Comparative Study of Effectiveness of various mediums of Advertising

1. A Dissertation Report On
Comparative study of effectiveness of various
Mediums of Advertising
Dissertation report Submitted by:
Shefali Walia
Enroll no. – A0102208058
Submitted to:-
Ms. Varsha Khattri
(Project Mentor)
AMITY BUSINESS SCHOOL
NOIDA

2. DECLARATION
I, hereby declare that this project report is the record of authentic work carried out by me
during the 4th Semester of MBA and has not been submitted to any other University or
Institute for the award of any degree / diploma etc.
Shefali Walia
Univ Roll No. A0102208058
( AMITY UNIVERSITY, NOIDA)
Date:
Place:
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3. CERTIFICATE
The forgoing project, entitled “Comparative analysis of effectiveness of different
mediums of Advertsing” carried out by the student named Shefali Walia. It is hereby
approved as a creditable study of an MBA subject carried out and presented in a manner
satisfactory to warrant its acceptance as a prerequisite to the degree for which it has
been submitted. It is understood by this approval that the undersigned do not endorse or
approve any statement made, opinion expressed, or conclusion drawn therein, but
approve the project only for the purpose for which it was submitted. The project is
submitted for the partial fulfilment for the summer training in MBA Marketing & Sales for
the academic year 2009-2010.
( Ms. Varsha Khattri )
Project Mentor
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4. Contents
Index Page No.
Acknowledgement 6
Chapter 1 Introduction 7-9
Chapter 2 Literature Review 10-23
2.1 Advertising 10-11
2.2 The Advertising Campaign 11-13
2.3 Need for reviewing advertising performance 13-14
2.4 Information flow from advertiser to consumer 14-17
2.5 Generalizations about advertising effectiveness in market 18-22
2.6 References 23
Chapter 3 Introduction to Different mediums of advertising 24-33
3.1 Television Advertising 24-25
3.2 Newspaper Advertising 25-26
3.3 Magazine Advertising 26-27
3.4 Cinema Advertising 27- 28
3.5 Radio Advertising 28-29
3.6 Mobile Advertising 30
3.7 Outdoor Advertising 30-31
3.8 Direct mail Advertising 31-32
3.9 Specialty Advertising 32-33
Chapter 4 Research Methodology 34-41
4.1 Need of the Study 34-35
4.2 Objectives of the study 35-36
4.3 Research Methodology 36
4.4 Research Method : Company Perspective 37- 39
4.4.1 Sample Frame 37
4.4.2 Method of Research 37-38
4.4.3 Research Methodology 38-39
4.5 Research Method : Company Perspective 39-41
4.5.1 Method of Research 39
4.5.2 Sample Frame 40
4.5.3 Research Methodology 40-41
Chapter 5 Analysis and Interpretations 42-74
5.1 Consumer Research Analysis 42- 65
5.1.1 Questionnaire 1 42-51
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5. 5.1.2 Questionnaire 2 51-59
5.1.3 Questionnaire 3 59-65
5.2 Company Research Analysis 65-74
Chapter 6 Findings of the Study 75-76
Conclusion 77
Annexure 78- 88
Consumer Questionnaire 1 78-81
Consumer Questionnaire 2 81-83
Consumer Questionnaire 3 84-85
Company Questionnaire 86-88
Bibliography 89
Acknowledgement
I would like to thank all of the people that helped make this possible. First and
foremost, I would like to thank my Faculty Guide, Ms.Varsha Khattri, thank you for
encouraging me to go down my own research path and work on the topic I was
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6. passionate about. I know it was more work for you when I decided to venture down my
own path and I appreciate all of your guidance and support along the way
It is a pleasure to all thank those who made this dissertation possible for me such as my
Father who gave me the moral support. All the people from the industry, who gave me
their valuable time and opinion and the All the people who contributed their opinion, to
make this research possible for me.
I would also like to express my gratitude to Amity Business School for making me a
person to perform the task and for all the needful resources being made accessible.
Last but not the least, I want to thank our friends who extended their cooperation and
were patient at all stages of our work.
Shefali Walia
MBA (Marketing and Sales)
Amity Business School, Noida
Chapter 1 Introduction
“The business that considers itself immune to the necessity for
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7. advertising sooner or later finds itself immune to business.”
Derby Brown
(Ries and Ries, p. XII.)
The need for advertising can not be denied by any business because every business
needs to reach out to its people in a positive manner so as to build a group of loyal
customers to their brand who can further bring profits to their brand. Advertising provides
the platform to the business to interact with their customer, increase their visibility, build
their brand and developing relations with their customers. Need for advertising can in no
way be denied, because if there is business, there ought to be customers and if there
are customers. Communication is evident. This communication is advertising.
Advertising being an investment to company future and like every investment, a lot
depends on advertising, as well, in terms of people, profit, longevity of business,
sustainability etc. Thus, After a company, has come to realize the need of advertising for
its business, prime questions it faces are
• Where are my target buyers?
• What is the best medium to reach them?
• Which medium can allow us maximum reach in minimum possible investment?
These our some of the questions on top of the mind of every business once they
have decided to go for advertising. With advent of technology, changing consumer’s
preferences etc, A lot has changed in the way we should advertise.
Why does most business advertising fail to yield expected return on investment. That is
because of some of our wrong decisions, we make while advertising.
And one of the major decision is, “What should be the right medium to adverise?”
Thus the aim of our study is to understand business needs and correlate it with
advertising basics and hence formulating a comparative study for understanding the
effectiveness of various mediums of advertising according to business needs and
expectations. To help business maximize their reach, public acceptance,
personalization, cost effectiveness by selecting the right medium to advertise.
7

8. The questions to everyone’s mind now would be, Is selecting advertising mediums
before advertising such an important and crucial decision before anything. Yes, It is. Lets
understand how.
There are various mediums for advertising like newspapers, magazines, radio,
television, cinema, outdoor, mobile internet, direct mailer etc. Every medium follows its
own set of customers, cost and advantages. Differentiating between different mediums
becomes essential to get the maximum advantages of Communication, reach, public
acceptance, cost advantage, building brand image, switching abilities, acceptance and
cost, effectiveness and quality of add, compatibility of ad with the medium, compatability
with time, shelf life, personalization of message, shortcomings etc. Every mediums rates
differently on the scale for above things and thus being different on the basis of needs
and priority of business. Thus our first objective of the study is to understand all the
available mediums of advertising on the above said aspects.
After understanding different available mediums of advertising, It needs to be
comprehended with business needs to deicide the suitability of medium according to
business needs, which varies extensively from the stage the company is in to customers
it is targeting to the budgets it wants to spend. The various questions which every
company should ask before choosing an advertising medium are
• What are the long term advertising objectives of the company
• What respective benefits are they expecting from there advertisements.
• Are they aware of there target buyers. Whether they are keeping it in mind,
before going in for a particular choice of advertising medium.
• What prompts them to a particular advertising medium for there company /
Product. Whether it depends on some outside agency or internal decisions.
Once, we have understood the needs of advertising by various businesses. There would
be a comparative study for you to understand which advertising medium is suitable to
what needs and which business can make the most effective use of the said medium.
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9. Nothings satisfies man than an intelligent reason or a logic. Once we have actually
understood, which medium could be best for your business. Our prime concern would be
to know were these choices justified. Thus our next step would be to correlate the
correlate the effectiveness of various advertisements with respect to the medium used
i.e How successful a particular medium is to add on to an advertisement meeting its
objectives.
Having understood all, not leaving any scope for a “what if” situation. The study next
aims to comparatively analyze different advertisement campaigns of different ompanies
under same industry using different mediums for advertising their products
After understanding all the above knowledge on advertising and choice of advertising
medium, the study would be incomplete without understanding the consumers response
to advertising on different mediums. Thus the study next aims to studying the attitude of
people to advertising on various mediums and understanding which respective segment
of people are effected more by which medium of advertising.
Chapter 2 Literature Review
2.1 Advertising
9

10. Advertising is, according to Belch and Belch (2004), any paid form of nonpersonal
communication about an organization, product, service, or idea by an identified sponsor.
Wells, Burnett, and Moriarty (2000) claim that advertising is nonpersonal since it is a
form of mass communication and defines advertising as nonpersonal communication
from an identified sponsor using mass media to persuade or influence an audience.
Belch and Belch (2004) suggest that advertising is the best known promotional tool since
it is persuasive. It is also a very important tool for companies whose products and
services are aiming to satisfy mass consumer markets.
Advertising is according to Tellis (2004) an enormous industry and the growth in
expenditures indicates that the importance of advertising is not declining. The total
expenditures in the United States on all media advertising in the 2002 were nearly $240
billion (Armstrong & Kotler, 2005, Belch & Belch, 2004, Tellis, 2004). This could be
compared to the total expenditure of $53 billion in 1980. Promotional expenditures in
international markets have grown as well. Advertising expenditures outside the United
States increased from $55 billion in 1980 to nearly $214 billion by 2002. However, there
is no nation that could be compared to the U.S. where companies collectively are
spending more than $1500 per capita a year on every man, woman, and child in the
country – nearly 50 percent more per capita than in any other nation (Belch & Belch,
2004).
Advertising can be, in some cases be the sole reason for the growth of the company or
the product.
“ The effectiveness of advertising depends on the selection of right media for conveying
the said message to the target audience”
Before discussing the limitations with advertising it is important to note the difficulties
with evaluating the effectiveness of advertising. The effectiveness of advertising is
according to Tellis (2004) a highly complex phenomenon and depends fundamentally on
human response to communication and how it is communicated. It involves attention,
processing, recall, and response to appeal. This leads to one potential drawback noted
by Armstrong and Kotler (2005) who claim that advertising is a kind of one-way
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11. communication. Smith and Taylor (2002) emphasize the need for advertisers to think
outside the box and engage in a more dynamic and creative methods of advertising via
direct mail, telesales, Internet, television Radio etc. Tellis (2004) emphasize that only a
few advertising campaigns are successful and only a few ads are able to reach over the
level of noise and seize attention. This could be explained by inattention to advertising,
resistance to persuasion, miscomprehension of ad message, and imitation of effective
techniques.
Clutter is according to Duncan (2002) another major limitation of advertising. The
fact that advertising is everywhere results in criticism from people and reinforces the
resistance towards it. Belch and Belch (2004) also acknowledge the problem with clutter
and define it as “the amount of advertising in a medium”.
2.2 The Advertising campaign
While it is the purpose of all advertising to create market recognition and
penetration (leads), the ads themselves often fail to produce profits greater than the cost
of the ad. In fact, most companies are satisfied if their ads only return their cost in
increased gross sales. They must count on multiple ads and repeat business to show a
profit. This is the major drawback of maintenance or flat response advertising.
To draw a common analogy: It is like trying to harvest a crop the same day you plant the
seeds in your garden. The alternative to flat response advertising is cumulative response
advertising or, as it is commonly known, an advertising campaign. To continue the
garden analogy, cumulative response advertising first uses research to select an
appropriate site with fertile soil (market determination), plants the seeds (foundation
advertising), and then weeds, waters and fertilizes (developmental advertising) until the
garden begins to flourish. Only after the garden has begun to mature do you harvest the
crop (maintenance advertising). The effectiveness of this approach is measured by the
cumulative response ratio.
Before starting a campaign, the cost of a qualified response to a maintenance ad my run
between $100 and $350 for an industrial equipment purchaser. After the campaign has
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12. been executed, the cost can drop to as low as $10 to $35 or achieve a 10:1 cumulative
response ratio for the identical maintenance ad. At this advertising cost, it becomes
easier to show a net profit on the initial sale.
Laying out your Garden
The first step in preparing an advertising campaign is to target the right market and
select the media which offers access to that market.
The next step is to create and place foundation advertising which announces to the
greatest number of people that your product exists and what place it occupies in the
market. Is it the biggest?, the best?, the least expensive? This becomes the product's
positioning statement and your selling proposition.
Planting the Seeds
The next phase of cumulative response advertising is the preparation and placement of
developmental or sales builder advertising. Rather that stating the selling proposition,
these ads target on key decision makers, relate to their needs or key buying motivations
and offer the features and benefits of your products to satisfy those needs.
For targets where the key buying motivation is broad based, the ads are usually large,
four color process. In situations where the target is less than 10% of audience, optimum
space (1/2 or 1/3 page) black and white ads are used. While the level of response is
somewhat higher from developmental advertising than foundation advertising, the
primary purpose is long-term recognition of product benefits within the target audience.
The response can again be used to further refine and target the next phase of
advertising; Maintenance Advertising.
Harvesting your Crop
By the time your advertising strategy enters the maintenance phase, your the product
will have developed real and potential markets. All that is required to turn an individual
from the real market into a customer is the information necessary to make a purchase
decision. This is information such as application, price or availability. Since the real
market already has a requirement for your product, there is no need to run a full page ad
or run color. In fact, a quarter page black and white will draw your real market 75% as
well as a four color process two page spread at 20% of the cost for space and color.
Frequency and coverage are the elements for success in maintenance advertising. It is
important to cover your markets horizontally and vertically in all industry, product, special
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13. interest, consumer and key decision maker media which will reach a portion of your
market.
Monitoring the costs and response ratios in each market segment will enable you to
evaluate the effectiveness of your advertising strategy6 and plan additional advertising
to strengthen in weak markets or budget reductions in areas of excessive demand.
Disparity between maintenance response and sales also permits manufacturers to
measure dealer sales effectiveness in geographic markets. Helping businesses
implement their marketing plans through advertising, planting the seeds of information in
their markets and spreading enough fertilizer to ensure a bountiful harvest is the
business of advertising and the commitment that WS&A.offers its clients. It is not
enough, however, for your planning organization alone to understand the concepts and
development of campaigns. We hope that by sharing the process, you will be better
prepared to capitalize on the opportunities it affords to maximize profits and exploit new
business.
2.3 Need for reviewing advertising performance
Consumers in today's marketplace have the opportunity to choose between several
available alternatives in almost every product category. The willingness of consumers to
exercise this option is demonstrated in two significant ways—the large market share
differences among competitors within product categories and the high failure rate of new
product introductions. An indication of the failure rate is refiected in the statistic that
about one out of 540 new product ideas ultimately becomes a successful product.
Consequently the marketer is literally forced to devote a very considerable amount of
money and effort to planning and executing the advertising program that will, hopefully,
yield the greatest financial reward.
Various sources suggest that the sum of money spent to communicate a desired
message to the consumer is approaching $17 billion in the United States alone, an all-
time high. Furthermore, this figure will in all probability continue to rise in the years to
come. To put this sum into the proper perspective, it may be noted that the average
family of four is reportedly exposed to more than 1,500 separate advertising messages
during the course of a single day. And this too may be rising. Within this context, it is
surprising that a large number of advertisers make no attempt to measure the
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14. effectiveness of their advertising investment. In fact, a recent National Industrial
Conference Board study indicated that a large portion of current advertising efforts are
nothing more than “. . . Untested advertising that small groups of agency or company
executives believed would be effective.”
Sound management practice dictates that all phases and operations of the company be
subject to systematic review in order to achieve a maximum level of performance. This
should include advertising.The short-term and long-term benefits of systematically
reviewing a firm's advertising efforts are overwhelming. For example:
—Management will be forced to define specifically what each element of its program is
intended to accomplish, in advance of actual advertising exposure.
—An accurate feedback system could be provided to management, assisting them in
uncovering what the advertising program—working in conjunction with other marketing
forces—is actually accomplishing in the marketplace.
—Management would be able to use and to learn from experience (both successes and
failures) in order to create more effective communications in the future.
2.4 Information flow from advertiser to consumer and a realistic
program to measure advertising effectiveness
Information from various impersonal sources is communicated to the consumer, either
directly or by another person.^ This message is affected by many subtle yet meaningful
variables over which the advertiser has little control. For example, several studies have
illustrated that the type of message presentation, the attitudes of the audience to the
transmitter (whether it is media or human), the order of presentation, and the emotional
set of the audience"' all serve to influence the effectiveness of information, that is, all
information supplied by a variety of sources and affected by many different factors,
eventually results in a product-related message of some kind being perceived by the
consumer.
The reception of information directed to the consumer is merely the beginning of the
communications process. Furthermore, there is no certainty that even this initial step of
the advertising communications process will be successful. An advertising message will
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15. be received by the consumer only if it is transmitted through appropriate media. A
message which theoretically communicates well (for example, in a test situation it is
remembered and understood; it is successful in changing or confirming attitudes,
opinions, and preferences) could easily be ineffective when presented by inappropriate
media.
Even if appropriate media are used and the consumer does become exposed to the
message, it is still unrealistic to expect that he will buy the product at the first
opportunity. The message must first attract the consumer's attention in some way
(either consciously or subconsciously). Otherwise, no matter how well-constructed and
how well-transmitted, the message would be ineffective as an advertising vehicle. The
fact that consumers retain only a .small portion of what they are actually exposed
to—either because of an inability to retain all messages or a lack of desire to do so—
suggests that considerable attention should be given to this problem.
Assuming the sales message is received by the consumer, and attracts his attention, the
marketer should still not expect changes in purchase behavior. The message must first
influence changes in preference by altering or strengthening key attitudes and images
about the product. Both in-theatre and questionnaire research tests have demonstrated
the possibility that a consumer may be exposed to a message with no resultant change
in any image or attitude about the product, much less a change in preference. The key
issue here is the true saliency of the product message from the consumer's point of
view, rather
than the effectiveness with which the advertiser communicated the product message he
judged to be important to consumers. Some experimenters have recently suggested that
consumers may alter their behavior without any prior changes in attitude or preference.
However, analysis of their findings suggests that perhaps their definition of attitude may
be incorrect, casting doubt on their "findings" of no relationship between attitudes and
behavior."
Realistic Program for the Measurement of Advertising Effectiveness
It is within the preceding framework that one can proceed with the development of a
systematic method of measuring advertising effectiveness. By understanding how
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16. information about a product is transmitted from the advertiser to the consumer and the
complex paths it sometimes takes, an evaluative program can be designed. This
program must, however, have one basic methodological objective. It must utilize valid
and reliable research instruments. There can be no elements of the program which are
based upon magic formulas and unfounded assumptions. This section describes such
an evaluative system.
A. An important element of the program is to measure consumer exposure to all media
in the advertiser's target market segments. The data may be valuable in defining the
specific media to which consumers have recently been exposed, and the frequency of
such exposure.For example, one could carefully itemize the specific magazines read,
television shows seen, or radio shows heard. Such data would help to determine (1) if
the target market segment was exposed to the sales messages in the past, and (2) what
media selections should be made to insure optimum exposure per dollar
spent in the future.
B. It is also important to measure retention of the advertising and other "messages"
received by the consumer. Information should be collected for the product under
investigation, as well as for all competitors in the appropriate product category. Specific
information could be obtained about retention of the individual elements of a sales
message and also consumers' explanations and interpretations of what an advertiser is
communicating about his product.
C. The level of consumer preference, both for the advertised product and for its
competitors, can be developed. Consumers can be categorized into several intensities of
preference. For example, the first and lowest level of preference could be a complete
lack of awareness for the product. Next might be a general state of product awareness
(either with a negative feeling or with no observable preference). A third, and more
intense level of preference, could be an evaluation by the consumer that the product is
within a group of products toward which he has some level of favorable feeling. Finally,
the highest level of preference could be the single product that is most preferred. (The
concept behind these preference levels has application in most product categories.
However, many studies of advertising effectiveness suggest that the number and
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17. definition of the various levels of preference may vary among different product
categories.)
D. Salient images and attitudes toward the product under investigation, as well as for all
of its competitors, can also be measured. Knowing a consumer's level of preference, as
well as his specific attitudes, enables the correlation of attitudinal factors with preference
for all products in the category of interest.
E. Recent actual marketing behavior of the consumer should be investigated.
Information
sought might include such factors as product brand, size and amount usually purchased,
various uses and methods of usage, as well as the consumer's current product inventory
on hand.
F. The type of data described above can be used only to measure what the advertising
for a product is accomplishing relative to its competition. However, it cannot tell the
marketer the economic value of his current advertising strategy. As noted earlier, there
are a large number of variables which must be accounted for and controlled in order to
provide this type of information. The actual experience of several manufacturers"
suggests that it is possible to provide management with a series of objective indicators
of advertising's economic value. These observations may then be examined in light of
current market conditions, government actions, competitive activities, and so on, in order
to gain insight into a measure of advertising's economic value.
2.5 Generalizations about advertising effectiveness in market
(GERARD J. TELLIS, Marshall School of Business
University of Southern California
Journal of advertising research, June 2009 )
Based on over 260 estimates, the mean elasticity of sales or market share to
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18. advertising is 0.1 percent. Another 450 field experiments suggest that changes in
media, product, target segments, advertising scheduling, and advertising content are
more likely to yield changes in sales than do changes in advertising weight. Numerous
other studies suggest that advertising wear-in does not exist or occurs quite rapidly while
advertising wear-out occurs more slowly. Details of and differences in these results by
condition are discussed in this article.
FIELD RESEARCH ON ADVERTISING
A) RESEARCH ON ADVERTISING ELASTICITY
"Advertising elasticity" is the percentage change in sales of a brand for a 1 percent
change in the level of advertising. It is free of any units. Studies in this area try to
estimate the statistical relationship by which sales respond to advertising. To do so, the
studies define a model with sales as the dependent variable and advertising as the
independerit variable. As far as possible the
studies try to control for the effect of Other independent variables such as price, quality,
distribution, promotion, or brand name. There are more than 260 estimates of
advertising elasticity carried out in numerous studies using a variety of models and data
across many countries, product categories, brands and time periods. There also are two
types of elasticities, current and carry-over. The current elasticity is the percentage
change in sales for a 1 percent change in advertising in the concurrent time period.
Carry-over elasticity, alternatively, refers to the percentage change in sales for a 1
percent increase in advertising in subsequent time periods, after or beyond the
concurrent one.
Generalizations from elasticity study:
About current effect
• If advertising changes by 1 percent, sales or market share will change by about 0.1
percent. In other words: advertising elasticity is 0.1.
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19. • The advertising elasticity is lower in models that incorporate disaggregate data,
advertising carryover, quality, and promotion relative to those that do not.
About carryover effect
• The carryover elasticity of advertising seems twice as large as that of the current effect.
• The estimates of the carryover effect of advertising decrease with the interval of the
data used to estimate the carryover.
Implications:
These results suggest the following four implications. First, advertising is not the variable
of choice for increasing sales. Second, there are distinct circumstances when advertising
is effective in increasing sales. Third, researchers need to be cautious about modeling
advertising response. They need to properly control
for independent variables, carryover effects, and multiplicative models. Fourth,
researchers need to use data at the unit exposure time and correct for estimates of
elasticity if they use more aggregate data (Tellis and Franses, 2006
B) RESEARCH ON ADVERTISING WEIGHT
"Weight" refers to the level or intensity of the advertising budget. Typically, the studies in
this group examine the effect of differences in advertising budget across time periods or
regions. The main focus of such studies is to determine whether an increase in weight
translates into a proportional or profitable increase in sales of the advertised product.
Researchers have carried out more than 450 market or field experiments to assess the
effectiveness of advertising. In such experiments, researchers compare two or more
similar markets, each of which differs by a particular advertising weight. In most cases,
the experiments last for several time periods to enable the researchers to get baseline
sales before the change in advertising weight and assess carryover sales after the
change has been made. These experiments varied widely in time period, markets,
product contexts, advertised brands, and changes in weight (Tellis, 2004, 2007).
Generalizations from advertising-weight studies
Research from weight studies leads to the following six important and surprising
findings:
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20. • Even if advertisers make a big increase or decrease in weight, sales do not increase or
decrease by much.
• If advertisers make cuts in weight, sales do not immediately decrease.
• If advertising is effective, its effects are visible early in the life of a campaign.
• Conversely, if early advertising is ineffective, then repetition will not create or enhance
its effectiveness.
• If advertisers make changes in media, product, target segments, scheduling, and
especially content of the advertising, they are more likely to cause changes in sales than
if they merely change weight.
• Where profitability of the advertising has been assessed, advertising seems to be
profitable less than half the time.
Implications
These results suggest three implications. First, firms could be over-advertising, not only
in the amount of advertising they do, but also in using the same content, positionings,
product, media, and schedule too long. Second, advertising may have carryover or
permanent effects, so that continued advertising at the same level is not always
necessary. If the carryover effect is present, however, it starts to occur immediately and
does not build up over time. Third, a firm's budget increase or original budget itself is
more fruitfully enhanced by changes in media, content, target segments, product, or
schedule rather than on weight alone. In other words, variety in advertising is likely to
yield better results than increases in weight.
C) RESEARCH ON ADVERTISING FREQUENCY
A firm's advertising budget normally affects consumers through the exposure of
consumers to advertisements through the media. "Frequency," in this context, refers to
the number of advertising exposures each consumer receives in a particular time period.
The advertising budget in a time period ultimately translates into a sequence of
individual exposures targeted to one or more consumers. Similarly, sales is an
aggregate of "brand choice"—consumers' choices of brands. Research on frequency
normally examines the effect of advertising frequency on consumer choice (Deighton,
Henderson, and Neslin, 1994; Gibson, 1996; Jones, 1995; McDonald, 1971; Pedrick and
Zufryden, 199(1; Tellis, 1988a). Such research provides a more fine-grained and
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21. insightful analysis of advertising response than comparable studies on advertising
elasticity or advertising weight.
Generalizations from advertising-frequency studies
Research on advertising frequency leads to the following five findings:
 The effects of advertising exposure are less prominent and immediate and more
fragile than those for price or promotion on brand choice.
 In general, increasing frequency of exposures increases probability of brand choice
at a decreasing rate.
 For mature, frequently purchased products, the optimum level of exposure is
relatively small, ranging from one to three exposures a week.
 Brand loyalty moderates response to advertising exposures, in that established
brands have an earlier and lower peak response to advertising exposures than
newer brands.
 Brand choice is more responsive to the number of consumers the advertisement
reaches than to frequency with which it is repeated.
Implications
These findings suggest two implications: First, advertisers need to target loyal buyers
and nonbuyers of their products with differing levels of exposures. Second, consistent
with findings from prior sections, heavier exposures need to be reserved for new
consumers and brands.
D) RESEARCH ON ADVERTISING CONTENT
"Content" refers to what is in an advertisement as opposed to such external
characteristics as weight or frequency. Aspects of content include the appeal (argument,
emotion, and endorsement), the duration or length of the advertisement, the use of color,
sound, or video, the amount/type of text, etc. While a vast number of theater and lab
studies have examined the effectiveness of various aspects of advertising content, only
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22. a few market studies have done so (Chandy, Tellis, Maclnnis, and Thaivanich, 2001;
Maclnnis, Rao, and Weiss, 2002). Thus, generalizations of findings in this area need to
be made cautiously.
Generalizations about advertising content
Research on advertising content seems to suggest the following preliminary findings:
• Changes in the creative, medium, target segment, or product itself sometimes lead to
changes in sales, even though increases in the level of advertising by itself does not.
• Informative appeals are more important early than late in the product's lifecycle.
• Conversely, emotional appeals are more effective late rather than early in a product's
life cycle.
Implications
These findings have two important implications for advertisers. First, to increase
effectiveness, advertisers should modify content more than increasing weight or
frequency. Second, advertisers need to test and typically vary the content of their
advertising within the life stage of the product.
2.6 References
Books
• Marketing Management by Philip Kotler
• Advertising Management by Rajiv Batra, John G. Myers.
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23. Research papers
• Gerard J. Tellis, Marshall School of Business, University of Southern
California, Journal of advertising research, June 2009
• The Role of PR, Jönköping June 2005
• Elizabeth Marting, New Products, New Profits (New York: American
Management Association, 1964)
• Roger H. Bolin, cited in Russel H. Colley, Defining Advertising Goals for
Measured Advertising Results (New York: Association of National Advertisers,
1961), Foreword.)
• Journal of Marketing. Vol. 33, 1969).
Chapter 3 Introduction to different mediums of
Advertising
The promise of media advertising is great. It’s an opportunity for a brand to tell its story
directly to the ultimate consumer. It’s an opportunity to build awareness and project a
powerful brand image. It’s an opportunity to create and build brand equity. It’s an
opportunity to bypass the trade, an opportunity to circumvent competitors. In actual
23

24. practice, however, the promise of media advertising I seldom realized. In fact, the
opposite is true. Media advertising is probably the most inefficient, least productive
expenditure in the typical company’s marketing budget.
3.1 Television Advertising
Television advertising provides a very powerful vehicle for delivering a message about
your product or service to the widest audience possible. The visual impact of video
simply has a great ability to capture and hold the audience—more so than the more
static mediums of print or audio media. Although it may seem like a daunting task, you
can write and produce your own commercial at a television studio, or at a local college or
high school that has an audio-visual department. The costs of producing a fifteen-,
thirty-, or sixty-second television spot will vary depending upon the sets, special effects,
talent, equipment, and crew necessary to pull off your concept.
The cost for placing a television ad depends upon the type of station, the time of day
your ad airs, and the ad run frequency. Station types, in order of expense, include UHF,
VHF, and local cable access. When determining which time slot to place your ads in,
consider any documentaries, features, or sporting events with local content that cater
specifically to an audience that would be interested in your product or service.
Remember that the frequency of your ads is as important as the time of day they air.
Running your commercial once or twice a week, for example, is unlikely to generate any
response at all
The effect of TV commercials, or any other form of advertising, can and has been
measured on a variety of criteria. Advertising recall, message comprehension, product
awareness and knowledge, attitude toward and intentions to buy the advertised product
are some of the more frequently used commercial and product-related measures of
advertising effectiveness.' These measures, being non purchase in nature, should ideally
be related to the theoretically ' "optimal" criterion of advertising effectiveness—the
present value of the relative profitability of advertising alternatives. Unfortunately, there
is no sound theoretical (or even an empirical) basis for selecting any one measure as the
single "best" criterion. This may suggest the need for advertising evaluation tests which
utilize a number of relevant commercial and product related criteria. Yet, most current
24

25. commercial testing procedures, including those that are consistent with the Dagmar
approach, determine the effectiveness of a given commercial based on its performance
on a single criterion.
3.2 Newspaper Advertising
Every advertising medium has characteristics that give it natural advantages and
limitations. As you look through your newspaper(s), you'll notice some businesses that
advertise regularly. Observe who they are and how they advertise their products and
services. More than likely, their advertising investment is working if it's selling!
Some Advantages in Newspaper Advertising
Almost every home receives a newspaper, either by newsstand or home delivery.
Reading the newspaper is a habit for most families. And, there is something for
everybody: sports, comics, crosswords, news, classifieds, etc. You can reach certain
types of people by placing your ad in different sections of the paper. People expect
advertising in the newspaper. In fact, many people buy the paper just to read the ads
from the supermarket, movies or department stores.
Unlike advertising on TV and radio, advertising in the newspaper can be examined at
your leisure. A newspaper ad can contain details, such as prices and telephone numbers
or coupons.
There are many advantages to advertising in the newspaper. From the advertiser's
point-of-view, newspaper advertising can be convenient because production changes
can be made quickly, if necessary, and you can often insert a new advertisement on
short notice. Another advantage is the large variety of ad sizes newspaper advertising
offers. Even though you may not have a lot of money in your budget, you can still place
a series of small ads, without making a sacrifice.
Some Disadvantages with Newspaper Advertising
• Newspapers usually are read once and stay in the house for just a day.
• The print quality of newspapers isn't always the best, especially for photographs.
So use simple artwork and line drawings for best results.
25

26. • The page size of a newspaper is fairly large and small ads can look minuscule.
Your ad has to compete with other ads for the reader's attention.
3.3 Magazines advertising
Many of the same "print" type principles which apply to newspaper advertising also apply
to magazine advertising. The biggest differences are: Magazines are usually weekly or
monthly publications instead of daily. Advertising messages are more image-oriented
and less price-oriented. The quality of the pictures and paper are superior to newsprint.
Advertisements involve color more often. The general rule that you can run the same ad
3-5 times within a campaign period before its appeal lessens applies to magazine
advertising as well, even with a monthly publication. So it makes sense to spend extra
time and money to prepare a worthwhile ad that can be successfully repeated. Over long
terms such as these, however, be aware that the client (you) often tires of the ad before
the audience does. Because ads in magazines are not immediate, they take more
planning. Often, an ad for a monthly magazine must be prepared at least a month in
advance of publication, so ads detailing prices and items have to be carefully crafted to
insure accuracy..
There are two categories of magazines: trade magazines and consumer magazines.
Trade magazines are publications that go to certain types of businesses, services and
industries. Consumer magazines are generally the kind you find on the average news
stand. Investigate which type would do your business the most good. An agency can
also purchase the magazine space for you, often at no charge, because the magazine
pays the agency a commission directly. If you wish to purchase the advertising yourself,
contact the magazine directly and ask for an "Ad Kit" or "Media Package." They will send
you a folder that includes demographic information, reach information, a current rate
card and a sample of the publication.
Although most magazines are national in nature, many have regional advertising
sections that allow your business to look like it purchased a national ad when it only
went to a certain geographical area. This can be especially useful if your product or
service is regional in nature as well and could not benefit from the magazine’s complete
readership. Each magazine does this differently, so contact the one(s) you are interested
26

27. in and ask them about their geographic editions. Some sophisticated magazines even
have demographic editions available, which might also be advantageous.
Also, Magazine and television work in different ways Magazine and television advertising
work in different ways and in assessing advertising effectiveness these differences
should be taken into account. The measures developed for television are not necessarily
appropriate for magazines.
Moreover, exposure to a magazine ad is under the reader’s control, whereas exposure
to a TV commercial is not in the viewer’s control. Television and magazine
advertisements are stored in memory in different ways. A TV commercial tends to be
held in the mind as a ‘story’. With magazine advertisements a higher proportion of
memories are stored as information about the product rather than about the ad itself.
Consequently, as a criterion of the advertising efficiency of magazines, measuring
theabsorption of product messages is more relevant than ad awareness. Unlike
television, magazines offer repeat exposures to the advertising. The typical reader looks
at an average page on more than two occasions.
3.4 Cinema Advertising
Cinema advertising is a dynamic medium offering advertisers the opportunity to reach
their target consumers in a distraction-free, compelling environment. Advertisers
showcase their brands on an entertainment backdrop and access the star power that
drives consumers to theatres. Cinema advertising is becoming a more essential,
strategic part of the media plan, for many brand categories. Consumers are more likely
to consider and choose a brand when in-cinema advertising is part of the overall media
mix. Moviegoers who saw in-theatre advertising are 44% more likely to remember the ad
than consumers who saw it on TV. Cinema advertising has longevity. Up to one week
after seeing commercial at the movies, nearly half of consumers could name the specific
brands they saw advertised. In terms of reach, it is lower than TV but in terms of impact
it is around 5 times higher. There is better ROI on Cinema as a medium when compared
with television.
Cinema attendance worldwide has increased rapidly in recent years and this growth
inttendance has seen a parallel increase in the utilization of cinema as an advertising
medium (Val Morgan Cinema Advertising, personal communication 1996).
27

28. In addition to the increasing reach of cinema, some researchers have argued that
cinema possesses a number of advantages which make it a more attractive medium
than has hitherto been recognized (see Johnson 1981). In the only major study to
explore cinema advertising, Johnson identified the high quality, high resolution
presentation offered by cinema; the "social" aspect of movie going which, he suggested,
ensures decision-makers view advertising in the company of purchase influencers; the
captive environment of cinema, and the lack of clutter affecting the medium, as reasons
for its increasing popularity. He acknowledged some disadvantages, especially the
difficulty of building frequency (although this is easily addressed through the use of other
media within a specific schedule); the lower reach when compared to traditional
broadcast media, and booking constraints. However, despite these problems, Johnson
concluded that cinema was an under-utilized medium.
3.5 Radio Advertising
Since its inception, radio has become an integral part of our culture. In some way, it
touches the lives of almost everyone, every day. Radio, as a medium, offers a form of
entertainment that attracts listeners while they are working, traveling, relaxing or doing
almost anything. A farmer, for example, may listen to the radio while he is having
breakfast or plowing his field. People driving to work often listen to the radio. Radio
offers information such as: news, weather reports, traffic conditions, advertising and
music for your listening pleasure.
Radio is a relatively inexpensive way of reaching people. It has often been called the
"theater of the mind" because voices or sounds can be used to create moods or images
that if crested by visual effects would be impossible to afford.
You can also negotiate rates for your commercials, or even barter. Stations are often
looking for prizes they can give away to listeners, so it's possible to get full commercial
credit for the product or service you offer.
Advantages to radio advertising include:
• The ability to easily change and update scripts are paramount to radio
broadcasting, since news stories can and often do happen live.
28

29. • Radio is a personal advertising medium. Station personalities have a good
rapport with their listeners. If a radio personality announces your commercial, it's
almost an implied endorsement.
• Radio is also a way to support your printed advertising. You can say in your
commercial, "See our ad in the Sunday Times," which makes your message twice
as effective.
• Radio advertising is not without its disadvantages too, such as:
• You can't review a radio commercial. Once it plays, it’s gone. If you didn't catch
all the message, you can't go back and hear it again.
Since there are a lot of radio stations, the total listening audience for any one station is
just a piece of a much larger whole. That's why it's important to know what stations your
customers and prospects probably listen to. Therefore, most of the time, you'll have to
buy time on several radio stations to reach the market you are after.
People don't listen to the radio all the time...only during certain times of day. So, it's
important to know when your customers or prospects are listening. For example, if you
want to reach a large portion of your audience by advertising during the morning farm
report, you'll have to specify that time period to the radio station when you buy the time.
Radio as a broadcasting medium, can effectively sell an image...or one or two ideas at
the most. It is not, however, a detailed medium...and is a poor place for prices and
telephone numbers.
Radio listeners increase in the spring and summer, contrary to television audiences
which increase in the fall and winter and decrease in the summer. This is an important
aspect to consider when you are choosing advertising media.
3.6 Mobile Advertising:
The high penetration rate of mobile phones has resulted in the increasing use of
handheld devices to deliver advertisements for products and services. Short Messaging
Service (SMS), in particular, has been very successful. A series of surveys conducted by
A.T. Kearney indicates that the use of mobile information services and SMS has
increased dramatically since 2001 [20]. More than 100 billion SMS messages were sent
29

30. worldwide in a single year. More than half of the 19–34 age group in Taiwan use SMS at
least once a day. The rising popularity of SMS has created a new channel for
advertising, called mobile advertising. Ads are rendered as short textual messages and
sent to mobile phones
3.7 Outdoor Advertising
Out-Of-Home (OOH) or Outdoor Advertising is defined as “any type of advertising that
reaches the consumer while he or she is outside the home (or office). This is in contrast
to broadcast, print, or internet advertising, which may be delivered to viewers out-of-
home (e.g. via tradeshow, newsstand, hotel lobby room), but are more-often viewed in
the home or office.”2
OOH advertising falls into one of four formats3:
• Billboards – Standardized large format advertising displays intended for viewing from
extended distances, generally more than 50 feet (including digital billboards)
• Street furniture – Advertising displays, many that provide a public amenity, positioned
in close proximity to pedestrians and shoppers for eye-level viewing, or at curbside to
influence vehicular traffic (including traffic barriers, benches, bollards, post boxes, phone
boxes, street lamps, street lighting, traffic lights, traffic signs, grit bins, public lavatories,
fountains and memorials, and waste receptacles)
• Transit – Advertising displays affixed to moving vehicles or positioned in the common
areas of transit stations, terminals and airports (including buses, commuter trains, trucks,
taxicabs, and mobile billboards)
• Alternative – new media advertising different from billboards, street furnitures, and
transit. This include mobile projections, cinema, place-based advertising (such as in
malls, golf courses, parking garages, stadiums and arenas, rest areas and resorts),
postcards, vending carts, and place-based digital networks (also called digital displays)
OOH advertising has emerged as a new frontier for what has traditionally been
dominated by TV, radio and print. With a projected growth of 28% in 2007, OOH
advertising is now slowly being regarded as a co-equal of traditional media.
Need of OOH Advertising
30

31. According to recent studies cited by the Outdoor Advertising Association of America
(OAAA), people are spending more time out of home than in-home9. This is widely
influenced by two key factors:
• Increasing mobility of consumers as they spend more time on the road while
commuting to and from places of work and relaxation, in spite of the increasing cost of
fuel
• Increasing number of working individuals per family, itself influenced by an increasing
cost of living and lifestyle
Furthermore, consumers are increasingly exerting control of their purchase and
consumption habits, demanding the ad content that they want to see when they want to
see it. The increasing clutter of home-based advertising from a burgeoning number of
TV and radio channels, and a widening option of print media from magazines to
newspapers, has made it difficult to make purchase decisions at home. As a result, most
consumers are now making such decisions out-of-home, at that moment in time
immediately before the point of purchase.
3.8 Direct Mail
What makes "direct" mail different than regular mail? Nothing. It's just a way the
advertising world describes a promotional message that circumvents traditional media
(newspaper, radio, TV) and appeals directly to an individual consumer. Usually through
the mail, but other carriers also participate.
Direct mail may be used more than you think. Studies indicate that it is the third largest
media expenditure behind television and newspaper.
Rules to Remember
1. Define your audience. Figure out who you want to reach before developing your
direct mail program. This allows you to specifically target your message to fit
common needs. It is the best advertising medium for "tailoring" your appeal.
2. Locate the right mailing list. You can either build a "house list" by doing the
research yourself and compiling the information on a computer - or you can
purchase an "outside list" from a list house or mailing organization already pre-
prepared and ready to go.
31

32. 3. There are many ways to purchase lists. You can buy them demographically (by
age, profession, habits or business), or geographically (by location, or zip code).
Or you can by a list with both qualities. More than likely, there is a mailing list
company in your area that would happy to consult with you on your needs. If not,
there are a number of national mailing lists available.
4. For assembly, addressing and mailing your project, you also have the choice of
doing it yourself or locating a mailing service company to do it for you. As the
numbers of your direct mail pieces increase, the more practical it is for you to
enlist such an organization for assistance. They also are very good at getting you
the lowest postal rates.
5. Consider using a self-addressed reply card or envelope to strengthen return. Use
a Business Reply Postage Number on the envelope and you'll only pay for the
cards which are sent back to you.
The blessing (or curse) of direct mail is that there are no set rules for form or content.
The task of deciding what your mailing should have as content, its design and its
message(s) is up to you. However, remember to attract the reader's attention with color
and creativity. Use clear, comfortable writing and make your appeal easy to respond.
And of course, coordinate the mailing with other advertising media if you are also using
them in the same campaign. It can significantly increase the potential return.
3.9 Specialty Advertising
"Giveaways" -- the pencils, pens, buttons, calendars and refrigerator magnets you see
everyday -- are called "Specialty Advertising" in the advertising business.
Chances are, you have some specialty advertising items right at your desk. Businesses
imprint their name on items and give them away (or sometimes sell them at very low
cost) in order that:
You notice their name enough times on the item to build "top-of-the-mind" awareness.
So when you need a restaurant, for instance, you think of their name first.
32

33. You appreciate the goodwill of the company giving you the item and eventually return
the favor by giving them some business.
These are both long-term advertising investments that can take months or years to turn
into actual sales.
First, select the best item that would tell your story most effectively. While an accountant
can give away an inexpensive calculator, the same item may not be ideal for a
hairdresser. A comb or brush might be more appropriate in that case.
Second, decide what you are going to say on the item. A company slogan? Address
directions? Since you have a relatively small area, you must be very concise and direct.
Third, figure out your method of distribution. Are you going to send them to each
customer through the mail? If so, how much will that cost? Will you have them in a big
bowl that says "take one"? Distribution is just as important to consider as buying the
item.
Just as there are many reputable specialty advertising professionals in your area, the
industry is notorious with a lot of high-pressure telephone and mail solicitors who often
give specialty advertising a bad name. Don't buy specialty advertising through the mail
without checking the quality and prices with trusted local representatives first. And,
buying specialty advertising over the telephone is not recommended at all.
Specialty advertising is a unique way to generate goodwill and put your name on items
that people remember. But don't do it unless you have an item and distribution plan that
will benefit your business.
Chapter 4 Research Methodology
4.1 Need of the Study
33

34. Consumer, in today’s marketplace has the opportunity to choose between several
available alternatives in almost every product category. With increasing competition,
changing consumer behavior advancement of technology, The need for advertising is
growing even more for the organizations to reach out to its customers in the best
possible way and build the long term relations with them. Advertising today is an
important item on the top management agenda. The foremost reason, of course, is the
increase in size of advertising expenditures. In many cases, advertising has become the
third, second, and in a few cases, the largest item in the corporate budget. Keener
competition, together with expanded plant capacity, has forced a greater reliance on
advertising to maintain or increase volume and profit.
Every business invests huge amount of time and money on its advertising but the
problem arises when it fails to deliver result. Some of the reason for it could be People
never accessed or viewed the advertisement, It did`nt left the impact it ought to, It was
too costly for the results achieved or message was no clear etc. Many of the problem
arises because of the wrong selection of the medium of advertising. Every medium has
its different communication style, reach, public acceptance, cost advantage, shelf life
etc. So as to understand that which characteristic of a particular medium suits best
according to the needs of the respective company.
The consumers have very definite ideas about the media and their advertising content.
They believe for example that newspapers are the best source of shopping information,
the best source of information about sources of entertainment and that they contain the
most useful advertisements of the four media included in this study. They also feel that
newspaper advertisements are the most truthful and informative, and would be least
willing to give up the advertising content of the newspaper when compared to the other
media.
When it comes to television People indicates that it spends the greatest amount of its
media time with television, and that television is their first choice for entertainment and
for world and national news. While people feels that television advertising is the most
annoying, insulting, misleading and most in need of government regulation, they also
feel it is the most entertaining and the best source of new product news.
34

35. Radio and magazines appear to hold a very secondary position in the mind of the
consumer vis-à-vis television and newspapers. While people indicates that magazines
are the medium they spend the least amount of time with, and the medium they could
"do without," they are also the medium which provides the best source of information on
durable goods in their opinion.
Thus, the goal of the study is to understand how the right choice of media can actually
help in getting maximum possible benefits from advertising. Every medium of advertising
carries its own respective benefit, its own set of loyal audience and its own different chief
characteristics. Thus, at some point of times companies have no available criteria, to
judge, which medium would be most effective to solve their required purpose than
budget as a consideration. The particular study aims to understand every aspect of the
different medium and correlate it with various needs of the business.
4.2 Objectives of the Study
The research is done from two perspectives that are from the company perspective as
well as the consumer perspective.
The prime objective of the study from the business perspective are stated as follow
1) To understand advertising for businesses.
2) To understand and explore different available mediums of advertising for
businesses.
3) To understand the primary objectives and needs for advertising of various
businesses (w.r.t. select industries).
4) To understand the Suitability of various Advertising mediums for different Product
and industry levels.
5) To correlate the effectiveness of various advertisements with the choice of
medium used.
35

36. Besides the above objectives, the second part of the research involved on getting
acquainted with the consumer behavior with respect to various mediums of advertising.
The objectives are stated as follow:
1) Attitude of people to advertising on various mediums in northern region of India.
2) To understand which respective segment of people is affected more by which
medium of marketing.
4.3 Research Methodology
Research methods are used to provide a systematic approach to research and helps in
ordering the data collected in order to be to analyze it and conclude whether it answered
a particular question or not. There are basically, two types of researches, Primary
research and secondary research. We have used both the researches in our study. Our
primary research supports the knowledge and curiosity behind our secondary research.
A) Secondary Research: Secondary research was needed in the study, so as to
understand all the previous researches, studies, and derivation in the above field
of media comparisons for advertising. In our secondary research, we studied
various research papers of multiple authors and publications to get the larger
picture of the situation. Our secondary research is cited in various places in the
research paper. The basic purpose of the secondary research is to back up the
actions behind the primary research with the knowledge.
B) Primary Research: Primary research was carried out using various research
tools. Primary research carried various interviews, and questionnaires. It was
basically taken from two perspectives, One was the company perspective and
the other was the consumer perspective.
4.4 Research Method: Company Perspective
36

37. The purpose of the research was to understand the advertising needs of different
companies like what are there expectations from advertising, do they understand the
importance of selecting the right medium for advertising etc. So that after advertising
needs of the businesses are known, on the basis of our secondary research and the
primary research with consumers, the suitability of advertising medium could be
analyzed with respective need of the company. As in, Every business is at a different
phase of growth from start up to growth to maturity and thus be having different
advertising needs like ROI or image building etc.To understand which respective need is
met by which particular medium of advertising
4.4.1 Sample Frame
The diverse set of 8 to 10 companies was interviewed from different industrial sector for
the said research. Companies from different phases of growth from start-up to growing
to mature organisations were interviewed for the research. Companies having diverse
business needs from sales, ROI, relationship building, brand building, Information
Providing etc so as to get the clear picture as to what are the needs of the diverse set of
organisations.
4.4.2 Method of Research
There are generally two types of research methods, quantitative and qualitative. These
methods can be used together or separately, one should choose the method most
appropriate to the purpose of the thesis (Cantzler, 1992). The two approaches mainly
differ in how to collect and analyze data. Quantitative method is focusing on statistical
instruments and how to prove relations between different variables Furthermore, it is
characterized by a large sample which is examined via forms, statistical methods and
analysis of the data. An advantage of quantitative research is the high degree of
objectivity and due to the large scope of observations it is possible to make
generalizations. Qualitative method on the other hand, means research that generates
descriptive data (Taylor & Bogdan, 1984). It is said that the qualitative method reflects
upon something and that the data collection in this method is focusing on so called “soft”
data. The purpose of the thesis is to get industry opinions and analyze them, Thus
Quantitative method was used.
37

38. Following Research methods were used
• Questionnaires: The questionnaire was very important aspect of research work.
The questionnaire was constructed for the industry and company people, to get
their opinions, which could further be analyzed and could help further in findings
The type of questions used in the questionnaire were
- Demographic Question
- Multiple choice question with single choice
- Multiple choice question with multiple choice
- Single text box open ended questionnaire
• Interviews: Interviews are chosen to gather information, a good way for us to get
informed about the current situation. The interview help collecting data leading to
solve the purpose of the research In order to obtain a thorough understanding of
the organizations perspective of advertising in different medium, the authors
decided to interview one of the co-founders of the company. It is not simple to
define a qualitative research, as stated by Lekvall and Wahlbin (2001). A
qualitative approach should be focusing on relatively small samples and the
interviews should be low structured and be analyzed with verbal reasoning.
4.4.3 Research methodology
The questions to be asked from the industry people were keenly designed keeping in
mind all the possible situations and probability. These are stated as follow:
• To understand, whether the industry people actually realize the need of
advertising in their business. Whether it exists or no.
• To understand, how do they see advertising as a function of business. Whether it
is long term, image building or short term, profit driven.
38

39. • To understand, which phase of growth businesses are in like start up, growth,
maturity etc. So as to further correlate it with various other generalizations
• To understand, how much target specific businesses are in their approach
towards advertising.
• What medium of advertising is employed by the business according to their
needs and expectations? How apt that medium is in meeting the needs of the
business.
• How do they think, the required medium is helping businesses achieve their
target set of customers and are they satisfied with their current choice of medium.
• Who prompts them to a particular medium of advertising? Whether it is a higher
management decision or marketing department decided or it was some outside
agency.
4.5 Research Method: Consumer Perspective
The research with consumers was extremely important for this study. The relevance of
audience criteria to media comparisons hinges on the assumption that media
effectiveness is a function of the extent to which audiences possess characteristics
predictive of the future purchase of advertised items. Which further has various aspects
to it like likeliness towards a particular medium of entertainment, what builds more trust
inside a consumer, or what is most action focused etc. Thus a research was carried out
to study the behavioral aspects of consumers in context of their responses to various
medium of advertising.
4.5.1 Method of Research
The method used for the research was Questionnaires. For the purpose of said
research, three different questionnaires were designed having different objectives each.
The questions used in the questionnaire were
• Demographic Questions
39

40. • Multiple choice questions with one answer
• Multiple choice question with multiple answeres
• Rating scales
• Open ended, single textbox questions
4.5.2 Sample Frame:
The Sample frame for each questionnaire was 30. While getting the questionnaire filled,
keen interest was laid on maintaining the variability in the demographics of the
population, so as to get diverse opinion on the topic.
4.5.3 Research Methodology:
The research methodology for all the three questionnaires is stated as below:
Questionnaire 1:
The purpose of questionnaire 1 was to first understand which medium of entertainment
is most used by the people so as to get the information about, where the large chunk of
people could be located.
Secondly to get the direct consumer opinion on the choice of the following mediums of
advertising:
• Television
• Newspaper and Magazine
• Outdoor Advertising
• Radio
• Direct mail advertising
• Internet advertising
The consumer’s opinion on the above said, mediums of advertising were analyzed on
following factors:
• Enjoyment and Entertainment
40

41. • Informational
• Action
• Trust
• Attitude
• Irritability
•
Questionnaire 2:
The said Questionnaire was used to get people’s opinions on different aspects of
advertising in different mediums, a little more in detail than the previous questionnaire.
Grilling them more on their opinions on the different mediums.
Questionnaire 3:
The aim of questionnaire 3 was to get the opinions of people on television as the
medium of advertising and the brand , That gets an edge over others on adverting on
television. As television is still the mass media of advertising in India.
Chapter 5 Analysis and Interpretations
41

42. 5.1 Consumer Research Analysis
Consumer research analysis carries the analysis of all the research done upon
consumers, to get their opinions and map their behaviours with respect to advertising
and the different medium of advertisins. Every question asked had a purpose in mind,
which will be expleined in the analysis part with the results
5.1.1 Questionnaire 1 : Behavioural testing of consumers on different
Advertising Mediums
Televesion was the most viewed medium of entertainment for people, according to
them, followed by radio, newspaper, magazine and travelling.
In this survey, The study was conducted on all the following Advertising mediums:
• Television
• Newspaper
• Outdoor
• Radio
• Direct Mail
• Internet
In the study, the consumers were asked to rank these mediums on following factors on a
5 point likert scale
• Entertaining
• Informational
• Reference to purchase and Trustworthy
• Most Irritating.
The results of the people are shown and discussed as follows
A. Television Advertising
42

43. Strongly Agree Neither Disagree Strongly Rating
Agree agree nor Disagree Average
disagree
Entertaining 30% 30% 20% 10% 10% 2.40
Informational 5% 55% 20% 20% 0% 2.55
Reference to 0% 10% 45% 40% 5% 3.40
Purchase
and
Trustworthy
Irritating 10% 30% 35% 25% 0% 2.75
Interpretations:
• According to people, as rating average of entertaining in television
advertising is minimum i.e. 2.40. Thus people find television to be most
entertaining from amongst everything
• Secondly, People find television advertising to be informational, i.e. they
get their information from television because it has got rating average of
2.55.
• After entertaining and informational, Television advertising was found to
be Irritational because it got the rating avg of 2.75.
• Lastly fourth rank was given to Advertising as a refernce to purchase.
The above opinion shown says, People may found Television advertising to be
entertaining or informational. But they still don`t consider it as an reference to purchase.
Thus, From above opinions, It could be said that Television advertising should be kept
by the company in its marketing campaign to keep the people interested in the brand not
to make people purchase any product
As in the Polling of most favoured medium of entertainment, television tops the charts.
Thus, both research says Company should advetise in television to create a good brand
image, but should not expect much sales from it.
B. Newspaper and Magazine
43

44. Strongly Agree Neither Disagree Strongly Rating
Agree agree nor Disagree Average
disagree
Entertaining 20% 35% 30% 15% 0 2.40
Informational 20% 50% 25% 5% 0 2.15
Reference to 10% 35% 25% 25% 5 2.80
Purchase
and
Trustworthy
Irritating 0% 10% 45% 45% 0 3.35
Interpretations:
• People found Newspaper and magazine advertising as the most informational
advertising, as the rating average for it is lowest that is 2.15
• Followed by informational, Newspaper advertising was found to be entertaing
by the people followed by the rating of 2.40
• After informational and entertaining, Newspaper and magazine advertising
was also found to be a rference to purchase and trustworthy.
• People found newspaper and magazine adeverting to be least irritating.
Newspaper and magazine advertising have perfect composition of all the components. It
is least irritating, as consumer will only be seeing it, if he wants to. It is even found to be
most informational medium and complete information further generates trust amongst
the minds of consumers.
Thus, Newspaper and magazine advertising should never be left from the comapny`s
advertising campaign as it is found to be a reference to purchase and a trustworthy
medium.
C. Outdoor Advertising
Strongly Agree Neither Disagree Strongly Rating
Agree agree nor Disagree Average
44

45. disagree
Entertaining 21.1% 63.2% 15.8% 0% 0% 1.95
Informational 5.3% 42.1% 26.3% 26.3% 0% 2.74
Reference to 0% 31.6% 31.6% 31.6% 5.3% 3.11
Purchase
and
Trustworthy
Irritating 0% 5.3% 47.4% 47.4% 0% 3.42
Interpretations:
• Outdoor Advertising was found to be the most entertaining by the people from
amongst all other characterstics, as it got the least rating average i.e. 1.95
• There after, with the rating average of 2.74, outdoor advertising was also
found to be informational after entertaining
• After entertainng and informational, people ranked outdoor advertising as a
refernce to purchase and trustworthy, Take the example of outdoor ads of
various TV serials, it motivates the trials amongst the users.
• Outdoor advertising, as like newspaper and magazine advertising was found
to be least irritating.
Thus outdoor advertising can be used for initiating first time trials among the users.
D. Radio
Strongly Agree Neither Disagree Strongly Rating
Agree agree nor Disagree Average
disagree
Entertaining 10% 35% 15% 20% 20% 3.05
Informational 5% 35% 25% 15% 20% 3.10
45

46. Reference to 0% 10% 50% 25% 15% 3.45
Purchase
and
Trustworthy
Irritating 5% 10% 45% 25% 15% 3.35
Interpretations:
• Radio advertisements from amongst all the characterstics, was found to be
more entertaing with the rating average of 3.05. But if the rating average of
entertainig in radio advertisements is compared with all other medium, It is
highest. That shows Radio is found least entertaing, if compared to any other
medium.
• Follwed by entrtaining, Radio ads was found to be informational
• Reference to Purchase came third in consumer opinion with the rating
average of 3.45
• Lastly came irritating with the average of 3.35
Radio Ads has the highest rating average from amongst all other mediums.That
shows the least popularity of radio ads from amongst alll other mediums. People
like listening to the radio ads the least.
E. Direct Mail Advertising
Strongly Agree Neither Disagree Strongly Rating
Agree agree nor Disagree Average
disagree
Entertaining 25% 10% 30% 25% 10% 2.85
46

47. Informational 15% 30% 25% 25% 5% 2.75
Reference to 5% 10% 40% 35% 10% 3.35
Purchase
and
Trustworthy
Irritating 20% 15% 35 20% 10% 2.85
Interpretations:
• Direct mail advertising from amongst all the characterstics was found to be
most informational with rating avarage of 2.75. Direct advertising is
informational as the prime purpose of iit is to provide informationa and build
relations.
• Followed, by informational, people found it entertaing with the rating average
of 2.85
• People also find it less irritating, with the rating avarage of 3.85. As this is the
only medium of advertising, accessing which is completely in your hands.
F. Internet Advertising
Strongly Agree Neither Disagree Strongly Rating
Agree agree nor Disagree Average
disagree
Entertaining 15% 25% 40% 20% 0% 2.65
Informational 15% 60% 15% 10% 0% 2.20
47

48. Reference to 10% 20% 40% 20% 0% 2.80
Purchase
and
Trustworthy
Irritating 5% 25% 50% 25% 5% 3.00
Interpretations:
From amongst all the characterstics, Internet advertising was found to be most
informational, with rating average of 2.20. Followed by entertaining, It was found to be
informational with the rating average of 2.65. Thereafter as a reference to purchase and
tustworthy with the rating average of 2.80. Lastly it was found to be irritational with the
rating average of 3.00.
Summary of Questionnaire 1:
Combined rating average scale for all mediums
Television Newspaper Outdoor Radio Direct Mail Internet
Advertising and Advertising Advertising Advertising Advertising
Magazine
48

49. Adevertising
Entertaining 2.40 2.40 1.95 3.05 2.85 2.65
Informational 2.55 2.15 2.74 3.10 2.75 2.20
Reference to 3.40 2.80 3.11 3.45 3.35 2.80
Purchase and
Trustworthy
Irritating 2.75 3.35 3.42 3.35 2.85 3.00
Interpretations:
1) The list of all the mediums is given, compared to be as most entertaining to
least entertaining as surveyed according to the research
Outdoor Advertising 1.95 ------ Most
Entertaining
Television Advertising 2.40
Newspaper and magazine 2.40
Advertisng
Internet Advertising 2.65
Direct Mail Advertising 2.85
Radio Advertising 3.05 ------- Least
Entertaining
2) The list of all the mediums is given, compared to be as most informational to
least informational as surveyed according to the research
Newspaper and magazine ------Most Informational
Advertisng 2.15
Internet Advertising 2.20
Television 2.55
2.74
49

50. Outdoor Advertising
Direct mail advertising 2.75
Radio Advertising 3.10 ------- Least Entertaining
3) The list of all the mediums is given, compared to be as most trustworthy to
least trustworthy as surveyed according to the research
Newspaper and Magazine 2.80 ------ Most Trustworthy
advertising
Internet Advertising 2.80
Outdoor Advertising 3.11
Direct mail Advertising 3.35
3.40
TV Advertising
Radio Advertising 3.45 ----- Least Trustworthy
4) The list of all the mediums is given, compared to be as most irritating to least
irritating as surveyed according to the research
Television Advertising 2.75 ------Most Irritating
Direct mail Advertising 2.85
Internet Advertising 3.00
Newspaper and magazine 3.35
advertising
3.35
Radio Advertising
Outdoor Advertising 3.42 ------ Least Irritating
5.1.2 Questionnaire 2 : Behavioural testing of consumers on different
Advertising Mediums -2
50

51. The purpose of this Questionnaire was to further understand consumer behaviour with
regard to different advertising medium after understanding it through questionnaire 1.
Question 1 How frequently you are in your news paper or magazine reading
habits?
Public Opinion
80
70
60
50
40
30
20
10
0
Read more than 2 Read 2 Read single Don`t read
newspapers and newspapers and newspapers and newspapers and
many magazines some magazines few magazines magazines
Newspaperand Magazines Reading Habbits
Public Opinion
Interpretations:
The above question was asked to understand the newspaper and magazine reading
habbits of people. So as to see, How much people are accessible towards, newspaper
as a medium of entertainment
• Very few people read more than 2 newspapers a day
• Where as 20% plus people read 3 newspapers and some magazines in a day.
• Larger chunk of people i.e. near to 70% people read single newspapers and few
magazines in a day
• Wheress there are still people who never read magazines and newspapers and
that number is less than 10 % Opinion
Public
70
60
Question 2 Did advertisements in newspaper and magazine, grab your
50
attentions?
40
Public Opinion
30
20
10
0
Yes, Pay Sometimes, If Rarely Never
keen attention they are
catchy
51
How sucessful are newspaper and magazine in catching
attention on Ads

52. Interpretations:
After understanding the reading habbits of newspapers and magazines by the people
and understanding how much people are accessible to a particular advertising medium.
It was understood that, wheteher these advertisements grab the attention of people or
not.
According to the reasearch,
• Near to 25% of people said yes, newspaper advertising grab their attention.
• And 60 % of people said, Sometimes newspaper avertising grab their attention, if
they are too catchy. Thus major part of people were on the positive side of
newspaper grabbing their attentions
• And very few people said that, newspaper advertising rarely or never grab their
attention. That is, the number was near to 15%.
Thus, On a positive note most of the newspaper advertising grab people`s attention.
Besides Newspaper advertising being informational and entertaining according to
the previous research.
Hence, Newspaper stands a fair chance in people`s eyes. For it being taking
people`s attention and also being an informational and entertaining medium of
advertising.
Question 3 According to you, Had your purchase decision ever depended on
the Ads you saw in the newspapers or magazines?
52

53. Public Opinion
80
70
60
50
40 Public Opinion
30
20
10
0
Yes, Always Sometimes, If Rarely Never
they are
catchy
Had your purchase decision ever depended on Ads seen in
newspaper or magazines
Interpretations:
After studying the accessibility and attention grabbing of newspapers, it was studied that
whether all this leads to purchase or not. That is whether the people’s purchase decision
depends on the add they see in newspaper or not.
The result is still on the positive sides as more than 80% of people says that Yes and
sometimes their purchase decision depends on the Ads being seen by them in television
and newspaper magazines
Question 4 How frequently you listen to Radio in a day?
Public Opinion
80
70
60
50
40 Public Opinion
30
20
10
0
Whole day Sometimes Rarely in a Never
in a day day
How frequently you listen radio in a day
53

54. Interpretations:
The above question was asked to see, how frequently does a person listens to radio in a
day. So as to see, How much are they accessible to radio advertisements in a day.
Before judging what impact they leave on people, it was to be seen How much people
are into it.
The research shows,
• Very few people listen to Radio the whole day.
• But major part of people i.e. 90% listens to radio, sometimes in a day or rarely in
a day. But the best part is that people listen to it at some point of the day, which
shows, they are accessible to radio in a day.
• Very few people said, they never listen to radio in a day i.e. Less than 10 %.
Thus majority of people listen to radio at some point of the day and are accessible to
radio advertisements.
Question 5 Which of the following motives in Radio Advertisements generate
most trust in your minds and leads to actions?
35
30
25
20
15
10
5
0
Ads providing Entertaning Promotional Ads having
informations Ads Ads schemes and
offers
Which of the following motives in Radio Advertisements generates most trust
in your minds and leads to actions?
Public Opinion
54