2. Submitted to:
Dr. Sandhir Sharma
Section - A
3. Introduction to
Form of communication
Encourage or persuade an audience
(viewers, readers or listeners) to continue or take
some new action
Drive consumer behavior with respect to a
Paid by sponsors
Viewed via various traditional media, including mass
media such as newspaper ,
magazines, television commercial, radio
advertisement, outdoor advertising or direct mail;
or new media such as websites and text messages.
4. Evolution of advertisement
Advertising starts with the hawkers right from the days when
cities and markets first began
The first newspapers published in India in the 19th Century
also carried advertising.
The first advertising agency was established in 1905 B.
Datram and Company
The India-Advertising Company commenced in 1907
Advertising expenditure in the 1950s was estimated at $US
58% growth in the number of registered agencies from 106 in
1969 to 168 in 1979, and this included a growth in Indian
The first advertising appeared on state television in 1976.
1990-Marks the beginning of new medium Internet
1991- First India-targeted satellite channel, Zee TV starts
- India's only advertising school, MICA (Mudra Institute of
Communications Ahmadabad), was born
- Tara on Zee TV becomes India's first female-centric soap
1995- Advertising Club of Bombay calls its awards as Abby
- Media boom with the growth of cable and satellite; print
medium sees an increase in titles, especially in specialized areas
- Government turns towards professional advertising in the
private sector for its VDIS campaigns in 1997
- Advertising on the Internet gains popularity
- Equitor Consulting becomes the only independent
brand consultancy company in the country
- Several exercises in changing corporate identity
- Army resorts to the services of private sector
- Mudra launches magindia.com - India's first
advertising and marketing Gallery
- Game shows like Kaun Banega Crorepati become
a rage; media buying industry is bullish on KBC
- Kyunki Saas Bhi Kabhi Bahu Thi marks the return
of family oriented soap on TV
7. Purpose of advertisement
Make the sale
Involve the consumer
Touch the heart
Hold appeal for the target
Linger in the mind
8. Types of advertisement
Television advertising / Music in
Mobile billboard advertising
9. Market size of Advertisement
In 2011, the total pie of the Indian advertising
industry stood at Rs 25,594 crore
Recorded a growth of 8 per cent in 2011
Earlier projection was 17 per cent
As per the Pitch Madison Media Ad Outlook, the
growth projections for the ad industry for 2012
remained a cautious 8-9 per cent, with a total ad
pie of Rs 28,013 crore.
In 2010, spending on advertising was estimated
at more than $300 billion in the United States and
$500 billion worldwide
10. Major Indian players in
Ogilvy and Mather – Leading advertising company in India. This
company has offices across the globe. The objective of the company is
to build brands. The headquarter of the company is in New York.
J Walter Thompson India- Their objective is to make advertising a
part of the life of the consumers. This is also world’s best advertising
brand with about 200 offices in 90 countries.
Mudra Communication Pvt. Ltd- This advertising organization was
founded in the year 1980 at Mumbai. Recently the Ad company declared
the addition of public relations, rural marketing, events etc.
FCB-Ulka Advertising Ltd- This advertising company ranks third and
tenth in the world having about 188 offices in 102 countries. Their aim
is to reflect the needs of the brand and not the personality of the brand.
Rediffusion-DY&R- Made a benchmark in the field of creativity. This
advertising agency offers a wide array of integrated pr services for
external and internal communications. The primary strength of the
company lies in the media relations.
McCann-Erickson India Ltd- They define work in relation to the impact that
advertising has on the lives of masses. The testimony of the company in which
it firmly believes is the campaign of Coca -cola-’Thanda Matlab Coca Cola’.
RK Swamy/BBDO Advertising Ltd- Established in 1973,this advertising
reached great heights. This is also India’s No.1 research company in the market
sector and is fully run by Indians. Brand Equity is an integral part of the
Grey Worldwide (I) Pvt. Ltd- Primarily based in Mumbai and has offices in
Kolkata, Ahmedabad, Bangalore and New Delhi. It is a subsidiary of Grey
Worldwide. The company specializes in advertising and marketing services.
Leo Burnett India Pvt. Ltd- Has a significant presence with 96 offices in 10
countries. It was awarded the ‘Worldwide Agency of the Year’ in 2004. They
are proficient in explain in how a single image is worth thousand words and
can break the barriers of language but not at the cost of the ad’s emotional
Contract Advertising India Ltd- It is one-to-one customer life-cycle
management advertising agency. It was founded in 1992 and is situated in
Mumbai. It offers a wide range of services like online marketing and strategy
and many others.
12. MAJOR CHALLENGES OF
Falling audience of channels and broadcasters
Ingress of internet slowly but surely (online sales have
several limitations though like credibility, tangibility and goods
return and refund)
Problems of Zipping and Zapping
Emergence of Direct Marketing networks led by companies
like Amway,Eureka Forbes, Tupperware and so on. The list
is growing fast. It is proving better and more effective and
cheaper too in some cases.
Advertisement cluttering .
Rising costs of advertising both in electronic and
print media despite reduced number of exposures
Intense competition between brands and product
Re arrangement of Indian Madison Avenue
by mergers and take overs by foreign ad
Need for global advertising strategies thus
changing criteria for agency selection.
Little margins for advertising clients and limited
role of advertising in building brands
14. Global players
Following is the list of notable advertisement
Cordiant Communications Group
Ogilvy and Mather
15. Impact of global crisis
Bad impact on business, operating results, or
Decreased spending by current or potential
Delay in payments by customers for previously
purchased products and services.
Increased bad debt reserve
Fewer clicks on advertisers’ ads displayed on our
web sites and our Google Network members’ web
If the banking system or the financial markets
continue to deteriorate or remain volatile, investment
portfolio may be impacted and the values and liquidity
of investments could be adversely affected.
16. Latest trends in Advertising
Paid Search Rules:
Google ruled the past decade with paid search advertising. There
is no better, more effective form of advertising on the Internet.
Organic Search Gains Momentum:
Marketers started to understand the importance of organic
search. Almost 90% of the entire Web’s search traffic flows
through organic search3.
Display Advertising and Vertical Ad Networks: The past
decade spotted the rise of vertical ad networks like Glam
Media, Federated, HotChalk, Travel Ad Network, and others that
focus on specific verticals.
Social Media Advertising:
Social networks, especially the big ones like Facebook, Twitter
and LinkedIn become important tool.
Consumers are spending inordinate amounts of time online
Advertising Apps and Games:
Apps have taken over the mobile web, and is even coming on
to PCs, advertising apps and games are a natural progression
Television infomercials are an effective way to market
products. But the Internet offers significantly more cost-
effective and targeted ways to market using the same concept
YouTube videos are famous for video advertisement is a
powerful tool. This decade, there will be a huge amount of
creativity deployed on this art form.
18. Profile of Top Executives
Miles Young MA (OXON)
Chairman and CEO of Ogilvy And Mather . He served as
Managing Director of Ogilvy & Mather Direct in London, Regional
Director of O&M Direct Europe , running the IBM account in
Europe , Chairman of Asia Pacific at Ogilvy & Mather Worldwide
, Director of Ogilvy & Mather Worldwide. He served as a Non-
Executive Director of STW. . Mr.Young was educated at Bedford
School and at New College, Oxford, he took a first class degree
in Modern History.
CEO of JWT . He describes himself as someone who ''loves
challenges.'' He was hired in March by Chris Jones, chief
executive at Thompson, from Lowe & Partners/ SMS and he had
been executive vice president and managing director of the San
Francisco office. He is praised for his skills in the care and feeding
of large clients as well as his ability to stoke the fires of new
19. Madhukar Kamath
CEO and Managing Director, Mudra Communications
Pvt. Ltd. He serves as CEO and managing Director of
Bates India Private Ltd.
CEO and President of Draftcb.He served as the Chief
Operating Officer of Draftfcb Inc., an affiliate of Interpublic
Group of Companies Inc. from January 2006 to February
2009 also he served as the President of Draftcb in New
York since 2002. FROMIona He did BA from Lona
College and MBA from Hagan School of Business.
Group Chief Executive Officer, Rediffusion Y&R Ltd. He
served as President of Rediffusion DY&R since
September 21, 2006. He served as President of Everest
Brand Solutions. Mr. Chauhan takes over at Rediffusion
after completing a three-year stint with Everest Brand
Advertising is a big business in this era in India.
Indian Advertising industry has witnessed a
prominent globalization . With the inception of
various divisions , the advertising industry has
undergone a sea change. Indian consumer's
deepening pocket and blooming markets for ad-
spends have touched new heights in India. The
Indian Advertising Companies are creating stories
and brand experiences in a way that engages and