Blackbook 95 AditiJain

A Study On Impact Of Types Of Advertising On Indian Consumers Purchase Decision Specially in
Mumbai
EXECUTIVE SUMMARY
The focus of this research is to understand the impact of celebrity endorsement on the consumers
purchase decision. The research focuses on the Indian consumers who have shown a very
different yet interesting way of recognizing celebrities and stars. In a place like India where stars
and cricketers are idolized and looked up to, marketers can see this opportunity promote their
products and create a wider consumer base. The study uses a quantitative research style to collect
data, using questionnaires as the form of data collection method. This research helps providing
how celebrity endorsement impacts on the Indian consumers purchase decision.
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CHAPTER 1: INTRODUCTION
Advertising is a form of marketing communication used to promote or sell something, usually a

business's product service.
In Latin, ad vertere means "to turn toward". The purpose of advertising may also be to reassure
employees or shareholders that a company is viable or successful. Advertising messages are
usually paid for by sponsors and viewed via various old media; including mass media such
as newspaper, magazines, television advertisement, radio advertisement, outdoor
advertising or direct mail; or new media such as blogs, websites or text messages.
Commercial ads seek to generate increased consumption of their products or services through
"branding," which associates a product name or image with certain qualities in the minds of
consumers. Non-commercial advertisers who spend money to advertise items other than a
consumer product or service include political parties, interest groups, religious organizations and
governmental agencies. Non-profit organizations may use free modes of persuasion, such as
a public service announcement (PSA).
Modern advertising was created with the techniques introduced with tobacco advertising in the
1920s, most significantly with the campaigns of Edward Bernays, considered the founder of
modern, "Madison Avenue" advertising.
1.1 Type of Advertising

Virtually any medium can be used for advertising. Commercial advertising media can
include wall paintings, billboards, street furniture components, printed flyers and rack cards,
radio, cinema and television adverts, web banners, mobile telephone screens, shopping carts,
web popups, skywriting, bus stop benches, human billboards and forehead advertising,
magazines, newspapers, town criers, sides of buses, banners attached to or sides of airplanes
("logojets"), in-flight advertisements on seatback tray tables or overhead storage bins, taxicab
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doors, roof mounts and passenger screens, musical stage shows, subway platforms and trains,
elastic bands on disposable diapers, doors of bathroom stalls, stickers on apples in
supermarkets, shopping cart handles (grabertising), the opening section of streaming audio and
video, posters, and the backs of event tickets and supermarket receipts. Any place an "identified"
sponsor pays to deliver their message through a medium is advertising.[citation needed]
Television advertising / Music in advertising

Television advertising is one of the most expensive types of advertising; networks charge
large amounts for commercial airtime during popular events. The annual Super
Bowl football game in the United States is known as the most prominent advertising
event on television - with an audience of over 108 million and studies showing that 50%
of those only tuned in to see the advertisements. The average cost of a single thirty-
second television spot during this game reached US$4 million & a 60-second spot double
that figure in 2014.[46] Virtual advertisements may be inserted into regular programming
through computer graphics. It is typically inserted into otherwise blank backdrops[47] or
used to replace local billboards that are not relevant to the remote broadcast
audience.[48] More controversially, virtual billboards may be inserted into the
background[49] where none exist in real-life. This technique is especially used in televised
sporting events.[50][51] Virtual product placement is also possible.[52][53]
Infomercials
An infomercial is a long-format television commercial, typically five minutes or longer.
The word "infomercial" is a portmanteau of the words "information" and "commercial".
The main objective in an infomercial is to create an impulse purchase, so that the target
sees the presentation and then immediately buys the product through the advertised toll-
free telephone number or website. Infomercials describe, display, and often demonstrate
products and their features, and commonly have testimonials from customers
and industry professionals.
Radio advertising
Radio advertisements are broadcast as radio waves to the air from a transmitter to an
antenna and a thus to a receiving device. Airtime is purchased from a station or network
in exchange for airing the commercials. While radio has the limitation of being restricted
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to sound, proponents of radio advertising often cite this as an advantage. Radio is an
expanding medium that can be found on air, and also online. According to Arbitron, radio
has approximately 241.6 million weekly listeners, or more than 93 percent of the U.S.
population.[citation needed]
Online advertising
Online advertising is a form of promotion that uses the Internet and World Wide Web for
the expressed purpose of delivering marketing messages to attract customers. Online ads
are delivered by an ad server. Examples of online advertising include contextual ads that
appear on search engine results pages, banner ads, in pay per click text ads, rich
media ads, Social network advertising, online classified advertising, advertising
networks and e-mail marketing, including e-mail spam.[citation needed]
A newer form of
online advertising are Native Ads, they go in a website's news feed and are supposed to
improve user experience by being less intrusive, however some people argue it is
deceptive.[54]
Domain name advertising

Domain name advertising is most commonly done through pay per click search engines,
however, advertisers often lease space directly on domain names that generically describe
their products.[34] When an Internet user visits a website by typing a domain name
directly into their web browser, this is known as "direct navigation", or "type in" web
traffic. Although many Internet users search for ideas and products using search engines
and mobile phones, a large number of users around the world still use the address bar.
They will type a keyword into the address bar such as "geraniums" and add ".com" to the
end of it. Sometimes they will do the same with ".org" or a country-code Top Level
Domain (TLD such as ".co.uk" for the United Kingdom or ".ca" for Canada). When
Internet users type in a generic keyword and add .com or another top-level domain (TLD)
ending, it produces a targeted sales lead.[55] Domain name advertising was originally
developed by Oingo (later known as Applied Semantics), one of Google's early
acquisitions.[56]
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Covert advertising
This is when a product or brand is embedded in entertainment and media. For example, in
a film, the main character can use an item or other of a definite brand, as in the
movie Minority Report, where Tom Cruise's character John Anderton owns a phone with
the Nokia logo clearly written in the top corner, or his watch engraved with
the Bulgari logo. Another example of advertising in film is in I, Robot, where main
character played by Will Smith mentions his Converse shoes several times, calling them
"classics", because the film is set far in the future. I, Robot and Spaceballs also showcase
futuristic cars with the Audi and Mercedes-Benz logos clearly displayed on the front of
the vehicles. Cadillac chose to advertise in the movie The Matrix Reloaded, which as a
result contained many scenes in which Cadillac cars were used. Similarly, product
placement for Omega Watches, Ford, VAIO, BMW andAston Martin cars are featured in
recent James Bond films, most notably Casino Royale. In "Fantastic Four: Rise of the
Silver Surfer", the main transport vehicle shows a large Dodge logo on the front. Blade
Runner includes some of the most obvious product placement; the whole film stops to
show a Coca-Cola billboard.[citation needed]
Press advertising
Press advertising describes advertising in a printed medium such as a newspaper,
magazine, or trade journal. This encompasses everything from media with a very broad
readership base, such as a major national newspaper or magazine, to more narrowly
targeted media such as local newspapers and trade journals on very specialized topics. A
form of press advertising is classified advertising, which allows private individuals or
companies to purchase a small, narrowly targeted ad for a low fee advertising a product
or service. Another form of press advertising is the display ad, which is a larger ad
(which can include art) that typically run in an article section of a newspaper.[citation needed]
Billboard advertising
Billboards are large structures located in public places which display advertisements to
passing pedestrians and motorists. Most often, they are located on main roads with a large
amount of passing motor and pedestrian traffic; however, they can be placed in any
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location with large amounts of viewers, such as on mass transit vehicles and in stations,
in shopping malls or office buildings, and in stadiums.[57]
Mobile billboard advertising

Mobile billboards are generally vehicle mounted billboards or digital screens. These can
be on dedicated vehicles built solely for carrying advertisements along routes preselected
by clients, they can also be specially equipped cargo trucks or, in some cases, large
banners strewn from planes. The billboards are often lighted; some being backlit, and
others employing spotlights. Some billboard displays are static, while others change; for
example, continuously or periodically rotating among a set of advertisements. Mobile
displays are used for various situations in metropolitan areas throughout the world,
including: target advertising, one-day and long-term campaigns, conventions, sporting
events, store openings and similar promotional events, and big advertisements from
smaller companies.[citation needed]
In-store advertising
In-store advertising is any advertisement placed in a retail store. It includes placement of
a product in visible locations in a store, such as at eye level, at the ends of aisles and near
checkout counters (a.k.a. POP – point of purchase display), eye-catching displays
promoting a specific product, and advertisements in such places as shopping carts and in-
store video displays.[citation needed]
Coffee cup advertising
Coffee cup advertising is any advertisement placed upon a coffee cup that is distributed
out of an office, café, or drive-through coffee shop. This form of advertising was first
popularized in Australia, and has begun growing in popularity in the United States, India,
and parts of the Middle East.[citation needed]
Street advertising
This type of advertising first came to prominence in the UK by Street Advertising
Services to create outdoor advertising on street furniture and pavements. Working with
products such as Reverse Graffiti, air dancers and 3D pavement advertising, for getting
brand messages out into public spaces.[citation needed]
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Sheltered outdoor advertising
This type of advertising combines outdoor with indoor advertisement by placing large
mobile, structures (tents) in public places on temporary bases. The large outer advertising
space aims to exert a strong pull on the observer, the product is promoted indoors, where
the creative decor can intensify the impression.[citation needed]
Celebrity branding
This type of advertising focuses upon using celebrity power, fame, money, popularity to
gain recognition for their products and promote specific stores or products. Advertisers
often advertise their products, for example, when celebrities share their favorite products
or wear clothes by specific brands or designers. Celebrities are often involved in
advertising campaigns such as television or print adverts to advertise specific or general
products. The use of celebrities to endorse a brand can have its downsides, however; one
mistake by a celebrity can be detrimental to the public relations of a brand. For example,
following his performance of eight gold medals at the 2008 Olympic Games in Beijing,
China, swimmer Michael Phelps' contract with Kellogg's was terminated, as Kellogg's
did not want to associate with him after he was photographed smoking marijuana.[citation
needed]
Celebrities such as Britney Spears have advertised for multiple products including
Pepsi, Candies from Kohl's, Twister, NASCAR, and Toyota.
Customer-generated advertising
This involves getting customers to generate advertising through blogs, websites, wikis
and forums, for some kind of payment.[citation needed]
Aerial advertising
Using aircraft, balloons or airships to create or display advertising media. Skywriting is a
notable example.
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CHAPTER 2: RESEARCH METHODOLOGY
2.1 RESEARCH PROBLEM
With the rising costs of advertising both in electronic and print media despite reduced number of
exposures and clutters, it is not that easy to see your own matrimonial ad in a newspaper easily.
With the emergence of direct marketing networks led by various companies, there is intense
competition between brands and products and suppliers. There is a strong need for global
advertising strategies thus changing criteria for agency selection. With the fact that the economy
of our country is in a developing stage, customers have shown traits of being tired and confused
with heavy dose of advertising. Ingress of internet is happening slowly but surely.
With customers getting more dynamic, their taste, needs and preference can cause the change as
per current scenario. Advertising is now said to be believed as a tough long term process where
there are limited margins for advertising clients and limited role of advertising in building
brands. Customers now demand for integrated services from Ad companies and also well defined
measurable results.
With rapid product launches and new technology creating need for perpetual customer
information and outdoing competitive models, there is a search for a strong USP for clients.
There has been an observation of lack of self confidence in the Indian Advertising Industry.
With the advertising industry largely depending upon innovation, it is extremely important to
understand and contemplate over the types of advertising. It is necessary to understand which
kind has a larger impact on a particular audience over another, which is the prime motivation and
reason behind my study.
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With innovative and creative ads seeing failure, it is important to understand the other
parameters that make a change in impacting the target audience.
2.2 OBJECTIVES OF STUDY
The study has the following objectives:-
1. To study the developing trend in the advertisement sector in Mumbai, India.
2. To explore the impact of key dimensions of age groups affecting the impact of various
types of advertising.
3. To derive the most favorable form of advertising for each particular age group.
4. To study the changing trends in the advertising industry with the development of the
World Wide Web.
5. To study the relationship between age groups with trends in the internet advertising
industry.
6. To study the relationship between age groups and suitable genres of advertisements.
7. To provide valuable suggestions that can be implemented to market suitable

advertisements in the right manner at the right time.
2.3 SCOPE OF STUDY
The scope of the study is limited to the urban population of Mumbai. Also, the study considers
only those customers that reside in Mumbai, Maharashtra.
The study covers the following types of advertising:
 Print
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 Television
 Outdoor
 Radio
 Mobile
 And Internet.
The class intervals for age groups have been considered as follows:
 0 -15
 15 – 20
 21 – 35
 35 – 50
 51 or above
2.4 STATEMENT OF HYPOTHESIS
A hypothesis is a statement without a proof which is to be proved. There are two types of
hypothesis; null hypothesis and alternative hypothesis. Null hypothesis is denoted by H0 and
alternative hypothesis is denoted by H1.
It may also be defined as supposition or explanation that is provisionally accepted in order to

interpret certain events or phenomenon, and to provide guidance for further investigation. A
hypothesis may be proven correct or wrong, and must be capable of refutation. If it remains
unrefuted by facts, it is said to be verified or corroborated.
ALTERNATIVE HYPOTHESIS: (H1) Responses depend upon age with respect to internet as a
form of advertising.
NULL HYPOTHESIS: (H0) Responses do not depend upon age with respect to internet as a
form of advertising.
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2.5 DATA COLLECTION
The data was moreover collected from primary sources and also from secondary sources.
PRIMARY SOURCE: Questionnaire – 100 people were interviewed.
SECONDARY SOURCE: Internet & Journals
2.6 RESEARCH INSTRUMENT
The major purpose of the study is to learn the consumer trend in getting impacted by the various
kinds of advertising. With the help of a self-structured questionnaire primary data was generated.
Questionnaires were systematically distributed among citizens of Mumbai belonging to various
age groups. Primary data was collected randomly as a convenience sample from various
locations in Mumbai. The survey was conducted via Whatsapp and e-mail.
2.7 SAMPLE SIZE
In order to carry out a research or study it is extremely difficult to generate primary data from a
considerable amount of the population. In the time limitations, the sample size was thought
proper to cover a very small percentage of population in various age groups.
2.8 SAMPLING UNIT
In this study the sampling unit comprises of the complete population as they come across various
forms of advertising amidst their daily routines and schedules. Since everyone gets impacted by
some or the other form of advertising, the sampling unit is equal to the sample size,i.e:100
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2.9 SAMPLING FRAME
In our study we have selected systematic/ restricted sampling frame.
The breakup of our sample size is as follows:

0 - 15 20
15 - 20 20
21 - 35 20
35 – 50 20
51 & Above 20
TOTAL 100
2.10 SAMPLING METHOD
The simple random sampling method has been used.
2.11 STATISTICAL TOOLS USED
Two statistical tools have been used. They are:
1. Chi square method

2. Percentage method
For the purpose of primary analysis, I have used Chi Square test of association in order to
determine whether the service attributes affect the buying behaviour of the respondents. Five
quality dimensions were emphasized upon i.e. Responsiveness, Reliability, Assurance, Empathy
and Tangibles. The main aim was to understand whether these factors affect the customer while
making the purchases and their importance while making the purchase in general.
Formula:
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For secondary analysis, I have used graphs that allow for a better interpretation and display of
the research findings by using the percentage method.
Formula:
X=
number of respondents
______________________________ X 100
Total number of respondents
2.12 LIMITATIONS
The outcome of this research shows a comprehensively integrated framework for us to

understand the vibrant relationships among age groups and suitable forms of advertising.
However, with further efforts these factors can be examined in a bettermanner with additional
samples before generalization can be made.
 The research was conducted in a very limited or specific area namely, Mumbai city,
hence it has lead to reflecting a similar trend in the responses.
 The Sample size is very small (N=100) in order to analyze or observe advertising trends
since there are various minute factors that bring about a difference. In order to capture the
trend in the market a much bigger sample space was required.
 Various apprehensions that are based upon information gathered from the Internet can be
incorrect.
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 Time acted as a major constraint since it was a block from capturing the complete market
scenario.
 Respondent may be biased.
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CHAPTER 3: REVIEW OF LITERATURE
Radio advertising to earn $450 million in India by 2012
Mumbai, March 25 (IANS) With new FM stations mushrooming by the dozen in India, a study
says radio advertising industry will gross Rs.18 billion ($450 million) by 2012 from the present
Rs.6.2 billion ($155 million). Radio advertising was a mere Rs.5 billion industry in 2006, said
the report by the Federation of Indian Chambers of Commerce and Industry of India (Ficci) and
PricewaterhouseCoopers (PWC) released Tuesday.
“Approximately 60 percent of the revenue of the radio advertising industry comes from the
private FM broadcasters and the balance from the state broadcaster All India Radio (AIR),” said
the report released at the Ficci-Frames forum.
“In terms of share of ad pie, it is projected that the Indian radio advertising industry will be able
to increase its share from 3.2 percent in 2007 to 4 percent in the next five years,” the report said.
The annual global forum looks at the business aspects of the entertainment and media industry.
Pitted as one of Asia‟s biggest forums on the entertainment industry, about 2,000 Indian and 500
foreign delegates are here to discuss the growth and sustainability of the sector by addressing the
challenges facing it.
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Forecast: 2012 Global Ad Spend Up 5%; Internet to Become 2nd Largest

Category
December 5, 2011 -- MAGNAGLOBAL, a division of IPG Mediabrands, has released an

updated global advertising forecast, showing media owners' revenue growth for 2011 and 2012
to be slower than previously projected, but still resilient.
The key findings of the report show:
2011 global growth is revised down to +4.7% (downgraded by -0.5%), totaling $427 billion.
 2012 global growth is revised to +5.0% (downgraded by -1.5%), totaling $449 billion.
 Quadrennial events, combined with the scale and dynamism of the BRIC countries
(Brazil, Russia, India, and China) will help sustain global growth despite worsening
economic outlook. They contribute to 45% of the global growth in 2011.
 Internet will become the second biggest media category in 2011, reaching a 20% global
market share in 2012.
 China will become the second largestadvertising market in 2012, outgrowing Japan.
MAGNA's media suppliers advertising revenue projection includes: television (pay and free),
internet (search, display, video, mobile), newspapers, magazines, radio, cinema and out-of-home
(traditional and digital). It excludes direct marketing categories such as direct mail or traditional
"yellow page" directories. It monitors media suppliers' revenues in 63 markets (including all
major markets),representing more than 95% of the world's economy.
2011 Slowdown
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In 2011, media suppliers around the world will see their advertising revenues grow by +4.7% to
total $427 billion (constant USD 2010 basis). That estimate is down slightly (-0.5%) from
MAGNA's +5.2% forecast published in June 2011, due to the softening of some markets in the
second half of the year.
More than ever, emerging economies drove global advertising revenue growth in 2011, posting
an average +15.0% growth during the year. Among these developing economies, Latin America
posted the strongest growth rates, averaging +13.2%, closely followed by Central and Eastern
Europe(+13.0%).
Developed markets, meanwhile, grew at much slower rates, such as +1.6% in Western Europe
and +3.1% in North America, due to a number of factors including: a strong 2010 comparison
(revenues were up +8.2% compared with 2009); macro-economic slow-down and persistent
financial uncertainties; the absence of major sporting events or US elections; and natural
disasters.
Among media categories, television continued to show strength in 2011, despite the absence of
cyclical sporting events or elections in the U.S. broadcasters' advertising revenues grew +4.8% to
$175 billion, in 2011, maintaining TV's leadership with a 41.0% market share globally. Strong
audience levels and audience measurement improvements - such as the integration of time-
shifted DVR viewing into ratings for the first time (e.g. France) - made the medium attractive.
Out of home (OOH) media fared even better. Including cinema, OOH grew +6.4% globally,
driven by the incremental revenues generated through digital billboards (+19.9%), which have
rolled out in various parts of continental Europe and Asia.
Other traditional media categories, however, had a tougher year. Radio grew only +2.2%;
newspapers' revenues were down -2.4% and magazines declined -0.9%. Declining circulation,
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shrinking readership, internet competition and short term media buying patterns (which penalizes
monthly magazines), all contributed to print's decline in developed markets.
Things are different in emerging markets, however, where literacy is still increasing and
broadband access is still relatively low. In those markets, magazines are growing along with the
middle class, and there is enough advertising demand for every media beyond TV to benefit.
Overall, print advertising revenues are up by high single digit percentage points in emerging
markets.
The big winner of 2011, however, was online media. Total internet advertising revenues
increased +16.9% to $78.5 billion. While display subcategories increased +15%, paid search
reaped the benefits of usage growth and algorithm improvements to reclaim its position as the
largest digital revenue driver (+19%). Within Display, online video continues to show impressive
growth (+58.5%), reaching $4.7 billion in revenues.
Overall, coming after a strong 2010 and in a poor macro-economic context, media suppliers
displayed a resilient performance in 2011. But the global market is barely back to where it was in
2007 ($423 billion in constant USD), and still smaller in the case of Western Europe (2007: $112
billion, 2011: $106 billion). This reflects that media costs that are still low from a historical
perspective.
2012 Forecast
For 2012, MAGNA now forecasts media owners' advertising revenues to grow by +5.0% to $449
billion. This is -1.5% below the previous prediction published in June 2011 (+6.5%).
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This downward revision is due to deteriorating macro-economic perspectives. MAGNA's

forecast model is based on current, official economic forecasts that are generally predicting
weaker - but still positive - growth next year. However, the uncertainty remains high, especially
in Europe. In September, the IMF reduced its global output forecast (real GDP growth) from
+4.5% to +4.0%. Although that forecast suggests the world economy would still grow, it's an
awkward average between emerging economies that are growing at healthy rates and developed
economies that are still sputtering (average +1.9%, US: +1.8%).
In late November, OECD revised its own global output forecast to +3.4% (including +1.6% for
OECD countries and only +0.2% for the Euro area) warning that Q4 2011 and Q1 2012 could tip
negative in most European countries, in line with Q3 2011 slowdown. Greece, Italy and Portugal,
in particular, are now expected to suffer full-year recessions in 2012. Other economic indicators
(industrial production, personal consumption and business confidence) have been similarly
downgraded in recent months and some independent forecasters have expressed increasingly
gloomier views.
Despite the worsening economic outlook, MAGNA is still projecting a positive growth rate
based on a few factors:
 First, the "quadrennial" cyclical driver is back, and MAGNA believes it will be stronger
than ever. The incremental ad spend generated by major sporting events (London
Summer Olympics, Poland/Ukraine European Soccer Championship) and the U.S.
Presidential Elections will bring an additional +1% to +2% on top of organic revenue
growth across markets. In the U.S., political and Olympic (P&O) money will account for
three billion dollars of incremental ad spend, mostly on television ($2.4 billion related to
the elections, $600 million generated by Olympic broadcasts). Meanwhile, major sporting
events will help in European markets that are otherwise hit by economic stagnation, such
as the UK (which is hosting the Olympics, although the games are broadcast on the ad-
free BCC) and Italy (where the games and football tournament will mostly be broadcast
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by RAI, one of the few European public television groups still allowed to carry a full, all-
day advertising load).
 Second, big emerging countries will increase their share of global economic and
advertising influence. At the end of 2012, emerging markets will represent 24% of global
advertising revenues (compared with 7% in 1999) and the four BRIC countries alone will
account for 14% (compared with 3% in 1999). Adding scale to dynamism, the BRIC
markets have the capacity to offset part or all of the Western weakness. The four BRIC
markets equated to only 10% of Western Europe's advertising revenues in 1999. That
ratio will grow to 59% by the end of 2012, and by 2016 the BRIC countries will almost
match the size of Western Europe (94%). The BRIC countries contributed to 45% of the
global market growth in 2011 ($9 billion out of $19 billion). With a growing proportion
of the BRIC countries' population adopting Western-style media consumption patterns,
and with Western and local brands competing for top-of-mind among the emerging
middle class, media demand is in excess of supply and inflation reigns. BRIC countries
lag behind the global average advertising spend per capita ($80) - Russia: $70, Brazil:
$60; China: $21, and India: $4. With such structural factors, we expect advertising
spending and revenues in those markets to keep growing faster than the general economy,
supporting global revenues in their wake.
 Thirdly, some lessons learned in 2009 may help avoid a replay. Some major advertisers,
eg in fast moving consumer goods (FMCG), have since admitted that they may have
over-reacted back then by cutting advertising expenditures too hard and too
quickly, harming their brands. We believe that this time, even if sales forecasts are
being revised downwards, marketers will remember that market shares are subject
to losses or gains, including - and perhaps even more so - during a recession, as

consumers reconsider their choices. In addition, the Western advertising market is still
smaller than five years ago, which means prices and net costs per thousand - despite some
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inflation in 2010-2011 - are still competitive and attractive by long term standards.
Therefore, brands in various sectors have both the incentive and capacity to invest
smartly to boost or defend their market shares.
In 2012, advertising revenues will grow by +12.4% in emerging economies, with Latin America still
leading the charge (+13.0%) followed by Central and Eastern Europe (slowing down at +7.7%). Asia
Pacific will re-accelerate to +8.3% due to the recovery of Japan and the continued growth of China.
Western Europe will slow down at +1.1%. The sports driver will not be enough to offset recession in
many European countries: Greece, Portugal, Spain, Ireland will decrease again (between -2% and -6%);
Italy and France will be flat at best. UK and Germany will grow below +2%.
The biggest growth rates of 2012 will come from Argentina (+26.4%), Ukraine (+21.0%),
Indonesia (+16.0%), China (+16.1%), Brazil (+12.0%), India (+13.5%) and Russia (+9.6%).
China's advertising market is expected to continue outperforming its already impressive

economic growth in 2012, with a +16.1% growth. At $33.3 billion, China will become the
second biggest advertising market, ahead of Japan, now third at $32.1 billion. Germany
remains the fourth biggest market, some distance behind ($25 billion). Other top 10
markets are - in order - UK, France, Brazil, Canada, Australia and Italy.
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Outdoor Advertising In India Has Undergone A Massive Change Over The
Years!
Outdoor advertising (also known as OOH advertising) is one of the widely used mediums of
brand promotion. The OOH trend of brand promotion has been continuously hitting the attention
of innumerable number of brand owners. From shopping mall to airports and from metro stations
to moving vehicles, promoting brand through outdoor media is quite in vogue at present. The
oldest modus operandi yet the most effective means of brand promotion till date, outdoor or
OOH advertising still tops the chart of advertising options available to brand owners and
advertisers.
It‟s a well known fact for brand owners, advertisers and marketing professionals that Outdoor
Advertising in India has been advanced over the years in terms of its avenues, tools &
techniques. Who would believe that the conventional modes of brand promotion adopted in
Outdoor Advertising are currently replaced by technologically updated brand new tools &
devices? But it‟s true sans any if that OOH Advertising sets the tone of modern brand
promotion in the country as a whole. In this blog, let us particularly discuss about how OOH Ads
have been widely used at various avenues as an effective mode of brand advertising from the
perspective of the capital city of India.
The advent of metro rails in the capital opened a pool of opportunities for advertisers to occupy
various ad spaces in the metro rails and stations. Ever since, Delhi metro advertising sets the
trend as one of the latest discovered avenues of brand advertising for a wide range of brand
owners, a wide range of advertisers who want to popularise their brands to the metropolitan
citizens adopted this advertising mode. Next to metro advertising, Delhi mall advertising is
second to none to score its position amongst the top mediums of brand promotion through OOH
media. Targeting those customers who visit the shopping malls for various purposes, DLF Mall
Advertising is currently in vogue as one of the top means of outdoor brand promotion.
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The growing economy of the country, the induction of high-end technology (in advertising
sector), the changing lifestyle of customers etcmark the trend of aggressive brand promotion in
India. Brand owners and advertiser involve in frantic efforts to popularize their brands through
updated and up to-date methods and tools of advertising. The various tools of advertising also
observe tremendous change in terms of style, technique or even device. Gone are those days
when an ordinary billboard was used as a means to display OOH ads. It‟s a digital world with
digitalized technologies. What‟s more! The entry of mobile and internet advertising further
provides the digitalized presence of brands which make them easily accessible to customers.
Last but not the least; one can‟t just forget to mention the popularity of airport advertising
which sets the tone of modern brand advertising through OOH media. Considered as the most
premium mode of OOH brand promotion, airport advertising is widely adopted by a wide range
of brand owners. Considering all the massive advancements in every avenue of brand promotion,
Outdoor advertising for sure has advanced over the years not just in one city of India but also in
each and every nook & corner of the country.
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India Leads Ad spending in Asia Pacific!
According to latest Nielsen report, India and Taiwan are seeing highest growth in Ad spending
across Asia Pacific Region. India registered 19 percent growth compared to 3rd quarter of 2009
as compared to average Asia Pacific growth of 9 percent.
Asia Pacific Ad spend Growth
Here are some of the other highlight of the Nielsen Report:
 Ad spending in main media* across the region lifted to US$37.1 billion, an increase of
9% on Q3 2009.
 Growth in advertising activity across all 12 markets for the second consecutive quarter.
 Double digit % increases across 8 markets including strong performances by four of the
top 5 markets –Indonesia and Indonesia (both +32%), Hong Kong (+24%) and Australia.
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Combined Growth over last 24 Months
Television, Newspapers & Magazines Across 12 Asia Pacific Markets
Q3 2010
% Change with Q3 ‘09
($US 000’s)
China 25,153,783 7%
Indonesia 2,263,231 15%
Hong Kong 2,193,995 16%
India 1,880,451 19%
Australia 1,706,048 13%
South Korea 1,027,006 3%
Philippines 907,100 12%
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Television, Newspapers & Magazines Across 12 Asia Pacific Markets
Q3 2010
% Change with Q3 ‘09
($US 000’s)
Thailand 619,296 12%
Malaysia 517,601 10%
New Zealand 381,006 6%
Singapore 301,154 6%
Taiwan 171,439 19%
Total for Q3 2010 37,122,111 9%
Source: The Nielsen Company.
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CHAPTER 4 : NEWSPAPER ADVERTISING VS. ONLINE

ADVERTISING IN INDIA
”At the start of the 21st century, people who sell newspaper
advertising in India were a scared lot.”
At the start of the 21st century, people who sellnewspaper advertising in India were a scared lot.
And they had a good reason to be scared: because ominous predictions were coming in, to the
effect that online advertising would soon come and render them jobless. Trends in the United
States and Europe, where the Internet revolution had taken place earlier, gave further evidence to
this, as newspapers – which for long depended on advertising revenue - were increasingly being
pushed out of business. And seeing the enthusiasm with which the Indian population was taking
to the Internet, few people doubted that it would be just a matter of time before Indian
newspapers suffered the same fate.
The situation, ten years down the line
The first decade of the 21st decade is now coming to a close. And while newspaper advertising
in India did indeed seem to suffer for some years, it seems to only have recovered, but actually
gone into a boom. And this begs the question as to why it is still the case, especially seeing that
advertising-funded newspapers in the west have all but disappeared (so that all we have
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remaining today are newspapers that make their money by directly selling content). So, what
explains Indian newspapers‟ survival and even prosperity? That is what we venture to find out.
The rural Indian factor
As it turns out, and contrary to the picture of India many outsiders romantically hold, this is not
one monolithic country. The truth of the matter is that this is a very diverse country. Yes, there is
the New Delhi India, the Bangalore India – the India that is highly developed technologically,
and where most people tap their news electronically. But there is also another India which is yet
to see these developments. There are still people, especially in the rural areas, who are still doing
business the way they always did; people who are yet to feel the impact of the Internet
revolution. These are the people who are still feeding newspaper advertising in the country. They
still advertise in the newspaper; the way they still did. Their intended (advertising) audience still
reads the papers, the way it has always done. Nothing, for them, has really changed.
The Indian buying model
It also helps newspaper advertising in India that usage of plastic/virtual money is still to catch on
full in most of the country, all other technological advancements notwithstanding. One reason as
to why online advertising has hit western newspapers hard is that, in those countries, the
possibility of seeing an advert, clicking on it to go into the advertising store‟s website, and
actually making a purchase is very real. In India, many people still want to make their purchases
in person, so that not many online advertisements actually „convert.‟ The best an online
advertiser targeting an Indian audience can really hope for is to create publicity through them,
but expecting direct conversions may not be realistic. Yet the greatest attraction to online
advertising in the west, which has seen it literally kill newspaper advertising, is the fact that
online advertising, in those countries, often leads to direct conversions – where the chain of
events between the sighting of the advert and the subsequent making of a purchase can be clearly
followed.
The cost of newspaper advertising in India
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It has also helped Indian newspapers that, seeing the threat they were facing, many opted to
lower their advertising fees, to put them within the reach of smaller businesses. Nowadays, you
check around and find that for as little as 200 rupees, you can put up a classified ad in the bigger
dailies. A 50,000 rupee budget gets you a decent advertisement spot in a major India paper.
These are endearing figures to small businesses looking to make a fortune for themselves. And
under this new order, even if the bigger businesses go online with their advertising revenue,
Indian newspapers know that they have their new darlings, the smaller businesses (drawn by
more attractive rates), to fall back on.
Current Scenario of Advertising in India
Advertising through outdoor media or in other words presenting any brand or business message
through an out of home channel has become one of the common practices amongst brand and
business owners. A big leap has been seen in the outdoor advertising in India and its various
avenues. Outdoor Advertising in Delhi, Mumbai, Bangalore, Ahmedabad etc. are growing at a
fast pace. Delhi is one of the major hubs of advertising in India. Delhi Advertising avenues such
as Billboard Advertising, Airport Advertising, Mall Advertising, and Metro Advertising- all
these provide promotion solutions for various local, national and international brands. In the
following paragraphs, let us have a brief look at the current scenario of outdoor advertising in
India.
More Brands are adopting OOH media.
Of late, it has been observed that more brand owners have adopted outdoor advertising means to
promote and position their brands in the market. OOH domain is growing fast at various avenues
such as airports, metro stations, shopping malls, outdoors etc. The rising number of brands in the
market, the increase in spending capacity of customers, the mushrooming market- are three main
factors that have so far provided a boom in OOH sector in India.
Rich means, affluent techniques of brand promotion.
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Another much observed feature about outdoor advertising practices in India is the
implementation of rich tools and techniques to promote brands. Contemporary outdoor
campaigns are also enriched by the introduction of digitalized media. Conventional OOH
practices such as ordinary billboard advertising campaigns, wall paintings or poster ads are
replaced by digitalized billboards and hoardings. Providing rich interactivity between customers
and brands, modern OOH campaigns speak volume about the advertised brands all through rich
and influential channels of brand communication.
Seamless brand communication.
Today seamless brand communication is possible to OOH media. Advertisers can keep talking
with target customers relentlessly through the various OOH channels. Be it at cinema theatres,
shopping malls, eating outlets, entertainment houses and highways or simply at the community
gate, outdoor advertising practices ensure that customers‟ are continuously encouraged to try out
their products by providing repeated and seamless brand messages.
Outdoor advertising industry is yet to undergo many remarkable changes in the near future. And
it is also expected that its importance is going to rise further. For established as well as emerging
brands, outdoor media is the right means of communicating their ad messages to customers.
Evaluating the manifold utilities, every brand owner should adopt OOH techniques and tools of
promoting their brands in the market. Be it a billboard ad or a kiosk ad, any OOH ad display
influences the passing attention of those customers who are on the go.
Two Latest Avenues of OOH Advertising in India
It is a brand conscious world today. Advertising provides a huge impact in the brand marketing
activities. Various channels of advertising provide brand information to customers through rich
and customized advertising mediums. With a boom in technological sector, outdoor advertising
India has set various milestones in out of home brand promotion modes. Assuring more name
and fame of advertised brand, OOH Advertising is quite an effective mode of brand promotion.
In this article, let us have a look at two latest avenues of out of home advertising.
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Outdoor advertising practices are expanded to many more avenues at present. OOH ads are not
restricted to conventional modes such as billboard advertising, poster advertising, hoardings,
lamp posts etc. Billboard advertising is still in vogue but most of the billboard ads are now
digitalised. Kudos to various technological innovations which have brought about innovative and
dramatic changes in various OOH Advertising practices. In the following paragraphs, find out
the two latest avenues of outdoor advertising in India.
Best Medium of Brand Advertising
Advertising is an activity of brand promotion which aims at enhancing sales of the advertised
product or brand. Though advertising cannot guarantee sales of the particular product, an ad
campaign helps a great deal in generating awareness amongst the target groups and in providing
valuable brand information to customers. There are various mediums of brand advertising. It
depends upon the promotion requirements of the brand or the choice of the brand owner to adopt
a relevant medium of advertising his brand. Some commonly adopted mediums of brand
advertising are listed below. Take a look-
Airport Advertising
Brand promotion at airport areas is one of the in demand avenues of OOH Advertising in India.
Airport Advertising is considered posh as well as superior mode of providing brand message to
the target groups. Airport Advertisings currently rated amongst the top revenue drawing
practices of OOH Advertising in India. The launches of various airports further open pools of
opportunities for various airport advertisers.
Why Airport Advertising?
- Airport ads provide a posh look to audiences and are considered as a premium mode of brand
promotion
- Airport ads provide a larger than life impact on customers
- Airport ads target people who have spending capacities
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- Most of the posh brands use airport media for promotion
Mall Advertising India
Mall Advertising is one of the emerging modes of OOH brand promotion. With a big leap in
outdoor advertising activities, mall ads have also become quite popular in India. Mall
Advertising India is currently one of the „in demand‟ modes of outdoor advertising widely
adopted by a various OOH advertisers and brand owners. The rising tide of mall culture in India
has brought about sweeping changes in OOH Advertising practices in the country. Most of the
OOH advertisers have expanded their brand advertising expertise at malls or shopping outlets.
Why Mall advertising?
- Shopping malls are emerging day by day offering more and more advertising spaces at the
various malls
-Mall advertising entertains and at the same time informs customers about valuable brand
information
- Mall ads redefine the shopping, recreational and leisure activities of customers
In brand advertising, what is important is to devise the right strategies of promotion and deploy
the brand message through an effective media channel. No brand advertising media is superior or
inferior from other mediums. It is just the requirement of the promotion campaign for which
brand advertisers adopt various mediums of advertising. To cite an example, outdoor advertising
is not an effective medium to launch service ads. Hence, most of the OOH advertisers do not pay
much heeds to launch service ads through OOH media. The promotion requirements of various
brands vary from one another. Advertisers select and launch their promotion campaign through a
particular medium or mediums after massive survey or market research.
Arrival of Online Advertising India? Wake Up Call for Indian Advertisers
If you are still deciding whether online advertising is good for your business or is it just wastage
of resources without much success, then this article is surely for you.Online advertising India is
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not just huge but also a promising sector where you can invest. With the right media plan, you
can surely reap great benefits from it too. With more and more percentage of population in India
going internet savvy, the chances of catching your target customers online, increases by a huge
margin.
But before we get on with that, first let us clear the doubts regarding online advertising in India
and ad network. What is online advertising? Online advertising is basically placing your
advertisements on the different web sites and portals that are thriving in the virtual world.
Advertisers usually place their ads on sites which are relevant to their products or services or
sites that has their target customers visiting frequently.
What are ad networks? Ad networks basically exist to bring together the advertisers and the
publishers on realistic platform where they get into a relationship that are mutually beneficial to
all the parties. While the advertisers get their products or services promoted and make
themselves available to their target customers, the publishers monetize their web traffic by
getting a commission, each time a click or impression happens.
What are the benefits of online advertising India when there are other media like television and
print available in the country? If you have noticed the trend over the recent few years since the
arrival of online advertising in India, the various forms of online media are slowly taking an
increasing percentage of the total ad spends. According to some of the experts in this field,
Indian ad network would soon take a good 15-20% of the total advertising spends in India.
The reasons are simple. More people in the country are getting in touch with internet and are
increasingly using this medium for different reasons. From professional reasons to personal,
from communication to entertainment, Indians are utilizing all that internet has to offer and
spend considerable time in the week as online. With people from not just the metro cities, but
also from the rural sectors, using internet, soon it would not remain a feasible idea for Indian
advertisers to avoid online advertising India.
Role of Radio - Tool For Advertising & Communications, India
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Gone are the days when the Indian Radio Industry was limited to the state broadcaster - All India
Radio. Today, Radio has truly matured as a medium of communication and is growing in every
way possible. Improvements in technology, competition and an increased reach of the Radio are
all factors responsible for the growth of the Radio Industry.
Factors Contributing To The Growth of The Radio Industry in India
There is a rise in the number of people who own cars in India. Car music systems are making it
easy to listen to the radio even while on the go. What's more, while traveling in a blue line bus in
Delhi, you care exposed to the radio.
Add to this those perky and likeable Radio Jockeys (RJs) who add to the whole listening
experience and strike a chords with the radio listener - youngsters, working professionals, house
wives etc.
Some of the popular FM radio stations include - Radio City 91.1 FM, Radio Mirchi 98.3 FM,
Red FM 93.5, Big 92.7 FM, Fever 104 FM.
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CHAPTER 5 : EFFECT OF ADVERTISING ON OUR MEMORY
New research could help advertisers make a better impression.
 A new study suggests that marketers shouldn't fixate on the number of people who click
on ads. According to the research, just seeing an ad on a Web page can impact memory.
The findings could have a significant impact on the way online advertising is made and
metered.
 Typically, to be considered effective, an online advertisement has to elicit a response--
usually a click of the mouse--from a potential customer. But Chan Yun Yoo, an assistant
professor at the University of Kentucky's School of Journalism and Telecommunications,
found that when people view Web advertisements, they store information in two different
types of memory: explicit and implicit.
 Explicit memory involves facts learned through conscious interaction, while implicit
memory involves unconscious retention. Explicitly remembered information includes ad
slogans, product benefits, and website addresses. In contrast, implicit memory might only
come into play when external stimuli trigger concepts. For instance, a consumer might
only recall a brand of toothpaste from a television ad when he or she discovers it while
browsing in a store. Or the consumer might develop an unconscious affinity for a certain
brand despite not knowing specific facts about it.
 Subjects who paid attention to a banner advertisement were more likely than those who
didn't to recall whole words and facts from the ad--facts stored in explicit memory. All
ads had the same level of impact in the unconscious explicit memory, however, whether
or not they'd been clicked. Yoo's findings are relevant because they challenge the
assumption that online advertising is only effective when it gets a direct response from
the viewer. His study was published in the spring 2007 edition of Journalism and Mass
Communication Quarterly.
 Donna Hoffman, codirector of the Sloan Center for Internet Retailing at the University of
California, Riverside, says that Yoo's research applies traditional ideas about media
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impact to the Internet. In other mediums, such as television, advertisers do not typically
assume that audience members will interact with the ad. Hoffman says the notion that
banner ads may have some impact on perception begs the question, "What are the most
effective ways to advertise in the new medium?"
Strong Signals: India's FM Radio Stations Brace

for New Competition
When Mumbai residents tune into one of their local FM radio

stations, it is understood that the jockey is not going to use his
air time to tax them with discussions about the global economic
downturn, terrorism or any other weighty matter of the day. Instead, his challenge to listeners is
to find the answers to riddles like, "I have eyes, but cannot see; a tongue, but I don't speak. What
am I?" (A shoe, in case you were wondering.)
For many private FM station owners, such light-hearted programming is no laughing matter.
Even if they wanted to air current affairs programming, regulations prohibit them from doing so.
Broadcasting news, weather bulletins and live sports are all also off limits to these stations. In
addition, they can forget about owning multiple licenses in a single city, and one license can only
cover a single type of programming -- say, contemporary rather than classical music. None of
those regulations, however, apply to state-owned and operated All India Radio (AIR), which was
established in 1936 and is one of the biggest radio networks in the world with more than 230
broadcasting centers across the country.
FM radio businesses were granted their first licenses in 2001, but ongoing regulatory restrictions
are not their only source of concern: The current economic downturn has also taken its toll.
Radio in India -- like TV, print and online media -- has had to work harder than ever to hang on
to advertising revenues as corporate clients slash marketing budgets in the wake of the global
recession. According to the latest annual analysis of India's entertainment and media sector from
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PricewaterhouseCoopers (PwC), radio's advertising revenues (public and private) in 2008
reached US$170 million, which was higher than the previous year but lower than industry
analysts' expectations.
The good news is that relatively speaking, India's private FM players will emerge from the
current downturn relatively unscathed. "Radio is one of the best options available to advertisers
in times of slowdown, given its cost effectiveness, high reach and the ability to get completely
local when communicating with potential consumers," says TarunKatial, chief operating officer
of BIG 92.7 FM, part of the Anil DhirubhaiAmbani Group (ADAG) that has 45 stations across
India.
PwC predicts that India's radio ad revenues will more than double to US$390 million between
now and 2013, increasing at an 18% compounded annual growth rate (CAGR). In contrast, it
expects the overall entertainment and media sector in India to deliver a 10.7% CAGR on average
over the next five years, compared with a global average of 2.7% over the same period.
Even so, radio broadcasters can't rest easy. As the government prepares to issue a new set of
licenses, FM radio bosses are bracing themselves for competition to become fiercer than ever.
According to PwC, as many as 600 new licenses could be issued under the next development
phase, compared with 245 in the previous one. There are hopes that current regulations
restricting the expansion of the incumbents will be relaxed, but the new license auctions -- whose
timetable has yet to be confirmed -- will undoubtedly encourage new investors to crowd into the
market. How well the incumbent broadcasters prepare themselves today for the next wave of
competition will have a big bearing on the industry's future viability.
Early Days
The early days of private radio in India were something of a free-for-all. Though AIR began
operating in 1936 and the first FM service in India started in 1977, private participation wasn't
allowed until 1993 when the government experimented with a daily, two-hour slot on the FM
channels in Delhi and Mumbai. The slots went "phenomenally well", recalls an industry veteran
involved with the Mumbai slot, and the future of private FM radio looked vibrant -- as another
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outlet to attract radio advertisers and offer listeners a wider choice of programming than the AIR
monopoly was providing. But then the government swiftly pulled the plug on it in 1999.
Hope was resurrected two years later when the first phase of India's radio development began
and the government conducted open auctions for a few dozen licenses. But with virtually no
limits or penalties on speculative bidding, there was nothing to stop every aspiring media mogul
from throwing his hat into the ring. With bids often reaching unrealistic levels, many winning
bidders ended up paying hugely inflated fees. Of the 108 licenses issued, only 22 became
operational in 12 cities. "Nobody made any money," recalls ApurvaPurohit, president of the
Association of Radio Operators of India (AROI) and CEO of Radio City, one of the country's
first private FM stations.
The second development phase in 2005, however, was more promising, with 338 slots up for
auction. New policies, meanwhile, scrapped the first phase's annual escalating license fee of 15%
-- which was bleeding the earlier operators dry -- and replaced it with a one-time entry fee in
addition to a 4% revenue-sharing agreement. Foreign investors, who were previously barred,
were allowed a maximum 20% equity stake in private radio companies. The result: 245
frequencies were taken up and the government earned US$295 million in one-time entry fees.
In a less costly environment, the incumbents became cash-positive and their margins of 20% and
higher encouraged new, big players such as ADAG (45 licenses for more than US$25 million)
and HT Media (four licenses for US$17 million, under the "Fever" banner) to enter the arena.
That said, many stations have been loss-makers, struggling to break even. Today, there are 240
radio stations in 90 cities.
Surfing the Waves
But hurdles remain. For one thing, radio's share of the overall advertising pie is miniscule,
expected to remain at less than 5%, according to PwC. One key way to increase the share of that
pie has been for stations to specialize and differentiate themselves from each other in order to
target specific groups of audiences, and hence advertisers.That, however, is easier said than
done.
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Because current regulations prevent private broadcasters from owning more than one frequency,
broadcasters have turned their stations into purveyors of all things to all listeners. To do that,
many stations broadcast a variety of content throughout the day, attracting as broad a swath of
listeners as possible. The result: "They all sound similar," explains Rahul Gupta, director of
Radio Mantra, which has eight stations in northern India's Hindi-speaking region.
"When everybody sounds the same, it is not easy to find parameters of differentiation," adds
Abraham Koshy, a professor of marketing at the Indian Institute of Management (IIM) in
Ahmedabad, who has been a strategy and brand adviser to a radio channel in southern India.
"But there can be subtle differentiators: the type of music, when it is played, what the radio
jockey says and so on."
Radio City, for instance, is targeting -- in CEO Purohit's words -- a "slightly more premium,"
older audience than other stations. In contrast, Red FM, one of the largest operators in Delhi and
Mumbai, is chasing a younger, edgier audience. For its part, BIG FM has homed in on running
local-language programs on topics with local color -- in Bangalore, in fact, it was the first station
to go "100% Kannada" (the language of the state of Karnataka).
The big downside for channels that don't find ways to differentiate themselves is that it's hard to
win customer loyalty. As K. Raman, head of the telecom, media and technology practice at
management consultancy Tata Strategic Management Group (TSMG), notes, "Listeners will
move en masse at the end of a time slot to another station offering content of their interest and
another set of listeners will tune in." This means radio stations face an uphill task when it comes
to building a sustainable, consistent listener base -- a prerequisite for advertisers aiming to reach
their target markets.
Beyond programming, one way that stations hope to increase audience loyalty is by embracing
corporate social responsibility. For example, Red FM launched an AIDS awareness campaign in
2007, providing truckers with information leaflets and condoms. More recently, Radio City
launched a "Carpool on Radio" initiative in July this year in Delhi and Mumbai, which connects
commuters from the same parts of the city so that they can share rides to work. Similarly, Radio
Mirchi joined forces in July with telecom operator Aircel to offer a free taxi service to stranded
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commuters during the monsoon season in Mumbai. Though no credible market research is able
to show whether such activities are indeed increasing audience numbers, they certainly don't hurt
in terms of brand recall and developing a "feel-good factor" that listeners will associate with a
station.
But developing audience loyalty is one thing; developing advertiser loyalty is another. To help
with the latter, some stations began changing the way they manage their relationships with
advertisers a few years ago and set up in-house departments to oversee and customize clients'
radio campaigns. "Larger agencies don't have the time to plan and execute [radio campaigns] on
such a micro-level," says Abraham Thomas, chief operating officer of Red FM. "We need the
advertisements, so we do whatever is required to get them."
Typically, the in-house creative units will be responsible for an entire campaign, from creating
the actual commercial to providing campaign monitoring and other follow-up services. Indeed,
an in-house unit's ability to manage a campaign often means going well beyond the 30-second
slot that would be allotted for an ad. For instance, Radio City promoted a Mumbai company's
women-only vacation packages by sending one of its jockeys on one of the trips and then
broadcasting her travelogue on its weekly travel program. Similarly, another jockey at the station
provided hair-care advice as part of a promotion being run by a hair oil advertiser. "Such value-
added services help create a connection between the people who advertise and the audience,"
explains Koshy of the IIM.
Along with Internet activities such as website bundling and marketing, radio stations are also
offering advertisers peripheral activities and promotions -- both on and off the air. One of the
most well-known examples was when Red FM partnered with the Mumbai Indians team during
the Indian Premier League cricket tournament in 2008, changing its name for one day to Blue
FM to match the team's colors.
But to grow further, FM broadcasters can't stop there. While regulations might prevent them
from pursuing some avenues of growth, they're learning to push the boundaries of their business
in different ways. This is where sales alliances between stations come in. A case in point is
Radio Misty, which operates in the eastern cities of Siliguri and Gangtok and has a sales alliance
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with Radio One, which broadcasts in seven cities. Radio Mirchi has alliances with Radio Chaska
in Gwalior, Radio Gupshup in Guwahati and Radio Mantra's eight stations. Through these
alliances, stations have begun cross-selling and offering advertisers larger packages to reach
bigger audiences than they could if the stations worked alone. Alliances are also a relatively risk-
free opportunity for stations to get to know new markets where they might one day be able to
expand.
Some broadcasters have now even begun to set their sights higher, looking outside India for
expansion opportunities. In fact, the sector's first out-bound investment took place in 2008 when
Bennett Coleman & Company Ltd. (BCCL) acquired Virgin Radio Holdings from UK-based
SMG Plc for US$106 million, rebranding it as Absolute Radio. Meanwhile, ADAG's BIG FM
has gone offshore to join forces with Singapore's state-owned Media Corp. Radio to launch Big
Bollywood 96.3 FM, broadcasting Bollywood music and gossip to the island nation for three
hours every evening.
India's Royalty
But it's not only the upcoming round of license auctions that is causing a stir among India's FM
broadcasters. Many are hoping that before the auctions go ahead, a messy, bitter dispute over
music royalties will be resolved. The dispute -- over how much radio stations should pay music
companies for playing their songs -- has pitted the Indian Performing Rights Society (IPRS),
which represents musicians, against the Phonographic Performance Ltd. (PPL), which represents
music publishers. The commercial FM stations, via the AROI, pay royalties to both. Now all
eyes are on the country's Copyright Board to settle the dispute about whether the royalties are
fair and who should be paying whom. It will resume hearings in late August and a judgment is
expected by the end of the year.
Under an agreement from 2002, radio stations currently pay US$13.80 per needle hour (playing
the music for 60 minutes), costing 24-hour stations about US$120,000 a year in royalty fees --
regardless of the listener base, the size of the operator or even how old the songs are that they
play -- and potentially the equivalent of as much as 70% of a small station's revenue, according
to the AROI. The PPL wants to increase the rate to US$50 per needle hour or 20% of operators'
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revenues, whichever is highest, potentially costing individual stations US$438,000 a year, or
US$110 million for the entire network of stations. Add the increased royalty payment the IPRS is
demanding (US$20.42 per needle hour, which works out to US$44.7 million for the industry)
and the total reaches US$154 million a year in royalties.
Many believe that the success of the third phase of FM radio licensing, which could be under
way within weeks, depends on how the royalties issue plays out. "Phase three will make radio a
more potent media vehicle and will make it even more mainstream," says Radio Mantra's Gupta.
"But as phase three brings the radio revolution to many smaller cities, the current cost of music
will make operations unfeasible and phase three a massive failure."
But beyond that bone of contention, there's reason for optimism. Several important regulatory
changes are anticipated this time, notably a relaxation of the rules prohibiting the private
broadcasting of news and current affairs. Operators are also hoping to be allowed multiple
frequencies in the same city and increased foreign investment limits (49% for non-news channels
and 26% for news channels). This next phase is expected to cover 275 cities with up to 800
frequencies. "If these changes come through, operators will see economies of scale playing out in
their favor," predicts Purohit of the AROI. "They can use the same studio for different
programming and different stations, for instance. Once the reach extends to cover 75% of the
population [from an estimated 15% currently], as is expected, radio's share of the advertising pie
will automatically go up." That could be music to the ears of many.
The Influence of Television Advertisements
Television has a very wide viewer ship ranging from 2 year olds to 90 year olds. Most men are
not really interested in the advertisements which are aired in the breaks in the middle of a
program. They either change the channel or take a break themselves. It is the kids who love the
advertisements and sit glued to the television sets through the advertisements without batting an
eyelid. Hence absolute discretion has to be observed regarding the quality of language and the
content of the advertisement.
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Television is the main source of entertainment for the working woman when she returns home at
the end of a heavy day where as a stay at home mom loves catching up with her favorite serial
when the family is off for the day. She is one of the target audiences for the advertisements.
Hence the promotions which focus on families, children, interiors and savings are of utmost
interest to her or it can be said they catch her eye. The health drink advertisements or the instant
energy ones target her. Most importantly the ones that offer a genuine discount are of interest to
the mother as in these tough times of high costs and lower incomes, it is the woman who
manages the tight family budget.
At this stage, it is imperative to note that very few people can be fooled by false promotions. It is
not so easy to convince a consumer to loosen his purse strings just by uttering a few clever
phrases. Knowing this, advertising companies use celebrities like film stars and sports
personalities to endorse their products. So you can see a cricketer selling a health drink or a film
star selling hair oils. The general idea is that the public is a bit more convinced that when a
popular personality promotes a product it has more credibility. The target is the vulnerable
consumer who wants to also believe that what is good for Mr. So and So is very good for
himself.
But advertisements are totally essential otherwise the consumer will be unaware of what is
available in the market. From foods and beverages to electronics to furniture to housekeeping
products to toiletries to pet products to finance and banking services to medical care, every one
of these industries need advertising and marketing for their products.
When the various brands of a product advertise, the consumer benefits as he gets a chance to
make a choice.
It would be unfair to say that advertisements don‟t make an impact on the consumer. Many
important buying decisions are made based on advertisements only. Hence the costs incurred by
the company in producing and airing it are justified. The television channels thrive on these
advertisements only, so the channels and the companies need each other. But God spare us from
the stupid, vulgar promotions.
Advertising: Consistent Innovation is the Key to success
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Advertising creates a choice. Networking is becoming the essence of advertising.
An effective television advertising needs a through research and creativity of your writing,
creating and producing a commercial that will air along with your competitor with huge sum of
amount which may increase the company‟s profit and market share or just let it be a another
passers by ad.
The same holds true for radio advertising, print advertising, and airport advertising.
If it does not explain the product to the potential customers or attract attention unintentionally
even if the client is not paying attention then it is of no use. It should have a strong combination
of audio, video, placement, color, and still not creating a vacuum.
Voice modulation is used for successful radio advertising where clients can visualize your
products or services backed up by good offers reaching remote places where the main
entertainment until today stands to be just a radio so it is still a great option to highlight your
products and services.
Even movies and music albums advertised, be it a gymnasium or a tutorial or even a college
admission.
Print advertising is an affordable effective medium, so hook the potential customer to your
products and services. Upcoming technologies that drive the mobile advertising and internet
advertising has no threat to print ads, it is just boosting them too with newsletters, brochures and
software‟s for illustrations and snaps. It is more of a hand-to-hand game now.
Mobile advertising is expanding rapidly as mobile phones becoming a primary essential gadget
from just a showcase tool. As internet becomes accessible to rural areas and 3g with WIFI and
WI Max hot spots bubbling up we expect more competition with value added services and new
rookies.
Mobile advertising and internet advertising needs innovation, we cannot just do the same and
expect more. Unless a unique revenue model with industry experience and more attributes put in
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place we will keep on making mistakes using hit and trial methods.
Unplanned marketing and lack of good media planning is affecting the Internet advertising. The
fundamental attribute is implicit benefit from its use. Implementing the same traditional
approach in Internet advertising is of no use rather we should become more innovative and
dynamic..
Airport advertising put in place for a public awareness sponsored by a private company gives it
more value and stature in a community so when you place a new ad next time win customers by
heart; you will definitely touch his wallet.
Outdoor advertising still continue to be the basic commodities bought by most households and
will continue creating business for advertisers. While broadcast advertising has grown with the
Internet as a medium, it has significantly reduced radio advertising.
Therefore, whichever medium you choose make it very individual.
Surrogate Advertisements: A New Judicial Concern
Advertisements have a strong influence in our life. We like them because they provide
information and create awareness about the market. Our decisions whether to buy a product or
not, is often completely influenced by the promotional activities of the companies concerned.
Therefore, due to the widespread adverse impact that advertisements of unhealthy products like
tobacco, liquor can cause, Indian government has always endeavoured to curb or atleast restrict
rampant advertisements of such products by appropriate legislations, orders and directives.
Origin:
As a reaction to the directive of Government to ban advertisements of products that are adverse
to health, the major companies of liquor & tobacco sought other ways of endorsing their
products. They have found an alternative path of advertising through which they can keep on
reminding the people of their liquor/tobacco brands: they have introduced various other products
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with the same brand name. Launching new products with common brand name is known as
brand extension, which can be carried out for:
• related products (e.g.: Tata Salt and Tata Tea) or
• unrelated products (e.g.: Tata Tea and Tata Indica).
The problem occurs when heavy advertising is done so that the customers do not forget their
liquor & tobacco brands, for which advertisements are banned. The advertisements for such new
products are placed under the category of "Surrogate Advertisements". Their only objective is to
compensate the losses arising out of the ban on advertisements of one particular product (i.e.
liquor). The companies can always claim that the order is being implemented and advertisements
of liquor are banned, but the objective of the Government behind imposing the ban is not
fulfilled. It's a new weapon of Proxy War.
Merits of Brand Extension:
Strong trademarks mean a combination of positive product attributes mainly reliability and
quality. Branding decisions for new product category have to consider the appropriateness of the
fit between the product and the trademark, in terms of association, attribute and connotation. And
here, the government is free to put companies under a scanner to determine if their umbrella
branding strategy is transparent and genuine. But brand extension across products should be
permitted, except when the purpose clearly is to encourage consumption of a product whose
promos are prohibited by law.
Surrogate advertisement by Tobacco and Liquor industry
Examples from tobacco industry - Red & White bravery awards, Wills lifestyle, Four Square
white water rafting, etc.
Examples from liquor industry - Bagpiper soda and cassettes & CDs, Haywards soda, Royal
Challenge golf accessories and mineral water, Kingfisher mineral water, White Mischief
holidays, Smirnoff cassettes & CDs, Imperial Blue cassettes & CDs, Teacher's achievement
awards etc.
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Legislative Measures:
The Cigarettes & Other Tobacco Products (Prohibition of advertisement and regulation of trade
and commerce, production, supply and distribution) Act, 2003: This Act was enacted to
implement measures to ensure that effective protection is provided to non-smokers from
involuntary exposure to tobacco smoke and to protect children and young people from being
addicted to the use of tobacco;
It was also considered expedient to prohibit the consumption of cigarettes and other tobacco
products which are injurious to health with a view to achieving improvement of public health in
general as enjoined by article 47 of the Constitution;
Section 3(a) of the said act defines „advertisement‟ as including: „any visible representation by
way of notice, circular, label, wrapper or other document and also includes any announcement
made orally or by any means of producing or transmitting light, sound, smoke or gas.‟
Interpretation: Surrogate advertisements clearly come under the definition as it involves making
the tobacco labels clearly visible to people through other products by the same name. Moreover
the public is always reminded orally of the tobacco‟s brand name through the advertisements of
such other products. So such advertisements are liable to be a subject matter of this Act and
therefore subject to its restrictions.
Section 5(1) of the Act states: „No person engaged in, or purported to be engaged in the
production, supply or distribution of cigarettes or any other tobacco products shall advertise and
no person having control over a medium shall cause to be advertised cigarettes or any other
tobacco products through that medium and no person shall take part in any advertisement which
directly or indirectly suggests or promotes the use or consumption of cigarettes‟
Demerit: This section restricts advertisement, promotion of tobacco products for direct/ indirect
pecuniary benefit. It is narrow since it doesn‟t take within its ambit the scope of promoting
tobacco through brand extension and sponsorships.
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The Ministry of Health and Family Welfare made certain amendments to the above act in 2005,
stating that the word „indirect advertisement‟ mentioned in Section 5(1) would mean:
• The use of a name or brand of tobacco products for marketing, promotion or advertising other
goods, services and events;
• The marketing of tobacco products with the aid of a brand name or trademark which is known
as, or in use as, a name or brand for other goods and service;
• The use of particular colors and layout and/or presentation those are associated with particular
tobacco products; and
• The use of tobacco products and smoking situations when advertising other goods and services.
Merit: It‟s a comprehensive definition and the amendment has taken care of the legal lacuna
pointed out above.
Television Advertising In India
Television advertising in India has is one of the fastest growing markets in the Asia Pacific
regions of the globe. Since the Indian television is on a threshold of a major technological
change, with new distribution technologies like digital cable, DTH (Direct- to – home) and IPTV
(Internet Protocol television), television on advertising is surely going to take on a new role.
Because of the increased interactivity in content and niche programming styles catering to very
specific target groups, advertising on television too is going to be more focused and will
definitely draw more eyeballs. Moreover, today, TV enabled mobile handsets are gaining
popularity in India. This might change the nature of TV advertising. Bharti, Vodafone and
Reliance will provide their channels on mobile handsets. Times Now, a 24 hours news and
current affair channel from the Times Group was first launched on Reliance mobiles and then on
the regular TV sets. Reality formats are popular amongst television and they lay emphasis on
audience interaction. SMS voting and in-programme advertising has become a key ingredient in
most of these shows. This too gives new scope of advertising. Because of the increased audience
fragmentation, both the advertisers and the broadcasters are constantly on their toes.
Also, the launch of six DTH platforms in India will create innovative advertising spaces. In fact
the incoming of the DTH services in India is being viewed as a healthy development for the
advertising and the television industry. There has been a 29% growth in TV advertising in during
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the first quarter of 2008. Hindustan Unilever Ltd. was the number one television advertiser
during the first quarter of 2008. At the same time, many companies are refraining to use this
medium because of the clutter and lack of focus in the medium.
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CHAPTER 6: DATA ANALYSIS AND INTERPRETATION
TABLES, CHARTS AND INFERENCES
1. PERCENTAGE METHOD
Q.1. Do advertising campaigns impact your decision of purchasing a particular product or

service?
18
16
14
12
10
Yes
8 No
0
0 - 15 15 - 20 21 - 35 35 - 50 50 & Above
The above chart displays the variation in responses of the different age groups as to whether
advertising campaigns impact the decision of purchasing a particular product or not.
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Q. 2 How many different forms of advertising do you believe you‟re exposed to everyday?
12
10
8 None
1 to 5
6 6 to 10
11 to 20
4 21 to 50
51 or more
2
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
The above chart displays the variation in responses of the different age groups as to the number
of forms of advertising they are exposed to everyday.
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Q.3 Of the no. of pieces of advertising you are exposed to, how many do you believe you act
upon?
18
16
14
12 None
1 to 5
10
6 to 10
8 11 to 20
6 21 to 50
51 or more
4
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
The above chart displays the variation in responses of the different age groups as to the number
of forms of advertising they act upon with respect to the ones they are exposed to everyday.
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Q.4.Which form of advertising impacts you the most?
12
10
8 Print
Television
6 Outdoor
Radio
4 Mobile
Internet
2
0
0 - 15 15 -20 21 - 35 35 - 50 51 or more
The above chart displays the variation in responses of the different age groups with reference to
the various types of advertising. Television as always seems to be the all time favorite,
advertisement through mobile seems to be appreciated by none and internet has a rising interest
level in the younger generation.
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Q.11.Which form of internet advertising creates an impact on you?
14
12
10
8 Social Networking
Pop Ups
6 Interactive Campagins
Direct Mail
4
0
0 - 15 15 - 20 21 - 35 35 - 50 51 or above
the various types of internet advertising. Social Networking seems to be the clear winner in this
case.
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Q. 12. Do you agree advertising campaigns with an emotional and cultural touch have a larger
impact?
20
18
16
14
12 Strongly Agree
10 Agree
Somewhat Agree
8
Disagree
6
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the larger impact of emotional and cultural touch in advertisements. This factor is more evidently
accepted by the older generation and is declining as we move towards the younger generation.
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Q. 13. Do you agree advertising campaigns with a sense of humour have a larger impact?
14
12
10
8 Strongly Agree
Agree
6 Somewhat Agree
Disagree
4
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the larger impact of a sense of humor in advertisements. This factor seems to be easily agreed
and accepted by people belonging to all age groups.
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Q. 14. If a celebrity is replaced by a self – made character, or completely removed in an

advertisement, will it impact the image you hold about their product?
18
16
14
12
10
Yes
8 No
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the difference that the presence of a celebrity can make in an advertisement. All age groups
seems to bring to the conclusion that removal of a celebrity from an advertisement will not
impact the image they hold about the product.
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Q. 15. What do you feel an advertisement should cater to?
16
14
12
10
8 Information
Innovation & Attraction
6
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the relevance of the importance of the two factors: information or innovation & attraction. An
extremely contrasting response, where the older generation seems to be concluding that
“innovation and attraction” are more important in an advertisement whereas the younger
generation believes that “information” is a rather important criterion an advertisement must
fulfill.
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Q. 16. What time in the day do you most often watch television?
18
16
14
12
9 to 12
10 12 to 15
15 to 18
8
18 to 21
6
21 to 24
4
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the different timings at which they watch television.
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Q. 17. Do radio advertisements have an impact over you?
20
18
16
14
12
10 Yes
No
8
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the relevance to the impact of radio advertisements. Considering this questionnaire was
distributed to a city urban crowd this response may be bias.
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Q. 18. Does covert advertising (eg: shahrukhkhan uses adidas products in a movie) have a
greater impact on you over other forms of advertising?
16
14
12
10
8 Yes
No
6
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the relevance of the impact of covert advertising over other forms of advertising. Covert
advertising seems to be quite preferred at in the youth but not much impacting on the older
generation.
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Q. 19. Do advertisements involving sexually explicit material tend to catch your eye faster?
18
16
14
12
10
Yes
8 No
6
0
0 - 15 15 - 20 21 - 35 35 - 50 51 & Above
the relevance of the impact of sexually explicit material catching the eye faster. The data clearly
shows that sexually implicit material catches the eye relatively faster in all age groups except the
oldest – 51 & above.
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2. CHI SQUARE ANALYSIS
The test has been carried out on the basis of the following questions from the questionnaire:
Q.5. Do you believe that social networking and internet will completely revolutionize the
advertising industry in India (Mumbai)?
 Yes  No
Q.6. Have you ever purchased a product due to an advertisement you saw on the internet?
 Yes  No
Q.7. If you are in a rush, and you come across a new venture that has 1000+ fans on facebook (or
any other of kind), will that be a reason enough for you to purchase their product or service?
 Yes  No
Q.8. Do you feel advertisement campaigns on the internet are reliable?
 Yes  No
Q.9. Do you feel advertisement campaigns on the internet are innovative?
 Yes  No
Q.10. Advertising on the internet has been completely tapped in India (Mumbai). Do you agree
with the statement?
 Yes  No
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Responses * Age
Crosstab
Count
Age
0-15 15-20 21-35 35-50 50 and above Total
Responses yes 59 48 55 51 57 270
no 61 72 65 69 63 330
Total 120 120 120 120 120 600
Chi square
OB O E O-E (O - E) x (O - E) (O - E) x (O - E)
E
YES 0 - 15 59 54 5 25 0.46
NO 0 - 15 61 66 -5 25 0.38
YES 15 - 20 48 54 -6 36 0.67
NO 15 - 20 72 66 6 36 0.55
YES 21 - 35 55 54 1 1 0.02
NO 21 - 35 65 66 -1 1 0.02
YES 35 - 50 51 54 -3 9 0.17
NO 35 - 50 69 66 3 9 0.14
YES 50+ 57 54 3 9 0.17
NO 50+ 63 66 -3 9 0.14
Chi square
calculated = 2.69
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Chi square critical = los & dof

Level of significance = 5%
Degree of freedom = 4
Chi square critical = 9.488
Chi square calculated <Chi square critical
Accept H0
In this case the we find that the calculated value is less than the table value, thus rejecting
alternative hypothesis and accepting null hypothesis proving that responses do not depend upon
age with respect to internet as a form of advertising.
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CHAPTER 7: CONCLUSIONS & RECOMENDATIONS
7.1 FINDINGS
1. Responses do not depend upon age with respect to internet as a form of advertising.
2. Advertising impacts the decision of buying products to people belonging to all age groups.
3. On an average, 100 people are exposed to approximately 15 advertisements daily.
4. TV, as already known evolves as the most impactful source of media.
5. Social networking is the most impacting form of advertising over the internet.
6. Sense of humor plays a more impactful role over cultural and emotional touch in an
advertisement.
7. People are more interested in „innovation and attraction‟ over „information‟ in an
advertisement.
8. Post 8 in the evening, is the time when the maximum number of people watch television.
9. Radio as a form of advertising, has no impact on the urban people.
10. Covert advertising strictly influences the younger crowd.
11. Advertisements involving sexually explicit material tend to catch the eye relatively faster.
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7.2 CONCLUSION AND IMPLEMENTATION
This study attempted to examine and understand relationship of age group and impact of various
forms of advertising.
A well made ad can be lost in crowd of ads and clutter if not timed and positioned well. The cost
is to be optimized handling conflicting interest of keeping costs low and need to reach wider and
deeper audience at the same time and the right type of audience. On a general notion, consumers‟
perception is widely varied in accordance with the service quality, price, availability of product,
and promotion, etc. Hence, it is extremely essential that the quality of the advertisement must not
be compromised.
Advertising effectiveness is one area that has been not well researched and understood.
Ad cannot pull the products through markets on its own, anymore. Advertising will have to
merge with PR strategies for effective solutions particularly for brand building and long term
goals like market share and industry leadership image creation. Customers are no longer found
and retained by advertising alone. Its role is diminishing for sure and advertising will have to
rediscover itself. The advertising tactics have now newer and newer possibilities ranging from
traditional advertising to direct marketing, emailing, banner advertising on web, audio and video
CDs, sales promotion schemes and public relations (Publicity) exercises. But all this has to fit
well into overall marketing strategies of organization; A tall order for the industry.
Lastly do conclude that there is variance in the impact of advertisements depending on different
age groups, and different form of advertising creates a different impact between one age group to
another.
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7.3 SUGGESTIONS
1. Customer targeted advertisement.
2. Further improved adds over the internet.
3. There is a huge amount of untapped audience over the internet.
4. Observe the trend over a larger audience.
5. Suitable information must be displayed focusing on suitable target audience.
6. Innovative and creative advertisements.
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CHAPTER 8: BIBLIOGRAPHY
1. http://www.researchandmarkets.com/reports/221191
2. http://advertisinginindia.wordpress.com/2009/03/
3. http://www.thaindian.com/newsportal/entertainment/radio-advertising-to-earn-450-mn-in-
india-by-2012_10031070.html
4.http://www.adoimagazine.com/newhome/index.php?option=com_content&view=article&id=3
811:advertising-outlook-for-india-2009&catid=1:breaking-news&Itemid=2
5.http://advertisinginindia.wordpress.com/2009/03/
6. http://printinthemix.com/Fastfacts/Show/506
8. http://express-hongkong.com/advertising/two-latest-avenues-of-ooh-advertising-in-india/
9. http://socialmediaoptimization.atasmedia.net/arrival-of-online-advertising-india-wake-up-call-
for-indian-advertisers
1O. www.worldwideadvertisingnetwork.com
11. http://trak.in/tags/business/2010/12/15/india-leads-asia-pacific-advertising-spend/
12. http://www.123articleonline.com/articles/312918/current-scenario-of-advertising-in-india
13. http://www.thaindian.com/newsportal/entertainment/radio-advertising-to-earn-450-mn-in-
india-by-2012_10031070.html#ixzz0j8Gq1X1N
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CHAPTER 9 : ANNEXURE
QUESTIONNAIRE
Please take a few minutes to complete this survey. Your specific answers will be completely
anonymous, but your views, in combination with those of others, are extremely important.
This survey is regarding Analyzing Trends in Advertising Industry and deriving suitable
genres that are most impacting on the citizens of Mumbai. The responses given will be used
for the academic purpose ONLY.
Name: __________________________________
Gender:  Male  Female
Age:  0 - 15  15 – 20  21 - 35  36 – 50  50 & Above
Occupation:
1. Do advertising campaigns impact your decision of purchasing a particular product or

service?
 Yes  No
2. How many different forms of advertising do you believe you‟re exposed to everyday?
 None  1 – 5  6 – 10  11 – 20  21- 50  51 or more
3. Of the no. of pieces of advertising you are exposed to, how many do you believe you act
upon?
 None  1 – 5  6 – 10  11 – 20  21- 50  51 or more
4. Which form of advertising impacts you the most?

 Print  Radio
 Television  Mobile
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 Outdoor  World Wide Web(Social Media included)
5. Do you believe that social networking and internet will completely revolutionize the
advertising industry in India (Mumbai)?
 Yes  No
6. Have you ever purchased a product due to an advertisement you saw on the internet?
 Yes  No
7. If you are in a rush, and you come across a new venture that has a 1000+ fans on
facebook (or any other of kind), will that be a reason enough for you to purchase their
product or service?
 Yes  No
8. Do you feel advertisement campaigns on the internet are reliable?

 Yes  No
9. Do you feel advertisement campaigns on the internet are innovative?

 Yes  No
10. Advertising on the internet has been completely tapped in India (Mumbai). Do you agree
with the statement?
 Yes  No
11. Which form of internet advertising creates an impact on you?

 Social Networking  Pop - Ups
 Interactive Campaigns  Direct Mail Advertising
12. Do you agree advertising campaigns with an emotional and cultural touch have a larger
impact?
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 Strongly Agree  Agree  Somewhat Agree  Disagree
13. Do you agree advertising campaigns with a sense of humor have a larger impact?
 Strongly Agree  Agree  Somewhat Agree  Disagree
14. If a celebrity is replaced by a self – made character, or completely removed in an

advertisement, will it impact the image you hold about their product?
 Yes  No
15. What do you feel an advertisement should cater to?

 Information  Innovation & Attraction
16. What time in the day do you most often watch television?
 9 - 12  13 - 15  16 - 18  17 – 21  22 – 24
17. Do radio advertisements have an impact over you?

 Yes  No
18. Does covert advertising (eg: shahrukh khan uses adidas products in a movie) have a
greater impact on you over other forms of advertising?
 Yes  No
19. Do advertisements involving sexually explicit material tend to catch your eye faster?
 Yes  No
20. Your favourite advertisement (print, television or internet)
THANK YOU FOR YOUR PRECIOUS TIME & CO-OPERATION!
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A Study On Impact Of Types Of Advertising On Indian Consumers Purchase Decision Specially in

Advertising is a form of marketing communication used to promote or sell something, usually a

1.1 Type of Advertising

Television advertising / Music in advertising

Domain name advertising

Mobile billboard advertising

CHAPTER 2: RESEARCH METHODOLOGY

2.1 RESEARCH PROBLEM

2.2 OBJECTIVES OF STUDY

The study has the following objectives:-

1. To study the developing trend in the advertisement sector in Mumbai, India.

7. To provide valuable suggestions that can be implemented to market suitable

2.3 SCOPE OF STUDY

The study covers the following types of advertising:

2.4 STATEMENT OF HYPOTHESIS

It may also be defined as supposition or explanation that is provisionally accepted in order to

2.5 DATA COLLECTION

PRIMARY SOURCE: Questionnaire – 100 people were interviewed.

SECONDARY SOURCE: Internet & Journals

2.6 RESEARCH INSTRUMENT

2.7 SAMPLE SIZE

2.8 SAMPLING UNIT

2.9 SAMPLING FRAME

In our study we have selected systematic/ restricted sampling frame.

The breakup of our sample size is as follows:

2.10 SAMPLING METHOD

The simple random sampling method has been used.

2.11 STATISTICAL TOOLS USED

Two statistical tools have been used. They are:

1. Chi square method

Total number of respondents

The outcome of this research shows a comprehensively integrated framework for us to

 Respondent may be biased.

CHAPTER 3: REVIEW OF LITERATURE

Radio advertising to earn $450 million in India by 2012

Forecast: 2012 Global Ad Spend Up 5%; Internet to Become 2nd Largest

December 5, 2011 -- MAGNAGLOBAL, a division of IPG Mediabrands, has released an

The key findings of the report show:

This downward revision is due to deteriorating macro-economic perspectives. MAGNA's

to losses or gains, including - and perhaps even more so - during a recession, as

China's advertising market is expected to continue outperforming its already impressive

Asia Pacific Ad spend Growth

Here are some of the other highlight of the Nielsen Report:

Television, Newspapers & Magazines Across 12 Asia Pacific Markets

Indonesia 2,263,231 15%

Hong Kong 2,193,995 16%

India 1,880,451 19%

Australia 1,706,048 13%

South Korea 1,027,006 3%

Philippines 907,100 12%

Television, Newspapers & Magazines Across 12 Asia Pacific Markets

Thailand 619,296 12%

Malaysia 517,601 10%

New Zealand 381,006 6%

Taiwan 171,439 19%

Total for Q3 2010 37,122,111 9%

Source: The Nielsen Company.

CHAPTER 4 : NEWSPAPER ADVERTISING VS. ONLINE

The situation, ten years down the line

The rural Indian factor

The Indian buying model

The cost of newspaper advertising in India

Current Scenario of Advertising in India