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What really is Advertising?

Paid form of non-personal communication about an organization, product, service or idea from an identified sponsor, using mass media to persuade or influence an audience The paid aspect of this definition reflects the fact that the space or time for an advertising message must be bought. The non-personal component means that advertising involves mass media (eg. TV, radio, magazines, newspapers) that can transmit a message to large groups of individuals, often at the same time.

Objectives of Advertising
To make an immediate sale To build primary demand To introduce a price deal To inform about a product availability To build brand recognition To increase market share To increase the frequency of usage To build overall company image TO INFORM,PERSUADE AND REMIND

Kinds of Advertising
Product Advertising Institutional advertising Primary demand advertising competitive/brand name recall Comparative advertising Shortage advertising Cooperative advertising Commercial advertising

Criticism on advertising
Economic objectionsAdvertising forces people to buy Multiplies the needs Increases cost of goods Social objectionsMisrepresentation of facts impact on media Ethical objections

Process of advertising
Preparing advertising copy

Selection of media

Establishing advertising budget

Advertisement copy

The words used to convey the advertising idea or theme are called the copy

How does advertising work?

Awareness Interest Desire Action

Characteristics of an effective Advertisement

Attention value-using pictures & drawing using attractive headlines Suggestive value Memorizing value Conviction value Sentimental value Educational value Instinct value Action value

Different Media of advertising

Advantages and limitations of TV

Enables sellers to communicate to a broad range of potentially large audiences. Has a relatively low cost per thousand viewers. Reaches a highly undifferentiated audience. High coverage means high wastage.

Is a low involvement medium.

Amount of time allowed for advertising is usually strictly controlled.

Advantages and limitations of radio An important means of broadcast communication for smaller companies operating within a restricted geographic area. Can play a valuable supportive role in extending reach and increasing frequency. Offers wide creative and imaginative advertising possibilities. Normally offers a low cost per time slot. Low involvement medium. Can be difficult to build reach and make an impact.

Advantages and limitations of cinema

Can be used to reach selected audiences.

Captive audiences.
Can obtain greater quality and impact to that of TV due to size of screen and quality of sound. Often used as a secondary medium.

Advantages and limitations of magazines Can be presented and then examined selectively at readers leisure.

Can be closely targeted to a tightly defined audience.

Reader is more likely to be receptive. High quality advertising can be produced.

Advantages and limitations of newspapers

Quick and flexible way of reaching large audiences.

Wastage rates can be high.

Have a shorter life span to that of magazines. Reproduction quality inferior to most magazines.

How does advertising work?

Hierarchy of effects
100% target audience 75% aware of the product 50% show some interest in the product 30% preferred the product 25% tried the product

15% Repurchase

Choice of advertising media

Nature of the product Nature and size of the market Objective of advertising Type of audience Type of message Circulation of media Cost of media Media used by competitor

Advertising agency

An agency that undertakes the specialized job of advertising for and on behalf of others is called as advertising agency