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Advertising Management And Sales Promotion

Colleys further definition is: Advertising is mass, paid communication, the ultimate purpose of which is to impart information, develop attitude and induce action beneficial to the advertisergenerally the sale of a product or service (A Comprehensive definition)

Advertising Management And Sales Promotion

Objective Advertising is an instrument of major proportions both as an economic tool and as a social phenomenon Advertising is an integral part of our social and economic system Advertising is an element of marketing mix it works as conjunction (price, place, change in product or service, and packaging) Advertising improves the brands values

Advertising Management And Sales Promotion

Advertising is used by marketers to improve long term profits generally by increasing sales Improve the image of the organisation and try to affect the behaviour of the total market Perspectives on Advertising Advertising differs from the related activity of publicit a tool of public relations Primarily advertising is paid for directly and its sponsorship is clearly identified

Advertising Management And Sales Promotion

1. As a form of communication advertising is used to promote; The sale of a product or service To influence public opinion To give political support to advance a particular cause To elicit some other response desired by the advertiser 2. As a component of the economic system; Advertising perform the function of interpreting The want satisfying qualities of goods and services

Advertising Management And Sales Promotion

Three critical elements are discussed here; Advertising must communicate a difference for the brand It must be a competitive and persuasive difference Such a difference may not fall into the communicators lap in the form of a readymade USP In the absence of strong functional superiority or distinction, be must search and discover where such persuasive differentiation lies

Advertising Management And Sales Promotion

We might, therefore, crystallize our thinking by saying that the central task of advertising is to place the brand in the desired position in the prospects mind Advertising has one overriding task: to position our brand in the prospects perception or perceptual space, in relation to competitors to create distinctness and preference. Advertising has to carry the major burden in packagedgoods marketing with decreasing product differences

Advertising Management And Sales Promotion

Articles in the Journal of Advertising Research note this new orientation to the objectives of an ad campaign This new approach acknowledges that the principal role of advertising is to influence positioning A truly successful advertisement has to be strongly associated with its brand, be memorable, and be influential enough to affect the final position of its brand

Advertising Management And Sales Promotion

Setting Objectives, Measuring Results a. Advertising objectives are usually set, at present in terms of awareness, knowledge or comprehension of benefit and the degree of conviction or buying intention for the brand b. Advertising has no single objective c. So, advertising has a strong influence on the sales and profits since it is the primary objective of the business

Advertising Management And Sales Promotion

Consideration in setting objectives Factors important before setting advertising objectives 1. Target Market The entire marketing program endeavours to guide the decision of the target market towards purchase of the production or service Objective set for advertising should flow from knowledge of the market use of advertising as a factor in decision making

Advertising Management And Sales Promotion

A poor objective for an advertising program would be the aims for attitude change where the target market relies very little on advertisement for evaluating alternatives 2. Product The nature of the product or service determines sometimes the nature of the consumer decision process There are high investment and low-investment products decision making is often lengthy and advertisings role may be to provide knowledge of critical features and benefits

Advertising Management And Sales Promotion

Very little decision making is needed for the lowinvestment products Degree of familiarity with a brands name can make the difference, in such cases, the awareness level is needed to be increased through advertising 3. Competitive Advertising Whenever aggressive advertising is resorted to by the competitors, there needs to be a direct response from the advertiser to protect the market share
Example to explore: During the World Cup Cricket in 1996, Coke obtain Official Status as a main sponsors and thought perception is they got edge over its rival - Pepsi

Advertising Management And Sales Promotion Reaction Given by Pepsi What is Official? Nothing about it 4. Other Marketing Efforts Advertising objectives are derived from marketing objectives which will be based on an on-going assessment of the market situations, competition, price, position, distribution channels and their incentives and so forth While setting of the advertising objectives, due consideration should be given to time specific to which these objectives are confined. Advertising objective in coherence with marketing objectives may relate to short terms and long-term objectives The marketing mix inputs are also expected to make their contribution to the achievement of specified objectives

Advertising Management And Sales Promotion Some are meant to inform and some to persuade and some to remind about the product in all cases it is to be understood the situations for advertising 4. General Objectives of Advertising Advertising can maximise the demand for products and services Latent demand which is within the consumer is waiting to be brought into each persons consciousness through advertising Advertising is designed to stimulate demand primary and general objective is to bring out demand Some products are more sensitive to increased advertising than others i.e., the demand for some products can be stimulated more than for other products

Advertising Management And Sales Promotion The situation involves the concept of expansibility of demand which exists when the use of advertising and/or personal selling will bring about an increase in the total demand for a product Advertisement can stimulate the demand for any product in the following ways; More Usage: Present users may be persuaded to increase present rates of product consumption New Uses: To inform the present users about new uses for the product New Users: To increase the demand, more new users can be drawn through advertising

Advertising Management And Sales Promotion Another objective which needs to be given importance is the effect of advertising on profits If advertising does increase sales, the increase may favourably affect the product costs. If plant capacity is fully utilised and other cost reductions are employed, the per unit cost of the product will often be lowered As manufacturing costs are lowered, profits are increased Advertising also lowers the marketing costs by reducing the transportation and storage expenses per unit because it increases the sales Advertising also forces less personal selling- the reduction of production and marketing costs.

Advertising Management And Sales Promotion Specific Objectives of Advertising The theme or keynote idea must be designed to attain specific objectives Advantages of Advertising objectives are; Advertising effort is integrated with other marketing mix elements, leading to a consistent, logical marketing plan Advertising budget can be determined more accurately Top Management can appraise advertisement plans and can maintain control over advertising activities Some advertisements can be used to elicit direct response from the customers In most cases, advertising only tries to induce trials, merchandise offers, introduce new product, model or latest innovation

Advertising Management And Sales Promotion The objective of advertising in consumer media may be to increase employees pride in the company or it may be to convince middlemen to stock a certain brand Advertising creates a favourable attitude towards the product which in the long run might result in the achievement of the general objectives of sales and profit Categories of advertising objectives Awareness Objectives: An ad campaign charged with raising awareness in the market place attempts to acquaint the target market with the existence of a product or service Awareness campaigns create awareness of a new offering in a current target market and also achieving awareness of an existing offering among new target customers

Advertising Management And Sales Promotion Where there is a product behaviour, advertising only needs to remind and reinforce. Ex: in case of the established brands like Titan, Pepsi, Maruti Suzuki, etc. the objective is often to keep the name at the top of the customers or prospective customers minds In the case of high involvement products, advertisings major role is that of celling attention to its products personal selling and sales promotion is needed in persuasion and ultimate purchase of the said product Comprehensive objectives: Product features and benefits can be informed to the consumer through advertising This helps the consumers to keep track of the brand and when they are purchasing that product, the brand will be under consideration for decision making

Advertising Management And Sales Promotion Advertising can provide the target audience with new information, correct false impressions that an audience may have and also reinforce beliefs to prevent forgetting a product undergoing repositioning or a modified product Ex. Arrow, Colour plus shirts from formal wear they repositioned to informal wears in our country can engage in educating the consumers Conviction objectives: Ad campaign can be used to shape specific beliefs about a product, the bases for the consumers over all opinion or attitude Primary goal is to transmit information that contribute to but may not solely direct, the audience judgements Ex. Thumps Up cola campaign, where the comparative advertisement was shown and showed - people prefer them

Advertising Management And Sales Promotion An ad campaign may have the goal of stimulating or reinforcing the audiences existing feeling about a product Audience interest may rise as the audience receives information which was not available previously Action Objective: Some advertisement provide for immediate action from the consumer by inserting reply cards or even giving a phone number etc. An advertiser expects that the content of the campaign alone of perhaps acting as a catalyst for other marketing factors will lead to purchase Advertising for low involvement products may be held accountable for sales, because brand selection depends strongly on brand familiarity enhanced by advertising

Advertising Management And Sales Promotion Importance of Objectives: Objectives serve as communication and coordination device through which the client, the agency, client servicing personnel, creative team communicate Objectives provide a means through which decision making is taken If two alternative campaigns are generated, one must be selected Objectives help in evaluating the campaign at its conclusion Advertising objectives are useful while planning for a new product, instating the existing product to retain the market and at times increase the market share for the product

Advertising Management And Sales Promotion Advertising objectives help in informing the middlemen about the prices, quality etc and also keep them upto date about the advertising campaigns Advertising objectives are ultimately intended to contribute to economic growth and social reform advertising as such promotes the marketing system education of the people so that they might make an economical use of scarce resource and maintain the either of society Advertising objectives are set in such a way that increase in the welfare of the public, raising the standard of living etc Advertising informs the public how to maintain public hygiene, educate them by de-marketing of energy and makes the environment free from pollution

Advertising Management And Sales Promotion

Classification of Advertising Advertising can be classified according to audiences Types of advertisers, media and variety of functions 1. Audiences: A commercial for Modi Xerox Copiers, directed at the business people who will use them, in consumer advertising Modi Xerox ads directed at office machine distributors or dealers represent business advertising It can be classified on the basis of mass or specific audience.

Advertising Management And Sales Promotion

Advertising of Lux bath soap is meant for a large, heterogeneous audience a mass audience, where as if the product advertised in an expensive perfumed or luxury soap like Dove, the audience would be certain classes of people 2. Advertisers: Advertisers are of two types National (General) and Local (Retail) When Godrej urges through different media to buy Godrej refrigerator it is national or general advertising

Advertising Management And Sales Promotion

Whereas, if the local appliances dealer urges to buy the Godrej refrigerator at his store, it is local or retail advertising In most cases, the general advertiser pays higher rates for a given unit of space or time than the retail advertiser The national advertiser tries to persuade people to buy the firms brand where ever they find it Whereas, the Local advertiser is eager to persuade them to purchase it locally The national advertiser emphasises the product, the retailer emphasises the store

Advertising Management And Sales Promotion

3. Media: Advertising can also be discussed on the basis of the medium used to transmit the message It includes every thing from such established mass media as newspapers, TV magazines to recent media such as satellite TV and specialised web based magazines & Movie based ads (Entertainment) 4. Functions a) Product Advertising: When Samsung emphasises the virtues of its television in advertisements, the company is using product advertising

Advertising Management And Sales Promotion

Say Onida brand shows only its brand in the advertisements, it is mainly due to the superiority of the product or known as product reputation advertising b) Institutional or Corporate Advertising: When a company shows its product mix or product line in its advertisements, it is trying to emphasise on the company itself and hence is known as Institutional or corporate advertising this creates goodwill among the shareholders, public and government at large
c) Direct Action Advertising: It is otherwise called as hard sell

Advertising Management And Sales Promotion

When some company uses its copy, mailing part or provides a catalogues of products lists etc. it is trying to trigger immediate sales and thus termed direct action advertising d) Indirect Action Advertising: It is called as soft sell Where some company may not directly ask people to buy, but instead mention the unique advantages of the product Ex: Hero Honda moved away from fuel efficiency plank to Environment friendliness which indirectly explains the advantages of the product for along term oriented purchase

Advertising Management And Sales Promotion

e) Non commercial Advertising: The advertisements such as support of city cleanliness, solicitation of donations and contributions etc are done on a non commercial angle and hence such advertisements can be treated as non-commercial advertisements f) Primary Demand Advertising: In order to generate demand for generic products or services which includes that of brand as well unbranded goods is termed as primary demand advertising Ex: Public sector banks Such advertisements are done by a
group of people, associations, etc it create demand for the entire public sector banks (also called as Co-operative advertising)

Advertising Management And Sales Promotion

g) Secondary Demand advertising: Secondary advertising promotes demand for a particular product EX: Bank of Baroda advertise for its own demand then it is termed as secondary demand In the motorcycle industry, if Hero Honda advertises separately about the brand, then it is also termed as secondary demand advertising

Advertising Management And Sales Promotion

Evolution of Advertising
Commercial advertising dates back to several hundred years At the onset of this century, it has become more prominent, but the purpose of advertising has not changed There has been considerable growth in the media and planning of advertisements Earlier advertising might have been referred to as written or printed publicity, serving wholly as adjunct to personal selling, but today it takes a position on par with personal selling- independent and complimentary selling tool

Advertising Management And Sales Promotion

Criticisms of Advertising:
In some instances advertising is perceived incorrectly from the social point of view, this has led to many criticisms on the emotional aspect of advertising 1. There is too much of advertising: True, there are plenty of advertising a human has to see and hear Unfortunately one cant avoid advertising Since, there is a flourish of economic activity, every manufacturer who want to be known in the market, needs to advertise to stay alive

Advertising Management And Sales Promotion 2. Advertising Stresses Materialism: Even though advertising stresses materialism, this need not be at the expense of other values There is no doubt that material acquisition should be a means to an end, and not an end it self 3. Advertising creates false needs: This is offset by understanding what is a luxury in one generation may well be a necessity to the next one Advertising cannot create any needs, these needs are already in existence in the society 4. Advertising is in poor taste: The critics of advertising deplore the vulgarity, thrillers and the selfish appeals in advertising

Advertising Management And Sales Promotion The content of advertising is a reflection of the audience to which it is directed Since different people have different tastes, advertising that may be considered tasteful to one group may be distasteful to another 5. Advertising appeals to emotion: The politician, film maker, lover, all of them appeal to emotions and everyday persons control their feelings and hence emotions play a vital role in a person There is no problem hence if advertiser uses emotions to convey his brand 6. Advertising is misleading and fraudulent: There may have been one or two such advertisements which were misleading and fraudulent

Advertising Management And Sales Promotion It should not be directed to all advertisements, there is no room for deliberation, deception and exaggeration through advertising as most firms avoid such practices to uphold the ethics and morality in business 7. Advertising support stereotypes: The emergence of minority groups and the womens movement has now overcome to some extent few of such advertising casting stereotypes 8. Advertising manipulates children: Due to social responsibility, many advertisers are very cautious about what they include in commercials where children are used or are targeted at children But a cursory look at these criticisms reveal that advertising envisaged as capable of creating demand

Advertising Management And Sales Promotion DAGMAR

He called Defining, Advertising, Goals for Measured Advertising Results This approach is introduced to advertising planning and included a precise method for selecting and quantifying goals and for using these goals measure performance An advertising goal is a specific communication task to be accomplished among a defined audience in a given period of time

Advertising Management And Sales Promotion

Hierarchy of Effects Model

This model suggests that there is a series of mental steps through which a brand or object must climb to gain acceptance Unaware Aware Comprehension and Image Attitude Action

Advertising Management And Sales Promotion Levidge and Steins Model

Robert Levidge and Gary Steins developed the following model with 6 steps Awareness Knowledge Linking Preference Conviction Purchase

Advertising Management And Sales Promotion Specific goals of DAGMAR Measurable: When actual goals are formulated, DAGMAR needs o be specific and measurable in quantity It shows the appeal or image to be communicated Measurement procedure is included, if a high-energy cereal were trying to gain brand comprehension, advertiser could decide to promote its energy content But by simply mentioning energy content is not adequate and it is often open to misinterpretations Is this cereal to be perceived as one containing full days supply as a protection against drowsiness etc?

Advertising Management And Sales Promotion Bench Marking: Bench marking helps in understanding the popularity of the brand If it is properly analysed, where the product is, then it is easy to tell how one can reach the destination If the starting point and last point can be understood and the place of the product is revealed, advertising has to take the product to the last point If the image of the product is not known to the people, it means the message should make the product-image known to the people first, then their interest and desire can stimulated by the message DAGMAR shows whether the existing images needs to be altered, reinforced, diffused or sharpened

Advertising Management And Sales Promotion Target Audience: The Target of DAGMAR needs to be well defined if the goal was to increase awareness, it essential to know the target audience The segmentation strategy is specifically laid down by the advertiser Relevant communication which is essential for the achievement of goals of the total objective Sub-objective should be incorporated in the advertising campaign Time: The objectives for a one year period or a six month period will require the necessary inputs for the achievement of the goals within the period

Advertising Management And Sales Promotion

The results need to go for contraction, expansion or change in the current advertising activities can be understood from the comparison Written: The objective should be written The basic element, basic shortcomings and misunderstanding are exposed by the written objectives The written objectives are the guidelines for a computation of the results with the activities of advertising

Advertising Management And Sales Promotion Suggestions of DAGMAR DAGMAR has given some suggestions for the implementation of objectives and goals 6 M approach was employed for analysing the product and the market

1. Merchandise: The merchandise is the product to be advertised Weaknesses are avoided and not communicated to the audience The attribute of the merchandise and the weaknesses of the competitors products are established in the ad campaigns

Advertising Management And Sales Promotion 2. Market: The present and potential consumers of the product comprise the market It is divided into segments with the segmentation approach, one information and facts Distributors are informed how to approach a market segment effectively 3. Motives: The buyer motives are based on emotional or rational Motives change can be understood for clearly including in the advertisement 4. Message: An effective message is always designed to appeal to consumers Several alternative messages are developed and the best message to reach the destination is selected for the purpose

Advertising Management And Sales Promotion 5. Media: The media whether primary or secondary are chosen after a through investigation and survey of their relative merits and demerits for a market segment 6. Measurement: These are guidelines which act as the control measures of the objectives set. The final results are compared with the advertising efforts General Contribution of DAGMAR o Advertising objectives according to DAGMAR should be differentiated from the more general sales and marketing objectives o The objective assist the creative effort, media selection and research within the advertising agency o DAGMAR offers variety of benefits to advertisers

Advertising Management And Sales Promotion o Most significant contribution of DAGMAR is in the systematic control, guidance to creativity and use of behavioural theories o DAGMAR is the planning tool, which leads to systematic performance and control o DAGMAR establish specific goals, effective area indeed the real contributions o It creates awareness, interest and desire among consumer o Market segments and constraints, limitations are also analysed with a view to making advertising effective o Incorporation of behavioural theories in an advertising campaign is another contribution DAGMAR o The social, Psychological, ecological, demographic factors are blended suitably within the advertising campaign

Advertising Management And Sales Promotion Specific contribution of DAGMAR 1. Use of Advertising in closing a sale: DAGMAR proposes the following to use of advertising in closing an immediate sale: Perform the complete selling function Close sales to prospects clearly partly sold through advertising Announce a special reason for buying now Remind people to buy Tie in with some special buying event Stimulate impulsive sales

Advertising Management And Sales Promotion

2. Stages of consumer buying DAGMAR lists the following for making sure the advertising aims at near-term sales by moving the prospect, step by step closer to a sale
Create awareness of the existence of the product or brand Create brand image of favourable emotional disposition toward the brand Implant information an attitude regarding benefit and superior features of brand Correct or offset competitive claims Correct false impression, misinformation, and other obstacles to sales Build familiarity and easy recognition of package or trademark

Advertising Management And Sales Promotion 3. Advertising for Long range consumer franchise: DAGMAR identifies the following list for effecting the same Build confidence in company and brand, which is expected to pay off in years to come Build consumer demand that places company in stronger position in relation to its distribution Place advertiser in position to select preferred distribution and dealers Secure universal distribution Establish a retailer platform for launching new brands or product lines Establish brand recognition and acceptance that will enable the company to open up new markets

Advertising Management And Sales Promotion 4. End-use Advertisement Benefits DAGMAR identifies the following objectives to get end-use advertising benefits: Aid sales people in opening new accounts Aid sales people in getting large orders from wholesalers and retailers Aid sales people in getting preferred shelf space Give sales people the entry as done by Euro clean vacuum cleaner company Build morale of the companys sales force Impress upon the trade, middlemen

Advertising Management And Sales Promotion

Challenges to DAGMAR DAGMAR has created considerable controversy among advertisers and researchers DAGMAR really changed the way tat advertising objectives were created and the way that advertising result were measured DAGMAR introduced the concept of communication objective, and attitude models are developed using this objective DAGMAR encouraged people to create objectives so specific and operational that the can be measured

Advertising Management And Sales Promotion Different kinds of challenges 1. Sales Goal: Open question traded against DAGMAR is that if awareness does not effect sales, they why bother to measure it? One can easily measure sales, if it does have a sales relationship This argument has gained strength in the eighties since it is now possible to measure advertising effect on short term sales for FMCGs with great precision through controlled experiments 2. Practicability: The second challenge focus on the many implementation difficulties inherent in the DAGMAR approach The contribution of DAGMAR by providing the check-list of promotional activities falls short of providing sufficient details to implement the approach

Advertising Management And Sales Promotion Colley provides only broad outlines and expected others to do the details The normal way is selecting a level in the hierarchy to be attacked and going for a campaign to influence those at the level must be developed 2.Measurement problems: Even though DAGMAR Suggests measurements, how the facts, attitudes, awareness etc are measure have not been practically decided The scale device is purely a theoretical solution of the problems Its measurement of results and effects and also of objectives has become a very difficult projection

Advertising Management And Sales Promotion 3. Noise: Noise exists in the hierarchy model and there are interruptions due to the noise There are many causal factors other than advertising that determine the sales In a more complex model, it can be argued that there are many causal factors besides advertising that determine awareness 4. Creative Idea: DAGMAR is a ration, planned approach that provides guidance to creative people The problem is that DAGMAR has influence on the creative idea which in turn inhibit advertisers efforts

Advertising Management And Sales Promotion As per Anthony Morgan an agency research director, the DAGMAR inhibits great advertising by emphasising test of recall, communication and persuasion. Ex: One of Campbell's soup comparison, which was designed not to have much initial impact but to withstand enormous receptions and to work over time The testing used was inappropriate and is also dangerous to rely on testing based on the hierarchy model Conceptual and research flexibility needs to be employed 5. Hierarchy Model The last type of argument against the DAGMAR approach attacks the basic hierarchy model which postulates a set of repetitive steps of agreement, comprehension and attitude leading to action

Advertising Management And Sales Promotion In some instance of impulse buying action can precede attitude formation and even comprehension At this point, it is important that appropriate model will depend upon the situation and a key problem in many contexts is in fact to determine what that model is However, the basic thrust of DAGMAR is the use of advertising responses measures as the basic of objectives and focus on measurement does not depend upon DAGMAR alone

Advertising Management And Sales Promotion Advertising Planning and Decision Making
Advertising manager will be involved in the development, implementation and overall management of an advertising plan The major internal factors involved in advertising planning and decision making are situation analysis, marketing programme and the advertising plan Advertising plan should be guided by the basic aspects like objective setting and target market identification

Situation Analysis
Given a situation, all those important and pertinent factors which influence the situation need to be analysed One can use both secondary data as well as the primary data Example: Videocon relayed on pricing strategy for a period and their campaigns were concentrating on price platform

Advertising Management And Sales Promotion Once when conducted research they found most of their competition is with foreign brands and hence changed their campaign to product and features (like sound, aesthetics, style) This can be detrimental or beneficial to them A Comprehensive situation analysis will cover the entire marketing components and provide answers to various questions relating to demand, competition, environment factors, product, price, distribution , etc An analysis of the consumer behaviour in terms of the motivation and changes to response from product, service, idea etc by using the achievements can throw open avenues to companies to exploit

Advertising Management And Sales Promotion Situation analysis involves research of some kind The Agency need to coordinate in terms of : 1. what to research? 2. Whether it is to be based on conventional approach, managerial acumen or the creativity in the advertisements? However, it should relay on customers, market and competition It can help in understanding the marketing involvement and specific need for advertising In the case of consumer and market analysis, the size of the market, growth pattern of the market seasonal nature if any, geographical distribution, the available consumer segments and changes happening in the entire market need to be analyzed

Advertising Management And Sales Promotion A Very important factor is the company should understand the buying decisions, attractiveness of the product, the number of brands and their effective off-take, etc need to be studied Ex:1. Lakme from Cold cream to Winter care lotion- Positioned itself from cold creams to cold cream plus moisturiser in one EX:2. Margo Soap- positioned as Modernisation of Margo with edges more rounded and a brighter green wrapper- headline states; Margo was always good for skin and now it looks good too EX:3 MilkMaid established in a long-run position- Rich and creamy when milk shortages, it was used as creamer for tea/coffee as a substitute for milk, later it was repositioned as a topper over fruits and puddings- product remained unchanged

Advertising Management And Sales Promotion Competitor analysis: Market structure and perceptual mapping can help identify the extent and nature of competition The analysis need to include : 1. The current market share, 2. The loss/gain in the market share over a period, 3. The number of competitors who entered during the period, 4. The extent of capturing the companys market share, 5. The strengths and weakness of the competitors, 6. The extent of promotions undertaken by the competitors 7. Whether the company needs to continue/enhance/reduce the marketing and advertising activities Ex: Bajaj when introduced 60-80cc (Sunny & M80)

Advertising Management And Sales Promotion Marketing Programme Marketing programme includes planning, execution and control of the total product line or a DMU (Decision making unit) which drives the advertising planning and decision making teamwork A comprehensive marketing plan which encompasses the entire marketing activities together with activity chart should satisfy the needs and wants of the consumers This can be successful if the company has got good distribution management, absorbed pricing in the market, otherwise, it will fall into pieces The role of the brand manager and his effective use of the marketing mix elements is hence vital for the organization to succeed

Advertising Management And Sales Promotion The role of advertising comes into effect when the problem or opportunity identified for the product involves its communication with customers The relative merits of various tools of communications need to the analysed viz a viz advertising When a company develops a prestigious products with a premium price, it is important that advertising campaign for the product reinforce the idea of high quality and prestige This can be done by advertising in premium media and associating the product with prestigious people, situation or events like Wills Davis cup or Pepsi World Cup or DLF IPL CUP

Advertising Management And Sales Promotion When the company offers a low priced product, the job of advertising might be to stress the price differential by using hard hitting copy like Gillette blade commercial, Airtel 1 commercial Advertising nature and significance will differ according to whether the company is using a push or pull strategy and whether the distribution strategy is intensive or exclusive or franchisee basis Advertising plan It is the next stage to advertising planning and decision making framework It has to follow the components like: 1. Advertising objectives and target selection 2. Segmentation strategy 3. Message strategy and tactics 4. Media strategy and tactics

Advertising Management And Sales Promotion Decision making concerns the choice of the best alternatives which strategy is feasible in a given stance? What is to be adjusted and what to reject? What media mix will be offering the best coverage? These need to be looked into while preparing the plan by an advertising/marketing manager Message strategy The form and content of the communication drives a particular advertisement A major activity in advertising management is the development and execution of the message strategy Appropriate words or visuals are used focussing a particular theme, if not, the entire campaign will be a waste

Advertising Management And Sales Promotion This message strategy and its execution derive from the copy platform A copy platform consists of full description of the relevant product characteristics to be promoted and highlighting of product features- it is set on general tone or mood of the message The creative work done in the copy is the full expression of the message Example: Print media such as magazines and newspapers allow only the use of words and visuals Television commercials use sight and sound While radio commercials rely on audio appeal Advertisement must be able to attract attention and hold interest and desire see/hear and communicate again

Advertising Management And Sales Promotion Example: Multidimensional scaling techniques are used by MARG a market research organisation in India to reduce the gaps between the brands and its positioning like; Dabur Amla Makes hair glossy Keo Karpin - Prevents hair falling Parachute helps in hair grooming Bajaj Almond Non Sticky Hair oil Brylcream Hair styling cream Media Strategy This is crucial for a media planner Even the excellent message not properly communicated through media could never deliver the response for the advertiser

Advertising Management And Sales Promotion Media strategy is nothing but decision on How much to spend on the advertising campaign? Whereas, media tactics means the decisions on a specific media or media vehicles to spend the money It is important that the knowledge on the available media in India is a paramount importance Ex: there are 50 odd satellite and terrestrial channels are available and one has to allocate the money for TV advertising It is becoming important and increasingly difficult for the media planner to apportion the advertisers money in planning and selecting the appropriate media

Advertising Management And Sales Promotion Segmentation Strategy Segmentation in advertising management is to build relationship between advertising and market segmentation Since consumer market is heterogeneous market, segmenting the consumers with broadly similar wants is termed as market segmentation It is hence obvious that a clearly defined market target is vitally important for a manufacturer/advertiser Advantages of segmentation 1. Market segmentation helps the companies in a number of ways as obtaining real competitive advantages among certain groups of consumers

Advertising Management And Sales Promotion 2. Segmentation helps improve the effectiveness of marketing operations since marketing efforts are focussed specifically on those groups of consumers who are most likely to want the product offered 3. Market opportunities are ground by market segmentation Disadvantages of Segmentation: 1. When ever market segmentation is considered, the manufacturer needs to make customised products which causes higher costs in both production and marketing for them 2. R & D costs may go higher because the manufacturer needs to develop different versions of the product 3. Higher inventory costs is possible due to the need to keep adequate stock

Advertising Management And Sales Promotion 4. Media costs will be higher because the advertising budget will have to be divided among several product types instead of one or two 5. The management involvement in these activities will be more deriving them of their valuable time Criteria for segmentation a) The segment should be easily identifiable; even at individual members b) The segment must be measurable; Quantify the potential size of the market segments sales, revenues, cost and profits c) The segment must be attractive enough; it must be substantial in size d) The promotion should be able to target the exact segment

Advertising Management And Sales Promotion e) Reference of demographic descriptors and non-demographic descriptors need to be studied age, sex, income, occupation, education etc lifestyle measures Methods of segmentations Graphical segmentation: Designating customers by geographical area is the oldest form of segmentation and is of significance for media planners while deciding national, regional or local advertisement campaigns Product user segmentation: Based on the amount and /or consumption patterns of a brand or product category, is segmented heavy, medium or light users

Advertising Management And Sales Promotion Life style segmentation: This is a method of combining several variables into a number of descriptive clusters These clusters are more accurate characterising a person than any single variable would be Benefit segmentation: This involves differentiating buyers not according to a preorientations of demographic or psychographic groups but more in relation to various benefits which buyers are seeking from particular products Example: toothpaste market- decay prevention segment, brightness of teeth segment, flavour and appearance segment and price-oriented segment It is also possible to segment the Industrial market

Advertising Management And Sales Promotion The identification of those segments mentioned in the example could have a significant implications for advertising copy and the choice of media Segmentation should enable the practical marketer to improve the effectiveness of his marketing operations and provide choices for identifying untapped market opportunities Target Market selection After market segmentation and choosing one or more segments, the opportunities within each segment need to be targeted effectively by the advertiser This is the result of assessing the identified segments as to their potential for the achievement of marketing and corporate goals

Advertising Management And Sales Promotion By proper research and analysis, the proportion of promotion efforts in each segment can be planned The marketer must be able to define the cost of the marketing efforts necessary to produce the desired market response from a segment This is again dependent on the extent of competitive activities, the market share, the customer loyalty towards players within the segment If based on the projections of sales, market share and profitability are ground to exceed the established goals, then a company may concentrate on the sale of the segment concerned and target their promotion

Advertising Management And Sales Promotion

Media Importance:Media strategy depicts ultimately the development of an overall media plan to implement a companys marketing strategy Of the entire advertising budget, it is the media budget which takes the major part There has been increase in the media costs and hence advertisers are required to make sure about the less waste circulation in media buying and greater cost efficiency The factors which influence the media strategy are the basis of advertising goals, the nature of the copy, budget provisions, target market profile, product distribution, scheduling of the media, competitive activity and the combination of media

Advertising Management And Sales Promotion

Basis of advertising goals Effective advertising is an extension of the marketing plan and is derived from it The marketing department sets the marketing objectives Advertising goals are communication objectives designed to reach the target audience with the appropriate message Advertising goals can be further divided into media objectives, Communication objectives These goals are based on marketing objectives Marketing objectives of a firm could be attaining a market share increase from 4 percent of industry sales to 5 percent within 12 months

Advertising Management And Sales Promotion Nature of the copy: There was anomaly earlier that the advertising agencies have not fully utilised the communication strengths of the various media vehicles It is natural that not only advertising executives like client service personnel need only know about the clients expectations but also the entire agency personnel The copy must reflect the expectation of the client and also provide for a creative output from the agency

Advertising Management And Sales Promotion Budget Allocation: Of the entire advertising budget, 90% of it goes to the media space and time purchase As the cost of media has increased, the need for efficiency and resourcefulness by the media planner has become imperative The smaller the budget, greater the need for resourcefulness A Small advertiser looks for media that are not commonly being used by competitive products When the budget is large, there is a greater risk in making decisions that entail large investments The advertiser whether small or large, must be aware of the proportionate cost

Advertising Management And Sales Promotion Target Market profile: Media planners do not deal with people or audiences, but rather with prospects The media planning function has concentrated on maximising target audience exposure Normally advertising media charge by the number of people reached, regardless of whether or not a person has the remotest interest in the product advertised By choosing those media vehicles that maximise the target audience exposure, the media planner minimises waste circulation EX: Leading Malayalam daily, Malayala Manorama, the target audience profile is given very clearly

Advertising Management And Sales Promotion Product distribution: The primary concern of the media planner is no doubt identification of prime prospects One has to also deal with geographic location of these prospects The media planner must examine the geographic area in which the product is sold and the concentration of prospects in these areas Prospects are divided into concentrated prospects and dispersed prospects In case of concentrated prospects, if they are in local place it becomes easy for the media planner to decide the media

Advertising Management And Sales Promotion When the prospects are dispersed on a national basis, he has to employ various techniques as direct mail, specialised magazines, special news paper sections etc Based on the sales/population index, otherwise known as Brand development index , proper allocation of budget is required The BDI helps the media planner to see the concentration of prime prospects on a market by market basis Factors affecting Advertising Scheduling: Reach: Reach refers to the total number of people to whom the advertiser delivers the message The advantage of going for reach as the prime goal is that one can present a message to the product

Advertising Management And Sales Promotion A disadvantage is that one may not expose potential customers to the message enough times to tell the full story Frequency: Frequency refers to the number of times the message is delivered within a given period [usually on a weekly basis for case in schedule planning] The advantage of frequency is that the advertiser can easily evaluate the communication value of the media plan by estimating the number of times each prospect is exposed to the advertisements Ten exposures in ten days obviously has more impact than ten exposures in six months Another aspect is continuity

Advertising Management And Sales Promotion By continuity media planner decides in terms of successiveness of advertisement s in media vehicles There is much research being done for evaluating reach, frequency and continuity in a given situation Ex: study conducted by an American Agency shows the following conclusions; 1. One exposure of an advertisement to a target group consumer within a purchase cycle has little or no effect in all but a minority of circumstances 2. Since one exposure is usually ineffective, the central goal of productive media planning should be to place emphasis on enhancing frequency rather than on reach

Advertising Management And Sales Promotion 3. The weight of evidence suggests strongly that an exposure frequency of two within a purchase cycle is an effective level 4. By and large, optional exposure frequency appears to be at least three exposures with a purchase cycle 5. Beyond three exposures within a purchase cycle, or over a period of four or even eight weeks, increasing frequency continues to build advertising effectiveness at a decreasing rate, but with no evidence of decline Timing of the Schedule: Seasonal programme; some products sales have seasonal fluctuations, as cough drops in winter, watches during occasions

Advertising Management And Sales Promotion In such instances, the advertising is scheduled to reflect the seasonal peaks, appearing in concentrated dosage ahead of the consumer buying season, when people might first begin thinking of such products Steady Programme; When the sale of a product is uniform throughout the year, the advertising could be steadily maintained Sometimes a steady schedule would have to be too thin if it were spread over twelve months, and more impressive advertising can be concentrated is shorter time periods Pulsing; This is a technique of having comparatively short bursts of advertising in a few markets at a time rather than running a steady but weaker schedule of advertising simultaneously in many markets.

Advertising Management And Sales Promotion Pulsing seeks to leave the consumer with the impression of a much higher level of advertising than would be possible by evenly scheduling the same number of exposures throughout some period Pulsing also allows heavier expenditures during peak sales periods In newspapers a series of advertisements can be run on consecutive days for a burst effect rather than spacing the ads over a month Several factors must be considered when developing a pulsing media plan

Advertising Management And Sales Promotion Competitive spending; How does the plan coincide with primary competition? Are the advertisements vulnerable to competition between flights? Timing of pulses; Does the schedule meet the seasonal product purchase cycle? Advertising Decay; Does the advertiser spend enough in peak periods to remain visible between flights? Secondary Media; Should secondary or trade media be used between flights to maintain minimal visibility?

Advertising Management And Sales Promotion Competitive Activity; In media planning, it is important to understand what the competition is doing, especially if their expenditure is bigger than the advertisers It is customary to compete in the same media that the competitor advertises However, if the campaign is based on unusual copy that would be unique in any medium, advertiser can plan his ad which would be most effective, regardless of the competition Media combination: Different media can deliver the same message in different ways to different prospects When faced with a media planning problem for a new product

Advertising Management And Sales Promotion The media director has to follow; 1. For a local campaign as a test to be run in different markets; local news papers, TV, Radio, Cable TV 2. For a regional campaign, one can use local newspapers, newspaper magazine supplements, regional magazines, regional editions of national magazines, out door and transit advertising 3. While planning selective campaigns to reach only people with special interest, it is better to use magazines devoted to that speciality, newspapers with sections devoted to that interest, TV and Radio Programmes attracting devotees of that subject and direct response advertising

Advertising Management And Sales Promotion Identifying the Target Audience or Groups The identification of the target audience is the process of subdividing the market on the basis of geographic, demographic, socio-economic, psychographic bases and the market conditions Ex: our soap is meant for high-income bracket people in Western India and our Talcum powder is for urban women of cosmopolitan outlook who are on the move However, these days mere demographic description is considered poor predictor of buyer behaviour, though it is the most common method of identifying the target audience Of late, psychographic base is used to describe the personality traits, life-style, self image and other psychological variables of the target audience

Advertising Management And Sales Promotion The table gives illustration of how the Garden Saree buying women are psychologically different from Garden Varelli dressmaterial buying women Consumer differences extend beyond demographics as the AIOs (attitude, income and occasions) piece together the total market puzzle Comparison of Garden Saree woman and Garden Varelli dress material woman
Garden Saree Woman Older Married Grace and dignity Dreamer Garden Varelli Dress Material Woman Younger Universal, unpredictable Exotic

Softer, quieter, intensely feminine Venturesome

Advertising Management And Sales Promotion Search of an Ideal Audience: As opposed to mass marketing, we have to select specific target markets for practising a specific marketing programme in target marketing Thus targeting decision is not just a choice of a segment of segments It also has to design a suitable marketing mix of the product, price, promotion and distribution variables for the chosen segments While selecting our target markets, we have to consider whether a segment is meaningful and attractive Meaningful segment differs from other segments in the way they respond to a given promotional effort or the way this segment can be approached

Advertising Management And Sales Promotion Example: If we want to sell music, we can identify age groups old people, middle aged and youngsters Old people prefer old melodies and religious songs, middle aged people like songs that lift up their spirits, and make them cheerful like ghazals, quawalis, thrumris and sugam sangeeth and youngsters like pop-music, feet-tapping, rhythm, electronic synthesizer tunes of Rehman, Daler Mehandi, Apache Indian and so on These three groups respond to music advertising differently We reach them through different media, it is therefore, meaningful to treat them as three separate segments These segments must provide profitable opportunities and must have growth potential

Advertising Management And Sales Promotion Life-style Marketing: Life style analysis makes our understanding of demographic groups sharper In India, the marketers these days are tapping the young and upwardly mobile group that cuts across many barriers Many advertisement appeals are meant for this group The behavioural differences do not come alive in demographic descriptions, but do show themselves in life-style patterns Life-style is a group phenomenon which pervades various aspects of life It implies a central life interest such as family, leisure, religion, politics, sexual exploits etc and this interest fashions our interaction with the environment

Advertising Management And Sales Promotion VALS system of classification:

Values and Life-style (VALS) classification was developed by Arnold Mitchell The adults (18 plus) are classified into distinctive life-style groups Each groups has psychological needs (values) and behavioural response patterns (life-styles) Much of VALS is based on Maslows Need Hierarchy, VALS blends together demographics, attitudes, activities, consumption patterns, brand preferences and media graphics

Four Major Groups in VALS:

a) b) c) d) Need-driven poor and uneducated Outer-directed upper and middle-class Inner-directed due to inner motivations Integrated-a combination of both outer- and inner-directed values The above model of Thomas puts these groups into nine specifc VALS segments

Advertising Management And Sales Promotion

Survivors are price conscious, not very knowledgeable shoppers Sustainers are swayed by brands and guarantees and are impulse-buyers Emulators buy to impress others, and to announce their status Achievers buy high tech items and original top of the line products Experiential buy for experimenting Societally conscious want value for money Survivors are depressed Sustainers are strugglers Belongers are conventional Emulators are status conscious Achievers are leaders and I-am-me are young, impulsive people Experimentals pursue a rich inner life, and are interested in lifes offerings Societally conscious people are socially responsible and integrated mature psychological, thus an individual passes through several developmental stages.

Advertising Management And Sales Promotion VALS system of classification: Survivor Sustainer I AM - ME Experiential Emulators Societally Achiever Conscious Integrated
I N N E R D I R E C T E d Need Driven O U T E R D I R E C T E D


Advertising Management And Sales Promotion Copy Writing One of the most important function in advertising is writing copy Broadly, the whole ad is called a copy But specifically, the matter written in words is called copy The rest of the ad may have visual elements like photographs, pictures, illustrations, logos, mascots, etc Those who write the verbal message are called copywriters Copywriters have a flair for language just like novelists, poets and other writers, they are different in one respect Their writing aims to achieve business objectives and is not purely a literary effort They write copies which help in meeting the advertising objectives

Advertising Management And Sales Promotion Good copy is a form of art, but it is not art for the sake of art Here art is used to pursue business goals Copywriting is a composite art-it requires a combination of linguistic ability and business sense When we find a man struggling on his PC or typewriter keyboard when al others have left the agencys office, he must surely be a copywriter The copy must be delivered before the deadline Copywriters have to interact with a lot of other peoplebusiness executives, account executive, market researchers, clients, art director They have to write and rewrite the copy till the output is satisfactory

Advertising Management And Sales Promotion Sometimes rewriting is not possible in view of the tight time schedule Copywriters have to write-copy and the associated headlines, slogans, base-lines They also develop copy for a TV or cinema commercial Here the copy is the audio part that is coordinated with the video part They prepare draft for press releases, and prepare other promotional materials like direct mailings and catalogues Print copy: In print ads, copywriters write all the words both of the headline and the body copy, copy has three major components headlines, body-copy and slogans.

Advertising Management And Sales Promotion Headlines As the name indicates, the headline appears at the top of the body copy It can appear even at the base, or in the middle of the copy The fact is that irrespective of where it occurs, it is the dominant line or lines in the copy Headlines are supported by sub-heads or subsidiary headlines These let the reader travel from the main headline to the body copy Headlines whether short or lengthy is the most important element of the copy as it arrests the attention of the reader Secondly, many may not read the body copy at all, for them, the essence of the whole ad is available in the headline.

Advertising Management And Sales Promotion There are several types of headlines: a) News headlines: provide new information to the readers, Ex: a new product, lower prices, a new address and so on, we come across such ads in news papers b) Benefit headlines: Here the key customer benefit offered by the product is stated c) Emotional headlines: These headlines carry the emotional appeals d) Curiosity headlines: These use humour, mystery, alliteration and paly on words e) Directive headlines: These headlines provoke a customer to action, they are highly suggestive f) Slogan headlines: These headlines reproduce the companys slogan, sometimes product label or logo may be used

Advertising Management And Sales Promotion g) Horn-blowing headlines: Make claims about the companys achievements h) Lead in: It is a line which precedes the headline Headlines to be effective can be supported visually, both together involves the reader with the ad Body copy: It forms the main body of the ad apart from visual elements, headlines and captions The significance of body copy differs from ad to ad Some ads have very few words, and some are wordy Simple products are advertised with little copy, and are promoted on the strength of headlines and illustrations Technical products and new products may have a wordy copy, it is necessary to use the right number of words

Advertising Management And Sales Promotion The body copy has many formats, a narrative copy uses a story A straight-line copy starts from where the headline has left off It develops selling points for the product A dialogue copy has a conversation between characters A monologue copy carries what one character says, picture and caption copy relies on visuals to narrate the story, while the captions that accompany are supportive in nature Cross leads: Bold type used as a paragraph leading to make the body copy more readable Slogans: Slogans is a catchy sentence or phrase which is eas to remember It is used by copywriters continuously for the sake of establishing it.

Advertising Management And Sales Promotion Slogan is a part of an advertisement copy It is a concise but effective way of telling an idea Many headings have been sloganized A slogan is kept in constant use at least for one campaign Some advertisers change the slogan for a new campaign Mostly people know the slogan by heart, slogans are short, summarized headlines In outdoor advertisements slogans are a must In outdoor advertisements, slogans are both the headlines and the sales message Slogans may use an appeal, or a pleasant incident in the life of a product, a pleasant description of a product qality

Advertising Management And Sales Promotion

Some good slogans are: if it is Philips, you can be sure Things go better with Coke Dont say Ink, say Quink Kelvinator Refrigerator, it is the coolest one Farex, A tastier way to grow Racold Washing Machine: The push-button wash Amulya Milk, Whenever you need it Complan the complete planned food Johnsons Baby Lotion- The soft glow MRF Tyres, the tyres we race are the tyres you buy Jenson and Nicholson, Whenever you see colour, think of us Toyota, Cars to love the world over Volkswagen Beetle: Think small

Advertising Management And Sales Promotion Why necessary? Slogans are direct, short, easily remembered They repeat the brand name They are friendly phrases Slogans can be printed or sung They are good to conduct the re-call tests of MR They are funny and entertaining Idiomatic slogans are remembered for a long time They summarise the selling points Bright and topical, they are a sign of a dynamic live company They can be charged with emotions and become psychological movers

o o o o o o o o o o

Advertising Management And Sales Promotion Drawbacks They become out-dated On changing the advertising agency, the old slogan gives way to a new slogan Slogans can become so routine as not to be noticeable Sometimes they are copied by many with slight variations and become non impactive Rivals can outclass by a slight variation of our slogan Characteristics of a good slogan The slogan is simple and straight forward, it is pleasant too It carries some pleasing sales idea It conveys more in a compact form Good slogan finish the job in 7-8 words So many ideas give rise to one good slogan.

Advertising Management And Sales Promotion Writing slogans is a challenging and creative task Slogans put flesh and blood into an advertisement copy A fresh slogan is well accepted when repeated for several times One simple method of creative problem solving is to restate the problem in as many ways as possible Slogans value depends on what it makes the readers to understand Good slogans are idea-centred, rather than world-centred Broadcast copy: Both radio and TV are challenging media for the copywriters Though copy both for the print and electronic media have some similarities like clarity and conciseness, there are important differences as well.

Advertising Management And Sales Promotion Both these media have an audience that does not control the communication process, they are in a sense passive, and are captive audience In print, we can skip some portions, and come back to them whenever convenient In electronic media, this is not possible Here the message must make an impact in the beginning only A listener of radio may engage himself in the activities It is difficult to reach him Electronic media are good supportive media to print, here there is added advantage of sound and motion which we miss in the print media Radio is the most challenging medium, radio listener has to visualise from what is heard, so copy should be vivid and create mental picture in the listeners mind.

Advertising Management And Sales Promotion Copy writing for Radio, TV and Outdoor Media Before we start considering broadcast copies, please note that the can be either spots or sponsored serials either on TV or radio Broadcasting Radio Commercial spots: Radio commercial messages contain words, music and sound effects, which create mind pictures among the listeners Of course, the formation of mind pictures is bounded by the listeners imagination In TV commercials, the advertiser, in effect, may be visible on the screen, may chat with the prospects and display the product, including a demonstration of its performance TV advertising is very nearly face-to-face personal selling, except that the communication is one-way

Advertising Management And Sales Promotion Though radio and TV are mainly entertainment media, they are also powerful advertising media We dont want entertainment value of our commercial to obscure the sales message we must deliver So, while preparing commercials, it should be kept in mind that advertising through USP should not merely become secondary too entertainment While the radio gives the copywriter complete freedom of time and place the unlimited forms and amount of physical activity, TV advertising has the added attraction of visual characters Radio and TV commercials may have several formats, prominent among these are humorous, dramatized, musical, straight sell, educational, and demonstration type commercials

Advertising Management And Sales Promotion In educational and demonstration formats, to develop a desire for a product or service, the appeal is more rational than emotional Product usage is actually demonstrated to prove the claimed benefits Presentation of product features and its benefits are highlighted to create product differentiation The humorous and musical formats are basically entertaining and they help in holding the attention of the audience While writing copy for a radio commercial, one should take into account the context in which the message will appear and the type of audience the particular AIR/FM station will attract at that particular point in time Most of the radio commercials are recorded announcements

Advertising Management And Sales Promotion These commercials are read from prepared scripts by professional announcers, and may include special sound effects and music There are several formats exists in pre-recorded ones, --- the skit format --- the testimonial format --- the problem and solution format --- the musical commercial format, and --- real life situation depiction format Skit format is the use of a shorter play to hold audience attention and entertain them and deliver the ad message In the testimonial format, movie star or a sports star may deliver the ad message, mentioning that he too uses the product, this increases the believability of the ad message.

Advertising Management And Sales Promotion In the problem-solution format, the problem is first dramatically presented and, equally dramatically, the solution is then given to impress upon the audience the efficacy of the product In the musical commercial format, the ad message is presented in the form of a song or music to make it sweeter, likeable and memorable In the real-life-situation format, dialogue between the friends, mother and child, husband and wife, a retailer and his customer in a real life situation is delivered, with background sound effects to evoke a realistic setting In this format, though we can make a better impact, there is the danger of losing the sales message in an effort to create a realistic setting

Advertising Management And Sales Promotion TV Copywriting Copywriters think in words However, TV is a visual medium Those who write beautiful print ads may not have the ability to write good TV scripts Script shop set ups undertake television writing for agencies and direct clients, they also script many commercials Scripting for TV Commercials Advertising world is today more and more dominated by commercials We need a whole breed of specialist copywriters and art directors who understand the grammar of TV Commercials A 30 seconder may need 30 days of discussion and planning

Advertising Management And Sales Promotion Screen output is important: Scripting, casting, editing, dubbing all this is for ultimate presentation on the TV screen While doing a TV production, it is better to draw screens to get our bearings The script is enacted on the screen Rehearse the Script: The components of TV commercial are energy, expression and action, a drawn out story board is welcome but there is nothing like enacting the script right in front of us Scripting and Camera Work: Script has to side-step fancy camera work like slow pan, along zoom and tilt down Dont Freeze the script: In Mumbai, the producers are just a phone call away and can be involved in the ideation process and scripting

Advertising Management And Sales Promotion Copious copy (script) not needed always: Ad commercial on Tv is a combination of cinematography, music, story-board and idea The view potion in any script is crucial for magic to happen The audio part of Johnsons tiles commercial would read Violin music Continues Continues Continues Admittedly, the script is scarce, but the commercial is memorable, it is not necessary to have script lasting for the full spot It has to accommodate other elements like music and the visuals.

Advertising Management And Sales Promotion A rule of thumb may be that a 20- second spot has script than can be read in 15 seconds Bounce Back ads: When we see the great advertising all over th world, in many cases we look at the bounce back ads, several scripts and campaign ideas are submitted before one finally gets approved On an average they go through 10 scripts for each and every commercial abroad Jingles for TV These are catchy little tunes which we pick up and hum quite unconsciously most of the times, like a refrain registered in our brain which refuses to go away Jingles make possible the association of memorable phrases with the product or with the company.

Advertising Management And Sales Promotion The tunes evokes the memory of the brand, and the words plant the proposition It changes our attitude towards the brands; because it so evocative and caries an emotional charge A jingle with its repeat phrases has a far higher recall value than the visuals do The music catches the attention of children and teenagers Sometimes a story board is given by the agency to make the singer aware of the characters expected to be mouthing the jingle These days some companies are asking the jingle singers to do the company anthem for them on the lines of Japanese companies Noted film musician Rahman has composed more than 300 ad jingles, after working with composers like Illiayaraja & MSV.

Advertising Management And Sales Promotion Many talented children have sung jingles Amrita Bhende is the voice that sold Rasna, Narangisa rasila, Maggie Noodles, Swad jingle, and Lijjat apads Penny Vaz is very famous for her jingles, she did for Fudgy and Videocon washing machine, Yehi Hain right choice and parry sweets When she was 13, Louis Bank, king of jingles introduced her into this field It is difficult to imagine an Indian ad without a jingle Louis Bank has composed music for over 6000 jingles in 10 years, averaging 30-40 jingles per month Dip, dip, dip ad for Taj tea bags was composed in 15 minutes flat, it got the best jingle award in 1988 Satellite TV has introduced a change in style and contemporary sound in jingles.

Advertising Management And Sales Promotion Music does not remain confined to brand recall It has power to move people, it also creates ambience, it sets the mood.

Advertising Management And Sales Promotion

Advertiser: + The advertising begins with the advertiser, the company or individuals with products or services offered to buyers + The advertisers role in the link with the advertising agency, the need for the advertiser to go for advertising the message and the media he chooses Advertising Organisation: + How the manufacturer will treat the advertising function with the organisation depends on the importance of advertising to the overall promotional strategy of the firm.

Advertising Management And Sales Promotion

Top Executive

Advertising Agency

Advertising Department



Sales Marketing Research Sales Force

Sales support services

Advertising Management And Sales Promotion If it is a minor in nature, the advertisement department might have to report to the sales manager

Top Executive




Advertising Agency

Advertisement Department Sales force

Sales support executive

Advertising Management And Sales Promotion Such as advertising department operated in staff capacity, with responsibility for advertising planning, budgeting and evaluation, usually work as liaison between that agency and its own management to whom it reports As firm become more marketing oriented, with greater focus as marketing functions, maximize their profits, the functional areas of advertising sales, product management and marketing research requires a catalyst that would integrate all these efforts and provide for better marketing planning Hence as per the marketing approach, the advertising department will report to the Vice president (marketing).

Advertising Management And Sales Promotion

Top Executive

Vice President Finance

Vice President Marketing

Vice President Production

Advertising Agency

Advertising Department

Product Management

Sales Department

Marketing Research

Sales Force

Advertising Management And Sales Promotion As Business organisations started realising the importance of the product management and marketing management systems, in the place of advertising department, marketing services department was replaced Such departments, which generally report to the top marketing executives assumes varying degrees of responsibility for advertising and other marketing service as advertising media, sales promotion, agency relations, corporate advertising, marketing research, etc. with the exception of selling For a multi product company, the marketing service department is responsible for media planning and coordination of media buying etc.

Advertising Management And Sales Promotion The Advertising Agency The advertising agencies in our country have taken a leaf or two out of the international agencies by offering specialised knowledge, skills and experience which are required to produce an effective advertising campaign The specialists in the agency work together to understand fully the advertisers requirements of an advertisement campaign, and develop suitable advertising pans and strategies Agencies implement advertising plans and strategies by creating advertisements and delivering them through appropriate media Advertising agencies may do work in public relations, sales promotion, packaging, marketing strategy, etc In order to create advertising to sell a clients goods or services, an agency will be involved in the following kinds of activities

Advertising Management And Sales Promotion 1. Advantages and disadvantages of the product in relation to the competitors 2. Present and potential market analysis 3. Distribution and sales 4. Knowledge of the available media and the characteristics of the same for optimally utilising the advertisers budget 5. Formulation of a plan and presenting the same to the client for approval 6. Implementation of the plan a. Preparing the advertisements or other forms of message b. Media buying c. Message incorporation & execution d. Checking & verifying of insertions, display, etc.

Advertising Management And Sales Promotion

e. Billing and collection of dues 7. Full co-operation with clients team to ensure the best effect from advertising There are four basic areas of advertising agency services: Account services Media Services Creative Services Management financial services Account Service: Normally agencies appoint Account Executive Liaise with the clients The account executives need to be sufficiently aware of the clients needs and desires that can be instructed to the agency personnel and should get approval from the client on the agency recommendation to the clients.

1. 2. 3. 4.

Advertising Management And Sales Promotion Media Services: A media strategy is developed to implement the marketing strategy and a media schedule results out of this strategy which spells the times and places in which the advertisements are to appear Computers are being used for determining which media vehicles are the best for delivering the advertising message at the lowest cost, consistent with the greatest efficiencies Creative Services: There are usually two departments which constitute creative services One is the copy department which is headed by the copy director The department needs to write display lines and body text Copy writer may also prepare a rough or visual layout of the advertisement in addition to writing the copy.

o o o

Advertising Management And Sales Promotion o The second department is the Art department where the Art director develops the pictorial element in the advertisement known as art work o In the case of television commercial, it is known as story board o In general, art director and assistant artists are responsible for the visualisation of art work, the execution of layouts and story boards, the preparation of mechanical and specification of type Management and Financial services: There is a considerable amount of billing work involved since the agency is involved in deals with numerous media and suppliers o Hence an accounts department functions in this aspect to feed the company of the financial position and dues from clients etc o Some agencies use New business departments where the agency will give importance to approaching new clients.

Advertising Management And Sales Promotion o Some agencies have new product task forces for getting new accounts o Of late many agencies have started providing services like public relations, direct marketing, POP displays etc, Agency Compensation: According to the nature of work performed, mode of payment to the agencies differ o Much of the agencys compensation comes in the form of commissions, not from the client, but from the advertising media in which the advertisements appear o These media bill the agency according to the rates, less a 15% commission o If the rate for full page in a magazine were Rs1,00,000 less Rs. 15,000/- (15%) for a net amount of Rs. 85,000/-

Advertising Management And Sales Promotion o The agency in turn would bill the client for Rs. 1,00,000 and pay out the magazine Rs.85,000 thus retaining Rs.15,000/- as it gross income o Some media provide cash discount also to the agency o While some agencies do not charge for writing copy and preparing layouts in connection with commissionable advertising, however, there are also many other expenses incurred by the agency in the preparation of advertisement and commercials Following is the check-list for selecting and evaluating an agency: 1. Number of staff 2. Turnover and growth 3. Financial soundness 4. Breakup of turnover between major accounts.

Advertising Management And Sales Promotion 5. Terms of business and profitability 6. Membership in professional organisations 7. Creativity in the advertisements 8. Agency organization and leadership 9. Method of operation 10. Clients list 11. Accounts lost and gained in the past two years, etc The Responsibility of the Advertiser o Every advertiser must first be responsible to his company, his brand and its long-term success o One should perceive advertising as to sell in an efficient and cost effective manner and thus must always come first o In all circumstances, the advertiser must obey the law of the land and he must make sure that his advertising do so as well.

Advertising Management And Sales Promotion

Controlling Sales People-Evaluation and Supervision Management process starts with the planning function In the overall business plan, goals are set for different functional areas of business In the marketing area, there are certain goals of growth, profits and market share to be achieved Sales function derives its goals from the overall marketing objectives In order is achieve the sales goals and objectives In order is achieve the sales goals and objectives, a sales plan is designed and implemented Sales programmes are the operational aspects of this sales plan Ultimately, we have to see whether the performance standards set are being achieved or not This is controlling aspect.

Advertising Management And Sales Promotion Controlling aspect has three dimensions set the standards, measure the performance of the individuals, compare it with the standards, and see if there is any deviation Last but not least, we have to take the corrective action The three dimensions make control static and the action oriented part make it dynamic Without action, the other activities of control have no meaning Corrective action puts the sales function on the right course

Planning, organising, staffing, directing and controlling constitute what is known as the management process, some authors put it into three basic elements planning, integrating and controlling.

Advertising Management And Sales Promotion

It is not necessary to carry out the managerial functions of planning to controlling in a linear sequence

It is in fact a circular process

Advertising Management And Sales Promotion

Sales planning

Sales Organising

Sales Controlling

Sales staffing

Sales Directing

Advertising Management And Sales Promotion All decisions as to what is to be achieved standards of performance are set in the planning function Planning provides a direction to the sales function All the performance standards are to be achieved through the sales organisation The capability of the sales organisation itself affects the standards set In the dynamic control function, management brings about the necessary changes in the planning, organising, staffing and directing process and their co-ordination with each other.

Advertising Management And Sales Promotion Measurement Setting standard Take into account the nature of the selling task to set these standards In short it calls for sales job analysis We then get objectives, duties and responsibilities and other aspects of job analysis Some companies have to obtain more and more business from the existing customers, some have to obtain sales growth from new customers Sales standards in both these situations will be different Promotion strategy also affects the setting of standards We have to formulate standards for the key result areas (KRAS) and activities carried out under each KRA

Advertising Management And Sales Promotion The setting performance standards calls for a deep understanding of the market We have to consider the total market or sales potential and the contribution that each territory could make Customer classification should be done properly in terms of their potential Selling expenses necessary to achieve these standards must be taken account Sales plans are revised in keeping pace with the changing environment Performance standards are aligned with the overall business environment and corporate plan.

Advertising Management And Sales Promotion Sales objectives and performance standards: Each organisation has some specific sales objectives which are derived from the overall marketing objectives Performance standards are so set that we realise our sales objectives All organisations consider the total sales potential, of which a particular level is to be achieved by way of sales volume A standard is therefore, set for sales volume performance To realise certain amount of profit, we will have to set standards for all those factors which affect the profit level, say for example, sales expenses, sales mix, calls made, call frequency, cost per call and the order size Performance standards are quantitative defining both the magnitude and the nature of performance.

Advertising Management And Sales Promotion

These standards are measurable and these standards reflect the expectations of the management in terms of performance There are many variables of sales which are beyond the control of an individual salesman, e.g., differing promotion support, differing potential of sales territories It is therefore, necessary to consider other performance standards over and above the sales volume standard Performance standards (quantitative) 1. Sales quotas 2. Net profit Ratio or gross margin rate/territory 3. Sales expenses ratio 4. Sales coverage effective index 5. Calls frequency ratio 6. Calls /day 7. Average cost/call 8. Multiple quantity measurement

Advertising Management And Sales Promotion a. b. c. d. e. f. g. h. i. j. k. l. m. Market share Sales quantity Sales value No. of calls No. of orders Value of orders Value of order/calls Gross margin Selling expenses Sales margin Average inventory Average credit W.C. locked up

Advertising Management And Sales Promotion n. o. p. q. r. s. Marketing ROI Direct sales margin Working capital New product performance No. of customer complaints Competition Quality performance standards The selling effectiveness team spirit engendered, goodwill earned for the company and cordial relationship are some fo the qualitative performance criteria used by an organisation These criteria affect the sales results in the long run Some objectivity can be introduced by suitable rating along a scale against properly broken-down factors.

Advertising Management And Sales Promotion Quality performance is judged by the executives Job descriptions are a great help in designing the qualitative criteria Measuring Actual performance:
It is necessary to record the actual performance so that it can be compared against performance standard set To do this, management has t identify the sources of information and the information needed. It can then collect the needed information from these sources. It may be necessary to develop additional standards to take care of additional information that may be generated Sales records and expense records are the two basic sources from which performance can be obtained Sales forecast data also comes handy for performance measurement Information can also be obtained informally through personal observation.