CERTIFICATION

This is to certify that the Project Report titled IMPACT OF ADVERTISING ON SALES submitted in partial fulfillment for the award of MBA Programme of Department of Business Management, AURORAS MANGEMENT AND RESEARCH INSTITUTE, Moosarambagh, Affiliated to Osmania University, Hyderabad, was carried out byS.CHALAPATHI RAJU (2122-10-672-045) under our guidance. This has not been submitted to any other University or Institution for the award of any degree/diploma/certificate.

Mr. G.N. SATHISH

Mr.G.N.SATHISH

Mr.Y.V.SUBRAMANYAM Internal Guide Head of the DepartmentDirector

DECLARATION

I hereby declare that this project titled IMPACT OF ADVERTISING ON SALES submitted by me to the department of business management, O.U, Hyd, is a bonafide work undertaken by me and it is not submitted to any other university or institute for the award of any degree/certificate or published any time.

PLACE: DATE:

(S.CHALAPATHI RAJU)

ACKNOWLEDGEMENT

With the deep sense of gratitude, I wish to acknowledge the support and help extended by all the people in successful completion this project work. I express my sincere gratitude to Mr. D.J.RAVI KUMAR, Sr. General Manager (operations) andMr. VIJAY BHASKER REDDY, Asst. General Manager(HR) for allowing me to take up this project and enlightened me in doing this project, I am also thankful to all the employees ofBig Bazaar, who was readily willing to help me out in the course of my project. I express my gratitude to our Director,Mr.Y.V.SUBRAMANYAMfor her consistent support and head of department Mr.SATHISH for the encouragement. I would like to express my sincere thanks to my internal guide,Mr.SATHISHfor her immense support during my project report, last but not the least, I would like to thank all the faculty members who have been a strong source of inspiration through out the project directly or indirectly.

(S.CHALAPATHI RAJU)

INTRODUCTION
Understanding and quantifying the benefits of advertising is a problem as old as advertising itself. The problem stems from the many purposes advertising serves: building awareness of products, creating brand equity and generating sales. Each of these objectives is not easily measured or related to the advertising that may have affected it.

First, there has been an explosion in media alternatives from the traditional standbys of television, radio and print into a broader spectrum of both offline and online options, with the Internet clearly being the most visible example of this change. The choices within each medium have also expanded in an attempt to reach more targeted audiences. Television, for example, has burgeoned from three primary networks to literally dozens of mainstream cable channels, all capable of reaching large audiences with brand messages or product promotions.

Hundreds of new magazines now serve many special interest groups, while Web advertising presses the edge of one-to-one marketing. In addition, more and more companies are using integrated, multimedia strategies to reach their desired audiences, layering broadcast advertising over direct response campaigns or combining online with offline campaigns. All of this is making it harder to separate out the individual influences of each advertising effort.

Second, most companies are no longer satisfied relying solely on traditional methods of measuring advertising's effectiveness, namely awareness surveys and tracking studies. They now want more precise and concrete evidence that their marketing investments are paying off. It is one thing to know how memorable an ad might be or how potential customers feel about a company or its products, but it is quite another to quantify the sales and profitability impact that advertising might produce. The difficulty is that measuring these effects may involve tracing advertising's stimulus through a behavioral chain of events that eventually may culminate in a sale long after the advertising has been delivered.

Third, companies today are in a more competitive and faster-paced environment than ever before, accelerating the need to understand the consequences of their marketing efforts. Marketers simply do not have the luxury any more to rest on their laurels or to assess how a set of campaigns performed

months after they have concluded. The marketplace is moving so rapidly in many cases that knowing what's working and what's not almost as fast as it is happening has great value.

For these reasons, marketers have begun to use new measurement tools to help them estimate the impacts of their advertising efforts. One such technique that is gaining in popularity is marketing mix modeling, which when used prudently can add new insight into how to maximize business results from a range of marketing investments.

An Approach to Evaluating Advertising Effectiveness While advertising may have several objectives, ultimately marketing and business executives want to know, "How has advertising contributed to sales and ultimately to the company's bottom line?" Since we can't ask consumers tell us what made them purchase a product, we have no choice but to make this assessment by other means.

The first thing to recognize is that advertising is only one of many marketing elements that affect sales. Other elements include pricing, promotional offers, product attributes, and reactions by competitors. In addition, external factors, such as macroeconomic trends and seasonality, are likely to affect response in the market. Consequently, the response to advertising can best be evaluated by techniques that allow researchers to account for the mix of marketing activities and other external factors.

Econometric modeling techniques, especially time series regression, provide a well-structured means of evaluating the impact of advertising on sales by isolating key explanatory variables and holding constant certain variables that may mask the effects of advertising. This is the technique used in marketing mix modeling, which has long been applied in the consumer package goods industry where the direct relationship of advertising to sales is weakest.

Under the right circumstances, we think marketing mix modeling is a useful way to assess the effectiveness of advertising, particularly when a company uses an integrated multimedia strategy. But we also recommend that marketing decision makers use additional information in deciding how much advertising to do and what the mix should be. In fact, the ideal way to manage marketing performance probably involves a combination of statistically robust modeling, traditional advertising tracking studies and other marketing analyses. Essentially, we believe that marketers are better

served by using as many tools as they can in tackling this complex issue.

Advertising Carryover and Wear-Out

Another important consideration in quantifying the effect of advertising is measuring its carry over effects or persistence. Advertising media deliver impressions at a point in time, but psychological measurements of stimulus retention show that advertising messages may linger in the consumer's mind over time. Thus, this relationship must be understood and accounted for.

What is clear from models we have done is that the effect of advertising persistence differs by media type. For example, the impact of broadcast TV may persist for months, while the impact of online advertising is likely to fade very quickly. For other advertising media, maximum durations are typically measured in weeks.

Thus, each type of advertising investment is likely to have different persistence, and models of advertising impacts need to recognize and specify these differences.

Continuous Measurement and Forecasting

While marketing mix modeling has its pluses and minuses, we think there are specific uses that are highly beneficial for marketing performance management, such as when it is used to understand advertising's effects on different consumer segments. Moreover, we think that, in order for it to have an substantive impact on a company's business, marketing mix modeling needs to be applied in a systematic and iterative process, where modeling accuracy improves and the insights become more granular as additional spending and response data are collected.

Marketing mix models also may be used beneficially to project the likely results of future marketing activities. This capability is a key component of marketing performance management because it helps the marketer understand what is likely to result from the money he is spending now or is about to spend - which is far more relevant than simply looking at past spending.

The models enable the marketer to forecast results across all media, as well as simulate outcomes based on a set of alternative advertising plans. An example of this is using marketing mix modeling to predict the volume of leads coming into a call center to assist staff planning, or likewise to predict the number of visitors to a Web site requesting information that will be fulfilled via direct mail.

Managing Marketing Performance historically, maximizing marketing performance has largely been an exercise in uncertain intuition and "gut feel" for marketers. Using marketing mix modeling can help marketers immensely, especially at a time when they are under mounting pressure to account for their actions and spending.

The benefits of assessing advertising effectiveness using marketing mix modeling will, no doubt, vary from business to business, depending on company size, the role of advertising, and other marketplace factors. However, our experience shows that this type of analysis can greatly enhance a marketer's ability to evaluate how well his investments are doing, enabling him to adjust the amounts invested in advertising or their mix allocation. For some, this will translate into multimillion-dollar benefits, which will certainly get the CMO's attention, not to mention the CFO's.

Advertising is a form of communication used to persuade an audience (viewers, readers or listeners) to take some action with respect to products, ideas, or services. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common. Advertising messages are usually paid for by sponsors and 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. Commercial advertisers often seek to generate increased consumption of their products or services through "Branding," which involves the repetition of an image or product name in an effort to associate certain qualities with the brand in the minds of consumers. Non-commercial advertisers who spend money to advertise items other than a consumer product or service include political parties, interest groups, religious organizations and governmental agencies, Nonprofit may rely on free modes of persuasion, such as a public service announcement (PSA). Modern advertising developed with the rise of mass production in the late 19th and early 20th centuries. In 2010, spending on advertising was estimated at more than $300 billion in the United States and $500 billion worldwide. Internationally, the largest ("big four") advertising conglomerates are Interpublic, Omnicom, Publicize, and WPP. Egyptians used papyrus to make sales messages and wall posters. Commercial messages and political campaign displays have been found in the ruins of Pompeii and ancient Arabia. Lost and found advertising on papyrus was common in Ancient Greece and Ancient Rome. Wall or rock painting for commercial advertising is another manifestation of an ancient advertising form, which is present to this day in many parts of Asia, Africa, and South America. The tradition of wall painting can be traced back to Indian rock art paintings that date back to 4000 BC.History tells us that Out-of-home advertising and billboards are the oldest forms of advertising. As the towns and cities of the Middle Ages began to grow, and the general populace was unable to read, signs that today would say cobbler, miller, tailor or blacksmith would use an image associated with their trade such as a boot, a suit, a hat, a clock, a diamond, a horse shoe, a candle or even a bag of flour. Fruits and vegetables were sold in the city square from the backs of carts and wagons and their proprietors used street callers (town criers) to announce their whereabouts for the convenience of the customers. As education became an apparent need and reading, as well as printing, developed advertising expanded to include handbills. In the 17th century advertisements started to appear in weekly newspapers in England. These early print advertisements were used mainly to promote books and newspapers, which became increasingly affordable with

advances in the printing press; and medicines, which were increasingly sought after as disease ravaged Europe. However, false advertising and so-called "quack" advertisements became a problem, which ushered in the regulation of advertising content. As the economy expanded during the 19th century, advertising grew alongside. In the United States, the success of this advertising format eventually led to the growth of mail-order advertising. In June 1836, French newspaper La Presse was the first to include paid advertising in its pages, allowing it to lower its price, extend its readership and increase its profitability and the formula was soon copied by all titles. Around 1840, Volney B. Palmer established the roots of the modern day advertising agency in Philadelphia. In 1842 Palmer bought large amounts of space in various newspapers at a discounted rate then resold the space at higher rates to advertisers. The actual ad - the copy, layout, and artwork - was still prepared by the company wishing to advertise; in effect, Palmer was a space broker. The situation changed in the late 19th century when the advertising agency of N.W. Ayer & Son was founded. Ayer and Son offered to plan, create, and execute complete advertising campaigns for its customers. By 1900 the advertising agency had become the focal point of creative planning, and advertising was firmly established as a profession. Around the same time, in France, Charles-Louis Havas extended the services of his news agency,Havas to include advertisement brokerage, making it the first French group to organize. At first, agencies were brokers for advertisement space in newspapers. N. W. Ayer & Son was the first full-service agency to assume responsibility for advertising content. N.W. Ayer opened in 1869, and was located in Philadelphia. At the turn of the century, there were few career choices for women in business; however, advertising was one of the few. Since women were responsible for most of the purchasing done in their household, advertisers and agencies recognized the value of women's insight during the creative process. In fact, the first American advertising to use a sexual sell was created by a woman for a soap product. Although tame by today's standards, the advertisement featured a couple with the message "The skin you love to touch".
Advertisements of hotels inPichilemu, Chilefrom 1935.

In the early 1920s, the first radio stations were established by radio equipment manufacturers and retailers who offered programs in order to sell more radios to consumers. As time passed, many non-profit organizations followed suit in setting up their own radio stations, and included: schools, clubs and civic groups. [5] When the practice of sponsoring programs was popularised, each individual radio program was usually sponsored by a single business in exchange for a brief mention of the business' name at the beginning and end of the sponsored shows. However, radio station owners soon realised they could earn more money by selling sponsorship rights in small time allocations to multiple businesses throughout their radio station's broadcasts, rather than selling the sponsorship rights to single businesses per show. This practice was carried over to commercial television in the late 1940s and early 1950s. A fierce battle was fought between those seeking to commercialize the radio and people who argued that the radio spectrum should be considered a

part of the commons to be used only non-commercially and for the public good. The United Kingdom pursued a public funding model for the BBC, originally a private company, the British Broadcasting Company, but incorporated as a public body by Royal Charter in 1927. In Canada, advocates like Graham Spry were likewise able to persuade the federal government to adopt a public funding model, creating the Canadian Broadcasting Corporation. However, in the United States, the capitalist model prevailed with the passage of the Communications which created the Federal Communications Commission (FCC). However, the U.S. Congress did require commercial broadcasting companies to operate in the "public interest, convenience, and necessity".[6] Public broadcasting now exists in the United States due to the 1967 Public Broadcasting Act which led to the Public Broadcasting Service (PBS) and National Public Radio (NPR). In the early 1950s, the DuMont Television Network began the modern practice of selling advertisement time to multiple sponsors. Previously, DuMont had trouble finding sponsors for many of their programs and compensated by selling smaller blocks of advertising time to several businesses. This eventually became the standard for the commercial television industry in the United States. However, it was still a common practice to have single sponsor shows, such as The United States Steel Hour. In some instances the sponsors exercised great control over the content of the showup to and including having one's advertising agency actually writing the show. The single sponsor model is much less prevalent now, a notable exception being the Hallmark Hall of Fame. The late 1980s and early 1990s saw the introduction of cable television and particularly MTV. Pioneering the concept of the music video, MTV ushered in a new type of advertising: the consumer tunes in for the advertising message, rather than it being a by-product or afterthought. As cable and television became increasingly prevalent, specialty channels emerged, including channels entirely devoted to advertising, such as QVC, Home Shopping Network, andShopTV Canada. With the advent of the ad server, marketing through the Internet opened new frontiers for advertisers and contributed to the "dot-com" boom of the 1990s. Entire corporations operated solely on advertising revenue, offering everything from coupons to free Internet access. At the turn of the 21st century, a number of websites including the search engine Google, started a change in online advertising by emphasizing contextually relevant, unobtrusive ads intended to help, rather than inundate, users. This has led to a plethora of similar efforts and an increasing trend of interactive advertising. The share of advertising spending relative to GDP has changed little across large changes in media. For example, in the US in 1925, the main advertising media were newspapers, magazines, signs on streetcars, and outdoor posters. Advertising spending as a share of GDP was about 2.9 percent. By 1998, television and radio had become major advertising media. Nonetheless, advertising spending as a share of GDP was slightly lowerabout 2.4 percent.

Resins for display advertising

Display ads generate awareness quickly. Unlike search, which requires someone to be aware of a need, display advertising can drive awareness of something new and without previous knowledge. Display works well for direct response. Display is not only used for generating awareness, its used for direct response campaigns that link to a landing page with a clear call to action.

Public service advertising

The advertising techniques used to promote commercial goods and services can be used to inform, educate and motivate the public about non-commercial issues, such as HIV/AIDS, political ideology, energy conservation and deforestation. Advertising, in its non-commercial guise, is a powerful educational tool capable of reaching and motivating large audiences. "Advertising justifies its existence when used in the public interestit is much too powerful a tool to use solely for commercial purposes." Attributed to Howard Gossage by David Ogilvy. Public service advertising, non-commercial advertising, public interest advertising, cause marketing, and social marketing are different terms for (or aspects of) the use of sophisticated advertising and marketing communications techniques (generally associated with commercial enterprise) on behalf of non-commercial, public interest issues and initiatives. In the United States, the granting of television and radio licenses by the FCC is contingent upon the station broadcasting a certain amount of public service advertising. To meet these requirements, many broadcast stations in America air the bulk of their requiredpublic service announcements during the late night or early morning when the smallest percentage of viewers are watching, leaving more day and prime time commercial slots available for high-paying advertisers. Public service advertising reached its height during World Wars I and II under the direction of more than one government. During WWII President Roosevelt commissioned the creation of The War Advertising Council (now known as the Ad Council) which is the nation's largest developer of PSA campaigns on behalf of government agencies and non-profit organizations, including the longest-running PSA campaign, Smokey Bear.

Marketing mix
The marketing mix has been the key concept to advertising. The marketing mix was suggested by professor E. Jerome McCarthy in the 1960s. The marketing mix consists of four basic elements called the four Ps. Product is the first P representing the actual product. Price represents the process of determining the value of a product. Place represents the variables of getting the product to the consumer like distribution channels, market coverage and movement organization.

The last P stands for Promotion which is the process of reaching the target market and convincing them to go out and buy the product.

Advertising theory
Hierarchy of effects mode.

It clarifies the objectives of an advertising campaign and for each individual advertisement. The model suggests that there are six steps a consumer or a business buyer moves through when making a purchase. The steps are: 1. Awareness 2. Knowledge 3. Liking 4. Preference 5. Conviction 6. Purchase Means-End Theory

This approach suggests that an advertisement should contain a message or means that leads the consumer to a desired end state. Leverage Points

It is designed to move the consumer from understanding a product's benefits to linking those benefits with personal values. Verbal and Visual Images

Small-business owners want to measure the impact of advertising on sales performance. Knowing which ads drive sales helps owners focus their advertising budgets on promotions that bring the greatest return on investment. Successful advertisers use several ways to track the relationship between advertising and sales performance.

Survey Customers
One of the simplest yet most effective ways to find out what role advertising played in a purchasing decision is to ask the customer who made the purchase. Train retail clerks to ask customers why they visited the store and whether they

remember seeing an advertisement for the product. For an online store, update the checkout process so that it includes a question about how customers heard about the website. To get more detailed information, ask customers to complete an advertising survey or print an online survey address at the bottom of every sales receipt; send online buyers a survey link by email.

Track Promotions
Advertisers may also use promotions that contain a unique identifier to help business owners compare the effectiveness of two or more ads. The advertiser places a print ad that contains a coupon with a specific discount code in one publication and a different discount code in another. By tracking the codes as customers redeem their coupons, the advertiser can determine which advertisement generated the most sales. Business owners obtain similar results by including different telephone numbers in different ads and measuring the number of calls customers make to each number. Advertisers track online traffic by advertising different website addresses in different publications. All the different URLs redirect to the main business site and the business owner tracks how much incoming traffic comes from each of the referring Web pages.

Build Brand Awareness

The relationship between advertising and sales performance is sometimes subtle. Many consumers decide to purchase goods for nuanced reasons such as familiarity with a brand. Brand advertisements don't tout a particular product. Instead, they provide information about the business that offers the product and help clarify its brand identity. Researchers measure the effectiveness of brand advertising by asking consumers to thumb through a magazine that contains a print ad or view or listen to television or radio content that contains the advertisement. Researchers then ask consumers questions about ads they remember seeing or hearing. If a consumer mentions the sponsor's ad, researchers ask follow-up questions to find out how the consumer perceived the ad and to determine her knowledge and perception of the sponsor.

Study Conversion Rate

One of the metrics advertisers use to measure the effectiveness of advertising is the conversion of visits -- to a brick-andmortar store or to a website -- to sales. It is difficult to discern precisely what drives a consumer to make a purchase, but measuring a company's conversion rate immediately before and after an advertising campaign helps the sponsor assess the effectiveness of its marketplace advertising and in-store promotions.

Types of advertising

Virtually any medium can be used for advertising. Commercial advertising media can include wall paintings, billboards, street furniture components, printed flyers and rack cards, radio, cinema and television adverts, web banners, mobile telephone screens, shopping carts, web popups, skywriting, bus stop benches, human billboards, magazines, newspapers, town criers, sides of buses, banners attached to or sides of airplanes ("logo jets"), inflight advertisements on seatback tray tables or overhead storage bins, taxicab doors, roof mounts and passenger screens, musical stage shows, subway platforms and trains, elastic bands on disposable diapers, doors of bathroom stalls, stickers

on apples in supermarkets, shopping cart handles (grabertising), the opening section of streaming audio and video, posters, and the backs of event tickets and supermarket receipts. Any place an "identified" sponsor pays to deliver their message through a medium is advertising.

Digital advertising
Television advertising / Music in advertising The TV commercial is generally considered the most effective mass-market advertising format, as is reflected by the high prices TV networks charge for commercial airtime during popular TV events. The annual Super Bowl football game in the United States is known as the most prominent advertising event on television. The average cost of a single thirty-second TV spot during this game has reached US$3 million (as of 2009). The majority of television commercials features a song or jingle that listeners soon relate to the product. Virtual advertisements may be inserted into regular television programming through computer graphics. It is typically inserted into otherwise blank backdrops or used to replace local billboards that are not relevant to the remote broadcast audience.More controversially, virtual billboards may be inserted into the background where none exist in real-life. This technique is especially used in televised sporting events. Virtual product placement is also possible. Infomercials An infomercial is a long-format television commercial, typically five minutes or longer. The word "infomercial" is a combination of two words "information" & "commercial". The main objective in an infomercial is to create an impulse purchase, so that the consumer sees the presentation and then immediately buys the product through the advertised toll-free telephone number or website. Infomercials describe, display, and often demonstrate products and their features, and commonly have testimonials from consumers and industry professionals. Radio advertising Radio advertising is a form of advertising via the medium of radio. Radio advertisements are broadcast as radio waves to the air from a transmitter to an antenna and a thus to a receiving device. Airtime is purchased from a station or network in exchange for airing the commercials. While radio has the limitation of being restricted to sound, proponents of radio advertising often cite this as an advantage. Radio is an expanding medium that can be found not only on air, but also online. According to Arbitron, radio has approximately 241.6 million weekly listeners, or more than 93 percent of the U.S. population. Online advertising Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Online ads are delivered by an ad server. Examples of online advertising include contextual ads that appear on search engine results pages, banner ads, in text ads, Rich Media Ads, Social network advertising, online classified advertising, advertising networks and e-mail marketing, including e-mail spam. Product placements

Covert advertising, also known as guerrilla advertising, is when a product or brand is embedded in entertainment and media. For example, in a film, the main character can use an item or other of a definite brand, as in the movie Minority Report, where Tom Cruise's character John Anderton owns a phone with the Nokia logo clearly written in the top corner, or his watch engraved with the Bulgari logo. Another example of advertising in film is in I, Robot, where main character played by Will Smithmentions his Converse shoes several times, calling them "classics," because the film is set far in the future. I, Robot and Spaceballs also showcase futuristic cars with the Audi and Mercedes-Benz logos clearly displayed on the front of the vehicles. Cadillac chose to advertise in the movie The Matrix Reloaded, which as a result contained many scenes in which Cadillac cars were used. Similarly, product placement for Omega Watches, Ford, VAIO, BMW and Aston Martin cars are featured in recent James Bond films, most notably Casino Royale. In "Fantastic Four: Rise of the Silver Surfer", the main transport vehicle shows a large Dodge logo on the front. Blade Runner includes some of the most obvious product placement; the whole film stops to show a Coca-Colabillboard.

Physical advertising
Press advertising Press advertising describes advertising in a printed medium such as a newspaper, magazine, or trade journal. This encompasses everything from media with a very broad readership base, such as a major national newspaper or magazine, to more narrowly targeted media such as local newspapers and trade journals on very specialized topics. A form of press advertising is classified advertising, which allows private individuals or companies to purchase a small, narrowly targeted ad for a low fee advertising a product or service. Another form of press advertising is the Display Ad, which is a larger ad (can include art) that typically run in an article section of a newspaper. Billboard advertising Billboards are large structures located in public places which display advertisements to passing pedestrians and motorists. Most often, they are located on main roads with a large amount of passing motor and pedestrian traffic; however, they can be placed in any location with large amounts of viewers, such as on mass transit vehicles and in stations, in shopping malls or office buildings, and in stadiums.

Mobile billboard advertising Mobile billboards are generally vehicle mounted billboards or digital screens. These can be on dedicated vehicles built solely for carrying advertisements along routes preselected by clients, they can also be specially equipped cargo trucks or, in some cases, large banners strewn from planes. The billboards are often lighted; some being backlit, and others employing spotlights. Some billboard displays are static, while others change; for example, continuously or periodically rotating among a set of advertisements. Mobile displays are used for various situations in metropolitan areas throughout the world, including: Target advertising, One-day, and long-

term campaigns, Conventions, Sporting events, Store openings and similar promotional events, and Big advertisements from smaller companies. In-store advertising In-store advertising is any advertisement placed in a retail store. It includes placement of a product in visible locations in a store, such as at eye level, at the ends of aisles and near checkout counters (aka POPPoint Of Purchase display), eye-catching displays promoting a specific product, and advertisements in such places as shopping carts and in-store video displays. Coffee cup advertising Coffee cup advertising is any advertisement placed upon a coffee cup that is distributed out of an office, caf, or drive-through coffee shop. This form of advertising was first popularized in Australia, and has begun growing in popularity in the United States, India, and parts of the Middle East. [citation needed] Street advertising This type of advertising first came to prominence in the UK by Street Advertising Services to create outdoor advertising on street furniture and pavements. Working with products such as Reverse Graffiti and 3d pavement advertising, the media became an affordable and effective tool for getting brand messages out into public spaces.

Celebrity branding This type of advertising focuses upon using celebrity power, fame, money, popularity to gain recognition for their products and promote specific stores or products. Advertisers often advertise their products, for example, when celebrities share their favorite products or wear clothes by specific brands or designers. Celebrities are often involved in advertising campaigns such as television or print adverts to advertise specific or general products. The use of celebrities to endorse a brand can have its downsides, however. One mistake by a celebrity can be detrimental to the public relations of a brand. For example, following his performance of eight gold medals at the 2008 Olympic Games in Beijing, China, swimmer Michael Phelps' contract with Kellogg's was terminated, as Kellogg's did not want to associate with him after he was photographed smoking marijuana. Radio advertising Radio advertising is a form of advertising via the medium of radio. Radio advertisements are broadcast as radio waves to the air from a transmitter to an antenna and a thus to a receiving device. Airtime is purchased from a station or network in exchange for airing the commercials. While radio has the limitation of being restricted to sound, proponents of radio advertising often cite this as an advantage. Radio is an expanding medium that can be found not only on air, but also online. According to Arbitron, radio has approximately 241.6 million weekly listeners, or more than 93 percent of the U.S. population. Online advertising

Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Examples of online advertising include contextual ads that appear on search engine results pages, banner ads, in text ads, Rich Media Ads, Social network advertising, online classified advertising, advertising networks and e-mail marketing, including e-mail spam. Product placements Covert advertising, also known as guerrilla advertising, is when a product or brand is embedded in entertainment and media. For example, in a film, the main character can use an item or other of a definite brand, as in the movie Minority Report, where Tom Cruise's character John Anderton owns a phone with the Nokia logo clearly written in the top corner, or his watch engraved with theBulgari logo. Another example of advertising in film is in I, Robot, where main character played by Will Smith mentions his Converse shoes several times, calling them "classics," because the film is set far in the future. I, Robot and Spaceballs also showcase futuristic cars with the Audi and Mercedes-Benz logos clearly displayed on the front of the vehicles. Cadillac chose to advertise in the movie The Matrix Reloaded, which as a result contained many scenes in which Cadillac cars were used. Similarly, product placement for Omega Watches, Ford, VAIO, BMW and Aston Martin cars are featured in recent James Bond films, most notably Casino Royale. In "Fantastic Four: Rise of the Silver Surfer", the main transport vehicle shows a large Dodge logo on the front. Blade Runnerincludes some of the most obvious product placement; the whole film stops to show a Coca-Cola billboard.

Sales promotions
Sales promotions are another way to advertise. Sales promotions are double purposed because they are used to gather information about what type of customers you draw in and where they are, and to jumpstart sales. Sales promotions include things like contests and games, sweepstakes, product giveaways, samples coupons, loyalty programs, and discounts. The ultimate goal of sales promotions is to stimulate potential customers to action.

Media and advertising approaches

Increasingly, other media are overtaking many of the "traditional" media such as television, radio and newspaper because of a shift toward consumer's usage of the Internet for news and music as well as devices like digital video recorders (DVRs) such as TiVo. Advertising on the World Wide Web is a recent phenomenon. Prices of Webbased advertising space are dependent on the "relevance" of the surrounding web content and the traffic that the website receives. Digital signage is poised to become a major mass media because of its ability to reach larger audiences for less money. Digital signage also offer the unique ability to see the target audience where they are

reached by the medium. Technological advances have also made it possible to control the message on digital signage with much precision, enabling the messages to be relevant to the target audience at any given time and location which in turn, gets more response from the advertising. Digital signage is being successfully employed in supermarkets. Another successful use of digital signage is in hospitality locations such as restaurants and malls. E-mail advertising is another recent phenomenon. Unsolicited bulk E-mail advertising is known as "e-mail spam". Spam has been a problem for e-mail users for many years. Some companies have proposed placing messages or corporate logos on the side of booster rockets and the International Space Station. Controversy exists on the effectiveness of subliminal advertising (see mind control), and the pervasiveness of mass messages (see propaganda). Unpaid advertising (also called "publicity advertising"), can provide good exposure at minimal cost. Personal recommendations ("bring a friend", "sell it"), spreading buzz, or achieving the feat of equating a brand with a common noun (in the United States, "Xerox" = "photocopier", "Kleenex" = tissue, "Vaseline" = petroleum jelly, "Hoover" = vacuum cleaner, "Nintendo" (often used by those exposed to many video games) = video games, and "Band-Aid" = adhesive bandage) these can be seen as the pinnacle of any advertising campaign. However, some companies oppose the use of their brand name to label an object. Equating a brand with a common noun also risks turning that brand into a genericized trademark - turning it into a generic term which means that its legal protection as a trademark is lost. As the mobile phone became a new mass media in 1998 when the first paid downloadable content appeared on mobile phones in Finland, it was only a matter of time until mobile advertising followed, also first launched in Finland in 2000. By 2007 the value of mobile advertising had reached $2.2 billion and providers such as Admob delivered billions of mobile ads. More advanced mobile ads include banner ads, coupons, Multimedia Messaging Service picture and video messages, advergames and various engagement marketing campaigns. A particular feature driving mobile ads is the 2D Barcode, which replaces the need to do any typing of web addresses, and uses the camera feature of modern phones to gain immediate access to web content. 83 percent of Japanese mobile phone users already are active users of 2D barcodes. A new form of advertising that is growing rapidly is social network advertising. It is online advertising with a focus on social networking sites. This is a relatively immature market, but it has shown a lot of promise as advertisers are able to take advantage of the demographic information the user has provided to the social networking site. Friendertising is a more precise advertising term in which people are able to direct advertisements toward others directly using social network service.

From time to time, The CW Television Network airs short programming breaks called "Content Wraps," to advertise one company's product during an entire commercial break. The CW pioneered "content wraps" and some products featured were Herbal Essences, Crest, Guitar Hero II, CoverGirl, and recently Toyota. Recently, there appeared a new promotion concept, "ARvertising", advertising on Augmented Reality technology.

Rise in new media

With the dawn of the Internet came many new advertising opportunities. Popup, Flash, banner, Popunder, advergaming, and email advertisements (the last often being a form of spam) are now commonplace. Particularly since the rise of "entertaining" advertising, some people may like an advertisement enough to wish to watch it later or show a friend. In general, the advertising community has not yet made this easy, although some have used the Internet to widely distribute their ads to anyone willing to see or hear them. In the last three quarters of 2009 mobile and internet advertising grew by 18.1% and 9.2% respectively. Older media advertising saw declines: 10.1% (TV), 11.7% (radio), 14.8% (magazines) and 18.7% (newspapers ).

Niche marketing
Another significant trend regarding future of advertising is the growing importance of the niche market using niche or targeted ads. Also brought about by the Internet and the theory of The Long Tail, advertisers will have an increasing ability to reach specific audiences. In the past, the most efficient way to deliver a message was to blanket the largest mass market audience possible. However, usage tracking, customer profiles and the growing popularity of niche content brought about by everything from blogs to social networking sites, provide advertisers with audiences that are smaller but much better defined, leading to ads that are more relevant to viewers and more effective for companies' marketing products. Among others, Comcast Spotlight is one such advertiser employing this method in their video on demand menus. These advertisements are targeted to a specific group and can be viewed by anyone wishing to find out more about a particular business or practice at any time, right from their home. This causes the viewer to become proactive and actually choose what advertisements they want to view. [20]

Crowdsourcing
Main article: Crowdsourcing The concept of crowdsourcing has given way to the trend of usergenerated advertisements. User-generated ads are created by consumers as opposed to an advertising agency or the company themselves, most often they are a result of brand sponsored advertising competitions. For the 2007 Super Bowl, the Frito-Lays division of PepsiCo held the Crash the Super Bowl contest, allowing consumers to create their own Doritos commercial. Chevrolet held a similar competition for their Tahoe line of SUVs. Due to the success of the Doritos user-generated ads in the 2007 Super Bowl, Frito-Lays relaunched the competition for the 2009 and 2010 Super

Bowl. The resulting ads were among the most-watched and most-liked Super Bowl ads. In fact, the winning ad that aired in the 2009 Super Bowl was ranked by the USA Today Super Bowl Ad Meter as the top ad for the year while the winning ads that aired in the 2010 Super Bowl were found by Nielsen's BuzzMetrics to be the "most buzzed-about". This trend has given rise to several online platforms that host usergenerated advertising competitions on behalf of a company. Founded in 2007, Zooppa has launched ad competitions for brands such as Google, Nike, Hersheys, General Mills, Microsoft, NBC Universal, Zinio, and Mini Cooper. Crowdsourced advertisements have gained popularity in part to its cost effective nature, high consumer engagement, and ability to generate word-of-mouth. However, it remains controversial, as the long-term impact on the advertising industry is still unclear.

Global advertising
Advertising has gone through five major stages of development: domestic, export, international, multi-national, and global. For global advertisers, there are four, potentially competing, business objectives that must be balanced when developing worldwide advertising: building a brand while speaking with one voice, developing economies of scale in the creative process, maximizing local effectiveness of ads, and increasing the companys speed of implementation. Born from the evolutionary stages of global marketing are the three primary and fundamentally different approaches to the development of global advertising executions: exporting executions, producing local executions, and importing ideas that travel. Advertising research is key to determining the success of an ad in any country or region. The ability to identify which elements and/or moments of an ad contribute to its success is how economies of scale are maximized. Once one knows what works in an ad, that idea or ideas can be imported by any other market. Market research measures, such as Flow of Attention, Flow of Emotion and

branding provide insight into what is working in an

ad in any country or region because the measures are based on the visual, not verbal, elements of the ad.

Foreign public messaging

Foreign governments, particularly those that own marketable commercial products or services, often promote their interests and positions through the advertising of those goods because the target audience is not only largely unaware of the forum as vehicle for foreign messaging but also willing to receive the message while in a mental state of absorbing information from advertisements during television commercial breaks, while reading a periodical, or while passing by billboards in public spaces. A prime example of this messaging technique is advertising campaigns to promote international travel. While advertising foreign destinations and services may stem from the typical goal of increasing revenue by drawing more tourism, some travel campaigns carry the additional or alternative intended purpose of promoting good sentiments or improving existing ones among the target audience towards a given nation or region. It is common for advertising promoting foreign countries to be produced and distributed by the tourism ministries of those countries, so these ads often carry political statements and/or depictions of the foreign government's desired international public perception. Additionally, a wide range of foreign airlines and travel-related services which advertise separately from

the destinations, themselves, are owned by their respective governments; examples include, though are not limited to, the Emirates airline (Dubai), Singapore Airlines (Singapore), Qatar Airways (Qatar), China Airlines (Taiwan/Republic of China), and Air China (People's Republic of China). By depicting their destinations, airlines, and other services in a favorable and pleasant light, countries market themselves to populations abroad in a manner that could mitigate prior public impressions.

Diversification
In the realm of advertising agencies, continued industry diversification has seen observers note that big global clients don't need big global agencies any more. This is reflected by the growth of nontraditional agencies in various global markets, such as Canadian business TAXI and SMART in Australia and has been referred to as "a revolution in the ad world".

New technology
The ability to record shows on digital video recorders (such as TiVo) allow users to record the programs for later viewing, enabling them to fast forward through commercials. Additionally, as more seasons of pre-recorded box sets are offered for sale of television programs; fewer people watch the shows on TV. However, the fact that these sets are sold, means the company will receive additional profits from the sales of these sets. To counter this effect, a variety of strategies have been employed. Many advertisers have opted for product placement on TV shows like Survivor. Other strategies include integrating advertising with internet-connected EPGs, advertising on companion devices (like smartphones and tablets) during the show, and creating TV apps. Additionally, some like brands have opted for television

sponsorship.

Advertising education
Advertising education has become widely popular with bachelor, master and doctorate degrees becoming available in the emphasis. A surge in advertising interest is typically attributed to the strong relationship advertising plays in cultural and technological changes, such as the advance of online social networking. A unique model for teaching advertising is the student-run advertising agency, where advertising students create campaigns for real companies. Organizations such as American Advertising Federation and AdU Network partner established companies with students to create these campaigns.

Criticisms

While advertising can be seen as necessary for economic growth, it is not without social costs. Unsolicited commercial e-mail and other forms of spam have become so prevalent as to have become a major nuisance to users of these services, as well as being a financial burden on internet service providers. Advertising is increasingly invading public spaces, such as schools, which some critics argue is a form of child exploitation. In addition,

advertising frequently uses psychological pressure (for example, appealing to feelings of inadequacy) on the intended consumer, which may be harmful.

Regulation
In the US many communities believe that many forms of outdoor advertising blight the public realm. As long ago as the 1960s in the US there were attempts to ban billboard advertising in the open countryside. Cities such as So Paulo have introduced an outright ban with London also having specific legislation to control unlawful displays. There have been increasing efforts to protect the public interest by regulating the content and the influence of advertising. Some examples are: the ban on television tobacco advertising imposed in many countries, and the total ban of advertising to children under 12 imposed by the Swedish government in 1991. Though that regulation continues in effect for broadcasts originating within the country, it has been weakened by the European Court of Justice, which had found that Sweden was obliged to accept foreign programming, including those from neighboring countries or via satellite. Greeces regulations are of a similar nature, banning advertisements for children's toys between 7 am and 10 pm and a total ban on advertisement for war toys". In Europe and elsewhere, there is a vigorous debate on whether (or how much) advertising to children should be regulated. This debate was exacerbated by a report released by the Kaiser Family Foundation in February 2004 which suggested fast food advertising that targets children was an important factor in the epidemic of childhood obesity in the United States. In New Zealand, South Africa, Canada, and many European countries, the advertising industry operates a system of self-regulation. Advertisers, advertising agencies and the media agree on a code of advertising standards that they attempt to uphold. The general aim of such codes is to ensure that any advertising is 'legal, decent, honest and truthful'. Some self-regulatory organizations are funded by the industry, but remain independent, with the intent of upholding the standards or codes like the Advertising Standards Authority in the UK. In the UK most forms of outdoor advertising such as the display of billboards is regulated by the UK Town and County Planning system. Currently the display of an advertisement without consent from the Planning Authority is a criminal offense liable to a fine of 2,500 per offence. All of the major outdoor billboard companies in the UK have convictions of this nature. Many advertisers employ a wide-variety of linguistic devices to bypass regulatory laws (e.g. printing English words in bold and French translations in fine print to deal with the Article 120 of the 1994Toubon Law limiting the use of English in French advertising). The advertisement of controversial products such as

cigarettes and condoms are subject to government regulation in many countries. For instance, the tobacco industry is required by law in most countries to display warnings cautioning consumers about the health hazards of their products. Linguistic variation is often used by advertisers as a creative device to reduce the impact of such requirements.

Advertising research
Advertising research is a specialized form of research that works to improve the effectiveness and efficiency of advertising. It entails numerous forms of research which employ different methodologies. Advertising research includes pre-testing (also known as copy testing) and post-testing of ads and/or campaignspretesting is done before an ad airs to gauge how well it will perform and post-testing is done after an ad airs to determine the in-market impact of the ad or campaign on the consumer. Continuous ad tracking and the Communicus System are competing examples of post-testing advertising research types.

Semiotics
Todays culture is made up of meanings between consumers and marketers. These meanings depict signs and symbols that are encoded in everyday objects.

Semiotics is the study of signs and how they

are interpreted. Advertising has many hidden signs and meanings within brand names, logos, package designs, print advertisements, and television advertisements. The purpose of semioticsis to study and interpret the message being conveyed in advertisements. Logos and advertisements can be interpreted at two levels known as the surface level and the underlying level. The surface level uses signs creatively to create an image or personality for their product. These signs can be images, words, fonts, colors, or slogan. The underlying level is made up of hidden meanings. The combination of images, words, colors, and slogan must be interpreted by the audience or consumer. The key to advertising analysis is the signifier and the signified. The signifier is the object and the signified is the mental concept. A product has a signifier and a signified. The signifier is the color, brand name, logo design, and technology. The signified has two meanings known as denotative and connotative. The denotative meaning is the meaning of the product. A televisions denotative meaning would be that it is high definition. The connotative meaning is the products deep and hidden meaning. A connotative meaning of a television would be that it is top of the line.

Apple is an excellent example of using semiotics in their advertising campaign. Apples commercials used a black silhouette of a person that was the age of Apple's target market. They placed the silhouette in front of a blue screen so that the picture behind the silhouette could be constantly changing. However, the one

thing that stays the same in these ads is that there is music in the background and the silhouette is listening to that music on a white iPod through white headphones. Through advertising, the white color on a set of earphones now signifies that the music device is an iPod. The white color signifies almost all of Apples products. The semiotics of gender plays a key influence on the way in which signs are interpreted. When considering gender roles in advertising, individuals are influenced by three categories. Certain characteristics of stimuli may enhance or decrease the elaboration of the message (if the product is perceived as feminine or masculine). Second, the characteristics of individuals can affect attentionand elaboration of the message (traditional or non-traditional gender-role orientation). Lastly, situational factors may be important to influence the elaboration of the message. There are two types of marketing communication claims-objective and subjective. Objective claims stem from the extent to which the claim associates the brand with a tangible product or service feature. For instance, the camera has auto focus features. Subjective claims convey emotional, subjective, impressions of intangible aspects of a product or service. They are non-physical features of a product or service that cannot be directly perceived, as they have no physical reality. For instance the brochure has a beautiful design. Males tend to respond better to objective marketing communications claims while females tend to respond better to subjective marketing communications claims. When advertising to different genders it is important to remember how men and women process information. Females process information comprehensively. Males process information through heuristic devices such as procedures, methods or strategies for solving problems. Men prefer to have available and apparent cues to interpret the message where females engage in more creative, associative, imagery-laced interpretation. In advertisements, men are represented as independent. They are shown in more occupations than women. Women are represented mainly as housewives and mothers. Men are more likely to be shown advertising cars or business products, while women advertise domestic products. Men are more likely to be shown outdoors or in business settings. Women are depicted in domestic settings. Men are more often portrayed as authorities. As far as ads go, with age men seem to gain wisdom and are depriced as an authority figure. On the other hand women seem to disappear with age. Voiceovers are commonly used in advertising. Most voiceovers are men (figures of up to 94% have been reported). There have been more female voiceovers in recent years but mainly for food, household products, and feminine care products.

ARTICLES AND JOURNALS

TITLE:The effect of advertising on sales and brand shares AUTHOR:J.M. Samuels SOURCE: MCB UP Ltd ABSTRACT: Tests a new series of models which attempt to describe the relationship between advertising and sales. Describes an attempt to obtain information of this kind by investigating the effect of advertising on sales and brand shares. States that a number of researchers are now attempting to develop models to explain the workings of the market for a particular product. Emphasizes that the prime area of interest of the study is the effect of advertising on sales and brand shares. States the study does not have the objective of constructing a complete marketing model involving all the variables that are thought to influence a brand's share of a product. Concludes that many results herein are disappointing, but it is perhaps too optimistic to expect the models dealt with earlier to be successful.

TITLE:Effects of Advertising on Sales Volumes AUTHOR:Neil Kokemuller ABSTRACT: Advertising can have both immediate and long term effects on your company's sales volume, depending on your objectives. Short-term sales promotions tend to lead to higher sales volume more quickly, whereas long-term brand management advertising produces higher sales and profits over time.

TITLE: EFFECTS OF ADVERTISING AUTHOR:Akanbi, Paul A

ABSTRACT:

Advertising is a form of communication that attempts to interpret the qualities of products, services and ideas in Terms of consumer needs and wants. Some companies or organizations embrace advertising to achieve goodwill, High market share and sales. This research work is on the impact of advertising on sales volume with particular Reference to _igerian Bottling Company. The objective of the study is to examine the impact of advertising as a Tool for growth in the companys sales, market share and profitability. It also seeks to study the nature of Advertising as well as the relationship between advertising and sales. The statistical analytical techniques used for this study include student t test and ordinary least square regression method. The secondary data were Collected from the companys annual financial records and account for eleven years covering 1999 2009. The Major result showed that there is a significant relationship between advertising and the sales of the company. The study also showed that there is a significant improvement in the sales of the company as a result of Advertising. It was recommended that organizations should educate the general public through advertising on the Uses, functions and benefits of their products

TITLE:effects of advertising on sales of durable goods AUTHOR:Mark M. Moriarty SOURCE:College of Business Administration, University of Iowa, Iowa City, IA 52242, USA ABSTRACT: In a landmark paper, Clarke [Clarke, D.G., J. Marketing Res. 13 (November 1976): 345357] addressed the question of how long the carryover effect of advertising on sales persists. Appropriate cautions are included in the conclusions reached by Clarke since the preponderance of studies that he reviewed involved mature frequently purchased low-priced products. His conclusion is that, for such products, the carryover effect of advertising lasts a matter of months rather than years. The current study examines durable goods and provides preliminary evidence that for some durables, advertising effects may have a duration interval that exceeds a year.

TITLE: The effects of advertising media on sales of insurance products: a developing-country case AUTHOR: S.A. Aduloju, A.O. Odugbesan and S.A. Oke SOURCE: Journal of Risk Finance, 2009 ABSTRACT: Purpose Characterized by declining goodwill and exemplified sharp drop in gross premium, the Nigerian insurance industry, in recent times, has experienced turbulent economic challenges that necessitated re-engineering of its core activities. However, advertising and sales are core activities, which are important predictors of stability and growth in the insurance industry. Consequently, the purpose of this paper is to examine the impact of advertising on sales of insurance products. Design/methodology/approach An empirical investigation is carried out using a survey that utilizes questionnaires, interviews, and field observation as major research instruments. A total of 71 insurance companies in Nigeria, which represent the total operating insurance companies in Nigeria at the time of study, were surveyed. With 100 scientifically selected subjects sampled, descriptive analysis was employed to understand the relationship and the strength of such relationships. Findings It was found that advertising had effects on sales volume and improved public image. However, the choice of advertising medium, the message, and the format are critical ingredients of a successful advertising program in the insurance industry. Research limitations/implications The insurance industry in Nigeria was studied from a holistic viewpoint due to the need to present reliable and detailed information for decision makers. However, limitation in achieving this relates to the reluctance of respondents to release information for the study. Practical implications The implication of this research is that proper control of advertisement budget vis--vis the expected sales volume could be made. Thus, organizations could spend budgets more effectively on growth enhancing projects instead of excessive wastage of funds on advertisement. Originality/value This paper seems to be the first original work that concerns the impact of advertising on sales in the Nigerian insurance industry. As such, it bridges a gap that is opened for investigations. It may be of great value to decision making seeking for control tools.

TITLE:Measuring the Effects and Effectiveness of Interactive Advertising: A Research Agenda AUTHOR:Paul A. Pavlou, David W. Stewart SOURCE:University of Southern California ABSTRACT: Although interactive advertising is not new, its scale, scope and immediacy has increased substantially with the diffusion of new technologies such as the Internet. The growth of interactive advertising highlights the role of the consumer in the determining the effects and effectiveness of advertising, while challenging traditional assumptions about how advertising works. The active role of the consumer in determining the effects of advertising has important implications for how the effects and effectiveness of advertising are measured and how various measures are interpreted. The present paper offers a discussion of these issues and compares and contrasts traditional notions regarding the measurement of advertising effects with notions that recognize the active role of the consumer in interacting with advertising and the advertiser. Implications for future research are discussed.

India Retail Industry:

India retail industry is the largest industry in India, with an employment of around 8% and contributing to over 10% of the country's GDP. Retail industry in India is expected to rise 25% yearly being driven by strong income growth, changing lifestyles, and favorable demographic patterns. Shopping in India have witnessed a revolution with the change in the consumer buying behavior and the whole format of shopping also altering. Industry of retail in India which have become modern can be seen from the fact that there are multi- stored malls, huge shopping centers, and sprawling complexes which offer food, shopping, and entertainment all under the same roof. India retail industry is expanding itself most aggressively, as a result a great demand for real estate is being created. Indian retailers preferred means of expansion is to expand to other regions and to increase the number of their outlets in a city. It is expected that by 2010, India may have 600 new shopping centers. In the Indian retailing industry, food is the most dominating sector and is growing at a rate of 9% annually. The branded food industry is trying to enter the India retail industry and convert Indian consumers to branded food. Since at present 60% of the Indian grocery basket consists of non- branded items.

Retail Industry in India

Retail is India's largest industry. It accounts for over 10 per cent of the India's GDP and around eight per cent of the employment. Retail sector is one of India's fastest growing sectors with a 5 per cent compounded annual growth rate. India's huge middle class base and its untapped retail industry are key attractions for global retail giants planning to enter newer markets. Driven by changing lifestyles, strong income growth and favorable demographic patterns, Indian retail is

expected to grow 25 per cent annually. It is expected that retail in India could be worth US$ 175-200 billion by 2016.

The organized retail industry in India had not evolved till the early 1990s. Until then, the industry was dominated by the un-organized sector. It was a sellers market, with a limited number of brands, and little choice available to customers. Lack of trained manpower, tax laws and government regulations all discouraged the growth of organized retailing in India during that period. Lack of consumer awareness and restrictions over entry of foreign players into the sector also contributed to the delay in the growth of organized retailing. Foundation for organized retail in India was laid by Kishore Biyani of Pantaloon Retails India Limited (PRIL). A number of factors are driving India's retail market. These include: increase in the young working population, hefty pay-packets, nuclear families in urban areas, increasing working-women population, increase in disposable income and customer aspiration, increase in expenditure for luxury items, and low share of organized retailing. India's retail boom is manifested in sprawling shopping centers, multiplex- malls and huge complexes that offer shopping, entertainment and food all under one roof. But there is a flip side to the boom in the retail sector. The taxation system still favors small retail business. With the intrinsic complexities of retailing such as rapid price changes, constant threat of product obsolescence and low margins there is always a threat that the venture may turn out to be a making once. A perfect business model for retail is still in evolutionary stage. Procurement is very vital cog in the retail wheel. The retailer has to fight issues like fragmented sourcing, unpredictable availability, unsorted food provisions and daily fluctuating prices as against consumer expectations of round-theyear steady prices, sorted and cleaned food and fresh stock at all times.

Trained human resource for retail is another big challenge. The talent base is limited and with the entry of big giants there is a cat fight among them to retain this talent. This has resulted in big salary

hikes at the level of upper and middle management and thereby eroding the profit margin of the business. .

India Shopping Malls Scope of the Indian Retail Market Indian Organized Retail Market Growth Factors in Indian Organized Retail sector Opportunities in Indian Organized Retail sector Challenges facing the Indian Organized Retail sector Role of Supply Chain in Indian Organized Retail Employment Generation by Indian Organized Retail Sector Indian Organized Retail Sector's Impact On Lifestyles

Scope of the Indian Retail Market:

The scope of the Indian retail market is immense for this sector is poised for the highest growth in the next 5 years. The India retail industry contributes 10% of the countries GDP and its current growth rate is 8.5%. In the Indian retail market the scope for growth can be seen from the fact that it is expected to rise to US$ 608.9 billion in 2009 from US$ 394 billion in 2005. The organized retailing sector in India is only 3% and is expected to rise to 25- 30% by the year 2010. There are under construction at present around 325 departmental stores, 300 new malls, and 1500 supermarkets. This proves that there is a tremendous scope for growth in the Indian retail market. The growth of scope in the Indian retail market is mainly due to the change in the consumers behavior. For the new generation have preference towards luxury commodities which have been due to the strong increase in income, changing lifestyle, and demographic patterns which are favorable. The scope of the Indian retail market have been seen by many retail giants and thats the reason that many new players are entering the India retail industry. The major Indian retailers are:

Pantaloons Retail India Ltd Shoppers Stop Bata India Ltd

Music World Entertainment Ltd

The scope for growth in the Indian retail market is seen mainly in the following cities:

Mumbai Delhi Pune Ahmedabad Bangalore Kolkata

Chennai

Indian Organized Retail Market:

Indian organized retail market is growing at a fast pace due to the boom in the India retail industry. In 2005, the retail industry in India amounted to Rs 10,000 billion accounting for about 10% to the country's GDP. The organized retail market in India out of this total market accounted for Rs 350 billion which is about 3.5% of the total revenues.

Retail market in the Indian organized sector is expected to cross Rs 1000 billion by 2010. Traditionally the retail industry in India was largely unorganized, comprising of drug stores, medium, and small grocery stores. Most of the organized retailing in India have started recently and is concentrating mainly in metropolitan cities. The growth in the Indian organized retail market is mainly due to the change in the consumers behavior. This change has come in the consumer due to increased income, changing lifestyles, and patterns of demography which are favorable. Now the consumer wants to shop at a place where he can get food, entertainment, and shopping all under one roof. This has given Indian organized retail market a major boost. Retail market in the organized sector in India is growing can be seen from the fact that 1500 supermarkets, 325 departmental stores, and 300 new malls are being built. Many Indian companies are entering the Indian retail market which is giving Indian organized retail market a boost. One such company is the Reliance Industries Limited. It plans to invest US$ 6 billion in the Indian retail

market

by

opening

1000

hypermarkets

and

1500

supermarkets.

A pantaloon is another Indian company which plans to increase its retail space to 30 million square feet with an investment of US$ 1 billion. Bharti Telecoms an Indian company is in talks with Tesco a global giant for a 750 million joint venture. A number of global retail giants such as WalMart, Carrefour, and Metro AG are also planning to set up shop in India. Indian organized retail market will definitely grow as a result of all this investments. Indian organized retail market is increasing and for this growth to continue the Indian retailers as well as government must make a combined effort. .Growth Factors in Indian Organized Retail sector The growth factors in Indian organized sector are various but it is mainly due to the fact that India's economy is booming. Also, the rise in the working population which is young, pay- packets which are hefty, more nuclear families in urban areas, rise in the number of women working, more disposable income and customer aspiration, western influences and growth in expenditure for luxury items. All these are the factors for the growth in Indian organized retail sector.

Opportunities in Indian Organized Retail sector

The opportunities in Indian organized retail sector are many for this sector is witnessing a boom. The various The retail industry in India amounted to US$ 200 billion in 2006, and out of this amount the Indian organized retail sector amounted to US$ 6.4 billion. The opportunities in India organized retail sector can be judged from the fact that by 2010 it is expected to rise to US$ 23 billion.

opportunities in the organized retail sector in India are mainly there for the Indian consumers behavior pattern has changed. Now the Indian consumer gets more hefty pay- packages, is younger,

a large number of women are working, western influences, and more disposable income have opened a lot of opportunities in Indian organized retail sector. The Indian consumer wants to shop, eat and get entertainment in one place and is have also given Indian organized retail sector an opportunity to grow.

Challenges facing the Indian Organized Retail sector

The challenges facing the Indian organized retail sector are various and these are stopping the Indian retail industry from reaching its full potential. The behavior pattern of the Indian consumer have undergone a major change. This have happened for the Indian consumer is earning more now, western influences, women working force is increasing, desire for luxury items and better quality. He now wants to eat, shop, and get entertained under the same roof. All these have lead the Indian organized retail sector to give more in order to satisfy the Indian customer.

Role of Supply Chain in Indian Organized Retail

The role of supply chain in Indian organized retail is very significant for on it depends the growth of this sector. The Indian Supply Chain Council have been formed to explore the challenges that a retailer faces and to find possible solutions for India. The role of supply chain in the organized retail sector in India should be a shelf- centric partnership between the retailer and the manufacture for this will create supply chains that are loss free. This will also give rise to top and bottom line growth. In the organized retail sector in India the presence of fresh produce (vegetables and fruits) is very small. This is so for the nature of supply chain is very fragmented. This shows the important role of supply chain in the organized retail sector in India.

Employment Generation by Indian Organized Retail Sector

Lots of employment generation by Indian Organized Retail Sector in the near future. India is going through a radical economic change. Though it is very infant stage, people can feel the climate is changing. The unorganized retailers takes the lion's share in the Indiagood pace, and promises an increase of proportion of 9 - 10% by 2010. The increase in the number of consumers twinned with the introduction of organized sector has brought numerous corporate investments in retail sector. The entry of super markets, enormous departmental stores, and shopping malls have encouraged the retailers to look at new business plans of expansion.
Indian Organized Retail Sector's Impact On Lifestyles

The Indian organized retail sector's impact changed the lifestyle of the Indian consumers drastically. The evident increase in consumerist activity is colossal which has already chipped out a money making recess for the Indian organized retail sector. With the onset of a globalizes economy in India, the Indian consumer's psyche has been changed. People have become aware of the value of money. Nowadays the Indian consumers are well versed with the concepts about quality of products & services. These demands are the visible impacts of the Indian organized retail sector.

Growth of Retail Companies in India

Growth of Retail Companies in India exhibits the boom in the retail industry in India over the years. The increase in the purchasing power of the Indian middle classes and the influx of the foreign investments have been encouraging in the Growth of Retail Companies in India.

Growth of Retail Companies in India is still not yet in a matured stage with great potentials within this sector still to be explored. Apart from the retail company like Nilgiri's of Bangalore, most of the retail companies are sections of other industries that have stepped in the retail sector for a better business.

The South Indian zone have adopted the process of shopping in the supermarkets for their daily requirements and this has also been influencing other cities as well where many hypermarkets are coming up day to day.

Pantaloon Retail (India) Limited, is Indias leading retailer that operates multiple retail formats in both the value and lifestyle segment of the Indian consumer market. Headquartered in Mumbai (Bombay), the company operates over 12 million square feet of retail, has over 1000 stores across 71 cities in India and employs over 30,000 people.

The companys leading formats include pantaloons, a chain of fashion outlets, Big Bazaar, a uniquely Indian hypermarket chain, Food Bazaar , a supermarket chain, blends the look, touch and feel of Indian bazaars with aspects of modern retail choice, convenience and quality and central, a chain of seamless destination malls. Some of its formats include brand factory, blue sky, all top 10 stars and sitara. The company also operates an online portal, futurebazaar.com A subsidiary company, Home solutions Retail (India)limited, operate Home Town, a large format home solutions store, collection I , selling home furniture products and ezone focused on catering to the consumer electronics segment. Pantaloon Retail was recently awarded the international retailer of the year 2007 by the US based National Retail Federation (NRF) and the Emerging market retailer of the year 2007 at the world retail congress held in Barcelona. Pantaloon Retail is the flagship company of Future Group, a business group Catering to the entire Indian consumption space

THE FUTURE GROUP

FutureBazaar.com is owned and operated by Future Bazaar India Ltd. (FBIL). FBIL is a part of the Future Group, Indias largest retail conglomerate. FBIL is the e-commerce arm of the Future Group. The company was incorporated in 2006 and began business in 2007. As part of Indias largest retail chain, we enjoy the benefits of buying in bulk for the entire group. Our aim is to get you a great range of products at great prices.

Core Competency of the businesswhat makes different from others.!!

A choice of more than 20,000 products Delivery across more than 1500 cities and towns in India covering around 16,000 pin codes Fast deliveries tie ups with world leaders in logistics & transportation services A dedicated Customer Care helpline for any queries

Always offering Manufacturers guarantee as opposed to Sellers guarantee, which most of the other online shopping sites offer

Aggressive PricesFutureBazaar.com has the benefit of leveraging the sourcing network of the Future Groups retail chains. This sourcing network straddles a wide range of product requirements, thus being able to offer us economies of scale thereby - unbelievable prices to its customers

Unmatched Selection of Products and Brands We have more than 20,000 products which creates the flexibility to offer a large range of choices to customers. We also have partnerships with most of the brands available in the country, which allows us to get the latest in the range to our customers. We have been able to create some major popularity ripples with our corporate clients with products like mobiles, electronics, laptops, MP3 players, T-shirts, Gift Vouchers and so on.

Seamless end-to-end Logistics Solution We pride ourselves in having built an end-to-end logistics solution; right from stocking, dispatching, and delivery confirmation upto post-sales support. Our back-end infrastructure enables us to service around 15000 pin codes across India.

Dedicated Customer Care for online customers as well as corporate clients- We have a dedicated team straddling client servicing, sourcing, logistics and customer service for all our customers.

Brand Association" - Most importantly out parentage & association with humungous retail brands like Big Bazaar, Pantaloons, Central and many more, lends tremendous amount of trust & credibility to our end consumers.

About the Future Group

Future Group, led by its founder and Group CEO, Mr. Kishore Biyani, is one of Indias leading business houses with multiple businesses spanning across the consumption space. While retail forms the core business activity of Future Group, group subsidiaries are present in consumer finance, capital, insurance, leisure and entertainment, brand development, retail real estate development, retail media and logistics.

Led by its flagship enterprise, Pantaloon Retail, the group operates over 11 million square feet of retail space in over 63 cities and towns and 65 rural locations across India. Pantaloon Retail was awarded the International Retailer of the Year - 2007, by the US-based National Retail Federation, the largest retail trade association and the the Emerging Market Retailer of the Year 2007 at the World Retail Congress in Barcelona. Future Group believes in developing strong insights on Indian consumers and building businesses based on Indian ideas, as espoused in the groups core value of 'Indian ness'. The group's corporate credo is, 'Rewrite rules, Retain values'. More about Future Group.

The FutureBazaar.com Promise

Manufacturers warranties on all products Future Bazaar sells only original products from authorized dealers; so all applicable products carry the original manufacturers warranty. Customers can visit any of the authorized service centers of the manufacturer if required. The invoice accompanying the product is your warranty document, so please preserve it.

Guaranteed Delivery Future Bazaar guarantees to deliver the exact product you selected, without defects. In case you have received a different product, or if the product was damaged in transit, please let us know and and we will ensure that we replace the product or ensure that your money is refunded. Please note that delivery times vary according to products. 95% of our deliveries take place within the committed time period. For the occasional delays, we will contact you and update you about the status.

Secure Payments We are committed to ensuring that no payment misuse happens, so we work with banks and payment gateways to ensure that your information is protected. Payments are protected both by us and by the policies of your bank, and the chances of fraud in these channels are actually very low. We also have a Risk Management team that scrutinizes all payments to ensure that there are no fraudulent transactions. Our office address is also available for any one who wishes to contact us in person. Moreover, being part of Indias largest retail company with a presence all over India, we are omnipresent! Our Simple 15-Day Return Policy - No questions asked! If you have purchased something at FutureBazaar.com and the product did not meet your expectations or does not fit your needs, then you can return the product to us, no questions asked, as long as it is in its original packaging and accompanied by its invoice. Just contact our Customer Care and well arrange to pick up the product from your home - simple.

Prompt Customer Support Our Customer Care is manned by dedicated personnel, who can take decisions and resolve your problems. They are empowered to solve your problems and are aware of the processes and means to handle them. In case they cannot solve the problem at their end, they will trigger the required action on your behalf or advise you the best possible method to a successful fulfillment of all your queries/issues. Be assured that when you call us, your call is being taken seriously.

Values:
o o

Indian ness: confidence in ourselves. Leadership: to be a leader, both in thought and business.

o o o o o o o

Respect & Humility: to respect every individual and be humble in our conduct. Introspection: leading to purposeful thinking. Openness: to be open and receptive to new ideas, knowledge and information. Valuing and Nurturing Relationships: to build long term relationships. Simplicity & Positivity: Simplicity and positivity in our thought, business and action. Adaptability: to be flexible and adaptable, to meet challenges. Flow: to respect and understand the universal laws of nature.

Mission:
We share the vision and belief that our customers and stakeholders shall be served only by creating and executing future scenarios in the consumption space leading to economic development. We will be the trendsetters in evolving delivery formats, creating retail realty, making consumption affordable for all customer segments for classes and for masses. We shall infuse Indian brands with confidence and renewed ambition.

We shall be efficient, cost- conscious and committed to quality in whatever we do. We shall ensure that our positive attitude, sincerity, humility and united determination shall be the driving force to make us successful.

Sone Ki Chidiya When the Mughals first came to India they were drawn by the lure of her fabulous wealth - India was known as the "Sone Ki Chidiya," literally "The Golden Bird".

According to economic historian Angus Maddison in his book The World Economy: A Millennial Perspective, India had the world's largest economy in the 1st century and 11th century, with a 33% share of world GDP in the 1st century and 29% in 1000 CE. During 1700 AD, Mughal era, Indias share was 24%, more than the whole of Western Europe. It came down to 3.8% in 1950s. Paul Kennedy, in his highly regarded book, The Rise and Fall of the Great Powers: Economic Change and Military Conflict from 1500 to 2000 estimates that in 1750 India's share of the world trade was nearly 25 percent. It came down to 0.5% in the 1960s and now stands at around 1.5%. The Indian economy is once again at the centre of the global attention. As domestic consumption drives economic growth in India, Future Group hopes to play a pivotal role in bringing back the Sone Ki Chidiya.

Objectives of the study To know the brand image of big bazaar. To know the customer satisfaction of big bazaar. To know various factors influencing purchase at big bazaar. To know various categories of customer using big bazaar. To know the source of awareness for the customer.

IMPORTANCE OF ADVERSTING The purpose of ad is motivating but to sell something a product,a services or at big bazaar .The real objective if adv is effective communication between produces and consumers.In otherwords the ultimate purpose all advert is increase Awareness. The following specific objective of advert.

To build primary demand. To introduce a price deal. To inform about a product availability To increase market share. To increase the frequency use of product. To build brand recongnition.