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BRM PROJECT REPORT

ON
“IMPACT OF ADVERTISEMENT AND
EFFECTIVENESS OF ADVERTISING”.

Project report submitted in partial fulfilment of


the requirements for the award of the degree of

Post Graduate Diploma in


Management Of
Jagan Institute of Management Studies

Submitted By:-
Abhishek Dixit (FC12-121)
Neha Paul (FC12-149)
Sapna Arora (FC12-165)
Saumya Gupta (FC12-166)
Vaibhav Srivastav(FC12-177)
Index
1
1. Preface 3
2. Acknowledgment 4
3. Declaration 5
4. Legislative review 6
5. Executive summary 8
6. Introduction 10
i. Brief history on advertisement 11
ii. Type of advertising 13
iii. Profile of major media type 19
iv. Objective of advertising 20
v. Importance of advertising 21
vi. Advertising effectiveness 23
vii. Creating better advertising 27
viii. Power of advertising 29
ix. Significance of studying advertisement 29
x. Element of successful advertising 35
7. Statistics and facts about the global advertising market. 36
8. Theoretical perspective 42
9. Advertising campaigns 45
10.Industry overview 53
11.Top T.V. and print advertisers 59
12.Advertisement with reference to top three sectors 64
13.Memorable ads proper taglines 65
14.Project outline 72
15.Objective of study 72
16.Research methodology 73
17.SPSS Analysis 79
18.Finding 85
19.Recommendation 86
20.Limitations of the study 87
21.Conclusion 88
22.Bibliography 89
23.Annexure 90

2
PREFACE
A technologist said, “THE THEORETICAL KNOWLEDGE REINFORCED WITH THE
PRACTICAL WORK MAKES AN MBA PERFECT IN HIS FIELD”.

And hence, going by this quote, we have prepared this project which has
proved to be of a specialized nature. During the tenure of this project, we
could understand the practical aspect of the subject matter which till now we
could read only in the relevant books. We are confident that the findings from
this project would prove to be very helpful and prove to be an asset.

In the following project we have tried to use our academic knowledge on


marketing research into practical use. We have tried to research on “IMPACT
OF ADVERTISEMENT AND EFFECTIVENESS OF ADVERTISING”.
ACKNOWLEDGEMENT
It is a matter of great satisfaction and pleasure to present this presentation on
“IMPACT OF ADVERTISEMENT AND EFFECTIVENESS OF ADVERTISING”. We take
this opportunity to owe our thanks to all our faculty members for their
encouragement and able guidance at every stage of this report.

There are people who simply by being there influence and inspire to do things.
We are grateful to Dr. J.K. GOYAL , director of JAGAN INSTITUTE OF
MANAGEMENT STUDIES for creating a condusive environment in the institute
for a purposeful education.

We acknowledge our gratitude and indebtness to our internal project guide


Ms. YUKTI AHUJA , who spared her precious time in guiding us and for making
valuable suggestions in compiling this project.

We would also like to thank all the respondents as without their cooperation
our project would have not been possible.

Last but not least , we feel indebted to all those persons who have helped us
directly or indirectly in the successful completion of the project.

Submitted by-

Abhishek Dixit
Neha Paul
Sapna Arora
Saumya Gupta
Vaibhav Srivastav
DECLARATION
We solemnly declare that the project report entitled “IMPACT OF
ADVERTISEMENT AND EFFECTIVENESS OF ADVERTISING” submitted by us for
the requirement of partial fulfilment of post graduate diploma in management
from Jagan institute of management studies , Rohini , New Delhi is the result of
our immense efforts and determination.

The data and facts presented in the report are authentic to the best of our
knowledge.

The work done by us is original and no copy of it has been submitted to any
other university for award of any other degree, diploma and fellowship on
similar topic.
LITERATURE REVIEW
The aim of the paper is to research and to monitor and control the encoding
phase, too often neglected by the doctrine and operators in the
communication process. The project investigate the degree of coincidence /
discordance between what is conveyed through the advertising and what is
actually understood by some consumers. The object of investigation is the
verbal text of the spot in order to verify the level of understanding of the
message and, if necessary, to find the reasons of a wrong perceived meaning.
Advertising effectiveness can be defined as the extent to which advertising
generates a certain desired effect. Measuring the effects of advertising is very
important, given the amount of investments needed for advertising. While it is
not possible to obtain a global measure of the advertising effectiveness, we
should seek to develop and apply methods and measures for a partial
verification of results. Regarding the difficulty of measuring the overall
effectiveness, we believe that it is due essentially to the following
considerations:
 advertising interacts with other business variables (behavior, marketing
policies, financial decisions etc.) and environmental variables
(competition, economic conjuncture etc.), hardly isolable;
 the effects of advertising are varied and not always translatable into
quantitative terms;
 advertising causes long-term effects, not always, therefore, the results
occur in the same period in which are the costs.
In literature and practice the evaluation of advertising effectiveness has
used two basic models:
 the dichotomous model;
 the three-dimensional model.
The dichotomous model is applied mainly in product and brand advertising,
tending to isolate and evaluate separately the following:
 sales effect;
 communication effect.
The sales effect refers to the assessment of the capability of advertising to
affect the sales volume and/or the market share, regardless of the possible
influence of other variables.
The effect of communication refers to the ability to reach, with appropriate
messages, a more significant share of public.

Communication in general and advertising in particular, were treated by


psychologists starting from the motivations of recipients, which occupy a
central position in the analysis. This is because of their influence on the
perception of the recipient (Mittelstaedt, 1990). They believe that the
motivations drive consumer behavior. So the purpose for the advertising
creator, is to identify the reasons of consumer behavior, in order to identify
the most effective advertisement message or to remove the communication
barriers.
However, since as stated by Watzlawich the message is what we understand,
not what it was intended to understand, it becomes important to examine not
so much and not only what the firms wanted to communicate, but what was
actually communicated.
Hence through this project we intend to understand how much effective and
impactful advertising is to consumers.
EXECUTIVE SUMMARY
The modern marketing manager faces several challenges today, but the most
complex remains amongst the most perennial- how best to propagate
awareness of his product or service , in a manner that will raise sales and
profits within limited promotional budgets and increasing competition.

Before undertaking an advertising campaign marketer must be able to answer


two key questions:

1. Why are we advertising?


2. What are we advertising?

On the face of it these seem like two fairly obvious questions. But they are
significant. Advertising can be a very expensive promotional tool. It is widely
believed that much advertising spend is wasted.

So careful consideration about “why” and “what” can pay dividends.

Why advertise:

The following may be good reasons why a business is advertising:

 To create awareness, customer interest and desire.


 To build brand loyality
 To launch a new product
 To support the activities of the distribution channel
 To build the company or brand image.

What to advertise?

Factors that help answer the question “ what are we advertising” basically
focus on what actually advertising message should be. In general there are
really only two kinds of advertising message,

Firstly , does the business/product have a unique selling proposition (“USP”)

A unique selling proposition is the customer benefit that no other product can
claim.
In reality, these are rare , although that does not stop a marketer from
claiming for their products.

Secondly, the thing that is being does it add value , and if so how.

Whatever is advertised it is important that the message is:

 Seen
 Believed
 Remembered
 Acted upon by target customers
INTRODUCTION
Advertising or advertising is a form of communication for marketing and used
to encourage, persuade, or manipulate an audience (viewers, readers or
listeners; sometimes a specific group) to continue or take some new
action.Most commonly, the desired result is to drive consumer behavior with
respect to a commercial offering, although political and ideological advertising
is also common.

In Latin, ad vertere means "to turn the mind toward.” The purpose of
advertising may also be to reassure employees or shareholders that a company
is viable or successful.

Modern advertising was created with the innovative techniques introduced


with tobacco advertising in the 1920s, most significantly with the campaigns
of Edward Bernays.

BRIEF HISTORY ON ADVERTISING:

Egyptians used papyrus to make sales messages and wall posters. Commercial
messages and political campaign displays have been found in the ruins
of Pompeii and ancient Arabia. Lost and found advertising on papyrus was
common in Ancient Greece and Ancient Rome. Wall or rock painting for
commercial advertising is another manifestation of an ancient advertising
form, which is present to this day in many parts of Asia, Africa, and South
America. The tradition of wall painting can be traced back to Indian rock
art paintings that date back to 4000 BC.[8] History tells us that Out-of-home
advertising and billboards are the oldest forms of advertising.

As the towns and cities of the Middle Ages began to grow, and the general
populace was unable to read, signs that today would say cobbler, miller, tailor
or blacksmith would use an image associated with their trade such as a boot, a
suit, a hat, a clock, a diamond, a horse shoe, a candle.
19th Century

Thomas J. Barratt from London has been called "the father of modern
advertising". Working for the Pears Soap company, Barratt created an effective
advertising campaign for the company products, which involved the use of
targeted slogans, images and phrases. One of his slogans, ""Good morning.
Have you used Pears' soap?" was famous in its day and well into the 20th
century.

20th centuary :

At the turn of the 19th to 20th century, there were few career choices for
women in business; however, advertising was one of the few. Since women
were responsible for most of the purchasing done in their household,
advertisers and agencies recognized the value of women's insight during the
creative process.

In the early 1920s, the first radio stations were established by radio equipment
manufacturers and retailers who offered programs in order to sell more radios
to consumers. As time passed, many non-profit organizations followed suit in
setting up their own radio stations, and included: schools, clubs and civic
groups.

This practice was carried over to commercial television in the late 1940s and
early 1950s. A fierce battle was fought between those seeking to
commercialise the radio and people who argued that the radio spectrum
should be considered a part of the commons – to be used only non-
commercially and for the public good.
In the 1960s, campaigns featuring heavy spending in different mass media
channels became more prominent. For example, the Esso gasoline company
spent hundreds of millions of dollars on a brand awareness campaign built
around the simple and alliterative[21] theme Put a Tiger in Your Tank.

The late 1980s and early 1990s saw the introduction of cable television and
particularly MTV. Pioneering the concept of the music video, MTV ushered in a
new type of advertising: the consumer tunes in for the advertising message,
rather than it being a by-product or afterthought. As cable and satellite
television became increasingly prevalent, specialty channels emerged,
including channels entirely devoted to advertising, such as QVC, Home
Shopping Network, and Shop TV Canada.

With the advent of the ad server, marketing through the Internet opened new
frontiers for advertisers and contributed to the "dot-com" boom of the 1990s.
Entire corporations operated solely on advertising revenue, offering everything
from coupons to free Internet access. At the turn of the 20th to 21st century, a
number of websites including the search engine Google, started a change in
online advertising by emphasizing contextually relevant, unobtrusive ads
intended to help, rather than inundate, users. This has led to a plethora of
similar efforts and an increasing trend of interactive advertising.
TYPES OF ADVERTISING
Virtually any medium can be used for advertising. Commercial advertising
media can include wall paintings, billboards, street furniture components,
printed flyers and rack cards, radio, cinema and television adverts, web
banners, mobile telephone screens, shopping carts, web pop-ups, skywriting,
bus stop benches, human billboards and forehead advertising, magazines,
newspapers, town criers, sides of buses, banners attached to or sides of
airplanes ("logo jets"), in-flight advertisements on seatback tray tables or
overhead storage bins, taxicab doors, roof mounts and passenger screens,
musical stage shows, subway platforms and trains, elastic bands on disposable
diapers, doors of bathroom stalls, stickers on apples in supermarkets, shopping
cart handles (grabertising), the opening section of streaming audio and video,
posters, and the backs of event tickets and supermarket receipts. Any place an
"identified" sponsor pays to deliver their message through a medium is
advertising.

Television advertising / Music in advertising


The TV commercial is generally considered the most effective mass-
market advertising format, as is reflected by the high prices TV networks
charge for commercial airtime during popular TV events. The
annual Super Bowl football game in the United States is known as the
most prominent advertising event on television. The average cost of a
single thirty-second TV spot during this game has reached US$3.5 million
(as of 2012). Some television commercials feature a song or jingle that
listeners soon relate to the product. Virtual advertisements may be
inserted into regular television programming through computer
graphics. It is typically inserted into otherwise blank backdrop or used to
replace local billboards that are not relevant to the remote broadcast
audience. More controversially, virtual billboards may be inserted into
the background where none exist in real-life. This technique is especially
used in televised sporting events. Virtual product placement is also
possible.

Infomercials
An infomercial is a long-format television commercial, typically five
minutes or longer. The word "infomercial" is a portmanteau of the
words "information" & "commercial". The main objective in an
infomercial is to create an impulse purchase, so that the consumer sees
the presentation and then immediately buys the product through the
advertised toll-free telephone number or website. Infomercials describe,
display, and often demonstrate products and their features, and
commonly have testimonials from consumers and industry
professionals.

Radio advertising

Radio advertising is a form of advertising via the medium of radio. Radio


advertisements are broadcast as radio waves to the air from a
transmitter to an antenna and a thus to a receiving device. Airtime is
purchased from a station or network in exchange for airing the
commercials. While radio has the limitation of being restricted to sound,
proponents of radio advertising often cite this as an advantage. Radio is
an expanding medium that can be found not only on air, but also online.
According to Arbitron, radio has approximately 241.6 million weekly
listeners, or more than 93 percent of the U.S. population.

Online advertising

Online advertising is a form of promotion that uses the Internet


and World Wide Web for the expressed purpose of delivering marketing
messages to attract customers. Online ads are delivered by an ad server.
Examples of online advertising include contextual ads that appear
on search engine results pages, banner ads, in text ads, Rich
Media Ads, Social network advertising, online classified
advertising, advertising networks and e-mail marketing, including e-mail
spam.

New media

Technological development and economic globalization favors the


emergence of new and new communication channels and new
techniques of commercial messaging.

Product placements

It is when a product or brand is embedded in entertainment and media.


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

Press advertising

Press advertising describes advertising in a printed medium such as a


newspaper, magazine, or trade journal. This encompasses everything
from media with a very broad readership base, such as a major national
newspaper or magazine, to more narrowly targeted media such as local
newspapers and trade journals on very specialized topics. A form of
press advertising is classified advertising, which allows private
individuals or companies to purchase a small, narrowly targeted ad for a
low fee advertising a product or service. Another form of press
advertising is the Display Ad, which is a larger ad (can include art) that
typically run in an article section of a newspaper.

Billboard advertising

Billboards are large structures located in public places which display


advertisements to passing pedestrians and motorists. Most often, they
are located on main roads with a large amount of passing motor and
pedestrian traffic; however, they can be placed in any location with large
amounts of viewers, such as on mass transit vehicles and in stations, in
shopping malls or office buildings, and in stadiums.

Mobile billboard advertising

Mobile billboards are generally vehicle mounted billboards or digital


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

In-store advertising

In-store advertising is any advertisement placed in a retail store. It


includes placement of a product in visible locations in a store, such as at
eye level, at the ends of aisles and near checkout counters (aka POP—
Point Of Purchase display), eye-catching displays promoting a specific
product, and advertisements in such places as shopping carts and in-
store video displays.
Coffee cup advertising

Coffee cup advertising is any advertisement placed upon a coffee cup


that is distributed out of an office, café, or drive-through coffee shop.
This form of advertising was first popularized in Australia, and has begun
growing in popularity in the United States, India, and parts of the Middle
East.

Street advertising

This type of advertising first came to prominence in the UK by Street


Advertising Services to create outdoor advertising on street furniture
and pavements. Working with products such as Reverse Graffiti, air
dancer's and 3D pavement advertising, the media became an affordable
and effective tool for getting brand messages out into public spaces.
Sheltered Outdoor Advertising

This type of advertising opens the possibility of combining outdoor with


indoor advertisement by placing large mobile, structures (tents) in public
places on temporary bases. The large outer advertising space exerts a
strong pull on the observer, the product is promoted indoor, where the
creative decor can intensify the impression.

Telemarketing

Telemarketing (sometimes known as inside sales, or telesales in the UK


and Ireland) is a method of direct marketing in which
a salesperson solicits prospective customers to buy products or services,
either over the phone or through a subsequent face to face or Web
conferencing appointment scheduled during the call.
Telemarketing can also include recorded sales pitches programmed to
be played over the phone via automatic dialing. Telemarketing has come
under fire in recent years, being viewed as an annoyance by many.
Pioneering advertising

Pioneering advertising tries to develop primary demand, that is


demand for a product category rather than a specific brand. It's needed
in the early stages of the adoption process to inform potential customers
about a new product. The first company to introduce a new technology
to its industry doesn't have to worry about a competitive product since
they alone have the technology. They have to sell the industry on the
advantages of the new technology itself. Pioneering advertising is usually
done in the early stage of the product life cycle by the company which
introduces an innovation.
OBJECTIVES AND IMPORTANCE OF ADVERTISING

Advertising is the best way to communicate to the customers.


Advertising helps informs the customers about the brands available
in the market and the variety of products useful to them.
Advertising is for everybody including kids, young and old. It is done
using various media types, with different techniques and methods
most suited.

Objectives of Advertising
Four main Objectives of advertising are:

i. Trial
ii. Continuity
iii. Brand switch
iv. Switching back

1. Trial: the companies which are in their introduction stage generally work
for this objective. The trial objective is the one which involves convincing
the customers to buy the new product introduced in the market. Here,
the advertisers use flashy and attractive ads to make customers take a
look on the products and purchase for trials.
2. Continuity: this objective is concerned about keeping the existing
customers to stick on to the product. The advertisers here generally
keep on bringing something new in the product and the advertisement
so that the existing customers keep buying their products.
3. Brand switch: this objective is basically for those companies who want
to attract the customers of the competitors. Here, the advertisers try to
convince the customers to switch from the existing brand they are using
to their product.
4. Switching back: this objective is for the companies who want their
previous customers back, who have switched to their competitors. The
advertisers use different ways to attract the customers back like
discount sale, new advertise, some reworking done on packaging, etc.

Basically, advertising is a very artistic way of communicating with the


customers. The main characteristics one should have to get on their objectives
are great communication skills and very good convincing power.
Importance of Advertising

Advertising plays a very important role in today’s age of competition.


Advertising is one thing which has become a necessity for everybody in today’s
day to day life, be it the producer, the traders, or the customer. Advertising is
an important part. Let’s have a look on how and where is advertising
important:

1. Advertising is important for the customers

Just imagine television or a newspaper or a radio channel without an


advertisement! No, no one can any day imagine this. Advertising plays a
very important role in customers life. Customers are the people who buy
the product only after they are made aware of the products available in
the market. If the product is not advertised, no customer will come to
know what products are available and will not buy the product even if
the product was for their benefit. One more thing is that advertising
helps people find the best products for themselves, their kids, and their
family. When they come to know about the range of products, they are
able to compare the products and buy so that they get what they desire
after spending their valuable money. Thus, advertising is important for
the customers.

2. Advertising is important for the seller and companies producing the


products

Yes, advertising plays very important role for the producers and the
sellers of the products, because
 Advertising helps increasing sales
 Advertising helps producers or the companies to know their
competitors and plan accordingly to meet up the level of
competition.
 If any company wants to introduce or launch a new product in
the market, advertising will make a ground for the product.
Advertising helps making people aware of the new product so
that the consumers come and try the product.
 Advertising helps creating goodwill for the company and gains
customer loyalty after reaching a mature age.
 The demand for the product keeps on coming with the help
of advertising and demand and supply become a never
ending process.
3. Advertising is important for the society

Advertising helps educating people. There are some social issues also
which advertising deals with like child labour, liquor consumption, girl
child killing, smoking, family planning education, etc. thus, advertising
plays a very important role in society.
ADVERTISING EFFECTIVENESS

The advertising industry, as a whole, has the poorest quality-assurance


systems and turns out the most inconsistent product (their ads and
commercials) of any industry in the world. This might seem like an overly harsh
assessment, but it is based on testing thousands of ads over several decades.
In our experience, only about half of all commercials actually work; that is,
have any positive effects on consumers’ purchasing behavior or brand choice.
Moreover, a small share of ads actually appear to have negative effects on
sales.

Unlike most of the business world, which is governed by numerous feedback


loops, the advertising industry receives little objective, reliable feedback on its
advertising. First, few ads and commercials are ever tested among consumers
(less than one percent, according to some estimates). So, no one—not agency
or client—knows if the advertising is any good. If no one knows when a
commercial is good or bad, or why, how can the next commercial be any
better? Second, once the advertising goes on air, sales response (a potential
feedback loop) is a notoriously poor indicator of advertising effectiveness
because there is always so much “noise” in sales data (competitive activity,
out-of-stocks, weather, economic trends, promotional influences, pricing
variation, etc.). Third, some of the feedback is confusing and misleading:
agency and client preferences and biases, the opinions of the client’s wife,
feedback from dealers and franchisees, complaints from the lunatic fringe, and
so on.

Barriers to Great Advertising


Advertising testing could provide a reliable feedback loop and lead to much
better advertising, but many obstacles stand in the way. The first great barrier
to better advertising is self-delusion. Most of us believe, in our heart-of-hearts,
that we know what good advertising is and that there is no need for any kind
of independent, objective evaluation. Agencies and clients alike often think
that they know how to create and judge good advertising. Besides, once
agencies and clients start to fall in love with the new creative, they quickly lose
interest in any objective evaluation. No need for advertising testing. Case
closed.

Strangely, after 40 years of testing advertising, we cannot tell you if a


commercial is any good or not, just by viewing it. Sure, we have opinions, but
they are almost always wrong. In our experience, advertising agencies and
their clients are just as inept at judging advertising as we are. It seems that
none of us is smart enough to see advertising through the eyes of the target
audience, based purely on our own judgment.

A second barrier to better advertising is the belief that sales performance will
tell if the advertising is working. Unless the sales response to the advertising is
immediate and overwhelming, it is almost impossible to use sales data to
judge the effectiveness of the advertising. So many variables are beyond our
control, as noted, that it’s impossible to isolate the effects of media advertising
alone. Moreover, some advertising works in a few weeks, while other
advertising might take many months to show positive effects, and this delayed
response can confound our efforts to read the sales data. Also, advertising
often has short-term effects that sales data might reflect, and long-term (years
later) effects that most of us might easily overlook in subsequent sales data.
Because of these limitations, sales data tends to be confusing and unreliable as
an indicator of advertising effectiveness.

Sophisticated marketing mix 24avour24te is one way to measure these


advertising effects on sales, but it often takes millions of dollars and years of
effort, and requires the building of pristine databases of sales information
along with all of the marketing input variables. Few companies have the
budget, the patience, the accurate databases, and the technical knowledge
necessary to succeed at marketing mix 24avour24te. Even so, marketing mix
24avour24te does not help us evaluate the contribution of a single commercial
but rather the cumulative effects of many different commercials over a long
period of time. Also, marketing mix 24avour24te does not tell us why the
advertising worked, or failed to work. Was it message, or media weight, or
media mix that made the advertising effective? Generally, marketing mix
24avour24te cannot answer these types of questions. So, again, sales data is of
limited value when you make critical decisions about your advertising.

A third barrier to better advertising is a pervasive tendency of many (but not


all) advertising agencies to delay, undermine, and thwart efforts to objectively
test their creative “babies.” Who wants a report card on the quality of their
work? It’s very threatening. The results can upset the creative folks. The results
can upset clients. The agency can lose control. Agencies can be quite creative
in coming up with reasons to avoid copy testing. Some of our 24avour24tes:

 There’s no time. We have to be on air in five days, so we’ll just have to


skip the testing.
 These ads are built on emotion and feelings, and you can’t measure such
delicate, artful subtleties.

 We’ve already tested the ads with a focus group during


the development process.

 These are image ads, and you can’t test imagery with standard
advertising testing techniques.

 We have so much equity in this campaign that it doesn’t matter what


the testing results are. We can’t afford to change.

 We’re in 25avour of testing, but let’s remove those questions about


purchase intent and persuasion from the questionnaire.

 We are in a new age, with new media and new messages, and none of
the old copy testing measures apply any more.

The fourth barrier to more effective advertising is the big creative ego. The
belief that only the “creatives” in the agency can create advertising—and the
conviction that creativity is their exclusive domain—constitute a major barrier.
Great advertising tends to evolve over time, with lots of hard work, fine-tuning,
and tinkering—based on objective feedback from target consumers. Big
creative egos tend to resist such evolutionary improvements. We have seen
great campaigns abandoned because agencies would not accept minor tweaks
to the advertising. To be fair, big egos are not limited to advertising agencies.
Big client egos can also be a barrier to good advertising. Research firm egos are
yet another problem. Big egos create barriers because emotion is driving
advertising decision making instead of logic, reason, and consumer feedback.
Big egos lead to bad advertising.

A fifth barrier to better advertising is the widespread belief that one’s major
competitors know what they are doing. So, just copy the advertising
approaches of the competition, and success will surely follow. We recently had
a client who was about to copy the advertising strategy of a major competitor,
but we were able to persuade the client to test all major competitive
commercials as a precaution before blindly copying the competitor’s
advertising approach. This competitor was the industry leader in market share
and profitability. Our testing quickly revealed that this industry leader was the
industry leader in spite of its bad advertising. The testing also revealed that
another competitor, in contrast, had great advertising. Needless to say, the
client’s desire to copy the industry leader quickly vanished.
The sixth barrier to better advertising is lack of strategy, or having a poor
strategy. The client is most often at fault here. The client has not done his
homework, has not thought deeply about his brand and its future, and has not
developed and tested strategy alternatives. The client tells the agency to go
forth and create great advertising, without providing any strategy guidelines.
The agency is left to guess and speculate about strategy. Great advertising is
rarely created in a strategy vacuum. If the client cannot define a sound
strategy, the agency cannot create great advertising. Again, the responsibility
for strategy falls squarely on the client.

A seventh barrier to better advertising is client ineptness. Some clients’


processes, policies, and people tend to discourage the creation of great
advertising. Arrogance, ambiguity, impatience, ignorance, risk aversion, and
inconsistency tend to be the hallmarks of these “agency killer” clients. Bad
clients rarely stimulate or tolerate great advertising.

The eighth and last barrier to better advertising is poor copy testing by
research companies. Many advertising testing systems are limited to a few
markets (and cannot provide representative samples). Some systems are so
expensive that the cost of testing exceeds the value of the results. Research
companies have been guilty of relying on one or two simplistic measures of
advertising effectiveness, while completely ignoring many other very
important variables. For instance, for several years research companies argued
publicly over which was more important, persuasion measures or recall
measures? The truth is that both are important, but of greater import is the
fact that neither of these measures alone, or in combination, measures
advertising effectiveness. To judge the effectiveness of an ad, many different
variables must be measured and considered simultaneously.
Creating Better Advertising
Given all of these barriers to better advertising, how can client, agency, and
research company work together to create more effective advertising?

1. The client must craft a sound strategy for its brand, based on facts, not
wishful thinking and self-delusion. The client must carefully define the
role of advertising in the marketing plan and set precise communication
objectives for the advertising. What exactly does the client want the
advertising to convey, to accomplish? Agencies are too often asked to
create advertising in an informational vacuum. Agencies are not miracle
workers. Once strategy and positioning alternatives are identified and
tested, the strategy should be locked down…and rarely changed
thereafter.

2. As creative executions are developed against the strategy, each


execution should be pretested among members of the target audience
(pretesting refers to testing advertising before it is aired, and/or before
final production. When the term “testing” is used in this article, it is a
shorthand term for “pretesting.”) The greater the number of executions
pretested, the more likely it is that great advertising will emerge. Testing
the creative provides a reliable feedback loop that helps agency and
client alike become smarter over time. Once a conceptual family of
commercials is identified as the optimal campaign of the future, then the
campaign should be locked down. Long-term continuity of advertising
message is essential to maximizing effectiveness.

3. Use the same pretesting system consistently. There is no perfect


advertising pretesting system. Some are better than others, but any
system will help improve your advertising. The secret is to use one
system over and over, so that everyone (client, agency, and researchers)
learns how to interpret the pretesting results for the category and the
specific brand.

4. If budget permits, test advertising at an early stage in the creative


process (i.e., the “storyboard” or “animatic” stage) and also test at the
finished commercial stage. Early-stage testing allows rough commercials
to be tweaked and fine-tuned before you spend the big dollars on final
production. Early-stage testing tends to be highly predictive of finished
commercial scores, but not always. Testing the finished commercials
gives you extra assurance that your advertising is “on strategy” and
working.

5. Build your own “action standards” over time. As you test every
execution, you will begin to learn what works and what doesn’t work.
Think of the pretesting company’s norms as very crude, rough indicators
to help you get started with a testing program. But, as quickly as
possible, develop your own norms for your category and your brand
(yes, all of the advertising effectiveness measures vary by product
category and brand). What you are searching for, long-term, are not
norms, but action standards (that is, the knowledge that certain
advertising testing scores will translate into actual sales increases).

6. Use a mathematical model to derive an overall score for each execution.


It doesn’t matter that an ad has great persuasion if it does not register
the brand name. It doesn’t matter that an ad registers the brand name if
no one will notice the commercial itself. It doesn’t matter that an ad
increases short-term purchase interest if it will damage the brand’s
quality reputation over time. So, all of the key variables must be put
together intelligently to come up with a composite or overall measure of
advertising effectiveness.

7. Use the pretesting results as a guide, as an indicator, but do not become


a slave to the mathematical model. Read all of the open-ended
questions carefully. Make sure you really understand the underlying
reasons. Base your decisions on this comprehensive assessment of the
results, and leave yourself some wiggle room. No model or system can
anticipate every marketing situation, or give a 100% perfect solution
every time. Informed human judgment remains important.

8. Client and agency need to accept that “continuous improvement” of the


advertising is an important goal. This means that every execution is
tested and tweaked based on scientific evidence from the target
audience. We are not talking about changing the strategy or changing
the campaign, but making sure that every execution is “on strategy” and
working as hard as possible.

9. The ultimate goal of testing is an advertising success formula that works.


That is, the goal of advertising creative development, and the goal of
advertising testing, is to identify the elements/ideas essential to
advertising effectiveness, and then to make sure that those
elements/ideas are consistently communicated by all advertising
executions.

The Power of Advertising


We believe in the power of advertising, based on thousands of studies in our
archives. Advertising has the power to persuade, the power to influence the
mind and shape destiny. It has the power to change markets and improve
profit margins. Advertising has short-term power (conveying new information,
building awareness, enhancing credibility, etc.) and long-term power
(conveying brand image, attaching emotional values to the brand, building
positive reputation, etc.). The great power of advertising is seldom achieved in
practice, but we can’t give up. The potential and the promise are too great.
The companies that master the creative guidance and the testing systems to
consistently develop and deploy great advertising will own the future and the
fortunes that go with it. Great advertising is a cloak of invincibility.

SIGNIFICANCE OF STUDYING ADVERTISEMENT EFFECTIVENESS


It is not at all possible to measure advertisement effectiveness accurately as
there are many factors like making a brand image, increasing the sales, keeping
people informed about the product, introducing new product, etc, which affect
the effectiveness of an advertisement.
We all know that there are some companies who advertise at very low level
but still their products are a hit and some companies indulge in very heavy
advertisements but they don’t get desirable results. But then, there are some
traditional and modern tools to measure most of the effectiveness of an
advertisement through which the advertiser can or may get more and more
information about how their ads and product are performing in the market.
According to Philip Kotler and Armstrong, the Gurus Of Marketing, there are
two most popular areas which need to be measured for knowing the
effectiveness of advertisement and they are:
 Communication Effect
 Sales Effect
Communication Effect Research consists of three types of researches:

1. Direct Rating Method - here, customers are directly asked to rate the
advertisement and then these rating are calculated.
2. Portfolio Tests - here, the customers see the ads and listen carefully to
the ads and all the contents of the ads and then they are asked to recall
the ad and the contents. Then the calculations are done with help of
this data.
3. Laboratory tests - here, the apparatus to measure the heart rates, blood
pressure, perspiration, etc are used on the customer after he watches
the ad, to know the physiological reactions of the body.

Sales Effect Research totally depends on the sales of the company. The sales
keep varying from time to time. There are some factors affecting sales like
product availability, the price of the product, contents of the product, and
sometimes the competitors. So this method is a little difficult than the
communication one. The company doing sales effect research generally
bothers about the sales of the product, they try to know whether or not the
money they are spending on the ads is enough or excess.
As earlier said, it is not possible to measure each and everything and the
chances are at the lower end if the company has many ads running through
various mediums at the same time. So suggestion is that the advertiser or the
company should use appropriate and different methods which are most
suitable for the media under use.
 The company can hold surveys and product recognition tests
 Questionnaire or feedback flyers can be distributed and customers
could be asked to fill it up.
 Toll free number can be highlighted on the ads so that customers
can call up.
 The response rates can be increased by telling customers what to do.
For e.g. some ads have lines in flashy color like “Hurry Up” or “No
one can eat just one” or “be the first” etc.
These are the traditional ways. Now days, internet is the modern tool for
measuring the effectiveness of an advertisement. There are some types such
as:
Integrated direct marketing - This is an internet based tool where they have a
response corner designed on the websites. Whenever the customers visit the
sites, they fill up their contact details and give feedbacks. Thus the company
supplies more information and sends newsletters and also gets the idea for
further action. But then its not that only online advertiser have this facility but
then advertisers who don’t work online can use coupons, discount vouchers,
etc. to do this.
Analysis tool - there is an analysis tool available on internet by using which the
advertiser will know how many customers are visiting the site, who are
shopping online, how many pages are viewed, etc. which in turn will help
advertiser to measure the effectiveness.
Internet is the most easy, cheaper and cost effective way to measure the
effectiveness because here no money is wasted as the ad is only viewed when
the customer want to view it where as in normal print method or using TV, the
ad sometimes goes unwatched or unattended and viewed for the sake of
viewing.
The effectiveness of advertising in a particular media may also be measured in
any of the following ways;
 By giving different addresses to different media,
 Different newspapers may be selected for advertisements of different
departments,
 Coupon blank etc. May be provided with the advertisement or
 Enquiry from consumers should mention the name of the source of
information.
The technique is known as keying the advertising. Thus in measuring the
effectiveness of advertising we include measuring of the effectiveness of
advertising campaign, advertising copy and the effectiveness of individual
media. This chapter deals these three problems.
Importance of measuring the Effectiveness of Advertising
 It acts as a Safety measure: Testing effectiveness of advertising helps in finding
out ineffective advertisement and advertising campaigns. It facilitates timely
adjustments in advertising to make advertising consumer oriented and result
oriented. Thus waste of money in faulty advertising can be avoided.
 Provides feedback for remedial measures: Testing effectiveness of advertising
provides useful information to the advertisers to take remedial steps against
ineffective advertisements.
 Avoids possible failure: Advertisers are not sure of results of advertising from a
particular advertising campaign. Evaluating advertising effectives helps in
estimating the results in order to avoid complete loss.
 To justify the Investment in Advertising: The expenditure on advertisement is
considered to be an investment. The investment in advertising is a marketing
investment and its objectives should be spelt out clearly indicating the results
expected from the campaign. The rate and size of return should be determined
in advance. If the expected rate of return is achieved in terms of additional
profits, the advertisement can be considered as effective one.
 To know the communication Effect: The effectiveness of the advertisement can
be measured in terms of their communication effects on the target consumers
or audience. The main purpose of advertising is communicated the general
public, and existing and prospective consumers, various information about the
product and the company. It is therefore desirable to seek post measurements
of advertising in order to determine whether advertisement have been seen or
heard or in other words whether they have communicated the theme,
message or appeal of the advertising.
 Compare two markets: Under this procedure, advertising is published in test
markets and results are contrasted with other. Markets – so called control
markets – which have had the regular advertising program. The measurements
made to determine results may be measurements of change in sales, change in
consumer attitudes, changes in dealer display and so on depending upon the
objectives sought by the advertiser.
SIGNIFICANCE OF ADVERTISING

Advertising helps in spreading information about the advertising firm, its


products, qualities and place of availability of its products, and so on. It helps
to create a non-personal link between the advertiser and the receiver of the
message. The significance of advertising has increased in the modern era of
large scale production and tough competition in the market. Advertising is
needed not only by the manufacturers and traders but also for the customers
and the society. The benefits of advertising to different parties are discussed in
the following paragraphs.
Read More: Introduction to Advertising
Benefits to Manufacturers and Traders
It pays to advertise. Advertising has become indispensable for the
manufacturers and distributors because of the following advantages:
 Advertising helps in introducing new products. A business enterprise can
introduce itself and its products to the public through advertising.
 It can create new taste among the public and stimulate them to I purchase the
new product through effective advertisement.
 Advertising assists to increase the sale of existing products by entering into
new markets and attracting new customers.
 Advertising helps create steady demand of the products. For in-stance, a drink
may be advertised ‘during summer as a product necessary to fight tiredness
caused by heat and during winter as an essential thing to resist cold.
 Advertising help in meeting the forces of competition in the market-place. If a
product is not advertised continuously, the competitors may snatch its market
through increased advertisementments. Therefore, in certain cases,
advertising is a necessity to remain in the market and remind the customer as
done by soft drink companies.
 Advertising is used to increase the goodwill of firm by promising good quality
to the customers.
 Advertisements increase the morale of the employees of the firm. The
salesmen feel happier because their task becomes easier if the product is
advertised and known to the public
 Advertising facilitates direct distribution of the product through the retailers.
Retailers are encouraged to purchase and sell the advertised products.
Benefits to Customers
Advertising offers the following advantages to customers
 Advertising helps the customers to know the the existence of various products
and their prices. They can choose from the various brands to satisfy their
wants. Thus they cannot be exploited by the sellers.
 Advertising educates the people about new products and their diverse uses.
 Advertising increased the utility of products for many people adds to the
amount of satisfaction which they are already enjoying.
 Advertising induces the manufacturers to improve the quality of their products
through research and development This ensures supply of the products of
better quality to the consumers
Benefits to Society
The society at large is also benefited because of advertisement:
 Advertising provides employment to persons engaged in writing, designing and
issuing advertisements. Increase in employment brings additional income with
the people which stimulates more demand. Employment is further generated
to meet the increased demand.
 Advertising promotes the standard of living of the people by increasing the
variety and quality in consumption as a result of sustained research and
development activities by the manufacturers.
 Advertising educates the people about the various uses of different products
and this increases their knowledge. Advertising also helps in finding customers
in the international market which is essential for earning foreign exchange.
 Advertising sustains the press, and other media. It provides, all important
source of income to the press, radio and television network. The customers are
also benefited because they get newspapers and magazines at cheaper rate.
The publishers of newspapers and magazine; are benefited because of
increased circulation of their publication;. Lastly advertising also encourages
commercial art.
ELEMENT OF SUCCESSFUL ADVERTISING

When running a business, advertising your products and services is one of the
most effective ways to bring in new customers and generate sales. In the
process of creating an advertisement, several elements should be included to
improve results. By improving advertising efforts, business could directly
improve its bottom line.

 Features

One of the essential elements of an advertising campaign is the features


of the product or service. The features are what the product offers that
the customer can benefit from. For example, if you were selling carpet, a
feature would be that the carpet fiber is nylon. This is a specific feature
that this piece of carpet offers that other carpets do not.
 Benefits

Benefits are another essential component to include when creating an


advertisement. While benefits are closely related to features, they are
not the same. For instance, a feature of carpet is the fiber. A benefit tells
the customer why that fiber is attractive and what it does. With a nylon
carpet, the seller could claim that it stands up to traffic better than other
fibers, which keeps it looking better over the long term.
 Urgency

Effective advertising often includes some wording to create a sense of


urgency. When urgency is created, it often spurs customers into action.
For example, saying that the product is available for a "limited time"
might entice a customer to make a purchase. Without urgency, the
customer may feel like he can wait until a more opportune time.
 Layout

In a successful advertisement, layout of the information is sometimes


just as important as the information itself. You must make the
advertisement look appealing to the customer. Simply putting some
words on a piece of paper do not create an advertisement. Combine
visually appealing elements such as color, word placement and font size.
Including images and logos can also help the overall appearance of the
ad.
 Offer

After presenting the features and benefits and creating a sense of


urgency, it is important to make an offer to the customer. The offer
typically includes the price, financing terms or some other information
that the customer needs to make a purchase. You tell the customer
where to go to make a purchase, such as a website or a store. This is
important as the customer needs to know what to do next after seeing
the ad.

Statistics and Facts about the Global Advertising Market

In 2012, sources predict global advertising spending will amount to anywhere


between 438 and 542 billion U.S. dollars. Television is the biggest advertising
medium, taking over 40 percent of all advertising revenue and the internet is
the medium which reports largest ad in comparison to 2011 – it is expected to
grow by almost 15 percent in 2012. The Unites States is the biggest advertising
market, with projected spending of around 166 billion dollars in 2012.

Overview of all media ad revenues:

Internet
TV
Print media
Radio

INTERNET: Global internet advertising revenue from 2007 to 2016 (in billion
U.S. dollars)

The timeline presents the global internet advertising revenue from 2007 to
2010 and provides a forecast until 2016. In 2010, the global internet
advertising revenue amounted to almost 75.6 billion U.S. dollars. The
compound annual growth rate for the period from 2012 to 2016 is projected to
be 15.9 percent.
TV: The timeline presents global television advertising revenues from 2007 to
2010 and provides a forecast until 2016. In 2010, global television advertising
revenue amounted to about 179.48 billion U.S. dollars. The compound annual
growth rate for the period from 2012 to 2016 is projected to be 6.6 percent.

PRINT MEDIA: The spending on print advertising worldwide from 2000 to 2009
and a forecast until 2016. In 2000, global spending on print advertising
amounted to 152.2 billion U.S. dollars.

RADIO: The spending on radio advertising worldwide from 2000 to 2009 and a
forecast until 2016. In 2000, global spending on radio advertising amounted to
30.2 billion U.S. dollars.

Consumer trust in advertising mirrors to a certain extent the


amount of money invested in different ad mediums – every second person
says they trust TV ads and e-mails they signed up for. Surprisingly, other types
of online ads score much lower, with only one in every three consumers
trusting online video or display ads.

From fast facts to a complete market overview and each news brand’s crib
sheet, Facts & Figures will give you the latest numbers and stats.
According to survey report:

How Much TV Do People Watch During the Day?


Nielsen’s figures reveal that traditional TV viewers watch close to 2 hours of TV
per day during primetime hours, but they spend more than 1-and-a-half hours
watching during the daytime hours of 11AM-3PM, too. TV consumption is
lower in the morning (6AM-10AM) and late night (11PM-2AM) hours, but still
averages more than 1 hour (64 and 65 minutes, respectively) among viewers.

Radio Ad Revenue Growth Forecast Downgraded


Radio revenues will continue to shift in the next 5 years, as income from online
advertising grows by about 10.8% annually versus 2.5% growth for over-the-air
(OTA) revenues, forecasts BIA/Kelsey in a new report. Nevertheless, OTA
revenues will continue to account for the vast majority (~95%) of radio
revenues in 2017, when total revenues are predicted to reach $17 billion. That
represents somewhat of a more muted forecast than offered by the
researchers last year, when BIA/Kelsey projected total industry revenue to
reach $17 billion by 2015.
News Consumption Still Highest on TV, Where Audiences Go For Breaking
News
A BBC survey of more than 3,600 wealthy digital device owners in Australia,
Singapore, India, UAE, South Africa, Poland, Germany, France, and the US –
billing itself as the “largest global study to date on the consumption of news in
the digital age” – reveals that TV is still the primary device for news
consumption, at 42% of respondents’ time, compared to 29% for laptops, 18%
for smartphones, and 10% for tablets. The study finds that rather than
cannibalize TV viewing, the rise of tablets and smartphones actually results in
greater overall news consumption.

2 in 3 Global Execs Say Use of Social Tech Increases Marketing Effectiveness


83% of executives from around the world surveyed in 2012 reported using at
least one social technology, up from 72% in 2011,from a new McKinsey survey.
Of those, 9 in 10 reported some measurable business benefit with employees,
customers, and business partners. 65% said their use of social tech increases
marketing effectiveness (down from 69% in 2011), while 51% said it increases
customer satisfaction (up from 47%) and 47% said it reduces marketing costs
(up from 43%).

For 34% of social tech users, these tools also reduce customer-support costs.
On average, respondents reported that their use of social technologies with
customers has increased brand awareness by 36% and conversion of
customers by 20%. Those figures are up from 32% and 17%, respectively, in the
2011 study.

Social networking is only one piece of the social technology landscape. 53% of
respondents reported using social networking, up from 50% in 2011 and just
28% in 2009. Other common tools and technologies being used include:
 Online video conferencing (60%);
 blogs (43%, up from 41% in 2011);
 Collaborative document editing (43%);
 video sharing (41%, up from 38% in 2011);
 RSS (29%, down from 30%);
 Wikis (26%, up from 25%); and
 Micro blogging (25%, up from 23%).
While there has been a slight uptick in the share of respondents seeing
measurable benefits on the customer side of the equation, overall, the study
finds that as adoption of social tools grows, the proportion seeing benefits has
reached somewhat of a plateau. That leaves executives “optimistic but sober
about the next leg of the social-technology pathway” as they work their way
through organizational barriers and see the risks posed by these tools.
THEORETICAL PERSPECTIVE:

ADVERTISING & CONSUMER BUYING BEHAVIOUR

“Consumer behaviour…… is the study of the processes


involved when individuals or groups select, purchase, use or
dispose of products, services, ideas or experiences to satisfy
needs and
desires.”
(Solomon, Bamossy et al. 2006, p6).

Consumer buying behaviour in recent time is been driven by point of purchase


advertising. Existing queries on marketing communications effectiveness
initiates an increase in sales volume and brand building. This paper examines
the queries bordered on advertising clutters, medium, message, method,
timing and their implications on achieving tactical marketing and sales
objectives. The cause and effect relationship between points of purchase (POP)
advertising and consumer purchase behaviour was established through
extensive review of relevant literature. The recommendations will aid
corporate organisations to enhance their point of purchase (POP) advertising
and marketing strategies towards increasing overall sales. To further enhance
sales, future research should be geared towards product packaging.

 Advertising is targeted message that communicate information form a


company to individual and group of consumer. This media allows
companies to draw consumer to company’s good and services. It can
also influence consumer buying behaviour, which helps companies
increase their sales revenue.

 Economic market includes companies that supply goods or services and


consumers who make purchases relating to these items. While
consumers will need to purchase goods to live a certain quality of life-
such as food, clothing or housing----other products are not as necessary.
Therefore, companies must find a way to derive demand for this
product.
 Companies may also need to use advertising to stave off the popularity
of a competitor’s product in the economic market. This will result in
advertisements that will influence consumers to change their buying
behaviour and switch product for specific reasons, such as cost or
quality.

The Concept of Point of Purchase Advertising


From the marketing mix elements perspective, point of purchase advertising
presents the closest link between promotion and place (distribution). It
provides direct promotional prorating of consumers at retail touch point. What
makes point of purchase advertising so critical is that it is probably the only
advertising option that creates a strong promotional persuasion for the
consumer in an environment where all the other marketing mix elements
(place, product& price) are present. Arens et al., (2008) defines point of
purchase advertising as “materials set up at a retail location to build traffic,
advertise the product, and promote impulse buying. Materials may include
window displays, counter displays, floor and wall display, streamers and
posters.”

Some key points to draw from Arens’ definition are;

(i) Point of purchase advertising is located at retail points: This proposes


therefore that point of purchase advertising is very common at the
retail end of the distribution channel. He didn’t say however that this
is the only place where this form of advertising is visible (or is it?)

(ii) The purpose of POP is to promote impulse buying, build traffic and
advertise the product. This therefore implies that pop is not only
appropriate for fast moving consumer goods (F.M.C.Gs) in grocery
stores; it is also useful for non-impulse based product and service.
Therefore contrary to the view of sales oriented people, pop can
also be put to use for building traffic and to advertise non-impulse
based product like gadgets, home appliances, car and even services.
HOW DO ADVERTISMENT CONTENT AND DESIGN INFLUENCE

“BUYING BEHAVIOUR”???
ABOUT ADVERTISMENT:

When you examine an advertisement, whether it is billboard, poster or


internet banner ads, you will find elements of content and design. Each
element, whether written or graphical, is intentionally added to advertisement
to provoke some type of response in the viewer. One of the main aims of print
advertising is to persuade consumers to take action and purchase the product
and services.

INVOKE URGENT ACTION

One way that advertising content and design influence buying behaviour is to
provoke immediate action by the viewer. As far as content a call to action is
key to influence an immediate buying behaviour response from public. For
instance, an advertisement that contains the message “only 50 remaining”
may inspire fast reaction from buyers. Another example is online advertising
button that says “buy now”. According to a study ---just viewing certain types
of ads for a few moments—online ad in particular –can have both explicit
conscious and implicit unconscious effect on the memories of viewer to inspire
purchases .

INSPIRE NEED TO SAVE MONEY

Advertisements that offer special sales promotions attract the attention of


buyer who wants to save money. Some consumers do not act to make
purchase until they can save money in the process. In fact, marketing research
firm A.C. NIELSEN estimated that 60% of consumer actively looks for coupons
ads before making a purchase. So when designing an advertisement, simply
adding a coupon can entice cost-conscious viewer to buy.
CARRYOVER EFFECT:

Another way that advertisement content and design can influence buying
behaviour is to simply start the spread of information. Even if the initial viewer
does not take action to purchase the content, an effectively designed
campaign can get people talking and eventually buying. This is called
“carryover effect of advertisement,” where sales occur in later periods after
displaying the advertisements. Advertisements may be designed or written for
shock value to create this carryover effect.

ADVERTISMENT CAMPAIGNS

Advertising campaigns are the groups of advertising messages which are


similar in nature. They share same messages and themes placed in different
types of medias at some fixed times. The time frames of advertising campaigns
are fixed & specifically defined.
The very prime thing before making an ad campaign is to know-
Why you are advertising and what are you advertising?
Why refers to the objective of advertising campaign. The objective of an
advertising campaign is to
 Inform people about your product
 Convince them to buy the product
 Make your product available to the customers
The process of making an advertising campaign is as follows:

1. Research: first step is to do a market research for the product to be


advertised. One needs to find out the product demand, competitors, etc.
2. Know the target audience: one need to know who are going to buy
the product and who should be targeted.
3. Setting the budget: the next step is to set the budget keeping in mind all
the factors like media, presentations, paper works, etc which have a role
in the process of advertising and the places where there is a need of
funds.
4. Deciding a proper theme: the theme for the campaign has to be
decided as in the colours to be used, the graphics should be similar or
almost
similar in all ads, the music and the voices to be used, the designing of
the ads, the way the message will be delivered, the language to be used,
jingles, etc.
5. Selection of media: the media or number of Medias selected should be
the one which will reach the target customers.
6. Media scheduling: the scheduling has to be done accurately so that
the ad will be visible or be read or be audible to the targeted
customers at the right time.
7. Executing the campaign: finally the campaign has to be executed
and then the feedback has to be noted.

Mostly used media tools are print media and electronic media. Print media
includes newspaper, magazines, pamphlets, banners, and hoardings. Electronic
media includes radio, television, e-mails, sending message on mobiles, and
telephonic advertising. The only point to remember is getting a proper
frequency for the ad campaign so that the ad is visible and grasping time for
customers is good enough.
All campaigns do not have fix duration. Some campaigns are seasonal and
some run all year round. All campaigns differ in timings. Some advertising
campaigns are media based, some are area based, some are product based,
and some are objective based. It is seen that generally advertising campaigns
run successfully, but in case if the purpose is not solved in any case, then the
theory is redone, required changes are made using the experience, and the
remaining campaign is carried forward.
STAGES IN ADVERTISING CAMPAIGN
1. Market research: Before you even start thinking about where you might
want to place an ad or even what it could look like, it’s important to do
at least some basic research. Even if you aren’t in a position to bring in
an expensive research firm, you can ask your current customers
questions about why they come back to you, as well as taking a close
look at your
target demographic’s needs and interests.
2. Budgeting: Your business probably has a set advertising budget for the
year — but how do you divvy it up between your various advertising
projects? For each project you’re planning, you need to be clear on just
how much money you’re willing to spend. You’ll almost certainly change
exactly how you divide it between costs like copy writing and design, but
you can treat the overall amount as set in stone. Write it down and put it
in your project folder.
3. Setting goals: The aims you have in mind for a particular advertising
project need to be written down ahead of time. While it’s good to be
ambitious, it’s also important to decide what constitutes a successful
advertising campaign for your business. Sales can be the simplest metric:
if you’re advertising a particular product, how many units will you need
to sell to pay for that campaign?
4. Advertising venue: The website, tv station, newspaper, radio station,
magazine or other advertising venue you place your ad with is a crucial
decision. You’ll need to look at not only the cost of your preferred venues
but also whether they reach your target demographic. Ad buys can make
up a significant portion of your budget. Deciding on where you will place
your ads first tells you how much money you’ll have left over for actually
creating your ad.
5. Choosing creatives: Unless you’re planning to write, shoot and design
every part of your ad, you’ll probaably need to bring in some help.
Finding the right freelancers for each aspect requires checking through
portfolios and rates — if you can find a business or freelancer who can
handle all aspects of creating your ad, even if that means subcontracting,
it can save you a lot of time. You’ll also want to make sure that you find
any talent you’ll need for your ad (voice actors for radio, models for
photography and so on).
6. Design and wording: While you may not have a lot of actual writing and
designing to do for your ad, during the creation process you will need to
review and sign off on different stages of the project. When starting with
a new designer or other creative, make sure that you both know any
expectations for timelines and progress checks.
7. Placing the ad: Once you have a finished ad in hand, it’s time to actually
place it with your preferred advertising venue. You may have a few
contracts to sign and a check to hand over. You’ll also want to make sure
you actually see your ad once it’s run — from a newspaper, for instance,
you’ll want to see the tear sheets of pages containing your ad.
8. Evaluation: Depending on your ad, how you evaluate it can vary. If it
included a coupon, for instance, you can simply count how many
customers brought in the coupon. For other ads, you may be simply
comparing sales before, during and after your advertising campaign.
Spend as much time on analyzing how your advertising campaign worked
as you can. That information can point you to more effective uses of
advertising in the future.

ELEMENTS OF SUCCESSFUL ADVERTISING CAMPAIGN:

Go After Your Target Audience: An advertising campaign should be geared


toward your niche market. It is a common mistake to create generic ads that
do not speak the language or grab the attention of your potential customers.
Ask yourself what kind of customers you want to attract, and make sure your
ads speak to them on a personal level.

Highlight Your Competitive Advantage: One of the keys to all advertising is to


accentuate the pros of your company -- those factors that give you your
competitive edge. Too many ads are clever but fail to sell the specific benefits
of the featured product or service. Unless you highlight these benefits, your ad
delivers no value to potential customers.

Establish an Image: You can recognize the McDonald's arches while whizzing
by on the highway. Likewise, there are plenty of products that you recognize
by their packaging or logo.
Image counts when it comes to advertising and promoting your business. Too
many advertisers do not work to build a consistent image, and they're missing
the chance to make an impression on prospective customers.

You Have to Spend Money to Make Money: There are ways to save money,
but advertising is typically not the place to cut corners. Doing so will affect
sales, and that affects the bottom line. Successful advertising may cost some
money, but that is because it works.

Advertise in the Right Places: Your favorite magazine, radio station, or even
television program might not be a favorite of your audience. Do some research
about yourtarget market to understand who they are and determine what they
read, watch, and listen to. Then advertise in the appropriate media to ensure
that you reach your target market.

Don't Allow Your Budget to Run Your Advertising Campaign: If you budget
$5,000 per month for advertising, you've made it very easy from a
bookkeeping perspective. However, if like most businesses you have
seasonal highs and lows, you are spending too much money advertising during
down times and not enough when you want to attract customers. Too many
entrepreneurs do not budget according to their seasonal advertising needs.

Diversify: It is all too common for business owners to choose the best place
to advertise based on price and potential rate of returns, and then stop. As is
the case with investing, you do not want to put all of your eggs in one basket.
Spread your advertising dollars around by choosing a variety of suitable media
for your audience and budget.
Don't Try to Be Everything to Everyone: No product or service will appeal to
everyone. Many business owners, including corporate executives, try to come
up with ways to reach every market. Typically, this does not work. It can spell
disaster for small businesses, who cannot afford to spread themselves too thin.
Therefore, find your market and be everything you can be to that audience.

Test Your Ads in Advance :If you have the time or money to invest infocus
groups, you should test your ads on other people. Do they understand and
accept the message you are trying to convey? If not, get insight into how you
could more effectively communicate your message.There are other less-
expensive ways to test your ads as well -- questionnaires, for example.
Monitor Your Ads :It is very easy to ask new customers or clients where they
heard about you. As simple as this is, many entrepreneurs do not bother to do
so. It is advantageous to understand which elements of your ads are most
effective and which media offer the most profitable advertising opportunities
for your company.
INDUSTRY PROFILE

TYPE OF ADVERTISMENT
Advertising is the promotion of a company’s product and services carried out
primarily to drive sales of the product and services but also to build a brand
identity and communicate change or new product/services to the customer.
Advertising has become an essential element of the corporate world and
hence the companies allot a considerable amount of revenue as their
advertising budget.

There are several reasons for advertising some of which are as follows:

 Increasing the sales of the product/services


 Creating and maintain the brand image
 Communicating a change in the existing product line.
 Introduction of a new product or services.
 Increasing the buzz –value of the brand or the company.
Thus, several reason for advertising and similarity there exist various
media which can be effectively used for advertising. Based on these
criteria there can be several branch of advertising.
Mention below is the various categories or types of advertising:
Covert advertisement:
 Advertising in movies

Covert advertisement is a unique kind of advertisement in which a product or a


particular brand is incorporated in some entertainment and media channel like
movies, television shows o even sports.

There is no commercial in the entertainment but the brand or the product is


subtly (or sometimes evidently) showcased in the entrainment show. Some of
the famous example for this sort of advertisement is NOKIA.
SURROGATE ADVERTISING:

 ADVERTISING INDIRECTLY

Surrogate advertising is advertising which embeds a brand or product message


inside an advertisement which is ostensibly for another brand or product. For
example, a cigarette company might issue public service announcements
relating to a topic such as lung cancer, using the company's logo or distinctive
brand colours in the ads so that people are exposed to the company's branding
without seeing an explicit ad for the company's product. The company would
justify the advertisement by claiming that it's an example of social
responsibility. There are a number of reasons for companies to use surrogate
advertising. One of the most common reasons is to circumvent a ban on direct
advertisements of particular products. Many nations have laws restricting
alcohol and tobacco advertising, for example, so companies use surrogate
advertising to market their products. Techniques used might include
advertising another product with the same brand name, sponsoring
community events, issuing public service announcements, or sponsoring sports
teams. All of these activities technically do not violate the ban on direct
advertising, but they still get consumers familiar with the company's branding.
Surrogate advertising may also be used when companies want to cultivate an
image of social responsibility. For example, many health advocates have
criticized advertisements for sweet treats aired during children's cartoons. A
company might pull outright advertising during these time slots and instead air
a series of public service announcements about eating a balanced diet, with
the announcements bearing the company's branding.

PUBLIC SERVICE ADVERTISING:


Public service advertising is designed to inform the public on issues that are
frequently considered to be in the general best interests of the community at
large. Typically, it reflects a political viewpoint, philosophical theory, religious
concept or humanitarian notion. It is also commonly referred to as a public
service announcement (PSA) or a community service announcement (CSA). The
ads are usually broadcast on radio or television, but may also appear in
newspapers or magazines. They are prevalent in industrialized countries
throughout the world.
PSAs are commonly aimed at altering public attitudes by raising consciousness
about particular issues. Health, conservation and safety themes are prevalent
in many PSAs. The public service advertising campaigns are often sponsored by
trade associations, civic organizations, non-profit institutions or religious
groups. The U.S. military, in addition to paid advertising, regularly produces
PSAs as part of their recruitment efforts.

Some PSA ads use celebrity spokespersons to garner attention. Others attempt
to appeal to the masses through portraying risks and issues relevant to
ordinary men, women and children. A common misconception about public
service advertising is that it includes political campaign ads, which are actually
privately funded.
CELEBRITY ADVERTISING:

Celebrity advertising is the use of a public figure’s likeness for the purpose of
selling a product or service. Celebrity advertising can be accomplished through
celebrity endorsements, whereby the celebrity consents for his or her likeness
to be used in advertisements for a certain brand. Celebrity advertising without
the celebrity’s consent results in products that are referred to as “bootleg”
merchandise or “knock-offs,” which feature the celebrity’s photo or likeness on
a product.

Celebrity endorsements imply that the celebrity uses the product or service
that he or she is endorsing, and prefers it above others of its kind. For this
reason, brands will often target celebrities who appear to reflect whichever
effects the advertisement is promising. For example, celebrities who are
already fit are often approached to represent fitness and weight loss products,
and stars that are known for their hair are approached to endorse certain
brands of shampoo. In some cases, the celebrity might not even use the
product or service at all. Celebrities who knowingly mislead the public in
exchange for profit in this regard are often criticized for “selling out.” Because
of this, many North American celebrities have opted to endorse products for
advertisements that are only shown overseas, particularly in Japan.
TOP TV & PRINT ADVERTISERS:

Slowdown, as a term, might have the highest recall value for media owners in
the year 2011 – more so in the case of print. Interestingly, while there would
have been a dip in advertising spends in terms of value, advertising volume has
in fact increased over the previous year. And even more interestingly volume
growth has been higher for print media:

When one moves to the top 10 advertisers for the year 2011 on television, the
list seems more or less similar for 2010 and 2011, though the ranking has, of
course, changed.
Two advertisers from last year which are missing this year are Auro Foods and
Sehgal Sons – both with 1 percent share.

Is the situation similar for Print? Let’s check it out: Two new entrants for 2011
are Geetanjali Gems and TVC Skyshop. The ones missing from last year are SBI
and Dell Computers.
As for the advertising categories, there are quite a few surprises when
compared to the previous year, as far as television goes: Washing powders &
liquids, number two category in 2010, is not in top 10 this year. Social
advertisement, no 5 last, is top of the heap this year. Have a look at the tables
for 2011 and 2010:
On to print. The top five categories remain the same with just a position switch
in rank in number four and five. However, there are two new entrants on eight
and nine – pipping to the post the categories at those positions in 2010.
Educational institutions, top category for both the years – shows a 1 percent
jump in share:
ADVERTISIMENT WITH REFERENCETO TOP 3 SECTOR

 FOOD & BEVERAGES


 SERVICE SECTORS
 PERSONAL CARE

TV ADVERTISMENT

 31% rise in TV ad volumes during 2009 compared to 2008.


 ‘Food & Beverages’ was the top sector in TV advertising during 2009.
 High share of advertising under ‘Toilet Soaps’ category on TV during
2009.
 ‘HUL’ was the number one advertiser on TV during 2009.
 ‘Ponds White Beauty’ was the most advertised new brand on TV during
2009.

TV ADVERTISMENT (TOP 3 SECTORS)

F&B

 TV advertising of ‘Food & Beverages’ grew by 45% during 2009


compared to 2008.
 ‘Aerated Soft Drinks’ was the top category under ‘Food & Beverages’
sector advertising on TV during 2009.
 ‘Coca Cola India Ltd’ was the number one advertisers of ‘Food &
Beverages’ brands on TV during 2009.

Personal Care/Personal Hygiene

 During 2009, TV ad volumes of ‘Personal Care/Personal Hygiene’ sector


grew by 64% compared to 2008.
 High advertising share of ‘Toilet Soaps’ category on TV during 2009.
 ‘Hindustan Unilever Ltd’ was the top advertiser under ‘Personal
Care/Personal Hygiene’ sector on TV during 2009.

Services

 20% rise in TV ad volumes of ‘Services’ sector during 2009 compared to


2008.
 ‘DTH Service Providers’ had the maximum advertising share of ‘Services’
sector on TV during 2009.

 Memorable ads with proper taglines

DAIRY MILK

Shubh Aarambh

Kuch Meetha Ho Jaaye

“Pappu Pass Ho Gaya”

” kuch meetha ho jaaye”


McDonald’s

“I’m loving it”

SURF EXCEL:
” DAAG ACHCHE HAIN”

NOKIA “connecting people”

TIDE
”tide ho to white ho”

KFC

“FINGER LICKIN GOOD”

VODAFONE
WHEREVER YOU GO WERE OUR NTEWORK FOLLOWS”

“HAPPY TO HELP”
HERO MOTOCORP

“Hum men hai hero”


PEPSI: (TAGLINES)
COKE:

" मतलबCoca-Cola”

" सर "
,-----------enjoy”
PROJECT OUTLINE & OBJECTIVE OF THE STUDY
The project deal with a extensive study on the impact and scope of various
media used in “advertisement industry” --- its currently prevailing trends and
features and an insight into the “impact & scope of various “media” on
consumer buying behaviour “

Objective:
 To know the impact of various media on different age group people.

 To study the buying behaviour affected due to advertisement.

 To find out effectiveness of advertisement

 To find out the work don e by advertisement agency & software used
by them

 To find out celebrity impact on buying behaviour.


RESEARCH METHOLOGY

RELIABILITY
/VARIABLES=gender advertisement.affect advertisement.urgetobuy advertise
ment.message advertisement.buyingbehaviour
/SCALE('ALL VARIABLES') ALL
/MODEL=ALPHA.

Reliability

[DataSet1] C:\Users\a\Documents\BRM project.sav

Scale: ALL VARIABLES

Case Processing Summary


N %
Cases Valid 100 100.0
Exclude
0 .0
d
a

Total 100 100.0


a. Listwise deletion based on all
variables in the procedure.

Reliability Statistics
Cronbach's N of
Alpha Items
.671 5

We have measured a sample of 100 people and found their responses on the
effect of advertisements, whether advertisements urge them to buy or not and
what is the buying behaviour based on advertisements. We have done a
reliability test and has found that the our measure is 0.671. Since our measure
is > 0.6 hence we conclude that the test done by us is reliable.
CROSSTABS
/TABLES=gender BY age
/FORMAT=AVALUE TABLES
/CELLS=COUNT
/COUNT ROUND CELL.

Crosstabs

[DataSet1] C:\Users\a\Documents\BRM project.sav

Case Processing Summary


Cases
Valid Missing Total
N Percent N Percent N Percent
respondents gender
10 100.0% 0 .0% 10 100.0%
* respondents age
0 0

respondents gender * respondents age Crosstabulation


Count
respondents age
18 or 50 and
less 19-28 29-50 above Total
respondents Male 2 35 17 6 60
gender Female 4 23 10 3 40
Total 6 58 27 9 100
We have taken a sample of 100 people and found the above distribution of
males and females according to different age groups.

GRAPH
/PIE=COUNT BY advertisement.affect.

Q1) how does advertisement affect you?

a) Recall b) Positive impression c) Interest d) Desire to


purchase/explore

We have measured the response of 100 people and have analysed that
advertisement first of all creates an interest in customer’s mind and then a
desire to buy or explore the product.

GRAPH
/PIE=COUNT BY advertisement.urgetobuy.
Q2) Does ad urge you to buy the product?

Graph: [DataSet1] C:\Users\a\Documents\BRM project.sav

We could see from the pie chart that maximum number of customers
feel that advertisement urge them to buy the product.

GRAPH
/BAR(SIMPLE)=COUNT BY celebrity.impact.
Q3) Presence of celebrity in an advertisement creates a strong impact?

Graph:[DataSet1] C:\Users\a\Documents\BRM project.sav

We could clearly see from the Bar Graph that celebrity plays an important role
in an advertisement.This is true also as many customers have their own role
models and seeing them in an ad creates a sense of Belonginess and trust to
that brand. Example :Amitabh Bachan in Cadbury ads, Shahrukh Khan in Frooti
ad.

GET
FILE='C:\Users\a\Documents\BRM project.sav'.
DATASET NAME DataSet1 WINDOW=FRONT.
GRAPH
/BAR(SIMPLE)=COUNT BY advertisement.buyingbehaviour.
Q4) Does an advertisement affect your buying behaviour?

Graph:[DataSet1] C:\Users\a\Documents\BRM project.sav

We have measured the responses of 100 people and have analysed that
advertisement plays a very important role in buying behaviour of the
customers. They could relate themselves to the product, celebrity through
advertisements.
SPSS ANALYSIS TROUGH VARIOUS ADS

DESCRIPTIVES VARIABLES=age
/STATISTICS=MEAN STDDEV MIN MAX.

Descriptives:[DataSet1] C:\Users\a\Documents\BRM project.sav

Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
respondents age 10 1 4 2.39 .737
0
respondents buying behaviour 10 1 3 1.73 .930
0
respondents motivated by ads 10 1 4 2.25 .783
0
Valid N (listwise) 10
0

We have measured the Reponses of 100 people and have analysed that mean
of all age groups taken that is 18 or less, 19-28, 29-50 and 50 above the mean
of age groups of customers came out to be 2.39 i.e near about 19 to 28 age
people.
The standard deviation from mean came out to be .737 which is not much
hence not much standard error.

INDEPENDENT TEST:

NPAR TESTS
/K-W=advertisement.affect advertisement.buyingbehaviour BY gender(1 2)
/MISSING ANALYSIS.

NPar Tests
[DataSet1] C:\Users\a\Documents\BRM project.sav
Kruskal-Wallis Test

Ranks
respondents gender N Mean Rank
respondents adds affect Male 60 46.09
Female 40 57.11
Total 100
respondents buying behaviour Male 60 50.23
Female 40 50.90
Total 100

Test Statisticsa,b
respondents adds affect respondents buying behaviour
Chi-Square 3.762 .017
df 1 1
Asymp. Sig. .052 .896
a. Kruskal Wallis Test
b. Grouping Variable: respondents gender

Chi-Square Test
Frequencies

respondents adds affect


Observed N Expected N Residual
Recall 16 25.0 -9.0
positive impression 20 25.0 -5.0
Interest 35 25.0 10.0
desire to purchase/explore 29 25.0 4.0
Total 100

We have expected that number of customers who would recall the


advertisement to be 25 but somehow the observed part is 16 therefore there
is a difference or RESIDUAL of -9 because our expected frequency is less than
the observed similarly advertisement create an interest and desire to purchase
and their observed frequency came out to be more than expected frequency
hence its residual came out be positive.

respondents buying behaviour


Observed N Expected N Residual
yes 60 33.3 26.7
no 7 33.3 -26.3
sometimes 33 33.3 -.3
Total 100

respondents thinking of ads


Observed N Expected N Residual
just try to sell the product 36 25.0 11.0
entice people to try the
19 25.0 -6.0
product
products of high quality 7 25.0 -18.0
brand awareness, company
38 25.0 13.0
trying to explore itself.
Total 100

respondents motivated by ads


Observed N Expected N Residual
strongly agree 14 25.0 -11.0
agree 54 25.0 29.0
neutral 25 25.0 .0
disagree 7 25.0 -18.0
Total 100
Test Statistics

respondent respondents
respondents s buying respondents motivated
adds affect behaviour thinking of by ads
ads
Chi-Square 8.880a 42.140b 26.000a 51.440a
df 3 2 3 3
Asymp. Sig. .031 .000 .000 .000
a. 0 cells (.0%) have expected frequencies less than 5. The minimum expected
cell frequency is 25.0.
b. 0 cells (.0%) have expected frequencies less than 5. The minimum
expected cell frequency is 33.3.

Since p= 0.31>0.05 for ads affect hence we accept the null hypothesis. In rest
other cases p<0.05 hence we reject the null hypothesis.
CORRELATIONS
/VARIABLES=advertisement.urgetobuy advertisement.attention celebrity.imp
act
/PRINT=TWOTAIL NOSIG
/MISSING=PAIRWISE.

Correlations
[DataSet1] C:\Users\a\Documents\BRM project.sav

Correlations
respondent respondent celebrity
s motivated s attention presence
by ads towards ads in ads
respondents Pearson
1 .254* .226*
motivated by Correlation
ads
Sig. (2-tailed) .011 .024
N 100 100 100
respondents Pearson
.254* 1 .043
attention towards Correlation
ads Sig. (2-tailed) .011 .672
N 100 100 100
celebrity presence Pearson
.226* .043 1
in ads Correlation
Sig. (2-tailed) .024 .672
N 100 100 100
*. Correlation is significant at the 0.05 level (2-
tailed).
We could see that customers are motivated or the advertisement urge them
to buy if they catch attention towards the ads therefore r= .254 hence a
positive relationship between them.

Similarly if they find a celebrity in the ads then also they get motivated as
r=.226 therefore again a positive relationship.

ONEWAY advertisement.affect advertisement.buyingbehaviour BY gender


Oneway

[DataSet1] C:\Users\a\Documents\BRM project.sav

ANOVA
Sum of Mean
Squares df Square F Sig.
respondents adds Between
3.527 1 3.527 3.317 .072
affect Groups
Within
104.183 98 1.063
Groups
Total 107.710 99
respondents buying Between
.027 1 .027 .030 .862
behaviour Groups
Within
85.683 98 .874
Groups
Total 85.710 99
FINDINGS

1. We have measured a sample of 100 people and found their responses on


the effect of advertisements, whether advertisements urge them to buy or not
and what is the buying behaviour based on advertisements. We have done a
reliability test and have found that the measure is 0.671. Since our measure is
> 0.6 hence we conclude that the test done by us is reliable.
2. We have measured the response of 100 people and have analysed that
advertisement first of all creates an interest in customer’s mind and then a
desire to buy or explore the product.
3. We could see from the pie chart that maximum number of customers
feel that advertisement urge them to buy the product.

4. We could clearly see from the Bar Graph that celebrity plays an important
role in an advertisement. This is true also as many customers have their own
role models and seeing them in an ad creates a sense of Belongingness and
trust to that brand. Example: Amitabh Bachan in Cadbury ads, Shahrukh
Khan in Frooti ad.

5. We have measured the responses of 100 people and have analysed


that advertisement plays a very important role in buying behaviour of the
customers. They could relate themselves to the product, celebrity through
advertisements.
6. We could see that customers are motivated or the advertisement urge them
to buy if they catch attention towards the ads therefore r= .254 hence a
positive relationship between them.

7. We have expected that number of customers who would recall the


advertisement to be 25 but somehow the observed part is 16 therefore there
is a difference or RESIDUAL of -9 because our expected frequency is less than
the observed similarly advertisement create an interest and desire to purchase
and their observed frequency came out to be more than expected frequency
hence its residual came out be positive.
8. We have measured the responses of 100 people and have analysed that
advertisement plays a very important role in buying behaviour of the
customers. They could relate themselves to the product, celebrity through
advertisements
RECOMMENDATION
We reached some suggestions:

 Advertisements should not be expensive because the advertisements


lead to increase in the price of the product.
 Media should be selected according to the choice of the customer.
 In rural areas media should be according to the choice of the people.
 To give more attention in making of the advertisements to make it
effective for sales.
 Price should be decreased so as to attract the customers to use the
products more.
 To give attention on the weak media of advertisements so that customer
comes to know about the product
 It should be an attractive one so that people are attracted towards the
advertisements.
LIMITATIONS OF THE STUDY

 The project rely on primary data.


 Consumer give very unclear picture.
 We have a limited time.
 The study is based on limited sample.
 It was our first attempt to undertake such a study, thus the
inexperience was also a obstacle to accomplish the project in
a proper way.
 It was also difficult to get proper information from the people
because they were indulged in some other activities.
CONCLUSION

GENERAL CONCLUSION:
Advertisement firm as its basis of fundamental tool production uses it. It
normally has long term objective like brand building , brand awareness or
building consumers loyality or repositioning a brand. It helps sales by adding
some durable and long term value to the product. Advertising is mostly an
indirect way for consumer to buy the product.

Thus, from the study it can be concluded that it is important for media planner
to decide the most effective media vehicle with each chosen media type.
Deciding on timing of advertisement depends upon season, business cycle. The
budget allocation is also important and the effectiveness of advertisement will
depend on organisational promotional strategy.

SPECIFIC CONCLUSION:
Advertisement play a vital role in promoting a product or service of any
company who would like to reach their target audience with a relevant
advertisement message. Its a life blood of any product success in the market
place. It is the responsibility of the companies to choose right advertising
agency. Right message to reach out to right target audience to get a good
brand recall and gain high market share of its product and services. The more
effective an advertising campaign , more the customer it draws and with great
frequency. Advertisement is the part of overall marketing strategy of a
business which aims at advertising along with other tools for maximum
impact.
BIBLOGRAPHY
 Www. Wikipedia.com
 Www. Google.co.in
 http://www.campaigindia.in/news
 Advertisement sites and blogs
 Marketing management—Philip kotler
 Advertising & sales promotion- S.L Gupta , V.V ratra
ANNEXURE
QUESTIONNAIRE

NAME:

Note: Please copy and paste this tick (✔) in front of your option while
filling online.

1: HOW DOES ADVERTISMENT AFFECT YOU?

(A) RECALL (B) POSTIVE IMPRESSION (C) INTEREST (D) DESIRE TO


PURCHASE/EXPLORE

2: DOES AD URGE YOU TO BUY THE PRODUCT?

(A) STRONGLY AGREE (B)AGREE (C) NEUTRAL (D) DISAGREE

3: WHICH ASPECT OF AD TO YOU BECOMES MOST IMPORTANT?

(A) THEME (B)PUNCHLINE (C)MODEL (D) MESSAGE

4: WHAT WOULD YOU SAY ABOUT THE MAIN MESSAGE OF ADS??

(A) JUST TRY TO SELL THE PRODUCT


(B) ENTICE PEOPLE TO TRY THE PRODUCT
(C) PRODUCT IS OF HIGH QUALITY
(D)BRAND AWARNESS , COMPANY IS TRYING TO EXPOSE ITSELF

5: DOES ADVERTISEMENT CATCH YOUR ATTENTION AND MAKE YOU AWARE


OF THE PRODUCTS?

(A)STRONGLY AGREE (B) AGREE (C) NEUTRAL (D) DISAGREE


6. PRESENCE OF CELEBRITY/INDOSER IN AN ADVERTISEMENT CREATE A
STRONG
IMPACT-
(A) STRONGLY AGREE (B)AGREE (C) NEUTRAL (D) DISAGREE

7. DOES AN ADVERTISMENY AFFECT YOUR BUYING BEHAVIOUR?

(A) YES (B) NO (C) SOMETIMES


8. DO YOU FEEL ADVERTISEMENTS ARE MISGUIDING?

(A) YES (B) NO (C) RARELY

9. DO YOU THINK ADVERTISEMENTs ARE REQUIRED FOR BRAND TO BE


KNOWN?

(A)YES (B) NO

10: REASON FOR DRINKING COLA-

(A) PARTY
(B) GET TOGETHER WITH SOMEBODY
(C) DATE
(D) REFRESHMENT

11: What is the most memorable ad you have ever seen? (Related to any product,
any company).

12: ARE YOU? (A) MALE (B) FEMALE

13:HOW OLD ARE U?

(A) 18 or less (B) 19-28


(C) 29-50 (D)51 AND ABOVE

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