introduction to advertising

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Information about introduction to advertising

Published on November 22, 2008

Author: pradeepmaris


Slide 1: Advertising Advertising : Advertising A shop wants to attract more customers or clear stocks, so it decides to offer special discounts for a period. It advertises in the daily newspapers to inform the public of its “sale”. A company brings out a new product which is much more economical than the existing ones in its category. If the company cannot advertise the product, it would never be able to enter the market. Any other form of communication would be long drawn out and uneconomical. The Government wants corporate, businessmen and salaried people to pay taxes. It advertises in newspapers, radio and television to reach the target audience. Who needs advertising? : Who needs advertising? Companies use advertising to: inform people about their products and services to make their brand names familiar to the public Who needs advertising? : Who needs advertising? Companies use advertising to: to give the company a “personality” which sets it apart from the others. to remind customers about their brands at the right time and right place to tell the public about improvements in products to help their sales force to be more effective to reinforce customer confidence in his/her purchase Who needs advertising? : Governments and autonomous bodies use advertising to: Inform people about their policies Promote birth control Educate the masses on health care Prevent panic during natural disasters Dispel harmful rumours Attract foreign investment Who needs advertising? Who needs advertising? : Public bodies prefer to use professional advertising agencies because agencies have the creative talent to explain complex issues in a way which makes them interesting, easy to understand and meaningful. Examples: SBI, Bank Of India, LIC etc. Who needs advertising? What is ADVERTISING? : What is ADVERTISING? “ the action of calling something to the attention of public” WEBSTER’s Dictionary What is ADVERTISING? : What is ADVERTISING? “ ADVERTISING is the delivery of the most persuasive product message at the right time, in the right place, to the right person, at the lowest possible cost” Today’s Product/Brand Manager What really is Advertising? : 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. What really is Advertising? : What really is Advertising? The non-personal nature of advertising means that there is generally no opportunity for immediate feedback from the message recipient (except in direct response advertising) Therefore before the message is sent, the advertiser must consider how the audience will interpret and respond to the message What really is Advertising? : What really is Advertising? Advertising is communication of information and values by an identified sponsor Advertising is the third partner in the relationship between a consumer and a product/service. Importance of Advertising : Importance of Advertising There are several reasons why advertisingis an important part of the marketers promotional mixes. Firstly, it is very cost effective method to communicate to a large audience. Secondly, it helps create brand image and symbolic appeal for the brand which is a very important for companies selling product/services that are difficult to differentiate on functional attributes. Importance of Advertising : Importance of Advertising Another advantage of advertising is its ability to strike a responsive chord with the consumers when differentiation across other elements of the marketing mix is difficult to achieve. Popular advertising campaigns attract customers attentions and can help generate sales. For example pepsi’s – ‘Oye bubbly’, ‘Mera number kab aye ga’, Asian Paints – ‘Badiaya hai’, Alpenleibe -Lage raho, etc Importance of advertising : Importance of advertising The nature and purpose of advertising differs from one industry to another and/or across situations. The targets of an organization's advertising efforts often vary as do the advertising role and function in the marketing program. For eg. One advertiser may seek to generate immediate response or action from customers, another may want to develop awareness or positive image for its products or service over a longer period. Role of Advertising in Brand Promotion : Role of Advertising in Brand Promotion Information and persuasion Introduction of new brand or brand extensions Building and maintaining brand loyalty among consumers Creating an image and meaning for a brand How does advertising work? : The stages in consumer purchase process Need recognition Information search Evaluation of options Outlet selections Purchase Post purchase evaluations How does advertising work? How does advertising work? : How does advertising work? Awareness Comprehension Conviction Action How does advertising work? : How does advertising work? Awareness Interest Desire Action 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 How does advertising work? Importance of advertising : Importance of advertising What advertising does is create awareness, interest, desire and drives the consumer to the shop. For any advertising to be successful, it is essential that the service or product must be superior or meaningfully different; certainly, at the very least, it must be at least satisfactory. If it is a public message, then it must be a credible proposition. Importance of advertising : Importance of advertising Any amount of good creative advertising can never help in selling a brand or a product of inferior quality. At the most advertising will help in inducing a trial from the consumers, thereafter it is entirely on the quality of the product or brand. Advertising : Advertising Some do’s Advertising should be informative Advertising should be entertaining Advertising should be involving Advertising : Advertising Some don’ts Advertising should never over claim any benefit in a product or a brand. Never try to put down or talk down your consumers in manner that will insult them. Try not to compare your brand with a competitor and try not to show your competitor in bad light. Advertising : Advertising Some don’ts In case you do any comparison with your competitor or show your competitor it should be done in a intelligent and tactful manner that such that it is memorable and not in bad taste. Slide 25: Avis v/s Hertz (Rent-a-car) How is good advertising created? : How is good advertising created? Creating good advertising is to build the most meaningful relationship between the Brand and its customers. For creating meaningful advertising one must know “Why do people buy?” Why people buy? : Why people buy? People buy a product because they have a need for it“ I need a pressure cooker because I have to lay food on the table everyday” People buy a brand because they have a relationship with it.“ I will buy a Hawkins Pressure Cooker because I can trust Hawkins”. Types of benefits : Types of benefits a) Objective benefits b) Subjective benefits c) Values-oriented benefits Objective benefits : Objective benefits These are tangible, physical and measurable These are in the product They are what you get by using it Example - “Hawkins pressure cooker cooks quickest with least trouble and greatest safety” Subjective benefits : Subjective benefits These are in the consumers mind These are perceptions. These are what the consumer believes she will get as a result of the objective benefit. Example - “ Cooking with Hawkins will make me feel that I am fulfilling my role as a wife better” Values oriented benefits : Values oriented benefits These appeal to the consumers deepest concerns, their basic drives as individual human beings. There are only a few of them - power, security, social acceptance, status, greed, sex, survival - and they are very powerful. Example - “Owning the beautiful Toyota Corolla car makes me feel special, a person clearly of a higher status with a more refined taste” Classification of Advertising : Classification of Advertising Advertising in the consumer market - National Advertising - Retail/Local Advertising - Brand Advertising - Primary/Secondary demand advertising - Political Advertising - Directory Advertising - Direct-Response Advertising - Public Service Advertising - Interactive Advertising Advertising to Business & Professional markets - Business to Business Advertising - Professional Advertising - Trade Advertising What client expect from their advertising? : What client expect from their advertising? “Innovative solutions that Break through the clutter Beat the competition, Stretch and magnify budgets” “Different, Innovative” “Great creative and media that offers full value at prices at least as good, if not better, than the competition”. “The most cost-effective and innovative way to successfully reach and communicate with consumers”. Biggest risk in advertising : Biggest risk in advertising SAFE CONVENTIONAL ADVERTISING IS THE BIGGEST RISK OF ALL It doesn’t get seen. It doesn’t get remembered. It doesn’t cause any reaction. Safe advertising just lies there quietly, hoping no-one will notice it. And no one does. Half my advertising budget is wasted. The problem is I don’t know which half. John Wanamaker, Advertising & Retailing Pioneer Should we take risks in advertising? : Should we take risks in advertising? Yes, but wisely. Foolish risks are for fools Smart businessman take only calculated risks One can be smart by getting the basics right - defining target clearly, appealing to the right values, and creating a seamless fusion of product and user. T H A N K Y O U !! : T H A N K Y O U !!

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