FIRST MODULE

ADVERTISEMENT
Advertisement introduces things to people. Through advertising, the consumer is informed about
available products or services and about the particular ways in which they may meet his/her
needs. In order to inform, attract, and convince the valued customers, a marketer undertakes a
number of promotional means. Advertising is one of the powerful means to inform about
company’s total offers. Advertising is a dominant element of market promotion. Mass media are
used intensively to advertise various products. Marketing without advertising seems to be
impossible. Advertising works like a magic stick to actualize marketing goals.
Advertising can be defined as:
Advertising is a paid form of mass communication that consists of the special message sent by
the specific person (advertiser or company), for the specific group of people (listeners, readers,
or viewers), for the specific period of time, in the specific manner to achieve the specific goals.
Advertising includes oral, written, or audio-visual message addressed to the people for the
purpose of informing and influencing them to buy the products or to act favorably toward idea
or institution.
Philip Kotler:
“Advertising is any paid form of non-personal presentation and promotion of goods, services, or
ideas by an identified sponsor.”
Frank Presbrey:
“Advertising is a printed, written, oral and illustrated art of selling. Its objective is to encourage
sales of the advertiser’s products and to create in the mind of people, individually or collectively,
an impression in favour of the advertiser’s interest.”
Advertising is the non-personal communication of information usually paid for and usually
persuasive in nature about products, services or ideas by identified sponsors through the various
media.
Advertising is the promotion of a company’s products and services through different mediums to
increase the sales of the product and services.
It works by making the customer aware of the product and by focusing on customer’s need to
buy the product.
Advertising performs the function of distinguishing advertiser's product from competitors.
FEATURES
1. Tool for Market Promotion:
There are various tools used for market communication, such as advertising, sales promotion,
personal selling, and publicity. Advertising is a powerful, expensive, and popular element of
promotion mix.
2. Non-personal:
Advertising is a type of non-personal or mass communication with the target audience. A large
number of people are addressed at time. It is called as non-personal salesmanship.
3. Paid Form:
Advertising is not free of costs. Advertiser, called as sponsor, has to spend money for preparing
message, buying media, and monitoring advertising efforts. It is the costliest option of market
promotion. Company has to prepare its advertising budget to appropriate advertising costs.
4. Wide Applicability:
Advertising is a popular and widely used means for communicating with the target market. It is
not used only for business and profession, but is widely used by museums, charitable trusts,
government agencies, educational institutions, and others to inform and attract various target
publics.
5. Varied Objectives:
Advertising is aimed at achieving various objectives. It is targeted to increase sales, create and
improve brand image, face competition, build relations with publics, or to educate people.
6. Forms of Advertising:
Advertising message can be expressed in written, oral, audible, or visual forms. Mostly, message
is expressed in a joint form, such as oral-visual, audio-visual, etc.
7. Use of Media:
Advertiser can use any of the several advertising media to convey the message. Widely used
media are print media (newspapers, magazines, pamphlets, booklets, letters, etc.), outdoor
media (hoardings, sign boards, wall-printing, vehicle, banners, etc.), audio-visual media (radio,
television, film, Internet, etc.), or any other to address the target audience.
8. Advertising as an Art:
Today’s advertising task is much complicated. Message creation and presentation require a good
deal of knowledge, creativity, skills, and experience. So, advertising can be said as an art. It is an
artful activity.
9. Element of Truth:
 It is difficult to say that advertising message always reveals the truth. In many cases,
exaggerated facts are advertised. However, due to certain legal provisions, the element of truth
can be fairly assured. But, there is no guarantee that the claim made in advertisement is
completely true. Most advertisements are erotic, materialistic, misleading, and producer-
centered.
10. One-way Communication:
Advertising involves the one-way communication. Message moves from company to
customers, from sponsor to audience. Message from consumers to marketer is not possible.
Marketer cannot know how far the advertisement has influenced the audience.
ROLE OF ADVERTISING IN THE MARKETING PROCESS
Advertising plays role in marketing process to achieve followings things:
Brand Positioning: It helps in shaping or improving the image and perception that people have
about the brand.
To Remind Audience: To make people recall the brand in case they have forgotten or to instill
the brand’s name in people’s mind further.
To Excite or Create a Need: Advertising displays tempting, exciting or compelling content that
makes people crave for the product. It’s also used to generate a need by telling people that they
need the product or service.
To Generate Awareness: It helps in making people aware of the brand in case it is new or not too
popular brand.
To Increase Outreach: It helps in spreading the word about the brand by creating a quality and
viral content through Advertising.
ROLE OF ADVERTISING (ADVANTAGES/IMPORTANCE):
Advertising offers a number of benefits to manufactures, middleman, salesman, consumers and
the society.
Advantages to Manufactures:

 Increases the demand for the product

 Maintains the existing market
 Helps in increase the goodwill of the company
Advantages to wholesalers & retailers:

 Helps the dealers to have more sales

 Increases the prestige of the dealers
  It informs the consumers the quality and features of the product. Thus, it facilitates easy
sales.
Advantages to salesman:

 Reduces salesman burden of job

 Makes the salesman self-confident
 Prepares a back ground for a salesman to begin his work
Advantages to consumers:

 Informs the consumers about quality and prices of products and makes purchasing easy
for them.
 Save time by helping them to know when and where the products are available.
Advantages to society:

 It leads to large scale production. It creates employment opportunities for the

professional artists.
 Increases the standard of living of the society by facilitating to make use of a variety of
products.
 Educates the public regarding the uses and benefits of different products.
LEGAL ETHICAL AND SOCIAL ASPECTS OF ADVERTISING
Ethical Issues in Advertising
Bad taste in advertising
- Bad taste is affected by factors like time, age, and personal perceptions of an individual.
- Different things offend different people in different ways.
- What might be vulgar for an elderly person might not be so for younger person.
- Taste also changes overtime; what was offensive and unacceptable yesterday may not be
considered offensive and unacceptable today.
Impact on culture and values
- Advertising sometimes shapes the society’s values and norms.
- Advertisers should become aware of how they portray the culture and values of their society.
Exaggerations and Puffs
- Puffery is defined as, “advertising or other sales representations, which praise the item to
be sold with subjective opinions, superlatives, or exaggerations, vaguely and generally,
stating no specific facts.”
 - A company may deliver an entertaining message about its product, compare the
product to a similar item, list facts about the product, or make vague claims about
the product which cannot be proved or disproved.
Examples: using a particular product would give a consumer jobs, ours is the best product,
advertisements of fairness creams etc.
Advertising targeted at children
- Advertising promotes superficiality and materialism in children.
- Children are inexperienced and easy prey.
- Persuasion to children creates child-parent conflicts.
- Children have a limited ability to judge good or bad and are unable to interpret messages
targeted to them
Stereotyping
- Stereotyping is presenting a group of people in a specified manner or pattern that lacks
individuality.
- Portrayal of women in advertisements
- Elderly people are often subjected to stereotyping.
Advertising controversial products
- Tobacco.
- Alcohol.
Deceptive advertising
- Deception is making false or misleading statements.
- It may either be omission of an important fact or misrepresentation related to quality,
performance, safety, efficacy and comparison with other products.
LEGAL ASPECTS
A number of Institution and Laws are involved in regulating advertising

 Regulation by the Government

 Self-regulation by the industry
Regulation by the Government
The government in each country has to make sure that advertisements appearing do not flaunt
off their rules & regulations. It should not
  Show anti-national feelings
 Contain misleading information about the product
 Violate government rules.
There is no independent or separate Act that governs advertising in India. However, a number of
Acts contain provisions that regulate advertising in India.
Various Acts are:
The Consumer Protection Act, 1986
The Competition Act, 2002
The Cable Television Networks (Regulation) Act, 1986
Law applicable to specific Industry
Law applicable to All Industry
Emblems and Names Act 1950
Indecent Representation of women Act 1986
The Trade and Merchandise Marks Act, 1958
The Drugs and Magic Remedies( Objectionable Advertisements) Act, 1954
The Motor Vehicles Act, 1988
The Advertising of Tobacco products Act.
Self-regulation by the Advertising Industry

 Advertising Trade Association

 Code for commercial advertising on Doordarshan
 All India Radio code for commercial advertising
Advertising Trade Association

 The advertising industry makes an effort to regulate its members through the ASCI,AAAI
, Press council of India and Prasar Bharathi,
 Codes
-The advertising must be truthful
-Claims based or supported by independent research should quote the source and date
of research
-Advertisement should not contain any reference to any person, firm or institution
without due permission.
 -To ensure that advertisement are not offensive to generally accepted standard of
decency.
-Advertisements shall not propagate the use of product which are banned under the law.

Code for commercial advertising on Doordarshan

 Advertisement should conform to the law of the country and should not offend morality,
decency and religious sentiments of the people.
 No advertisement shall be permitted
-which is against the provision of the Constitution of India
-Incite people to violence, crime, or anything against maintenance of the law and order
-Ridicules any race, caste, and nationality
-Presents criminality as desirable

All Indian Radio code for Commercial Advertising

 Attack on religious or communities

 Anything obscene or defamatory
 Anything amounting to contempt of court
 Attack on a political party by names
 Criticism by friendly countries.
FUNCTIONS OF ADVERTISEMENT
There are three functions of advertising:
1. Social function
Consumer protection is achieved by educating through advertisement. Advertisement helps to
solve social causes, such as fighting chronic disease like cancer, malaria or helping the needy etc.
2. Psychological function
Advertisement appeals to psychological motives of human beings such as “soft drink Company
advertising Thanda matlab Coca Cola”.
3. Economical function
(Value /price equation conveyed to customer)
Brings attitudinal change in the customer to make him buy products offered by the manufacturer.
It helps the sales in an indirect manner.
It establishes a rapport with the customer.
Other functions
1. Promotion of Sales:
Advertising promotes the sale of goods and services by informing and persuading the people to
buy them. A good advertising campaign helps in winning customer and generating revenues.
2. Introduction of New Products:
Advertising helps in the introduction of new products in the market. Advertising enables quick
publicity in the market. A business enterprise can introduce itself and its products to public
through advertising.
3. Increasing Standard Of Living:
Advertising educates the people about the products and their uses. It is advertising which has
helped people in adopting new ways of life and giving up old habits. It has contributed a lot
towards the betterment of the standard of living of the society.
4. Support to Production System:
Advertising facilitates large scale production. The business firm knows that it will be able to sell
on a large – scale with the help of advertising.
5. Public Image.
(Advertising builds up the reputation of the advertiser also.)
TYPES OF ADVERTISING
1. Consumer Advertising
Most of the consumer products company encourage product advertising. Marketers of
cosmetics, detergents, soaps are included here. Sponsors in this area compete with one another
to establish an advantage for their particular brand.
2. Service Advertising
Service sector encompass such as medical services, financials services, education services etc. In
service advertising, the service provider to sells his expertise. It is very difficult because (1) the
services are intangible (2) no transfer of ownership (3) difficult to differentiate.
3. Surrogated Advertising
The word surrogate means “substitute”. In this type of advertisement, one product is substitute
for another example- Alcohol advertisement is banned, but mineral water or apple juice, or soda
is being substituted for advertisement. Eg . (Food tastes better with kingfisher)
4. Public Service Advertisement
This type of advertisement is directed towards the social welfare of the nation or the community.
Eg. LIC’s advertisement on “drug addiction”. “Gum care”, Advertisement on “drinking and
driving” etc. The objective is to put across a message intended to change the attitude or
behaviour of the public.
5. Non-Profit Advertising
Here idea selling is done instead of producer or service. This is generally aimed at fund rising
(Send us a cheque for prime minister’s flood relief fund), persuasion to act (get a physical checkup
for malaria), anti-smoke etc.
6. Print Advertisement
A. news paper
B. magazines
C. brochures
7. Out Door Advertisement
a. Billboards
b. kiosks
c. trade shows
d. events
8. Celebrity Advertisement
9. Broad Casting Advertisement
a. Television
b. radio
c. internet
10. Covert Advertisement
"Covert advertising" refers to advertising that is hidden in other media, such as an actor in a
movie drinking a Coca-Cola. It is referred to as "covert" because it is not direct advertising, but
subliminally viewers often notice the product. Many films and other media use covert advertising
because advertisers pay for the inclusion of their product within a film. Viewers may not always
directly notice the product being advertised, but the item is often covertly placed so that the
consumer will indirectly notice it.
INTEGRATED MARKETING COMMUNICATION
Integrated Marketing Communications is a simple concept. It ensures that all forms of
communications and messages are carefully linked together. At its most basic level, Integrated
Marketing Communications, or IMC, as we’ll call it, means integrating all the promotional tools,
so that they work together in harmony. All of these communications tools work better if they
work together in harmony rather than in isolation. Their sum is greater than their parts –
providing they speak consistently with one voice all the time, every time. Integrated marketing
communication refers to integrating all the methods of brand promotion to promote a particular
product or service among target customers. In integrated marketing communication, all aspects
of marketing communication work together for increased sales and maximum cost effectiveness.
Integrated Marketing is an approach to creating a unified and seamless experience for consumers
to interact with the brand/enterprise; it attempts to meld all aspects of marketing
communication such as advertising, sales promotion, public relations, direct marketing, and
social media, through their respective mix of tactics, methods, channels, media, and activities, so
that all work together as a unified force. It is a process designed to ensure that all messaging and
communications strategies are consistent across all channels and are centered on the customer.
Benefits of Integrated Marketing Communications

 Competitive Advantage
 Boost Profit and Sales
 Strengthening relationships
 Help Customers
 Saving time, money and stress
Integrated Marketing Communication Tools

 Advertising
Advertising is a means of communication with the users of a product or service. Advertisements
are messages paid for by those who send them and are intended to inform or influence people
who receive them. Advertising is a marketing tactic involving paying for space to promote a
product, service, or cause. The actual promotional messages are called advertisements, or ads
for short. The goal of advertising is to reach people most likely to be willing to pay for a company’s
products or services and entice them to buy.

 Sales Promotion
Sales promotion is the process of persuading a potential customer to buy the product. Sales
promotion is designed to be used as a short-term tactic to boost sales – it is rarely suitable as a
method of building long-term customer loyalty.

 Direct Marketing
Direct marketing is a form of advertising where organizations communicate directly to customers
through a variety of media including cell phone text messaging, email, websites, online adverts,
database marketing, fliers catalog distribution, promotional letters, targeted televisions
newspapers magazine advertisements and outdoor advertising Among practitioners, it is also
known as direct response marketing

 Personal Selling
Personal selling is where businesses use people (the "sales force") to sell the product after
meeting face-to-face with the customer. The sellers promote the product through their attitude,
appearance and specialist product knowledge. They aim to inform and encourage the customer
to buy, or at least trial the product. A good example of personal selling is found in department
stores on the perfume and cosmetic counters. A customer can get advice on how to apply the
product and can try different products.

 Public Relation Activities

Publicity is the movement of information to the general public from the media. The subjects of
publicity includes people (for example, politicians and performing artists), goods and services,
organizations, and works of art or entertainment. Publicity is gaining public visibility or awareness
for a product, service or your company via the media. It is the publicist that carries out publicity,
while PR is the strategic management function that helps an organization communicate,
establishing and maintaining communication with the public. This can be done internally, without
the use of media.
Disadvantages of IMC
Lack of control
Takes time to build customer franchises
High cost per prospect
Difficult to measure effect
BRAND MANAGEMENT
Brand management is a function of marketing that uses techniques to increase the perceived
value of a product line or brand over time. Effective brand management enables the price of
products to go up and builds loyal customers through positive brand associations and images or
a strong awareness of the brand. Developing a strategic plan to maintain brand equity or gain
brand value requires a comprehensive understanding of the brand, its target market, and the
company's overall vision.
Strategic Brand Management Process
The process of strategic brand management basically involves 4 steps:
1. Identifying and establishing brand positioning.
Brand Positioning is defined as the act of designing the company's offer and image so that it
occupies a distinct and valued place in the target consumer's mind.
Key Concepts:
Points of difference: convinces consumers about the advantages and differences over the
competitors
Mental Map: visual depiction of the various associations linked to the brand in the minds of the
consumers
Core Brand Associations: subset of associations i.e. both benefits and attributes which best
characterize the brand.
Brand Mantra: that is the brand essence or the core brand promise also known as the Brand
DNA.
2. Planning and Implementation of Brand Marketing Programs
Key Concepts:
Choosing Brand Elements: Different brand elements here are logos, images, packaging, symbols,
slogans, etc. Since different elements have different advantages, marketers prefer to use
different subsets and combinations of these elements.
Integrating the Brand into Marketing Activities and the Support Marketing Program: Marketing
programs and activities make the biggest contributions and can create strong, favourable, and
unique brand associations in a variety of ways.
Leveraging Secondary Associations: Brands may be linked to certain source factors such as
countries, characters, sporting or cultural events,etc. In essence, the marketer is borrowing or
leveraging some other associations for the brand to create some associations of the brand's own
and them to improve it's brand equity.
3. Measuring and Interpreting Brand Performance
Key Concepts:
Brand Audit: Is assessment of the source of equity of the brand and to suggest ways to improve
and leverage it.
Brand Value chain: Helps to better understand the financial impacts of the brand marketing
investments and expenditures.
Brand Equity Measurement System: Is a set of tools and procedures using which marketers can
take tactical decision in the short and long run.
4. Growing and Sustaining Brand Equity:
Key Concepts:
Defining the brand strategy: Captures the branding relationship between the various products
/services offered by the firm using the tools of brand-product matrix, brand hierarchy and brand
portfolio
Managing Brand Equity over time: Requires taking a long -term view as well as a short term view
of marketing decisions as they will affect the success of future marketing programs.
Managing Brand Equity over Geographic boundaries, Market segments and Cultures:
Marketers need to take into account international factors, different types of consumers and the
specific knowledge about the experience and behaviours of the new geographies or market
segments when expanding the brand overseas or into new market segments.
Importance of Brand Management
Establish brand identity – the most important aspect of good brand management is to establish
your true brand identity early on and then continually streamline and improve it. This is true
whether you are known for being on trend, taking a holistic approach in your treatments, or using
all natural products. By incorporating your company identity into your brand, you set yourself
apart from others in your field.
Market to target demographic – You have to know who your target audience is and design your
marketing for them in order to garner their business time after time. This means communicating
with your target clients where and when they want. Utilizing social media and email marketing is
key to cultivating a relationship that drives future business.
Ensure Consistency – The most important aspect of successful brand management is to be
consistent. Your clients need to know that they will receive a consistent product or service every
single time they visit. This promotes good feelings when they see your brand or look at your
marketing. The repeat business and referrals this generates can drive business growth over time.
BRAND EQUITY
Brand Equity refers to a value premium that a company generates from a product with a
recognizable name when compared to a generic equivalent. Companies can create brand equity
for their products by making them memorable, easily recognizable, and superior in quality and
reliability. Mass marketing campaigns also help to create brand equity.
Components of Brand Equity
1. Brand Awareness
The first step of the brand building process is creating awareness of the brand name in the mind
of consumers. This means that customers are aware of the brand and able to associate it with a
particular category. Building brand awareness can help marketers to increase brand visibility to
the target audience through different advertisement campaigns.
2. Perceived Quality
Fulfilling brand promise is the key to strong brand equity. Customer tends to assess brands with
other similar brands on the basis of various quantitative and qualitative parameters. Quality
perception also impacts the pricing decision of a company. If a company produce quality
products, it can avail the luxury of premium pricing.
3. Brand Association
Brand association is anything that a customer relates to their preferred brand. Getting in
interaction with brands allows such associations. Having a good brand association is important
as it leads to repetitive sales and provides the business word of mouth marketing. Such
associations are leveraging the brand and give a tough time to new entrants into the market.
4. Brand Experience
This is the aggregation of customer experience with the overall brand. When customers have the
good brand experience they will consider the brand as superior and will start preferring it over
others. For example, how you feel when eating at McDonald’s? How is the overall inner
environment, how the staff behaves and what is is the quality of the food? To provide the same
experience, the company have to maintain uniform standards all over the outlets in the world.
5. Brand Loyalty
Brand loyalty is the preference of a brand by the customer over similar products in the market.
This results in repetitive sales and is the best way to spread word of mouth. If a company has a
higher brand loyalty, it can help to reduce marketing cost. The company can also introduce new
products targeting the same customer base.
6. Brand Preference
This is another component of brand equity and can charge additionally for the same product.
However, this requires organizations to assure that customers have good experiences and
associations with the brand.
BRAND BUILDING
Brand Building is generating awareness, establishing and promoting company using strategies
and tactics. In other words brand building is enhancing brand equity using advertising campaigns
and promotional strategies. Branding is crucial aspect of company because it is the visual voice
of the company. Goal of brand building is creating a unique image about the company.
Process of Brand Building
1. Describe your brand: The first step of brand building is to describe the brand. This can be done
through product description, packaging, logos etc. The way a brand is defined builds the brand
equity and forms the foundation of the customer perception.
2. Brand Differentiation & Positioning: Once a product or service is created, it is critical that the
brand is differentiated from its competition with some unique value. Also, positioning the brand
correctly is an essential element of brand building.
3. Brand Promotion: Advertising & promoting the brand using TVCs, social media, print ads,
online advertising etc. is one of the most important pillars of brand building as it helps in creating
brand awareness. Correct communication and effective media channels can help build a strong
brand and helps increase brand recall.
4. Personalize the Brand: Brand building can be effective is a customer feels connected to it.
Hence giving a personal touch to the customer, through innovation and customization can help
building a stronger perception in the mind of the customer.
5. Evaluate the Brand: It is important that a company keeps on monitoring and reviewing the
performance of its products, services and brands. Hence evaluation & review of a brand is an
essential element of brand building.
Types of Brand Building Strategies
There are a few approaches on brand building strategies:

 Product branding
This type of brand give each individual product an exclusive brand name and the company name
being ignored. It allows the brand to have unique values, personality, identity and positioning. By
doing so, it implies that every new product the company brings on to the market is a new brand
and can be positioned precisely for a specific market segment. It has the advantage of making it
easier for the company to evaluate brand performance and worth and allows better resource-
allocation decisions. The major drawbacks are product cannibalization if consumers cannot
differentiate clearly among product brands and involves higher advertising and promotion
budget and is totally self-supporting with little or not brand name assistance or assurance from
the parent.

 Product-line branding
Here, the products appear under the same brand name and possess the same basic identity but
with slightly different competencies for example Follow Me line of hair shampoos. Here the
brand line comes under the hair-care category but the different line extensions cover
complementary applications of essentially the same product. Advantages therefore are
economies of scale in advertising and promotion and each new line extension strengthens the
position of the brand and therefore its image. The line helps defend the category from predatory
attack. Hence, individual product brands can move across to line brands as companies find ways
of extending the brand to different consumer groups or segments.

 Product-range branding
A number of products or services in a broad category are grouped together under one brand
name and promoted with one basic identity. Compared to product-line branding, product-range
branded products carry out the basically the same functions but at different performance levels
like various cars in the Mercedes S, E, C and A class and Intel’s Pentium and Celeron ranges of
microprocessors. Therefore the advantage here is that a single brand name allows some
economies of scale in advertising and promotion as the products tend to carry the same overall
brand values and positioning

 Corporate branding
Two approaches in the corporate brand exercises
First is to promote its name as the main brand name sometimes referred to as monolithic or
umbrella branding. Here the product is not branded individually or as strongly as the corporate
brand. Companies using this approach – IBM, Virgin, Sony. The basic principle is that the
companies believed that the company name is the life of an enterprise.
The second approach which is becoming popular whereby the product brand name has a high
profile but is endorsed by the parent company which gives the product a stamp of quality and
credibility. Here the product brand is self-supporting in practically every respect but retains the
assurance of the corporate brand endorsement. This type of corporate branding is also called
house or endorsement branding. Nestle uses this approach to protect and guarantee the
performance of their multitude products.
SECOND MODULE
MAJOR PLAYERS IN ADVERTISING
Advertiser
Advertising begins with advertiser, the person or organization that initiates the advertising
process.
Advertisers decides the target audience, media, advertising budget and length of campaign.
The advertiser initiates the advertising efforts by identifying a market problem that advertising
can solve.
The Advertising Agency
Advertisers hire agencies to plan and implement their advertising efforts.
Agencies have expertise to create a campaign, have strategic and creative expertise, media
knowledge, workforce talent and the ability to negotiate good deals for clients.
The companies that need closer control over their advertising have their own in -house agencies.
Large retailers for example -find that doing their own ad provides cost saving as well as the ability
to meet deadlines.
An advertising agency or ad agency is a service business dedicated to creating, planning and
handling advertising (and sometimes other forms of promotion) for its clients.
An ad agency is independent from the client and provides an outside point of view to the effort
of selling the client's products or services.
An agency can also handle overall marketing and branding strategies and sales promotions for its
clients.
Typical ad agency clients include businesses and corporations, non-profit organizations and
government
Agencies Agencies may be hired to produce an advertising campaign.
The Vendors
Free lancers, consultants and self-employed professionals.
Provide a variety of services like copy writers, jingle writers, photographers and market
researchers etc.
The advertiser may not have expertise in their area they may be overloaded, or they may want a
fresh perspective.
Vendors are necessary because no agency can afford to have all the facilities on permanent basis.
Vendor services are often cheaper than permanent in house facility.
The Target Audience
All the advertisement starts with the identification of the customer or prospective customer- the
desired audience for the advertising message. The character of the target audience have a direct
bearing on the overall advertising strategy. Purchasers are not always the product users. For eg:
in case of baby products parent’s purchases and kids use it. Kellogg must actually have 2 target
audience for their product. They design one ad for the kids target audience and another for the
parents target audience.
Advertising Media
It refers to the various media channels through which advertising is done. Companies use
advertising media to reach to customers. The media brings awareness to the people and that
awareness triggers thinking. Depending upon customer demographics, advertising budget ,
targets of the company etc, companies choose type of media.
Types of advertising media:
1. Broadcast media:
TV and radio are two of the most important advertising media.
TV is one of the most widely used media, companies targets serials, reality shoes , sports events
etc.
Radios enable companies to reach out to a wide range of customers.
2. Print media:
Medias like newspapers, magazines, brochures, billboards, direct mails and other print
publications come under this. It reaches to massive audience.
3. Online media:
With the consistent growth in internet, companies have started using online media for promotion
through
Advertising. People are connected to the internet through social media, website browsing etc.
4. Outdoor media:
Useful in capturing those customers who are travelling from one place to another. This gives an
opportunity to companies to use outdoor media to create brand awareness by putting bill boards
and hoardings.
5. Other forms:
Advertising can be done through transit signs. The small posters that we see on trains or buses,
electronic
Billboards etc., ads can be advertised before the movies in cinema halls as well where it can reach
out to a large group of similar audience.
ADVERTISING AGENCY
An advertising agency or ad agency is a service business dedicated to creating, planning and
handling advertising (and sometimes other forms of promotion) for its clients.
Firm that;-
creates new promotional ideas, designs print, radio, television, and internet advertisements
books advertisement space and time, plans and conducts advertising campaigns, commissions
research and surveys, and provides other such services that help a client in entering and
succeeding in a chosen market.
An Advertising Agency or ad agency is a service provider that works for clients to create an
effective and goal oriented advertising campaign aimed at representing the Company positively
in the eyes of its target customers.
According to American Association of Advertising “An advertising agency is an independent
organization of creative people and business people who specialize in developing and preparing
market plans, advertisements, and other promotional tools”.
Primary services of Advertising agencies:
1) Complete a marketing analysis
2) Develop an advertising plan
3) Prepare a creative strategy
4) Create advertising executions
5) Develop and implement a media plan
6) Handle billing and payments
7) Integrate other marketing communications
Why Advertising Agency?

 The agencies are expert in this field. They have a team of different people for different
functions like copywriters, art directors, planners, etc.
 The agencies make optimum use of these people, their experience and their knowledge.
 They work with an objective and are very professionals.
 Hiring them leads in saving the costs up to some extent.
Role of Advertising Agency

 Creating an advertise on the basis of information gathered about product

 Doing research on the company, product and target consumers.
 Creating an appealing and innovative advertisement.
 Planning regarding type of media to be used, when & where to be used, and for how much
time.
 Taking the feedbacks from the clients as well as the target consumers and then deciding
the further line of action handle billing and payments integrate other marketing
communications
Types of Advertising Agency
1. Full Service Agencies
-Large size agencies.
-Deals with all stages of advertisement such as copywriting, artwork, production of ads,
media planning etc.
-Different expert people for different departments.
-Starts work from gathering data and analyzing and ends on payment of bills to the media
people.
2. in House Agency
-This type of agency is owned by the advertiser.
-Big organization prefers these types of agencies which are in built and work only for them
.
-It is as good as full service agencies.
-It performs almost all functions that an outside full service does.
3. Creative Boutiques
-Small sized agencies with their own copy writers, directors, and creative people. No other
function is performed other than creating actual ads.
-The specialized creative functions include copy writing, artwork and production of
advertisement.
-Most of them convert into a full service agency or merge with other agencies to provide
a wide range of services.
-These are shop agencies that provides only creative functions and not full-service.
4. Interactive Agencies
-Modernized modes of communication are used.
-Uses online advertisements, sending personal messages on mobile phones, etc.
-The ads produced are interactive, having new concepts and very innovative.
5. Specialist Advertising Agencies
-There are some agencies who undertake advertising work only in certain areas. There
are agencies that specialize only in financial services.
-Schedules slots at different television channels and radio stations.
-Finally checks whether the ad has been placed at opted time and place or not.
6. Modular agencies
A modular agency is a full service agency that sells its services on a piece meal basis. Thus an
advertiser may commission an agency’s creative department to develop an ad campaign while
obtaining other agency services elsewhere.
Structure of an Advertising Agency
Typical structure of an advertising agency consist of:
• Contact Department
Contact department, also known as client department is in charge of keeping contact with their
prospective clients of the advertising agency, mostly the advertisers.
The functions of the client department includes:
•Carrying the important information to the clients
•Efforts for retaining and creating new clients
•Building the bridge between the advertising agency and the client
•Helps in boosting revenues
•Promotion of their agency to create new prospects
•Efficient working for the quick growth of its organization
• Media Department
Media Department of advertising agency is responsible for the choice of media. This department
selects the best suitable medium for the ad agency that will be suitable for its clients.
• Before the selection process, media department’s initial role is to find out about:
• The product’s nature
• The market competition
• Advertising budget of the client
• Media trends, etc.
The functions of media department are:
• It selects and uses the best media possible to communicate the ad message to the ultimate
consumers
• It can also fail, as a wrong selection will result in the failure of the advertised product.
• Preparation of media plans for its clients
• Media scheduling
• Supervising the execution
• It keeps constant contact with the media and the client
• Copy Department
The copy of the advertising agency is very crucial. It is called the heart of the ad as this conveys a
direct message to the consumers creatively.
Primary functions of the copy department are:
• Preparing an attractive copy for its clients and customers.
• Participate in brain- storming sessions and come up with ideas.
• Using their extraordinary skills of putting flair and fluent language while preparing a copy.
• This department includes copywriters, copy-supervisors, and others. The copy department
works in close co-operation with the art department. Mostly, the copy department is the largest
department of an advertising agency. It comprises of a hard- working team of qualified
professionals and experienced staff.
• Art Department
The art department consists of all the artists in an advertising agency. The advertisement finally
becomes agreeable and acceptable because of these people in the art department. These people
use the principles of real art, probably on software, as a guideline or base to present a product
to the targeted audience. The personals working in the art department are known as the Art
Directors.
The functions of the art department are:
• Transform the idea that the client wants to convey, into a simple and beautiful imagery.
• Preparing layouts and visuals for the clients.
• To work closely with the copywriters for developing the visual messages.
• Making painted bulletins, posters, car cards, illustrations, slogans,
• Production Department
Once, after the copy and art is finalized, the advertisement is sent to the production department
for further process. Both the departments, copy and art, create the basic model of the
advertisement. The production department takes the advertisement into its final stage. A
production manager heads the production department.
Functions of the production department are:
• Produces the final advertisements for the markets.
• Making contacts in the industry for the easy carrying out of tasks.
• Assemble the typographic design patterns, engraved photos, illustrations, copy, etc. and
prepare the final advertisement.
• Sending the final product to its clients and get the approval.
• Once the approval is received, then it can be sent for final printing or production for the market.
• Keeping them updated about the latest trends and technologies.
• Research Department
The research department in advertising collects information about the market, market
competition, market trends, products and services, competitors, consumer behavior, media
trends, new trends in advertising, so on. The success of the advertising agency’s advertisement
campaign depends upon how hard the research team has done its work. A right direction and the
right approach are very important for a successful ad campaign.
Functions of the research department include:
• Carrying out research and deriving out useful information.
• Critically analyze the information, which they have derived.
• Apply the results in different ways.
• Agency makes use of above information for executing an excellent ad campaign
• Accounting and Finance Department
As the name suggests, the accounting and finance department of an advertising agency looks into
the financial and accounting matters of the organization.
The functions of this department are:
• To generate and keep a record of the invoices that the company incurs or gains.
• Sending out regular reminders to the clients for un-cleared payments.
• Clear accounts before or within the due dates.
• Issue payments to vendor parties within or on the due date.
• Keep a track of the monthly and yearly accounts.
• Deposit the government fees on time.
• Manage salary accounts of the employees.
Public Relations (PR) Department
The chief responsibility of a public relations (PR) department is to maintain a cordial relationship
among three parties, namely, advertising agency, clients, and media. Every organization may not
have a separate department for PR hence, it becomes important for the other members of the
organization to build cordial relations with clients and customers.
The functions of the PR department are:
• Redressing the grievances of the consumers.
• Taking feedback from clients and customers and working on it immediately.
• Serve as a road between the advertising agency and the other parties.
• Maintain a repo, by maintaining the goodwill.
Office Management
• The office management department can also be called the HR department of the advertising
agency.
Their functions include:
• Recruiting the office staff.
• Carrying out training and development of the newly hired staff.
• Carry out promotions of the deserving candidates.
• Provide welfare facilities to staff.
• Filing and record keeping of all the essential documents.
MARKET RESEARCH FIRMS
Market Research
“The systematic gathering, recording and analysis of data about problems relating to the
marketing of goods and services” —The American Marketing Association.
Market Research Firms
The firms which conduct researches in market for gathering information about consumer’s needs
and preferences.
EX: IMRB International, RNB Research, Majestic MRSS, Hansa Research, the Nielsen
Types of Market Research Firms

 Syndicated market research firm

Syndicated market research companies are the ones who look the market requirements and
prepare their reports accordingly. A research study which is conducted and funded by a market
research firm but not for any specific client is called a syndicated research. The result of such
research is often provided in the form of reports, presentations, raw data etc. and is made
available in open market for anyone to purchase. For example – A.C Nielson is a market research
company, which knows that other top companies are looking for consumer behavior studies,
buying patterns etc. Thus, A.C Nielson regularly presents reports on buying patterns, industry
analysis and sectory analysis which is then sold at a cost to all companies

 Custom market research firm

Custom research is specifically produced and funded by a single client, and the results are
proprietary to that client. It is a collaborative effort between the customer and the market
research firm to create a study, and resulting the report will address the customer's specific
questions. As the name suggests, these custom market research firms will be ready to do the
custom jobs that you give them. Thus, initially many market research firms start as custom
market research firms, and then move on to specialty or syndicated market research firm.

 Specialty market research firm

Once a market research firm has a grip on one specialty, then the firm may be known as a
specialty market research firm. Firms providing a specialised service to other market research
firms, eg. A firm selling field interviewing services ( Continental research)

 Online market research firm

There are dozens of online market research firms. However, online market research firms might
be more useful for other online marketers like EBay, Online e commerce portals, top bloggers
etc. MOZ and search engine land are few of these search marketing firms.. These firms help the
website owners, as well as the brands, to connect to their desired users and at the same time
conduct online analysis.
THE PROCESS OF DEVELOPING AN AD
1. The SWOT analysis of the product and the company
Before analyzing how to create an advertisement that converts into great results, you should
start by performing a thorough analysis of the strengths, weaknesses, opportunities, and threats
for both, the company and the product that is to be advertised. In short, advertisers call this
activity a SWOT analysis.
Here you can also include the relationship with the customers, your financial capabilities and
resources, the level of commitment of the employees and so on. You need to know the basis
from which you start your campaign and this step may give you exactly what you need in order
to set it up correctly.
Then, you can continue with a thorough analysis of the weaknesses presented by the company
and the advertised products and the opportunities for future development and growth. When
you analyze opportunities, you can also set goals for the campaign.
2. Set up your main objectives
One should first know the objective or the purpose of advertising. i.e. what message is to be
delivered to the audience? After setting the main objectives of advertisement , the next step is
to conduct research .
3. Research the market, the competition, your audience
This step involves finding out the market behavior, knowing the competitors, what type of
advertising they are using, what is the response of the consumers, availability of the resources
needed in the process, etc. Know your position on the market, the competitors’ role and positions
as well. Find out how they advertise their products and try not to copy their campaigns. Instead,
you will need to come up with something new, something out of the box, something that will
make your audience convert into clients.
In order to accomplish that however, you will also need to know some things about the typology
and the personality of your ideal client. Know to whom you are addressing your advertisements
too. What devices are they using? What is their social status? What are their online behaviors
and how do they shop?
4. Identify your target audience
The next step is to identify the target consumers most likely to buy the product. The target should
be appropriately identified without any confusion. For e.g. if the product is a health drink for
growing kids, then the target customers will be the parents who are going to buy it and not the
kids who are going to drink it.
5. Select your channels
Now that the target audience is identified, one should select an appropriate channel for
advertising so that the customers who are to be informed about the product and are willing to
buy are successfully reached Based on your demographic research, however, you will be able to
narrow your search to some specific channels of media distribution suitable for your campaign.
For instance, if you are targeting people who are known to spend a lot of time on social media,
you should channel your efforts in designing suitable ads for social media and of course.
6. Brainstorm for fresh ideas
Take all the information you manage to gather up to this step regarding your products and your
targeted audience. Think also about the delivery channel you have chosen for your
advertisements. Based on your findings, you can now start brainstorming for fresh and creative
new ideas for your campaign.
Write down some words, phrases, ideas. Combine them and do not stop until you come up with
at least a dozen of possible calls to action, copy texts and visual representations of how your
banners, flyers or videos should look like.
7. The design process
First the design that is the outline of ad on papers is made by the copywriters of the agency, then
the actual creation of ad is done with help of the art directors and the creative personnel of the
agency. Obviously, this is the hardest part of the entire advertisement creation process.
Everything you did until now, each other previous steps, prepared you for this one. Now, it’s time
to put your creativity to work and actually design your banners, flyers or brochures.
8. Place and Time of Ad
The next step is to decide where and when the ad will be shown.
The place will be decided according to the target customers where the ad is most visible clearly
to them. The finalization of time on which the ad will be telecasted or shown on the selected
media will be done by the traffic department of the agency.
9. Execution
Finally the advertise is released with perfect creation, perfect placement and perfect timing in
the market
10. Performance
The last step is to judge the performance of the ad in terms of the response from the customers,
whether they are satisfied with the ad and the product, did the ad reached all the targeted
people, was the advertise capable enough to compete with the other players, etc. Every point is
studied properly and changes are made, if any.
THIRD MODULE
OBJECTIVE SETTING
According to Colley, an advertising goal (or objective) is a specific communication task and
achievement level to be accomplished with a specific audience in a specific period of time.
The advertising objectives must flow from prior decisions on target market, market positioning,
and marketing mix.
The advertising objectives can be classified according to whether their aim is to
1. Informative advertising: it is heavily used in the pioneering stage of a product category, where
the aim is to build primary demand.
For example: Ujala, where the ad talks about how different it is from the age old “neel” by talking
about its solution contents and showing how different your clothes look when washed with Ujala.
2. Persuasive advertising: it is generally used when the product is in the competitive stage, where
the company’s objective is to build selective demand for a particular brand.
For example: Whirlpool ice magic positions itself as being a quick ice maker and was the first one
of its kind to use this as a marketing platform.
3. Reminder advertising: it is very important to use these when the product is in the maturity
stage. They are intended to remind people to purchase your brand.
For example: Thums up, Coke, Pepsi ads all these ads no more are shown to create awareness or
persuasion because people are already aware of their presence and already have chosen the
brand of their choice. These are just reminder ads to keep the brand or the company fresh in the
minds of the consumers or have the brand top of mind.
4. Reinforcement advertising: It seeks to ensure the buyers that they have made the right choice
by purchasing your brand.
For Example: Hamara Bajaj advertisements make the owner of the two wheelers of Bajaj proud
of their possession by giving it a patriotic positioning.
MARKET POSITIONING
Positioning means the activity of making position or image in the minds of customers. Positioning
is the process of portraying a picture of company’s product and its customer relation in the minds
of customers.
“Positioning is the act of designing the company’s offering and image to occupy a distinct place
in the target’s mind.”
In marketing and business strategy, market position refers to the consumer’s perception of a
brand or product in relation to competing brands or products. Market positioning refers to the
process of establishing the image or identity of a brand or product so that consumers perceive it
in a certain way. For example, a car maker may position itself as a luxury status symbol. Whereas
a battery maker may position its batteries as the most reliable and long-lasting. And a fast-food
restaurant chain may position itself as a provider of cheap and quick standardized meals. A coffee
company may position itself as a source of premium upscale coffee beverages.
Market positioning: Objectives
(1)To create a distinct place of product& service or corporate in the minds of customers.
(2) To provide a competitive edge to a product or an attempt to convey attractiveness of the
product to the target market.
(3) To give the target market reason of buying our product/service and then formulation of all
strategies according to the customer perception.
TYPES
(1)Attribute Positioning: A company position itself on the basis of an attribute which creates
their separate identity such as size, no. of years of existence etc.
e.g.: “Raymond’s since 1925”
(2)Benefit Positioning: Corporate may position itself as a leader in a certain benefit which they
provides to their customers.
e.g.: “Maruti---Service Station”
(3)Use or Application Positioning: Positioning can be done on the basis of use or application of
the product. Corporate position their product as best for some use like café coffee day position
itself for discussion & meeting point.
e.g.: “Café Coffee Day—a lot can happen over a coffee”
(4)User Positioning: When firm position itself and its products as best suited for a particular user
class is called user positioning
e.g.: “Johnson & Johnson----for babies”
(5)Competitor Positioning: In this category firm claims to be better in some product or service
than a well-known competitor.
e.g.: “Thums up against Pepsi”
(6)Value Positioning: This strategy focuses on company’s positioning as offering the best product
at lower price or we can say best valued product.
e.g.: “McDonald Burger @ Rs 25 only/”
TARGET AUDIENCE
Target audience is the particular group at which product or service is aimed.
or
Particular group of people, identified as the intended recipient of an advertisement or message
or
A target audience is the intended audience or readership, of a publication, advertisement or
other message. In marketing and advertising, it is a particular group of consumers within the
predetermined target market, identified as the targets or recipients for a particular
advertisement or message.
Identifying Target Audience
Target audience may consist of
1. Individuals
Individuals have specific needs
To communicate with individual methods like advertisement, personal selling etc are used.
Life insurance, Real estate etc focus this kind of audience.
2. Groups
Group is a collection of people who make or influence the purchase decision
Group vary in size and nature
Advertising, multi-level selling etc. can be used to communicate with the group.
3. Niche markets
Very small well defined group of customers
They can be reached through personal selling efforts and highly targeted media like direct mail
etc.
4. Market segments or General public or Mass audience
These are different segments of whole market in which each segment has similar needs and
wants
There are various ways of segmenting the market
As market segments get larger marketer use different broader-based advertisement media like
newspaper, magazines and TV etc
How to Determine the Target Audience
By reviewing the product and services
Consider the features and benefits that the customers are getting through the product. Then
narrow down the customer who is exactly getting benefits
Using own skill and area of expertise
For example a caterer with experience in large corporate events choose to target that section of
the market
By analyzing current customer files
Analyze current customer file to determine who already utilize your product and service
Look for similarity among customers
Narrow down the target audience
Research the competitors target audience
Identify the audience that the competitors are targeting in their advertisement
Identify ways to look for slightly different target customers to attract a different segment of the
market.
Write a basic profile of type of customers you want to target using your research
Determine lifestyle, values, backgrounds, occupation, age and location of your ideal customer
If you offer different types of product or services, determine if a second and third target audience
is a possibility for those items
Evaluate your target audience periodically
Determine if your product or services are still best focused on that type of people
Determine if you need to develop a new profile for that core audience
CONSUMER BEHAVIOUR AND ASSUMPTIONS OF CONSUMER BEHAVIOUR FOR AN ADVERTISER
Consumer Behaviour Definition
It is the study of individuals, or organizations and the processes consumers use to search, select,
use and dispose of products, services, experience, or ideas to satisfy needs and study of its impact
on the consumer and society.
Characteristics of consumer Behavior

 Consumer behavior is the process by which individuals decide what, when, from whom,
where and how much to buy.
 Consumer behavior comprises of both mental and physical activities of a consumer.
 Consumer behavior is an integral part of human behavior.
 Complex and dynamic.
 Consumer behavior starts before buying and goes even after buying.
 It involves both psychological and social process.
Assumptions

 Consumers used to be captives to advertising, which they endured in order to view

broadcast TV programming (or radio and print, for that matter).
 Brands told them things in a one-way fashion that they didn't really want to know or use.
It stifled their knowledge and choices
 Once the Internet made distributed content possible, brands had to readjust and "earn"
the consumer attention they once took for granted (or bought outright)
 Analyzing Market Opportunity
Consumer behaviour helps in identifying the unfulfilled needs and wants of consumers. This
requires scanning the trends and conditions operating in the market area, customer’s lifestyles,
income levels and growing influences.

 Selecting Target Market

The scanning and evaluating of market opportunities helps in identifying different consumer
segments with different and exceptional wants and needs. Identifying these groups, learning how
to make buying decisions enables the marketer to design products or services as per the
requirements.
Example − Consumer studies show that many existing and potential shampoo users did not want
to buy shampoo packs priced at Rs 60 or more. They would rather prefer a low price
packet/sachet containing sufficient quantity for one or two washes. This resulted in companies
introducing shampoo sachets at a minimal price which has provided unbelievable returns and the
trick paid off wonderfully well.

 Marketing-Mix Decisions
Once the unfulfilled needs and wants are identified, the marketer has to determine the precise
mix of four P’s, i.e., Product, Price, Place, and Promotion.

 Product
A marketer needs to design products or services that would satisfy the unsatisfied needs or wants
of consumers. Decisions taken for the product are related to size, shape, and features. The
marketer also has to decide about packaging, important aspects of service, warranties,
conditions, and accessories.
Example − Nestle first introduced Maggi noodles in masala and capsicum flavours. Subsequently,
keeping consumer preferences in other regions in mind, the company introduced Garlic, Sambar,
Atta Maggi, Soupy noodles, and other flavours.

 Price
The second important component of marketing mix is price. Marketers must decide what price
to be charged for a product or service, to stay competitive in a tough market. These decisions
influence the flow of returns to the company.

 Place
The next decision is related to the distribution channel, i.e., where and how to offer the products
and services at the final stage.

 Promotion
Promotion deals with building a relationship with the consumers through the channels of
marketing communication. Some of the popular promotion techniques include advertising,
personal selling, sales promotion, publicity, and direct marketing and selling.
The marketer has to decide which method would be most suitable to effectively reach the
consumers. Should it be advertising alone or should it be combined with sales promotion
techniques? The company
has to know its target consumers, their location, their taste and preferences, which media do
they have access to, lifestyles, etc.
PRODUCTION AND EXECUTION OF TVC AND PRINT ADS
What is TVC?
A television commercial is a form of advertising in which goods, services, organizations, ideas,
etc. are promoted via the medium of television.
What is the interests of TVC?

 Introduce a product
 Make people switch product
 Remind the existence of a product
The TV Commercial Production Process
  Creative Consultation
During the creative consultation process, the advertising agency or production company talks to
the client about what the client wants to say with her television commercial. Clients need to
advertise a new product or service with a memorable commercial that is entertaining while
conveying important information.

 Pre-Production
Production companies must perform a number of tasks before the cameras start running. The
pre-production process includes scriptwriting, location scouting, prop collection, hiring actors,
equipment renting and creating shot-lists.

 Production
The actual filming of the commercial takes place during the production phase of the TV
commercial production process.

 Post-Production
The post-production process includes all video editing, sound editing and exporting of the TV
commercial. Video editing is performed on a non-linear editing system (NLE). The footage is
reviewed, and the best performances from the actors are put together by the editor.
Print media advertising
Print media advertising is a form of advertising that uses physically printed media, such as
magazines and newspapers, to reach consumers, business customers and prospects. Advertisers
also use digital media, such as banner ads, mobile advertising, and advertising in social media, to
reach the same target audiences.
FOURTH MODULE
MEDIA PLANNING
Media planning is the process of identifying and selecting media outlets – mainly newspapers,
magazines, websites, TV and radio stations, and outdoor placement – in which to place paid
advertisements. The person responsible for evaluating the many media options and strategizing
campaigns to support a particular product, service, or brand is called a media planner. Media
planners typically are employed by advertising agencies.
According to Fryburger “Media planning involves selecting appropriate media for carrying
advertising message to target audience and deciding how much to spend on each media and
scheduling when the advertisement is to run.”
Creating a Media Plan
The goal when creating a media plan is to reach target customers - those who are most likely to
buy from you, at the exact moment that they have decided to buy. Using advertising, you can
educate and inform those likely customers, to make them aware of your business and to
persuade them to buy a particular product from you rather than another business.
To make that happen as efficiently and cost-effectively as possible, it is important to weigh the
following when developing your media plan:
Reach: reach is the number of individuals (or homes) you want to expose your product to through
specific media scheduled over a given period of time.
Frequency. The second most important factor is frequency, which is the number of times your
target customers will see your ad, that is by using specific media, how many times, on average,
should the individuals in your target audience be exposed to your advertising message?
Obviously, the higher the number, the may want to run an ad daily in your local newspaper, but
the cost for such a purchase may exceed your annual budget.
Selectivity. Depending on how targeted your product is, you may want a measure of how well
the media outlet reaches your particular prospect. For example, advertising Rolls Royce through
the local newspaper will attract attention, but what percent of the newspaper’s subscriber’s fall
into the target market of prospects likely to buy? It might be too low a number to make sense.
Impact. How many senses can the media outlet being considered reach? Magazines can appeal
to sight, and perhaps smell (with those perfume inserts), while websites can appeal to sight and
sound. The same is true with TV. You should consider what senses will make the biggest impact
on a customer’s purchase decision.
Continuity: As the impact of an advertisement reduces after a certain period of time so it is
important that the advertisement is to be repeated after a certain period of time to make an
impact. When a consumer continue to view or hear about the product or the company in a
positive way, it helps him to remember the product continuity has a cumulative effect of
advertising on the consumer and is dependent upon the length of the time the advertisement
runs.
Steps in Media Planning

 Formulation of marketing strategy.

 Setting the advertising objective.
 Defining the advertising budget.
 Identification of message strategy.
 Defining the media strategy
(a) Identification of target audience.
(b) Selection of appropriate media vehicle.
(c) Media buying process.
Approaches in Media Planning
1. Media dominance theory:
The major portion of ad-expenditure is allocated to one media while the other media are given
lesser importance.
2. Media concentration theory:
The advertiser uses only one media for executing the media campaign. The advertiser do not use
the media mix.
3. Media wave theory:
The advertiser uses one specific media for a short period of time then discontinues this media
and switch over to other media.
ADVERTISING BUDGET
MEDIA BUYING
The buying of advertising space for the purpose of advertising from a company operating media
properties is called media buying.
The cost of a media buy varies depending on the specific media property on which the buyer
wants to advertise like the size of the ad space , the specific times at which the advertisement
are to be displayed etc.
Media buyer are the individuals responsible for purchasing time and advertising space for the
purpose of advertising
Types of Media Buying
Direct Site Buy
This is when a single site is bought for serving the ads.
Network Buy
As the name says, in this, the network of sites are bought on which the ads will throw impressions,
E. g. companies like tribal fusion or value click, etc. does this kinds of display advertising
Self –Serve Network Buy
This media buying provides you with the means to manage your own account and allow you to
come and go as you please.
Process of Media Buying

 Identify your target

The best approach is to create a profile with questions like
Who are you trying to reach?
Who is your target market?
What is their age?
Male or female?
Income etc.…

 Know your target

Do a primary research to know about the consumer behavior of those that you are targeting.
Or use any secondary research that is already been done which are cost benefits to use
Knowing your target is very important before you start as it helps a lot in catching the exact users
like identifying where you will find your target market.

This will help in placing a media buy that is effective and performs by achieving your identified
objectives
It helps to know what your competitors are doing and where they are going to reach the audience
you are trying to reach

 Fix your objectives

When you are done with all the research, the next step to be taken care of its setting the
objectives so that you get to know how much was the success in achieving your target.
Depending on the campaign the goal is set up like sign-ups, awareness, leads, etc.

 Planning and strategies

What can be after when you have identified, researched your target and have set the objectives.
It is now about planning and making some perfect strategies to obtain the objectives within the
budget and in time.

 Execution of plans / strategies

Time to get to work
Begin to contact the media outlets you have identified and start negotiating your media buy
rates.
Ask or bonus or add-ons that they are willing to give you if you choose to go with them.
With all these do keep the eyes on your budget, calendar and most importantly, keep track of
important deadlines.
Make changes and adjust your plans if the requirements is there.
EMERGING MEDIA AND ITS TRENDS
Emerging media gives companies and brands ways to engage with their customers in new and
creative ways. Advertising and the associated brands are now part of a people’s experience.
Emerging media has profoundly changed advertising, making it more effective, more efficient,
and more fun for everybody involved.
1. Live Streaming Is Gaining Momentum
According to Social Media Examiner, 61% of marketers plan to increase their uses of live video
going forward. As for what to broadcast, many brands are finding success by live streaming
events, which helps brings an event to followers that they might otherwise not be able to attend.
2. Augmented Reality/Mixed Reality
Augmented Reality (AR) / Mixed Reality (MR) overlay digital content on the physical world by
allowing users to look at the world through a smart tablet, phone etc. AR is rapidly growing in
popularity because it brings elements of the virtual world, into our real world, thus enhancing
the things we see, hear, and feel. When compared to other reality technologies, augmented
reality lies in the middle of the mixed reality spectrum between the real world and the virtual
world.
3. Communication goes OTT
Over-the-top communications or OTT refers to a class of real-time communications solutions that
operate over the Internet. Consumers and business users make use of OTT communications
applications and services to collaborate and to reduce communications expenses––especially
international calling and roaming fees. Consumers are increasingly using services delivered ‘over-
the-top’ (OTT) of the communications network—for example, voice over internet protocol (VOIP)
and OTT mobile messaging applications like WhatsApp. Globally, the volume of OTT mobile
messages sent has overtaken SMS traffic.
4. Content Recommendations
Content recommendations are a popular option for publishers who want to drive traffic to their
websites. They are great options for building traffic to your site but you need to retain those new
visitors after they have their first taste of your site and that requires great content and lots of it.
The way this works is that you sign up with companies that create advertising campaigns for
content you want to promote. Your content is then promoted in widgets that publishers place on
their websites.
5. In-image advertising
Despite banner advertising’s general trend downwards as an effective advertising medium, in-
image advertising is a proven and effective option for websites that use images in their website
content. Articles with images attract far more attention than text-heavy posts. In-image
advertising products overlay various ad products over these images and the result is measurably
higher click-through rates coupled with the efficiency and flexibility benefits of using in-image
advertising.
6. Text-to-video creation
Video is becoming the king of content for news and media agencies to grow and maintain
audiences. Publishing enough videos to satisfy viewers is no easy task, and most publishers don’t
have the teams or equipment to meet video consumption demands. Automated software that
converts text articles into premium branded videos is an efficient way to meet the supply of the
ever growing demand for short and informative videos.
7. Interactive Websites:
The interactive websites includes interactive features like instant comment box, live chat,
timeline tools, clickable maps, images with the option of zoom in and out, calculators and others.
These features are easy to use and help the users to have a more dynamic experience while
browsing. These web pages help the visitors to create or alter the basic pages as per their
preferences. The interactive websites help the visitors to have more control over the content.
You can feel like an owner of the website which you are visiting. The web pages provide us a rich
visual and sound experience. Now readers can upload news and other relevant information
through interactive features
8. 3D Animation:
While watching news on television channels on train accidents, court proceedings or weather
updates you must have seen moving images or graphics. If visuals are not available with the news
channels on any news item then channels are carrying animated graphics to explain the story in
a better way. These images/visuals are made with the help of animation tools. Animation is a
technology that takes the help of software and hardware. Animation is used to explain visually
an event or a sequence.
9. Social Media:
You all must have heard and used social media tools in your daily lives. We all are using various
tools and techniques to communicate not only with our known friends but also unknown persons
around the world. Here internet is playing a big role to communicate and socialise. We are also
part of different online communities where we are raising our voice, commenting on any issue
and also creating information for others.
FIFTH MODULE
ADVERTISING RESEARCH
Advertising research is a detailed study on a particular subject, which leads to a successful and
effective campaign. Advertising research also decides the success of an advertising campaign by
measuring the impact over its audience. The purpose of advertising research is to either establish
a brand image or to improve one. Research also helps in arriving at a creative idea. A creative
advertisement is one that engages the target audience and what helps in developing
advertisement creative is the advertising research that takes place before its creation. Before
entering the markets, the idea may go through many iterations and improvements until it’s ready
for the market.
Why Advertising Research Is Important?

 Developing creativity: when all the information is accessible, a well- formed strategy
could be designed to develop the organization further.
 Improves your position in the field: Advertising research enables a company to find a
suitable time and ways to launch their products.
 Rank your image: Advertising research enables comparisons between organizations. So
it helps a company to know its place in the market compared to others.
 Predicts likely issues: Advertising research predicts forthcoming problems that an
organization might face.
 Monitors progress: It analyzes your organization’s performance.
 Less chance of failures: There is reduced risk of failures if the advertising research is
thorough.
Scope of Advertising Research

 Increases awareness: Advertising research increases the knowledge about the market,
which helps in building a brand campaign.
 Analyzes changing market: Knowing your customer is very important for any business. A
customer’s attitude is subject to change with the change in market conditions. Advertising
research analyzes these changing attitudes of your customers.
 Public feedback: Advertising research records the feedback of your audience.
 Results: Final campaigns that are created are based on the results of the research
Types of Advertising Research
1) Advertising Message Research

 This research deals with,

- “how well the message is conveyed” &
- “how well it is understood”
  The main test involved is “copy” testing, which means verbal message, color, picture, etc.
 It helps the advertisers to present their message in different ways.
 It can be 2 types
1) Pre-test
2) Post test
Pre-test

 It is made before the copy is released

 It find out weakness in the copy such as head line etc
 It evaluates consumer response to advertising copy and the way message is understood
by the customer
 Methods used for pre-test are:
- Based on verbal response
-Based on psychological responses
-Based on behavioral response
Based on verbal response

 Consumer Jury Method

- Given advertisement will be rated by group of consumers who represent the potential
buyers
-they rank the advertisement in the order of preference

 Portfolio Test
-a group of advertisement usually 6 to 8 in number is placed in a portfolio
- customers will be given enough time to go through it and then asked to recall if they
don’t recall portfolio is again given to the respondents

 Qualitative Research
-focus group and depth interview
-it will discuss positive and negative aspects of advertising copy

 On The Air Test

-used for TV commercials

 Theatre Persuasion Test

 -a group of consumers are invited to a theatre varies from 200 to 500 participants
- inform them that a draw will be there and gifts will be given
-they are asked to complete a product preference list according to their choice if they win
Based on psychological response

 Galvanic skin response

- Perspiration of respondent is recorded
-emotional reaction to the advertisement
- Instrument used is electro galvanometer

 Pupil dilation response

-pupils of the eyes is being measured to a stimuli
-instrument used is pupillometer

 Eye movement tracking

-eye movement is tested using an infrared light at eyes while respondents views an
advertising and shows the exact spot where viewers is focusing
Based on behavioral response

 Based on the behaviors of respondents towards an advertisement

 Their attitude, perceptions etc
Post testing

 This is conducted after the money is being spent on advertisement

 Advertising effectiveness rather than copy testing
 It is done after the ad has been done commercially
2 types:
1) Tests not based on respondent’s memory
2) Tests based on respondents’ memory

 Tests not based on respondent’s memory:

 Inquiry tests
-measuring of advertising effectiveness on the basis of inquiries generated from
offers/coupons advertisement appearing in different print media
 Sales effect test
 - The sales response to advertisement is measured
 Stimulated effect test
-2 groups of identical stores will be there
-alternatives pieces of copies will be there
-products sales are measured before and after the introduction of display materials
-the group with biggest sales increase is supposed to have the best ad copy

 Tests based on respondent’s memory

 Recognition test
-respondents are asked to recognize the ad
-used to determine the incidence and intensity of reading an advertisement which is
inserted
 Recall test
-to check whether the respondents can recall the particular ad
 Triple association test
-to know the consumer’s association with the brands
- Association with triples
- Product category
- Brand name
- Copy theme in any order
2) Advertising Media Research

 Advertiser has to choose most efficient media

 It is designed to prevent unnecessary wastage
 It will help in optimizing allocation of advertising expenditure
 It collects information such as
-media distribution
-media audience
-advertising exposure
-advertising perception
-advertising communication
3) Advertising Evaluation Research

 The evaluation of advertising effectiveness is an active area of interest within the

advertising research community and of course is most concerned by the advertisers.
EFFECTIVENESS OF ADVERTISEMENT
It is an attempt to measure whether the time, talents, and the treasure invested in the creative
activity has resulted in attaining the goals of profit maximization to the advertiser and the
maximization of satisfaction to the consumers.
Why to test the Ad Effectiveness?

 To make sound future decisions.

 To impress upon the top management.
 To have a clear break- up picture.
 To know the point of saturation.
 To keep in touch with the new trends.
Method of testing

 Pre-testing methods
Pretesting is done prior to the launching of the full advertisement campaign and incurred
major expenses on advertising efforts. Main purpose of pretesting is to select the best copy
appeals, headlines, matter, slogans, illustration, media and like.
Methods:
 Checklist test
A check-list is a list of good qualities to be possessed by an effective advertisement. A typical
check- list provides rating scale or basis for ranking the ads in terms of the characteristics.
 Opinion test
Opinion test or consumer jury test is one that obtains the preference of a sample group of typical
prospective consumers of the product or the service for an ad or part of it. The members of the
jury rate the ads as to their head-lines, themes, illustrations, slogans, by direct comparison.
 Dummy magazine and portfolio test
Dummy magazines are used to pre-test the ads under conditions of approximation resembling
normal exposure. A dummy magazine contains standard editorial material, control ads that have
been already tested and the ads to be tested. The sample households receive these magazines
and the interviews are conducted to determine recall scores.
Port-folio test is like that of dummy magazine test except that the test ads are placed in a folder
that contains control ads. The respondents are given these folders for their reading and reactions.
The test scores are determined in the interview. The ad with highest score is taken as the best.
 Inquiry test
It involves running two or more ads on a limited scale to determine which is most effective in
terms of maximum inquiries for the offers made. These inquiry tests are used exclusively to test
copy appeals, copies, illustrations, and other components. Any of these elements may be
checked. The point that is to be checked is changed and all other components are unaltered, to
get the score.
 Mechanical test
These mechanical tests are objective in nature unlike the one already explained. These help in
provide good measures as to how respondent are eyes and emotions reaching a given
advertisement.

 Concurrent Testing Methods

 Co-incidental surveys
This is called as coincidental telephone method also whereby a sample of households is selected,
calls are made during the time programme broadcast, the respondents are asked whether their
radio or television is on, and if so, to what station or programme it is tuned? The results of the
survey are used to determine the share of response for the advertisement or the programme.
 Consumer diaries
This method involves giving the families selected in advance of diary or individual diaries to the
members of the family. The selected families and individual respondents are asked to record the
details about the programme they listen or view. The diaries are collected periodically to
determine the scores.
 Mechanical devices
 Traffic counts
Traffic counts are of special applicability to outdoor advertising. One can get good deal of
information through traffic counts. This counting is done by independent organisations may be
private or public. This work is also undertaken by advertising agencies.

 Post-testing methods
 Inquiry tests
It is controlled experiment conducted in the field. In inquiry test, the number of consumer
inquiries produced by an advertising copy or the medium is considered as to the measure of its
communication effectiveness.
  Split-run test
A split-run test is a technique that makes possible testing of two or more ads in the same position,
publication, issued with a guarantee of each ad reaching a comparable group of readers.
 Recognition tests
Recognition is a matter of identifying something as having seen or heard before. It is based on
the memory of the respondent. It attempts to measure the ad effectiveness by determining the
number of respondents who have read or seen the ads before. To arrive at the results, readership
or listenership surveys are conducted.
 Recall tests
Recalling is more demanding than recognizing as a test of memory. It involves respondents to
answer as to what they have read, seen or heard without allowing them to look at or listen to the
ad while they are answering.
There are several variations of this test. One such test is Triple Association Test which is designed
to test copy themes or the slogans and reveals the extent to which they have remembered.
 Sales tests
Sales tests represent controlled experiment under which actual field conditions than the
simulated are faced. It attempts to establish a direct relationship between one or more variables
and sales of a product or service. It facilitates testing of one ad against another and one medium
against another. To sum-up, ad effectiveness testing is a must to avoid costly mistakes, to select
the best alternative from the apparently equal alternatives, to resolve the differences of opinion
and to add to the store of knowledge having deep bearing on advertising effectiveness and
efficiency. Ad effectiveness testing can be at three levels namely, prior to, during and after the
release of an ad.