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BBA 3rd Year/ Advertising Management and Sales Promotion/ Unit 1/ Module 2/ Advertising as a

component of Marketing Mix

Class: BBA 3rd Year


Subject: Advertising Management and Sales Promotion
Unit 1
Module 2
Topic: Advertising as a component of marketing mix,
Advertising as a marketing communication process,
Use of marketing for stimulating primary and
secondary demand

Advertising As A Component Of Marketing Mix


Advertising is simply a subset of your marketing activities it’s the SALES function when you
make the sales pitch or “present your offer”. This could be verbal or written in all the same
media you use for your marketing communications.

What adds to the confusion is sometimes big companies use image based ads for awareness
so the “sales pitch” isn’t obvious.

But the primary purpose of advertising is to SELL.

So you create ads in one form or another and get them in front of your audience.

Small businesses can’t afford to waste money on image advertising that is designed for the
masses to promote a well known brand. It simply isn’t designed to sell, NOW.

What I do, and recommend is Direct Marketing which is based on one-on-one relationships
and uses proven direct response advertising techniques instead of mass advertising.

The purpose of a direct response advertisement is to get a response, NOW! Which means
these ads actually ask the prospect to DO something. referred to as the “Call to Action”.

Whether you’re building a list, selling a product or service, an appointment or even


something you are giving away – you still need to “sell” it to your prospect. And ask them to
take the action you want them to take to move them through the sales process.

In a nutshell, advertising is a subset of marketing so it is part of the marketing mix and direct
response marketing & advertising is the champion for small business.

Compiled Study Material by Syed Aamir Mehboob


BBA 3rd Year/ Advertising Management and Sales Promotion/ Unit 1/ Module 2/ Advertising as a
component of Marketing Mix

Role of Advertising in Marketing Communication

Marketing communications are the means by which organisations attempt to inform,


persuade, and remind consumers about products, services, or brands.

Marketing communications inform and make consumers aware about the availability of the
product or service, about its usage, price and special offers.

Marketing Communications attempt to persuade potential consumers to purchase and try


the product.

Marketing communications can also be used to reinforce experiences, or to remind


consumers about their needs and their past experiences related to the product with a view
to convince them for repurchases.

Marketing communication also differentiate products in markets where there is little to


separate competing products and brands.

Advertising is a paid form of a non-personal message communicated through the various


media by industry, business firms, non-profit organisations, or individuals. Advertising is
persuasive and informational and is designed to influence the purchasing behaviour and/or
thought patterns of the audience.

The advertising message has to reach a billion people, speaking different languages,
practicing many religions. Advertisers can reach their audiences through television, radio,
cinema, print medium, outdoor advertising, sales promotion and the Internet. Hence,
advertising is a form of mass communication.

Use Of Marketing For Stimulating Primary And


Secondary Demand
Primary demand is creating a demand from consumers on a new product class of
either a narrow or broad scope. An example of this would be Tesla cars.
This is a new product class and the consumer base has very little knowledge of the
product so Tesla will have to create a primary demand for their automobiles.

Secondary demand is the demand for a brand in product category and does not
require educating the consumer and also involves proving your brand is "greater"
than another.An example of secondary demand is the ad pictured below of
Pepsodent toothpaste providing a statement on how its toothpaste is more effective
than the competitor of Colgate.

Compiled Study Material by Syed Aamir Mehboob


BBA 3rd Year/ Advertising Management and Sales Promotion/ Unit 1/ Module 2/ Advertising as a
component of Marketing Mix

Primary Demand Stimulation

Primary demand stimulation refers to advertising messages that promote the


merits of an entire product category rather than a particular brand. It can be
thought of as growing the overall pie, rather than taking a bigger piece of the
pie from competitors.
The major purpose of primary demand stimulation is either to inform
customers about a brand new product or technology that they are unfamiliar
with, or to persuade customers that they haven’t recognized the benefits of a
given product. Primary demand is typically used in one of two scenarios: to
launch a completely new product category or to garner more attention to an
under-appreciated category. The idea behind new product primary demand is
that before a pioneer can promote its benefits, the product category must be
explained to target customers. This is especially true in complex categories like
technology, where innovative leaders must inform audiences about the new
product category before investing in secondary demand stimulation.
General guidelines to use primary demand stimulation is if you meet the
following criteria: (1) you own significant market share, (2) all or most of the
growth will go to you or (3) if your are advertising on behalf of a trade
association.
Secondary Demand Stimulation

Secondary demand stimulation, also called selective demand stimulation, is the


better recognized form of traditional marketing. Secondary demand stimulation
ads try to take a bigger piece of the pie from competitors by distinguishing the
products unique advantages.

References:
https://smallbusiness.chron.com/advertising-communication-objectives-
10118.html

Compiled Study Material by Syed Aamir Mehboob

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