EXECUTIVE SUMMARY

This project is based on “Effectiveness of advertisement by Agarwal Water Tank

Company”. The need for studying this project is gathering information and theoretical
knowledge about employees.

The objectives of all business are to makes profits and a merchandising concern can do that
by increasing its sales at remunerative prices. This is possible, if the product is widely
polished to be audience the final consumers, channel members and industrial users and
through convincing arguments it is persuaded to buy it. Publicity makes a thing or an idea
known to people. It is a general term indicating efforts at mass appeal. As personal
stimulation of demand for a product service or business unit by planting commercially
significant news about it in a published medium or obtaining favorable presentation of it
upon video television or stage that is not paid for by the sponsor.

On the other hand, advertising denotes a specific attempt to popularize a specific product
or service at a certain cost. It is a method of publicity. It always intentional openly
sponsored by the sponsor and involves certain cost and hence is paid for. It is a common
form of non- personal communication about an organization and or its products idea service
etc. that is transmitted to a target audiences through a mass medium. In common parlance
the term publicity and advertising are used synonymously

The purpose of this study was to determine whether the advertisement campaign by
Agarwal Water Tank Company for their consumers are whether effective or not. To
understand effectiveness the survey has taken by primary data is collected though
questionnaire. The results demonstrated by hypothesis testing. It was also found that as per
the result of testing and by data analysis that still there is gap in consumers mind related to
advertisement means advertisement by Agarwal Water Tank Company is not very much
effective.

Since in Hyderabad there are various medium through they can advertise for their products.
And products ranges are very huge which is not known to consumers. According to their
i
age, intersection of their ads, frequency of advertisement, types of ads depends directly to
my conclusion of this project report.

Through this survey I conclude respondents who are representative of entire population
wants to see the advertisement on newspapers, on television, magazine etc. I personally
suggested to advertise on television because more effective through visual and audio effect
by mentioning their features whom they are king.

They hurdles for company, Agarwal Water Tank Company itself don’t know there is too
much competitors of them, which may be competitions with by quality- wise, price- wise.
Company should go for survey to analysis the competitive market for them.

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 OBJECTIVES OF THE STUDY

1. To know the different Medias used by Agarwal Water Tank for advertisement.

2. To determine the effectiveness of each media.

3. To study consumer perception towards advertisements of Agarwal Water Tank.

4. To know the impact of advertisements on sales.

5. To know the impact of advertisement on its customer

6. To know to what extent advertisement helps in increasing sales

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 RESEARCH METHODOLOGY

Research Methodology Research refers to search for information. In other words research
is defined as a careful investigation or inquiry especially through for new facts in any
branch of knowledge.

Research Methodology is one of the important aspects of any project. This gives us clear-
cut view of method so used while gathering the information so needed for the completion
of the report.

a) Type of Study: Study is exploratory & descriptive (Cross-Sectional Study) in nature.

b) Data Collection: Source of Data: Two types of data sources will be taken into
consideration

 Primary Data
 Secondary Data

Data Collection Methods

Data collection is the process of gathering and measuring information on variables of

interest, in an established systematic fashion that enables one to answer stated
research questions, test hypotheses, and evaluate outcomes. The data collection
component of research is common to all fields of study including physical and social
sciences, humanities, business, etc. While methods vary by discipline, the emphasis
on ensuring accurate and honest collection remains the same. The goal for all data
collection is to capture quality evidence that then translates to rich data analysis and
allows the building of a convincing and credible answer to questions that have been
posed. Regardless of the field of study or preference for defining data (quantitative,
qualitative), accurate data collection is essential to maintaining the integrity of
research. Both the selection of appropriate data collection instruments (existing,
modified, or newly developed) and clearly delineated instructions for their correct use

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 reduce the likelihood of errors occurring. There are two main sources of data
collection:

A. Primary sources
B. Secondary sources.

I. Primary data is used in this research.

Primary data sources: Questionnaire

Primary data is one which is collected by the investigator himself for the purpose of
specific inquiry or study. Such data is original in a character and is generated by surveys
conducted by individuals or research institutions.

II. Secondary data source: Company Web-Site, Internet

Secondary data is one which has already been collected by someone else and which has
already been passed through statistical processing.

III. SAMPLING DESIGN

Descriptive studies are under taken in many circumstances. When the researcher is
interested in knowing the characteristics of certain group such as age, sex, educational level
or income, a descriptive study may be necessary. Other cases when a descriptive study
could be taken up are when he is interested in knowing the proportion of people in a given
population who have behaved in a particular manner, making projection of certain thing;
or determining the relationship between two or more variables. The objective of such a
study is to answer the “who, what, when, where and how” of the subject under
investigation.

It is fact finding investigation with adequate interpretation. It aims at identifying the

various characteristics of a community or institution or problem under study and also aims
at a classification of the range of elements comprising the subject matter of study.

There is a general feeling that descriptive studies are factual and are very simple. This is
not necessarily true. Descriptive study can be complex, demanding a high degree of
scientific skill on the part other researcher.

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This research use qualitative research approach and employ descriptive statistical approach
in SPSS, the aim is to quantify data in terms of numbers (numerical representation of
information) obtained from respondents in the course of various ways include the use of
questionnaires to attain tables and numbers, which are in percentage form. Furthermore
Qualitative research approach assist to produce findings not arrived by means of statistical
procedures. It dealt with opinions and attitudes of respondents.

The sampling method indicates how the sample units are selected. The most important

decision in this regard is to determine which of the two – probability or non-probability

sample is to be chosen.

I have used Non Probability – Convenience Sampling

IV. SAMPLE SIZE

One has to decide how many elements of the target population are to be chosen. I have
chosen a sample size of 100 respondents. Respondents who are aware of multimedia for
advertisement, means he/she should above 18 year.

V. TOOLS USED FOR THE ANALYSIS

The statistical tools used for analysis are

• Pie- charts and bar graphs

• SPSS.
• MS Excel.

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 LIMITATIONS OF THE STUDY

1. The survey is confined to a sample size of 100.

2. The study focuses only on ages above 18.

3. The research study was conducted only on the male population.

4. The study was confined to a single city.

5. There was reluctance on part of the respondents to fill the questionnaire which
could have influenced the results

6. Market Research conducted is not a complete solution to any marketing issue as

there are many dominant variables between research conclusions and market
response

7. Huge cost is involved in the marketing research as collection and processing of data
can be costly. The firm do not have the proficiency to carry wide surveys for
collecting primary data, and might not also able to hire specialized market experts
and research agencies to collect primary data. Thus, in that case, they go for
obtaining secondary data that is cheaper to obtain.

8. The study and analysis is not free from bias. The research conclusions cannot be
verified. The reproduction of the same project on the same class of respondents
give different research results.

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9. Marketing Research is not an exact science though it uses the techniques of science.
Thus, the results and conclusions drawn upon by using the marketing research are
not very accurate.

10. Inappropriate training to researchers can lead to misapprehension of questions to

be asked for data collection.

viii
 LITERATURE REVIEW

1. Hirschman and Craig (1997) in their study on the media proposed that consumer’s
relationships to non-advertising forms of mass media are an essential aspect of the
perceived meanings they derive from advertisements and on the basis of similar
studies they state that consumers often process advertisements for meaning rather
than information and that advertisements can be experienced as aesthetic events just
like other media products. They also observe that media and advertising have a
symbiotic relation in which media enhance the effectiveness of some advertising by
portraying certain product/brand assortments as more desirable than others. Their
main observation is that by “ singing in harmony with the prevailing chorus of mass
media texts, advertising may become more potent as a conveyor of consumption

preferences”.

2. Vakratsas et. al, (1999), by reviewing two hundred and fifty journal articles and
books gives certain insights about how advertising affects the consumer. They
suggest that the hierarchy of effects is deeply flawed and propose that advertising
effects should be studied in a space with affect, cognition and experience as the three
dimensions that is determined by the context, which reflects goal diversity of
advertising, product category, competition and other aspects of mix, stage of PLC
and target market. They cite the latest developments in neuroscience research
pointing out that the brain processes information in a parallel fashion and that
consumer engage in cognition and affect simultaneously and interactively. As there
is parallel processing of information and stage-by-stage information processing
cannot take place.

3. Stern (1990) examined the ‘art’ in advertising by a micro level focus on a single
advertisement to analyze ‘metaphor’ in terms of Aristotle’s ‘Poetics’, classifying
metaphor in to three – single, extended and open-ended. She underlines the fact that
the relationship of metaphorical efforts to consumer responses has not yet been
clearly translated from humanistic criticism to the social sciences nor has it been

ix
 extensively considered in terms of what the consumer enjoys or finds entertaining.
She maintains that advertisements as artistic creations opens up research possibilities
by offering humanities theory as a source of insights for social science applications
and beauty as a quality conventionally thought to be inherent in poetic metaphors and
joy as a response may not be far removed from qualities inherent in some
advertisements and consumer responses to them.

4. Sandeep Vij (2012), found that dimensionality of beliefs toward advertising. Factor
Analysis has been applied to the responses of all 873 respondents regarding 28 belief
statements. Advertisements avoiders and advertisement Lovers have been identified
The study found that advertisement avoiders are less favorable towards advertising
and agreed that advertisements are good for the economy and they also get some
pleasure and enjoyment out of advertisements but they think that advertisement is
harmful for the culture and value system of society. And the study found that
advertisement lovers are more feel that an advertisement is good for economy, it
provides information and promotes competition, They also agreed that advertisement
may manipulative and may have harmful effects for society and they get a lot of
amusement, entertainment, enjoyment and pleasure of advertisement.

5. Fernondo Ps.P. et al (2008) assessed the consumer perception towards television

advertisements among 80 resident employees of the university of Peradeniya by
adopting stratified random sampling. Further the study attempted to examine the
significance of the relationship between the respondent’s socio-economic profile and
their perception. The analysis showed that the respondents exhibited a positive
perception towards the ad’s ability to compare with other products while they felt that
targeting the children, using celebrity endorsements, promoting materialism by
persuading people to buy unnecessary items are undesirable and then factors created
a negative attitude towards advertising. The study suggested that the need to design
the advertisements with social responsibility.

6. Soo Jiuan Tan and Lily Chia (2007) empirically explored the relationship between
the attitude towards advertising and the attitude towards advertising in specific

x
 media: television and print. The results revealed that the proposition that attitude
towards advertising in general is an abstract level idea while attitude towards
television advertising and attitude towards print advertising are experiencing -based
constructs in the consumer’s structure of attitudes towards advertising. The study
found a significant negative reciprocal relationship between TV advertisements and
Print advertisements, a significant positive reciprocal relationship between TV
advertisements and general advertisements. A non- significant relationship between
print advertisements and general advertisements. Macro level belief factors like
‘good for the economy’ and ‘materialism’ are related positively and negatively to
general advertisements, respectively. The personal experience belief factor of
‘product information’ is positively related to print advertisements while personal
experience belief factors like ‘hedonic’ and ‘falsity/no sense’ are related positively,
and ‘social image’ is related negatively, to TV advertisements.

7. A deolu B. Ayanwale et al (2005) studied the influence of advertising on consumer

brand preferences. This study examined the influence of advertising on consumer
buying behavior. The study determined the influence of age on advertising and made
recommendation for further improvement in advertising and brand management. The
research study found that advertising and quality are the major factors responsible for
the success of product than others like price, packaging and availability of the
product. The study showed that Television is an effective medium of advertising a
product. Effective advertisement campaign attracts consumer attention and capture
their interest. The message must be strong and appealing enough to persuade and
build brand preferences, encourage company’s brand and this study showed that
advertising does not varying impact on age group.

8. Chuthamas Chitithaworn et al (2011) examined the relationship between the belief

dimensions and attitude of viewers towards TV advertising among 134 respondents.
Multiple regression analysis was applied to determine the effect of six independent
variable information benefits, availability, offensive, non – informative, negative
content and advertising format on attitude toward TV advertising. The variables

xi
informative, intrusive, negative content was found to have a significant impact on the
attitude formation of viewers towards TV advertising. It is suggested that the
advertisement creators consider the demographic characteristics and pretest the
advertisement to reduce the negative perception of viewers.

xii
xiii
 CHAPTER I:
INTRODUCTION TO THE
TOPIC – EFFECTIVENESS
OF ADVERTISING

1
INTRODUCTION

What is Advertising?

The word advertising is derived from the Latin word viz, “advertero” “ad” meaning
towards and “verto” meeting. “I turn literally specific thing”.

Simply stated advertising is the art "says green." Advertising is a general term for and all
forms of publicity, from the cry of the street boy selling newspapers to the most celebrate
attention attracts device. The object always is to bring to public notice some articles or
service, to create a demand to stimulate buying and in general to bring log ethel the man
with something to sell and the man who has means or desires to buy”.

Advertising has been defined by different experts. Some of the quoted definition are :

American marketing association has defined advertising as “any paid form of non-personal
presentation and promotion of ideas, goods or services by an identified sponsor. The
medium used are print broad cast and direct.”

Stanton deserves that “Advertising consists of all the activities involved in presenting to a
group a non- personal, oral or visual openly, sponsored message regarding a product,
service, or idea. This message called an advertisement is disseminated through one or more
media and is paid for by the identified sponsor.”

Advertising is any paid form of non – personal paid of presentation of ideas goods or
services by an identified sponsor.

Advertising is a non- personal paid message of commercial significance about a product,

service or company made to a market by an identified sponsor.

In developing an advertising program, one must always start by identifying the market
needs and buyer motives and must make five major decisions commonly referred as 5M
(mission, money message, media and measurement) of advertising.

BASIC FEATURES OF ADVERTISING

On the basis of various definitions it has certain basic features such as :

2
1. It is a mass non-personal communication.

2. It is a matter of record

3. It persuades buyers to purchase the goods advertised.

4. It is a mass paid communication.

5. The communication media is diverse such as print (newspapers and magazines)

6. It is also called printed salesmanship because information is spread by means of the

written and printed work and pictures so that people may be induced to act upon it.

FUNCTIONS OF ADVERTISING

For many firms advertising is the dominant element of the promotional mix – particulars
for those manufacturers who produce convenience goods such as detergent, non –
prescription drugs, cosmetics, soft drinks and grocery products. Advertising is also used
extensively by maters of automobiles, home appliances, etc..

Advertising can also help to convince potential buyers that a firms product or service is
superior to competitors product in make in quality, in price etc. it can create brand image
and reduce the likelihood of brand switching even when competitors lower their prices or
offer some attractive incentives.

Advertising is particularly effective in certain other spheres too such as :

i) When consumer awareness of products or service is at a minimum.

ii) When sales are increasing for all terms in an industry.
iii) When a product is new and incorporates technological advance not
strong and.
iv) When primary buying motive exists.

It performance the following functions :

i) Promotion of sales
ii) Introduction of new product awareness.
iii) Mass production facilitation
iv) Carry out research
3
v) Education of people.

TYPES OF ADVERTISING

Broadly speaking, advertising may be classified into two categories viz., product and
institutional advertising.

a) Product Advertising

The main purpose of such advertising is to inform and stimulate the market about the
advertisers products of services and to sell these. Thus type of advertising usually promote
specific, trended products in such a manner as to make the brands seam more desirable. It
is used by business government organization and private non- business organizations to
promote the uses features, images and benefits of their services and products. Product
advertising is sub-divided into direct action and indirect action advertising, Direct action
product advertising wages the buyer to take action at once, ice he seeks a quick response
to the advertisement which may be to order the product by mail, or mailing a coupon, or
he may promptly purchase in a retail store in response to prince reduction during clearance
sale

Product advertising is sub-divided into direct & indirect action advertising & product
advertising aims at informing persons about what a products is what it does, how it is used
and where it can be purchased. On the other hand selective advertising is made to meet the
selective demand for a particular brand or type is product.

b) Institutional Advertising :

It is designed to create a proper attitude towards the sellers to build company image or
goodwill rather than to sell specific product or service. Its purpose is to create a frame of
mind and to implant feeling favorable to the advertisers company. Its assignment is to make
friends for the institution or organization. It is sub-divided into three categories : patronage,
public, relations and public service institutional advertising.

i) In patronage institutional advertising the manufacturer tells his prospects and

customer about himself his policies and lives personnel. The appeals to the

4
 patronage motivation of buyers. If successful, he convince buyers that his
operation entitles him to the money spent by them.
ii) Public relations institutional advertising is used to create a favorable image of
the firm among employees, stock-holders or the general public.
iii) Public service institutional advertising wages public support.
c) Other Types :

The other types are as follows :

i) Consumer advertising
ii) Comparative advertising
iii) Reminder advertising
iv) Reinforcement advertising

ADVERTISING OBJECTIVES

The long term objectives of advertising are broad and general, and concern the contribution
advertising should make to the achievement of overall company objectives. Most
companies regard advertising main objective as hat of proving support to personal selling
and other forms of promotion. But advertising is a highly versatile communications tools
and may therefore by used for achieving various short and long term objectives. Among
these objectives are the following :

Figure 1.1: AIDA MODEL OF ADVERTISING COMMUNICATION

5
Figure 1.2: HIERARCHY -OF -EFFECTS MODEL OF ADVERTISING
COMMUNICATION

1. To do the entire selling job (as in mail order marketing).

2. To introduce a new product (by building brand awareness among potential
buyers).
3. To force middlemen to handle the product (pull strategy).
4. To build brand preference by making it more difficult for middleman to sell
substitutes).
5. To remind users to buy the product (retentive strategy).
6. To publicize some change in marketing strategy (e.g., a price change, a new
model or an improvement in the product).
7. To provide rationalization (i.e. Socially acceptable excuses).
8. To combat or neutralize competitors advertising.

6
 9. To improve the moral of dealers and/or sales people (by showing that the
company is doing its share of promotion).
10. To acquaint buyers and prospects with the new uses of the product (to extend
the PLC).

BENEFITS

The functions of advertisement, and that purpose its ethics, may be discussion below :

1. It leads to cheaper prices. “No advertiser could live in the highly competitive arena of
modern business if his methods of selling were more costly than those of his rivals.”

2. It acquaints the public with the features of the goods and advantages which buyers will
enjoy.

3. It increases demand for commodities and this results in increased production.

Advertising :

a) Creates and stimulates demand opens and expands the markets;

b) Creates goodwill which loads to an increase in sales volume;

c) Reduces marketing costs, particularly product selling costs.

d) Satisfied consumer demands by placing in the market what he needs.

4. It reduces distribution expenses in as much as it plays the part of thousands of salesman

at a home. Information on a mass scale relieves the necessity of expenditure on sales
promotion staff, and quicker and wider distribution leads to diminishing of the distribution
costs.

5. It ensures the consumers better quality of goods. A good name is the breath of the life to
an advertiser.

6. By paying the way for large scale production and increased industrialization, advertising
contributes its quota to the profit of the companies the prosperity of the shareholder the
uplifts of the wage earners and the solution of the unemployment problem.

7
7. It raises the standard of living of the general public by impelling it to use to articles of
modern types which may add to his material wellbeing. "Modern advertising has made the
luxuries of yesterday the necessities of today ..................... It is a positive creative force in
business. It makes two blades of grass grow in the business world where one grew before.

8. It establishes the goodwill of the concern for the test articles produced by it and in course
of time they sell like hot cakes consumer search for satisfaction of their needs when they
purchase goods what they want from its beauty, superiority, economy, comfort, approval,
popularity, power, safety, convenience, sexual gratification and so on. The manufactures
therefore tries to improve this goodwill and reputation by knowing the buyer behavior. To
sum up it may be said that advertising aims at committing the producers, educating the
consumer, supplementing the salesman converting the producer and the dealer to eliminate
the competitor, but above all it is a link between the produce and the consumer.

WHY & WHEN TO ADVERTISE

Advertising as a tool to marketing not only reaches those who buy , but also those whose
opinions or authority is counted for example a manufacturer of marble tiles and building
boards advertises not only to people who intend to build houses but also to architect and
engineers. While the manufacturers of pharmaceuticals products advertise to doctors as
well as to the general public. At time it is necessary for a manufacturer or a concern to
advertise things which it does not sell but which when sold stimulates the sales of its own
product. There are concerns like electric heaters, iron etc. because the use of these increases
the demand for their products.

Advertising should be used only when it promises to bring good result more economically
and efficiently as compared to other means of selling. There are goods for which much
time and efforts are required in creating a demand by sending salesman to prospective
buyers than by simply advertising them. In the early days of the cash register in America
it was sold by specially trained salesman who called on the prospective users and had the
difficult task of convincing them that they could no longer carry on with the old methods,
and that they urgently needed a cash register. In our country certain publishers have found
it less costly to sell their books by sending salesman from house to house among
prospective buyers than to advertise them. In these two examples the cost of creating

8
demand would be too high if attempted by advertising alone under such circumstances
advertising is used to make the salesman acceptable to the people they call upon to increase
the confidence of the public in the house. Naturals when there are good profits competitors
will be attracted and they should be kicked out as and when sufficient capital is available
by advertising on a large scale. Immediate result may not justify the increased expenditure
but it will no doubt secure future sales.

DESIGNING ADVERTISING CAMPAIGN

An advertising is an organized series of advertising messages. It has been defined as “a

planned, co-ordinate series of promotional efforts built around a central theme and
designed to reach a specified goals.” In other words, it is an orderly planned effort
consisting of related but self – contained and independent advertisements. The campaign
may appear in one more media . it has single theme or keynote idea and a single objective
or goal. Thus, a unified theme of content provides psychological continuity throughout the
campaign while visual and oral similarity provide physical continuity. In short run, all
campaign want pre-determined psychological reaction in the long run, practically all
campaigns have sales goal.

The series of advertisements used in the campaign must be integrated with the sales
promotional efforts and with the activities of the sales force.

Campaign vary in length some may run only for a few days, other for weeks, yet other for
a season or the entire year. Usually a range of 3 to 6 months includes many campaigns.
Many factors influences campaign length such as competitors advertising media, policies,
seasonal falls curves of the product involved, the size of the advertising funds, campaign
objectives and the nature of the advertisers marketing program.

OBJECTIVES OF CAMPAIGN

The advertising campaign, especially those connected with the consumers aims at
achieving these objectives :

i) To announce a new product or improve product.

ii) To hold consumers patronage against intensified campaign use.

9
 iii) To inform consumers about a new product use.
iv) To teach consumers how to use product.
v) To promote a contest or a premium offer.
vi) To establish a new trade regional, and
vii) To help solve a coca regional problem.

The institutional advertising campaign on the other hand, have these objectives.

i) To create a corporate personality or image.

ii) To build a company prestige.
iii) To keep the company name before the public.
iv) To emphasize company services and facilities.
v) To enable company salesman to see top executive consistently when making
sales calls, and
vi) To increase friendliness and goodwill towards the company.

Developing the campaign program. The advertising campaigns are prepared by the
advertising agencies, which work on behalf of their clients who manufacture product or
service enterprises, which have services to sell. The word campaign is used because
advertising agencies approach their task with a sum Blanca of military fanfare in which
one frequently hears words like target audience logistics, zero in and tactics and strategy
etc.

The account executive co-ordinates the work in a campaign. The creation of an advertising
campaign starts with an exploration of consumers habits and psychology in relation to the
product. This requires the services of statistical trained in survey techniques and of others
trained in social psychology. Statisticians select samples for survey which are done by
trained interviewers who visits individuals, included in the sample and ask question to find
out about their taste and habits.

This enquiry often leads to a change in a familiar product. For instance bathing soap may
come in several new colours or cigarette in a new packet or talcum powder in another size.

Such interviews are often quite essential to find out the appeal of advertising message for
a product that would be most effective with consumers.

10
After getting the data the account executive puts together the essential elements of his
clients brief, interprets the research findings and draws up what he calls the “advertising
strategy”.

STAGE IN ADVERTISING CAMPAIGN

Several steps are required to developed an advertising campaign the number of stages and
exact order in which they are carried out may vary according to an organizations resources,
the nature of its product and the types of audiences to be reached. The major stages/step
are :

1. Identifying and analyzing the advertising.

2. Defining advertising objects.
3. Creating the advertising platform.
4. Determining the advertising appropriation.
5. Selection media plan.
6. Creating the advertising message.
7. Evaluating the effectiveness of advertising.
8. Organizing of advertising campaign.

1. Identifying & Analyzing the Advertising target :

Under this step it is to decide as to whom is the firm trying to reach with the message. The
advertising target is the group of people towards which advertisements are aimed at four
this purpose complete information about the market target i.e. the location and
geographical location of the people, the distribution of age, income, sex, educational level,
and consumers attitudes regarding purchase and use both of the advertising product and
competing products is needed with better knowledge of market target, effective advertising
campaign can be developed on the other hand, if the advertising target is not properly
identified and analyzed the campaign is does likely to be effective.

2. Determining the advertising objectives :

The objectives of advertisement must be specifically and clearly defined in measurable

terms such as “to communicate specific qualities about a particulars product to gain a

11
certain degree of penetration in a definite audience of a given size during a given period of
time,” increase sales by a certain percentage or increase the firms market shares. “The goals
of advertising may be to :

i) Create a favorable company image by acquainting the public with the services
offered available to the employees and its achievements.
ii) Create consumers or distributor awareness by encouraging requests providing
information about the types of products sold; providing information about the
benefits to be gained from use of the company's products or services; and
indicating how product (or services) can be used;
iii) Encourage immediate sales by encouraging potential purchasers through
special sales contests, getting recommendation of professional people about
company's products etc.
iv) It secures action by the reader through associating ideas, repetition of the same
name in different contexts, immediate action appeal.
3. Creating the Advertising platform :

An advertising platform consists of the basic issues or selling points that an advertiser
wishes to include in the advertising campaign. A single advertisement in an advertising
campaign may contain one or more issues in the platform. A motorcycle producers
advertising platform should contain issues which are of importance to consumers filling
and such issues also be those which the competitive product do not posses.

4. Determining the Advertising Appropriation:

The advertising appropriation is the total amount of money which marketer allocates. For
advertising for a specific time period. Determining the campaign budget involves
estimating now much it will cost to achieve the campaigns objectives. If the campaign
objectives are profit relating and stated quantitatively, then the amount of the campaign
budget is determined by estimating the proposed campaigns effectiveness in attaining
them. If campaigns object is to build a particular type of company image, then there is little
basis for predicting either the campaigns effectiveness or determining the budget required.

5. Selecting the Media :

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Media selection is an important since it costs time space and money various factors
influence this selection, the most fundamental being the nature of the target market
segment, the type of the product and the cost involved. The distinctive characteristics of
various media are also important. Therefore management should focus its attention on
media compatibility with advertising objectives.

TABLE 1.1: TYPES OF MEDIA

Media Form
1. Press Advertising or Print
a) Newspapers City, small town, Sundays,
Daily, Weekly, Fortnightly,
Quarterlies, Financial and
annuals. English or regional
language.
b) Magazines General or special, illustrated
or otherwise, English, Hindi,
Regional Language
c) Trade & Technical Journals, Circulated all over the country
Industrial year books, and among the industrialist
commercial, directories, and business magnates.
telephone, Directories,
references books & annuals.
2. Direct Mail Circulars, catalogues, leaflets,
brochures, booklets, folders,
colanders, blotters, diaries &
other printed material.
3. Outdoor or Traffic Poster and bills on walls,
railways stations platforms
outside public buildings trains,
buses.

13
 4. Broadcast or radio and T.V. Spot, Sectional or national
trade cost.
5. Publicity Movie Slides and films non-theatrical
and documentary films metal
plates and signs attaches to
trees.
6. House to house Sampling , couponing, free
gifts, novelties,
demonstrations.
7. Dealer aids Counter and widows display
demonstration given by
retailer or the advertises
goods.
8. Internet Today, Internet is a big spot
for advertising

So these are the media of the advertising campaign of the selecting of the media.

6. Creating the Advertising Messages :

This is an important stage of advertising campaign. The contents of the message has to be
very carefully drafted in the advertisement. Characteristics of person in the advertising
target influence the message content and form. An advertisers must use words, symbols
and illustration that are meaningful, familiar and attractive to those persons. The type of
media also influence the content and form of the message.

7. Evaluating the Effectiveness of Advertising :

The effectiveness of advertising is measured for a variety of reasons :

i. To determine whether a campaign accomplished its advertising

objects.
ii. To evaluate the relative effectiveness of several advertisements to
ascertain which copy, illustrations or layout is best.

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 iii. To determine the strengths and weaknesses of various media and
media plans.

In other words, measuring advertising effectiveness is needed to determine whether

proposed advertisement should be used and if they will be now they might be improved;
and whether going campaign should be stopped, continued or changed. In accomplishing
these purposes, pretests and posttest are conducted. The former tests before exposing target
consumers to advertisements and the letter after consumers have been exposed to
advertisements and the letter after consumers have been exposed to advertisements.

For an effective advertising program, the advertising manager requires a basic

understanding of the medium that is going to carry it.

For effectively using advertising the management must test advertising to know which of
the advertisement to know which of the advertisement have proved profitable and why as
compared to others.

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CHAPTER II: COMPANY
PROFILE- AGARWAL
WATER TANK

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ABOUT AGARWAL WATER TANK

Agarwal water storage tanks is India’s leading and fastest growing Water Storage solution
Company. Since 2005, Agarwal group has been involved in the manufacturing of Plastic
Water Tank, Rotational Molded Tanks for household purposes.

AGARWAL Water Tanks aims at diversifying its product portfolio and meet the increasing
demands of its customers. As a growing organization, we focus on continuous development
& innovation in water storage industry. With our existing objective to provide PREMIUM
quality at AFFORDABLE prices water storage solutions to our customers in every corner
of Telangana & Andhra Pradesh; we aspire to reach every small town pan India by the year
2020.

With increasing problem of drought and water scarcity, we at Agarwal Water Tanks with
a motto of EVERY DROP COUNTS, aims to provide effective & efficient water storage
solutions for decades without maintenance & low costs with constant innovation.

Agarwal Water Storage Tanks is one of the leading Manufacturers of Unbreakable Tanks,
Triple Layer Water Storage Tank, Four Layer Water Storage Tank and Five Layer Water
Storage Tank. We have gain immense popularity by serving quality approved products at
reasonable prices.

Agarwal Water Storage Tanks serves millions of masses by supplying tanks that are
unbreakable and highly strenuous. Our products cater to a large numbers of fields like
industries & factories, go downs & warehouses, theaters & community halls, hotels,
boundary walls, hospitals & schools and many more. We have a huge network, in major
states in India.

VISION

To achieve global presence in Plastic Business, through continuous product and

technological innovation, customer orientation and a focus on cost effectiveness, quality
and services.

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MISSION

Believe in strong customer orientation. We know that one is known by the company he
keeps, and we value your company.

INFRASTRUCTURE

Head office in Hyderabad, SURYA SALES CORPORATION. Our manufacturing units in

Jeedimetla (Telangana) & Eluru (Andhra Pradesh).

PRODUCTS

1. Surya Gold DOUBLE layer

Features:

 Maintenance free
 Brighter
 Hygienic
 Rustproof
 Value for money
 Available sizes: 300, 500, 750,
1000, 1500, 2000, 3000 & 5000
Liters.

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 2. RENU Triple layer Water Tank

Features:

 Maintenance free
 Stronger
 Durable
 Brighter
 Hygienic
 Triple Layer body
 Value for money
 Multi Layer
 100% UV stabilized
 Available sizes: 300, 500,
750, 1000, 1500, 2000, 3000
& 5000 Litres.

Triple Benefits
 Black layer: Protects from UV radiation
 White layer: Helps to maintain water temperature
 Blue layer: Helps in visibility inside the tank

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 3. Agarwal Four layer Water Tank

Features:
 Maintenance free
 Threaded lid
 Stronger
 Durable
 Brighter
 Hygienic
 Four Layer body
 Most modern S design
 Multi-Layer
 100% UV stabilized

Four times the Benefits

 Black layer: Protects from UV radiation

 White layer: Helps to maintain water temperature
 Blue layer: Helps in visibility inside the tank
 Yellow layer: Increases durability and strength

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4. Agarwal PLUS Five Layer

Features:

 Maintenance free
 Threaded lid
 Virgin Plastic
 15 Years guarantee
 Stronger
 Durable
 Brighter
 Hygienic
 FIVE Layer body
 Aesthetic design
 Multi-Layer
 100% UV stabilized

Five times the Benefits

 Black layer: Protects from

UV radiation
 White layer: Helps to maintain water temperature
 Blue layer: Helps in visibility inside the tank
 Yellow layer: Increases durability and strength
 Gold/Silver layer: Enhances look of building elevation & Increases durability
and strength

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 5. Agarwal LOFT Tank

Features:

 Maintenance free
 Brighter
 Hygienic
 Rustproof
 100% Virgin plastic
 Used where space is limited
 Available sizes: 200, 300, 400, 500 & 1000 Litres.

TEAM

SUSHIL KUMAR AGARWAL

(Chairman & Managing Director)

Sushil Kumar Agarwal, born in the year 1973, is the Chairman and Managing Director of
the company. He has been associated with the incorporation as a Director. He holds a
Bachelor’s degree in commerce from Wesley college in Hyderabad. With over three
decades of experience in Water Storage industry, he is of great value to our company.

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KIRAN AGARWAL

Executive Director

Kiran Agarwal, born in the year 1974, is the Executive Director of our company. She has
been associated with Agarwal Water Tanks since 2012 as Production Head, and then the
Executive Director since 2015. She holds a Bachelor’s degree in commerce from the
Agarwal college in Hyderabad. With an experience of more than 5 years, she adds great
value at senior level management for strategy formulations.

DIVEK KUMAR AGARWAL

(Executive Director)
Divek Agarwal, born in the year 1997, is the Executive Director of our company since the
inception of his career in 2014. He holds a bachelor’s degree in Business Administration
from S P Jain School of Global Management. With young minds, he aims at providing
innovative water storage solutions and develop on brand awareness and focus on growth
of the company.

TABLE 2.1: SWOT ANALYSIS

Strengths 1. Strong base in polymer

2. Low cost labor
3. High percentage of recycled plastic.
4. It is Hyderabad’s largest WATERTANK PRODCTION.
5. Agarwal Water Tank Company has created one image
as trustable brand in customers.
6. Company poses and good reputation in the market.
7. Company provides value of money to its customers.
8. It provides high quality product.
9. It has strong distribution channels.
10. Super active organization work.
Weaknesses
1. Low scale production.

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 2. High cost of plastic for end-use application.

3. Obsolete machinery.

4. Poor industry image.

5. Industry not focused on exports

6. No replacement for the spoiled product given to the

retailers.

7. Fewer margins in the TANKS.

8. No promotional scheme being offered to customers.

9. Non availability of AGARWAL WATER TANK

COMPANY is the main reasons for customer for
purchase of alternative who actually wants to purchase
AGARWAL WATER TANK COMPANY

10. The delivery of AGARWAL WATER TANK

Company is uncertain and not at proper time.

11. At the time of season there creates shortage of

AGARWAL WATER TANK COMPANY cannot
solve problems of the customers.

Opportunities
1. Opportunity on account of plastic culture which is at a
nascent stage in India.

2. Opportunity to tap higher value processed plastic exports

where India has no presence

3. Potential demand by growth of sun-rise industries such as

Retail.

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 4. Company having reputed brand name so it can easily
capture large market.

5. Many areas still uncovered by the firm.

6. The goodwill created by the firm as Agarwal Water Tank

Company is very helpful to the company to increase its
sales and market share.

Threats
1. Competitors are highly promoting their product with
different scheme given to the dealers are willing to keep
stock and promote the sales.

2. Competition from large competitors.

3. Lost sale may be major problem in future.

4. Competitors provide fast and connivance service and

create loyalty to retailers.

5. Rising crude oil prices

6. Threat of polymer import from middle east

7. Strong processing industries in neighboring countries

8. Environmental concern with plastic packaging leading to

substitution

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PORTER’S FIVE FORCE MODEL

Likelihood of New Entry

The likelihood of new entry in this industry is high. More and more industries trying to
enter in this due to high demand in plastic Government policies in this industry facilitates
new entry Existing brands in plastic industry like Sintex, reliance, IOC etc.. have high
loyalty Existing firms may react aggressively to new entrants Existing firms like Sintex,
reliance etc. have strong control on supplies.

The Power of Buyer

The stronger the power of buyers in an industry the more likely it is that they will be able
to force down prices and reduce the profits of firms that provide the product. Buyer power
will be higher in plastic industry if: Agarwal industries have limited big buyers so each one
is very important to firm, So buyers can easily switch over to Agarwal’s competitors if
Agarwal’s price is high.

The Power of Suppliers

The stronger the power of suppliers in an industry the more difficult it is for firms within
that sector to make a profit because suppliers can determine the terms and conditions on

26
which business is conducted. Suppliers are not that powerful. As more number of suppliers
in this industry so can easily switch over to others Switching to another suppliers is not that
difficult

The Degree of Rivalry

This measures the degree of competition between existing firms. The higher the degree of
rivalry the more difficult it is for existing firms to generate high profits. High rivalry as
high number of similar sized firm’s Plastic industry requires high investment so cost of
leaving the industry is high. High capacity utilization by this industry so competitive in
nature the market is shrinking, so firms are fighting for their share of falling sales Brand
loyalty in this industry is low so customers can easily switch over to others

The Substitute Threat

This measures the ease with which buyers can switch to another product that does the same
thing. The ease of switching depends on what costs would be involved and how similar
customers perceive the alternatives to be. In this industry customers can easily switch over
to others and perceived effect is same not much difference. So substitute threat is high in
this industry.

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