Advertising is a tool of marketing that disseminates information about a brand which is aimed at a large number of people simultaneously. For this advertising has to buy space or time in one or more media of mass communication such as radio, television, newspaper, magazines & internet, etc.

1. ADVERTISING
A Presentation By
Himansu S M
20-Jul-2013
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2. ADVERTISING INTRODUCTION
• Advertising is a tool of marketing that
disseminates information about a brand which
is aimed at a large number of people
simultaneously.
• For this advertising has to buy space or time in
one or more media of mass communication
such as radio, television, newspaper,
magazines & internet, etc.
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3. DEFINITIONS
• AMA-1948: Advertising is any paid form of
non-personal presentation and promotion of
ideas, goods, or services by an identified
sponsor.
• AMA-latest: Any announcement or persuasive
message placed in the mass media in paid or
donated time or space by an identified
individual, company, or organization.
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4. WHAT ADVERTISING DOES
“The purpose of marketing is
• to sell more stuff
• to more people
• more often
• for more money in order
• to make more profit”.
• Advertising helps to achieve this purpose by
following means:
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5. WHAT ADVERTISING DOES
• Increases the customer base by:
– Turning non-users into users (Ex- Mineral water,
mouthwash, deodorants, etc.)
– Attracting users of a competitive brand (Ex-
Pepsi/Cocacola, Surf/Ariel, Colgate/ Pepsodent, etc.)
– Retaining existing customers (Product advertisements,
Corporate advertisements, reinforcing messages, etc.)
• Helps increase the primary demand:
– (Ex- ads for milk, eggs, veg, gold, diamond, etc. where a
product is highlighted and not a brand.)
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6. WHAT ADVERTISING DOES
• Helps increase the usage:
– Advertising tries to increase the frequency and
types of use of a product (Ex- Brushing tooth twice
a day, Additional recipes for Milkmaid use etc.)
• Helps to reduce time between purchases:
– The Customers save themselves the trouble of
running out of necessary items, and the advertiser
is benefited by selling more frequently or more in
quantity (Ex- Soaps in 3/5packs, Toothbrushes in
4s for the whole family, etc.)
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7. WHAT ADVERTISING DOES
• Helps Product Differentiation:
– Communicating the points of supperior quality, better
price, easier availability, additional offers, etc.
• Advertising is a cost-effective method of
communication and promotion for large audiences
(Ex- thro’ TV, Radio and internet - huge public
exposure)
• Helps to create brand images and symbolic appeals
for a Company or a Brand, a very important factor for
companies selling products and services which are
difficult to differentiate on functional attributes (Ex-
Maruti / Hyundai or Honda / Toyota)
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8. CONSUMERS’ EXPECTATIONS
• Information about Products or Services
• Information about Companies and
Organisations
• Along with the above they also get Puffery
and Hype
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9. CONSUMERS’ EXPECTATIONS
• Out of these the first two are informative,
• and the third one is persuasive.
• In actual practice, the ad may be a
combination of all these with varying degrees
of these contents.
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10. CONSUMERS’ EXPECTATIONS
• Informative advertisement offers various
information cues like:
• Price, quality, contents, performance,
availability, special offers, taste, nutrition,
packaging, shape, guaranty, warranty, safety,
independent research, company research,
new ideas, etc.
• This allows the prospective buyer to make a
rational decision for buying.
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11. WHAT CONSUMERS GET
• Puffery refers to advertising which uses
subjective opinion, superlatives,
exaggerations, excessive praise, vague &
general statements with no facts or
information.
• Advertising tend to be more persuasive than
any other form of marketing communication
because of technological advancements and a
plethora of similar quality products.
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12. TYPES OF ADVERTISING
• Advocacy Advertising: Advertising that aims at
convincing various section of the public to
accept an organisation’s position on certain
issues.
• B-2-B Advertising: Advertisements that are
aimed at wholesale buyers of goods and
services, generally companies. This is also
known as Industrial Advertising.
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13. TYPES OF ADVERTISING
• Comparative Advertising: Advertising that
makes direct and indirect comparisons
between brands and companies implying that
one is better than the other.
• Consumer Product Advertising:
Advertisements that aim at giving a positive
image to a brand of consumer products.
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14. TYPES OF ADVERTISING
• Educational / NGO Advertising: Advertisements
by Educational Institutes aimed at students
concerning the choice of courses, placements,
etc. NGOs also use such types of ads to promote
various social / cultural causes.
• Financial Advertising: Advertisements that are
aimed at selling financial products like, Banks,
Insurance, Mutual Funds, Bonds, Loans, Shares,
IPO, etc.
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15. TYPES OF ADVERTISING
• Generic Advertising: Advertisements that
doesn’t specify any Brand or Company, but a
category of products like gold, silver, diamods,
ornaments, etc.
• Institutional Advertising: Advertising that
promotes a company’s mission and
philosophy.
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16. TYPES OF ADVERTISING
• Personal Advertising: Advertisements that are
placed by individuals with a specific purpose,
such as matrimonials, situation wanted, sales
of household goods, social events, obituaries,
etc.
• Political Advertising: Advertising by various
political parties during elections, such as abut
political agenda, sponsorship, presentations,
talks, comparisons, etc.
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17. TYPES OF ADVERTISING
• Retailer Advertising: Advertisements that are
carried out in local markets by organis-ations
and businesses to promote sales or increase
consumer traffic.
• Service Advertising: Advertisements that are
aimed at publicising services such as Hotels,
Hospitals, Airlines, Telecon services, Tours &
Travels, Vacations, etc.
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18. TYPES OF ADVERTISING
• Surrogate Advertising: This kind of
Advertisements refer to a tactics used by
companies and advertisers to promote
clandestinely a product for which they are
prevented by the law of the land.
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19. TYPES OF ADVERTISING
• Trade Advertising: Company Advertisements
that are aimed at the supply / distribution
channel.
• Vacancy / Appointment Advertising:
Advertisements that relate to the details of
jobs / situations vacant. These are placed
either by the employer or placement agencies,
without naming the companies.
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20. ADVERTISING ETHICS
• Critics of Advertising often do so on the
following points:
• Advertising make people buy things they don’t
really need,
• It makes people buy & hoard more than they
need,
• It creates an unequal world, and a world of
make believe
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21. ADVERTISING ETHICS
• It builds stereotypes and is glamorous,
• It exaggerates facts, tells half truths &
statistics,
• It has beautiful, influential, prestigious & high
profile people endorsing products who hardly
use these products,
• It stimulates a desire for material acquisition,
excessive consumption and consumerism.
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22. SELF REGULATION CODE
• Like other professions, Advertising too has a
code of ethics. For this the representative
body is the “Advertising Standard Council of
India” (ASCI). It has stipulated the code for self
regulation as following:
• Truthful and fair to consumers and
competitors,
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23. SELF REGULATION CODE
• Within the bounds of generally accepted
standards of public decency and propriety,
and
• Not to be used indiscriminately for promotion
of products hazardous or harmful to society or
to individuals, particularly minors, to a degree
unacceptable to society at large.
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24. THANK YOU
Himansu S M / 20-Jul-2013
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