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UNIT 2

Classification And Types Of


advertising, Model of advertising
Advertising is the non personal
communication of information
usually paid for and usually
persuasive in nature about
products, services or ideas by
identified sponsors through the
various media.
Bovee/Arens, 1992
Affirmative disclosure
• "Sometimes the consumer is provided not
with information he wants but only with the
information the seller wants him to have.
Sellers, for instance, are not inclined to
advertise negative aspects of their products
even though those aspects may be of primary
concern to the consumer, particularly if they
involve considerations of health or safety . . . "
-Lewis A. Engman, Federal Trade Commission Chair
CLASSIFICATION OF ADVERTISING

It is classified under nine heads.


1. Product advertising

• A normal characteristic of advertising is to create primary


demand for a product category rather than for a specific
brand. It is wrongly believed that product advertising must
stress on brand name. This is based on the feeling that a
good image often enhances the effectiveness of product
advertising. However, in practice, most companies are
successful in building the product image by using the brand
names (e.g., Dettol, Horlicks). In short, when the company
tries to sell its product or services through advertising it is
referred to as product advertising.
2. Institutional advertising

• These advertisements are not always


directed to consumers. Instead, it is aimed at
many of the various types of public
(shareholders, creditors, etc.). It is not
product oriented but is rather designed to
enhance the image of the company.
3. Primary demand advertising

• It is intended to stimulate primary demand for a new


product or product category. It is heavily utilised during the
introduction stages of the life cycle of the product.

4. Selective or competitive advertising

• When a product enters the growth stage of its life cycle,


and when competition begins, advertising emerges and
becomes selective. Here, the goal of advertising is to
increase the demand for a specific product or service.
Advertising may begin to stress subtle difference in brands,
with heavy emphasis on 'brand name recall'. Pricing also
will be used as a key promotional weapon as products
become very similar.
5 Comparative advertising

• This is a highly controversial trend in today's competitive market.


Such types of advertising play a decisive role on comparative
features of two or more specific brands in terms of product /
service attributes. This method is adopted in the maturity stage
when similar products fast appear in the market causing stiff
competition.

6. Co-operative advertising

• When manufactures, wholesalers and retailers jointly sponsor and


share the expenditure on ad-vertising, it takes the form of co-
operative advertising. Such advertising carry the names of all the
parties involved. From the customers' point of view this is
beneficial, as they can get the articles directly from the authorised
outlets.
7 Commercial advertising

• It is also termed as business advertising. As the


name suggests such advertising is solely meant
for effective increase in sales.

8 Non-commercial advertising

• These are usually published by charitable


institutions preferably to solicit general and
financial help (such as collection of donation or
sale of tickets).
9 Direct action advertising

• Advertising that stresses and persuades


immediate buying of the product is known as
direct action advertising. Direct mail
advertising is capable of achieving immediate
action to a large extent.
TYPES OF ADVERTISING
1. Television Advertising - TV
TV advertising is a popular way to mass-market messages to large
audiences. Although this medium has the ability to reach a high
number of potential buyers, it is also one of the most costly forms
of advertising

2. Radio Advertising
Radio advertising is an effective way for businesses to target a
group of people based on location or similar tastes.

3. Print Advertising
Magazine and newspaper advertisements are another way to
spread the word about a product or service. Print advertising also
offers the ability to target specific audience based on geography
or common interests. Print advertising usually includes larger
display ads, as well as classified advertising. The classifieds are
typically very affordable, whereas display ads are a bit pricey.
4 . Online Advertising
Advertising online is an increasingly popular method for promoting a
business. There are many forms of online advertising. Banners are
image advertising displayed on web pages. Google advertise-ment
is another popular form of online advertising that matches an ad to
an internet user's search inquiry.

5 Billboard Advertising
Billboard advertisements are large advertisements displayed on
structures in public places. Most commonly, billboards are located
along the highways to target the passing motorists.

6 In-store Advertising
In-store advertising, takes place within a retail store like banners and
display cases.
7 Word of Mouth Advertising

• While some may argue that word of mouth is


not advertising because it is free, this form of
promotion is one of the best and the most
credible and priceless asset of any business.
AIDA Model:
Attention
• The first level of response is the cognitive stage of customers. This is
the act of thinking about the product. At this stage, customers are
becoming aware of the product and start to develop some
knowledge of the product’s attributes and benefits. The Attention
stage is usually triggered through advertising. All products or brands
that customers are aware of, are part of the so called ‘awareness
set‘. This is a smaller portion of the ‘total set‘ of products and brand
that are available within a certain product category.
Interest
• After the congnitive stage, customers enter the affective stage. At
this level customers have gone beyond mere knowledge of the
product and have actually begun to develop attitudes, preferences
and perhaps even interest in the product. All products or brands
that customers have interest in, are likely to become part of the so
called ‘consideration set‘. This means that customers are seriously
considering purchasing the product eventually. However before
taking action, customers will need to go through two more stages.
• Desire
The Desire step of the AIDA Model is still part of the cognitive stage of
customers. However, the interest customers initially had, has
developed even more into an actual need. Customers are already
imagining themselves with the product.
• Action
The final stage is the behavioral stage. This is where the customers
take action. This could vary from visiting a retailer to see a product
demonstration or writing an email to a shop owner for more
information on the product. Of course, ultimately these actions
should hopefully lead to the purchase of the product. Consequently,
products or brands that made it to this stage are part of the ‘choice
set‘ or ‘purchase set‘.
AIDA Model Contributors
• Joseph Addison Richards, 1893 was a New York advertising agent, who
used these steps practically and made an advertisement for his own
business.
• E. St. Elmo Lewis in 1898, the American advertising and sales pioneer,
developed a practical Scientific Management Sales Tool. He later called
the AIDA funnel model.
• Fred Macey, in 1900, wrote an advertisement for a competition organized
by Bissell Carpet Sweeper Company, for which the principles were
attention, interest, desire creation and decision making.
• A.F. Sheldon in 1911, extended the model with a fifth phase, ‘‘permanent
Satisfaction’’ to stress the importance of repeat sales.
• Frank Hutchinson Dukesmith in 1904, published it in the form of a model
with attention, interest, desire and conviction.
• C. P. Russell in 1921, played an important role in bringing the AIDA
acronym popular by using it in an article. He also referred to it as “law of
association”.
DAGMAR Model
• DAGMAR advertising model was first proposed by Russel H. Colley
in 1961.
• DAGMAR is a marketing approach used to measure the results of an
advertising campaign. It is an acronym that stands for
Defining Advertising Goals For Measuring Advertising Results.
1. Awareness Measured
2. Comprehension
3. Conviction
4. Action
• These steps are also known as ACCA advertising formula.
ACCA/DAGMAR is a descendant of AIDA advertising formula and
considered to be more popular and comprehensive than AIDA.
Developed for the measurement of advertising effectiveness it
maps the states of mind that a consumer passes through.
• The two core things on which the DAGMAR
Model stood are
• 1. Creation of a communication task to
achieve goals
• 2. Defining the objective of the
communication tasks in a manner that the
results can be measured.
• Goals of DAGMAR Model – Communication Tasks
1. The Communication Tasks:
In this method, every purchase goes through four steps [ACCA Model];
I. Awareness: to make the customer aware of the product or the brand
II. Comprehension: To make sure the consumer has the correct information about
the product and its advantages.
III. Conviction: This step is for the communication to convince the consumer that the
product is suited for them.
IV. Action: It aims to encourage the consumer to make the purchase.

2. Defining Objectives in the DAGMAR approach: This is the second most crucial job of
DAGMAR. It has to set out the goals of communication tasks or advertising that is to
be made. These are the aims of advertising in DAGMAR:
1. Define the target audience or market [Target Audience]
The target audience needs to be decided upon before the task begins. This must be as
accurate as can be. The targets, whether older people, adults, or young people, should
be segmented. Many types of segmentation can be employed to set the target
audience.
2. Be concrete and measurable [Communication objective: The tasks have to
be an accurate description of what the advertiser wishes to get from the
communication. Upscale the brand image, increase brand presence, enter
new markets or grow overall sales, whatever the objective is, should be
precisely stated.
3. Identify the benchmark and the degree of change expected [Desired
Change] What is the extent to which you want to change the consumer’s
awareness, attitude, or perception? If a consumer knows about the product,
do improve their attitude?
The extent of change will be the goals of the communication tasks. These
need to be pre-set.
4. Specify a period during which to accomplish the objective [Time Horizon]
• How much time are you fine with investing to complete the
communication tasks?
• A product needs more than a month in the market to create awareness.
This is the reason why big advertisers try to introduce the product for 3
months.
• They spend the next 3 months talking about the features and benefits.
This increases brand recall and elevates brand acceptance. A pre-set
period aids better measurability.
1. About the Campaign
• The “Share a Coke” campaign increased Coke’s
sales. It brought the brand to a new
generation that saw the soda as outdated.
• The Campaign needed multiple teams and
departments to coordinate across the globe.
2. Agency
• Ogilvy and Coca-Cola created the campaign
with two clear goals.
3. Target Audience
• It was launched first in Australia. By its end, it reached 80
countries over seven years.
4. Media
• This needs original content. Many formats and languages
were used. Some of these were social media and websites,
SMS messaging, billboards, TV ads, and print.
5. Campaign Objective
• They wanted to use the summer period to increase sales in
Australia.
• This is the primary or the first goal.
• Their second goal was to reach out to a younger, millennial
audience.
Result of the Campaign
• At the time of the initial release in Australia
• Consumption among teenagers grew 7% with
two out of five people in the country buying a
Share a Coke pack.
• 378,000 Coke cans were printed at kiosks, and
overall sales increased by 3%.
• On social, 76,000 virtual Coke cans were
shared, Facebook traffic increased by 870%,
and 170,000 tweets were made by 160,000
fans.
Worldwide
• Over 1,000 names have been printed on cans and
bottles
• More than 150,000,000 personalized bottles have
been sold.
• #ShareACoke even became the number one global
trending topic.
• It’s resulted in over 1 billion impressions.
• The campaign won seven awards at the Cannes Lions
festival
• Raised U.S. sales 2.5%after a decade of decline, and
continues to be expanded in new and innovative
ways that are still driving revenue now.
Google Ads is the epitome of the DAGMAR
Model.
• Imagine you own a small e-commerce store.
• If you start an Advertising campaign with
Google Ads, you can easily know:
• How many people saw your Ads.
• How much your Sales increased.
• How many people Clicked on each Ad.
• Which countries were most interested in your
products etc.
DRIP Model
• · Differentiate: Differentiate your product or service by defining where it’s
positioned in the market and often the 7Ps digital marketing mix can
inform this.
• · Reinforce: To reinforce the brand’s message, consider consolidating and
strengthening your messages and experiences, demonstrating why your
product is different — superior, cheaper or easier to use?
• · Inform: Inform or make people aware of your brand. Consider illustrating
your features and availability. If it’s a ‘new to market’ product, it may need
education!.
• · Persuade: Persuade your audiences to behave in a particular way —
encourage further positive purchase-related behavior i.e. to visit a
website, read about your new product, share it or request a trial.

• Chris Fill, 2002 created the DRIP model as a communication strategy that
sends, or “drips,” a pre-written set of messages to customers or prospects
over time.
• Drip marketing refers to an agricultural term. When farmers use drip
irrigation, they slowly but consistently water their crops so they don’t soak
up too much water, but are still satiated.
Hierarchy of Effects Model:

• The Hierarchy of Effects Model was created in 1961 by


Robert J Lavidge and Gary A Steiner. This marketing
communication model, suggests that there are six steps
from viewing a product advertisement (advert) to
product purchase. The job of the advertiser is to
encourage the customer to go through the six steps
and then purchase the product.
• A basic premise of this model is that advertising effects
occur over a period of time. Advertising communication
may not lead to immediate behavioural response or
purchase; rather, a series of effects must occur, with
each step fulfilled before the consumer can move to
the next stage in the hierarchy.
• The model takes into account the cognizance of the
competitive situation. Such competition may arise
between brands of a product or even between
substitute products as perceived by prospects
constituting the target audience
• The stage of liking following those of awareness and
knowledge may refer to the advertising thus
emphasizing the creative aspects. Performance for the
product or the brands play be the combined effect of
the product characteristics and their relevance to the
target audience, and of advertising.
Three Stages of Behavior

Lavidge and Steiner suggested that the six steps can


be split into three stages of consumer behavior
1. Cognitive (thinking) so that the consumer
becomes product aware and gathers product
knowledge
2. Affective (feeling) so that the consumer likes the
product brand and has conviction in it
3. Conative (behavior) so that the consumer buys
the product brand
Information Processing Model:

• Developed by Williom Mc Guire, the model


assumes that the receiver in a persuasive
communication situation like advertising is an
information processor or problem solver.
• He suggests the series of steps a receiver goes through in
being persuaded constitutes a response hierarchy. The
stages of this model are similar to the hierarchy of effects
sequence, Mention and comprehension are similar to
awareness and knowledge, and yielding is synonymous
with liking.
• This model includes a stage not found in the other models,
retention, or the receiver’s ability to retain that portion of
the comprehended information that he accepts as valid or
relevant.
• This stage is important since most promotional campaigns
are designed not to motivate consumers to take immediate
action but rather to provide information that will be used
later when a purchase decision is made.
Atkinson and Shiffrin Model
• Information Processing Model - Atkinson & Shiffrin.jpg
• The Atkinson and Shiffrin Model was proposed in 1968 by John William Atkinson and Richard
Shiffrin. This model illustrates their theory of the human memory. These two theorists used
this model to show that the human memory can be broken in to three sub-sections: Sensory
Memory, short-term memory and long-term memory.[9]

Sensory Memory
• The sensory memory is responsible for holding onto information that the mind receives
through the senses such as auditory and visual information. For example, if someone were to
hear a bird chirp, they know that it is a bird because that information is held in the brief
sensory memory.

Short-Term Memory
• Short-term memory lasts for about 30 seconds. Short term memory retains information that
is needed for only a short period of time such as remembering a phone number that needs
to be dialed.

Long Term Memory


• The long-term memory has an unlimited amount of space. In the long term memory, there
can be memory stored in there from the beginning of our life time. The long term memory is
tapped into when there is a need to recall an event that happened in an individuals previous
experiences.
Operational Model:

• Developed by O’ Brien, the model integrate


various stages of decision making by buyers.
According to an study to know the purchasing
behaviour of 634 housewives for a brand of
convenience food for a five months period, it
was indicated that building up the confidence
in the brand was an important cognitive stage
operating between awareness and attitude
alteration or formation.
Innovation Adoption Model:

• Model is evolved from work on the diffusion of innovations.


This model represent the stages a consumer passes
through in adopting an innovation—innovation such as a
new product.
• Like the other models, this model says potential adopters
must be moved through a series of steps before taking
some action (in this case deciding to adopt a new product).
The steps preceding adoption include awareness, interest
evaluation, and trial.
• The challenge facing companies introducing new products
is to create awareness and interest among consumers and
then get them to evaluate the product favourably. The best
way to evaluate a new product is through actual use so that
performance can be judged.
ATRN or Ehrenberg Model
• · Awareness
• · Trial
• · Reinforcement
• · Nudging
• Advertising does not directly sell; it works as a
reminder and reinforces the image of a brand. Which
suggests that the initial awareness of a brand and the
trial purchase do not lead to the loyalty of a brand until
repeat purchasing is achieved. In order to achieve
repeat purchasing, reinforcement and nudging must
occur- the aim is to turn new consumers into satisfied
and lasting customers.
Lasswell’s Model of Communication

• Harold D. Lasswell 1902, developed a


communication model (also known as action
model or linear model or one-way model of
communication) which is regarded as one the
most influential communication models of all
time. A convenient way to describe an act of
communication is to answer the questions:

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