towards products, services, ideas by an identified sponsor.
Advertising is used for communicating business information to the present and prospective
customers. It provides information about the advertising firm, features of its products, qualities, place of
availability of its products, different schemes offered, benefits of using its product, etc. Advertising is
important for both buyers and sellers. It is important for the buyers as they get information regarding
availability of the product, method of using the product and can have wider choice while buying a
product. It is important for the sellers as they can communicate with large number of target audience with
the help of advertising. It is a means of mass communication and a powerful marketing tool.
The simplest meaning of advertisement is that it is a public announcement. In earlier times, to
advertise meant to announce publicly. Some advertisements even today just inform the public, e.g.
classified advertisements give information about sale of second hand vehicles, property, accommodation,
matrimonial, public-notice, tender-notice, situations-vacant, etc. But many ads go beyond
announcements. These are meant to persuade the prospective buyer, to remind the existing buyers, to
remove dissonance of public, to create brand preference, to create brand-loyalty, to neutralise the effect of
ad given by competitor, to create demand, etc. Advertising helps the marketers in selling the goods and
well aware
Services. Firms engaged in selling their products and services throughout the country very are
of the importance of advertising. Advertising plays an important role in promoting sale of goods by
sell the product
It cannot sell.
NuertisTK3
sellingroxucts
But advertising
by itself cannot helps
public. It only
audience in
of
ersuading the target not up to the
expectations
custe
products which reminding the old
tormer. ot
are
poor quality or consumers,
informations about the product, persuading the potential But group of persee
and not at an individual.
is aimed at group of persons
make up target custorners. It i * he
ATVerfising does not
whole general public because whole general public communicalion while personaleda
a. eling s
mean
is mass
Advertising where
all the persons who are potential customers. face
communication
is made
salesman.
and Kath, Advertising is salesmanship without personal
(8) According to Mason
and Wheeler, "Advertising is any form ofpaid, non-personal presentation
(9) According Bay
to
ideas, goods or services jor the purpose of inducing
people to buy them."
of
that advertising is non-personal presentation of ideas, goods
From the above definitions it is clear
an identified sponsor
for the purpose of inducing the people to buy them.
or services by
5 . Features of Advertising
ad has to make
Paid Form: Advertisement is never free of cost. The company issuing
(1) can be large or small depending on
to the media used for advertising. The payment
payment Media having wider circulation.
media-circulation, type of media and media-popularity. less
larger amount in comparison to media with
more viewership, more popularity charge
and less popularity. Payment to media also depends upon the
circulation, less viewership
popular-serial then its
time when ad is shown, e.g. if
ad is shown in prime time or alongwith
in newspaper or magazine,
then payment is made on the basis
cost will be more. Ifad is given ad.
case of TV, radio, payment
is made on the basis of time taken by
and in
ofspace taken, communication. Here message is
Non-Personal: In advertising there
is no face to face
(2) not by salesmen but with
the help of mass-media
transmitted to the target-audience of
radio, internet, etc. In advertising a large group
like-television, newspaper, magazine, is
same time. Because
of its non-personal feature, advertising
individuals is contacted at the is made
In personal selling person to person presentation
distinguished from personal selling. mass-media. Advertising is very
cost
contacted through
but in advertising target audience
are
feature.
with large audience because of its non-personal
effective method of communicating not possible and
immediate feedback from audience is
Because of non-personal nature, reactions of target
audence.
moulded according to the
message cannot be adjusted
or
Identified sponsor
advertisement is the
advertiser.
of the
(3) ldentified Sponsor: The sponsor should be known through
means the producer or
seller who advertises the product
advertised message
advertisement
The receiver of message should be able to id.
In some cases both the brand name and conpany's name
dentify the NdvertISimg
ne souCe o
advertisement, while in other cases, only brand name is mentioned in the ecifie
example. most of the Godrej. Hindustan Unilever and Tata products areadvertiseeTnent thef
oropvertiser
brand name as well as company's name whereas others such as Eno, Tide E .
S h a m p o 0 , etc. c a r v the brand name only. So in both cases the spornsor is iclons , S
case. the audience can identify both brand and company. while in the sece.iied. Irn tt
brand can be identified. If in any communication, neither brand nor com second Case, n
identified, then such comnmunication is not an advertisement, even if it Uses y can
uses mass me
(4) Any Form: Advertising is used to create image, preterence tor a company or brandi nedia
d
any form of presentation can be used. It can be in the torm of
sign, symbol a For this
printed form. commercial on TV/tadio, pamphlet, banner, signboard, sky balloon
(5) Goods, Services or Ideas: Advertisements are to intorm, persuade and
balloons, etcage in
prospective buyers/users about products and services. Most of the
rerni the
ads are for
products or services but sometimes ideas may be advertised. For example,
example, idea ornoting
donation, eye donation, tree plantation, water conservation, national integration. co d
on, communal
harmony, gender equality, etc. are also advertised.
(6) Can be Used by Any Organisation: Advertising can be used by any type of
Advertisements are given by commercial, charitable, political, educationaln
organi
organisations, etc. So, any type of organisation can avail services of advertising.
(7) Speedy Communication: Advertising is the fastest mode of communicating with the taw
audience. This method is faster than personal selling as here intormation can be
lakhs of consumers at one point of time. If the company is to contact thousarnds
passedd to
of consim
through personal selling it will take a long time for the salesmen to contact them. But sumers in caco
case o
advertising, the company can pass on the information to thousands of persons by issuing an
advertisement in newspaper in one day only.
(8) Mass Communication: Mass communication means
communicating with a very large
group of persons at the same time. Media like television, newspaper, magazines, websites
(internet) information to the thousands and lakhs of persons at the same
pass on
time.
Because of mass communication in advertisement, cost of
contacting per person is low.
although in absolute terms it is very costly.
(9) Audio/Visual/Written Advertising Message: Advertising message can be audio, visual.
written combination of two; like audio-visual,
or
written-visual, etc. In print media like
newspapers, magazines, etc. and in outdoor media like
visual message is given. In radio audio
banners, pamphlets, etc. written and
in message; television audio-visual message is given.
Thus,
advertising all written, visual, audio-visual, audio
in
messages can be given.
(10) Advertising is an Art: Advertising is an art because the ng
creative function of adverS
depends upon the creativity of individual who is designing ad. The creation of Copy
includes message designing, appeal aucolous
designing, layout, use of pictures, symbols
Advertising: Meaning. Scope and Functions
illustrations, etc lt is the art of advertising o which the auxres4 or faihure of acdvertising
campaigm depends So advertising is an art
(11) Advertising is not an Exact Science: Saes are affer tel by a number of facteors suuch as
competition. price level. product features, fashion onsumer taste, stage of businesa cycle
stage of product life cycle, effective advertising campaign. brand awarenes6. brand
preference. brand lovalty. media used in acdvertisingg, ete These factors cannot be controliled
like a physical scientist can control his experiments Morerver. principles of acvertising are
notas exact asthe principles of physical science. Hence advertising is not an exact science
(12) An Important Element of Promotion Mix: Advertising is an important element of
promotion mix. alongwith personal selling. sales promotion and publicity Advertising has
been considered as the most effective method of promotion as it creates demand. and
communicates the message to target customers effectively and helps to stirnulate saies
Advertising is a method of mass communication and is most effective elemetn of promotion
mix.
(13) Motivates and Inspires: All advertisements carry message which motivates and inspires
customers to purchase a particular product. The print media, audio and video media are used
together by the advertisers to carry the advertiser's message. The advertising message is
discussed below:
and
(1) Creates Demand: Advertising persuades the audience of usefulness of the product
makes them feel the need to have the product. Advertising also persuades prospective
8
would satisty and fulfil their was
Aduerisin
customers
makes
that only advertised
rational and emotional
product
appeal to the
audience and makes them
to take
realic dvertise
emenf
he need
given by LIC urance
that product. For example,
advertisement
customer feel that ytaking LI
byt policy mal
emotional and rational appeal
and makes the
of his family
members.
policy. The Can
secure his future and future
innovative producte
or Service: In case of cts ltotally Te
(2) Announces for New Product
has to be done, to make peonlo
deal ofadvertising
product in the market), a great benefits to the customer, where it ic e
product. how it works, what are its
demonstration, etc.
uses and
yalable ts
Functions of Advertising
(3) Promotes New Uses of the Product: Another way of expanding the consumer base is to
promote new uses of the product Advertising helps to promote new uses of the product, e.a
Milkmaid was originally promoted as a substitute for milk. But later, it was advertised as an
ingredient for making sweet-dishes and as sandwich spread for children.
(4) Informs about Changes in Product, Price, Placement: If the company has made
certain changes with regard to product, price, place like it has introduced new product design
model, changed its price, shifted its retail outlets to some other place or opened new outlets for
sale to public, then it has to inform the public of these changes. Advertising is very helptul in
informing the public about these changes.
(5) Helps Understanding the Usefulness of the Product and Method of Using it
in
Certain ads give demonstrations of the product (Display-ads). Some ads
give instructions tor
using the product. This helps the customers to clear the doubts and understand the productn
a better manner. So advertising
helps the prospective buyers to understand the uses of tne
product and method of using the product. For example, the ad of food products like Magg
noodles, explains the method of cooking them.
(6) Announces Special Offer/Schemes: Whenever business unit launches any becial
sp
offer/scheme like festival discounts, festival gifts, off-season discounts, stock clearance sales,
(7) Reminds Users: For those products which are purchased repeatedly or frequently like soft
drinks, toothpaste, shampoo, shaving blades, etc. reminder-ads are very ettective in
maintaining the existing customers and to remind them of name of company and brand.
(8) Creates Brand Preference: Advertising is very effective in creating brand preterence. In
Comparative-advertising the product of our company is compared with the product of other
competitive firms. It is shown as to how our product is better than other brands. For example.
Ezee detergent ad demonstrates that woollen clothes washed with Ezee do not shrink. Rin
soap ad highlights that clothes washed with Rin are better cleaned than other detergents.
(9) Helpss to Neutralise Effect of Competitors' Advertising: Advertising helps to face
competition more effectively. Advertising neutralises competitors advertising so as to
any loss in market share. If other brands are advertised and we don't advertise our brand, prevent
soon we shall lose our market share. So we have to advertise to neutralise the etfect Or ad
given by rival companies.
6.2 Secondary Functions
In addition to primary functions mentioned above, advertising also performs some secondary
functions. These functions benefit the dealers/salesmen. These functions are as follows:
(1) Helps to Boost the Morale of Salesmen and other Employees: When employees of
the organisation watch advertisement of their own company and its product, they feel very
delighted and their morale goes up. They feel that they are working in an enterprise of high
reputation. Their job is not only secured but they also have bright prospects of promotion.
(2) Supports Salesmen: Advertising provides great support to salesmen. If the brand is
popular, it becomes easy for the salesmen to take entry in the door of prospective customer
and convince him to purchase the product. Advertising has already made the customers
familiar with the product and its uses, so it becomes easy for the salesmen to convince the
buyers and buyers can also rely on the statement made by salesmen of a reputed brand. Thus,
salesmen can sell the products without much efforts if the product is well advertised.
(3) Reaches Customers Left by Salesmen: Some prospective customers might be left by
salesmen either because they were not available at their places or they were living at very far
away places which were difficult to reach or it was very costly to reach there. Advertisement in
newspapers, TV, magazines, etc. helps the firm to contact such left out customers
(4) Helps to Procure Better Employees: Advertising helps the organisation to improve its
institutional image which helps to procure talented and experienced executives, salesmen
and workers, as talented employees prefer to join the reputed company.
(5) Announces Location of Dealers and Stockists and Supports them: To intimate the
public of the location of dealers and stockist and to support dealers, the firm goes in for
advertising. It benefits both customers and dealers. For example, when LG gives its ad in
its local dealers for the convenience
newspaper it also gives address and telephone number of
of consumers and popularity of dealers. It motivates the dealers.
6.3 Social Functions
Ihese functions benefit the society. Main social functions of advertising are as follows:
of
() Helps to Improve Standard of Living: Advertising helps to increase standard of living
rates. Advertising creates
nasses by providing new and improved products at reasonable
10
demand for new and improved products and makes the public .
Axdy
improvement in standard of living.
buy them.
This uetst
(2) Creates Awareness among Rural Masses: Through advertisem.
remote areas, rural areas become aware of latest products and their nent, peers
uses.
Tesults
the latest products. They too
(3) Creates Employment: Ad creates demand. To meet this increased den . start
units are set up. This promotes industrialisation which creates
employmen In
many people are employed in advertising industry. Thus advertising cross
re indust
addit
(4) Educates Consumers: Certain ads intormative and to
are
educative. s. this
knowledge of public general. For example, ad of water purifier
in
educates ad adsoyrm ent
repellent edueico ncease
benefits of safe drinking water. Similarly ad of
mosquito
regarding dangerous fever they can catch by mosquito bite.
(5) Helps Solve Social Problems: Social-advertising
to
regardin
onsumer,
female foeticide, gender helps solve to
social
injustice, drug-addiction, alcoholism, dowry,
problem of family planning, etc illit Obleng
(6) Creates Awareness about lliteracy, casteismke
Dangerous Diseases: Advertising creates aus
dangerous diseases like polio, AIDS, dengue fever,
ad given by Cancer dehydration, swine flu, etc E abo
Society of India makes the masses aware of
(7) Helps to Circulate early symptoms mple,
Important Government Notifications:
departments helps the government to circulate
various Advertising by Goun ancer.
example, last date for filing Income Tax notifications
Number (PAN), date for Return, last date for getting amona nuent
various informations whichgetting identity card for election, date for pulse
Permanent or
government passes to the general public polio. ete
(8) Other Social through advertisemae the
Functions: Some social ads ment.
blood-donation, communal harmony and national motivate the public
for eye-donas
advertisements like matrimonial ads integration, etc.
7. perform social function. Similarly clasife
Characteristics/Essentials
of Advertising of Effective
Advertising or
The ultimate Principles
be effective, the objective of advertisement is to induce
advertisement must have right the audience to
media so as to reach buy the
right people at the right time type of message communicatedgoods and services. To
advertisement should be properly and at the lowest through appropriale
will go waste. planned and designed, possible costs. To achieve these goas
According to R.H. otherwise the money
the targeted audience at the right Bushkrick, "The main
principle of spent on advertisement
principles of effective advertising can bewith right message and with effective advertising is that it reachës
time
divided in right media." The
(a) Features relating to
Consumers following categories: features/essentias
(b) Features
relating to Message
(c) Features
relating to Advertising
Copy.
Advertising: Meaning. Scope and Functions 11
Characteristics/Principles/Essentials of
Effective Advertising
Features relating to Consumers Features relating to Message Features relatingto Advertising Copy
(2) Appropriate Media: The advertisement message should be presented through the media
to which target audience have access. For example, if majority of target audience are illiterate,
then message presented in newspapers and magazine will not reach them. So if message of
advertisement does not reach the target-audience, the ad will be totally ineffective.
price
of product or service
attention of the people. in ad copy if
price is low and
(
can
aua
Attaching coupons for free literature.
Different ad-copies should be
times in prepared so that
media. Repeating the same ad different
generates monotony andadvertisements can be shown at lifferent
a
as a result,
target audience avod uhe ad
Advertising: Meaning. Scope and Functions 13
Advertisement copushould be framed keeping in mind the interest and choices of prospective custorners
To
make the advertisement interesting.
schemes
pictures, attractive colours, illustrations, highlighting sales
promotion 0% interest
like ree gift, financing, discount schemes, etc. can be incorporated in the
ad copy. Interesting ads have long lasting effects on the mind of audience.
Note: The topic of Eftective Advertisement Copy has been discussed in detail in the chapter
Creative Aspects of Aduertising'
8 . Expanding Scope ofAdvertising
Advertising has wide scope in marketing. Its scope can be described on the basis of activities
included in advertising. Scope otf advertising is increasing day by day. Now-a-days, there is tremendous
growth in advertising. Earlier because of less growth in transportation and means of communication.
products were manufactured and sold locally. So local level advertisements were given. But later with
industrialisation, nationaland international markets developed. So the need for advertisement was felt a
national and international level. This increased the area of advertising. The scope/area of advertising has
increased due to following factors:
(1) Increase in Ad Functions: Earlier ads were designed to satisfy informative needs of buyers
in the form of public announcements but now advertising functions include building brand
image, brand loyalty and persuading the buyer to purchase the product. Now advertising
performs informative, communicating and persuading functions. Earlier ads for consumers
were only informative in nature. The ads were designed just to inform the customers of
availability of product, name of product and its price. But now ads are designed for
consumers not only to inform, but also to arouse need of the product, create demand,
brand-preference and brand-loyalty, to remove dissonance (dis-satisfaction) and to persuade
the audience to purchase the product. So scope of consumer-advertising has expanded.
(2) Ad for Attracting and Supporting Middlemen and Salesmen: Earlier the need of
advertisement for middlemen and salesmen was not realised as there were very few
manufacturers and the middlemen could be easily attracted. But now to attract efficient
middlemen and salesmen and to support them, advertising is must. For well advertised
groups of advertising industry are advertiser, buyer, ad-agency, media, professional bodies, government
middlemen, etc. These are discussed below:
It can be manufacturer
(1) Advertiser: It refers to the sponsor who is issuing advertisement.
advertisement. Advertiser can be
wholesale, retailer, or all of them may join hands to issue
commercial organisation, social organisation, government, political parties, etc. Initially
when advertising industry was in its infancy, only commercial organisations used to issue
advertisements, but with the growth in advertising industry; now advertising is done not only
by commercial organisations but non-commercial organisations such as social organisations
also issue advertisements for eye-donation, tree-plantation, blood donation, awareness
about social problems, diseases, etc. Similarly, political parties issue advertisements to
etc. to attract voters.
highlight their achievements, manifesto, commitments, so as
Government also issues advertisements to inform the public about various notifications,
circulars, etc. Commercial bodies issue ads to inform, persuade and remind the prospective
customers about their goods and services.
(2) Buyers: Buyers can further be classified in three categories:
) Prospective Buyers: These are the persons who are not using the product. But through
advertising they can be convinced of the benefits of the product and can be persuaded to
buy the product; e.g. there may be a person who is not using the perfume, but i
persuaded through advertising, he can start using the perfume.
Advertising: Meaning. Scope and Functions
(i) Buyers of Other Brands: These are the persons who are using the proxuct in qgestieon
but ofa brand that is manufactured byour competitors, e g there is a person who is usirvg
the first category may be convinced to use the product.The second category buyers may be
persuaded to buy our brand by offering them better terms than our competitor The third
category may be maintained or efforts will be made to increase their frequency of purchase
(3) Advertising Agency: Advertising agency is an independent business organisation
specialised in advertising work which undertakes the work of planning. preparing and
executing the advertising campaign for its clients. It is a body of experts who specialise in
advertising. To prepare and place advertising is the primary function of ad-agency
Advertising agencies have specialised knowledge, skills and experiernce which are required to
produce an effective advertising campaign. Ad agency is a specialised organisation which
has skilled writers. artists, market-analysts. researchers, fashion-specilists, media-experts.
etc. These specialists combine their talent to develop effective advertisement for clients of
ad-agency. Advertising agency is an independent business organisation composed of
creative and business people, who develop, prepare and place advertising in appropriate
media for advertisers seeking customers for their goods and services.
The role of advertising agencies has been accepted worldwide. In all types of countries, viz.
developing and developed countries, ad agencies are working for advertisers and media.
Nowadays, dependence on ad agencies is increasing very fast. The number of ad agencies in
India increased from 14 in the year 1939 to about 7,000 big, medium, small size ad-agencies
(total number) in the year 2016.
(4) Media: Television, newspapers and magazines have registered an impressive increase
during the last few years. Internet has emerged as a media of the new millennium. With the
growth rate in literacy in India the number of readers of newspapers and magazines has
registered a significant growth. With the increase in income level and increase in TV channels.
the number of television viewers has increased significantly. In India, now television is
recognised as the most powerful advertising media. With the growth in personal computers
and smart phones, internet advertising is also on the rise.
(5) Professional Bodies: There are professional bodies, representing the three parties related
to advertising, i.e. the advertiser, the advertising agency and the media of advertising. The
Indian Society of Advertisers (ISA) is the representative body of advertisers. The Advertising
Agencies Association of India (AAAl) represents advertising agencies. The Indian Newspaper
Society (lNS) is the representative organisation of newspapers and magazines; the Indian
Broadcasting Society (IBS) represents broadcasting companies. Similarly, Advertising Club
of India, Advertising Standards Council of India (ASCI), etc. are also working as professional
bodies in the area of advertising. These organisations and associations protect the interest
and dignity of advertisers, media-owners, ad-agencies and consumers.
(6) Government: Government plays active role in regulating advertising industry. Not only
central government, but even state governments and local governments (municipalities,
has
panchayats) check and regulate advertising activities of advertisers. Central government
enacted various legislations to regulate the advertising industry. These legislations are
9 I i
g o v e r n m e n i s .
stale
by respecti ctive municipality rCas
implemernted in their
advertising
restrictions, C
outdoor ner
several legal
regulate face anl
advertisers
advertising
and protect nOyement
regulate
Today laws lo COS
to pass are
orced by the governm
enfor
government to chek
regulations
restrictions
and
m i s l e a d i n g a d v e r t i s e m e n t s .
and stockists T.
retailers se are the
wholesalers,
Middlemen:
It refers to product i1 the product is
If the well ady
product wel
(7) advertised vertised
the Sometimes, th ber
people c a n buy product.
manufacturer and midd
sell the expense
m i d d l e m e n to bear the
the expenses of adve
advertising.
i.e. they jointly
cooperative
of Product somo
1 0 . Advertisability must have
advertised. A product
cannot be
product called its advertisabilit
Every advertised is advertisability. Borden
to be
advertised. The ability of
product l1 all the criteria are r
advertisability of its product.
the product has all the crito
criteria for determining uctis i,
it is rare that a
But in actual practice, advertised. But
But advertisernent
good advertisability. it can be advertisement will be mo advertisri
more criteria
if a product has one or the main features that a r
advertising. Following are
product has more criteria of
advertisable: ne
and Demand Expansion: The
(1) Possibility of Demand Creation oduct shoal.
whose demand can be created or expanded by advertising, In case
readymade garments, shoes, cosmetics, coffee, household durables, fashi
be created and expanded by advertising.
etc. demand can
(2) Brand: Unbranded products cannot be advertised. Branded products have
they can be identified and differentiated from the product of competitors bu hrs tszri
given on packing of product for its identification. Advertising is done for
brand-popularity and brand-preference. The brand can be name, sign, brand-a
prospective customer can identity the branded product as its brand is menti
symi
advertisement and on the product. tione
(3) Wide Market: If a product has wide-market, advertising will be effective.
If on th
hand, it has limited market then personal selling will be more suitable than
greater the market-potential for the product, the more is the adveris
(4) Emotional Buying Motives: f a product has more
advertisability of proue
emotional buying motive, ita
advertisedmore effectively. By makingemotional appeals, potential consumers
have the product. canbearn
(5) Product should have the
Consumers: Quality, Capacity to Give Extra Utility/Satisfacto
Customers at its current
packaging, colour, design of the product should be
price level. If the acco
comparison to other available product can give extra-satistacion
products, then such product has more
(6) Product Differentiation:
If adverisaou
brands, it will have more product of a brand can be differentiated from producto
cannot be differentiated advertisability. Certain products ike flour, prou
etables, puik
On the other
hand, vege
readymade garments can much.
be products like elecic
more effective as appnrodus Droduct
have more differentiated more. Hence,
differentiability. advertising ror
and Functions 17
Advertising: Meaning. Scope
M Marketing Mix
Product Place
Promotion Price
Marketing includes activities like distribution, promotion, financing, storage, risk bearing.
gathering market information, providing after sales services, etc. Marketing mix refers to a set of
controllable marketing tools that the firm uses to achieve desired response from target customers. It
consists of everything that the firm does to promote the demand of its products. Itmainly incudes 4Ps, ie.
product, price, place and promotion. Product includes physical product, services, its design, quality,
features, packaging, branding, after sale services, etc. Price includes price of the product, discount
schemes, credit schemes, etc. Place refers to channels of distribution. It includes storage, transportation,
market coverage, etc. Promotion refers to advertising, personal selling, sales promotion, publicity, direct
marketing, etc. An effective marketing programme blends all the components of marketing mix in a
coordinated manner so as to achieve marketing objectives of the business unit. The inter-relationship of
advertising and marketing is studied under following heads:
1. Advertising and Product
Product is an important element of marketing mix. It includes not only physical product but also
etc. A
services, product features, after sale services, branding, packaging, product positioning, quality,
Orier account of various features of product and their relationship with advertising is discussed below:
() Advertising and Type of Product: Product can be consumer product or industrial
Their number of
product. Consumer products are directly consumed by ultimate consumers.
customers is very large. Here, advertising plays very signfiicant role
in communicating with
18
masses and creating demand. On
used in industry e
the
g
other
plant
hand, industrial
and machinery,
produc.
cts are not dvertsTg
furnace, ulsltra-sound machine
cOnsumed, but
r a y nmachine,
are
hand, if the prices of product are lower in comparison to competitive products, then economy appeal
their ad-budget.
Because of technological advancement, man
(2) Emergence of New Media: new types
mobile-phone media, digital
media have emerged. Now online media, signboards,
popularity as ad-media. The on-line adverh ng scialis
media
networking sites, etc. are gaining communication which was not
it two-way
provides
tho available in
interactive in nature as
effective and has brought novelty to
traditional media. New media is cost
With the advent of FM-broadcasting, radio has
started regaining its past glory as a uertisain.g
sad-medi
To make the ads eye-catching, most
(3) Increasing Celebrity Advertising: the big
advertisers have started using celebrities as their brand ambassadors. These cel
winners of beauty contests, etc. For examnio
filmstars, sportstars, popular models,
manufacturers show popular filmstars and health drinks show sport stars
stars as their
ample, cosnmeteics
as
their bra
ambassador, etc. These celebrities charge very huge amount of fees which is USiIall
of rupees. The rival companies engage in celebrity ad-wars. If one manufacturer sho Crores
its brand
filmstar then other rival manufacturer also shows another film star as its brand amha
ambassador.
n
With the change in popularity of celebrity, the brand ambassador is changed.
(4) Technologically Superior Advertisements: Because of technological upgradation
quality of advertisements has improved manifold. In broadcast media, because of hi
the
quality cameras, better sound systems, computerised editing, etc. the production qualh
TV, radio, video advertising has improved. Now electronic and digital signboards ate
taking
place of traditional signboards. Due to advanced and computerised technology, the qualityo
print advertising has improved significantly. Now, most of the newspapers and magazines
have started giving coloured ads.
(5) Changing Role of Women in Advertising: With the passage of time, the role of
womenin
advertising has changed. Earlier, woman was shown as sex-object, as housewife, as motha.
as wife, etc. who was submissive, weak, dependent, diffident (shy). But now, with the increase
in number of professionally educated and financially
independent women who are ke
persons in taking purchase decision in nuclear families, advertisements have started
portraying women as confident, independent, bold, career-oriented persons. The advertise
have started establishing balance among different roles
of woman. She is shown as
responsible and caring mother, as an efficient housewife who is well-versed wit
technologically advanced home gadgets; financially independent, professionaily educal
career conscious, a conftident person, etc. Now
women are also shown in the ads
products which were traditionally dominated by males. Now women are also shown imothesa
of automobiles, investment u
products like mutual funds, real estate, insurance compale iesac
only as pretty, lovely, cute child, who plays with dolls. 5ut no
child is shown as
confident, career-conscious, determined, intelligent, etc.
Functions
Advertising Meaning. Scope and 2\
(6) Change in Stereotyping (Conventions): Ads are changing the conventions. New the
role ofmen, women, childhen, aged persons is changing in aduertisernents Now, advertisers
have started showing women as confident, financially independent, highly educated
inteligent, etc. Women are shown in the ads of such products as were earlier advertised by
males. Similarly, now men are shown in the ads ofdomestic products and child-care products
which were earlier dominated by women. The role of children in advertising is also changing
Now children are shown as opiion-makers in purchase-decisions, career-conscious,
confident, etc. The role of aged persons in advertising has also changed. Earlier they were
shown as financially dependent on children, weak, sick. But now, they are shown as
independent, confident, healthy and strong persons.
(7) More Creativity: Nowadays, advertisers use more creative ideas which are unique, novel
and original. These creative ads arouse the interest of target groups in advertiser's product
Because of increasing professionalisation in advertising, creativity in ads is increasing.
(8) More Use of Emotional Appeals: Now advertisers use emotional appeals in addition to
rational appeals. Emotional appeals help the advertiser in developing emotional bonds with
target customers. Many emotional appeals like affection, pride, comfort, fear, humour, sex.
sorrow, joy, anger, trust, faith, safety, excitement, etc. are given in advertising.
(9) Increase in Non-Commercial Ads: Nowadays, various non-commercial ads are issued
by government departments and social organisations for the general public; like ad on
awareness of various social issues, social problems viz. fatal diseases, female-foeticide.
drug-addiction, dowry, girl-education, adult-education, hazards of fire-crackers in Diwali
days, etc. Similarly, government departments issue various ads for public notification like last
date for fling income tax return, date for getting permanent account number. date of pulse
polio drops, etc. So, non-commercial ads have further widened the scope of advertising.
(10) Increasing Role of Ad-Agencies: Nowadays, dependence on ad-agencies for aduertising
is increasing because of increasing complexities in advertising. Ad-agencies provide wide
specialised services like developing, preparing, placing advertisement in media.
range of
providing services like sales-promotion, market.-research, salesmen training.
package-designing, etc. Now, business units prefer to avail the services of ad-agencies rather
than depending on the internal advertising department.
have seen a significant
(11) Increase in Regional Language Advertising: The recent years
increase in regionalisation of advertising. The Indian advertising scenario
for years had been
last few years, there has
the stronghold oftwo languages-English and Hindi. However, in the
been significant increase in regional language advertising. In India, more than 300 languages
enables economies of scale with
are spoken. Although advertising in Hindi and English
media, regional
regard to communication, but still advertisers cannot ignore regional
channels and regional languages. The states of Tamil Nadu, Maharashtra,
Kerala, Andhra
have emerged as markets where
Pradesh, Karnataka, West Bengal, Assam, etc.
extent. As against the national
regionalisation of communication has occurred to a large the
and are more efficient in reaching
channels, the regional channels are more cost effective now understand
are low. Marketers
target audience. The tariffs charged by regional channels
that a larger chunk of Indian population communicates in
its regional language. Advertising
with
offer multilingual facilities. Brand ambassadors
agencies today highlight that they
regional language skills are hired for effective regional communication.
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Questione8
I. Essay Type Qustions
1.What do you mean by
advertising? Discuss the functions of advertising.
2. What is advertising? What are
the main characteristics of advertising?
3. "Advertising informs people about the features,
be appreciated and welcomed all of price and availability of the product.Hence1
by us." Discuss.
Advertising Meaing. Scope and Functions