Whats is Advertising Budget and how it is made and its process and techniques are explained in this presentation.

1. ADVERTISING
BUDGET

2. WHAT IS ADVERTISING BUDGET ?
 Advertising budget is a financial document that shows the
total amount to be spent on advertising and lists the way this
amount is to be allocated.
 It is a translation of an advertising plan into monetary units.
 It shows the plan of allocation of available funds to various
advertising activities.

3. WHY ADVERTISING BUDGET ?
Many companies are spending a lot of money on sales
promotion than on media advertising.
The budget allocation depends upon no of factors including-
• the campaign
• the market
• competitive situation, &
• the brand's stage in its lifecycle.

4. The purpose of Budgeting is to-
• Provide a forecast of revenues and expenditures.
• Enable the actual financial operation of the business to be
measured against the forecast.

5. • One of the most crucial decision
facing the marketing manager is
how much to spend on
promotional effort.

6. METHODS OF SETTING ADVERTISING
BUDGET
 Affordable method
 Percentage of sales method
 Competitive parity method
 Objective and task method

7. ADVERTISING BUDGETING PROCESS
 Setting advertising objectives
 Determining the task to be performed to achieve the
objectives.
 Preparing advertising budget.
 Approval of the top management.
 Allocation of advertising budget
 Monitor and control

8. WHAT ARE THE FACTORS INFLUENCING
ADVERTISEMENT BUDGET ?
 Frequency of the advertisement
 Competition and Clutter
 Market Share of the Product
 Product Life Cycle Stage

9. PRESENTED BY-
SUYASH
NIGAM