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    Rising of The Sleeping Dragon: Emergence of Education Sector in Advertising

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    The education sector in India is emerging as a major spender on advertising as private educational institutes seek to attract more students through branding and promotions. Spending on education advertising is expected to grow significantly in the coming years, with the preschool and higher education markets in particular seeing compound annual growth rates of 13% and 15% respectively. Currently Tamil Nadu accounts for the largest share of education advertising spending at 15%, followed by Uttar Pradesh and Maharashtra. Most advertising spending is occurring in print, television, outdoor and online media. The growth of the education sector is being driven primarily by newer private institutes aggressively marketing themselves.

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    Rising of The Sleeping Dragon: Emergence of Education Sector in Advertising

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    The education sector in India is emerging as a major spender on advertising as private educational institutes seek to attract more students through branding and promotions. Spending on education advertising is expected to grow significantly in the coming years, with the preschool and higher education markets in particular seeing compound annual growth rates of 13% and 15% respectively. Currently Tamil Nadu accounts for the largest share of education advertising spending at 15%, followed by Uttar Pradesh and Maharashtra. Most advertising spending is occurring in print, television, outdoor and online media. The growth of the education sector is being driven primarily by newer private institutes aggressively marketing themselves.

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    The education sector in India is emerging as a major spender on advertising as private educational institutes seek to attract more students through branding and promotions. Spending on education advertising is expected to grow significantly in the coming years, with the preschool and higher education markets in particular seeing compound annual growth rates of 13% and 15% respectively. Currently Tamil Nadu accounts for the largest share of education advertising spending at 15%, followed by Uttar Pradesh and Maharashtra. Most advertising spending is occurring in print, television, outdoor and online media. The growth of the education sector is being driven primarily by newer private institutes aggressively marketing themselves.

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    38 views32 pages

    Rising of The Sleeping Dragon: Emergence of Education Sector in Advertising

    Uploaded by

    amin_zohaib
    The education sector in India is emerging as a major spender on advertising as private educational institutes seek to attract more students through branding and promotions. Spending on education advertising is expected to grow significantly in the coming years, with the preschool and higher education markets in particular seeing compound annual growth rates of 13% and 15% respectively. Currently Tamil Nadu accounts for the largest share of education advertising spending at 15%, followed by Uttar Pradesh and Maharashtra. Most advertising spending is occurring in print, television, outdoor and online media. The growth of the education sector is being driven primarily by newer private institutes aggressively marketing themselves.

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    of 32

    Rising of the sleeping Dragon.

    Emergence of Education Sector in Advertising.

    W h a t E d u ca ti n S e cto r i a l o s l a b o u t
    With private educational institutes turning out to be big money spinners, to attract students for admissions. This has resulted in some obscene spending on advertisements for branding and admissions by many institutes and the trend is going to stay.

    Increasing demand for high quality education will drive the preschool market to grow at a CAGR of nearly 13% reach to US$ 1,833 Million during 2011-2014.*

    * RNCOS identified

    Higher education will witness a CAGR of approximately 15% to cross US$ 22 Billion by 2013.

    * RNCOS identified

    Top Spending States


    11 %

    10 %

    Among the states, Tamil Nadu tops the list in education advertising with 15 percent share with Uttar Pradesh and Maharashtra coming second and third with 11 and 10 percent respectively.

    15 %

    * RNCOS identified

    It is mainly the newer private educational institutes that are driving the advertisement in education to record levels, says MG Parmesw-aran, executive director, FCB Ulka, an advertising agency. Many vocational institutes have also been heavily spending money in branding themselves. Institutes such as Frankfinn and Aahaa have been hard to miss on print and TV, says Seth. Coaching counseling institutes have been investing heavily in education, says Parmeswaran. In fact, they account for one-third of the total advertisement spending on education, he adds. It is fantastic that education institutes are aggressively looking at spending heavily on advertisements, says Swapan Seth, chief executive officer, Equus Red. It is also important because schools and colleges run on brand names and reputation.

    Education Spending Pattern

    Print Advertisement

    Share of Education Sector in Print Advertising

    AdEx India

    AdEx India

    Top 10 sectors accounted for 62% share of overall Print advertising during H1 2010.Education among the top 3 sectors in Print advertising.

    AdEx India

    Outdoor Advertisement

    Outdoor Advertising
    In the beginning of launching their courses, the promoters do not have much money to advertise. Outdoor for them is an easy option as it provides handsome returns/ response on their small ad budgets. Offering special packages to this sector so that new clients can be created for outdoor media. Wait and see. The education vertical will be much bigger than other sector.(Mukesh Gupta, CEO, Graphisads)

    Advantages
    Cost Effective Localized Higher ROI

    Short comings
    Geographical constraints Non-interactive Immeasurable

    TV Advertisement

    By Education institution category TV advertising witnessed a jump of 66 per cent in June September 2010 compared to the previous year.

    AdEx India

    Comparative Analysis of Education spending on National And Regional channels


    Region wise advertising share Andhra Pradesh held the top position with 18 per cent share followed by Tamil Nadu & Orissa at 14 per cent.

    AdEx India 2010.

    % Share of Education Institution Advertisement

    AdEx India 2010

    *AdEx India

    Online Advertisement

    Online Advertising
    Online Advertising is a form of marketing communication on the Internet, intended to persuade an internet user (viewers, readers or listeners) to purchase or take an action upon content displayed on a website (or webpage) in relation to products, ideals, or services. Advantages of online advertising Immediately publish information. Content that is not limited by geography or time. Ability customize the advertising content and locations. Measurable, interactive and most essential, cost-effective

    Online advertising is classified in two types Display Ads 534 crores for FY 10-11 Text Ads 459 crores for FY 10-11

    Contribution of Education in overall Display market

    Education

    6%

    1%

    Contribution of Education in overall Text Market

    This segment has seen growth of more than 200% in ad spent from FY08 to FY10.

    Online Advertising Model

    SWOT Analysis
    Strengths
    Competitive advantages Resources, Assets, People Experience, knowledge, data Marketing - reach, distribution, awareness Location and geographical Price, value, quality

    Weaknesses
    Perception, presence and reach Reliability of data, plan predictability

    Opportunities
    Market developments Competitors' vulnerabilities Technology development and innovation Business and product development Partnerships, agencies, distribution

    Threats
    Competitor intentions - various Market demand New technologies, services, ideas Vital contracts and partners Seasonality effects

    Facts and Findings


    Conservative approach. Lack of knowledge. Perception. Competitive Environment. Lack of intermediaries(agencies). Seasonality. Low Spending power. Emerging Sector.

    Contacts and there responses

    Solutions
    vCreating Awareness vGenerating Traffic at Yahoo! Education by various activities like, * Education Blogs. * Dedicated notice section. * Career counseling by experts. * Facility of uploading educational videos.

    Bibliography
    IAMAI(Internet and Mobile Association of India) IMRB Entertainment. I-Cube 2009-10. Indiantelevision.com TAM Media Research division Adex India. ASSOCHAM 2009-10. www.thehindu.com www.afaqs.com www.pagalguy.com www.studyguideindia.com

    THANK YOU QUESTIONS?

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