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Partial Fulfilment for the Degree of MASTER OF BUSINESS ADMINISTRATION (MBA) UNDER THE SUPERVISION OF (Ms. Sangeeta Mehrolia)
SUBMITTED BY DHRUV MARWAH Enrolment No.- 0931913908 IV SEMESTER
GITARATTAN INTERNATIONAL BUSINESS SCHOOL (Affiliated to GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY) ROHINI, NEW DELHI – 10085 (2008-2010)
Advertising has played a major role in consumer marketing, and has enabled companies to meet communication and other marketing objectives. Typically, advertising is used to inform, persuade, and remind consumers. It importantly reinforces their attitudes and perceptions. Advertising has been a target of criticism for decades. Advertising has been hailed as a capitalistic virtue, an engine of free market economy, and a promoter of consumer welfare. Its detractors on the other hand accuse it of an array of sins ranging from an economic waste to purveying of harmful products, from sexism to deceit and manipulation, from triviality to intellectual and moral pollution (Mittal, 1994). Advertising is seen by many as a threat to the cultural identity and self realisation of many developing countries: it brings to many people alien ethical values; it may deviate consumer demands in developing countries to areas which can inhibit development priorities; it affects and can often deform ways of life and lifestyles (Mac Bride, 1980). Advertising is considered unethical when it degrades rival’s product or substitute product, gives misguiding information, gives false information, conceals information that vitally affects human life (e.g., side effects of drugs), makes exaggerated claims, is obscene or immoral or is against broad national interest. While comparative advertising may be considered legal and its widespread use may have granted it acceptance, the debate on whether or not it is ethical, still continues. There is no unanimity among advertising professionals and marketing clients regarding such questionable practices. However, all agree to one aspect that while considering the question of unethical practices, the focus must be to safeguard the interest of buyers at the micro level and the society at the macro level as their satisfaction is the key to the marketing success. The criticism has been related not only to its intended effects on society, but also to its unintended effects. Most of the criticism has come from "elite" observers of society. In contrast, the general public has historically viewed advertising in a more positive way. Whereas criticisms of advertising have generally originated from the highest socio-economic classes since the earliest days of the modern marketing era and before, lower and middle class people have historically been more positive toward advertising (Bauer & Greyser, 1968; Fullerton & Nevett, 1986; Steiner, 1976; Zanot, 1984).
HISTORY OF ADVERTISEMENT Archaeologists have found evidence of advertising dating back to the 3000s bc, among the Babylonians. One of the first known methods of advertising was the outdoor display, usually an eye-catching sign painted on the wall of a building. Archaeologists have uncovered many such signs, notably in the ruins of ancient Rome and Pompeii. An outdoor advertisement excavated in Rome offers property for rent, and one found painted on a wall in Pompeii calls the attention of travelers to a tavern situated in another town. In medieval times word-of-mouth praise of products gave rise to a simple but effective form of advertising, the use of so-called town criers. The criers were citizens who read public notices aloud and were also employed by merchants to shout the praises of their wares. Later they became familiar figures on the streets of colonial American settlements. The town criers were forerunners of the modern announcer who delivers radio and television commercials. Although graphic forms of advertising appeared early in history, printed advertising made little headway until the invention of the movable-type printing press by German printer Johannes Gutenberg about 1450. This invention made the mass distribution of posters and circulars possible. The first advertisement in English appeared in 1472 in the form of a handbill announcing a prayer book for sale. Two hundred years later, the first newspaper ad was published offering a reward for the return of 12 stolen horses. In the American colonies, the Boston News-Letter, the first regularly published newspaper in America, began carrying ads in 1704, and about 25 years later Benjamin Franklin made ads more readable by using large headlines. In the United States, the advertising profession began in Philadelphia, Pennsylvania, in 1841 when Volney B. Palmer set up shop as an advertising agent, the forerunner of the advertising agency. Agents contracted with newspapers for large amounts of advertising space at discount rates and then resold the space to advertisers at a higher rate. The ads themselves were created by the advertisers. In 1869 Francis Ayer bought out Palmer and founded N. W. Ayer & Son, an agency that still exists today. Ayer transformed the standard agent practice by billing advertisers exactly what he paid to publishers plus an agreed upon commission. Soon Ayer was not only selling space but was also conducting market research and writing the advertising copy.
As the American economy soared in the 1950s. but because of the high cost of TV sets and the lack of programming. and David Ogilvy.' An equally unconventional ad carried the headline 'lemon' beneath a photo of an apparently flawed Volkswagen. He also believed that good advertising began with respect for the public's intelligence. . founder of Doyle Dane Bernbach in New York City. all came to prominence in the late 1950s and 1960s and led what has been called the 'creative revolution. you get the plums. Levy Bakery in Brooklyn. But the introduction of radio created a new opportunity and by the end of the 1920s. 'You don't have to be Jewish to love Levy's. Instead it began to create a product image. founder of Ogilvy & Mather in New York City. No longer did advertising simply present the product benefit. Doyle Dane Bernbach created a magazine ad that showed a small picture of the Volkswagen Beetle surrounded by a sea of white space with the headline. Bernbach believed that advertising had to be creative and artistic or it would bore people. The early 1930s ushered in dozens of radio dramatic series that were known as soap operas because they were sponsored by soap companies.' But it was the advertising for Volkswagen that made the agency's reputation. a borough of New York City. Illinois. and witty. 'think small. founder of the Leo Burnett agency in Chicago. Soon TV far surpassed radio as an advertising medium.Advertising agencies initially focused on print. Television had been introduced in 1940. when Bernbach's agency picked up the account for the Henry S. the agency created an ad that entertained New Yorkers and provided fodder for many conversations. The ad showed a Native American eating a slice of the bakery's rye bread with the headline. Leo Burnett. so did the sale of TV sets and the advertising that paid for the popular new shows.' Bernbach's agency captured the spirit of the new age. The ads his agency created were understated. For example. The ad's copy explained that 'this Volkswagen missed the boat. it was not immediately embraced. The chrome strip on the glove compartment is blemished and must be replaced…We pluck the lemons. advertising had established itself in radio to such an extent that advertisers were producing many of their own programs. Bill Bernbach. At a time when American cars were getting bigger and bigger and the advertising for them trumpeted that bigger was better.' In an era of hype and bombast. sophisticated. The tone of the advertising was also changing. This wit together with a conversational and believable style was a hallmark of the advertising created by Doyle Dane Bernbach and that style became highly influential. the Volkswagen ads stood out because they admitted failure in a witty way and gave facts in a believable manner that underlined the car's strengths.
(iii) It is non-personal communication. The American Marketing Association. Some industry observers believe that as consumers gain greater control over their viewing activities. Consumers will be able to determine not only when they watch something. goods or services. The development of interactive television. they will find it easier to avoid advertising. The dictionary meaning of the term is “to give public notice or to announce publicly”. by an identified sponsor. Advertising may be defined as the process of buying sponsor-identified media space or time in order to promote a product or an idea. . This keeps the cost per message low. to a greater extent than ever before. (ii) It makes mass production possible. (vi) The communication is speedy. what they will watch. for it is not delivered by an actual person. Chicago. New digital devices even threaten to make it possible to edit out commercials.” What Advertisement Is? Advertisement is a mass communicating of information intended to persuade buyers to by products with a view to maximizing a company’s profits. DEFINITION OF ADVERTISING The word advertising originates from a Latin word advertise. which means to turn to. combining the functions of a computer with access to high-speed transmission over cable lines or optical fibers. (iv) It is a commercial communication because it is used to help assure the advertiser of a long business life with profitable sales. (v) Advertising can be economical. The introduction of the TV remote control and access to hundreds of cable channels mean that today advertising must interest and entertain consumers or else they will simply use the remote to change the channel. for it reaches large groups of people. The elements of advertising are: (i) It is a mass communication reaching a large group of consumers. will likely enable consumers to select from a vast video library. permitting an advertiser to speak to millions of buyers in a matter of a few hours. nor is it addressed to a specific person. has defined advertising as “any form of non-personal presentation or promotion of ideas.The creative foundation established by Bernbach and others has been critical to the success of contemporary advertising. but also.
What is excluded from Advertising? Advertising is not an exact science. (ii) It should suggest better solutions to their problems. (i) Advertising is not a game. he cannot predict with accuracy what results his future advertising efforts will produce. is a waste of money. An advertiser’s circumstances are never identical with those of another. Store signs. by person. (iii) The content of the advertisement is within the control of the advertiser.(vii) Advertising is identified communication. thorough tradesmen. advertising expenses should not increase disproportionately. . Advertising funds come from sales revenue and must be used to increase sales revenue. Novelties bearing advertising messages and Signature of the advertiser. That is. What is Included in Advertising? (i) The information in an advertisement should benefit the buyers. (iv) Advertising without persuasion is ineffective. (v) The function of advertising is to increase the profitable sales volume. because if advertising is done properly. The advertisement that fails to influence anyone. (whether distributed by mail. motion pictures used for advertising. Advertiser cannot afford to play with advertising. Dealer help materials. both the buyer and the seller benefit from it. (ii) Advertising is not a toy. It should give them a more satisfactory expenditure of their rupees. Label stags and other literature accompanying the merchandise. either immediately or in the future. Circular of all kinds. On radio and television broadcasts. The advertiser signs his name to his advertisement for the purpose of publicizing his identity. not the medium. or by inserts in packages). Window display and counter – display materials and efforts. Advertising includes the following forms of messages: The messages carried inNewspapers and magazines.
(iv) To increase support. not just for one customer. show and conventions. The objectives of advertising were traditionally stated in terms of direct sales. TV rather than print . Advertising is a form of promotion and like a promotion. e. and retailers. Now. This requires that the target consumers should be specifically identified and that the effect which advertising is intended to have upon the consumer should be clearly indicated. The entertainment of customers Advertising Objectives Each advertisement is a specific communication that must be effective. The use of exhibitions and demonstrations at fairs. The basic objectives of an advertising programme may be listed as below: (i) To stimulate sales amongst present. This involves decision regarding copy . The payment of advertising allowances which are not used for advertising. Advertising objectives serve as guidelines for the planning and implementation of the entire advertising programme. Advertising impliedly bolsters the morale of the sales force and of distributors. but for many target buyers. (iii) To retain the loyalty of present and former consumers. Advertising may be used to reassure buyers that they have made the best purchase. : . It involves a decision regarding the media. former and future consumers. wholesalers. The use of samples and activities.g. Advertising seeks to condition the consumer so that he/she may have a favourable reaction to the promotional message.. This means that specific objectives should be set for each particular advertisement campaign.(iii) Advertisements are not designed to deceive. thus building loyalty to the brand name or the firm. The activities excluded from advertising are: The offering of premiums to stimulate the sale of products. it thus contributes to enthusiasts and confidence attitude in the organizational. The desire and hope for repeat sales insures a high degree of honesty in advertising. (ii) To communicate with consumers. . it is to view advertising as having communication objectives that seek to inform persuade and remind potential customers of the worth of the product. involving news releases and the activities of personal selling forces. the objectives of advertising should be specific.
such as personal selling or point-of-purchase display. It can force middlemen to stock the product by building consumer interest. advertising was accepted as a potent and recognized means of promotion only 25 years ago. It can build dealer and consumer confidence in the company and its products by building familiarity. The health department popularizes family planning through advertising Labour organizations have also used advertising to make their viewpoints known to the public at large. Advertising is used to promote an overall image of respect and trust for an organization. Importance of Advertising Generally. Non-business enterprises have also recognized the importance of advertising. physical fitness. but also at the government. professional sports.(v) To project an image. In short. Advertising assumes real economic importance too. The attempt by army recruitment is bases on a substantial advertising campaign. It can secure leads for salesmen and middlemen by convincing readers to request more information and by identifying outlets handling the product. Advertising is to stimulate market demand. This message is aimed not only at consumers. and the elimination of drug abuse. family planning. Advertising strategies that increase the number of units sold stimulate economies in the production process. and the like might be prohibitive without advertising. and the general public. It in turn leads to lower prices. advertising is a relatively low-cost method of conveying selling messages to numerous prospective customers. While sometimes advertising alone may succeed in achieving buyer acceptance. It can help train dealers salesmen in product uses and applications. its growing productive capacity and output necessitates the finding of consumers and advertising plays an important . shareholders. Advertising has become an important factor in the campaigns to achieve such societal-oriented objectives such as the discontinuance of smoking. the price of newspapers. to directly move customers to buying action. Similarly. The production cost per unit of output is lowered. stressing the advantages of a military career. Advertising is efficiently used with at least one other sales method. Advertising has become increasingly important to business enterprises –both large and small. Lower consumer prices then allow these products to become available to more people. it is seldom solely relied upon. preference. or even demand for the product. Outlay on advertising certainly is the voucher. radio and TV programmes. advertising pays for many of the enjoyable entertainment and educational aspects of contemporary life. Though in India.
Selective Demand (Stimulation) B. Advertising Based on Area of operation A. Industrial Advertising 5. Functional Classification A. Pioneering Advertising B. Consumer Advertising B. Advertising Based on Demand Influence Level. Advertising based on Product Life Cycle A.. there is a tremendous scope for development so that it may be productively used for the benefit of producers. Retail Advertising B. A. Advertising helps to increase mass marketing while helping the consumer to choose from amongst the variety of products offered for his selection. Reminder-Oriented Product Advertising 4. Wholesale Advertising 6. Product Advertising A. Advertising According to Medium Utilized 1. Primary Demand (Stimulation) B. CLASSIFICATION AND TYPES OF ADVERTISING 1. traders. viz. Product – Related Advertising A. Public Service Advertising 3. In India. National advertising B. Because of this fact. Local advertising C.role in this process. Retentive Advertising 2. advertising as a profession is in its infancy. Informative Product Advertising B. Product – Related Advertising It is concerned with conveying information about and selling a product or service. Regional advertising 7. consumers. . Trade Advertising A. and the country’s economy. Competitive Advertising C. Persuasive Product Advertising C. Product advertising is of three types. Institutional Advertising C.
A. Generally in such times. and selling a product category rather than a specific brand. or eventually – indirect action – when it suggests that you mention Air India’s name when talking to your travel agent. It is concerned with developing a “primary” demand. Direct Type: It seeks to stimulate immediate buying action. B. Pioneering Advertising B. . For example. time tables and phone numbers on which the customer may call for reservations. the advertiser wants to keep his product’s name before the public. Competitive Advertising C. Retentive Advertising: This may be useful when the product has achieved a favourable status in the market – that is. 2. Such advertisements appeal to the consumer’s emotions and rational motives. In this type of advertising. C. Public Service Advertising This is directed at the social welfare of a community or a nation. Retentive Advertising A. Air India attempts to bid for the consumer’s patronage either immediately . It seeks to sell a specific brand rather than a general product category. the objective is to put across a message intended to change attitudes or behaviour and benefit the public at large. Pioneering Advertising: This type of advertising is used in the introductory stages in the life cycle of a product. The effectiveness of product service advertisements may be measured in terms of the goodwill they generate in favour of the sponsoring organization. it provides prices. Competitive Advertising: It is useful when the product has reached the market-growth and especially the market-maturity stage. It is of two types: A. It conveys information about. A much softer selling approach is used. maturity or declining stage. B. Advertisements on not mixing drinking and driving are a good example of public service advertising. It stimulates “selective” demand. or only the name may be mentioned in “reminder” type advertising. Indirect Type: It attempts to pinpoint the virtues of the product in the expectation that the consumer’s action will be affected by it when he is ready to buy.direct action-in which case. Example: Airline advertising. the initial advertisement for black – and – white television and color television.
When primary demand has been stimulated and competitors have entered the market. i. This sells only the name and prestige of the company. Institutional advertising is used extensively during periods of product shortages in order to keep the name of the company before the public. suppliers. the advertising strategy may be to stimulate the selective demand. Competitive advertising stimulates selective demand. legislators. It aims at building for a firm a Positive public image in the eyes of shareholders. Selective Demand Stimulation This demand is for a particular brand such as Charminar cigarettes. Institutional advertisements are at consumers or focus them upon other groups. Advertising Based on Demand Influence Level. emphasizing the quality and research behind its products. HMT or DCM. does considerable institutional advertising of its name. Institutional Advertising Institutional Advertising may be formative. persuasive or reminder oriented in character. and not the brand of that product. If it is effective. . This type of advertising is used frequently by large companies whose products are well known.3. primary demand stimulation is appropriate. A. the marketer must inform consumers of the existence of the new item and convince them of the benefits flowing from its use. (ii) It may promote either the brand or the firm selling that brand. suppliers. for example. financial institutions. ii. It is intended to affect the demand for a type of product. or the general public. It may be of either the direct or the indirect type. etc. (iii) It may try to cause indirect action or direct action. selective demand advertising is attempted. B. such as voters. Primary Demand Stimulation Primary demand is demand for the product or service rather than for a particular brand. or Vimal fabrics. Surf detergent powder. The advertiser attempts to differentiate his brand and to increase the total amount of consumption of that product. At this time. government officials. employees. (i) Advertising may be used to stimulate either the primary demand or the selective demand. To establish a differential advantage and to acquire an acceptable sort of market. Some advertise to stimulate primary demand. Functional Classification Advertising may be classified according to the functions which it is intended to fulfil. When a product is new. It is not to stimulate the demand for the product or service.
Reminder-Oriented Product Advertising: The goal of this type of advertising is to reinforce previous promotional activity by keeping the brand name in front of the public. Persuasive Product Advertising: Persuasive product advertising is to develop demand for a particular product or brand. Product Advertising Most advertising is product advertising. It is usually done in the introductory stages of the product life cycle. Informative Product Advertising B. this may be referred to as institutional advertising because it is intended to build an overall favorable attitude towards the company and its family of products. It does not attempt to sell a particular product. in the maturity period of the product life cycle. designed to promote the sale or reputation of a particular product or service that the organization sells. It notifies the consumers that the company is a responsible business entity and is patriotic. Reminder-Oriented Product Advertising A. thus indicating how it aided the development of ancillary industries. It is a type of promotion used in the growth period and. It is of three types as follows:A. It is used in the maturity period as well as throughout the declining phase of the product life cycle. C. When Indian Oil advertisements describe the company’s general activities.the target groups will respond with goodwill towards. . attitude change or action for an offering. It deals with the nonpersonal selling of a particular good or service. HMT once told the story of the small-scale industries supplying it with component parts. that its management takes ecologically responsible action. B. Persuasive Product Advertising C. is an affairmotive action employer. and confidence in the sponsor. Informative Product Advertising: This form of advertising tends to characterize the promotion of any new type of product to develop an initial demand. comprehension. It was the original approach to advertising. it benefits the organization as a whole. Indane’s Cooking Gas is a case in point. The marketer may use such promotion to generate exposure attention. It is also a useful method or introducing sales persons and new product to consumers. such as public service work. to some extent. supports the socialistic pattern of society or provides employment opportunities in the community. iii.
To get the advertiser’s name on the buyer’s list of sources. The task of the industrial advertiser is complicated by the multiple buying influence characteristics like. Industrial Advertising Industrial executives have little confidence in advertising. To bring in orders. Trade journals are the media most generally used followed by catalogues. cigarettes and alcoholic beverages are examples. and general management publications. Advertising based on Product Life Cycle A. There is a heavy competition among the advertisers to establish an advantage for their particular brand. Industrial Advertising A. Consumer Advertising Most of the consumer goods producers engage in consumer product advertising. To motivate distributors. to create or change a company’s image. scooters. The objectives vary according to the firm and the situation. Advertising agencies are much less useful in industrial advertising. etc. To provide support for the salesman. and The basic appeals tend to increase the rupee profits of the buyer or help in achieving his non-monetary objectives. the derived demand. To help get items in the news column of a publication. detergents and soaps. .4. To motivate distributors. direct mail communication. They are: To inform. To induce inquiries. Consumer Advertising B. To establish recognition for the firm or its product. cosmetics. To create or change a buyer’s attitude. They rely on this form of promotion merely out of fear that their competitors may benefit if they stop their advertising efforts. B. exhibits. To reduce selling costs. all these products are all package goods that the consumer will often buy during the year. To recognition for the firm or its products. Marketers of pharmaceuticals. Baring a few.
5. The store personnel are usually given this responsibility as an added task to be performed. National advertising It is practiced by many firms in our country. 6. They also need to make a greater use of supplier promotion materials and programs in a way advantageous to them. Trade Advertising A. not advertising minded. Retail Advertising This may be defined as “covering all advertising by the stores that sell goods directly to the consuming public. generally. Retail Advertising B. Regional Advertising C. It refers to advertising costs between retailers and manufacturers. From the retailer’s point of view. Advertising based on Area of Operation It is classified as follow: A. either for themselves or for their suppliers. It encourages the consumer to buy their product wherever they are sold. Local Advertising A. such as beauty shops. together with their normal functions. They would benefit from adopting some of the image-making techniques used by retailers – the need for developing an overall promotional strategy. Wholesale Advertising Wholesalers are. Wholesale Advertising A. It includes. The famous national advertisers are: Hindustan Levers DCM ITC . petrol pumps and banks.” Advertising agencies are rarely used. B. also advertising by establishments that sell services to the public. One aspect of retail advertising is co-operative advertising. Most national advertisements concentrate on the overall image and desirability of the product. The result is that advertising is often relegated to a secondary position in a retail store. National Advertising B. co-operative advertising permits a store to secure additional advertising that would not otherwise have been available.
It has played a significant role in the development of modern advertising. it mainly confined itself to one of the vegetable oil brands distribution to Malihabad district (in U. every person connected with the Indian economy or public should be fully aware what advertising really is and why effective advertising campaigns can be performed by full-service advertising agencies. It requires the inputs of experts in many different fields like writers. It provides a quality . Amrit Vanaspati based in Rajpura claims to be the leading hydrogenated oil producer in the Punjab. and so on. Advertising has not only come to reflect pop culture but has also become an important element of economic growth. prices.Jay Engineering TISCO B. near Lucknow). Local advertising It is generally done by retailers rather than manufacturers. Almost all advertising is therefore arranged through an advertising agency which provides the necessary skill to turn the message into a memorable and effective advertisement. Advertising agency is one of the most important components of advertising industry. Retailer advertisements usually provide specific goods sales during weekends in various sectors. outdoor. For example. Even the biggest advertisers cannot afford to employ all these experts. artists. Advertising According to Medium The most common classification of advertising is by the medium used. 7. newspaper and direct mail advertising. C. skills and experience needed to produce effective advertising campaigns. business periodical. photographers. location. radio. But. These advertisements save the customer time and money by passing along specific information about products. For example: TV. This classification is so common in use that it is mentioned here only for the sake of completeness. Regional advertising It is geographical alternative for organizations. designers. television production crews and many others. Advertising Agency Getting the best out of advertising is a highly skilled job. magazine. until recently.P. Today. The advertising agency has evolved to provide the specialized knowledge.
Advertising is demanding. planning and handling advertising (and sometimes other forms of promotion) for their clients. Advertising requires a mix of personal abilities. considerable business skills. design and placement of advertisements. Typical ad agency clients include businesses and corporations. prepare and place advertising media for sellers seeking to find customers for their goods and services. Compared to larger industries. and the exhilarating lifestyle . Agencies may be hired to produce single ads or.range of service greater than any single advertiser could afford or would need to employ. you should take into account that the “lead-in” time needed to place an ad can vary anywhere from days to months depending on the publication. Writing an Ad 2. the unlimited expense accounts. creative and personable men and women with a wellrounded education and a good business sense. It is also interesting and fulfilling. The industry. Getting Approval for the Text of the Ad . An agency can also handle overall marketing and branding strategies and sales promotions for its clients. more commonly. hard work.” The glamour. is constantly on the look out for skilled. And competition is stiff. called an advertising campaign. An advertising agency or ad agency is a service business dedicated to creating. challenging. there are never many entry-level positions open in advertising agencies (dozens rather than hundreds). An advertising agency is a firm that specializes in the creation. bright. The Association of Advertising Agencies of America (AAAA) defines advertising agency as “An independent business organization composed of creative and business people who develop. Advertising Process When preparing your search proposal. ongoing series of related ads. and in the planning and execution of promotional campaigns for products and services of their clients. The advertising process for professional staff and faculty positions involves five basic steps: 1. and an ability to work under pressure to meet deadlines. however. An ad agency is independent from the client and provides an outside point of view to the effort of selling the client's products or services.all these popular portraits of life in the big-time advertising agency are misleading. articulate. non-profit organizations and government agencies. You should plan to have your ad approved and an estimate of the cost done at least one month prior to the date when you want the ad to be published.
especially larger ones. Some agencies specialize in particular types of advertising. multi-agency conglomerates such as Omnicom Group. Placing Ads & Posting Announcements 5. such as print ads or television commercials. collaterals Media Scheduling and media booking All release approvals for creative & media Material dispatch to media Media release monitoring Any post-testing if required Billing and collection .3. WPP Group. Paying for Ads Typical work flow in agency STAGE Briefing Stage WORK PERFORMED AT STAGE • Briefing from the client • • Creation Stage • • • • Production Stage • • • • Post Production Stage • • • • Types of advertising agencies Ad agencies come in all sizes. produce work for Internal briefing to the creative and media Any research briefing if required Ad campaign and media plan development Internal review and finalization Presentation to client and approvals Any pre-testing if required Budget and estimate approvals Production of film. Other agencies.or two-person shops to large multinational. Interpublic Group of Companies and Havas. from small one. Estimating the Cost of the Ad 4. press ads.
It also provides such services in respect of pricing. Modular agencies A modular agency is a full service agency that sells its services on a piece meal basis. Or. Fees are charged for actual work undertaken. an advertiser may hire an agencies media department to plan and execute a program for advertising that another agency has developed. production of ads. A full services agency provides services that are directly related to advertising such as copywriting. Today selection of ad-agency is very difficult. Companies that create and plan their own advertising are said to do their work in house. artwork. media planning etc. Not all advertising is created by agencies. Thus an advertiser may commission an agency’s creative department to develop an ad campaign while obtaining other agency services elsewhere. In House agencies Those companies. have their own in-house agency. The advertiser should make list of all possible agencies that can serve his purpose and the agency best qualified to provide required and effective services are selected. Full Service Agencies A full service ad agency is one that provides a range of marketing services. Search Engine Marketing (SEM) and Search Engine Optimization (SEO) firms have been classified by some as 'agencies' due to the fact that they are creating media and implementing media purchases of text based (or image based in some instances of search marketing) ads. which prefer to have closer control over advertising. Lately. Following are major types of advertising agencies that are currently serving the advertising industry. product design etc. Some advertiser may select more than one advertising agency to handle effectively the various product lines. This relatively young industry has been slow to adopt the term 'agency' however with the creation of ads (either text or image) and media purchases they do qualify technically as an 'advertising agency' as well as recent studies suggest that both SEO and SEM are set to outpace magazine spending in the next 3-5 years. This type is owned completely by the advertiser. distribution. packaging. It performs almost all functions that an outside advertising agency would perform and that’s why some .many types of media.
which an in-house agency would posses. There is another version of in-house agency whereby advertiser handles the total agency functions by buying service unit to buy time. Secondly an advertising department may not be equipped the personnel and facilities. Mega agencies A significant of 1980’s is the development of mega agency. . However. Such an In-house agency is an administrative center (under the direction of an advertising director) that gathers and directs varying outside for its operation.people refer to it as full-service advertising department of the advertiser. but an advertising department solely undertakes that work of its owner and not of outside clients. if the owner so desires. Such revenue increases the funds and profits of the company. Creative Boutiques These are shop agencies that provides only creative functions and not fullservice. Agencies worldwide merge with each other serve their clients in much better way. but also offers convenience for its owner. they charge a fee or percentage of full service agencies. there are agencies that specialize only in financial services or only in publicity or only in point-of-purchase material etc. the difference between an in-house agency and an advertising department is that the inhouse agency can undertake to serve several other clients. space and place the ads. Saachi & Saachi. In-house agency not only provides control over advertising schedule and costs. It was in 1986. a London based agency who started the movement and at present it is the third largest agency network in the world. and as such most of them convert into a full service agency or merge with other agencies to provide a wide range of services. artwork and production of ads. Such in-house agency also benefits the owner as it can bring revenue through agency commission that are offered by the media and by way of fees that are collected from outside parties for undertaking their advertising work. The specialized creative functions include copy writing. because it is just available in the same building as that of the head office of advertiser. for instance Soubhagya advertising agency concentrate on specialized in financial advertising. The Specialists Agency There are some agencies who undertake advertising work only in certain areas.
The functions of an advertising agency: • • To accelerate economic growth and create public awareness To provide a total. You have to seek a channel of communication. for example: • For whom is the product or service designed? Who would use it? Who is the "target group"? • • . designing and making that item is only part of the battle. People are not going to beat a path to your door. professional. It may be a totally new product. Ad agency need to consider. As a company with a product or service to sell. experienced service which is very personal in its nature • To take the advertiser's message and convert it into an effective and memorable communication The Benefits of Using an Advertising Agency • • • • • • • • • • Added Expertise Media Knowledge and Unbiased Advice Easier Administration Media Buying Quality Control Information Fending off the media And when things go wrong Cost Saving Time Saving Advertising Agency's Role Suppose you are a company with a product.
Advertising agencies exist to help companies to communicate with the public.their interests.their reach.• What's special about the product? In what way is it distinct? Unique? Different? • • • • What's its "position" in relation to other similar products? What do you want to convey to the public about your product? How should your company contact the public? What medium should it use? Radio? TV? Newspapers? Magazines? Billboards? Bus/subway ads? Direct mail? etc. particularly in television. expectations • • about media . Public Media Ad Company with a Agency product or service The process of advertising involves considerable specialized knowledge and expertise • about people . lifestyles. wants. • • How extensive a region should your company try to cover? How often? Communication and marketing decisions involve specialized expertise. Market the company's product. providing the best creative designed to capture the imagination of consumers . preferences. their specific appeal about the company and its product – and about competing companies and their products Services offered by ad agency Total Advertising Services Strategic planning. needs. magazines and radio. creative development and media services for advertising. This is where advertising agencies fit in. their effectiveness. Many companies that design and produce products or offer services lack these specific capabilities. newspapers.
e-business consulting and customer relationship management (CRM). TV programs. media buying. PR and event marketing. and research. music and other forms of entertainment. Search Engine Marketing (SEM) and Search Engine Optimization (SEO) and e-promotions using the Internet and mobile. and the production and marketing of such media / content as sporting events.Marketing Services Provision of a number of advertising related services. These divisions are usually physically separated. . e-Solution Services e-solution services. Content Business Sales of sponsorship. broadcasting and other rights. including sales promotion. animated content. films. including system integration services. the creative department. although all four areas work closely together to produce an advertising campaign in its entirety. market research. Integrated Media Services Bringing value to both clients and media-related companies by offering a wide range of media solution services Sales Promotion Providing comprehensive sales promotion planning designed to complement mass media and other activities Event Marketing Assisting clients by providing dynamic vehicles for their messages in the form of onthe-spot interactive communications Integrated Branding Services Assuring clients the highest quality of branding services for their communication needs Organization Structure The activities within an advertising agency are typically divided into 4 broad groups: account management.
Recently added to advertising agencies' roster of services are public relations. continues to dominate youth attention with its umpteen reality shows. In a recent newspaper article.Even if we presume they read less these days. and promotional services. not even poor Santa was spared! He was positioned as a scary character with five pictures to support this tall claim. television and films on our youth. described as an ‘extension of our senses’.A routine story perhaps.While some promote talent.Sensational headlines often catch their attention especially when they are about their own generation — the Rathore scandal and student suicides are cases in point. ADVERTISEMENT AND STUDENT There is so much written these days about the impact of ‘new’ media. Other activities that used to be completed by outside vendors. such as photography and high-tech print work. that we forget the reach of ‘old’ media — newspapers. which recently has been identified as one of the influencing factors in teen suicides. Another headline screamed: ‘Neighbour arrested for raping and killing minor’. As for television. Marshal McLuhan. be it internet or i-pods. one cannot overlook the critical role played by the ‘old’ media which are competing aggressively with the ‘new’ media. As the academic Mark Crispin Miller observed: ‘Technology now infiltrates rather than . The research department provides data about consumers to help the agency and the client make informed advertising decisions. which the media guru. So as one looks at the impact of media on youth behaviour.Account managers usually have daily interaction with a counterpart at the client's office and coordinate the activities of the other departments according to the client's wishes. direct marketing. a 23-year old rapes an 8-year old. many youngsters do flip through the daily newspaper at home. have been brought inhouse in many agencies. many create stressful situations where participants begin to question their sense of worth in our success-driven society. while the media department places finished ads within the media in which they will receive the most exposure to a target audience. The creative department designs original themes or concepts for ads.TV and print have been quietly reinventing themselves to grab TRPs and readership. but young minds reading these headlines day after day are bound to develop anxiety and question the sanity of our times.
In an article in the Guardian News.’ In smaller towns and rural areas.No longer appearing as an alien force.” Not that the ‘new’ media does not finds ways to draw people. when recent studies point a finger at an over-burdened education system. blending in with the woodwork.Denis Campbell writes: “This will result in millions of pounds of extra revenue but the medicos fear it will also result in increased obesity as sugar-based products are promoted in many programmes… often. including behaviour problems and lower grades. but in this transitional age. And television is the world’s most popular babysitter. A recent development in UK of allowing product placement in programmes has resulted in a hue and cry by British doctors and teachers. let us not underestimate the impact and continuing growth of the all-pervading ‘old’ media. Dr Michael Rich. But.Cell phones have literally metamorphosed into ‘magic boxes’ which can do practically anything!The growth of internet is phenomenal. computer. . has said that with media use so ubiquitous. that heavy media use is associated with several negatives. personality development and social issues like juvenile crimes? In an effort to understand the contributory factors of teen suicides. But where are the programmes to help youngsters deal with career selection. Regional television often feeds the hunger of the aspiring. of Children’s Hospital Boston. Umpteen ads prey upon greed and bring in their own brand of sexuality and consumerism. television or other electronic device. the storyline is altered to promote a particular product. according to a new study from the Kaiser Family Foundation. staying home.Moreover. when they are neither children nor adults. as it were.No one wants youngsters to become prudes. TV is irresistible. it was time to stop arguing over whether it was good or bad and accept it as part of children’s environment. at the same time. where the internet has not made much headway. The average young American now spends practically every waking minute — except for the time in school — using a smart phone.invades. who directs the Centre on Media and Child Health. rural youth looking forward to moving to big cities. the study found. 2010) headlined ‘Backlash over plan to extend TV advertising’. (January 3. Television blinds us to any visual event that takes longer than an instant to comprehend and keeps us sitting down. our TV barons are not sitting quietly for the demise of the ‘idiot box’. they are very impressionable to environmental conditions. TV remains the main source of information and entertainment.
an oppositional subculture. playing video games and using the computer.. What they all have in common is that they are directed toward teenagers. we must also involve them in the creation of programmes that help cope with life." (Linn 2) "It has been documented that the average teenager spends about 6 ¾ hours a day (38+ hours/week) using media--television. grade schools in Connecticut accepted . Therefore I Am". Teenagers are probably more influenced by advertising than any other age group. There are enormous opportunities for the marketer who is able to understand both the reality and fantasy of teen life. "Ipod. Saatchi & Saatchi hired clinical psychologists and cultural anthropologists to record more than 500 hours of interviews and observations of children between the ages of six and 20." (Linn 2) "And according to USA TODAY. interested in shutting out the adult world. It is estimated that teenagers between the ages of 13 and 19 spend 0 a week or 4 billion per year on clothing.As we reconsider our educational system and the influence of all media in face of rising suicides. "Got Milk?". The Gepetto Group conducts focus groups and consults with psychologists to help businesses better understand how to market to teens by exploiting their vulnerabilities. Advertisers spend over billion each year on television commercials. .000 from a company in exchange for permission to interview 10-to 12-year-old students in classrooms after school. "The advertising industry itself has funded dozens of studies on children designed to enhance marketing effectiveness.000 food commercials advertising food low in nutrition. newspapers.Let’s make youth aware of how media influences. According to the industry newsletter. Increasingly. our educationists should also think in terms of developing a ‘medialiterate’ society. and they are really not aware of it.' the firm's chief strategic officer explained in a Selling to Kids interview. About 57% of viewers surveyed in 1996 enjoy commercials as much as television programs. "Finger Lickin' Good". "Just Do It".Going further. "Be All You Can Be"--We have heard these slogans many times during the course of a day in some fashion or other. such research is taking place in schools. "It's Everywhere You Want To Be". magazines. he or she will have seen about 20. "Have It Your Way". them.000 commercials a year. entertainment. By the time a child is 18. movies.. The average child sees approximately 20. even manipulates. Selling to Kids. Teens are ?. "Reach Out and Touch Someone". We need to guide our youth in this media-saturated society.
They are more insecure and more rebellious than people of any other age group. It is no longer up to the parents alone to decide what the family needs. television. and taste trigger their desires to accumulate more and more "stuff?" Advertisers have found their niche with teenagers. They are less likely than others to compare prices or seek recommendations(Vision 3). it is estimated that 78% of children influence what their parents buy (McDougal Littell. teenagers are being left more on their own to make decisions that have a direct impact on families. and then make a purchase. Advertisers are aware of this and desperately try to meet their fluctuating--and they are succeeding. 2001). Advertisers now realize that children not only influence the purchases of the goods and services that appeal to them." They buy based upon what their friends are buying. interactive. and these decisions are often influenced by what advertising they see--through print. touch. Is it any wonder that this particular age group is targeted? We as adults have the ability to think logically when it comes to making purchases. or what a celebrity whom they admire or respect says they need. radio. Teenagers.and fast food. smell. We often notice that advertising geared toward this demographic is often very visual. incorporates catchy slogans. manpower. These purchases can be small to large ticket items. hear. They have become very creative when it comes to marketing to this group. With our fast-paced society. They know that teenagers' tastes will change on any given day what's popular today can be passé tomorrow. and money goes into developing products and services and marketing them to young people? Do they truly understand how the images they see. We see something that we need. effort. For example. are "impulse" purchasers. . Do teenagers give any serious thought about the role that advertising plays in what they buy? Do they realize that a great deal of time. and the internet. "CEA's (Consumer Electronics Association) research says teens may be more open to impulse purchases because they tend not to overanalyze. research the product to see what best fits those needs. but they also influence many of the purchases in the entire household. employs celebrities to pitch the products. This is an advertisers dream. on the other hand. what will make them more popular with their peer group. and is simple yet effective in its language.
feel obligated to . such as Foundations or Edison Schools. computers. They are in desperate need of life skills. violence in the neighborhood. West Delhi High School has a population of approximately 1. low attendance. Students will learn how advertisers change their "wants" into "needs. The design of this unit has been directly influenced by the circumstances under which I teach. This unit will aim to show my students how this is done and how they are influenced by it. Because of their backgrounds and environmental conditions. where I have taught for thirty-four years. They need to become informed consumers who make choices based on facts and not always on emotions. Educating young people who must deal with some of these problems can be an awesome task. has afforded the advertising industry numerous vehicles to expose young people to more and more advertising. as a teacher. there are many problems for students. and ipods. For the past few years. including a high dropout rate. This unit was developed to show my students just how much of a role it plays and how they can use it to their advantage. Sometimes school students are thought of as the forgotten children. they are being bombarded by advertising at an alarming pace.000 students that is 97% high income group. where you can easily find a house selling for upwards of 0. cell phones. I am the Business/Technology Coordinator at West Delhi High School. fun and relevant to their lives takes a great deal of effort and planning. and fragmented family structure." and the different strategies and techniques that are incorporated in their advertising campaigns. advertising plays an important role in their lives.This project objective is to how they are being manipulated to buy certain products or services. Students will learn that since the advent of our technological age.000 or more. the school also sits in a neighborhood where gentrification has caused housing prices to rise. video games. Ironically. This has placed the school in the unenviable position of being slated for takeover--possibly by one of the private companies. I. a very large percentage of students have scored below basic on standardized testing. Seventy-nine percent of students at West Delhi High School come from low-income households (School District of Philadelphia/Demographics). The advent of cable television. As with all urban schools. Making learning interesting.
larger. in those good old days (when everybody complained). And this is definitely not good. chances are. right? The ad will tell us in a variety of ways that it is any or all of the following: • • • • • • • • • better than the competitor's product cheaper than the competitor's product easier to use than the competitor's product has more prestige value than any similar product lasts longer the competitor's product it's made of superior parts or ingredients it's healthier for you it's wholly organic it's stronger. if we were using it before. This is all very good. we got to recognize certain brands and products as good quality and we stuck by them.Unfortunately many advertisements. and so forth. etc. So we are grateful for advertisements because they keep us up to date on the improvement of existing products and the creation of new ones. And sometimes we get mad because we feel we have been taken for a ride. tell us a product or service is good only to find out after purchase that it is not good at all. New and improved products are developed all the time and we can't be expected to keep track of these developments ourselves. and when a company sticks to its original . despite rigorous guidelines. faster acting. So its manufacturer helps us in our lack of awareness and tells us: "Our new and improved product is now even better! Go out and buy it!". Before. as we have mentioned before.try and bridge this gap between reality and fantasy. So far so good. that we will continue to use it and that we react positively to the latest improvement. This happy message really pleases the consumer in us and if the product is one that we use we are pleased that it has now been improved (again) and is even better. rules. laws and consumer magazines and organisations. shorter etc. Positive Effects The positive side of advertising is that it makes you aware that a product or service is available. I feel that the debunking of the myths of advertising is but one way of providing this information for my students. When a good product is improved it does become a better product. Reputation is important. Even though the message is the same as it was the last time it was improved.
No one can deny that an unbelievable quantity of bad products are for sale. The ad is made by the product's manufacturer and that already tells us that it will never be objective. Depending on the power of the manufacturer it can be blatantly obvious that we are dealing with a bad or substandard product. we are wholly convinced with what we are dealing is genuinely great product. According to the box every product is the best after all. In retrospect. we can find out that the ad failed to let us know any or all of the following: • • • • • • • it's made of substandard materials it tastes bad it's badly made it's made from leftovers and rejected materials it's made by someone undergoing forced labor it's far too expensive and should cost 10% of what it does because it is made much much cheaper somewhere else some of its ingredients or additives such as preservatives. colorings. And that is good because in our busy modern lives we have plenty to worry about already. have been banned in your country for at least 30 years because of their carcinogenic effects (cancer inducing) • • • there's really nothing in the product that is in the least bit beneficial to your physical or mental health it could be dangerous to your children it's made up of animal byproducts they are destroying a rain forest to produce it it's been designed exclusively to use all those other bits and pieces they would otherwise be stuck with it would kill any insect better than any spray if you would feed it to them instead of eating it yourself • • • .success formula we can trust them and continue to use their products or services without having to worry about it too much. But if the manufacturer has a lot of power. etc. the ad is so sophisticated in its execution that. Negative Effects The negative side of an ad is that it is not usually a neutral and objective statement. after the sale in other words.
marketing and advertising objectives i. The technique is known as keying the advertising. Importance of measuring the Effectiveness of Advertising . or use that service again. The only thing we can do is learn from our failures. The list is quite endless once you get going the reality of it is quite depressing.e. desired sales profitability or results in terms the change in customer’ behaviour in favour of the company’s product which will naturally. As soon as the advertising campaign is over. The advertiser spends lakhs of rupees in to this advertising activity. never buy a product or anything else manufactured by that company.e. two types of tests pre tests and post tests. May be provided with the advertisement or (d) Enquiry from consumers should mention the name of the source of information. Thus in measuring the effectiveness of advertising we include measuring of the effectiveness of advertising campaign. is an attempt to attract the customer towards the product through advertising. In order to measure the effectiveness of advertising copy. bio-material even an experimental laboratory would label bio-hazard etc.can be undertaken. Whether. it has achieved the desired results i. The effectiveness of advertising in a particular media may also be measured in any of the following ways – (a) By giving different addresses to different media. i. This chapter deals these three problems.. etc. (b) Different newspapers may be selected for advertisements of different departments. a need is generally arisen to measure the effectiveness of the campaign. (c) Coupon blank etc. and so forth. affect the future sale of the product. Pre tests are generally conducted in the beginning of the creation process or at the end of creation process or production stage.• it's made from organic materials. advertising copy and the effectiveness of individual media..e. In the background of all these efforts. LITRATURE REVIEW All advertising efforts are directed mainly towards the achievement of business. not mentioning that those organics are animal byproducts and leftovers. There are several pre and post tests techniques to measure the effectiveness of the advertising copy. until we are absolutely sure it is now really worth our hard earned money and time. to increase the sales turnover and thus to market the maximum profit.
The main purpose of advertising is communicated the general public. The investment in advertising is a marketing investment and its objectives should be spelt out clearly indicating the results expected from the campaign. and existing and prospective consumers. (6) Compare two markets Under this procedure. (5) 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. It facilitates timely adjustments in advertising to make advertising consumer oriented and result oriented. advertising is published in test markets and results are contrasted with other. change in consumer attitudes. METHODS OF MEASURING ADVERTISING EFFECTIVENESS Advertising is aimed at improving the sales volume of a concern so its effectiveness can be evaluated by its impact on sales.(1) It acts as a Safety measure Testing effectiveness of advertising helps in finding out ineffective advertisement and advertising campaigns. (3) Avoids possible failure Advertisers are not sure of results of advertising from a particular advertising campaign. changes in dealer display and so on depending upon the objectives sought by the advertiser. If the expected rate of return is achieved in terms of additional profits. message or appeal of the advertising. (4) To justify the Investment in Advertising The expenditure on advertisement is considered to be an investment. Markets – so called control markets – which have had the regular advertising program. Evaluating advertising effectives helps in estimating the results in order to avoid complete loss. The rate and size of return should be determined in advance. the advertisement can be considered as effective one. 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. The measurements made to determine results may be measurements of change in sales. various information about the product and the company. Thus waste of money in faulty advertising can be avoided. Most of the managers believe that the . (2) Provides feedback for remedial measures Testing effectiveness of advertising provides useful information to the advertisers to take remedial steps against ineffective advertisements.
There may be two types measures (i) (ii) Direct measures: and Indirect measures:- (1) Direct Measures of Advertising Effectiveness Under direct measures. Cities in which advertising campaigns are affected may be named as test cities and other cities may be called central cities.advertisement directly affects the sales volume and hence they evaluate the effectiveness of the advertising campaign by the increase in the sales volume. This technique estimates the contribution that advertising has made to explaining in a co relational manner rather than a casual sales. the variation in sales over the time periods covered in the study (b) Experimental Control The other measure of advertising effectiveness is the method of experimental control where a casual relationship between advertising and sales is established. A multiple regression analysis of advertising expenditure and sales over several time periods may be calculated. (a) Historical Sales Method Some insights into the effectiveness of past advertising may be obtained by measuring the relationship between the advertising expenditure and the total sales of the product. First of all. Media schedules expenditure levels or some combination of these advertising decision areas. Moreover this can be done as a pre-test to aid advertising in choosing between alternative creative designs. the normal sales level is . It would show how the changes in advertising expenditure have corresponding changes in sales volume. One experimental approach to measuring the sales effectiveness of advertising is test marketing. a relationship between advertising and sales is established. This method is quite expensive when related to other advertising effectiveness measures yet it is possible to isolate advertising contribution to sales. (i) Before-after with Control Group Design This classic design uses several test and control cities in this design two types of cities are selected. The following are some of the methods that are generally used in measuring that advertising effects. A comparison of sales of two periods or two periods or two markets may be done and the corresponding changes may be noted.
For any single medium. The most commonly used measures are – (i) Exposure to Advertisement In order to be effective. Multivariable designs Produce these explanations and are. most firms rely heavily on indirect measures. or the number of persons living in the televiewing or radio listening area. advertisement is bound to failure. Without exposure.Brown. be measured by subtracting the amount of post campaign figure of sale from the pre campaign sale figures in test cities (ii) Multivariable Experimental Designs While the experimental design discussed above yields a reasonably accurate estimate of the effects of the advertising on sales. it is not successful in explaining the success or failure of the campaign itself. Despite the uncertainties about the relationship between the intermediate effects of advertising and the ultimate results. The effect of advertising campaign. These measures do not evaluate the effects of advertisements directing on sales or profits but all other factors such as customer awareness or attitude or customer recall of advertising message affect the sales or profits or goals of the business indirectly. (2) Indirect Measures As it is very difficult to measure the direct effect of advertising on company’s profits or sales. there is no other alternative but to use indirect measures. former Fords Director of Marketing Research. newspaper or journal sold the number of persons passing the billboards or riding in transit facilities. The management is concerned about the number of target audiences who see or hear the organization message set in the advertisement. in this experimental model it is possible to evaluate how each individual medium behaves alone and in all possible to evaluate how each individual medium behaves alone and in all possible combinations with other media. eight possible geographic areas have been exposed and eight have not been exposed. can then.V. and then the advertising campaign is presented to the test cities and not the central cities. Marketers or advertisers may obtain an idea of exposure generated by the medium by examining its circulation or audience data which reveal the number of copies of the magazine.calculated for both type of cities prior to advertising campaign. This number can be estimated by interviewing the numbers of the audience for different media. the advertisement must gain exposure. and the number of persons switching on their T.H.The power of this multivariable factorial design is explained by G. and radio sets at various points of time. Thus. . therefore used by some very large firm because of their diagnostic value.
a recall of the message content among a specified group or groups or prospective customers is measured within 24 hours of the exposure of the advertisement. Here consumers read. The assumption of this type of measure is that there is a direct relationship between the advertisements and the awareness. (iv) Comprehension Consumers generally use advertisements as a means of obtaining information about the product. the consumers are asked to indicate the extent to which they recognise or recall the advertisement. Various tests for valuating comprehension are available – One is recall tests – an indicator of comprehension because it is evident that consumers recall what they comprehend.(ii) Attention or Recall of Advertising Message Content This is one of the widely used measures of advertising results. These measures assume that customers can recall or recognize what they have viewed or listened to. for new products. It is also affected by many other factors. In a pre-test evaluation. Under this measure. brand or the manufacturer. Attention value is the chief quality of the advertising copy the advertisements cannot be said to be effective unless they attract the attention of the target consumers. they have already seen. This test is conducted in the laboratory setting. But. (iii) Brand Awareness The marketers who rely heavily on advertising often appraise its effectiveness by measuring the customer’s awareness about the particular product or brand. They cannot be informed unless they comprehend the message (grasp the message mentally and understand it fully). There are two methods for evaluating the attention getting value of the advertisements. This type of measure is also subject to the same criticisms as is applicable to direct measures of effectiveness (sales measures because awareness is also not the direct result of the advertisements. Various mechanical devices are being used in the western countries which provide indices of attention such as eye-camera etc. In post-test method. hear or listen to the advertisement and then researchers ask question regarding the advertisement just to test the recall and then evaluate it. One is pre-test and the other is post-test. Another measure of the variable is to ask questions about subjects how much they have comprehended a message they have . the consumers are asked questions about the indication of recognition or recall after the advertisement has been run. changes in awareness can often be attributed to the influence of advertising.
the short comings and the plus points would be revealed and the management would be able to improve the campaign by negating the shortcomings and retaining the favorable point. the change in sales levels are good indicators of the effectiveness of advertising. By regular evaluation of the effectiveness.recently heard or seen. It seems from the analysis of the above methods of measuring effectiveness that directly or indirectly changes in sales or profits are taken as the measuring rod of the effectiveness of the advertising. For this purpose. One may ask typical target consumers from time to time such questions like ‘what did you think of our new commercial?’ and ‘Did it get the message across’? The answers of these questions will provide sufficient insight into advertising decision making. The assumption is that if an increase in sales follows a decrease in advertising expenditure. If it succeeds in attaining the objectives. Thus. One type of action that advertisers attempt to induce is buying behavior. (v) Attitude Change Since advertising is considered to be one way of influencing the state of the mind of the audience towards a product. the results are very often measured in terms of attitudes among groups exposed to advertising communication. One may employ somewhat imprecise test of the comprehension of a newspaper and radio advertisement. Advertising can be . service or organisation. Logic suggests that measurement of sales is preferable to other measurements. consumers are asked to respond why they are interested in purchasing the product or brand. COMMUNICATION EFFECTS OF ADVERTISEMENT The management should attempt to evaluate the effectiveness of the advertising campaign if the firm’s advertising goals are to be achieved and the ad effectiveness is to be increased. The effectiveness of advertising can be measured by the extent. (vi) Action One objective of advertisement may be assumed to be to stimulate action or behavior. Several measures are used ranging from asking the questions about willingness to buy the likelihood of buying to the measurement of the extent to which specific attributes (such as modern or new) are associated with a product. these above measures (direct or indirect) are used to evaluate the effectiveness of advertisements. The action or intention to take an action may be measured on the intention to buy measuring instrument. it to which it achieves the objectives set for it. Under this type of measure. But this is very difficult task because measurements are imperfect and imprecise. it is very necessary to know how advertising affects the buyer’s behaviors.
(a) The reaction of consumer – buyers to the advertising efforts cannot be known in advance. Indeed. The exact result of advertisement expenditure is very difficult to predict because. Any social institution upon which a significant portion of our total productive efforts is expanded should be able to point to its specific accomplishment.. It is entirely possible that a poor advertising support may push up the sale because everything else falls into its proper place or the reverse may be possible.) cannot be accurately anticipated. In a very real sense the integrity of promotional activities rests on how well those activities work. The overwhelming success of the sale is the joint result of all the above variables and it is quite impossible to isolate the role of any one variable. The advertising executives are much concerned about the assessment of the effectiveness . The advertisement is seen and the response is much greater than it is anticipated. An advertising budget that is spent on some poorly defined task or on undefined tasks may be regarded as an economic waste as compared to that spent to achieve the well defined objectives for which the results can be measured. Such events may influence the results of the advertising efforts. It is so because the cause and effect – relationship cannot be established in advance when a multitude of variable impinge upon a particular event. (b) The reaction of competitors in the field cannot be guessed in anticipation and (c) The unexpected events (such as change in social and economic environment and the government policies etc.5000 on advertisement with a local newspaper for a special sales even. But it does not mean that that we cannot measure the effects of particulars advertising effort. it is a source of discomfort that specific results of advertising activities have not always been subject to precise measurement. Weather conditions or the goodwill of the firm etc. If we take a hypothetical case of a retailer who contract to spent Rs.said to be effective otherwise it will be a waste of money and time. In this sense. of the advertisement or the low prices quoted during the sale of the superior quality of the product or absence of competition in the market on the day or the favorable. What caused the success of sale? They message theme colors etc. Both practitioners and critics feel that promotional activities should only be accepted as socio – economic – institution with full right and privileges “when the means exist to prove that advertising super are productive rupees’ It is undoubtedly a source of embarrassment that we cannot exactly measure the effectiveness of advertising in definitive terms. advertising can be recognized as a business activity like other activities.
of the advertising efforts. For this purpose, the management needs answers to such questions as: was the advertising campaign really successful in attaining the advertising goals? Were our T.V. commercials as good as those of our competitors? Will the print advertisement, which we have designed, make consumers aware of our new product? To get answers of these questions, various tests of effectiveness (Pretests and post – tests ) are deeded to determine whether proposed advertisement should be used, and if they are not satisfactory how they might be improved, and whether on going campaign should be stopped continued or changed. Pre- tests are conducted before exposing target consumers to the advertisements and post tests after consumers have been exposed to them. As indicated earlier, the advertisers are interested in knowing what they are getting for their advertising rupees, So they test the proposed advertisement with pre test and measure the actual results with a post test. In the past, protesting was done by the advertising agencies but now the advertisers have been taking an increasingly active role in protesting process. Pre test may be done either before an advertisement has been designed or executed after it is ready for public distribution or at both points. During protesting there is often research on three vital questions:(i) Do consumers feel that the advertisement communicates something desirable about the product? (ii) Does the message have an exclusive appeal that differentiates the product from that of the competitors? (iii) Is the advertisement believable? Although a lot of money is spent on protesting yet the advertisers like to confirm the results by post testing of their promotional campaigns due to the following reasons:(i) There is a need produce more effective advertising by retaining the good and removing the bad. (ii) The advertising executives can prove to the satisfaction of the management that a higher advertising budget will benefit the firm. (iii) There is a need for measuring the results to determine the level of expenditure that is most promising. Most research focuses on the communication effect rather than sales effect because it is a long run process. In the short run, however sales may be slight and important but in the long run its effects ob brands and companies may be of great importance. Indirectly it will affect the sales in the long run, by changing the consumer awareness
and attitude. The advertisers are therefore, concerned with their impact on consumer awareness and attitude. The communication effect on sales may be presented in the following figure:Communication Effect on Sales Awareness builds a favorable or at least a curious attitude towards the product which leads to experimentation. If consumer is satisfied with the trial he may decide to purchase the product. There are many critical and unresolved issues in determining how to test the communication effects of advertising. Among these are:(1) Exposure Conditions – Should advertising be tested under realistic conditions or under more controlled laboratory conditions? (2) Execution – Protesting a finished advertisement as an expensive and time consuming. Does protesting a preliminary execution produce accurate and useful data? (3) Quality Vs. Quantity Data- Quantitative data are the easiest and the almost precise measurement. But qualitative data collected through interviews may provide information that short answer questions never can. Many types of advertising tests are conducted (different methods of pre tests and post – test are given in question number) In T.V. commercials are tested by inviting a group of people to the studio to view a program. The audience is then surveyed about the commercials. Print advertisements are tested through dummy magazine portfolio tests. Compunction Effectiveness Vs Sales Effectiveness It is easier to assess the communication effect of advertising than the sales effect. Many firms try to measure the effectiveness of advertising in terms of sales results but this practice is always misleading. Since, the effect is the result of so many variables, a distinct effect of advertising on sales cannot be correctly measured, Although there may be some exceptions. For example direct mail advertising can effectively be measured by the inquiries received. But in many situations the exact relationship between advertising activity and sales cannot be established satisfactorily. We can correctly assume that some sales will occur even though there is no advertising or little advertising or conversely there will be no increase in sales after the point of saturation is reached or it may be that sales will show a decreasing trend at this point in spite of large amount of expenditure on advertising is done. It is so because advertising is no the only variable that effect the sales.
Thus, we may conduct that sales effect of advertising is difficult to measure because a number of variables affect the quantum of tales and the contribution of advertisement cannot be measured separately unless all other variables are presumed to be constant. This situation is quite hypothetical and almost nonexistent. Added to this is the fact that advertisement itself is made of a variety of variables such as media, messages, colours, page or time of the day, locations, the size of the headline and the appeals used. Thus even if the advertising variable is separated this would still not answer the question about the effectiveness of the individual components of the advertising campaign. So advertisers try to measure the communication effect of the advertising. Suitability In small business firms where the marketing research resources are limited advertising managers may decide on less expensive and less relevant measures. The big business house, which has more access to research, may decide on the more relevant and expensive measures. Factors Affecting Advertising The final external factor in the planning framework concerns environmental factor social, legal, and global. Law forbids deceptive advertising. One solution is to create brand advertising that is vague and contains little specific information. However, such an approach can result not only in ineffective advertising; by it can lessen the social value of advertising by reducing the amount for useful information that it provides to society. Thus, and advertiser who attempts to provide specific, relevant information must be well aware of advertising regulation. Even more difficult consideration for people involved in the advertising effort is broad social and economic issues. Another concern is that advertising, especially when it is more irritating than entertaining, is an intrusion into an already excessively polluted environment. A whole set of rules is emerging to cover advertising directed at children, and advertising for products such as alcohol and cigarettes, and the use of environmental and health claims in advertising. Thus advertising has a tremendous impact on international marketing and the two concepts therefore go hand in hand and are dependent on each other. IMPACT OF ADVERTISEMENT
culture. Other critics express concern over the way advertising has affected women and racial minority groups. The increased volume of sales enables companies to produce individual units at lower costs and therefore. rather than increasing sales overall and thereby benefiting the economy as a whole. however. advertising enables manufacturers and others to sell their products in larger quantities. believe that advertising is wasteful.Advertising has an important effect on a country’s economy. Advertising thus benefits consumers by helping lower prices. These economists also argue that by interesting consumers in purchasing goods. Other economists. sell them at a lower price. They argue that the cost of advertising adds to the cost of goods and that most advertising simply encourages consumers to buy one brand rather than another. Some critics suggest that advertising promotes a materialistic way of life by leading people to believe that happiness is achieved by purchasing products. Manufacturers know that advertising can help sell a new product quickly. According to this view. ads continued to focus on their role as homemakers. Many economists believe that increased competition leads to lower prices. enabling them to recoup the costs of developing new products. 2. Whether owing to the feminist movement or to women's increasing economic power. society. 1. and political system. Social Impact Advertising can have wide-ranging repercussions on a society. Although millions of women worked outside the home in the 1960s. strengthening the economy by promoting the sale of goods and services. By stimulating the development of new products. thereby benefiting consumers and the economy as a whole. This is especially true in the United States where the advertising industry plays such a prominent role. Ads in the 1950s depicted women primarily as decoration or sex objects. They argue that advertising creates a consumer culture in which buying exciting new products becomes the foundation of the society's values. pleasures. advertising simply moves sales from one company to another. Economic Impact Most economists believe that advertising has a positive impact on the economy because it stimulates demand for products and services. after the 1960s it became more . advertising helps increase competition. and goals.
At the same time. In-depth news programs. however. However. and free entertainment might no longer be widely available. but some members of the media acknowledge that they might not be inclined to investigate an issue aggressively if it threatened to offend a major advertiser. However. Newspapers. Without advertising. a diversity of magazines. some critics warn that because advertising plays such a major economic role. Advertisers may affect media programming in other ways. however. and Eastern Europeans. increasing attention has been paid to the way in which advertising shows other ethnic groups. may be hesitant to develop a news story that criticizes a major advertiser. Native Americans. There is still considerable debate over how advertising influences public perception of gender and of particular ethnic groups. if not free. companies that sponsor TV programs prefer relatively wholesome. magazines. to the public. Due to the influence of the civil rights movement. or they might be considerably more expensive. critics charge. too.common to see women depicted in professional roles. noncontroversial programming to avoid offending a mass audience. As a result. As ads have begun to more fully reflect the lives of women and African Americans in the United States. or even be subject to government control through subsidies. many ads today still emphasize a woman’s sexuality. many African American organizations and community activists continue to object to the way that alcohol and tobacco companies have seemingly targeted low-income minority communities with a heavy preponderance of outdoor advertising for their products. This preference . radio. The way advertising has depicted racial minorities has also been harmful. Asians. for example. society might not be alerted to harmful or potentially harmful conduct by the advertiser. advertisers by the 1980s had begun to depict African Americans as students. and broadcast television all receive their primary income from advertising. offer less variety. For example. or business people. African Americans were usually shown in a subordinate position. Prior to 1960. it may exercise undue influence on the news media and thereby curtail the free flow of information in a free society. Advertising has a major social impact by helping sustain mass communications media and making them relatively inexpensive. Reporters and editors. including Hispanics. many of these forms of mass communication might not exist to the extent that they do today. professionals. Most members of the news media deny that pressure from an advertiser prevents them from pursuing news stories involving that advertiser.
If the ratings show that a program is not attracting large audiences. Political advertising is a relatively new development in U. 3. Political advertising enables candidates to convey their positions on important issues and to acquaint voters with their accomplishments and personalities. Research suggests that children see television advertising as just another form of programming and react uncritically to its messages. The impact of television on young children has received much attention. advertisers often withdraw support. political advertising has grown in sophistication and complexity. As a result. television shows are often developed with this audience in mind.causes TV networks to emphasize this type of programming. Because advertisers are especially interested in attracting the 18 to 34 year olds who account for most consumer spending. which makes them especially vulnerable to advertising. shows that are more likely to interest and to be of value to older audiences are not produced. making them more susceptible to questionable advertising claims. Advertising professionals did not become involved in electoral campaigns until the 1950s. But since then. Those over the age of 60 are thought to be less influenced by advertising. which causes a program to be canceled. devote large amounts of time to weightlifting. and may develop eating disorders in pursuit of a thin figure. history. and may even take drugs that have harmful side effects in order to develop more muscle. That amount of spending placed political advertising in the ranks of the country’s 30 leading advertisers that year. New research suggests that adolescent boys are also being influenced by advertising images of bulked-up. many become dissatisfied with their own body image. buffed bodies. The result is that society may be denied the benefits of being able to view challenging or highly original entertainment programs or news programs on controversial issues. particularly among 18 to 34 year olds. thin models. become dissatisfied with their own bodies. Political Impact Advertising is now a major component of political campaigns and therefore has a big influence on the democratic process itself. but some elderly people no longer process messages as easily as younger people. There is also concern about the way in which adolescent girls respond to advertising that features beautiful. Television .S. In 1998 more than $467 million was spent on election campaigns in the United States. Research indicates that many adolescent girls are unduly influenced by this standard of beauty. As a result.
Critics of political advertising also charge that the 30-second television spot has become more important to a political campaign than a thorough discussion of the issues. a popular ad campaign for a fast-food chain with the slogan “Where’s the beef?” became part of the 1980 Democratic presidential primary campaign between Gary Hart and Walter Mondale. the costs of political campaigns have skyrocketed. which may clash with the traditional cultural values of a country where the collective or group is emphasized over the individual or humility or modesty is preferred to aggressiveness. Issues are simplified. have universal appeal. Humor in advertising has made many ad campaigns widely popular. for example. 4. multinational corporations often use the same advertising to sell to consumers around the world. causing the world to become increasingly homogeneous. however. have tried to address the impact of television advertising on political campaigning. Candidates can also use advertising to respond effectively to the charges of their opponents. Some critics argue that advertising messages are thus helping to break down distinct cultural differences and traditional values. They contend that this practice is harmful to good government. As a result. thereby distorting the political process. in some cases achieving the status of folklore or taking on new life in another arena. voters are bombarded with image advertising rather than being acquainted with the candidate’s positions. The ad ridiculed a competitor by depicting a small hamburger patty dwarfed by a . however. overriding cultural differences. and candidates are “packaged and sold” much like a consumer product. encourage aggressive individualism. Many advertising campaigns.advertising is especially effective for candidates running for national or statewide office because it can reach so many people at once. Some reform proposals have called for free airtime. With the globalization of the world economy. Various campaign finance reform proposals. For example. Cultural Impact Advertising can affect cultural values. or they contribute to culture in a positive way. Because of the high cost of television ads. even after they have been elected to office. but television and radio networks have resisted this idea. Some advertising messages. making it necessary for candidates to raise money continually. Critics say this factor jeopardizes the democratic process by making elected officials beholden to wealthy contributors and by making it more likely that only the wealthy will run for office.
. During a primary debate one of the candidates used the ad slogan to suggest that his opponent’s campaign lacked substance.huge bun.
OBJECTIVES • • • To study the impact of advertisement on students in Delhi To study the association between frequency of advertising and repeat purchase level of customers To study the difference between the impact of advertisement on college and school students. RESEARCH HYPOTHESIS Hypothesis I 7Ho Ha : There is no significant impact of advertisement on the students in Delhi. The research would be regarding the effects of advertising on the customers in with special reference to the students in Delhi region. The customers tend buy the product when they watch the advertisements and what would be the major focus of the research is that the frequency of advertisements has a impact on the repeat purchase. : There is a significant impact of advertisement on students in Delhi.CHAPTER-3 RESEARCH METHODOLOGY AND DESIGN RESEARCH PROBLEM Advertising these days is the major tool of promotion and without advertising it is very difficult for any company to survive in this competitive world. So is the practice made by the companies fruitful or it is only an expense and whether there is a significant difference in the attitudes of school students and the college students for the advertisements. The youth being one of the major people amongst the population being targeted by the companies and the companies now days are coming out with the products which are specially meant for the youth. . So what really needs to be found is that do the advertisements tend to boost the sales of the company as companies are investing huge amounts in the advertising activities.
Hypothesis III Ho Ha : There is no significant difference in the impact of advertisement on college : There is a significant difference in the impact of advertisement on college students and school students. : Students in Ashok Vihar. : Students in Delhi. Rohini. . SIGNIFICANCE OF STUDY This would help us to know the impact of advertisements on the students who live in Delhi and would make it clear that what companies should do more in order to attract the youth towards them. : Students in North Delhi.Hypothesis II Ho Ha : There is no significant association between frequency of advertising and : There is a significant association between frequency of advertising and repeat purchase level of customers. SCOPE OF STUDY Since my research is comprises of the students only in Delhi Region. Model Town. SAMPLING TECHNIQUE Universe Population Sampling Frame Sample : All Students in India. students and school students. repeat purchase level of customers. TYPE OF RESEARCH • Descriptive Type of Research. Pitampura. so future researches can be conducted on the students all over India to get better and accurate results.
: Journals. Magazines. so that they could make attract customers and make them buy those products. Websites. as students these days are more inclined towards the latest trends prevailing in the market and also like to link themselves with the known brands and products. Reports. Survey Method.Sample Size schools) : 100 Students (50 students in college and 50 students in Sampling Technique : Convenience Sampling EXPECTED OUTCOME OF THE RESEARCH The outcome which is expected is that there would be a considerable impact of advertising on the students. CHAPTER-4 HYPOTHESIS TESTING. DATA COLLECTION TOOL Primary Data Secondary Data : Questionnaire. DATA ANALYSIS AND INTERPRETATION . Companies these days are investing huge amounts just to make their products known amongst the people.
1. From where do you get information about the new product? Answers Television Newspapers Magazines Internet Peers (Family / Friends) No. Which means advertisement would be the best medium to get them the information to the youth . 2. of respondents 28 72 . Which form of advertisement do you like more? Answers Still image Moving image No. of respondents 42 26 11 6 15 Interpretation: A large size of population is influenced by Television and Newspapers.
For you advertisement is a source of : Answers Information Entertainment No.Interpretation: People are more affected by advertisement with moving image. of respondents 62 38 . 3. Specially in this case where 50 college and 50 school student is contributing to this survey result it is more likely to be students are from Delhi would like more moving image advertisement rather than going for the still or print media advertisement.
of respondents 26 74 . 4.Interpretation: More number of Delhi’s Student consider advertisement as a source of information rather than a source of entertainment. Out of 100 student 62% of them are going for the advertisement because of the information that they will get from that for example latest trend and what phone going to be launch in the market etc. Does entertaining advertisement affect your opinion about the product? Answers NO Yes No.
of respondents 87 13 .Interpretation: Entertaining advertisement does affect the opinion of customer about the product which is one of the objective of the project to find out where as Advertisement affects the customer perception towards the product. Here from this question we got to know if the advertisement is more interesting It would be liked by the students more and more. This has been told by the 74% of the students from the Delhi and from the schools and college going as well. 5. Does information provided in advertisement affects your opinion about the product? Answers Yes No No.
Does language used in advertisement affects your opinion about the product? Answers Yes No No. which means 87% of the students are said yes it is impact on there purchasing behavior so it is most important factor for the students to target on.Interpretation: Information provided in the advertisement affect very much on the opinion of consumers about the product. of respondents 63 37 . 6.
7.Interpretation: Language used in the advertisement affects a lot on the opinion of consumers about the product. Does presence of any celebrity in the advertisement affects your opinion about the product? Answers Yes No No. Which is the one of objective to reach out because student looking for more trendy and stylish advertisement pattern which is told by the 63% of students from school and college. of respondents 69 31 .
Does intensity (frequency) of the advertisement affects your opinion about the product? Answers Yes No No. 8. of respondents 52 48 .Interpretation: Presence of any celebrity affects on the opinion of consumers about the product because most of the student are influence by the celebrity 69% of the students are given there views that yes if any celebrity will comes to the ad that will influence there purchasing behavior.
9. of respondents 59 41 . This is one of our objective to be reach out also because the frequency of advertisement will increase the brand recall of the students which is admitted by the 52% of the students from Delhi.Interpretation: The effect of intensity is very powerful on the opinion of consumers about the product. Does presence of social issues in the advertisement affects your opinion about the product? Answers Yes No No.
In coming months of advertisement there are lot many social issues covered by the organization w. Do you think advertisement helps in increasing sales of any product? Answers Yes No No.r.Interpretation: Presence of social issues in advertisements affects very much on the opinion of consumers about the product.t social advertisement yes 63% of the student changes there buying behavior only because of that. 10. of respondents 87 13 .
Advertisement B. A. Brand. C. HYPOTHESIS TESTING Hypothesis I Ho : There is no significant impact of advertisement on the students in Delhi. Price D. Neutral 4. Disagree 5. Availability of product E. 87% of the people suggested for the same as per our study. F. Strongly Disagree. It has been proved from this question that it will impact on the customer directly if the company launched any good advertisement. 3. Money C.Interpretation: Advertisement helps very much in increasing the sales of any product. Quality of the product. Strongly Agree 2. 1. . Agree. What impact is most for the purchasing of any new product for you? Please rate this factor on 1. Promotion.
0 1.0 1.0 .00 Total .0 .00 11.0 . Brand.00 34.0 .0 1.00 17.0 1.0 .00 31.0 .0 1.00 21.0 1.0 .00 45.0 Expected N 1.0 .00 18.00 18.00 Total 3.0 1.0 Residual .0 1.0 .Advertisement Money Price Availability Quality of product.0 .00 2.0 1.0 .0 .0 1. Promotion. Strongly Agree Agree 10 45 45 15 the 44 29 37 21 34 17 23 34 39 27 Neutral Disagree 11 40 1 2 4 31 7 22 6 12 12 9 10 14 Strongly Disagree 18 18 3 33 7 10 10 Chi-Square Test Advertisement Observed N 1 1 1 1 1 5 Expected N 1.0 Residual .0 1.0 10.00 40.00 4.00 45.00 Total Money Observed N 1 1 1 1 1 5 Price Observed N 1 1 1 1 1 5 Availability Expected N 1.0 1.0 Residual .0 1.
00 7.0 Quality 6.0 .00 34.00 Total 10.00 23.00 44.000 4 1. The minimum expected cell frequency is 1.0 .0 1.0 . .0 Expected N 1.00 Total 1.00 27.000 4 Availability .0 .8 -.000 .0 1.0 1.3 Residual .000 4 Brand .00 Total Observed N 1 1 1 1 1 5 Expected N 1.600 3 Promotion .0 1.0 .0 Residual .00 15.00 39.000 1.0 Residual .00 14.b) df Asymp.000 Expected N 1. Sig.0 .0 1.000 4 Quality .00 Total Observed N 1 1 1 1 1 5 Expected N 1.3 -.3 -.896 a 5 cells (100.00 37.7.000 1.00 22.00 29.00 33.0 Brand Observed N 2 1 1 1 5 Promotion Observed N 1 1 1 1 1 5 Test Statistics Advertisement ChiSquare(a.0 . .0 1.0 1.0 .000 1.0 1.3 1.0 .000 1.00 12.3 1.3 10.0 1.000 4 Price .0%) have expected frequencies less than 5. The minimum expected cell frequency is 1.000 4 Money .0 Residual .3.0%) have expected frequencies less than 5.0 1. b 4 cells (100.0 1.00 12.0 1.00 9.0 .0.0 .0 .3 1.
166 .816 . (2tailed) N .650 5 .789 5 .05 level (2-tailed).514 5 .774 5 -.021 5 .179 Quality -.760 .450 5 1 .690 .372 .046 5 .933(*) .126 .885(*) Promotio n -.126 Brand -.135 .372 .227 .989(**) . (2tailed) N 1 Money -.760 .448 Price .690 .538 5 -.714 5 5 1 .516 Availabilit y .066 .450 5 .373 5 -.392 Sig.198 5 -. .514 5 .373 5 -.573 5 . (2tailed) N . ** Correlation is significant at the 0.891(*) .342 Sig. (2tailed) N -.538 5 -.342 .198 5 -.828 5 .043 5 5 1 .839 5 .885(*) . (2tailed) N Money Pearson Correlation -.136 5 5 1 .650 5 .278 .839 5 .816 .575 5 5 1 .066 .01 level (2-tailed).828 5 .891(*) .828 .933(*) .392 .774 5 -.179 .573 5 .227 .046 5 . (2tailed) N -.989(**) .340 .001 5 5 1 .828 Price Pearson Correlation Availability Pearson Correlation Quality Pearson Correlation Brand Pearson Correlation Promotion Pearson Correlation * Correlation is significant at the 0.021 5 .135 . (2tailed) N -.084 5 5 .340 Sig.789 5 .916 5 .916 5 .448 Sig.092 5 .092 5 .278 Sig.516 .CORRELATION TEST Correlations Advertisem ent Advertisem ent Pearson Correlation Sig.166 Sig.
As per the correlation and chi square test suggested that the Advertisement does not seems to be significant here and there is no significant impact of the advertisement on student because if we asked for the most valuable and the crucial things for the student to make a purchase decision our correlation test suggested that it would be pocket money and the quality of that product which is also correlation by the 93.0. This means (by the subtraction rule) that the probability that the standard deviation would be greater is 1 . Promotion. Strongly Disagree. Friend C. Agree. A.33% so major factor for the student is not the advertisement but the money that they have. Advertisement is impacted negatively as per the chi square test tells us that the probability that a standard deviation would be less than or equal to is 0. Strongly Disagree 7 20 20 33 7 Advertisement Friend Relative Direct sales team Promotion. Relative D. If you have a money from where you get the maximum information about the product that you want to purchase? Please rate this factor on 1.44. 2. Advertisement B.96 or . 3. Neutral 4.04. Direct sales team E. Disagree 5. Strongly Agree 2. Ha : There is a significant impact of advertisement on students in Delhi. Strongly Agree 42 34 18 15 29 Agree 38 34 17 14 39 Neutral 5 1 14 7 6 Disagree 8 11 31 31 19 T-Test One-Sample Statistics .
(2-tailed) N Direct Sales Pearson Correlation Sig.43953 6.0000 Std.860 3.815 5 -.51920 11.095 5 -.438 3.036 .293 .695 5 1 Advertisement Pearson Correlation Sig.993 5 5 -. As per the our alternate hypothesis suggested that the it makes sense when we are saying the advertisement makes impact over the student in Delhi Correlation test suggested that the significance level of the advertisement is much higher i.097 6.N Advertisement Friend Relative Direct Sales Promotion 5 5 5 5 5 Mean 20.293 .6474 Correlations Advertisement 1 5 .09902 6.988 5 .815 5 1 Direct Sales -.35610 One-Sample Test Test Value = 0 95% Confidence Interval of the Difference Advertisement Friend Relative Direct Sales Promotion t 2.8429 2.00000 20.40175 14.34394 14.813 .146 .038 5 1 Relative -.922 3.041 5 .0000 20.017 .387 .763 . (2-tailed) N Friend Relative Pearson Correlation Sig.0000 20.988 5 .633 5 -.91548 5.899(*) .387 .7770 2.009 .9053 5. (2-tailed) N Promotion Pearson Correlation Sig.899(*) . Error Mean 8.035 Mean Difference 20.20366 6.520 5 .e.242 .633 5 -.005 .071 .893(*) .0000 20.041 5 5 -.005 .147 df 4 4 4 4 4 Sig. (2-tailed) N Pearson Correlation Sig.146 .695 5 5 Friend .813 .9290 28. Deviation 18.993 5 -.038 5 -.7770 37.00000 20.0710 11.0947 34.893(*) .00000 20.009 .1571 37.133 5 -.763 .21267 Std.00000 Lower -2.095 5 5 .05 level (2-tailed).00000 20.133 5 1 Promotion . (2-tailed) .0000 20.002 .520 5 -.3526 Upper 42.242 . (2-tailed) N * Correlation is significant at the 0. 71% as t test reflects that which means advertisement does impact when we are saying that .45755 2.
So our alternative hypothesis has been proved that it makes impact to the student of Delhi. Hypothesis II Ho : There is no significant association between frequency of advertising and repeat purchase level of customers. .Student customer behaviour influence by the various factor.
Neutral 4.020 .674 .763 . A.486 5 . (2-tailed) N CS Pearson Correlation Sig.416 .166 5 .556 5 5 -. 3.599 . (2-tailed) N Advertisement Pearson Correlation Sig.1.01 level (2-tailed).725 .979(**) .725 .725 5 -. Strongly Agree 2.218 .725 5 1 Offers .974 5 5 1 CS . Quality B.979(**) . Agree. (2-tailed) N 5 . Does advertisement is appealing you most of time to purchase same product or what factor most of time influence you to repurchase the same brand? Please rate this factor on 1.974 5 1 5 ** Correlation is significant at the 0.020 .285 5 -.218 .357 .467 . Disagree 5.427 5 . (2-tailed) N Necessity Pearson Correlation Sig.599 .357 .556 5 -. Correlations .674 .427 5 -.213 5 -.763 .486 5 1 Necessity . Strongly Disagree. Advertisement D.133 5 .467 .004 5 -. Customer service’ C.285 5 .416 .166 5 -.213 5 5 -. Offers Strongly Agree 44 44 20 56 19 Neutra l 6 1 19 18 6 Disagre e 9 10 31 2 19 Strongly Disagree 7 12 20 10 17 Quality Customer service’ Advertisement Necessity Offers Agree 34 33 10 14 39 Correlations Quality Quality Pearson Correlation Sig. (2-tailed) N Offers Pearson Correlation Sig. Necessity E.004 5 1 Advertisement -.133 5 .
0000 20.0000 20.44983 8.30 249 t .725 5 -.725 .33167 9.166 5 .974 5 1 5 5 ** Correlation is significant at the 0.486 5 1 5 -.599 .218 -.0000 N 5 5 5 5 5 5 5 Std.000 Mean Pai r1 Pai r2 Quality Advertisement CS Advertisement .58 339 27.004 5 1 5 -.0000 5 Paired Samples Correlations N Pair 1 Pair 2 Pair 3 Pair 4 Quality & Advertisement CS & Advertisement Advertisement & Necessity Advertisement & Offers 5 5 5 5 Correlation -.674 .9886 3 Std.004 5 -.357 .93095 3.44983 20.020 .416 .81853 7.73415 7.2148 6 21.599 .33167 3.33167 7. Paired Samples Statistics Std.285 1 CS .357 .427 5 -.0000 20.213 5 -.30 249 Upper 27.725 .0000 20.218 .833 62 . 00000 Std.213 5 Advertisement -.Quality Quality Pearson Correlation Sig. (2tailed) 1. (2-tailed) N Necessity Pearson Correlation Sig.133 5 .0000 20.674 .44983 17.000 .96869 3.979(**) .133 5 .486 .725 5 1 5 -.285 5 .427 .357 Sig.000 df 4 4 Sig.44983 7.416 -. (2-tailed) N Advertisement Pearson Correlation Sig.763 . . 00000 .974 5 Offers .218 .725 .556 Paired Samples Test Paired Differences 95% Confidence Interval of the Difference Lower 27.020 .97618 7.66060 Pair 1 Pair 2 Pair 3 Pair 4 Quality Advertisement CS Advertisement Advertisement Necessity Advertisement Offers Mean 20.979(**) .58 339 27.0000 20.416 . (2-tailed) N CS Pearson Correlation Sig. Deviatio n 22. (2-tailed) N 5 .934 79 9.556 5 Necessity .467 .763 .166 5 -. Deviation 17.486 5 .01 level (2-tailed).427 5 .467 -. Error Mean 7.33167 3.467 .000 1.18535 18.556 5 -.38083 3. (2-tailed) N Offers Pearson Correlation Sig. Error Mean 9.
7381 5 12.000 00 23. Watching advertisement in a month. A.47 481 17. Strongly Disagree.e.8841 0 10. 3. no significant association between frequency of advertising and repeat purchase level of customers which seams to be true from the t test and regression test which is done by the SPSS ANOVA which suggest there are various other factor which play important role while customer going for the purchasing for example customer service customer service of the product and the quality will represent 97. 00000 2.99 772 .746 As per the null hypothesis concern i. Strongly Agree Neutra Disagre Strongly .61 603 5. Disagree 5. E. No advertisement impact.347 4 4 1.000 . C.9% of the customer happiness and in the ANOVA test of advertisement series will have negative impact it has been prove that no significant association between frequency of advertising and repeat purchase level of customers Ha : There is a significant association between frequency of advertising and repeat purchase level of customers. 2.99 772 29. Strongly Agree 2. Agree. Neutral 4. Watching advertisement every day.Pai r3 Pai r4 Advertisement – Necessity Advertisement Offers . Watching advertisement every weekends D.761 94 29.000 .47 481 13. Does advertisement is appealing you most of time to purchase same product if that product advertisement will repeat continuously please state when you influence most? Please rate this factor on 1. Watching advertisement one time B.
023 .672 .1246 3.270 5.4562 33.066 .804 Month .61577 10. (2tailed) N Everyday Pearson Correlation -.015 Correlations One One Pearson Correlation Sig.004 . Deviation 12.5438 6.54977 7.101 5 -.5914 -2.00000 20.941(*) .96869 6.195 5 5 1 .1246 36.00000 20.00000 Lower 4. Error Mean 5.402 Sig.930(*) .672 Sig.502 5 -. (2tailed) N 1 Everyday -. (2tailed) N .872 4.86826 Weekends Pearson Correlation Month Pearson Correlation .0000 20.502 5 -.0205 10.804 .510 3.017 5 .4086 42.81853 13.909 5 1 .88577 One-Sample Test Test Value = 0 95% Confidence Interval of the Difference One Everyday Weekends Month No t 3.One time Every day Every weekends Month No Adv impact Agree 19 44 39 12 10 13 33 27 14 11 l 6 1 19 18 16 e 39 10 11 28 29 Disagree 23 12 4 28 34 One-Sample Statistics N One Everyday Weekends Month No 5 5 5 5 5 Mean 20.67479 7.40588 4.633 .9795 29.195 5 -.017 5 5 5 .00000 20.071 Sig.941(*) No .693 .40967 17.909 5 .101 5 -. (2tailed) N -.031 . (2-tailed) .0000 Std.214 5 -.0000 20.402 .214 5 5 1 .604 2.0000 20.00000 20.4835 Upper 35.5165 Std.983(**) Mean Difference 20.071 Weekends -.693 .0000 20.11555 3.623 .108 df 4 4 4 4 4 Sig.
So significance level is much higher in the case of Daily advertisement for the student. 1.930(*) . Disagree 5. And form the T-test suggested that it is valid because until or unless organization not fleshing there advertisement regularly Student may changed there brand so if the company doing advertisement once in a month would not required to do that because if they will not do so 98. Do you think in the only advertisement can change you purchasing power decision or other factor also influences that? Please rate this factor on 1. Movie Agree 14 20 47 41 48 37 .01 level (2-tailed).262 5 . Agree. Friends.003 5 * Correlation is significant at the 0. F.No Pearson Correlation . In the case of Alternate hypothesis which suggested that There is a significant association between frequency of advertising and repeat purchase level of customers so it means if the frequency of detriment increase the repurchase will increase.983(**) . 3. ** Correlation is significant at the 0.022 5 1 . Movie Strongly Agree 22 56 31 32 37 38 Neutra l 17 1 2 1 1 2 Disagre e 14 11 11 25 2 11 Strongly Disagree 33 12 9 1 12 12 Advertisement Personal contact.05 level (2-tailed). Family E.252 5 -. Personal contact. (2tailed) N -. Strongly Agree 2. Neutral 4.3% of the customer does not know about that product. Strongly Disagree. Hypothesis III Ho : There is no significant difference in the impact of advertisement on college students and school students. Environment of school or College D.633 Sig. Advertisement B. A. Environment Family Friends.623 . C.
Disagree 5. Emotionally B. 3.Ha : There is a significant difference in the impact of advertisement on college students and school students. 1. • More number of Delhi’s Student consider advertisement as a source of information rather than a source of entertainment. Agree. CHAPTER-5 MAJOR FINDINGS AND DISCUSSIONS • People are more affected by advertisement with moving image. Spreading the product knowledge C. Brand reconnect D. Please rate this factor on 1. Which way of advertisement impacts you and your personal expenses. Strongly Agree 2. Specially in this case where 50 college and 50 school student is contributing to this survey result it is more likely to be students are from Delhi would like more moving image advertisement rather than going for the still or print media advertisement. Strongly Disagree. Neutral 4. Out of 100 student 62% of them are going for the advertisement because of the information that they will . A. Promotionally Strongly Agree 37 35 33 38 Agree 20 29 47 49 Strongly Neutral Disagree Disagree 1 14 28 1 2 1 11 11 11 24 7 1 Emotionally product knowledge Brand reconnect Promotionally It is significant from the study is there is major impact of advertisement on the school and the college student although it may vary from the product and service provided by the company because as per the study college student will go for accessories but the school student go for the play and for the sports thing for example different gaming and cartoon things or health drinks.
This is one of our objective to be reach out also because the frequency of advertisement will increase the brand recall of the students which is admitted by the 52% of the students from Delhi. This has been told by the 74% of the students from the Delhi and from the schools and college going as well.t social advertisement yes 63% of the student changes there buying behavior only because of that. . • Information provided in the advertisement affect very much on the opinion of consumers about the product. Which is the one of objective to reach out because student looking for more trendy and stylish advertisement pattern which is told by the 63% of students from school and college. • Entertaining advertisement does affect the opinion of customer about the product which is one of the objective of the project to find out where as Advertisement affects the customer perception towards the product. • Presence of social issues in advertisements affects very much on the opinion of consumers about the product.get from that for example latest trend and what phone going to be launch in the market etc. • Language used in the advertisement affects a lot on the opinion of consumers about the product. which means 87% of the students are said yes it is impact on there purchasing behavior so it is most important factor for the students to target on. • Presence of any celebrity affects on the opinion of consumers about the product because most of the student are influence by the celebrity 69% of the students are given there views that yes if any celebrity will comes to the ad that will influence there purchasing behavior. In coming months of advertisement there are lot many social issues covered by the organization w.r. Here from this question we got to know if the advertisement is more interesting It would be liked by the students more and more. • The effect of intensity is very powerful on the opinion of consumers about the product.
1964. CHAPTER-6 CONCLUSIONS AND RECOMMENDATIONS CONCLUSION Despite the fact that advertising is an effective tool for the business along with its being an important element of the modern age and a fast growing industry.96 or . subliminal seduction messages and persuading people to buy things they no longer need (Katona. 1986. Pollay. (O’Donohoe. promoting adverse values.0.1995). Advertisement is impacted negatively as per the chi square test tells us that the probability that a standard deviation would be less than or equal to is 0. All the foregoing aspects are apt to . this industry is blamed of spreading unsustainable consumption patterns around the world over and encouraging excessive consumption. fake claims. Pollay and Mittal. Again. Advertising is criticized for its presenting misleading information.44.04.1993).• As per the correlation and chi square test suggested that the Advertisement does not seems to be significant here and there is no significant impact of the advertisement on student because if we asked for the most valuable and the crucial things for the student to make a purchase decision our correlation test suggested that it would be pocket money and the quality of that product which is also correlation by the 93.33% so major factor for the student is not the advertisement but the money that they have. the public image of advertising is still a matter of great concern. This means (by the subtraction rule) that the probability that the standard deviation would be greater is 1 .
2001. They are the outstanding asset for the product and service sellers as they are the trendsetters and early adopters. establish brand loyalties that continue long after the college days. guaranteeing the quality products and an effective means to curtail prices. Russell. They are a large and ever growing segment of the populace. The results of the study also depict that the college students demand lexical changes by the regulatory authorities with the view to controlling the advertising. They have dominating role in opinion making. 1987. The results . At the same time majority of the respondents consider the advertising to be an important tool for the economic growth. Wright. RECOMMENDATION This research study is an endeavor to secure adequate evidence on the consequences of the advertising and their relationship to the general attitude of the college students it. Calfee and Ringold. and ensure a higher standard of living after their graduation (Morton. 2000). They can influence the purchasing decisions of their peers and parents. Pollay and Mittal. The results of the research clearly reveal that most of the respondents feel that the ongoing advertising is unethical because of its deceiving. exaggerating nature for and putting more emphasis on the sex appeals. The results of the study show very significant negative feelings of the respondent about the social consequences of the current advertising. 1982). 1996. 1986). (Wills and Ryans. 1993. The advertising is considered to be the sole source which convinces the people to buy the products that they no more need. promotes materialism and inculcate obscene values in the youth populace of Delhi. They have considerable amount of money at their disposal. That is why. exclusive studies on the students’ attitude towards advertising are being carried out in different parts of the world today. Wolburg and Pokrywczynski. To exploring the college students’ attitudes towards advertising is important for several reasons. cultural values and on the business itself. The students represent a sizeable segment of the society. it is critical of the advertising concerns to follow the public opinion advertising for its for reaching impact on the economy. improvement of standard of living.hinder its effectiveness as well as efficiency as a marketing tool (Beales et al. confuse the people by creating clutter effect. 1981. Therefore..
www. Internet 1. positive.decisionanalyst.com . general attitude of the college students towards the advertising.google.Ratra 6.com 2.Gupta. 2. Branding – Geoffrey Randoll 4. general attitude towards the advertising. Advertising and Sales Promotion Management – S. Advertising Management – concepts and cases Mahendra Mohan. Also.L.com 3.paulbeelen.show an overall.V.books. Marketing Management – Philip Kotler 3. Strategic Brand Management – Kapferer 5. www. The growing ethical. social and regulatory concern of the college students as indicated in the results of the study invites attention of the marketers and the regulatory authorities like to avoid any disruption in the positive. V. Advertising and Salesmanship – P.Saravanavel. the results of the study highlight the technique as to how to assess and evaluate the ethical. REFERENCES Books 1. economic and social consequences of the advertising on the part of the marketers and the regulatory authorities before they launch any campaign. www.
.... Above 40 Occupation: a. From where do you get information about the new product? a. House hold [ [ [ [ [ [ ] ] ] ] ] ] ] ] b.......... Business class [ d...APPENDIX Name: ………………………………. 30 to 40 d... 20 to 30 c... Student c...... Female [ ] a.. Television [ ] .. Below 20 b. Male [ ] b..... Sex: Age: a. Service class [ 1...
Which type of advertisement influences you more? . Magazines d. No a. Entertainment a. Yes b. Yes b. Does intensity of the advertisement affects your opinion about the product? 1. Which form of advertisement do you like more? a.b. Peers (friends/family) [ 1. Yes b. Does an entertaining advertisement influences your opinion about the product? 1. No the product? a. Does information provided in advertisement affects your opinion about the 1. Still image (Magazines / Newspapers) b. No [ [ [ [ ] ] ] ] [ [ [ [ ] ] ] ] [ [ [ [ ] ] ] ] [ [ [ [ ] ] ] ] 1. No the product? a. Do you think advertisement helps in increasing sales of any product? 1. No a. Internet [ [ [ ] ] ] ] [ [ ] ] e. Newspapers c. Does presence of any celebrity in the advertisement affects your opinion about 1. Yes b. Yes b. Moving image (Television / Internet) 1. For you advertisement is a source of a. Does language used in advertisement affects your opinion about the product? 1. Does presence of social issues in the advertisement affects your opinion about 1. No product? a. Yes b. Information b. Yes b. No a.
National advertisement b. Local advertisement [ [ ] ] .a.
Strategic Brand Management Kapferer 5. www.com . 2.com 2.books. Branding Geoffrey Randoll 4.V. Advertising and Sales Promotion Management S.Ratra 6.paulbeelen. V.L.google.REFERENCES Books 1. Advertising and Salesmanship P.Gupta. Internet 1. www. Advertising Management concepts and cases Mahendra Mohan.Saravanavel. Marketing Management Philip Kotler 3. www.decisionanalyst.com 3.
Peers (friends/family) [ 2.. Entertainment a. 30 to 40 d. Student [ [ [ [ [ ] ] ] ] ] ] ] ] b.... Television b.... Which form of advertisement do you like more? a...APPENDIX Name: Sex: Age: a.... Internet [ [ [ [ ] ] ] ] ] e. Service class [ 1. Business class [ c. 20 to 30 c. b. Does an entertaining advertisement influences your opinion about the product? 5.... Yes b. Does information provided in advertisement affects your opinion about the product? a. No [ [ [ [ ] ] ] ] [ [ ] ] 4. House hold [ d... Still image (Magazines / Newspapers) b. Yes b.. Female [ ] a.. From where do you get information about the new product? a.. No [ [ ] ] ... Moving image (Television / Internet) 3... Information b.... Magazines d. For you advertisement is a source of a.... Male [ ] .. Above 40 Occupation: a. Below 20 b. Newspapers c..
No [ [ ] ] 7. Does intensity of the advertisement affects your opinion about the product? a. No [ [ ] ] 10. Does presence of social issues in the advertisement affects your opinion about the product? a. Yes b. No [ [ ] ] 9. Yes b. Yes b. National advertisement b. No [ [ ] ] 8. Which type of advertisement influences you more? a. Do you think advertisement helps in increasing sales of any product? a. Local advertisement [ [ ] ] . Yes b. Yes b. No [ [ ] ] 11.6. Does language used in advertisement affects your opinion about the product? a. Does presence of any celebrity in the advertisement affects your opinion about the product? a.
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