Download Document

It has originated from Latin word ‘adver’
which means ‘to turn the mind toward’.
 Dictionary meaning of the term is ‘to give
public notice or to announce publicity’.
 In general, Advertisement is a medium of
impersonal sales efforts.
 It is a technique of popularising one’s
product or services.

“Any paid form of non-personal
presentation or promotion of ideas ,
goods or services, by an identified
sponsor.’’
American Marketing Association
 “Advertising is mass communication of
information intended to persuade buyers
so as to maximise profits.”
Littlefield and Krikpatrick

1. PAID FORM OF COMMUNICATION –
-- Advertiser pays the amount to newspaper,
magazines, televisions, radio etc., to purchase
the space or time to communicate with the
prospective customers.
2. NON – PERSONAL PRESENTATION OF MESSAGE –
-- Does not come face to face.
-- it is read, seen or listened by the customers.
3. PROMOTION OF PRODUCT –
-- The purpose of the product is to
promote the product or services in order to
increase the sales of product or service.
4. SPONSORED BY IDENTIFIED PERSON –
-- These are sponsored by identified
persons. It should disclose or identify the
sources of opinions and ideas it presents.
1. PROMOTION OF SALES --
Advertising is undertaken to create
demand for new and existing
products and services.
 It informs people about the new
products and persuading them to go
for particular products.
 An effective advertising will help in
attracting more and more customers.

2. EDUCATE PUBLIC ABOUT PRODUCT –
Advertisement not only promote
products but they also educate
public about their proper use.
 Products may sometimes be put to
some alternative uses or some
additional uses .
 This is brought to the notice of public
and it may fetch more customers.

3. INTRODUCTION OF NEW PRODUCT --
Whenever a new product is
introduced in the market, it must be
brought to the notice of the public
through advertisements.
 A new product cannot make an
impact in the minds of the customers
without the help of advertising.
 Advertisements are helpful in quick
publicity of products.

4. OVERCOME COMPETITION –
Every product is facing not only national
but also international competition.
 In order to survive in competition, the
good features of the product should be
brought to the notice of the public.
 So advertisements will help in
overcoming competition from other
products.

5. MASS PRODUCTION –
Large scale production will be possible only
if there is a market for the products .
 Product market can be possible if the
product is widely advertised.
 Mass production will help in reducing
production through economies in various
expenses.
 So advertising is required if production is to
be increased.

6. RESEARCH AND DEVELOPMENT –
 Advertising stimulates research and
development activities.
 In the prevailing competitive environment
every producer has to differentiate its
products from alternative/substitute
products available in the market.
 This will be possible only if regular research
is undertaken on the product and
attracting more customers for the same.

ADVANTAGES TO MANUFACTURERS –
1. Create demand for new product.
2. Increases the sales and profits.
3. Creates goodwill.
4. Creates steady demand.
5. Facilitates quick turnover of goods.
6. Reduces cost of production.
7. Reduces cost of distribution.
8. Increases labour productivity.

ADVANTAGES TO CONSUMERS –
1. Increase personal satisfaction.
2. Better standard of living.
3. It helps in reducing the prices.
4. Increases the utility of commodities.
5. Saves consumer’s time.
6. Ensures good quality of product.
7. Consumer cannot be cheated.
8. Prompts the consumer to work hard
and

ADVANTAGES TO SALESMEN –
1. Creates proper base for the
salesmen.
2. Educates salesmen and increase
their confidence, capacity and
initiatives.
3. Simplifies work.
4. Reduces the efforts.
5. Increases the remuneration.

ADVANTAGES TO THE SOCIETY –
1. Uplifts the standard of living.
2. generates gainful employment
opportunities.
3. provides new horizons of knowledge.
4. provides a regular source of income to
newspapers.
5. transforms culture of a nation.
6. act as a barometer of a nation’s
economic growth.
1.
2.
INCREASES THE PRICE OF THE PRODUCT OR
SERVICES –
- As advertisement cost is included in
product cost.
- it has been said that, “every
advertisement is a nail in the customer’s
coffin”.
IT MISLEADS PEOPLE AND ACT AS AN
INSTRUMENT OF CHEATING –
-Sometimes conceals the facts to induce
the buyer to buy inferior products.
3. IT CREATES AND BREEDS MONOPLIES –
- It creates brand preference which
makes customers sheer slaves of such
brands, resulting in creation of
monopolies.
- It enables manufacturer to exploit
customers.
- Becomes difficult for new firms to sell
their product which kills the competition.
4. SHEER WASTE OF RESOURCES –
- Wastage of resources as most of the
advertisements are ignored.
- Does not create new demands but only
shifts demand from one product to another.
- half used and old articles are often
rejected.
5. PRODUCE A SOCIETY OF GREEDY, SELF
CENTERD PEOPLE –
- People forgot moral and social values.
5. IT MULTIPLIES THE NEEDS OF THE PEOPLE,
ENCOURAGES EXTRAVAGANCE AND
CREATES DISSATISFACTION –
- Creates dissatisfaction and frustration.
- people may not hesitate to fulfill their
demands through corrupt practices.
6. IT ENCOURAGES VULGARITY, CUPIDITY,
INDECENCY AND BASD TASTE –
- Advertisements are full of sex appeal,
vulgarity and stupidity which exploits the
emotions of people.
The term media refers to the means
through which the advertising
information is communicated by the
advertiser to the prospective
customers.
 It may be classified under two
categories
-- Direct advertising
-- Indirect advertising

Direct advertising –
-- It aims at reaching directly the known
prospects and is done through direct
mail advertising.
 Indirect advertising –
-- Under this public is indirectly
approached through a well chosen
media such as films, television, radio etc.

1. PRESS MEDIA –
It refers to the publication of the
advertisement in newspapers, magazines,
and journals. a large number of national,
local and state newspapers; magazines
are there in which these kind of
advertisements appear as it is most
economical, effective and elastic method
of enlightening people
(a) NEWSPAPER –
It is the best medium for those who
desire to reach general public quickly
and at short interval. Newspapers
have a wide circulation and are very
effective. They are said to be the
backbone of all advertising program.
(b) MAGAZINES AND JOURNALS –
-- These are the periodicals published
weekly, fortnightly, monthly, quarterly or
yearly to be read in leisure hours.
-- These are of various types like ordinary
magazines which are read by all classes
and special magazine such as women
magazine and children magazine.
-- Journals are devoted to various subjects
such as commerce, management etc…
2. OUTDOOR MEDIA –
-- It refers to the display of advertisement in
open places wherefrom people
generally pass through such as railway
stations, bus stands etc... The appeal of
this advertisement takes a mass form as
many people move out of doors every
week.
-- it embraces the media like
 Posters
 Painted displays
 Electrical arrangements
 Traveling displays
 Sky-writing
 Sandwichmen
3. POSTAL OR DIRECT MAIL ADVERTISING–
 It is a way of transmitting information or
message direct to potential customers
through the medium of post.
 Such advertising reaches the public free
of cost for them and is generally read
indoor.
 The important direct mailing media are
card, sales letters, circulars, leaflets,
calendars, booklets, etc.
4. OTHER MEDIA –
(a) FILMS –
It is very popular and consist of a
wide range from ordinary slides to
short films and feature films produced
for specific purpose. One find such
advertisements before the film start or
in intervals.
(b) RADIO —
 It is the cheapest and most pervasive off all
mass communication.
 It is even effective in rural area.
 ADVANTAGES –
1. It is alive and quite dramatic.
2. It effects the mind and is more receptive.
3. It has human appeal.
4. It requires little effort on the part of listener.
5. It provides a variety of programmes that
can be hired as per the needs of advertiser.
 LIMITATIONS –
1. It is an expensive media of advertising.
2. It has a temporary effect.
3. It dos not provide pictorial presentation.
4. It is not suitable for all kinds of product.
5. Its message is brief and sometimes not
clear.
(c) TELEVISION –
 Latest and fastest.
 More effective than radio or other
methods.
 Enough scope of variety.
 It is catchy.
 Coverage is more.
 Provides pictorial presentation.
 It is very expensive.
(d) WINDOW DISPLAY –
 They are the face of the shop which constitute the
first impression of the establishment.
 they are used to attract person into the shop by
arousing their interest.
 ADVANTAGES –
1. Provides actual life-size presentation of
demonstration.
2. save the time of shopkeeper.
3. adds to the beauty of shop.
4. it appeals at the time of purchase and has
immediate effect.
(e) INTERIOR DISPLAY AND SHOWROOMS–
 Prospective consumers have the
opportunity of visiting the showrooms at
their leisure and have careful glance
over the item displayed.
 The success of the media depends upon
suitable locations and proper layout of
the showroom.
 This helps the customers to inspect and
buy the goods immediately.
(f) FARES AND EXHIBITIONS –
 These are become more popular not only
in cities but also in rural areas.
 These are held in a central places where
mass can reach easily.
 The sellers are given opportunity to display
the product and provide ready market.
 The customers study the various products
and have the knowledge of market.

NATURE OF PRODUCT—
- Product needed by all :- print,
telecast, outlook.
- Product which needs
demonstration:- television, cinema
screen.
- Industrial products:- print media.

NATURE OF MARKET –
- The market may be local or national.
- Local :- local cable, local regional
newspapers.
- National :- magazines, television and
cinemas.

CICULATION OF MEDIA –
- All India newspapers have wide
circulation so a advertisement for a
national market can be better suited in
news media.
- national market :- covered by
certain magazines.
- television can also be used for
advertising mass products.

TYPES OF AUDIENCE –
- If audience is illiterate :- radio,
television and cinema.
- If audience is educated :newspaper, magazines.
- advertisements in the language of
particular regions will be more
effective.

ADVERTISING OBJECTIVES –
- The objective will influence the type
of media to be used.
- If national market is to be covered :television will be useful.
- If regional markets needs to be
covered :- newspaper will be helpful.

AVAILABILITY OF FUND –
- The amounts of funds available will
influence the type of media used.
- Television is considered to be costly
but its impact may be better.
- Even in media , funds will influence
its category.

LIFE OF ADVERTISEMENT –
- The life of advertisement in
newspaper, television and radio is short.
- whereas the impact of outdoor
display, magazines or direct mail may be
longer.
-the advertiser should take into account
the duration for which he wants to create
a impact on consumers mind.

MEDIA USED BY COMPETITOR –
- An advertiser should carefully study
the moves of competitor.
- Media used by competitor should be
used if same type of products are to be
advertised so that the customer may be
distracted from the influence of earlier
advertisement.
Sales promotion refers to “those
marketing activities, other than
personal selling, advertising and
publicity, that stimulates consumer
purchasing and dealer effectiveness,
such as displays, shows and expositions,
demonstrations and various nonrecurrent selling efforts, not in the
ordinary routine.” -- L.W. Rodger

“All forms of sponsored communication
apart from activities associated with
personal selling. It, thus, includes trade
shows and exhibits, couponing and
sampling, premiums, trade allowances, sales
and dealer incentives, cent-off-packs,
consumer education and demonstration
activities, rebates, bonus packs, point of
purchase material and direct mail.”
Rodger A. Strong







To supplement and coordinate the efforts
of advertising and personal selling.
To stimulate customer to make purchases
at the point of purchase.
To introduce new products.
To attract new customers.
To prompt existing customers to buy more.
To meet competition.
To sell in off-seasons.






Identifying the audience to be reached.
Determining and creating the specific
advertising messages to be directed at the
audience.
Selecting the utmost effective and most
economical media to reach audience.
Scheduling the chosen media to provide
the best timing, frequency and impact.
Determining the budget.
Measuring the results.

CONSUMER PROMOTIONS :







Samples
Contests
Premiums or bonus offers
Money refund
Free gifts
Coupons
Demonstrations

TRADE OR DEALER PROMOTIONS :
Cash and trade discounts.
 Displays and advertising allowance.
 Premiums
 Bonus
 Count and recount allowance

Dealer’s contests
 Subsidised advertising
 Buy-back allowance
 Gifts and novelties
 Free goods


SALES FORCES PROMOTIONS :
Bonus
 Commission
 Sales-force contests
 Quota incentives
 Meetings, conventions and
conferences of salesmen
