Advertising

What is Advertising

By

Pranav Kumar OjhaMBA 2nd Semester

MONIRBA

University of Allahabad

Advertising –Definitions

The process of delivering a message about ideas, goods and services, through the media, paid by an identifiable sponsor.

Advertising is the way by which companies tell us about the products and brands.

Advertising –Definitions continued….

According to American Marketing Association:

“Advertising is any paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor.”

Advertising is a form of communication that typically attempts to persuade potential customers to purchase or to consume more of a particular brand of product or service.

Advertising –Definitions cont….

Advertising includes the name of a product or service and how that product or service could benefit the consumer, to persuade potential customers to purchase or to consume that particular BRAND. Modern advertising developed with the rise of mass production in the late 19th and early 20th centuries.

Egyptians used papyrus to make sales messages and wall posters.

Commercial messages and political campaign displays have been found in the ruins of Pompeii and ancient Arabia.

History

History Continued……• As the economy expanded

during the 19th century, advertising grew alongside.

• In June 1836, French

newspaper La Presse was the first to include paid advertising in its pages.

• Around 1840, Volney Palmer established a predecessor to advertising agencies in Boston.

A few advertising legends

John Caples

1932

“Accept nothing as true aboutwhat works best in advertisinguntil it has been scientificallytested.” -John Caples

“Talk to the people who are going To buy your product. This is the first step in any successful campaign”

-Claude C. Hopkins

Claude C. Hopkins

1930

Leo Burnett

“Find the drama.”

The secret of all effective originality

in advertising is not the creation of

new and tricky words but one of putting familiar words and

pictures,into new relationships.”

-Leo Burnett

Bill Bernbach

“Tell the story”

Prahlad Kakkar (born 24 March 1950 in Mumbai) is a leading Indian ad film director, best known for his work on the famous Pepsi TV commercial with Amitabh Bachchan and Sachin Tendulkar. He is the founder and main director for Genesis Film Productions, one of India’s leading production houses, established in 1977.

Prahlad Kakkar

Advertising Planning Framework:

OBJECTIVE SETTING:

•CommunicationObjective•Sales Objective

BUDGET DECISION:•Affordable Approach•Percent of sales•Competitive parity•Objective & task

MESSAGE DECISION:•Message strategy•Message execution

MEDIA DECISION:Reach ,frequency,impact, timing, media vehicles or types

CAMPAIGN EVALUATION

•Communicationimpact•Sales impact

Step:1

The advertising objectives must be stated clearly in a precise and measurable terms.

The objectives stated clearly and precisely enable the advertiser to measure the extent up to which the objectives have been met or achieved.

The advertising objectives can be “sales oriented” or “communication oriented”.

Although the long term objective of each ad is to have an increase in sales, all ad campaigns are not designed with this specific objective.

Some ad campaigns may focus on increasing the awareness about the product or service, changing the attitude, informing the new product etc.

Step:2: setting the advertising budget

Methods: Affordable approachPercentage of sales methodCompetitive parity methodObjective & task method

Step:3: Creating advertising message

Just to gain and hold attention, advertising messages must be better planned, more imaginative, more entertaining and more rewarding to consumers.

“creativity plays an important role in developing effective message.”

A creative strategy focus on what the advertising message says or communicate and guides the development of all messages used in the advertising campaign.

Step:4: Media planning:

A media planner needs to answer the following question:

Which audiences do we want to reach?

When & how to reach them? Where to reach them? How many people should be

reached? How often do we need to reach

them? What will it cost to reach them.

Step:5:Evaluating the effectiveness of advertisements:

The advertising program should evaluate both the communication effect and the sales effect of advertising regularly.

Measuring the communication effects of an advertisement-copy testing- tells whether the ad is communicating well.

The sales effect of advertising are often harder to measure than the communication effect because sales are effected by many factors besides advertising- such as product features, price and availability.

TYPES OF` ADVERTISING BACED ON DIFFERENT MEDIUM

Television

Infomercials

Radio

Press

Online

In-store

Covert

MOBILE BILLBOARD

BILLBOARD

Covert advertising is presently a hot trend in promoting products and services.

It embeds a product or brand in entertainment and media and uses undercover tactics turning ordinary entertainment into an extended ad.

Examples.

Covert advertising

Hayabusa - In Dhoom, John Abraham uses Hayabusa in the movie as a thief,from that time only many of Indians came to know about that bike.

•Domino’s is known as much for the quality of its pizzas, as for its promise of “delivery within 30 minutes or free”.• Paresh Rawal—who is also the Domino’s brand ambassador—was seen in the movie happily munching on a Domino’s pizza.

Ta Ra Rum Pum insisted on special close-ups and zooms for their brands.

As a result we get a good dose of Castrol, Goodyear and Chevrolet periodically

TYPES OF` ADVERTISING BACED ON DIFFERENT MEDIUM

Television

Infomercials

Radio

Press

Online

In-store

Covert

MOBILE BILLBOARD

BILLBOARD

Some other points related to Advertising

• Advertising by Celebrities.• Advertising by Mobile Phone. • Classified Advertising .• Un paid Advertising.• Advertising Agency.

Advertising Agency The American Association

of Advertising Agency (AAAA) defines an advertising agency as “ an independent organization of creative people and business people who specialize in developing and preparing advertising plans, advertisements and other promotional tools.”

India’s 10 leading advertisers by media spend:

Hindustan Unilever($376 m) Paras Pharmaceuticals ($120 m) Procter & Gamble ($114 m) Coca-Cola company ($95 m) Godrej industries ($80m) Colgate-palmolive ($67 m) Pepsico ($62 m) Nirma chemicals ($52 m) Nestle ($50 m) Dabur India ($49 m)

India’s 10 leading advertising companies.

Ogilvy & mather J walter Thompson India Mudra Communivation Pvt Ltd FCB Ulka advertising Ltd. Rediffusion- DY&R Erickson India Ltd. RK Swamy/BBDO advertising Ltd. Grey worldwide(I) Pvt. Ltd. LEO Burnett India Pvt Ltd. Contract advertising India Ltd.

Conclusion(Key to good advertising)

The most important step lies in deciding what your advertising should say and to whom it should say it.

All you need to do is to decide who buys and uses your products and why.

By

Pranav Kumar OjhaMBA 2nd semesterMONIRBA University of [email protected](+91)9235189858

Television• The TV commercial is

generally considered the most effective mass-market advertising format.

• The average cost of a single thirty-second TV spot during the annual Super Bowl football game in the United States has reached US$3 million (as of 2009).

Press advertising

• Press advertising describes advertising in a printed medium such as a newspaper, magazine, or trade journal.

• This encompasses everything from media with a very broad readership base, such as a major national newspaper or magazine, to more narrowly targeted media such as local newspapers and trade journals on very specialized topics.

Online advertising

• Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers.

• Examples of online advertising include contextual ads that appear on search engine results pages, banner ads

MOBILE BILLBOARD ADVERTISING

• Mobile billboards are generally vehicle mounted billboards or digital screens.

• These can be on dedicated vehicles built solely for carrying advertisements along routes preselected by clients.

•They can also be specially-equipped cargo trucks or, in some cases, large banners strewn from planes.

Advertising by Celebrities.

• This type of advertising focuses upon using celebrity power fame and popularity to gain recognition and promotion of their product.

• Advertisers often advertise in which celebrities share their favorite products or wear clothes by specific brands or designers.

• Celebrities are often involved in advertising campaigns such as television or print adverts to advertise specific or general products.

Classified Advertising

• Classified advertising is a form of advertising which is particularly common in newspapers, online and other periodicals.

• Example- Free ads papers or Pennysavers.

• Classified advertising differs from standard advertising or business models in that it allows private individuals (not simply companies or corporate entities) to solicit sales for products and services.

Advergames

• Advergaming is the practice of using video games to advertise a product, organization or viewpoint.

Mobile Advertising

Advanced mobile ads include -Banner ads. Coupons. Multimedia Messaging

Service picture .Video messages. Advergames and Various engagement

marketing campaigns.

Un paid Advertising• Unpaid advertising (also called "publicity advertising"), can provide good

exposure at minimal cost. • Personal recommendations ("bring a friend", "sell it")• Spreading buzz.• Achieving the feat of equating a brand with a common noun (in the

United States, "Xerox" = "photocopier", "Kleenex" = tissue, "Vaseline" = petroleum jelly, "Hoover" = vacuum cleaner, "Nintendo" (often used by those exposed to many video games) = video games, and "Band-Aid" = adhesive bandage) — these can be seen as the pinnacle of any advertising campaign.

• Equating a brand with a common noun also risks turning that brand into a genericized trademark - turning it into a generic term which means that its legal protection as a trademark is lost.

In-store advertising

• In-store advertising is any advertisement placed in a retail store.

• It includes placement of a product in visible locations in a store.

Infomercials• An infomercial is a long-format television

commercial, typically five minutes or longer.

• The main objective in an infomercial is to create an impulse purchase, so that the consumer sees the presentation and then immediately buys the product through the advertised toll-free telephone number or website.

• Infomercials describe, display, and often demonstrate products and their features, and commonly have testimonials from consumers and industry professionals.

Radio advertising

• Radio advertisements are broadcasted as radio waves to the air from a transmitter to an antenna.

• Airtime is purchased from a station or network in exchange for airing the commercials.

• While radio has the obvious limitation of being restricted to sound, proponents of radio advertising often cite this as an advantage.

Buzz

• Make a buzzing sound• "Planes buzzed the crowds in the square“• Call with a buzzer