Zad Institute of It & Management: Promotion Mix

ZAD INSTITUTE OF IT & MANAGEMENT
MBA-3
RD
SEMESTER
ADVERTISING MANAGEMENT

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Question 1: Question 1: Question 1: Question 1:- -- - What do you mean by Promotion Mix? Explain in detail. What do you mean by Promotion Mix? Explain in detail. What do you mean by Promotion Mix? Explain in detail. What do you mean by Promotion Mix? Explain in detail.

Answer Answer Answer Answer: -Introduction Introduction Introduction Introduction: : : : Promotion mix is a particular combination of promotion tools used by a company to
communicate with the audiences. There are 5 major tools: advertising, sales promotion, publicity, personal
selling and direct marketing. Promotion mix refers to totality of efforts made by the firm to communicate with
the wholesaler retailer, present customer, potential customers, and general public. In addition to five
promotional tools named above promotion mix also include Product design, Packaging, labelling.For
example:-Instruction and information given on the package like------ date of manufacturing, date of expiry,
ingredients, how to use it, where to store it, side effect, price,etc.all these give the message to the consumer.

Meaning Meaning Meaning Meaning: - Promotion is the co-ordination of all seller initiated efforts to set up channels of information and
persuasion in order to sell good and services to promote an idea.

Defini Defini Defini Definition tion tion tion:- According to P PP Philip Kotler hilip Kotler hilip Kotler hilip Kotler, A companys total communication mix-also called promotion mix
consist of specific blend of advertising, personal selling, sales promotion, public relations and direct
marketing tools that the company uses to persue its advertising and marketing objectives."

Components of the promotion mix Components of the promotion mix Components of the promotion mix Components of the promotion mix: :: :- -- -

Promotion Mix consist of 5 elements

i) i) i) i) Advertisement Advertisement Advertisement Advertisement: - It is a non personal form of presentation of Ideas, Good, Services by an identified sponsor.
Role of advertisemen Role of advertisemen Role of advertisemen Role of advertisement tt t:- a) For quick communication.
b) For communication with masses.
c) For promotion of consumer goods.

ii) ii) ii) ii)Personal selling Personal selling Personal selling Personal selling: - Oral presentation for the purpose of sale.
Role Role Role Role of personal selling of personal selling of personal selling of personal selling:- a) For marketing of industrial & technical goods.
Promotion Mix
Advertising Personal selling
Sales
Promotion
Direct
Marketing
Publicity and Public
Relation
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b) For the small targeted audience.
c) For costly goods.
iii) iii) iii) iii)Sales promotion Sales promotion Sales promotion Sales promotion: - An immediate inducement that adds extra value to the product.
Role of sales Promotion Role of sales Promotion Role of sales Promotion Role of sales Promotion:-a) Middleman-oriented-sales promotion.
b) For seasonal goods.
c) For immediate increase in sales.
iv) iv) iv) iv)Publicity Publicity Publicity Publicity: - Mgt. of fun that helps public to understand the policies of the organization.
Role of Role of Role of Role of Publicity: Publicity: Publicity: Publicity: - -- - a) Non paid formed more credible.
b) Make positive image in mind of ultimate customer.
c) Image is more objective and place more confidence.
v)Direct Marketing Direct Marketing Direct Marketing Direct Marketing:- Direct communication with target audience to obtain immediate response and to develop
long lasting relationship with the customer.
Role Role Role Role of direct marketing: of direct marketing: of direct marketing: of direct marketing:- -- - a) Focus is on literate customer.
b) For service marketing like Banking, insurance, telecommunication.
c) For expensive goods mainly.

Procedure of Determining Promotion Mix

Determination of promotion mix refers to selection and combination of different elements of
promotion mix for achieving the promotional objectives. Following procedure is used for
determining the promotion mix.
1) 1) 1) 1) Consider Consider Consider Consider all availability of promotion methods all availability of promotion methods all availability of promotion methods all availability of promotion methods: these can be advertising, sales promotion,
personal selling, direct marketing, publicity ect.

2) 2) 2) 2) Select Select Select Select optimum promotion mix optimum promotion mix optimum promotion mix optimum promotion mix: tools are combined in such a way that communication
objectives are achieved at minimum cost. Each tool have its merits and demerits. Optimum
promotion mix is the best combination of different promotional tools.

3) 3) 3) 3) Appropriation Appropriation Appropriation Appropriation of the promotion mix of the promotion mix of the promotion mix of the promotion mix:- Total promotional budget is appropriate among
different elements of promotion mix. Budgeting methods are: % method, marginal revenue
method, judgment method, quantitative methods etc.

4) Evaluation of Effectiveness of different Promotional 4) Evaluation of Effectiveness of different Promotional 4) Evaluation of Effectiveness of different Promotional 4) Evaluation of Effectiveness of different Promotional- -- -tools: tools: tools: tools: - Comparing actual results with
pre decided promotional tools. Evaluation tools help the business firm to amend or rectify these
promotional tools.

Factors affecting the Promotion mix Factors affecting the Promotion mix Factors affecting the Promotion mix Factors affecting the Promotion mix
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Question No 2: Question No 2: Question No 2: Question No 2:- -- - What is advertising? What are the main characteristics of advertising? What is advertising? What are the main characteristics of advertising? What is advertising? What are the main characteristics of advertising? What is advertising? What are the main characteristics of advertising? Eplain its Eplain its Eplain its Eplain its
functions and scope of advertising. functions and scope of advertising. functions and scope of advertising. functions and scope of advertising.

1) 1) 1) 1) Nature of Product Nature of Product Nature of Product Nature of Product
a) Consumer Goods - Advertising
b) Industrial Goods - Personal selling

2) 2) 2) 2) Stages of Product life cycle. Stages of Product life cycle. Stages of Product life cycle. Stages of Product life cycle.
a) Introduction stage - Advertising for consumers &
Personal selling for middlemen.
b) Growth Stage - Advertising for consumers &
Personal selling for middlemen.
c) Maturity Stage - Advertising & sales promotion.

d) Decline Stage - Cut in promotion expenses &
Personal contact with a few customers.
e) Obsolescence - No Communication.

3) 3) 3) 3) Nature Nature Nature Nature of Target Market. of Target Market. of Target Market. of Target Market.
a) Size of market
Small- Personal Selling
Large- Advertising
b) Location and Concentration of Customer.
Concentration of the Customer Personal Selling.
Scattered Customer - Advertising
c) Socio- economic Characteristics of Customers.
4) 4) 4) 4) The size of promotional budget. The size of promotional budget. The size of promotional budget. The size of promotional budget.
5) 5) 5) 5) Push and pull Strategy. Push and pull Strategy. Push and pull Strategy. Push and pull Strategy.
6) 6) 6) 6) Promotional Strategy. Promotional Strategy. Promotional Strategy. Promotional Strategy.
7) 7) 7) 7) Price policy. Price policy. Price policy. Price policy.
8) 8) 8) 8) Distribution policy Distribution policy Distribution policy Distribution policy
9) 9) 9) 9) Intensity of market coverage. Intensity of market coverage. Intensity of market coverage. Intensity of market coverage.
10) 10) 10) 10) Availability of promotional meth Availability of promotional meth Availability of promotional meth Availability of promotional methods. ods. ods. ods.
11) 11) 11) 11) Level of compition. Level of compition. Level of compition. Level of compition.
12) 12) 12) 12) Degree of Brand Familiarity. Degree of Brand Familiarity. Degree of Brand Familiarity. Degree of Brand Familiarity.
13) 13) 13) 13) Branded & Unbranded Products. Branded & Unbranded Products. Branded & Unbranded Products. Branded & Unbranded Products.
14) 14) 14) 14) Seasonal Products. Seasonal Products. Seasonal Products. Seasonal Products.
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Answer: Answer: Answer: Answer: Introduction: Introduction: Introduction: Introduction:- -- -Consumer is the central point in every business. Now a days, attracting and
satisfying customers is more difficult than producing the goods. For many products, many brands are
available in the market. Every company wants to improve the market shares. Now, buyers dominate the
market. Advertising is an important means to influence the potential customer. It is an important tool of
marketing. Advertisement influences the customer attitudes and purchase behaviour. Advertisement
increase brand-familarity develop image and help the organization in increasing its market shares.

Meaning Meaning Meaning Meaning :- It is derived from the Latin word adverto
Add + verto

Toward Turn
OR we can say turn the customer towards the products.
Definition:- According to American marketing association Any paid form of non personal
presentation and promotion of Goods, Services or Ideas by an identified sponsor.
Acc. To Philip Kotler, Advertising is non-personal form of communication conducted through paid
media under clear sponsorship.
Main Theme of Advertising Main Theme of Advertising Main Theme of Advertising Main Theme of Advertising

Features of Features of Features of Features of Advertisement: Advertisement: Advertisement: Advertisement:- -- -
1) Paid form Paid form Paid form Paid form:- Advertisement is never free of cost. The company has to make the payment to the media
used for advertisement. The payment can be large can be small depending upon media-circulation,
type/ nature of media & media popularity. Payment to media is also depend upon the time when ad
Advertising
Product
Differentiation
Attracting new
customers
Reducing
Dissonance
Increase in market
share
Creating Brand
Performance and
Brand Loyalty
To Face
Competition
Consumer
Satisfaction
Increase in sales
and profit
Increase in Sales
and Profits
Increase in Sales
and Profit
Reminding and
maintaining old
customers
To inform about
product, price,
place and
promotion scheme
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is shown e.g if ad is shown in prime time or along with popular serial then its cost will be more. If ad
is given on newspaper or magazine, then payment is made on the basis of space taken & in case of
TV the payment is taken on the basis of time taken by ad.
2) Non personal Non personal Non personal Non personal:- In advertisement there is no face to face communication. Here message is transmitted
through mass media like TV, newspaper, magazines, radio, internet etc. because of non personal
feature immediate feedback from audience is not possible and message cannot be adjusted or
changed according to the reaction of target audience.
3) Identified Sponsor Identified Sponsor Identified Sponsor Identified Sponsor:- The sponsor of advertisement is the advertiser. Identified sponsor me ans that
the producer or the seller who advertise the product, Should be known through the advertised
message. In some cases both the brand name are specified in advertisement, while in other cases
only brand name is mentioned in the advertisement. If in any communication, nether brand nor
company can be identified. Then such communication is not an advertisement even if it uses mass
media.
4) Any form Any form Any form Any form: - Advertising can be used to create image, Presence for a company or brand. For this any
form of presentation can be used, it can be in the form of a sign, symbol, message, t.v, pamphlet,
banners, sky balloons etc.
5) Goods, Services, Ideas Goods, Services, Ideas Goods, Services, Ideas Goods, Services, Ideas: : : : - Advertisement is to inform, persuade and remind the prospective buyers
/users about products or services but sometimes ideas may be advertised. For example, Idea of
blood donation, eye donation, etc are also advertised.
6) Can be used by any Can be used by any Can be used by any Can be used by any organis organis organis organisation ation ation ation: : : : - -- - Advertising can be used by any type of organization. It is done
by commercial and charitable organizations. Political and non political organizations, groups and
individual. So any type of organisation can take services of advertising.
7) Speedy Communication: Speedy Communication: Speedy Communication: Speedy Communication: - -- - Advertising is the fastest mode of communicating with the target
audience. This method is fastest then personal selling as here information can be passed to laces of
consumers at one point of time. For example, if a company has to give some urgent message to the
public, Then by releasing the ad in next days newspaper, company can communicate the massage to
laces of people in one day only.
8) Mass Communicating: Mass Communicating: Mass Communicating: Mass Communicating: - Mass communication mean communication with a large group of persons at
the same time. Media like television, newspaper, magazines, and websites pass on information. to
the thousands and lakhs of persons at the same time.
9) Advertising is an Advertising is an Advertising is an Advertising is an art: art: art: art: - -- - Because the creative function of advertising very much depends upon the
creativity of an individual who design the ad. The creation is includes the message design, appeal
design, layout, use of pictures etc. it is art of advertising, on which the success or failure of
advertising campaign depends so advertising is an art.
10) Advertising is not exact science: Advertising is not exact science: Advertising is not exact science: Advertising is not exact science:- Sales is effected by a no of factors such as competition, price level,
product features, consumer taste, stages of business cycle. Principles of advertising is not as exact as
the principle of physical science. Hence advertising is not exact science.
11) An Important Element of An Important Element of An Important Element of An Important Element of Promotion Mix: Promotion Mix: Promotion Mix: Promotion Mix: - Advertising is an important element of promotion mix,
along with personal selling, sales promotion and publicity. Advertising is the mode of mass
communication while personal selling is face-to-Face communication.
12) Motivate and inspires: Motivate and inspires: Motivate and inspires: Motivate and inspires:- Advertising carry message which motivates and inspires customers to
purchase a particular product. The ad message is persuasive and informative enough to motivate
potential customers.
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13) Controlled: Controlled: Controlled: Controlled:- The message , time, place of advertisement is controlled by the sponsor to make
advertisement effective. The selection of media is carefully done to achieve the desired results in
economic ways.
Functions of Advertisement Functions of Advertisement Functions of Advertisement Functions of Advertisement

Scope of Advertisement Scope of Advertisement Scope of Advertisement Scope of Advertisement

1) 1) 1) 1) Increase in Ad functions Increase in Ad functions Increase in Ad functions Increase in Ad functions: :: :- -- - Earlier ads were designed to satisfy informative needs of buyers in the
form of public announcements but now advertising includes building brand image, Brand Loyalty,
and persuading the buyer to purchase the product. Now advertising performs informative,
communicating, and persuading function.
Functions of Advertising
Primary Function Secondary Function Social function
1) Announcing
new product and
services.
2) Expand the
market to new
buyers.
3) Promotes new
uses of the
product.
4) Create demand.
5) Educate
customer
6) Remind user
7) Create brand
preference
8) Announce
location of retailer.

1) Help to boost the
morale of salesmen.
2) Supports salesmen.
3) Reaches customer left
by salesmen.
4) Help to procure better
customer.
5) Large scale economies
6) Lower cost of
contacting per person
7) Help to neutralize
competitors advertising.
1) Improving standard
of living.
2) Awareness among
rural masses.
3) Create Employment
4) Help to solve social
problems
5) Creates awareness
about dangerous dieses
6) Other social function
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2) 2) 2) 2) Ad for Attracting and supporting Middlemen and Salesmen: Ad for Attracting and supporting Middlemen and Salesmen: Ad for Attracting and supporting Middlemen and Salesmen: Ad for Attracting and supporting Middlemen and Salesmen:- Earlier the need for advertisement for
middlemen and salesmen was not realized as there were very few manufacturers and middlemen
could be easily attracted. But now to attract efficient middlemen and salesmen and support them,
advertising is must.
3) 3) 3) 3) Increase in Non commercial Ads: Increase in Non commercial Ads: Increase in Non commercial Ads: Increase in Non commercial Ads:- Now a days, various non commercial ads are issued by
government departments, Social organizations for general public. For example ad on awareness of
various social issues, social problems viz. Fatal diseases, Female foecticide, dowry, girl education,
Adult- Education etc.
4) 4) 4) 4) Growth in media: Growth in media: Growth in media: Growth in media:- Earlier very less media sources were available to advertisers for communicating
with target audience, but now a days there is phenomenal growth in media means like news papers,
T.V., etc.
5) 5) 5) 5) Increase in industrialization: Increase in industrialization: Increase in industrialization: Increase in industrialization:- With the growth in the industries, Mechanization, transportation, mean
of communication, business firms go in for production at a large scale. The mass production done by
these big companies can-not be marked without advertisement. So now advertisement has become
more important activity.
6) 6) 6) 6) Increase in level of competition: Increase in level of competition: Increase in level of competition: Increase in level of competition:- -- - The level of competition has increased manifold. For any product
many brands are available. A company cannot be popular in the market without advertising. Earlier
the level of competition used to be less. So earlier there was less need of advertisement. But now
because of increase in level of competition, there is greater need of advertising. It has increased the
scope of advertising.
7) 7) 7) 7) Increase in Readership and Viewer ship: Increase in Readership and Viewer ship: Increase in Readership and Viewer ship: Increase in Readership and Viewer ship:-With the growth in literacy, readership of newspapers and
magazines has increased and now newspapers and magazines are full of advertisements. Similarly
with the growth in electronics, a computer has increased. This has led to the growth of audio visual
advertising and increased the scope of advertising.

Question No3: Question No3: Question No3: Question No3:- -- - What do you mean by Communication Process? How it will stimulate the primary and What do you mean by Communication Process? How it will stimulate the primary and What do you mean by Communication Process? How it will stimulate the primary and What do you mean by Communication Process? How it will stimulate the primary and
selective d selective d selective d selective demand? emand? emand? emand?

Answer: Introduction Introduction Introduction Introduction: :: : - -- - Communication has been defined as a process in which exchange of
ideas and information takes place among different persons. It is a circular process which means
that there are various steps one after the other. Marketing communication process has following
stages/ elements.
1) Source
2) Encoding
3) Message
4) Decoding
5) Receiver
6) Response/ Feedback
7) Noice

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Marketing communication: Marketing communication: Marketing communication: Marketing communication: - -- - Is the process in which two or more persons consciously or
unconsciously, attempt to influence each other through some use of symbols. Communications
have 4 basic components:-
A source
A destination
A medium
A message

Marketing communication done particular with 2 areas
1) External flow
2) Internal flow
1) External flow:- the targeted audience for this particular communication is

Channel member
a) wholesaler
b) Retailer

Customer
a) Past
b) Current
c) Potential

Companies
a) Competing
b) Non competing
Others
a) Govt. Agencies
Sender Encoding Message/Media Receiver
Decoder Feedback/ Response
Noice Distortion
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b) Private agencies
c) Experts
2) Internal flow:- the targeted audience for this particular communication is

Company deptt.
Employee
Stockholder

WILBUR SCHRAMMS MODAL
A well known communication expert gives a significant contribution in the field of
communication.
He modified the Shannon & Weavers Model of communication.

Limitation : - One way communication only.
Schramms modify the modal as according to the following conditions

--- In place of transmitter and receiver he uses encoder and decoder.
--- Schramms add the concept of field of experience.
--- Circle indicates the accumulated experience of two individual trying to communicate.
--- Both Sender and decoder have there own field of experience.
--- If circles do not meet then communication is impossible
--- Circles are meet then communication is possible.
--- Area in circles are large communication is smooth.
Information
Source
Transmitter Channel Receiver Destination
Noice
Source
Field of
Experience
Field of
Experience

Signal
Source Encoder Destination Decode
r
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--- Area in circle is small shrieked then communication is different because communicating
persons belonging to another culture.
Schramms developed a significant model to explain the process of mass communication.
Source:- Media organization like Newspaper & Broadcasting station.

Role of source help the organization in following manner: Role of source help the organization in following manner: Role of source help the organization in following manner: Role of source help the organization in following manner:
1) Source communication the message to the target audience. He is the person who initiates
the communication process and he is also known as sender in communication process.
2) A popular source attracts the attention of target audience and makes the advertisement
easy to remember. If source is a well known person then it easily attracts the attention of
audience.
3) Credible source increase the credibility of message i.e. people feel that message given by
credible source is correct.
4) Attractive, efficient, popular source help to increase the sales and profit of an
organisation.
5) Effective source helps to face competition by improving Brand-image, Product-image,
& Institution-image.

The mass Audiance

Many Receivers
Then decoding,
Interpreting
& Encoding

Each connection with group
Where message is intarupted
Feedback

Input from N.p, sources.

Conclusion: Conclusion: Conclusion: Conclusion:- -- - Hence the Wilbur Schramms model explain how communication process
stimulate the primary & selective demand through its integrated marketing communication and
models explained.

Unit- II

Encoder

Interpreter

Decoder
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Question No 4:- Explain the different Types & Objectives of the advertising.

Answer: Introduction-Objectives are those end points towards which every activity of an
organisation is oriented. Without setting objectives it is very difficult to control and manage any
activity. Setting the goal and objective is a starting point of management.

Meaning: of objectives of advertising is communication task to be accomplished among a
defined audience in a given period of time.

Defination:-
According to R.S.Davar:-Advertising aims at educating the customers, supplementing the
salesmen, enabling the dealers to face the competition but above all, it is a link between producer
and consumer.

Types of objective

DAGMAR APPROACH
Defination : - Define advertising goal measuring advertising results.
Sales
Objectives
Communication
objective
To increase sales
To increase market shares
To improve brand image
To improve company
image
To increase profit
To create brand awareness
To give knowledge about the
product
To develop preference about the
products over other competitive
products
To affect buyer behavior to buy
the product.
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Hierarchy- of effective model
1) Awareness:- Making the consumer aware of the existence of the brand or company.
New features are added in already existing products.
Product launched for the first time.
2) Comprehension:- Next objective should be to develop an understanding of
What the product is & What it will do the customer i.e How it will satisfy
the needs of customer.
3) Conviction:- Persuading the consumer to by the product.
Developing a mental disposition to buy the product.i.e a belief that this
product can best satisy the customers need.
4) Action:- Getting the consumer to actually purchase the product.
Next obj. to make the target customers buy the brand.

Classification of the advertising :-
The objective of advertising differ under different situations. One advertiser may seek to
generate immediate response from the customer; another may seek to develop awareness or
positive image for its product over a longer period. So they need different types of
advertisements. Now a days service advertisement are also very common, like financial
advertisements, banking advertisement etc.

1) 1) 1) 1) Advertising on the basis of Geographical Area. Advertising on the basis of Geographical Area. Advertising on the basis of Geographical Area. Advertising on the basis of Geographical Area.
a) a) a) a) Local/ regional Local/ regional Local/ regional Local/ regional
b) b) b) b) National National National National
c) c) c) c) Global/ International Global/ International Global/ International Global/ International

2) 2) 2) 2) Advertising on the basis of Target Advertising on the basis of Target Advertising on the basis of Target Advertising on the basis of Target- -- - Audience. Audience. Audience. Audience.
a) a) a) a) Consu Consu Consu Consumer Advertising mer Advertising mer Advertising mer Advertising
b) b) b) b) Industrial Advertising Industrial Advertising Industrial Advertising Industrial Advertising
c) c) c) c) Professional Advertising Professional Advertising Professional Advertising Professional Advertising
d) d) d) d) Trade Advertising Trade Advertising Trade Advertising Trade Advertising

3) 3) 3) 3) Advertising on the basis of Demand Influence Level. Advertising on the basis of Demand Influence Level. Advertising on the basis of Demand Influence Level. Advertising on the basis of Demand Influence Level.
a) a) a) a) Primary demand creation Ads. Primary demand creation Ads. Primary demand creation Ads. Primary demand creation Ads.
Awareness

Comprehension

Conviction

Action
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b) b) b) b) Selective demand Stimulation Ads. Selective demand Stimulation Ads. Selective demand Stimulation Ads. Selective demand Stimulation Ads.

4) 4) 4) 4) Advertising to promote Institution Image Or Brand Image. Advertising to promote Institution Image Or Brand Image. Advertising to promote Institution Image Or Brand Image. Advertising to promote Institution Image Or Brand Image.
a) a) a) a) Institutional Ads/ Corporate Advertising. Institutional Ads/ Corporate Advertising. Institutional Ads/ Corporate Advertising. Institutional Ads/ Corporate Advertising.
b) b) b) b) Product Advertising. Product Advertising. Product Advertising. Product Advertising.

5) 5) 5) 5) Advertising on the basis of different stages of Product Life Cycle. Advertising on the basis of different stages of Product Life Cycle. Advertising on the basis of different stages of Product Life Cycle. Advertising on the basis of different stages of Product Life Cycle.
a) a) a) a) Informative/ Pioneering Advertising. Informative/ Pioneering Advertising. Informative/ Pioneering Advertising. Informative/ Pioneering Advertising.
b) b) b) b) Persuasive Advertising Persuasive Advertising Persuasive Advertising Persuasive Advertising
c) c) c) c) Reminder Advertising Reminder Advertising Reminder Advertising Reminder Advertising

6) 6) 6) 6) Advertising on the basis of Timing of Resp Advertising on the basis of Timing of Resp Advertising on the basis of Timing of Resp Advertising on the basis of Timing of Response. onse. onse. onse.
a) a) a) a) Direct Action Advertising Direct Action Advertising Direct Action Advertising Direct Action Advertising
b) b) b) b) Indirect Action Advertising Indirect Action Advertising Indirect Action Advertising Indirect Action Advertising

7) 7) 7) 7) Advertising on the basis of Media Used. Advertising on the basis of Media Used. Advertising on the basis of Media Used. Advertising on the basis of Media Used.
a) a) a) a) Emotional Advertising Emotional Advertising Emotional Advertising Emotional Advertising
b) b) b) b) Rational Advertising Rational Advertising Rational Advertising Rational Advertising

8) 8) 8) 8) Advertising on the basis of Nature of Appeal Made. Advertising on the basis of Nature of Appeal Made. Advertising on the basis of Nature of Appeal Made. Advertising on the basis of Nature of Appeal Made.
a) a) a) a) Print Ads Print Ads Print Ads Print Ads
b) b) b) b) Audio Audio Audio Audio- -- - Visual Ads. Visual Ads. Visual Ads. Visual Ads.
c) c) c) c) Audio Audio Audio Audio

9) 9) 9) 9) Other Type of Advertisin Other Type of Advertisin Other Type of Advertisin Other Type of Advertising gg g
a) Classified Advertising a) Classified Advertising a) Classified Advertising a) Classified Advertising
b) b) b) b) Social Advertising Social Advertising Social Advertising Social Advertising
c) Cooperative Advertising c) Cooperative Advertising c) Cooperative Advertising c) Cooperative Advertising
d) Re d) Re d) Re d) Re- -- -enforcement Advertising enforcement Advertising enforcement Advertising enforcement Advertising
e) Defensive Advertisement e) Defensive Advertisement e) Defensive Advertisement e) Defensive Advertisement
f) Service Advertising f) Service Advertising f) Service Advertising f) Service Advertising
g) Push and pull Advertisement g) Push and pull Advertisement g) Push and pull Advertisement g) Push and pull Advertisement
h) In h) In h) In h) In- -- - store Advertising store Advertising store Advertising store Advertising

Question No5: Question No5: Question No5: Question No5:- -- - How you will determine the target market & develop advertising How you will determine the target market & develop advertising How you will determine the target market & develop advertising How you will determine the target market & develop advertising program acc program acc program acc program acc. .. . to to to to
that. that. that. that.
Answer Answer Answer Answer:- Creating unique, novel, and selling ideas is known as creativity in advertisement.
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Advertising creativity is an art; it is the ability to generate fresh, original & unique idea in
communicating with the target audience. Ad-creativity is the outcome of imaginative skills of
copywriter, commercial artist or layout designer.
To be successful, creative idea must be related with product features, customer characteristics.
Creating such unique selling idea which is original and different in difficult task.

Steps in creative design process Steps in creative design process Steps in creative design process Steps in creative design process

Deciding advertising objective. Deciding advertising objective. Deciding advertising objective. Deciding advertising objective.
Collecting information about customers, product, Collecting information about customers, product, Collecting information about customers, product, Collecting information about customers, product, and competition and competition and competition and competition. .. .
Generation of new ideas by creative Generation of new ideas by creative Generation of new ideas by creative Generation of new ideas by creative specialists. specialists. specialists. specialists.
Approval of creative ideas by advertising manager and marketing manager of advertisers. Approval of creative ideas by advertising manager and marketing manager of advertisers. Approval of creative ideas by advertising manager and marketing manager of advertisers. Approval of creative ideas by advertising manager and marketing manager of advertisers.
Deciding Deciding Deciding Deciding message message message message- -- -contents, message contents, message contents, message contents, message- -- -forma forma forma format tt t, and , and , and , and designing Ad designing Ad designing Ad designing Ad- -- -copy. copy. copy. copy.
Copy/ Layout test befor Copy/ Layout test befor Copy/ Layout test befor Copy/ Layout test before e e e actually launching the actually launching the actually launching the actually launching the advertisement advertisement advertisement advertisement.

Advertisement Advertisement Advertisement Advertisement contents contents contents contents

1) 1) 1) 1)Message Message Message Message:- Consist of Facts, opinion, symbols, Pictures related to the product.
Purpose:- Communication with the target audience
Effectiveness of advertising is depending upon how advertisement is framed.
1. Message-Content- What to Say?
2. Message-Format- How To Say?
3. Message-Source- Who should say it?
This decision regarding message content, Message format and message source depends upon
factors like competition consumer characteristics buyer behavior product feature.
Legal factors amount of ad- budget.
1. Message contents Message contents Message contents Message contents: :: :- -- -
a) What ads. Wants to communicate to targeted audience through advertisement copy.
b) Message is regarding:-
c) High quality of product
d) Low price appeal.
e) Good after sales services
f) Durability of the product.
g) Informations about exchange offers
h) Discount Offer, Festival Offers etc

2. Message format: Message format: Message format: Message format:- -- -
a) Ad- copy for print media
b) Ad-copy for broad cast media.
c) Radio
d) T.v
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3. Message Message Message Message- -- -Source: Source: Source: Source:- -- - Person who communicate the message of advertiser to the target
audience.
Also known as brab-ambassoder example film star, sport person, winner of beauty contests etc.
Example- ORAL-B toothpaste & brush-dentist give the ad message.

Elements/Component of print Advertising Copy: Elements/Component of print Advertising Copy: Elements/Component of print Advertising Copy: Elements/Component of print Advertising Copy:- -- -
Advertising-Copy is prepared after combining various components or elements of Ad-copy.
Elements/ Components of ad-copy made for different media are different. In the future
discussion, Elements/components of print ad copy and broadcast ad copy are discussed.
Components of print-Ad- copy are headlines, subheads, body-copy, slogans, blurbs, boxes &
panels, Illustrations, Identification- marks, Closing ideas etc.
1)Headline: 1)Headline: 1)Headline: 1)Headline:- -- -
It refers to words which are in leading positions of advertisement. These words are
read first by the audience. These are given in larger type size. Headline is the most important part
print ad- copy. Headlines attract the attention of audience and arouse the interest of readers in
rest part of ad- copy. It should be simple, clear, short and should attract/hold attention of the
audience. It must be shown in a prommenent manner in the advertisemnt copy. It can be about
important feature of the product, manufacturers achievement, Special offers or special news etc.

Functions of Headlines: Functions of Headlines: Functions of Headlines: Functions of Headlines:- -- -
to attract attention of audience
to highlight main features of the product
to give main message of the ad in brief
to arouse interest for further reading of ad-copy

Essentials of Headlines: Essentials of Headlines: Essentials of Headlines: Essentials of Headlines:- -- -
It should be attractive.
It should be brief.
It should be easy to memorise.
It should narrate the whole of message in nutshell
It should arouse the interest to read further ad-copy.
It should be original, unique, different, innovative and specific.
Its type-size should be large enough to contrast from rest of ad copy.
It must be linked with rest of ad-copy.

Different Forms of Different Forms of Different Forms of Different Forms of Headlines Headlines Headlines Headlines: :: :- -- -
Direct Benefit Headlines
Question Headlines
Announcement Headlines.
Provocative Headlines
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Selective Headlines
Label Headlines
Negative Headlines

Illustrations: Illustrations: Illustrations: Illustrations:- -- - It is the visual elements of print-ad-copy. It may be in the form of attractive
photo of the product, drawing, cartoons, pictures, symbols graphs, paintings.
It is often a dominant part of print-ad and plays an important role in increasing the effectiveness.
Illustration attracts attention; communicate an idea or image of advertising message.

Types of Illustration: Types of Illustration: Types of Illustration: Types of Illustration:- -- -
Photo of Product.
Photo of Product in use.
Photos from different angle.
Photo-in-comparison.
Photo highlighting product results.
Photo of message source person/ model.
Symbolic photos.
Photo of product Mix.

Purposes of Illustration: Purposes of Illustration: Purposes of Illustration: Purposes of Illustration:- -- -
Illustration helps in attracting attention and arousing desire/ interest in advertisement.
It help the buyer in identifying product, Brand-name and successive ads by simply having
a look on illustrations. Thus, use of illustrations help the viewer to memorise the ad.
It helps the buyers in understanding the ad-message given in ad-copy.
Illustration helps to improve the design and look of advertisement copy.
Through illustration, even illiterate customers can receive the message given in ad-copy.

C CC Copy: opy: opy: opy:- -- -
Design and production of advertisement involves a number of activities, among them
are writing copy, Developing illustrations, developing other visual elements of advertisement
and bringing all pieces together to create effective ad-copy. Copy-writing is different for print
ads, Broadcast ads and T.V. commercials. The Basic components of print- ad are: headlines, sub-
heads, body-copy, illustrations, slogan, logo, identification-marks, blurbs, boxes or panels,
colors, closing ideas, layout etc.

Requisites of Effective Advertisement Copy: Requisites of Effective Advertisement Copy: Requisites of Effective Advertisement Copy: Requisites of Effective Advertisement Copy:- -- -
Attractive
Interesting
Retention Value
Suggestive
Educative
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Believable
Appropriate

Miscellaneous Characteristics: Miscellaneous Characteristics: Miscellaneous Characteristics: Miscellaneous Characteristics:- -- -
Brief
Language
Confirm to Rules
Avoid Obscenity
Simple and Easy to understand
Matching to consumers Requirements
Entertainment.

Types of advertisement Types of advertisement Types of advertisement Types of advertisement copy: copy: copy: copy: - -- - Advertisement Copy may be of various types based on
functions, Appeal, Purpose, Media of advertising. Mainly advertising copies are of following
types:
1) Descriptive Copy 8) Technical Copy
2) Questioning Copy 9) Reason-why-Copy
3) Comparative Ad-copy 10) Dramatisation Copy
4) Announcement Copy 11) Prestige Copy
5) Institutional Copy 12) Reminder-ad-copy
6) Topical Copy 13) Test-ad-copy
7) Personality Copy 14) Animation-ad-copy

Advertising Appeal/ Advertising Themes: Advertising Appeal/ Advertising Themes: Advertising Appeal/ Advertising Themes: Advertising Appeal/ Advertising Themes:- -- - Ad appeal refers to the approach used in
attention of audience or influencing their feeling/ Behaviour towards advertisers product or
service. Appeals help to arouse interest of audience towards advertisers product. Ad appeal can
be of many types. The main ad appeals are as follows:
Rational Appeal
Feature Appeal
Favorable Price Appeal
Competitive Advantage appeal
Announcement Appeal
Emotional Appeal
Pride Appeal
Affection Appeal
Comfort Appeal
Fear Appeal
Humour Appeal
Safety Appeal
Sex-Appeal
3) Combining Rational and Emotional Appeals.

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Question No 6: Question No 6: Question No 6: Question No 6:- -- -What is media planning & Strategy. How you will evaluate the broadcast, What is media planning & Strategy. How you will evaluate the broadcast, What is media planning & Strategy. How you will evaluate the broadcast, What is media planning & Strategy. How you will evaluate the broadcast,
print & su print & su print & su print & support media. pport media. pport media. pport media.
Answer : Answer : Answer : Answer : Introduction Introduction Introduction Introduction: :: :- -- - Media plan decides how advertising time and space in various media
will be used to achieve the advertising and marketing objective of the company. The basic
goal of media plan is to find out that combination of media which enables the advertiser to
communicate the ad-message in the most effective manner at lowest cost in communicating
with the target audience.
An advertising plan is decided by the advertiser to achieve advertising objectives. Advertising
objective are decided keeping in view the marketing objectives of the company.In media plan
following main media decision are taken:-
1) Selecting suitable media to serve the advertisers need i.e selecting media which
can reach the target audience of advertiser.
2) Selecting best combination or mix of media which is within the advertisers ad-
budget.
3) Selecting most suitable media schedules.
In Brief media planning includes the answer to following 5 Ws:
1) 1) 1) 1) Whom Whom Whom Whom: Whom do we want to reach? i.e identifying target audience(potential customers).
2) 2) 2) 2) Where Where Where Where: Where are potential customers located? i.e identifying geographical area.
3) 3) 3) 3) What What What What : What type of message is to be selected for communicated? i.e the message is
informative or demonstrative in nature.
4) 4) 4) 4) Which: Which: Which: Which: Which media is to be selected for communicating with our target audience?i.e
Identifying suitable media-mix.
5) 5) 5) 5) When When When When:-When ad is to be issued? i.e deciding month,day time of ad.

Steps Involved in media planning Steps Involved in media planning Steps Involved in media planning Steps Involved in media planning: :: :- -- -

1) 1) 1) 1) To know about target market. To know about target market. To know about target market. To know about target market.
2) 2) 2) 2) To Consider various Factors Af To Consider various Factors Af To Consider various Factors Af To Consider various Factors Affecting Media Planning. fecting Media Planning. fecting Media Planning. fecting Media Planning.
Internal Internal Internal Internal- -- -factors factors factors factors
External External External External- -- -factors factors factors factors
3) 3) 3) 3) T TT To identify the geographical Area. o identify the geographical Area. o identify the geographical Area. o identify the geographical Area.
4) 4) 4) 4) Establishing Media Establishing Media Establishing Media Establishing Media- -- -Objectives. Objectives. Objectives. Objectives.
5) 5) 5) 5) Selecting Optimum media Selecting Optimum media Selecting Optimum media Selecting Optimum media- -- - mix. mix. mix. mix.
6) 6) 6) 6) Selecting Suitable Selecting Suitable Selecting Suitable Selecting Suitable- -- -media Vehicle within each selected. media Vehicle within each selected. media Vehicle within each selected. media Vehicle within each selected.
7) 7) 7) 7) Media Media Media Media- -- -Scheduling Scheduling Scheduling Scheduling.
8) 8) 8) 8) Execution of advertising Prog Execution of advertising Prog Execution of advertising Prog Execution of advertising Programme. ramme. ramme. ramme.
9) 9) 9) 9) Follow Follow Follow Follow- -- -up and Evaluation. up and Evaluation. up and Evaluation. up and Evaluation.

Factors affecting media Planning Factors affecting media Planning Factors affecting media Planning Factors affecting media Planning : :: :- -- -

(1) Nature of Product Nature of Product Nature of Product Nature of Product: :: : Product to be advertised can be industrial/technical product or
consumer product: Industrial/Technical products can better be advertised in their specific
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trade-journals/magazines. Consumer products can better be advertised through mass media
such as :

Television
Newspaper
Outdoor Advertising etc.

Similarly, products for export can be advertised in such magazines which have circulation on
other countries like- products from India, Product finder. Fashionable products can be
advertised in fashion magazines like-

Film fare
Femina
Stardust etc.

(2) Nature of Customers: Nature of Customers: Nature of Customers: Nature of Customers: An appropriate media plan must consider the type or class of
consumers, for whom advertising is to be done. Different consumers differ in their age-
group, sex income, personality, educational level, attitude. On the basis of consumer traits,
consumer groups can be:

men,
women,
children,
young
Old
Professional
Businessmen
High income group
Middle-income group
Low-income group
Literate
Illiterate etc.

(a) Age: For advertising for kids-products, television is the best media for communicating
message; Even in T.V., and can be given in carton related T.V. channels. IF target
audience is young then television, magazines are suitable. If target audience consists of
old-age-group, then newspaper, television, is a good choice.
(b) Level of Education: If target-audience are highly educated, then advertisement should b
given in magazines, national newspapers, internet, television. If target audience are less
educated, then local newspaper printed in local languages, low-profile magazines, T.V.
are suitable. If audience are illiterate, then print-media is not suitable. Here braodcast
media is a good choice.

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(c) Number of Customers; If number of target customers is more, then mass-media like
television, newspaper will be considered. If number of target customers is les, then
direct mail-media, tele-advertising are suitable.

(3) Characteristics of Distribution Channels Characteristics of Distribution Channels Characteristics of Distribution Channels Characteristics of Distribution Channels: :: : Distribution channels can be classified on
the basis of geographical distribution of goods or services of advertiser. Distribution channels
may be classified as local distributor, regional distributors, national distributors, international
distributors.

a) a) a) a) Local Distributor: If the product is to be distributed locally or regionally, then media
with local coverage and reach should be considered like local newspaper, cable-
network etc.

b) b) b) b) National Distributors: If product is distributed on national level, then media with
national coverage like national dailies (newspaper), national-level-T.V. channels will
be suitable.

c) c) c) c) International Distributors: If the product is to be sold at international level, then media
having reach and circulation in foreign countries will be effective e.g. Internet,
Magazines with circulation in foreign countries, T.V. channels having international
coverage like B.B.C should be considered. If number of dealers is less, then direct-
mail-media can also be selected.

(4) Advertising Objectives: Advertising Objectives: Advertising Objectives: Advertising Objectives: The major objective of every advertising campaign is to get
favorable response from customer, but the specific objectives can be different. If the
objective of advertising compaign is to get immediate results, then fast media of
communication like newspapers will be considered. If the objective of advertising is to build
corporate-goodwill, and bran-equity, then magazines, television will be considered.

(5) Nature of Message Nature of Message Nature of Message Nature of Message: If advertising message is informative in nature, then newspaper will
be suitable. If ad-message is to persuade consumers, then they need to be given emotional-
appeal, rational-appeal, demonstration of product, then television media will be considered
for advertising. For example, if ad-message is to inform the potential customers of sale-
promotion schemes, discount-offers, exchange-offer, festival-offers, then it can be advertised
through posters, banners, newspaper-inserts and newspaper. If ad-message is to inform and
persuade for the new product launched by advertiser, it can be advertised in television,
newspaper. Through T.V., advertiser can demonstrate the new product, show its uses,
compare it with existing products and create the need for the new product.

(6) Size of Ad Size of Ad Size of Ad Size of Ad- -- -Budget Budget Budget Budget: If amount of advertisement budget is more, then costly media like
television, national dailies, popular magazines can be selected. If amount of Ad-budget is
less, then media like posters, banners, cable-network, local newspaper, pamphlets will be
suitable.
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(7) Media Used by Competitors Media Used by Competitors Media Used by Competitors Media Used by Competitors: While planning for media the advertiser must consider the
media selected by competitors and leaders of that industry. If advertiser does-not consider
competitors and leaders of that industry. If advertiser does-not consider competitors move
regarding media, then it is possible that advertisers market share is taken by competitors. If
industry-leader is using T.V. as media, then the advertiser, too, must consider the same
media. The advertiser must have a close watch on media-strategies, ad-budget of
competitors. However, competitors strategies should not be followed blindly, as it is
possible that decision of competitor is wrong.

(8) Media Media Media Media- -- -Availability Availability Availability Availability: :: : Sometimes it is possible that desired space for advertisements, in
print media is already booked by some other advertiser. For example, advertiser wants to
issue an advertisement on front page of newspaper or on the cover-page of any magazine, but
this space is already booked by some other advertises, then this media is not available to the
advertiser, and he will plan for some other media or he will have to change timing of
advertisement. Similarly if an advertisement is to be issued on television during a particular
programme, then it is possible that advertising time is not available on that programme, as it
may have been booked / sponsored by other advertisers. SO, media-availability must be
considered for media planning.

(9) Media Reach and Coverage: Media Reach and Coverage: Media Reach and Coverage: Media Reach and Coverage: Such media should be selected which has wide reach and
can cover our target customers. If the advertiser has two available media, involving same
cost, then media with more reach and coverage of our target audience will be selected. Media
reach means total circulation/viewership of media in a given period of time, will be called its
reach per day. If ad is given on T.V., then expected audience size of that TV programme in
which ad is issued, in a given period of time is called its reach. If measurers the number of
persons who are exposed at least once to this media in a specific period of time.
Media coverage refers to the potential audience who might receive the message given by
media. Higher media reach will ensure higher media coverage, if the media matches with the
features of our target audience. So selected media must match with out target audience.

(10) Media Cost Media Cost Media Cost Media Cost: : : : Advertiser should compare the cost of each media by considering the
number of audience covered by such media. It is possible that a media seems to be costly, but
if it can cover large number of audience, then cost per audience will be less. In case,
advertisement is to be given in newspapers, then cost of different newspaper is computed on
the basis of cost per one lac of its circulation.

(11) Media Media Media Media- -- -Frequency Frequency Frequency Frequency: :: : Media-frequency refers to average number of times; the audience is
exposed to media-vehicle in a specified period of time. Higher media-frequency is preferred.
Greater the frequency, more are the chances of advertisement message making deep
impression on the minds of consumers. In case of print media, frequency of newspaper is
very less as the receiver is not exposed to the same newspaper for a long period of time. On
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the next day he will be getting the new newspaper and old newspaper will be discarded the
same day. In case of magazine, media-frequency is more as same magazine may be opened
by audience may a time, as the magazine will be repeated after a month or after a fortnight.
In case of television, if an advertisement is given in a weekly T.V. programme, and if it is given
once in every episode, and say ad is given for four episodes, then here frequency means number
of times, the audience are exposed to this advertisement in four week duration period. Higher
frequency will create better impressions on target audience. So media with higher frequency
should be selected.

(12) Media Media Media Media- -- -Image Image Image Image: Some media-image vehicles enjoy better image in comparison to other
media vehicles. Media-image enhances the communication value of advertisement. Good
reputation of editorial board, well established media, enjoy better image among public, so
advertisements given in such media enhance the credibility and trust of advertisements. So
media with good image should be selected.

Question No7: Question No7: Question No7: Question No7:- -- -How you will evaluate the broadcast, print & support media. How you will evaluate the broadcast, print & support media. How you will evaluate the broadcast, print & support media. How you will evaluate the broadcast, print & support media.

Evaluation of Advertising Media:

1) PRINT MEDIA:- Print media is also known as press advertising. It is one of the media
of communication also with broadcast media and outdoor advertising media. It mainly
include the advertisement through newspaper and magazines.Print media is mainly of two
types:-

a) Newspaper
b) Magazines & Jurnals
a) Newspaper: - Newspaper are brought largely for their news values. Newspapers are
published in various languages. In India, maximum newspapers are published in Hindi
and English. Newspapers include following types of advertisement:
Local Advertisement
National Advertisement
Classified Advertisement
Special Ads and Inserts

Advantages Advantages Advantages Advantages: :: :- -- -
Wide coverage Wide coverage Wide coverage Wide coverage
Low cost per reader Low cost per reader Low cost per reader Low cost per reader
Flexibility Flexibility Flexibility Flexibility
Quick delivery of message Quick delivery of message Quick delivery of message Quick delivery of message
Geographical Selectivity Geographical Selectivity Geographical Selectivity Geographical Selectivity
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More Credibility More Credibility More Credibility More Credibility
Most Suitable for Comparative Most Suitable for Comparative Most Suitable for Comparative Most Suitable for Comparative- -- -Advertising. Advertising. Advertising. Advertising.
Disadvantages Disadvantages Disadvantages Disadvantages
Short life span Short life span Short life span Short life span
Limited coverage Limited coverage Limited coverage Limited coverage
Advertisement Overload Advertisement Overload Advertisement Overload Advertisement Overload
Poor Production Poor Production Poor Production Poor Production
Wasteful Circulation Wasteful Circulation Wasteful Circulation Wasteful Circulation
Proves Costly if Number of Customer is less Proves Costly if Number of Customer is less Proves Costly if Number of Customer is less Proves Costly if Number of Customer is less

Magazines and Journals Magazines and Journals Magazines and Journals Magazines and Journals: :: :- -- - Are another form of print media. These are published
periodically at regular intervals like fortnightly, monthly, quarterly, annually. Magazines
are classified as:
Consumer-magazines
Special interest magazines
Business magazines
Regional magazines
Professional magazines

Advantages: Advantages: Advantages: Advantages:- -- -
Long life Span Long life Span Long life Span Long life Span
Better Quality Better Quality Better Quality Better Quality
Leisure Readership Leisure Readership Leisure Readership Leisure Readership
Credibility Credibility Credibility Credibility

Disadvantages: Disadvantages: Disadvantages: Disadvantages:- -- -
Limit Limit Limit Limited Reach ed Reach ed Reach ed Reach
Long Life Span Long Life Span Long Life Span Long Life Span
Overloaded with Ads Overloaded with Ads Overloaded with Ads Overloaded with Ads
Delayed Readership Delayed Readership Delayed Readership Delayed Readership
High Cost High Cost High Cost High Cost
Disadvantages of Print Media Disadvantages of Print Media Disadvantages of Print Media Disadvantages of Print Media
High Cost High Cost High Cost High Cost
Broad Cast Media: Broad Cast Media: Broad Cast Media: Broad Cast Media:- -- - It includes advertisement in ratio, television , cable etc. It
differs from print advertising media as it has both audio and visual effect. Broadcast
is a media carrying advertisers message.to the target audience.Broadcast media is
mainly of two types:-
a) a) a) a) Television Television Television Television
b) b) b) b) Radio Radio Radio Radio

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a) Television: Television: Television: Television:- -- - Commercial television advertising was introduced in India in 1976.
with the reduction in T.V. price and increase in economic status of an average
Indian, available of T.V. Sets has increased speadly.
Strong Impact Strong Impact Strong Impact Strong Impact
Wide Coverage Wide Coverage Wide Coverage Wide Coverage
Emotional Appeal Emotional Appeal Emotional Appeal Emotional Appeal
Attractive Message Attractive Message Attractive Message Attractive Message
Geographical Selectivity Geographical Selectivity Geographical Selectivity Geographical Selectivity
Disadvantage: Disadvantage: Disadvantage: Disadvantage:- -- -
Expensive Expensive Expensive Expensive
Long Pro Long Pro Long Pro Long Production Time duction Time duction Time duction Time
High Production Cost High Production Cost High Production Cost High Production Cost
Not suitable when the number of audience is less Not suitable when the number of audience is less Not suitable when the number of audience is less Not suitable when the number of audience is less
Overloaded advertising Overloaded advertising Overloaded advertising Overloaded advertising
Detailed message cannot be given Detailed message cannot be given Detailed message cannot be given Detailed message cannot be given
Distrust Distrust Distrust Distrust
Obscenity and vulgarity Obscenity and vulgarity Obscenity and vulgarity Obscenity and vulgarity
Fragmented Viewers Fragmented Viewers Fragmented Viewers Fragmented Viewers

Support Media: Support Media: Support Media: Support Media:- -- - Message is brief, legible, written in bold letters, eye-catching, attractive, and
it must depict the brand name. It has long exposure and can reach to larger population which is
continuously on the move. Moreover, people are exposed to such advertising again and again by
passing from the same side. Types of support media are:-
Non Non Non Non- -- -sign sign sign sign- -- -boards boards boards boards
Posters Posters Posters Posters
Vehicle Advertising Vehicle Advertising Vehicle Advertising Vehicle Advertising
Sky advertising Sky advertising Sky advertising Sky advertising
Stickers Stickers Stickers Stickers
Sendwhichmen Sendwhichmen Sendwhichmen Sendwhichmen
Banners Banners Banners Banners
Wall painting Wall painting Wall painting Wall painting
1) These have long life these are not easily perishable.
2) It has wide coverage.
3) It offers geographical selectivity.
4) It is economical
5) It is flexible as advertiser is free to choose any form of support advertising. With in the
form also he is free to select any size, shape, color scheme etc.
6) Because of large size and bright colours, support advertisement is attractive and is
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capable of gaining attention.
7) IT has repeated exposures, so it helps to remember the brand name of advertiser.
8) It act as last minute reminder for persons who are going to purchase a particular product.
9) Support advertisement is very useful for local advertising.

Disadvantages:-
1) Detailed message cant be given through support advertising as passers by view the
signboards are only for few seconds.
2) Sometimes posters and wall paintings create nuisance for the house owners when these
are pasted/ made without there permission.
3) It is expensive if employed on a national basis.
4) Sometimes Obscene and vulgar posters are posted at public places for advertising of
movies. It has adverse public reactions.
5) It may distract the attentions of the drivers of vehicles and may lead to accidents

Question No7:- What is Advertising Budget? Discuss various steps involved in
Budgeting. How you will measure adds effectiveness.
Answer:-Introduction:- Quantitative expression of future plan of activities prepared for fix
period of time. Advertising budget is a financial document that show the total amount to be spent
on advertising and list the way this amount is to be allocated. Advertising budget shows how
much is to be spent on promotional efforts and how this amount is allocated among different
media, sales territories. Advertising Budget differ from company to company. Some companies
spend large amount on advertising, While there are companies spent very less amount on
advertising.
Steps in framing advertising Budget

1) Setting advertisement Objective:- Before deciding on advertising budjet, the advertising
manager must be clear about advertising objectives which help him to determine and allocate the
ad budget. Main Objectives of advertisement are:-
Achieve Achieve Achieve Achieve the leve the leve the leve the level of sales l of sales l of sales l of sales
Enhance the market share by specific % Enhance the market share by specific % Enhance the market share by specific % Enhance the market share by specific %
To increase awareness regarding Products and its uses. To increase awareness regarding Products and its uses. To increase awareness regarding Products and its uses. To increase awareness regarding Products and its uses.
To develop preference of our product To develop preference of our product To develop preference of our product To develop preference of our product
To convinces the customer to buy our product. To convinces the customer to buy our product. To convinces the customer to buy our product. To convinces the customer to buy our product.

2)Determining Tasks to be performed to Achieve Advertising Objective:-The next
step is to determine tasks, activities, strategies, functions to be performed to achieve the
advertising Objectives. This task includes
Selection of Selection of Selection of Selection of media media media media, , , ,
selection of advertising agency selection of advertising agency selection of advertising agency selection of advertising agency
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designing of advertising copy designing of advertising copy designing of advertising copy designing of advertising copy
Deciding frequency of Deciding frequency of Deciding frequency of Deciding frequency of advertisement advertisement advertisement advertisement
Designing of advertisement Designing of advertisement Designing of advertisement Designing of advertisement
Timing of Timing of Timing of Timing of Advertisement Advertisement Advertisement Advertisement
Quantum of space to be taken in print media Quantum of space to be taken in print media Quantum of space to be taken in print media Quantum of space to be taken in print media. .. .

3)Preparing Advertising Budget 3)Preparing Advertising Budget 3)Preparing Advertising Budget 3)Preparing Advertising Budget: :: :- -- - After identifying various activities to be done to achieve
advertising objectives, the next step is to find out the cost of all such activities. Total cost of all
such activities is amount required for advertising budget. To keep the budget flexible, certain
amount in the form of provision of contingencies is added to the total cost.

4 44 4) Approval: ) Approval: ) Approval: ) Approval:- -- -After preparing advertising budget, it is sent to Top-Management through chief
of marketing-department for necessary approval. Top-Management will see if the budget is
affordable and justified it will pass the budget.

5) 5) 5) 5) Allocation of advertising Budget: Allocation of advertising Budget: Allocation of advertising Budget: Allocation of advertising Budget:- -- - After the budget is approved by the top management,
the next step is to allocate it. Allocation means dividing the budget on different products and
activities. Budget should be flexible to accommodate sudden changes in market, competetiors
strategies, and change in another components of market.

6) Monitor and Control: Monitor and Control: Monitor and Control: Monitor and Control:- -- - After allocation of resource it is essencial to have an adequate
monitoring and control over it. In control, actual expenditure is compaired with planned
expenditure. In case if expenditure is greater then the planned expenditure then corrective
actions are taken responsibilities are fixed to ensure cost control.

Methods of preparing advertisement Methods of preparing advertisement Methods of preparing advertisement Methods of preparing advertisement Budget: Budget: Budget: Budget:- -- -
Every advertiser sets apart a sum of money to be spent on advertising which is refered to as
advertising appropriation. The amount is not fixed arbitrarily but is determined on some
scientific basis. Following methods are commonly used in determining the size of advertising
budget:
1) % of sales Method
2) Competitive party Method
3) Objective and task Method
4) Affordable Method
5) Judgments Method
6) Increase over Past Years Budget
7) Return on investment
8) Quantitative methods
9) Marginal Approach to Ad budget
1) % of Sales Methods: 1) % of Sales Methods: 1) % of Sales Methods: 1) % of Sales Methods:- -- - the amount to be appropriated to advertising is arrived at by
multiplying the value of past years sales or projected sales for the budget period with a pre
determined percentage.
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Advertising budget amount = Past Years Sales or Anticipated Sales Advertising budget amount = Past Years Sales or Anticipated Sales Advertising budget amount = Past Years Sales or Anticipated Sales Advertising budget amount = Past Years Sales or Anticipated Sales x xx x Pre Pre Pre Pre- -- -determined determined determined determined
Percentage Percentage Percentage Percentage. .. .
For Example: For Example: For Example: For Example:- -- - If the sales are Rs:300 lakhs and percentage decided by top management is 4, then
advertiser will spend Rs:12 lakhs(300x 4%) on advertisement. In this method two main decision
are to be taken i) % figure ii) whether to take past or future sale.
2) Competitive Parity Method: 2) Competitive Parity Method: 2) Competitive Parity Method: 2) Competitive Parity Method:- -- - It is traditional approach in which advertising budget is
framed in such a way that our company is at par with competitors in spending money on
advertising. Competitive parity budget can be determined in several ways. These are as follows:
a) Spend the same rupee amount on advertising as major major competitor does.
b) Spend the same % of sales on advertising as major competitor does:
3) Objective and Task Method: 3) Objective and Task Method: 3) Objective and Task Method: 3) Objective and Task Method:- -- - This approach considers advertising as an investment and a
mean to achieve long-term business objectives. Krick Patrick has defined objectives and task
approach as listing the advertising objective and identifying the task to be done to achieve
there objective. This method involves the following step for framing advertisement budget.
a) Determining Objectives. a) Determining Objectives. a) Determining Objectives. a) Determining Objectives.
b) Identifying Advertising b) Identifying Advertising b) Identifying Advertising b) Identifying Advertising Tasks. Tasks. Tasks. Tasks.
c) Estimating Costs of these Tasks c) Estimating Costs of these Tasks c) Estimating Costs of these Tasks c) Estimating Costs of these Tasks.
4) Affordable Method: 4) Affordable Method: 4) Affordable Method: 4) Affordable Method: - -- - This method is also known as all you can afford, Residual Method,
Available-fund-Approach. As the company does not spend more than what it can afford, There
is an element of financial decision and company remain away from the war. This method have
some weaknesses which are as follows:-
1) Lack of Financial Resources
2) Unscientific
3) Ignores Role of Advertising
4) Lack of Stability
5) Judgement Method: Judgement Method: Judgement Method: Judgement Method:- -- - In this method, advertising budget is decided by the experienced
manager of company on the basis of their judgments. Here advertising budget is based on
arbitrary thinking of some experienced managers and not based on scientific lines. They decide
the advertisement budget at a lump sum figure by considering all relevant figure like Objective
of advertising, actions and reactions of competitors, customers, level of sales, availability of
funds, type and cost of media, stages in product life cycle.
6) Return on Investment: 6) Return on Investment: 6) Return on Investment: 6) Return on Investment: - -- - Return on investment method is entirely different method from
other methods. This method consider advertising expenditure as an investment and not as routine
revenue expenditure. Like other investment of the company, advertising is also expected to give
certain returns. Advertising buildup an intangible asset that is Brand Equity Brand Equity Brand Equity Brand Equity. This method
correlate sales and profit with advertising expenditure. It is based on very logical consideration
but in pracits it is very difficult to assess the return provided by advertising because the returns
are often spread over along period of time because of its complexity it is not used in real life.
7) 7) 7) 7) Quantities Quantities Quantities Quantities Methods: Methods: Methods: Methods: - -- - Statistical techniques like multiple regression, profitability,
simulation or programming techniques etc. are used to prepare advertisement budget. Multiple
regressions help to determine the contribution and effect of advertisement budget on the level of
sales. These techniques assumes that current sales are dependent on current advertising and carry
over effect from previous period advertising.
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8) Marginal Approach to Ad 8) Marginal Approach to Ad 8) Marginal Approach to Ad 8) Marginal Approach to Ad- -- -budget: budget: budget: budget:- -- - In this approach advertisement budget is decided on
the basis of marginal costs and marginal revenue of advertising. Marginal cost here means
increment in advertising spending. Marginal revenue means increment revenue because of
increase in advertising spending. Acc. to this approach, the firm should increase advertising
spending if marginal revenue is more then marginal cost. The marginal cost and marginal
revenue should be equal be equal in determining the optimum level of advertising. Any further
spending after the level at which incremental revenue will be unprofitable

Factors affecting the Advertising Budget Factors affecting the Advertising Budget Factors affecting the Advertising Budget Factors affecting the Advertising Budget

1) 1) 1) 1) Market Size Market Size Market Size Market Size
2) 2) 2) 2) Stage in Product Life Cycle. Stage in Product Life Cycle. Stage in Product Life Cycle. Stage in Product Life Cycle.
3) 3) 3) 3) Advertising Strat Advertising Strat Advertising Strat Advertising Strategy egy egy egy
4) 4) 4) 4) Product Differentiation Product Differentiation Product Differentiation Product Differentiation
5) 5) 5) 5) Price Charged Price Charged Price Charged Price Charged
6) 6) 6) 6) Competitive Spending Competitive Spending Competitive Spending Competitive Spending
7) 7) 7) 7) Nature of the Product Nature of the Product Nature of the Product Nature of the Product
8) 8) 8) 8) Priced Charged Priced Charged Priced Charged Priced Charged
9) 9) 9) 9) Competitive Spendings Competitive Spendings Competitive Spendings Competitive Spendings
10) 10) 10) 10) Nature of product Nature of product Nature of product Nature of product
11) 11) 11) 11) Financial resource Financial resource Financial resource Financial resource
12) 12) 12) 12) Market Potential Market Potential Market Potential Market Potential

Question No 8: Question No 8: Question No 8: Question No 8:- -- - What is Advertising Agency? How does it work? Also explai What is Advertising Agency? How does it work? Also explai What is Advertising Agency? How does it work? Also explai What is Advertising Agency? How does it work? Also explain CAR. n CAR. n CAR. n CAR.

Answer: Answer: Answer: Answer:- -- - Introduction: Introduction: Introduction: Introduction:- -- - Advertising Industry involves three main components.
Media, advertiser, advertising agency. The person who decide to advertise the product is called
advertiser, sponsor or clint. Media refers to the vehicle that carries the message to public. The
sponsor often relies on some outside experts to perform task involved in launching of the
product. These out side experts business houses are called advertising agency.

Meaning:- Advertising agency is an independent business organization specialized in advertising
work which undertakes the work of Planning, Preparing, executing advertising compaign for its
clints. It is a body of experts who specialize in advertising.

Defination: Defination: Defination: Defination:- -- - Acc. to Philip Kotler, Advertising agency is a mar Acc. to Philip Kotler, Advertising agency is a mar Acc. to Philip Kotler, Advertising agency is a mar Acc. to Philip Kotler, Advertising agency is a marketing services firm that assists keting services firm that assists keting services firm that assists keting services firm that assists
its client in planning, preparing, its client in planning, preparing, its client in planning, preparing, its client in planning, preparing, implementing and evaluating various activities of advertising implementing and evaluating various activities of advertising implementing and evaluating various activities of advertising implementing and evaluating various activities of advertising
compaign. compaign. compaign. compaign.

Organisation of Ad Organisation of Ad Organisation of Ad Organisation of Ad- -- -agency on Department basis agency on Department basis agency on Department basis agency on Department basis : :: :- -- -

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In departmental basis organization structure, a separate department is created for each major
advertising function. Each department is headed by a specialist in that particular field.

Organisation of Ad Organisation of Ad Organisation of Ad Organisation of Ad- -- -Agency on Group Basis Agency on Group Basis Agency on Group Basis Agency on Group Basis: :: :- -- -
For effective supervision of various advertising departments and there functions, different
advertising departments are classified in groups and then a particular group is given the authority
and responsibility to manage the functions related to the group. The main groups in an
advertising organizations are related to:-
i) Planning of Advertising
ii) Preparation of Advertisement.
iii) Placement and Execution of Advertising.
iv) Marketing Services.

1. Client Liaison Department
2. Research Department
3. Copy Writing Department
4. Art Department
5. Media Department
6. Audio-Visual Ad Production Department
7. Accounting Department
8. Public Relation Department
9. Public Relations Department
10. Evaluation Department

FUNCTIONAL DEPARTMENT OF AD-AGENCY ORGANISATION
Advertising Agency
Board of Director
General Manager
Manager
Planning
Department
Manager
Ad-preparation
Department
Manager
Ad-placement
Execution Deptt.
Manager
Marketing
Service Deptt.
Clint Product Analysis

Market Analysis
Message Contents

Message Appeals
Media Selection

Media Scheduling
Production Services
New product Development
Product Design
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Selection of an Advertising Agency: Selection of an Advertising Agency: Selection of an Advertising Agency: Selection of an Advertising Agency:- -- -
The advertiser must be very careful in selecting the advertising agency. The success of
advertising-compaign largely depends on the selection of suitable ad-agency. There are about
625 registered advertising agencies operating in India. All agencies do not suit all advertisers.
Advertisers may have different needs and requirements. Before making the choice of an
advertising agency, the advertiser should first be clear about the objectives of advertising,
appropriation for advertising budget. Following Factors should considered while selecting an
Advertising Agency.

1) LOCATIPON: 1) LOCATIPON: 1) LOCATIPON: 1) LOCATIPON:- -- - A major consideration in the choice of an advertising agency is location of
office of agency. A considerable amount of communication is required at various stages of
decision making with regard to ad-planning and ad-execution. Many meetings are done
between top-executives of advertiser and ad-agency. Some agencies charge the client for
additional visits by their executive. Office of ad-agency is Located nearly and is easily
accessible.
2) Size: 2) Size: 2) Size: 2) Size:- -- - Both large size-agencies and small size agencies are available, each has its own
merits and demerits. Large-agencies have wide range of facilities, services and more
experienced staff. But larger size agencies have certain limitations Viz. These are costly,
these can not give personal attention to all clients because of large number of clients, these
dont give much attention to small clients as these companies have big clients.
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3) Agencies working for competitors: 3) Agencies working for competitors: 3) Agencies working for competitors: 3) Agencies working for competitors:- -- - Advertiser should avoid giving his advertising work
that agency that handles the advertising work of his competitor. Because in that case ad
agency may not be in a position to prepare ads which help the advertiser to take an edge over
competitor and agency will not prepare such ads which go against our competitors, i.e.
agency will not make competitive ads for us.

4) 4) 4) 4)Image of Agency: Image of Agency: Image of Agency: Image of Agency:- -- - Before selecting the ad-agency advertiser should enquire about its
image, integrity, its ethical standards, its relation with clints. The add agency should
command a good image in the public. Image of agency can be scanned through media, past
and present clints, its employee etc.

5) Service Offered by Ad 5) Service Offered by Ad 5) Service Offered by Ad 5) Service Offered by Ad- -- -agency agency agency agency:- Now a days ad agencies give wide range of servives like
planning and preparation of ad, execution of ad, selection of media, Followup to evaluate ad-
effectiveness, sales promotion, public relation, publicity, market analysis, market research
etc. The ad-agency should see the services offered by the ad-agency are serving its need or
not.

6) Rates Charged 6) Rates Charged 6) Rates Charged 6) Rates Charged:- The rates charged by the advertising agency should be quite
responsible. These rates should suits the pocket of clint and should be within ad-budget of
client. It is of particular importance to the advertiser to know the rates charged by ad-agency
for rendering various services so that advertisement can compare advertising cost with
benefits expected from advertising. Rate of different ad-agencies which can serve our needs,
should be compared so as to select competitive ad-agency.

7) 7) 7) 7) Creative Skills and New Ideas: Creative Skills and New Ideas: Creative Skills and New Ideas: Creative Skills and New Ideas:- -- - Creativity is the main element of advertising. If the
ad-agency is capable of generating new ideas which are creative and profitable then such
agencies will be more successful in attraction of audience. Creative imagination enables
an agency to develop such advertisement attention and face competition more effective.
8) 8) 8) 8) Past Record of Agency: Past Record of Agency: Past Record of Agency: Past Record of Agency:- -- - Past record of agency should be checked to know: Past record of agency should be checked to know: Past record of agency should be checked to know: Past record of agency should be checked to know:
1) Who were the past clients of agencies; why they left the agency; how long were they
with agency. How big were they?
2) Who are the present clients, how big are they; since how long are they with agency;their
agency-client relationship.
3) 3) 3) 3) Brand-image of products of agencys clients.

9) Quality and Quality and Quality and Quality and C CC Calibre alibre alibre alibre of Staff: of Staff: of Staff: of Staff:- -- - Ad-agency has various specialists like copy-writers, artists,
models,etc. This agency is more suitable which has experienced, efficient and high
caliber experts in its team, because it is only with the help of competent and efficient
workforce that ad-agency can serve the needs to advertisers effectively.
10) Financially Sound: Financially Sound: Financially Sound: Financially Sound:- The ad-agencies which are financially sound and have good turnover
have better contract with media owners.The agencies which are financially sound can
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afford better infrastructure, well equppied-ad labs, specialist, national and international
image. Such agencies are in a better position to serve the client.
11) Agency Agency Agency Agency- -- -Experienced:- Agency Which has long existence generally performs better
because of its experience and familiarity with different components of marketing
environment like competitorss policies, taste of consumer, fashions and trends,
circulation and reputation of different media.

CLIENT AGENCY RELATIONSHIP
Meaning: Clint agency relationship between advertiser and the ad-agency. Cordial
Relationship with full trust and confidence is must to get maximum from ad agency and agency
can also work with free hand. Advertising agencies have enables many small business units to
grow into large ones. Now a days almost all advertisiers rely on ad agencies for its services
creative skills objective thinking etc.
Client agencies Relationship includes the following:
Principle of Effective Clint Agency Relationship.
Reasons of client turnover.
How agencies gain clients
How relationship can be more cordial.

Principle of Effective Clint Agency Relationship:-following points improve the CAR effective.
1) Not to advertise for Immediate Competitive Units.
2) Clints Prior Approval of all Expenditure.
3) Prompt Payment.
4) Passing Down Cash Discounts to Client.
5) Not to Blame Agency for Media-Lapses.
6) Good Services.
7) Trust and Confidence
8) Written Agreement
9) Frequent Contact Between Agency And Clint

How agencies gain clients: How agencies gain clients: How agencies gain clients: How agencies gain clients:- -- -

1) Obtain new clients as a result of referrals from existing clients.
2) Searching of new clients by writing letters, making calls and visiting probable clients.
3) Presenting Information about itself its experience, its experts, its previous work,
marketing services offered for clients, names of popular brands developed by agency etc.
This information can be in the form of a brochure, booklet for convincing new clients.
4) Creating good image and reputation of the agency by providing efficient services.
Agency that consistently develops excellent advertising campaigns, acquires favorable
reputation among its clients. This helps the ad agency to search for more clients.
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5) Offering marketing services along with ad developing and designing. The clients can be
attracted by providing specialised services like sales promotion, public relations, market
research, consumer research, publicity, developing, placing and evaluating ad.

How Relationship can be Improved: How Relationship can be Improved: How Relationship can be Improved: How Relationship can be Improved:- -- -

1) Not advertising for immediate competitive units of its clients.
2) Prior approval of client for all expenditure incurred.
3) Making prompt and adequate payment by clients.
4) Passing down cash discount to clients.
5) Building mutual trust, confidence by constant interaction and clarifying the
misunderstanding.
6) Written agreement of terms and conditions.
7) Satisfying client with the quantity of advertisement, and ad campaign.
8) Providing better marketing services of clients.
9) Giving due weightage to suggestion of clients.
10) Clients should not unnecessarily interfere in the creative work of ad agency.

Question No9: Question No9: Question No9: Question No9:- -- - Explain briefly Social, ethical, lega Explain briefly Social, ethical, lega Explain briefly Social, ethical, lega Explain briefly Social, ethical, legal& economical aspect of advertising. l& economical aspect of advertising. l& economical aspect of advertising. l& economical aspect of advertising.

Answer :- Social aspect of advertising:- Advertising affects various aspects of social and cultural
of the people. It affects life style, Cultural-Values, Standard of living, Media, Tastes, Likings etc.
Some advertising appeals badly affect children and undermine the status of women and aged
persons in society. Various social aspects are as follows:-

1) Untruthful/Decertive Advertising: 1) Untruthful/Decertive Advertising: 1) Untruthful/Decertive Advertising: 1) Untruthful/Decertive Advertising:- -- - Deceptive Advertising refers to misleading,
Untruthful, fraudulent advertisement. Some advertisements make tall claims are called deceptive
ads or exaggerated. Ads showing such false claims are called deceptive ads or. Not disclosing
material facts about the product/ Service is also covered in deceptive advertising. For example,
Showing only brighter side and not disclosing the major side effects, Weeknesses of product is
description.
2) Effect on Culture:- Culture refers to the way of life of group of people. It includes- Life
styles, values customs, morals, habits etc. Through advertising, Cultural-exchange takes place.
This cultural exchange can be within in the country and with other countries also. Through this
exchange, people become brand-minded, and learn modern style of living. Some sections of
society appreciate this modern style of living, while some others sections are against it.

3) Effect on Media: 3) Effect on Media: 3) Effect on Media: 3) Effect on Media:- -- - All types of media, viz newspaper, magazines, T.V., earn a lote of
revenue from advertisement. A newspaper is sold for one rupee only because it covers its cost
through ad-revenues. So advertisement is helpful in reducing the cost of media, availability of
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media within the reach of common man. Moreover, media does not publish any negative
remarks/ news against the person who are giving large ad-revenues. But for this, advertising is
not to be blamed. It is the media who should take moral responsibility for it

4) Effect on Standard of Living: 4) Effect on Standard of Living: 4) Effect on Standard of Living: 4) Effect on Standard of Living:- -- - Advertising has reduced the cost of production,
distribution, promoted competition and thus resulted in price reduction. It has promoted demand.
Now middle-income people use such goods which were earlier consumed only by reach society.
Consumer now has wider choice and now can procure best products at lowest prices. Advertising
persuades the people to buy more and more goods and services to raise there standard of living.

5) Materialism: 5) Materialism: 5) Materialism: 5) Materialism: - -- - Advertising makes people buy the things which they dont need. Advertising
unnecessarily attaches status/prestige/ pride symbol with some products and thus make the
people buy the things they dont need or cannot afford. Similarly it makes the people replace the
things before their actual useful life. People want to accumulate more and more things. Ads
never compelled them to buy more and more goods. Consumers can ignore the ads for products
and services which they dont need or they cant afford.

6) Effect on Children: 6) Effect on Children: 6) Effect on Children: 6) Effect on Children: - -- - When kids and children watch an advertisement, they are unable to
assess the advantages and disadvantages of the product. They feel that whatever is advertised is
true. They insist their parents to purchase advertisement product. Moreover when they observe
vulgarity and violence in ads, their thinking is polluted. Such ads can be given at night, when
children do not watch T.V.
7) Stero 7) Stero 7) Stero 7) Stero- -- -typing in Advertising typing in Advertising typing in Advertising typing in Advertising:- Stereotyping refers to presenting a group of people in
certain roles only. Advertising has received criticism for stereotyping women and aged persons.
Women are usually shown in advertising as housewives, as mother or for making sex appeal.
Women and is always portrayed as a decorative object and she is not given the role of
professional, holding key-position. Decision maker etc.

8)Wrong Advertising 8)Wrong Advertising 8)Wrong Advertising 8)Wrong Advertising- -- -Appeals: Appeals: Appeals: Appeals: These are
Sex Appeals
Fear Appeals
Confusion Appeals
Too persuasive

Economic Economic Economic Economic Aspects of Advertising Aspects of Advertising Aspects of Advertising Aspects of Advertising
Advertising has various positive and negative economic aspects. The main positive economic
effects are: It helps the producer in reducing production- cost, Distribution-cost, facing
compition. It helps the consumers in winding their choice and knowledge of products and
services. Economy is benefited by advertising as it helps in promoting economic growth.
Critics of advertising argue that advertising has negative effect also . The main negative
economic effects are Advertising ads to cost of production, discourage competition, creates
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monopoly and results in higher prices. The main economic aspects of advertising are
discussed below:-
1) 1) 1) 1) Effect on production cost, Distribution cost, Prices Effect on production cost, Distribution cost, Prices Effect on production cost, Distribution cost, Prices Effect on production cost, Distribution cost, Prices: :: :- -- -
Advertising effects the production, distribution, price as Advertising effects the production, distribution, price as Advertising effects the production, distribution, price as Advertising effects the production, distribution, price as follows follows follows follows: :: :
A) A) A) A) Effect on Production Cost: Effect on Production Cost: Effect on Production Cost: Effect on Production Cost: - -- - Advertising create demand and expand market size, this
necessitate mass production. Mass production results in various economics of large scale,
like better-utilization of fixed expenses, availability of good quality raw material at lower
price, availability of better technology and machinery. All this results in lower per unit
cost of production
B) Effect on Distribution Cost: Effect on Distribution Cost: Effect on Distribution Cost: Effect on Distribution Cost: - -- - Production cost is one aspect of cost picture, the other
aspect is distribution cost. Spending higher amounts on advertising increase distribution
cost in absolutely terms. But the advertising result in reduction in personal selling
expenses as buyers are already aware and have detailed knowledge of product and they
come to purchase the product at there own, hence lesser personal selling is required.
Moreover this increase in sales, per unit selling distribution cost comes down.
C) Effect on Prices: Effect on Prices: Effect on Prices: Effect on Prices:- -- - The supporter of advertising argue that advertising helps to reduce
prices Advertising results in reduction of per unit selling and distribution cost. So for
increasing computers market-share and attracting customers, advertiser reduction in
prices. It is clear from the example of reduction in prices of competitive products viz
television, computers, mobile phones, air-conditioners, etc.

2) E EE Effect on D ffect on D ffect on D ffect on Demand: emand: emand: emand:- -- - In case of new products, advertising, creates primary demand by
educating the audience regarding uses of the product. Even in case of existing product
through rational and emotional appeals. So advertisement create demand. But critics
argue that advertisements simply transfer business from one producer to another
producer, Consumers start purchasing other instead of present brand. So there is no real
increase in demand.
3) Effect on Competition Effect on Competition Effect on Competition Effect on Competition: :: : - -- - Advertising promotes competition among different brand of the
same product. The company offering good quality products at reasonable price often gets
advantages in the competition. Through advertisements, company can communicates its
good quality, reasonable price, sales promotion schemes, and advertising appeals to the
target customers. When one advertiser launches such schemes, other advertiser also
follows it. It promotes competition.
Critics argue that large firms creates barriers to entry of new firms as these large
firm enjoy economies of large scale and can afford costly and efficient media for
advertising.
4) Effect on Consumer Choice Effect on Consumer Choice Effect on Consumer Choice Effect on Consumer Choice: :: :- -- - Advertising has favorable effect on consumer-choice.
Advertising give information about various brand, products available in the market, their
features, price, place of availability etc. Consumer can make comparative study of all
such choices to purchase most suitable products. Without advertising it is impossible to
know about the various brands. Critics argue that advertising unnecessarily persuade the
prospective buyer to purchase the prospective brand. Persuasion in advertising only
impels the consumer, but does-not buy the advertised products.
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5) 5) 5) 5) Effect on Business Cycle Effect on Business Cycle Effect on Business Cycle Effect on Business Cycle: :: : - -- - Supporters of advertising argue that advertising help in
reducing the extent of business-cycles. In period of recession, advertisers increase their
ad-expenditure to revert their falling sales. In boom period advertisers curtail to ad-
expenses they are able to sell their entire production with less advertising efforts. Critics
argue that advertisers overspend in boom period and underspend in recession-period as
amount of ad-expenditure is usually based on %age of sales.
6) 6) 6) 6) Effect on National Income: Effect on National Income: Effect on National Income: Effect on National Income: - -- - Advertising promotes demand, increase productive and
industrial activities, promotes growth in agriculture, Growth in service sector, increase in
employment increase in exports etc. Critics are wrong as advertising definitely creates
demand, promotes new products, expand markets, promotes and thus results in increase
in national income.
7) Advertising and Creation of Utility Advertising and Creation of Utility Advertising and Creation of Utility Advertising and Creation of Utility: :: : - -- - Advertising creates time, place and perception
utility. In case seasonal products, it creates time utility by creating demand even in off
season period. It creates place utility by creating demand even in those market areas
where the product not earlier sold. It creates perception utility by making positive image
of the product in the mind of the audience. Critics argue that advertising is-not a
productive activity, so it is not create any utility. But this argument is baseless as
advertising is a service activity and creates utility by providing services to different
sections of society viz:-manufacturers, distributors, salesmen etc.
8) Effect on Employment Effect on Employment Effect on Employment Effect on Employment: :: : - -- - Advertising has created both direct and indirect employment to
various persons in the society. Now a days advertising is recognized as a big industry. It
provides direct employment to persons engaged in various jobs like copy writers, artists,
graphics designer.
9) Effect on Product Effect on Product Effect on Product Effect on Product- -- -Quality Quality Quality Quality: :: :- -- - Advertising promotes competition and every advertiser wants
to succeed in this competition. Advertiser knows that for long term success in business
and for effective rational advertising, good quality production is must. For this advertisers
send lot of resources on research and development-work to improve product quality.
Critics of advertising argue that advertiser is selling inferior quality products by showing
persuasive and untruthful advertisement. But this criticism is wrong as advertisers
supplying inferior products cant be successful in long run.

Ethical Aspect of advertising Ethical Aspect of advertising Ethical Aspect of advertising Ethical Aspect of advertising
Ethics are moral principles are values that govern the action of individual or group. It is a
branch of social- science which helps us to choose between good and bad, right and wrongs.
Ethics in advertising should not exercise fear and sexual appeal, indecent language, exercise
persuasion, false claims, baseless and misleading comparisons, should not undermine the
position of women aged-persons, shouldnt pollute the thinking of children, shouldnt
promote the use of undesirable products like tobacco, alcohols etc.
Following are the main ethical aspects of advertising:-
1) Effect on culture: 1) Effect on culture: 1) Effect on culture: 1) Effect on culture:- -- - Culture refers to the way of life of group of people. It includes life
style, values, customs, morals, and habits of society. Some advertisement are disdortting our
cultural values. Effect of advertising on various aspects of culture is discussed as bellow:
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a) Food a) Food a) Food a) Food- -- - Habits: Habits: Habits: Habits:- -- - Excessive advertisement of junked food/ preserved food viz. noodles,
burger, bread etc is adversely affecting the food-habits of children and young. Now children
prefer such junked/preserved food to wholesome nutritious food.
b) Costume b) Costume b) Costume b) Costume- -- -Styles: Styles: Styles: Styles: - -- - Some advertisement show models wearing western vulgar dresses. Our
youth imitate such dress styles. Many sections of our society criticize the western vulgar
dress style.
c) Wrong c) Wrong c) Wrong c) Wrong- -- -Product Product Product Product- -- -Positioning Positioning Positioning Positioning: :: :- -- - Some advertisements attach personality/ Status/ prestige
symbol with some undesirable products, so such ads are distorting our cultural value. For
example, in an advertisement, it is shown that wife is feeling pride, when her husband is
drinking, This does not match with our culture.
d) Language d) Language d) Language d) Language :- Some advertisement use indecent languages, which has bad effect on kids and
children as they imitate such language in their day to day conversation.

2) Undermining the Position of Women, Aged 2) Undermining the Position of Women, Aged 2) Undermining the Position of Women, Aged 2) Undermining the Position of Women, Aged- -- -Persons: Persons: Persons: Persons:- -- - Some ads are undermine the
position of women, aged persons. In some cases women are shown as sex-object. They are rarely
shown as professionals, corporate-officials. Similarly aged-persons are mostly shown as
dependent, helpless, sick. This undermine their position in socity. Some women-organisations
have raised objections agains this sterio-typing.

3) Moral Degradation: 3) Moral Degradation: 3) Moral Degradation: 3) Moral Degradation:- -- - Giving sexual-appeal has become very common practice for gaining
attaintion of viewer. It is very common in the ads of liquor, cigarette, personal products,
deodorants etc. Such ads have very wrong impact on the mind of viewers particularly children
and youths. They are loosing their moral values.

4) Promoting Materialism: 4) Promoting Materialism: 4) Promoting Materialism: 4) Promoting Materialism:- -- - Advertising is often criticized for its excessive persuasiveness. It
creat unnecessary desire for the products which buyers dont need or cant affored. Sometimes
by promoting attractive schemes , buyers are lured to buy the product, but later, they realize that
they are not in the position to pay the instalments. It lead to frustration and loss of peace of mind.
It mislead the people to replace existing products before there economic life.

5) Promotes Social 5) Promotes Social 5) Promotes Social 5) Promotes Social Evils: Evils: Evils: Evils:- -- - Some advertisements give birth to social evils. They appeal to buy
the products which are injurious to health, not acceptable to society. Like ads of cigarette, wine,
whisky, promote social evils as even common persons start using these products after being
utilized by such ads.

6) Misapplied Facts: 6) Misapplied Facts: 6) Misapplied Facts: 6) Misapplied Facts:- -- - Some advertisements misapply the facts to misguide the people.e.g.
some advertiser use the term, Made in U.S.A. Here U.S.A. means United stna accociation
mislead by United state of Amarica.

7) Feeling Of Insecurity: 7) Feeling Of Insecurity: 7) Feeling Of Insecurity: 7) Feeling Of Insecurity:- -- - Some advertisement create felling of insecurity among the
audience by giving fear appeal e.g. Some ads of accident insurance. Life insurance create
excessive fear. It promotes the feeling of insecurity in the mind of those persons who cant afford
these policies.
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8) Back 8) Back 8) Back 8) Back- -- -Door Popularity Door Popularity Door Popularity Door Popularity of Brands of of Brands of of Brands of of Brands of Prohibited Products: Prohibited Products: Prohibited Products: Prohibited Products:- -- - Government has prohibited the
advertisement of cigarette, liquor on television. Some times advertisers of prohibited product
sponser sport events like match which is to be relied on television. So in this way they can show
their brand name on t.v. it is unethical.
9) Bait Advertising: 9) Bait Advertising: 9) Bait Advertising: 9) Bait Advertising:- -- - Some advertisers attract the audience through bait-advertising. In bait
advertisement, advertiser lures the audience by offering products at very low price and attract
them toward its outlet. But audience visits the advertisers outlet, they found that low price
offered item are inferior in quality and normal quality products are offered on market price. Such
advertisement is unethical.

10) Nuisance of Outdoor Advertising: 10) Nuisance of Outdoor Advertising: 10) Nuisance of Outdoor Advertising: 10) Nuisance of Outdoor Advertising:- -- - Some advertisers paste, indecent postures at public
place like bus stop busy market area, near schools, colleges. It is unethical.

Legal Regulations on Advertising Legal Regulations on Advertising Legal Regulations on Advertising Legal Regulations on Advertising

Today advertisers face several legal restrictions. Consumer-movement has forced the
government to pass laws to regulate advertising and protect consumer interest. Legal restrictions
and regulations are enforced by Government to check deceptive and misleading advertisements.
On 1
st
August, 1984, MRTP Act was amended and Unfair Trade Practices were covered within
the purview of MRTP Act. The main object of incorporating such provisions in MRTP Act was
to check deceptive and misleading advertisements in the public interest. In 1986, Government
enacted Consumer Protection Act to protect the interest of consumers. In 1987 Government
passed Code for Commercial Advertising on Doordarshan. From time to time, various
amendments are made in these Acts, but the main theme is to control untruthful and deceptive
advertising and to promote the interest of consumers.

(1) Unfair Trade Practices of MRTP Act: Unfair Trade Practices of MRTP Act: Unfair Trade Practices of MRTP Act: Unfair Trade Practices of MRTP Act: For preventing deceptive and misleading
advertisement, MRTP Act has declared certain trade practices as unfair. These Unfair Trade
Practices are controlled by MRTP Act. In case any advertiser is found indulged in issuing
deceptive advertisements, he is directed to immediately withdraw such ad, not to repeat such
ad in future, issue corrective ad, making necessary clarifications, give damages to cheated
consumers and he is also liable to fines, prosecution or both under the Act.

Sachar Committee was appointed to review MRTP Act. It made some recommendations
with regard to unfair trade practices, which were incorporated in MRTP Act under the head
Unfair Trade Practices.

a) Types of Unfair Trade Practices Types of Unfair Trade Practices Types of Unfair Trade Practices Types of Unfair Trade Practices: Following trade practices related to advertising are
held as Unfair Trade Practices under MRTP Act.

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(i) Falsely representing that goods/services are of a particular standard, quality, grade or
model;

(ii) Falsely representing second-hand, renovated goods as new goods;

(iii) Falsely representing that goods have particular sponsorship, approval, which such
goods do not have;

(iv) Makes a false or misleading claim regarding usefulness of any product, like making
claims about the product without any documentation or support such as laboratory
test;
(v) Gives guarantee of performance or length of life of product which is not based on
proper test;

(vi) Gives guarantee of performance or length of life of product which is not based on
proper test;

(vii) Gives misleading discount schemes to attract the customers by offering higher
discounts, where as price-tags have been up-marked. In simple words, even after
discount the price charged will be equal to original price and discount scheme is only
an eyewash;

(viii) Offers some free gifts on the purchase of products while actually the cost of gift has
been covered in the price of main product. In simple words price of product has been
inflated so as to include cost of gift.

(ix) Ad of food products, using words natural, cholesterol free, fat free etc. are
deceptive if these are not certified by department of food and supplies.

(x) Ads not disclosing material negative effects/side effects of a product.

(xi) Holding contests is also unfair if adequate disclosure is not made regarding exact
number of prizes to be awarded, date of draw, the persons in whose presence draw is
to be made, place of draw etc.

(xii) Endorsement of product by an eminent person without having testimonies regarding
truthfulness of advertisement is unfair on the part of endorser.

b) Some Examples of Unfair Trade Practices Some Examples of Unfair Trade Practices Some Examples of Unfair Trade Practices Some Examples of Unfair Trade Practices:

(i) Advertisement regarding weight-loss-claims of any medicine without proper test.

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(ii) Using the words Government Approved, Government Supported, Government
Sponsored, Certified in the advertisement without actual approval/certification.

(iii) In an advertisement of cigarette, it was claimed that it has lowest level of tar and
nicotine, this ad was found deceptive because, on actual test, it was found that it had
the same level of tar and nicotine as the other brands of cigarette had.

(iv) In an advertisement of ready made garments, it was claimed that that the colour of
garments will not fade. But on actual use, it faded, such ad is deceptive

(v) An advertisement of washing powder claim that a spoon-full of powder can wash a
full bucket of clothes. On actual use it was found that it could wash only one or two
clothes; this ad was held deceptive.

(vi) In the advertisement of tablet Disprin, the major side-effects were not mentioned.
This ad was held deceptive.

(vii) In the ad of car-tyre, it was claimed that the tyre will run for 25000 Kms, but it
worked only for 5000 Kms. Manufacturers claim in ad was found deceptive.

(viii) In the ad of Ready-made garments, it was claimed that the garments are crease
resistant and need no ironing, but on actual use, it needed regular ironing. This ad
was found deceptive.

c) Inquiry Inquiry Inquiry Inquiry into Unfair Trade Practices: into Unfair Trade Practices: into Unfair Trade Practices: into Unfair Trade Practices: The inquiry against unfair trade practices can be
initiated:

(i) On receiving a complain from any consumer

(ii) On receiving a complaint from registered-consumer-association or trade association.

(iii) Upon reference made by Central-Government or State-Government

(iv) Upon MRTP Commissions own knowledge or information

d) Type of Order Issued by MRTP Commission Regarding Unfair Trade Practices Type of Order Issued by MRTP Commission Regarding Unfair Trade Practices Type of Order Issued by MRTP Commission Regarding Unfair Trade Practices Type of Order Issued by MRTP Commission Regarding Unfair Trade Practices
: : : : After making inquiry into unfair trade practices, if commission finds that these trade
practices are deceptive and misleading, then it may pass any or more of the following orders:

(i) Cease-and-Desist-Order (Injunction-order): It means the deceptive trade-
practice/advertisement will be discontinued with immediate effect and it will not be
repeated in future.

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(ii) Necessary Modification: Commission may order the advertiser to make necessary
changes in the advertisement so that it no longer remains deceptive.

(iii) Compensating Damages: Commission may direct the advertiser to compensate the
applicant for the damages because of deceptive advertisement.

(iv) Corrective-Advertising: Corrective-advertising requires advertiser to rectify past
deceptive ads by making appropriate statements in future advertisements. It is a
corrective step by the advertiser to remove mis-impressions resulting from earlier
deceptive ads given by advertiser. In corrective ads, advertisers accept that the earlier
ad was wrong. Corrective advertising is issued to dispel the impression of consumer
about the earlier deceptive advertisements. It will bring justification to the future-
customers.

(2) Remedy Under Consumer Protection Act, 1986: Remedy Under Consumer Protection Act, 1986: Remedy Under Consumer Protection Act, 1986: Remedy Under Consumer Protection Act, 1986: A consumer, registered consumer-
association central government or state government can lodge a complaint of unfair trade
practices adopted by advertiser, under consumer protection act. In consumer protection act,
there is three-tier-machinery for redressal of consumer grievances i.e. at the district level,
state-level and national-level. Procedure for filing a complaint under consumer protection
act is simple as district-forums are available in each district and complains can be made on
plain paper without any court fees.

(3) Code for Commercial Advertising on Doordarshan: Code for Commercial Advertising on Doordarshan: Code for Commercial Advertising on Doordarshan: Code for Commercial Advertising on Doordarshan: This code was passed by
parliament in 1987. It suggests 33 Dos and Donts for advertisers. It main purpose is to
ensure that advertisement confirms to law and does not offend against morality, decency.
Ads on Doordarshan should follow the following code of conduct:

(i) Ads should not be against any caste, community, nationality.

(ii) Ads should no excite people to crime or should not affect friendly relations with
foreign states.

(iii) No advertisement should be presented as news

(iv) Ads should not show national emblem, national flag, any national leader or state
dignatory.

(v) Ads should not have any relation to religious, political or industrial dispute.

(vi) Ads should not promote chit funds, private money-lenders, fortune-tellers.

(vii) Ads should not portray women as passive/submissive.

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(viii) Documents of guarantee for guaranteed goods will have to be made available to
Director General of Doordarshan for inspection, if demanded.

(ix) Ads should not give derogatory remarks for competitive products

(x) Ads should not show excessive violence such as gunfire, bombardments, etc.

(xi) Ads should follow moral decency i.e, it should not give vulgar, indecent scenes.

(4) Control of Municipality over Out Control of Municipality over Out Control of Municipality over Out Control of Municipality over Out- -- -door Advertising: door Advertising: door Advertising: door Advertising: Municipalities have been
given powers to check and regulate outdoor-advertising in their respective municipality
areas. If municipal authorities find indecent, vulgar posters, banners on public places, then
these authorities can remove such posters banners and can take action against such
advertiser. Further, before fixing sign-boards on roadsides, prior permission from municipal
authorities is required.

Legal Regulation on Tabacoo Legal Regulation on Tabacoo Legal Regulation on Tabacoo Legal Regulation on Tabacoo- -- -Advertise Advertise Advertise Advertisements: ments: ments: ments: In May, 2004 Government banned Tobacoo-
advertisements on television. Tobacoo-advertisements include ads related to Cigarettes,
Zarda, Gutka. This ban includes brand-extension-bans. It means tobacoo-manufacturers can
not advertise tobacco-brands even through non-tobacco-products. So now back-door entry
through non-prohibited products is also banned. For example, Red and White, a cigarette
manufacturer is now banned to advertise for Red and White Bravery Awards. Similarly
Gutka manufacturer Manik-Chand is prohibited from advertising Manik-Chand Filmfare
Awards. Indian Tobacco Company is prohibited from sponsoring sports-even in the name of
Wills brand. The responsibility for enforcement of this regulation is on state-government.
This regulation is not applicable on advertisemet.

Question No10: Question No10: Question No10: Question No10:- -- - How you will you measure the effectiveness of the advertisement? How you will you measure the effectiveness of the advertisement? How you will you measure the effectiveness of the advertisement? How you will you measure the effectiveness of the advertisement?

Answer: Answer: Answer: Answer:- -- - Advertising is a non personal form of mass communication whose objective is to
attract attaintion, to provide information about the product, increase in sales, brand
popularity, and improvement in image of the product, brand and institution. Advertiser want
measure the effectivness of advertising to evaluate the worth of spending large amount of
money on advertising. It is important to determine how well the advertising campaign is
working and to measure its performance against predetermine advertising objectives. The
performance evaluation of advertising campaign is known as advertising effectiveness.
Advertising objective can be sales objective or communication objective. .. . In the evaluation
process, it it is estimated that up to what extent advertising campaign has been able to
achieve its scale or communication objective. If the advertising fails to achieve the desired
result the money spent on advertisement will go waste.

Measuring the Advertising Effectiveness Measuring the Advertising Effectiveness Measuring the Advertising Effectiveness Measuring the Advertising Effectiveness
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The need or importance of evaluating the effectiveness of advertising arises for a number of
reasons.
1) 1) 1) 1) To Justify the cost of A To Justify the cost of A To Justify the cost of A To Justify the cost of Advertising dvertising dvertising dvertising

2) 2) 2) 2) To Exercise control on Advertising Camp To Exercise control on Advertising Camp To Exercise control on Advertising Camp To Exercise control on Advertising Campaign aign aign aign

3) 3) 3) 3) To Evaluate Ad To Evaluate Ad To Evaluate Ad To Evaluate Ad- -- -Copy. Copy. Copy. Copy.

4) 4) 4) 4) To Compare Different Market Area To Compare Different Market Area To Compare Different Market Area To Compare Different Market Area

5) 5) 5) 5) For Effective Media For Effective Media For Effective Media For Effective Media- -- -Planning and Media Planning and Media Planning and Media Planning and Media- -- -Scheduling in Future. Scheduling in Future. Scheduling in Future. Scheduling in Future.

6) 6) 6) 6) To Know the Saturation Point of advertising. To Know the Saturation Point of advertising. To Know the Saturation Point of advertising. To Know the Saturation Point of advertising.

7) 7) 7) 7) To Reduce Wastage in the Amount Spent on Advertising. To Reduce Wastage in the Amount Spent on Advertising. To Reduce Wastage in the Amount Spent on Advertising. To Reduce Wastage in the Amount Spent on Advertising.

Difficulties in Evaluation Difficulties in Evaluation Difficulties in Evaluation Difficulties in Evaluation Advertising effectiveness Advertising effectiveness Advertising effectiveness Advertising effectiveness
There are many difficulties and hindrances in the evaluation of advertisement effectiveness.
The main difficulties are as following
1) 1) 1) 1) Advertising Advertising Advertising Advertising is not the only factor affecting sales: is not the only factor affecting sales: is not the only factor affecting sales: is not the only factor affecting sales: - -- - Most of the methods used for evaluation
effectiveness of advertisement assume that advertisement is the only factor affecting sales. But
there are many other factors which may be responsible for increase in sales viz. change in price,
improvement in product features, placement, sales-promotion schemes etc. So assuming that,
increase in sale is the result of advertisement only, is wrong.

2) Effect of past 2) Effect of past 2) Effect of past 2) Effect of past- -- -advertisement: advertisement: advertisement: advertisement: - -- - Methods of evaluation advertisement effectiveness assumes
that response of customers in test-area is the outcome of advertisement done in test period but
actually, the response of customers may be because of past advertisement. For e.g. if a person
had seen an advertisement long ago but at that time either because of financial constraints or
because of no need, he didnt buy that product. But it is possible that he is carrying deep
favorable impressions of that past advertisement till now. If at present he is financial sound or
need is relished then he has purchased that product. So in this case, sale has occurred on account
on past advertisement and not present advertisement.

3) Difficult to evaluate the effectiveness of goodwill 3) Difficult to evaluate the effectiveness of goodwill 3) Difficult to evaluate the effectiveness of goodwill 3) Difficult to evaluate the effectiveness of goodwill Advertisement Advertisement Advertisement Advertisement: :: : - Goodwill ads are issued to
improve the image of the organization in the long run. The purpose of these ads is to improve the
image of the organization by meeting some responsibilities like growing more trees, ads for eye
donation save environment etc. Effect of these advertisements on sale, image or goodwill cant
be measured.

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4) Ad 4) Ad 4) Ad 4) Ad- -- -effectiveness using a communication Objective is not s effectiveness using a communication Objective is not s effectiveness using a communication Objective is not s effectiveness using a communication Objective is not sufficient in Itself: ufficient in Itself: ufficient in Itself: ufficient in Itself: - -- - Some
advertisement may achieve communication objectives, but may not promote sales. Some
advertisement may be vary attractive, well remembered, entertaining and liked buy many
viewers/ audience, but still it may be ineffective in generating additional sales, These
advertisement may be well recalled because of attractive modals, easy to remembered phrases,
homeruns appeal etc. But viewers still may not be buying the product; because they have no
liking that product. For e.g. Advertisement of bagpiper with sunny deol as model is remembered
by many viewers because its model is attractive. But still all such viewers dont buy bagpiper
products. So measuring ad-effectiveness only on the bases on the bases of communication
objectives is not sufficient in itself.

5) Subjective method for measuring advertising Effectiveness: 5) Subjective method for measuring advertising Effectiveness: 5) Subjective method for measuring advertising Effectiveness: 5) Subjective method for measuring advertising Effectiveness: - -- - There are various methods given
by different experts for measuring ad-effectiveness. But most of the methods are subjective in
nature, as they dont give any universal criterion for measuring ad-effectiveness. There are
various criterions like increase in sale, attention gaiting ability easy to remember, entertaining,
humorous, persuasive etc. For measuring accepted criterion. It is possible that an advertisement
is effective on one criterion but effective on the basis of other criterion.

6) Not suggestive in nature 6) Not suggestive in nature 6) Not suggestive in nature 6) Not suggestive in nature:- Most of the methods of evaluating effectiveness of advertisement
classify the ad as effective or ineffective but these methods dont suggest what extra points
should be added, what modification be made to making the advertisement more effective.

7) Difficult to Evaluate % response: 7) Difficult to Evaluate % response: 7) Difficult to Evaluate % response: 7) Difficult to Evaluate % response: - -- - For evaluating effectiveness, some response is desired
from the customers. But because total numbers of readers/ viewers of media is not exactly know,
so % of response generated because of advertisement cant be generated because of
advertisement cant be measured. If ad is given only through mail then this % can be calculated
easily, as total number of persons who are contacted through mail are known, but if ad is given
by any other source like T.V., radio, magazine then the % of viewers cant be precisely obtained,
as total number of reader/ viewer is unknown to us.

8) Difficulties of sampling methods: - Almost all methods of evaluating advertising effectiveness
are based on sampling. Some respondents and market area are selected for measuring
effectiveness. It may involve following difficulties:-

a) Selected Sample Units may not be representative of whole group or area.

b) Simple Size may be very small in comparison to total no of actual-buyer.

c) The area selected as control area or test area may differ in terms of economic or demographic
features.
d) Selection of Simple Unit may be biased.

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Methods of Measuring Adverti Methods of Measuring Adverti Methods of Measuring Adverti Methods of Measuring Advertising Effectiveness sing Effectiveness sing Effectiveness sing Effectiveness

Measuring Advertising Measuring Advertising Measuring Advertising Measuring Advertising
Effectiveness (testing) Effectiveness (testing) Effectiveness (testing) Effectiveness (testing)
Pre Pre Pre Pre- -- -te te te testing Methods sting Methods sting Methods sting Methods
Consumer Jury Methods Consumer Jury Methods Consumer Jury Methods Consumer Jury Methods
Paired Comparison Test Paired Comparison Test Paired Comparison Test Paired Comparison Test
Advertising Concept Testing Advertising Concept Testing Advertising Concept Testing Advertising Concept Testing
Trial Area Test Trial Area Test Trial Area Test Trial Area Test
Trailer Test Trailer Test Trailer Test Trailer Test
Eye Eye Eye Eye- -- -Movement camera Movement camera Movement camera Movement camera- -- -test test test test

Post Post Post Post- -- - testing Methods testing Methods testing Methods testing Methods
i) i) i) i) Recognition Test Recognition Test Recognition Test Recognition Test
ii) ii) ii) ii) Gallup Robinson Recall Test Gallup Robinson Recall Test Gallup Robinson Recall Test Gallup Robinson Recall Test
iii) iii) iii) iii) Associate Test Associate Test Associate Test Associate Test
iv) iv) iv) iv) Sales Result Test Sales Result Test Sales Result Test Sales Result Test
v) v) v) v) Split run Te Split run Te Split run Te Split run Test st st st
vi) vi) vi) vi) Rating Scales Test Rating Scales Test Rating Scales Test Rating Scales Test
vii) vii) vii) vii) Day After Recall Test Day After Recall Test Day After Recall Test Day After Recall Test
viii) viii) viii) viii) Inquiry Test Inquiry Test Inquiry Test Inquiry Test
ix) ix) ix) ix) Portfolio Test Portfolio Test Portfolio Test Portfolio Test
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