Advertisements-Effective business stratergy

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Dilna dv

INTRODUCTION

Effective advertisement is the one that-

Express the brand message

To the identified target audience

At the right time and right place

At minimum cost

CONTENTS

MEANING AND DEFINITION OF ADVERTISINGFEATURES OF ADVERTISINGHISTORYTYPES OF ADVERTISINGMEDIUM OF ADVERTISINGADVANTAGES OF ADVERTISING

DISADVANTAGES OF ADVERTISINGCURRENT SCENARIO OF ADVERTISINGCREATIVES ADVERTISEMENTSCONCLUSION SUGGESTIONREFERENCE

CONTENTS

MEANING

The word advertising is derived from two Latin Words ‘Ad’ and ‘Verto’.Ad – towardsVerto – I turnLiterally it means to turn the people’s

attention to a specific thing.

DEFINITION

a notice or announcement in a public medium promoting a product, service, or event or publicizing a job vacancy

OBJECTIVES

to promote newly launched products.To differentiate the product from their

competitorsCreates new demandsTo enhance the goodwill

HISTORY OF ADVERTISING

1st advertisement – sign painted on a wall of a building

Town criers

Johannes Gutenberg – 1450

Willian caxton – 1477(handbill)

1st news paper ad - 1677

HISTORY OF ADVERTISING

• Classified ads appears – 1700• Colors appeared -1850• First advertisement agency - 1841(Volney Palmer in Boston)• First full serviece agency - 1869(N.W Ayer And Sons)

HISTORY OF ADVERTISING

Successful advertising campaigns

Pears Soap

Thomas Barrat-Father of modern advertising Propaganda and mechanization The emergence of new mass media Wall Street crash - 1929 Radio program TV - 1939 More scientific - 1960

HISTORY OF ADVERTISING

more scientific-1960’sEndeavoured to strengthen the brandIn 20th century-turned into a major

industryUsed all media

HISTORY OF ADVERTISING

In India ,ads became popular in the 19th

century during industrialisation under the British colonial

HISTORY OF ADVERTISING-INDIA

Some of the widely tools used to were Labels containing images of gods and kingsCalenders NewspapersPatriotism

HISTORY OF ADVERTISING-INDIA

TYPES OF ADVERTISING

PRINT ADVERTISING

Ads in portable printed medium like news papers,magazine,notice,brochures etc..

Provide detailed information Relatively low rate Ads can be easily reach to the audience

CELEBRITY ADVERTISING

campaign or marketing strategy used by brands, companies, or a non-profit organization which involves celebrities or a well-known person using their social status or their fame to help promote a product, service etc..

COVERT ADVERTISING Product or a particular brand is incorporated in

some entertainment and media channels like

movies, television shows or even sports.

Examples

1. Bourn vita in Movie Krish

2. Idea in film fare awards etc..

OUTDOOR ADVERTISING

Advertising on bill boards or

signboards, outside of a building and

often by the roadside.

Has to be really terse and catchy in

order to grab the attention of the

passers by.

BILLBOARDS ON TIMES SQUARE, NEW YORK

SURROGATE ADVERTISINGSurrogate advertising is a form

of advertising

which is used to promote harmful products

like cigarettes and alcohol

BROADCAST• Constitutes : television, radio or the Internet

• The cost of television advertising often depends

on:

a. the duration,

b. time, and

c. popularity of the channel.

PUBLIC SERVICE

Convey socially relevant messaged about important

matters.

Examples : AIDS, energy conservation, political

integrity, deforestation, illiteracy, poverty and so on.

MEDIUM OF ADVERTISEMENT

1.RADIO

Effectively used for communication and positioning

It can target the large audience because of its high reach

AdvantagesReach a large group of peopleMore affordableCan produce quicklyThe power of radio

Disadvantages

Not good for all productsWe all change the channel

2.TV

Television ads are a span of television programming produced and paid for by an organization, which conveys a message, typically to market a product or service.

ADVANTAGES

Expansion of the market Increases the sale Fights competition Enhances good will Educate the consumers More employment opportunities

DISADVANTAGES

•Adds to cost•Undermines social values•Confuses the buyer•Encourages sale of inferior products

DISADVANTAGES

• Bad taste • Promotions of social evils• Distraction caused by ads • Misdirection of purchasing power

3.ONLINE

Different form of online

advertising

1. Popout advertising2. Button advertising3. Sponsorship advertising4. Interactive game advertising5. Social media advertising etc…

AdvantagesRelatively low costEasy to use&Wide coverageTargeting potential customersFlexibility Builds loyaltyEasy to track

DISADVANTAGES

Technical obstacles

Capable of ignoring ads

Viewers get distracted

Not beneficial for

illiterate people

4.PRINT MEDIA

TYPES OF PRINT ADVERTISING :-

1. NEWSPAPERS 2.NEWS LETTERS

3. MAGAZINES 4.BANNERS

5. BILLBOARDS 6. BOOKS

7. BROCHURES 8. FLYERS

PRINT ADVERTISING

Advantages

Popular among consumers.

Easy medium to spread awareness.

Cheap and affordable.

Enables designing of advertisement as per our

own desire.

Disadvantages

Does not have a wide reach.

Requires lot of planning.

Is not available all the time.

CURRENT SCENARIOGlobal Statistics

Advertising revenue

$569.7 $606.9

(in b

illio

ns)

2015 2016

$182.6

$202.6

(in b

illio

ns)

2015 2018

America

China

$74.3

$92.3

(in b

illio

ns)

2015 2018

Decreasing traditional advertising.

Increased online advertising.

Indian Statistics

Estimates: GDP of 0.45% in ad

spend.

Growth at 16.8%.

Digital advertising: annual growth @

33%.

Internet share: anticipated growth

from 8% in 2013 to 16% in 2018.

4138

11 10

PRINT TV DIGITAL RADIO & CINEMA

Share of different media in total advertising revenue(in

pe

rcen

tag

e)

ROAD AHEAD…

A good run expected.

Growth expected based on several factors.

Growth expected in telecom industry also.

TOP 3 ADVERTISING AGENCIES

2010

20150

2000

4000

6000

8000

10000

12000

14000

16000

OMNICOMWPP

PUBLICIS

2010

2015

12542.5

15134.5

9890.86

12969.3

5743.08

10177.06

(Valu

e in b

illio

n d

olla

rs)

CREATIVE ASPECTS

In order to get

attention and

persuade

people creativity

is needed

Funny non-sense but unforgettable ads

INNOVATIVE AND CREATIVE

ADVANTAGES OF ADVERTISING

ADVANTAGES OF ADVERTISING

INTRODUCES A NEW PRODUCT IN THE MARKET

EXPANSION OF THE MARKET

INCREASED SALE

FIGHTS COMPETITION

ADVANTAGES OF ADVERTISING

ENHANCES GOOD-WILL

EDUCATES THE CONSUMERS

ADVANTAGES OF ADVERTISING

REDUCTION IN PRICE OF NEWS PAPER AND MAGAZINES

HIGHER STANDARD OF LIVING

ADVANTAGES OF ADVERTISING

SUPPORTS SALESMANSHIP

EMPLOYMENT OPPORTUNITIES

ADVANTAGES OF ADVERTISING

NIKE 1980s :- “Just Do It” campaign Direct impact :- Sales of $800 million dollar in 1998 grew to $9.2 billion dollar by 1998.

IMPACT OF EFFECTIVE ADVERTISMENTS – NOTABLE EXAMPLES

IDEASome famous taglines and jingles used :-“An idea can change your life”“What an Idea Sirji”“Hello honey Bunny” “No idea, get Idea”“Internet 4 All”

IMPACT OF EFFECTIVE ADVERTISMENTS – NOTABLE EXAMPLES

HUTCH

Tagline used- “wherever you go, our network follows”.

Enjoyed strong network platform in India.

Cornered 15.9% share of indian telecom market .

Established 29.2 million subscriber base.

VODAFONETook over Hutch in 2007.Established base by introducing creative advertisementsZoo zoos became instant hit and dominated online sites. focus of advertisement- “change is good”.

IMPACT OF EFFECTIVE ADVERTISMENTS – NOTABLE EXAMPLES

MAGGIIn 2015, Maggi was banned for 5 months. Brand value eroded by 30-40%. Sales dropped by 60-70%.But it sustained recovery with the help of advertisments. #we-miss-you Maggi campaign became popular. Regained 57% of the market share with no difficulty.

IMPACT OF EFFECTIVE ADVERTISMENTS – NOTABLE EXAMPLES

DISADVANTAGES OF ADVERTISING

DISADVANTAGES OF ADVERTISING

Increases the costsUndermine social valuesConfuses the buyersEncourages sale of bad products

Promotes materialismHarmful to childrenToo pervasive

DISADVANTAGES OF ADVERTISING

CONCLUSION

“It takes a big idea to attract the attention of

consumers and get them to buy your product. Unless

your advertising contains a big idea, it will pass like a

ship in the night”

David Ogilvy

“Advertising is the ability to sense ,interpret and to put

the very the very heart throbs of a business into type,

paper and ink”

Leo Burnett

SUGGESTIONS As a business unit-

Never compromise on the long term sustainability of

the business by giving false advertisements, for short

term profitability.

As a consumer-

Never trust any advertisement blindly. Stop judging

the product/service on the basis of advertisement

alone.

REFERENCE Wikipedia

NCERT

Google

DILNA DV