Project Report on Advertising Effectiveness [Advertising/Sales Promotion/Sales Management


CONCEPTUAL STUDY OF PROMOTION MIX People no longer buy shoes to keep there feet warm and dry. They buy them because of the way the shoes make them feel masculine, feminine, rugged, different, sophisticated, young, glamorous, "in" buying shoes has become an emotional experience . Our business now is selling excitement rather than shoes. - Francis C. Rooney Modern Marketing Trends : Modern marketing calls for more than developing a good product it attractively and making it accessible to target customers. Companies must also communicate with their present and potential customers. Every company is inevitably cast into the role of communicator and promoter. What is communicated, however should not be left to change. To communicate effectively; companies hire advertising agencies to develop effective ads; sales promotion specialists to design sales incentive programmes and public relations firms to develop the corporate image. They train their sales people to be friendly and knowledgeable. For most companies, the question is not whether to communicate but rather what to say, to whom. Promotion Technique :Promotion influences demand by communicating product and company message to the market. A promotion Techniques involves the co-ordination of all communication efforts aimed at a specific audience; consumer and shareholder. The most critical promotional question is the proper mix of advertising, personal selling, sales promotion and publicity. The promotion mix is usually co-ordinated on a campaign basis, taking the campaign may efforts include a total campaign with one unified theme. All promotion messages tie in to this theme in one way or the the, rather than conflicting with it.

What is Advertising :The word ‘Advertising’ has its origin from a Latin word ‘Adventure’ which means to turn to. The dictionary meaning of the word is ‘to announce publicity or to give public concerned to a specific thing which has been announced by the advertiser publicity in order to inform and influence them with

The advertising. This any sponsored communication designed to influence buyer behaviour advertising. advertising is done in a nonpersonal manner through intermediaries or media whatever the form of advertisement (Spoken. Advertising is non-personal. Advertising promotes idea. A communication of ideas. advertisement without payment. such as manufacturing the machine supplements the hands of the craftsman. From a careful scrutiny of the above definition.the ideas which the advertisement carries. the resulting communication is propagandistic. If we eliminate the requirement of an "identified sponsor". it is being used increasingly to further public interest goals. It is directed at a mass audience and not directed at the individual as in personal selling. In a similar manner. It discloses or identifies the source of opinions and ideas. . the following points emerge : Advertising is a paid form and hence commercial in nature. Aimed at mass audience 4. If we eliminate the elements of the "paying sponsor" (The paid requirement) we would have the element of publicity left : For publicity is technically speaking. By a paying sponsor. 3. Unlike personal selling. goods and services. Impersonal 2. Although most advertising is designed to help sell goods. In business world the terms in mainly used with reference to selling the product of the concern. The two forms of mass communication that are something confused with advertising are publicity and propaganda. Advertising is identifiable with its sponsoring authority and advertiser. as Jones defines it is "a sort of machine made mass production method of selling which supplements the voice and personality of the individual salesman. Advertising thus is : 1. written or visual)." It is thus a process of buying/sponsor/identified media space or time in order to promote a product or an idea.

Advertising Media :Late in India. Many small advertisers use the radio. (B) Television : T. The TV is a unique combination timing of sight and sound and achieves a deeper impact than the other media do. We are all aware that advertising attempts to sell goods and services. There are hardly any TV sets. The radio serves principally local rather than national or large regional markets. radio or T. TV programmes in our country do not offer much selectivity. which appeal to local audience consumers have responded very favourably to this approach.V. except at the community centres where electricity is available. for radio operators have responded to the challenge by offering programmes that features music etc. .31% of our population lives. any centers do not have TV towers. This is particularly advantageous for advertisers whose product require demonstration. it may persuade with emotion: more frequently. commercial advertising on TV is severely limited because broadcast timings are only in the evenings. But we may overlook the more important fact that it often sells ideas. repetition. some industry observers felt that radio advertising might become insignificant or even disappear.V. .It is important for us to emphasize that advertising may involve the communication of ideas or goods of service. became a factor in the advertising scene. flexibility and prestigious. When T. This has not been so. Moreover. Moreover. TV advertising offers advantage of impact. mass coverage. The translation is limited. Moreover TV does not have much coverage in our country. (A) Radio : Advertisers using the medium of radio may also be classified as National or Local advertisers. Advertising may persuade with information. The radio is a prominent vehicle of advertising in our country and accounts for a large sum of the total advertising budget. therefore it does not reach everyone. In our country. it endeavours to persuade with some mixture of both. In our country not everyone has a TV set.V. in rural India where 76. a growing class of advertising media has been the TV. So do some large organizations. (1) Electronic Media Advertisers use two types of media to reach target consumers over the airwaves.

Consumers sometime keep individual copies for long period of time. technical or even exotic.TV appeals to both the senses of sound and of sight . The advertisers may choose the specific area to be covered and the advertisement can be placed in newspapers at very short notice as compared with other media. India Today. In general. newspaper offers several advantage. The primary advantage of magazine advertising are selectivity of market targets. As a result is combines the two to produce high-impact commercials. magazines and direct mail. This selectivity is easily rigorous. both original and matinal and of general and specific interest. and the extra service offered by many publications. Famina. Because newspapers supply news. the prestige associated with some magazines. marketers can easily use them to reach particular markets. educational level and interest magazines. From the viewpoint of the advertiser. magazines offer advertiser the opportunity to reach highly selective audience. Since newspapers are local. ladies. sports etc. they are local in content and appeal and provide opportunity for direct communication between a product and its local dealers or distributors. Others are highly specialised. Finally. Advertisers can reach a very broad audience through newspapers which offer great flexibility. (ii) Print Media The print media carry their massages entirely through the visual mode. industrial consumers. An organisation may approach national markets through such publication as Business India. Sportsweek. (A) Newspaper : A sizable share of the total advertising budget is spent on advertising in newspapers. (B) Magazines : Magazines are also mean of reaching different market. Some are in the twelve-hour range. . These media consist of newspapers. Some marketers divide their market on the basis of such variable as age. quantity reproduction long life. The diversity of magazines is tremendous. The pleasure derived from watching TV is at least potentially transferable to the advertising message delivered through the medium. they offer an atmosphere of factual information and of currency that may be favourable for some advertising situations. Some offer news or together "General Interest" content to huge audience. Magazines are divided into those parts that serve business. Business World and Filmfare. the fact that product or service is promoted on TV may build a prestigious image of the product and its sponsor. The quality of magazines reproduction is usually high. Newspapers in our country virtually reach most of the homes in the cities.

railways and other modes of passenger transportation. A showing indicates the percentage of the total population of a particular geographic area that will be exposed to it during one month period. This medium is a low cost medium. posters or displays (such as those that appear on a building’s wall) and electric spectacular (large. Some magazines have prestige value. while they are on shopping trips or area disposed towards shopping. Outdoor advertising is particularly effective in metropolitan and other can use this medium to bring the products to the attention of consumers or to remaining them of the product. The highest showing is 100.reread them or pass them on to other. (iii) OUTDOOR AND TRANSIT MEDIA (A) Outdoor Advertising : Outdoor Advertising :Outdoor advertising involves the use of sign and bill-boards. Sings are usually smaller than billboards and are erected and maintained by the marketer rather than by the advertising media. Repeat exposure is possible for a majority of the people in our country use public transport basis. sometime animated sign and display). The marketer can cover national or large regional markets at a low cost per contract (per individual reached). The marketers may purchase billboards on the basis of showings. Here the number of billboards is would attract approximately 50% of the local population about 20 times during a month. Marketers may use transit advertisement to attain high exposure to particular groups consumers on theory way to and from work and tourists. illuminated. Advertisers may utilize this medium to economically reach a large mass of people or small local markets. buses. This form of advertising has the advantage of communication quick and simply ideas of repetition and of the ability to promote products that are available for sales. Magazines generally offer high-quality printing of advertisement. Transport advertising is useful in reaching consumers at an advantageous point which they are embarking on a shopping trip. such as displays shows and . (B) Transport Advertising : Transport advertising appears on the inside or outside of taxis. SALES PROMOTION According to the American Marketing Association. Sales Promotion consists of those marketing activities other than personal advertising and publicity that stimulate consumer purchasing and dealer effectiveness.

while personal selling aims at individuals the right approach. Such exposure is especially important for items that are bought on impulse. premiums. toys and clothing. Examples of sales promotion are free product samples. These activities tend to supplement the advertising and personal selling efforts. change the hording. Sales persons are in the position to tailor their messages according to the unique characteristics of each . coupons and trade shows. for example cigarettes.expositions. Publicity may be negative as well as positive. PERSONAL SELLING Personal selling consists of persons to communication between the sales persons and their prospects. For many organisations. Display exposes the promotion messages to consumers at the time and place of purchase. The disposition of the news release is entirely in the hands of the media and cannot be dictated by the marketer. except that it is free. Marketers have less control over the nature of the publicity that their organisation and products receive than they have over their advertising. for instance. Numerous consumers products are purchased in stores that use self-service selling method's. wings. Unlike advertising. it involves personal interactions between the sources and the destination. store displays are an important sales promotion device. Some products and brands have received bad publicity. the editor or broadcast station programme director may choose to throw the release in the waste paper basket. personal selling and sales promotions messages. is found in the editorial portion of news media and pertains to newsworthy events. store displays. PUBLICITY Publicity is a means of promoting the mass market and is similar to advertising. The most common type of publicity are news release (also know as press release). industrial consumers and middlemen. artificial sweeteners have been branded unsafe or unhealthy in the publicity which they would rather have done without. Many a companies and trade association officials attempt to develop favourable working relationships. Upon receiving a news release. with the media in order to minimise bad publicity. trading stamps. or print or broadcast it in the original form. demonstration and various non-recurrent selling efforts not in the ordinary routine. including the marketers of food. Marketers of such items need effective display in order to distinguish their products from those of their rivals. They realize that such communications to the public may have every adverse impact upon the image of the organisation. Advertising aims at grouping the shotgun approach. Sales promotion activities are impersonal and usually non-recurring and are directed at the ultimate consumers. photographs and feature stories.

Public relations programme may higher be formal or informal. should be concerned about its public relations. The basic purpose of advertising effectiveness is to avoid costly mistakes.prospect. Effectiveness of which cannot be measured with a mathematical or empirical formula some advertisers argue that advertising efforts go to waste. suppliers. It is of two types. sales persons receive immediate feedback on the extent to which their messages are getting across. Consumers can easily leave the room-during a TV commercial. ADVERTISING EFFECTIVENESS Advertising is an art not a science. they employ mass marketing techniques such as advertising. These "other" include the public at large labour unions. pretesting which is done before the ad. the government. programme. for many institutions. If feedback indicates that the message is not getting across. Further. to predict the relative . The most effective method of promotion probably is to have sales person call upon every target consumers. The critical point is that every organisation. share holders. As a result. has been launched and one is referred to as cost testing which is done before the ad. has been launched and one is referred to as cost testing which is done after launching the advertising campaign. The term public relations refers to a firm's communication and relationships with the various sections of the public. the sales person may quickly adjust it or the method of its presentation. personal selling is very important in industrial marketing. PUBLIC RELATIONS Marketers engage in public relations in order to develop a favourable image of their organisation and products join the eyes of the public. Public relations activities include sponsoring. but every advertiser is keenly interested in measuring or in evaluation of ad. Testing for the effectiveness of ad. The most effective method of promotion probably is to have sales person provided that the organisation has sufficient funds. whether or not it has a formalized (organised. will lead advertisement testing must be done either before or after the ad has done in the media. the press and environmental groups. this would be terribly inefficient. These sections include the organisation customers. Personal Selling :Personal selling may be a very intense means of promotion. employees. by observing and listening. ignore a store display. effectiveness. They direct this activity to parties other than target consumers. the general public and the society in which the organisation operates. especially those that appeal to the mass market. lobbying and using promotion message to persuade members of the public to take up a desired position.

What sales are generated by an ad that increases brand awareness by 20% and brand preference by 10%? Advertising's sales effect is generally harder to measure than its communication effect. effectiveness feed back is always useful even if it costs some extra expenditure to the advertiser. In measurement of ad. Sales-Effect : Communication-effect advertising research helps advertisers assess advertising's communication effects but reveals little about its sales impact.strength of alternative strength of alternative advertising strategies and to increase their efficiency. Sales are influenced by many factors besides .

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