Below the Line Advertising

1

What is meant by “below the line”

advertising

What are some of the best advantages and disadvantages of utilising the ‘Direct Mail & Trade Show’ for advertising purposes?

How Point-of-Purchase advertising works. Some examples it effectively utilised recently

By

ALI ZULFIKAR ZAHEDI, BBA, PGDPM, MBA, DIP in AD (UK)

N E E D A N D F E E D Foundation

www.needandfeed.org


2

Explain what is meant by “below Explain what is meant by “below Explain what is meant by “below Explain what is meant by “below

the line” advertising.the line” advertising.the line” advertising.the line” advertising.

BELOW THE LINE (BTL) is an advertising technique. It uses less conventional methods than the usual specific channels of advertising to

promote products, services, etc. than ATL (Above the line) strategy.

In organisational business and marketing communications, below the line

(BTL) is an advertising technique. It uses less conventional methods than

the usual specific channels of advertising to promote products, services, etc. than above the line (ATL) strategies. These may include activities

such as direct mail, public relations and sales promotions for which a fee

is agreed upon and charged up front. BTL advertising typically focuses on

direct means of communication, most commonly direct mail and e-mail,

often using highly targeted lists of names to maximize response rates."

all advertising by means other than the five major media - the press, television, radio, cinema and outdoors; below-the-line advertising

employs a variety of methods - direct mail, sponsorship, merchandising,

trade shows, exhibitions, sales literature and catalogues, and so on. There are plenty of ways in which a small advertiser can promote his product or

service through below the line like: direct mail letters , sports

promotions , competitions , exhibitions , demonstrations ,

product tags , air banners , hot air balloons , beer mats , T-

shirts , key rings , book matches , , calendars , bumper stickers ,

and so on, can all convey a message. All company need to exploit most

of them is a logo, and perhaps a slogan. Only the first few need any

elaboration.

To understand clear about the BELOW THE LINE (BTL) here I feel too discuses about the deference between BELOW THE LINE (BTL) and

ABOVE THE LINE (ATL).

The term "Below the Line" and raise rapidly going out of fashion in

advertising circles as agencies and clients switch to an 'Integrated

Communication Approach.' BTL is common techniques used for touch and

feel products. Those consumer items where the customer will rely on

immediate information then previously researched items. BTL techniques ensure recall of the brand while at the same time highlighting the features

of the product.

Above the line (ATL) is an advertising technique using mass media to

promote brands. Major above-the-line techniques include TV and radio


3

advertising, print advertising and internet banner ads. This type of

communication is conventional in nature and is considered impersonal to customers. It differs from BTL (Below the line), that believes in

unconventional brand-building strategies, such as direct mail. The ATL

strategy makes use of current traditional media: television, newspapers,

magazines, radio, outdoor, and internet.

Below the Line uses less conventional methods than the usual specific

channels of advertising to promote products, services, etc. than Above

the Line strategies. These may include activities such as direct mail,

public relations and sales promotions for which a fee is agreed upon and

charged up front. Below the line advertising typically focuses on direct

means of communication, most commonly direct mail and e-mail, often

using highly targeted lists of names to maximize response rates. Another

interesting and very effective BTL is Shop Intercept. Trained sales personnel, often girls, are deployed at Retail Stores, near the shelves of

targeted products category. These girls convince customers visiting these

shelves about the better aspects of their brand compared with others.

This is ideal for new launches as it generates trials, which if successful result in repeat sales. Above the line is much more effective when the

target group is very large and difficult to define. But, if the target group is

limited and specific, it is always advisable to use below the line

promotions for efficiency and cost-effectiveness.

Say, for example, if a manufacturer of pen is going to promote its

product, it may take the ATL route, but if a company manufactures

computer UPS, it will certainly take the BTL route, as the target group is

very limited and specific.

More recently, agencies and clients have switched to an 'Integrated Communication Approach.' BTL is a common technique used for "touch

and feel" products (consumer items where the customer will rely on

immediate information rather than previously researched items). BTL

techniques ensure recall of the brand while at the same time highlighting

the features of the product. Some of the ways by which companies do BTL

(below the line) promotions are by exhibitions, sponsorship activities,

public relations and sales promotions like giving freebies with goods,

trade discounts given to dealers and customers, reduced price offers on products, giving coupons which can be redeemed later etc.


4

What are some of the best advantages What are some of the best advantages What are some of the best advantages What are some of the best advantages

and disadvantages of utilising the and disadvantages of utilising the and disadvantages of utilising the and disadvantages of utilising the

following for advertising following for advertising following for advertising following for advertising purposes?purposes?purposes?purposes?

• Direct MailDirect MailDirect MailDirect Mail

• Trade Trade Trade Trade ShowsShowsShowsShows

In the world everything has some advantages and disadvantages while we use. For

advertising purposes we use Direct Mail and Trade Shows. My assignment focus is to

be finding out that clearly as below:

What are advantages and disadvantages of utilising the Direct mail?

Direct Mail is a highly effective tool if company have a fairly small and specific target

market. Once company know who are the potential clients are, advertiser can

approach them direct, personally, and so avoid the wastage of public advertising.

Because this is a below-the-line medium, company are not paying for space or

commission, but simply for the material produced.

With the advent of the computer, direct mail has become much simpler to operate. If

company have a database, this is one area where can go right ahead and once have

found if a good copywriter and artist and a reliable printer, company can do own

direct mailing without using an agency.

Direct Mail is wasted unless company have a precise mailing list. Company can

obtain such lists from the direct mail houses that have hundreds of categories of

people on disc.

Many advertisers believe that a personalised letter, which will obviously cost far less

than a leaflet or brochure, is the most effective way of all to reach on sales prospect.

Company can pay for a newspaper ad, print a newsletter, broadcast commercials,

erect a hoarding, or even send a plane up to write a sign in the sky. But not in any of

those cases can be sure that individual target will see or read message. But send a

letter by courtesy of the Royal Mail and he will! After reading the first sentence, he

may decide not to go further, but he will open it and scan it. And thus company have

generated, for however brief a moment, that precious commodity, company captive

audience.


5

The Versatility of Direct Mail can be used for almost any type of advertising.

company can send out personally signed letters, reply-paid cards, samples, free

gifts, coupons, brochures and leaflets, special offers, catalogues with enclosed order

forms, booking and reservation slips - the ideas are entirely up to company and all

may need is the assistance of friendly copywriter, artist and printer! In the public

relations or image-building sphere, direct mail can be used to post calendars, diaries,

quartz clocks, pens and so on with company’s name to customers or prospects. In

the industrial sphere, it can supply technical information on new developments to

prepare the ground for the visit of a salesman; or to discover interested prospects.

In the educational sphere, it can give customers information about a new service

through brochures, leaflets or in-house magazines. In the simple direct-sales sphere,

it can make special offers and personally-couched appeals to the most likely

prospects. In the area of marketing, it can pinpoint new or ‘lost’ customers or appeal

to any dealer or stockist for any reason.

The Advantages of Direct Mail :

1. Company can evaluate its effectiveness. If company compare the number of

responses to the number of pieces mailed, company can calculate the

response rate. If you include coded coupons or response cards you can keep

track of exactly who responded and from where

2. It works quickly. Company will know right away if it has been successful or

not. If company have a certain product to get rid of in a hurry, or are filling a

gap in your production year, it is the best medium.

3. Once company have the right list, it gives very high accuracy in choosing the

target market. Company can sort out a particular trade or profession, or select

people by income, race, age, or whatever.

4. Company can time it precisely to reach the potential clients on almost the very

day want to reach them.

5. Company can mail anything from a brief A5 letter to a bulky registered packet

containing samples or free gifts.

6. Allows targeting the message to a very specific audience. Pick one street of

houses or all residents of a city. Target college freshmen or just college

freshmen at one college who own a car. Mail to all of your customers or just

to those who spend an average of $25 per visit to store. The possibilities are

as endless as mailing lists accuracy allows.

7. If company are able to focus on only high-probability purchasers, cost

effectiveness can be good.

8. Direct mail messages can be personalized to add reader appeal.


6

9. Mail readers are actively involved. People read their mail when they choose.

So, for at least second or two, message will have their undivided attention

while they open and scan it.

The Disadvantages of Direct Mail:

1. The public tend to see any unsolicited mail as ‘junk mail’ and may consign it to

the wastepaper basket unread. This can be countered by presenting an

interesting image.

2. Its usefulness is entirely dependent on the strength of the mailing list. So

company’s main job is to find them self a list that covers the target market!

3. Many people don't like unsolicited offers and many are sceptical of their validity.

4. Increasingly, busy people don't even open what they view as "junk mail."

5. Using this method of advertising requires thorough maintenance of mail lists. Many advertisers do not like to bother with updating mail lists. With outdated lists, however, mail goes to undeliverable addresses and wastes your money. Another possible glitch - mail may contain out of date messages, spell names wrong, or address a person who has died and these kinds of errors annoy, or worse yet offend, the recipient.

6. Some groups are concerned about the environmental impact of resources used for advertising mailings.

7. Cost - The cost per thousand will be higher than almost any other form of mass promotion (although the wastage rate may be much lower).

8. Waste - Large quantities of paper are thrown away (see below).

9. Alienation - Some recipients resent direct marketing being "forced" upon them, and boycott companies that do so. Moreover, they may obtain Prohibitory Orders against companies whose direct marketing mail they find offensive.

What are advantages and disadvantages of utilising the Trade Show?

A trade show represents an excellent opportunity to present company and its

products to an audience looking for new ideas and innovation in a specific field. And

even if company are not attending a traditional “trade show” but something more like

a product exhibit or vendor showcase, it is important that the presentation is

attractive and professional so company can attract prospective customers.


7

Trade shows are sponsored by trade associations for specific industries, and there

are thousands of associations running shows every year. Generally trade shows

aren't open to the public and can only be attended by company representatives and

members of the press.

Exhibitions or trade show may be permanent (e.g. a building centre), general (like

the Chelsea Flower Show) or specific to one industry (e.g. computer exhibition or

any other type of Trade Fair).

They may be Trade Fairs aimed at the business (as a computer exhibition usually is)

or at the general public (e.g. Garden and Home exhibition or Family Fair). There are

agricultural shows, careers exhibitions, motor shows, outdoor living exhibitions; trade

fairs for many types of exhibitors.

Among trade promotion techniques are:

a. Free Goods: Where, for example, one free case is supplied with every dozen

purchased.

b. Buying Allowance: Where traders are offered a certain amount off the price of

each case brought. This is usually done during the launch of a new product, or the

re-launch or promotion of an old one.

c. Count and Recount Allowance: Here the trade is paid a certain amount for each

case sold during a certain period of time. Its intention is, of course, to speed up sales

of the product, often when it is to be withdrawn and succeeded by a new one, or to

sell excess stocks to ease distribution.

d. Cooperative and Dealer Advertising and Promotions: Product and promotional

advertising includes a list of dealers. This not only tells consumers where to buy the

product, but persuades dealers to join the promotion and stock the product. The

manufacturer may allow the trader a certain sum towards the cost of retail

advertising for each unit sold.

e. Sales Contests: These are used to motivate dealers, who win by having the

highest sales of the product. The effect is a temporary one and such a contest may

be used simply to sell off excess stocks.

In practice, all advertising should be thought of as generating a buying response but

whereas response advertising is intended to generate an immediate response,

information advertising is intended to keep the business and its products in the mind

of the consumer. Thus;


8

The advertiser can therefore reach either a wide cross-section of the public, or a

more specific target market according to the venue he chooses. The decision to be

made, however, is whether the money invested in an exhibition stand really pays off.

A stand at an exhibition calls for more than simply renting space. Remember that

you must budget for the costs of designing and building your stand, paying staff,

having brochures and leaflets printed - possibly giving out samples, transporting and

insuring units and goods, providing entertainment ranging from free cool drinks,

coffee or wine to lectures and cabaret shows. Expenditure mounts up.

The Advantages of Trade show :

1. Exhibiting at a trade show is an excellent way to find customers to help your

business grow.

2. According to a study conducted by the Centre for Exhibition Industry

Research (CEIR), 86 percent of show attendees were the decision-maker or

influenced buying decisions, yet 85 percent had not been called on by a

salesperson before the show

3. Trade shows are also economical ways of getting sales

4. Trade shows are popular, and it's easy to find one that fits industry and the

company’s needs.

The disadvantages of Trade show :

1. Exhibitors without attendees aren't of much worth. High-quality attendees are

the lifeblood of any successful trade show

2. Company need to recruit new employees, distributors or dealers for the

products, its cost much more.

3. It would be spend a lot of time talking to the wrong people.

4. To using trade show rentals. If company aren’t purchasing own displays,

company are restricted to the rental components available. And company

aren't free to have the entire exhibit customized.

5. If exhibition/demonstration staff are smoking, drinking, flirting, reading a novel

or painting their nails, or just not giving interested attention to visitors, the

stand is actually working against company.


9

HowHowHowHow PointPointPointPoint----ofofofof----Purchase advertising Purchase advertising Purchase advertising Purchase advertising

works. works. works. works. SomeSomeSomeSome examples it effectively examples it effectively examples it effectively examples it effectively

utilised recentlyutilised recentlyutilised recentlyutilised recently

Globally Point-of-Purchase (POP) is growing quite rapidly. Historically, marketers

and brands have found it very easy to spend money on television. However, as time

has gone on and particularly with the advent of digital TV and the proliferation of the

TV channels, it's become harder for Brands to work out where to spend money. With

this the marketers have now started to identify that where, genuinely, does a

shopper makes the buying decision. Is it all pre planned or is it in the stores.

Sales promotions should be clear, simple and distinctive, and it must obviously do

the job it is intended for: attract customer attention, remind her of any advertising she

has seen for the product, and stimulate her to buy.

One of the most powerful forms of advertising is the Point of Purchase

advertisement. No matter what other forms of advertising you may have been

exposed to concerning a product, POP advertising will often be the deciding factor

when making a purchase. POP advertisements often include detailed information

about the product such as features, warranty information, as well as cost.

POP advertisements of the future promise to fully involve the customer at the point of

purchase. Technology is currently being developed that allows images of customers

to be electronically integrated into a display at the POP location which shows the

customer being happy with the final product. Such technology could eventually lead

to virtual "fitting rooms" where it will be possible for the customer to see their

likeness holographically projected in the clothes that they are considering

purchasing.

Below the line sales promotions are short-term incentives, largely aimed at

consumers. With the increasing pressure on the marketing team to achieve

communication objectives more efficiently in a limited budget, there has been a need

to find out more effective and cost efficient ways to communicate with the target

markets. This has led to a shift from the regular media based advertising.

Sales promotions, this term (sometimes called Point-of-Sale) covers all advertising

material used where the product is purchased. It includes both window and in-store

displays. It is today the heaviest item of advertising expenditure for many


10

manufacturers and its use has grown with the growth of the supermarket. Among

point-of-purchase (POP) items are:

a. Window stickers and banners

b. Display cut-outs (often quite sophisticated)

c. Check-out counter display boxes

d. Store fixtures such as dump bins, free-standing show cases, gondola ends

e. Banners, streamers, card shelf takers, etc.

Point-of-purchase material can often be a waste of money if the retailer does not use

it. He must find it useful and suitable. For this reason it needs to be supported by

personal selling to the stockist.

The point of purchase display includes at least one display section, and preferably at

least two display sections. Each display section can include one or more of the

following components: a header, a product mount area where product is mounted for

display, and containers that contain products suitable for that display section. In one

implementation, the header is disposed at the top of the display section, the product

mount area is beneath the header, and the containers are beneath the product

mount area.

Further, the products within each display section can be divided based on a variety

of criteria, for example product quality and/or price. As an example, the product can

be divided so that higher quality/priced products are located higher up in the display

section, for example in the product mount area, middle quality/priced products are

located in the middle, for example lower in the product mount area or higher in the

containers, and lower quality/priced products are located lower in the display section,

for example in the lowest containers.

More of the product at the normal price promotions however can also have a

negative effect by spoiling the brand reputation or just a temporary sales boost

(during the discounts) followed by a lull when the discount would be called off.

Coupons

Gift with purchase

Competitions and prizes

This is an important tool to increase brand awareness amongst the target consumer.

It can be used to boost up sales for temporary period and ensure usage amongst

first time users.


11

Money refunds a customer receive a money refund after submitting a proof of

purchase to the manufacturer. Customers often view these schemes with some

suspicion – particularly if the method of obtaining a refund looks unusual or onerous.

Frequent user/loyalty incentives

Ring tones and music videos on cell phones are helping the entertainment industry

to promote for a music video or a movie for dirt-cheap rate as compared to media

promotion.

Most of the pharmacy companies do BTL promotion by getting shelf space through

doctors to display their products or by giving away free calcium tablets again through

doctors, knowing that for a patient a personal advice from a doctor would hold more

value as compared to a commercial advertisement.

It is seen effectively utilised recently of point of purchase

The majority of consumer purchase decisions are made in-store, as research

suggests, the question has to be asked why the bulk of marketing money is not

being spent in-store.

It seems logical that in-store marketing should become more attractive as traditional

above-the-line media become increasingly fragmented and marketers struggle to

reach a wide audience through an affordable range of media.

It is seen effectively utilised recently of point of purchase, whatever let us now look

at the various methods that can be used as a good sales Promotion in point of

purchase:

The checkout counters of many convenience stores are cluttered with cigarette and

candy POP displays.

The message on unused floor and counter surfaces could be great tool to be a POP.

This unique and inescapable medium stands out to increase brand awareness and

reactivate the impact of advertising campaign

The point of purchase display is particularly beneficial for use with hand tools, for example paint and decorating hand tools and related accessories. In the case of paint and decorating hand tools, the display is designed to assist the user in selecting the appropriate tool that is needed by the purchaser for the task that needs to be performed. The point of purchase display uses colour, text, and/or illustrations to assist the purchaser in selecting the appropriate product for purchase. The point of purchase display uses colour and/or text and/or illustrations to assist the purchaser in selecting the appropriate product for purchase. The use of colour helps


12

to, for example, categorize the products and draw the purchaser's attention to a particular product category. POP depend on some sales promotion activities also that make consumer’s decision strongly as below

• Corporate image

• Displays, printed material, exhibitions and trade fairs

• Special promotions

• Sponsorship

• Personalised mail shots

Corporate Image

There are considerable benefits to be gained from developing a corporate image,

namely; Generation of trust, improved staff relations, a foundation for expansion and

diversification. Once established the image will help to launch new products and

expand into new markets as customers will already know and trust the company.

Compared with other forms of advertising/promotion it is relatively cheap, but

remember it does take time to establish a corporate identity. To develop the

corporate image company need to;

Establish a logo - a graphic design based possibly on the company name or an

abstract design attached to the company name. Establish a set of company colours

that can be used in all printed material, display material, equipment and packaging.

Establish an image that reflects the type of Business Company is operating and

advertiser’s basic approach.

Displays, printed material, exhibitions and trade fairs

Displays. The basic principles with displays are to follow the corporate image and to be professional. If the display material is to have any chance of success it must be of good quality. Printed Material. What I am talking about here are things like price-lists, catalogues, brochures, leaflets, stationery, business cards, etc. All of these are essential to your business. They should promote the corporate image and, importantly, never be shoddy.


13

Exhibitions and Trade Fairs. These may be local, national or international. They are important though rarely do they pay for themselves in terms of orders taken. Rather, they are there for company to make new contacts, demonstrate new and complicated products and build goodwill. Before you go to an exhibition or trade fair, ensure that you prepare and present yourself properly. You will need to find out about the numbers and types of visitors and the other exhibitors. Company cannot rely upon the organisers for this information so, if possible, visit the exhibition/trade fair the year before to intend to exhibit and note;

• The precise layout of the stand area (and decide where you want your stand). • The furniture provided and required. • The lighting and power supplies available. • The display material and audio visual facilities you will need. • The sort of literature, samples, demonstration models, etc the other exhibitors

have on their stands.

Company should also consider issues such as;

• How will record and process enquiries/orders. • Staff rotas. • Hospitality and entertainment. • Special promotional activities. • Who want to meet at the Exhibition/Fair? Advertiser should tell them (and the

media) that company will be there and invite them.

Special promotions

I can talking about here are things like 'money-off' coupons, bonus packs (x% free), buy one get one free campaigns, free samples, demonstrations, competitions and contests, special discounts, volume discounts, etc. These are all intended to create rapid, short-lived increases in business and are often used to launch a new product or a change in price. However, they should always be;

• Part of a planned programme of promotion over a period of time. • Planned, controlled and monitored. • Before embarking on a promotion, company should establish; • What are attempting to achieve. • The best method to use. • The budget.

• The duration of the promotion.

Personalised mail shots


14

The mail service is often used as a promotional medium as are door to door

deliveries of promotional material. It is one of the tools of marketing most used by

small businesses. Its advantages include the fact that it is;

• Selective - customers can be identified and classified into different groups or

segments.

• Personal - therefore is hard to ignore.

• Monitor-able - its results can be evaluated accurately.

N E E D A N D F E E D Foundation

Below the Line Advertising

Documents

Transcript of Below the Line Advertising