Introduction to Advertising
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Advertising ManagementINTRODUCTION
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• Traditionally, marketing is the way a product is designed, tested, produced, branded, packaged, priced, distributed, and promoted.
• “An organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.”—American Marketing Association
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• According to William J. Stanton, "Advertising consists of all the activities involved in presenting to an audience a non-personal, sponsor-identified, paid-for message about a product or organization.“
• According to Webstar, “Advertising is to give public notice or to announce publicity”.
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• http://adage.com/• http://adage.com/article/cmo-
strategy/samsung-reminds-built-bigger-phones/294969/
• http://adage.com/article/news/year-s-biggest-winners-creative-campaigns/238234/
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• http://adage.com/article/news/year-s-biggest-winners-creative-campaigns/238234/
• http://www.coloribus.com/advertisers/microsoft-corporation-5391255,media-prints,year-2000/
• Frank Jefkins
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• According to American Marketing Association "advertising is any paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor".
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5-9
Money Spent on Media
75% - Media buys15% - Creative work (agency)10% - Ad production
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Top Ten World Advertising Agencies
Source: http://www.adage.com/, February 12, 2002.
McCann-Erickson WorldwideDDB Worldwide Grey AdvertisingOgilvy & Mather WorldwideEURO RSCG WorldwideJ.Walter Thompson Co.BBDO WorldwideY & R AdvertisingPublicis CommunicationD’Arcy Masius Benton & Bowles
Agency
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• To build brand image▫ Top of mind▫ First choice
• To inform• To persuade• To support other marketing efforts• To encourage action
Advertising Goals
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FEATURES OF ADVERTISING
• Communication• Information• Persuasion• Profit Maximisation• Non-Personal
Presentation
• Element of Marketing Mix• Consumer Choice• Art, Science and
Profession• Element of Creativity• Identified Sponsor
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• To introduce a new product by creating interest for it among the prospective customers.
• To support personal selling programme. Advertising maybe used to open customers' doors for salesman.
• To reach people inaccessible to salesman.• To enter a new market or attract a new group of customers.• To light competition in the market and to increase the sales as• seen in the fierce competition between Coke and Pepsi.• To enhance the goodwill of the enterprise by promising better• quality products and services.• To improve dealer relations. Advertising supports the dealers in• selling he product. Dealers are attracted towards a product• which is advertised effectively.• To warn the public against imitation of an enterprise's products.
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ACTIVE PARTICIPANT IN ADVERTISING
• ADVERTISER• TARGET AUDIENCE• ADVERTISING AGENCIES• ADVERTISING PRODUCTION PEOPLE• TARGET AUDIENCE• MASS MEDIA• GOVERNMENT AUTHORITIES• ADVERTISING PRODUCTION FIRMS