Advertising Definition of Advertisement- • “Advertising is any paid-for communication overtly intended to inform and/or influence one or more people.” Jeremy Bullmore, Director, WPP • “I do not regard advertising as entertainment or an art form, but as a medium of information.” David Ogilvy • According to the Canadian-US advertising pioneer, John E. Kennedy (1864-1928), an advertisement is salesmanship in print. There is not a single generally accepted definition of advertising. Instead, there are several ways to define it. In summary: PROMOTION MIX Promotion mix- A specific combination of promotional methods used for one product or a family of products. Elements of a promotion mix may include print or broadcast advertising, direct marketing, personal selling, point of sale displays, and/or merchandising. There are five main aspects of a promotional mix. These are: 1. Advertising - Advertising presentation and promotion of ideas, goods, or services by an identified sponsor. Examples: Print ads, radio, television, billboard, direct mail, brochures and catalogs, signs, in-store displays, posters, motion pictures, Web pages, banner ads, and emails. 2. Personal selling –It is a process of helping and persuading one or more prospects to purchase a good or service or to act on any idea through the use of an oral presentation. Examples: Sales presentations, sales meetings, sales training and incentive programs for intermediary salespeople, samples, and telemarketing. Can be face-to-face selling or via telephone. 3. Sales Promotion – Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability called sales promotion. Examples: coupons, sweepstakes, contests, product samples, rebates, tie-ins, self-liquidating premiums, trade shows, trade-ins, and exhibitions. 4. Public relations - Paid intimate stimulation of supply for a product, service, or business unit by planting significant news about it or a favorable presentation of it in the media called public relation. Examples Newspaper and magazine articles/reports, TVs and radio presentations, charitable contributions, speeches, issue advertising, and seminars. 5. Direct Marketing- It is a channel-agnostic form of advertising that allows businesses and nonprofits to communicate straight to the customer, with advertising techniques such as mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional letters, and outdoor advertising. 6. Corporate image- Corporate image may also be considered as the sixth aspect of promotion mix. The image of an organization is a crucial point in marketing. If the reputation of a company is bad, consumers are less willing to buy a product or use a service from this company as they would have been, if the company had a good image. Sponsorship is sometimes added as a seventh aspect. Objectives of Advertising – The real objective of advertising is effective communication between producers and consumers with the purpose to sell a product, service, or idea. The main objectives of advertising are as follows: 1. Informative- Objective of advertising is to inform its targeted audience/customers about introduction of new product, update or changes in existing products or product related changes, information regarding new offers and schemes. Informative advertising seeks to develop initial demand for a product. The promotion of any new market entry tends to pursue this objective because marketing success at this stage often depends simply on announcing product availability. Thus, informative advertising is common in the introductory stage of the product life cycle. 2. Persuasive- Objective of advertising is to increase demand for existing product by persuading new customer for first time purchase and existing customers for repurchases. Persuasive advertising attempts to increase demand for an existing product. Persuasive advertising is a competitive type of promotion suited to the growth stage and the early part of the maturity stage of the product life cycle. 3. Reminder- The objective of advertising is to remind customers about existence of product, and ongoing promotional activities. Reminder advertising strives to reinforce previous promotional activity by keeping the name of a product before the public. It is common in the latter part of the maturity stage and throughout the decline stage of the product life cycle. Mathews, Buzzell, Levitt and Frank have listed some specific objectives of advertising. • To make an immediate sale. • To build primary demand. • To introduce a price deal. • To build brand recognition or brand insistence. • To help salesman by building an awareness of a product among retailers. • To create a reputation for service, reliability or research strength. • To increase market share. Scope and Importance of Advertising Advertisements are important for: 1. Standardized products 2. Products aimed at large markets 3. Products that have easily communicated features 4. Products low in price 5. Products sold through independent channel members and/or are new. Nature of Advertising: Need to consider the following issues: • Does the product possess unique, important features to focus on Unique Selling Point (USP) • Are the hidden qualities important to the buyers • Is the general demand trend for the product adequate • Is the market potential for the product adequate • Is the competitive environment favorable • Is the organization able and willing to spend the required money to launch an advertising campaign
Posted on: Sat, 18 Oct 2014 06:49:16 +0000
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