Advertising management

1. PRESENTED BY-
NUPUR AGRAWAL
MBA III SEM

3. ADVERTISING
“The means of providing the most persuasive possible selling
message to the right prospects at the lowest possible cost".
Kotler and Armstrong provide an alternative definition:-
"Advertising is any paid form of non-personal presentation and
promotion of ideas, goods and services through mass media
such as newspapers, magazines, television or radio by an
identified sponsor".

4. Nature of Advertising
• A persuasive message.
• Carried by a non-personal medium.
• Paid for by an identified sponsor.
• One way communication.
• Supports other promotional efforts.
• MESSAGE MEDIUM ADVERTISING

5. Persuasive message

6. Characteristics of Advertising
Advertising
Advertising
Communication Mode
Communication Mode Indirect and non-personal
Indirect and non-personal
Communication Control
Communication Control Low
Low
Feedback Amount
Feedback Amount Little
Little
Feedback Speed
Feedback Speed Delayed
Delayed
Message Flow Direction
Message Flow Direction One-way
One-way
Message Content Control
Message Content Control Yes
Yes
Sponsor Identification
Sponsor Identification Yes
Yes
Reaching Large Audience
Reaching Large Audience Fast
Fast
Message Flexibility
Message Flexibility Same message to all audiences
Same message to all audiences
6

7. 5 M’s of advertising:
MONEY
MISSION MESSAGE
5 M’s
MEASURE
MENT
MEDIA

8. Advertising communication process
A manufacturer ,retailer or service organisation.
Prepared by an ad agency using artwork, music etc
Newspapers, TV, radio, magazines etc.
Decoding and adoption of the message depending on the attitudes,
values, experiences etc.
Specific market audience with geographical, demographical and
psychological characteristics.

9. Advertising Functions
Informing
Persuading
Reminding
Adding Value
Assisting Other Company Efforts 9
9

11. Classification of Advertising
• Can classify it by:
– The target audience: consumers or
businesses
– Product/service vs. organization/company
– Objective: Primary or selective demand
20 - 11

12. Advertising to
Target Audiences
• Consumer advertising generally appears in
mass media and is directed to end
consumers: may be product or institutional
in nature.
• Business-to-business advertising is often
called trade advertising and is directed to a
business market.
20 - 12

13. What is Being Advertised?
• Product advertising is designed to promote the sale of a
specific product or service:
– may be direct-action, quick-response
direct-action
– may be indirect-action over a longer time
• Institutional advertising promotes the firm or tries to
create a positive image:
– may promote customer service
– or send a public service message
Examples-Reliance and kalbe pharma
20 - 13

14. What are the Objectives?
• Primary-demand advertising is intended to
stimulate use of a category of products.
• Selective-demand advertising is intended to
encourage purchase of a particular brand
or the products and services of a specific
firm.
20 - 14

15. Comparative Advertising
• Selective-demand advertising
• Involves comparing a product to its competing
brand
• May be:
– Direct, naming competitors outright
– Less direct, alluding to competitors (e.g., “leading
brand”, “Brand X”) but not naming them
20 - 15

16. Public service advertising
It is directed at the social welfare of
the community or nation.

18. The Advertising Management Process
Advertising Strategy
• Setting Objectives
•Formulating Budgets
•Creating Ad messages
•Selecting Ad Media and Vehicles
Strategy Implementation
Assessing Ad Effectiveness 18
18

19. Advertising Objectives
Specify target market
WHO Emphasis: the features and benefits to
Emphasis
be emphasized and the emotions to be
evoked
WHAT Goals: objectives that need to be
Goals
accomplished at the present stage in a
brand’s life cycle
WHERE Which geographic markets need to be
emphasized?
WHEN What months or seasons are best?
How Often How often should the brand be
advertised?
19

20. Budgeting Considerations
in Practice
• What is the Ad objective?
• How much are competitors spending?
• How much money is available?
20

21. Creating the Advertising Message

22. IMPAC
T

23. Advertising Media
Traditional
Traditional Electronic
Electronic
Advertising Media
Advertising Media Advertising Media
Advertising Media
 Television  Internet
 Radio  Electronic mail
 Newspapers  Interactive video
 Magazines
 Books
 Direct mail
 Billboards
 Transit cards
23

24. Evaluating Advertising Effectiveness and Return
on Advertising Investment
Communication effects indicate whether the ad and
media are communicating the ad message well
and should be tested before or after the ad runs
Sales and profit effects compare past sales and
profits with past expenditures or through
experiments

25. The STP Marketing Process
(segmenting ,Targeting, Positioning)
1. Break the broad market into smaller, more
homogenous segments
2. Specifically target discrete market segments
3. Position the brand to appeal to the targeted
segments
PPT 6-5 25

26. Promotional Mix
Combination of promotion tools
used to reach the target market
and fulfill
Advertising
the organization’s
Public Relations
overall goals.
Sales Promotion
Personal Selling
Word-of-Mouth
26

27. Public Relations
The marketing function that evaluates public attitudes,
identifies areas within the organization that the public may be
interested in, and executes a program of action to earn public
understanding and acceptance.

28. Sales Promotion
Free samples
Free samples
Contests
Contests
Premiums
Premiums
Trade Shows
Trade Shows
Popular Tools
Popular Tools Vacation Giveaways
Vacation Giveaways
for
for
Consumer Sales
Consumer Sales
Promotion Coupons
Coupons
Promotion 28

29. Personal Selling
Planned presentation to
one or more prospective buyers for the purpose
of making a sale.

30. What advertising can do
• Remind the target audience to buy.
• Announce a new brand or service.
• Create brand awareness.
• Stimulate impulse buying.
• Increase confidence in a brand or a company.
• Fight competition.
• Change attitudes.

33. India’s 10 leading advertising/PR companies of India:
 Ogilvy & mather
 J walter Thompson India
 Mudra Communivation Pvt Ltd
 FCB Ulka advertising Ltd.
 Rediffusion- DY&R
 Erickson India Ltd.
 RK Swamy/BBDO advertising Ltd.
 Grey worldwide(I) Pvt. Ltd.
 LEO Burnett India Pvt Ltd.
 Contract advertising India Ltd.

34. Conclusion
(Key to good advertising)
The most important step lies in deciding
what advertising should say and
to whom it should say .
In all there is a need to do is to decide
who buys and uses your products and why.
In order to spend media dollars wisely, the advertiser must
know what they read or watch so that they will see your ads.