Terminal Notes

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ADVERTISING Advertising or advertizing is a form of communication for marketing and used to encourage, persuade , or manipulate an audience (viewers, readers or listeners; sometimes a specific group) to continue or take some new action. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common. Advertising is the promotion of a company’s products and services though different mediums to increase the sales of the product and services. It works by making the customer aware of the product and by focusing on customer’s need to buy the product. Globally, advertising has become an essential part of the corporate world. Therefore, companies allot a huge part of their revenues to the advertising budget. Advertising is a paid, no personal communication about an organization and its products that is transmitted to a target audience through a mass medium such as television, radio, newspapers, magazines, direct mail, outdoor displays or mass transit vehicles. WHAT ADVERTISERS PEOPLE DO

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Transcript of Terminal Notes

ADVERTISING Advertising or advertizing is a form of communication for marketing and used to encourage, persuade, or manipulate an audience (viewers, readers or listeners; sometimes a specific group) to continue or take some new action. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common.Advertising is the promotion of a companys products and services though different mediums to increase the sales of the product and services. It works by making the customer aware of the product and by focusing on customers need to buy the product. Globally, advertising has become an essential part of the corporate world. Therefore, companies allot a huge part of their revenues to the advertising budget.Advertising is a paid, no personal communication about an organization and its products that is transmitted to a target audience through a mass medium such as television, radio, newspapers, magazines, direct mail, outdoor displays or mass transit vehicles.WHAT ADVERTISERS PEOPLE DOAdvertising agencies or advertisers they hire must perform certain basic jobs such as planning, budgeting, coordination and ad creation.Planning: Basically planning is an ongoing process and redefining goals and objectives, performing advertising research, developing and scheduling advertisements and evaluating results.Budgeting: The person who is in charge of all these advertising tasks formulates the annual budget and gives it to the top management.Coordination: Activities of any type of business fall into three broad and functional area such as finance, production and marketing. Advertising is marketing activity that why the person who is in charge of advertising activities , must coordinate with other marketing functions like sales, finance and production as well.The advertisers: Advertisers hire many people to create advertisements and buy ad time and space. This may be of international level, national level, regional or local, global corporation. Almost every company has an advertisement department while large companies have a separate advertisement department that employs many people and is headed by the marketing director or marketing manager. On the other hand small companies have only one person who performs all these duties and tasks of advertisement.ADVERTISING FUNCTIONSAdvertising is everywhere, from television to billboards, newspapers and the Internet. Items are sold through effective advertising, which helps businesses and also stimulates the economy. To differentiate the product from their competitors To expand the product distribution Advertising performs an inform function, it communication information about the product, its features and its location of sale. It tells the consumers about new products. Advertising performs a persuasive function; it tries to persuade consumers to purchase specific brands or to change their attitude toward the product or company. Advertising performs a reminder function; it constantly reminds consumers about a product so that they will keep buying the advertised product.

ADVERTISING AGENCYAccording toAmerican marketing Association, "An Advertising agency is an independent business organization composed of creative and business people who develop, prepare and place advertising in advertising media for sellers seeking to find customers for their goods and services."Advertising Agency is an independent business organization specialized in advertising related work which undertakes the work of planning, preparing, and executing advertising campaign for its clients. Types of Advertising Agency -Following are the different types of advertising agencies:1. Full Service Agency2. Special Service Agency1. Full Service Agency: Such Advertising Agencies offers its clients a full range of marketing, communication, and promotion services including research, planning, creating, producing the ad, and selecting media. Full service agency also offers other services like-strategicmarket planning, sales promotion, direct marketing, package design, public relation, and publicity. A full service agency performs four basic functions for the clients such as research services, creative services, media services and account management.

Special service agency: Some agencies focuses on some selected areas, and gains specialization or expertise in those areas, such agencies collectively are called special service groups.In special service agency we found: creative boutique, medical agencies, direct marketing agencies, ethnic agencies.Buying Decision ProcessAll customers can be split into two general groups: consumers and organizations. The consumer market is made up of individuals and households who buy goods and services for personal use. The organizational market consists of businesses, governments and nonprofit organizations.Basically the buying decision process includes five stages.Need Recognition: A buyers first step toward a purchase decision is recognizing a need, which means that the buyer perceives a discrepancy between an actual state and a desired state.Information Search: When buyers have identified a need, they may look for information about how to satisfy that need. The information search is both internal and external.Alternative Evaluation: This is based on the information gathered, the buyer identifies and evaluates the ways to meet his/her or a companys need.Purchase: After considering the possible options, the buyer makes a purchase decision. This step includes deciding whether to buy and what to buy where to buy and when to buy.Postpurchase Decision: After buying a product customers formally or informally evaluate the outcome of the purchase.Factors Influencing the Consumer MarketThe buying decision process in the consumer market is mostly influenced by personal, psychological and social factors.Personal Factors: Personal factors are those unique to a particular person. Numerous personal factors influence purchasing decisions.Demographic factors are individual characteristics such as age, gender, educational level and income.Psychological Factors: Psychological factors operating within individual partly determine peoples general behavior and this influence their purchasing behavior. Each individual consumer is influenced by his or her perceptions, motives, attitudes and personality.Social Factors: External factors that affect individual buying are called social factors. Most important forces are culture, reference group and social status.Creativity in AdvertisingBehind every good advertisement is a creative concept, a big idea that makes the message distinctive, attention getting, memorable.Some advertising experts argue that for an advertising campaign to be effective, it must contain a big idea that attracts the consumers attention, gets a reaction and sets the advertisers product or service apart from the competitions.Four Rules of Creativity:There are generally four basic rules to be kept in mind during the creativity process these arementioned below:1. Make the product relevant to customer.2. It should be promise to the customer.3. Don't let it stand alone.4. Always put product in the centre of the commercial

Broadcast Advertising ProductionBroadcast media production (both television and radio commercials) is indeed a different world from print media production. Both print and broadcast production requires skills talent. The television and radio production team requires specialized training and technical skills. Television Advertising Production: The purpose of television production is to translate the narrative of the written script into an audiovisual medium. Advertisers also use computer generated graphics to animate TV commercials for many products.Camera Shots: What do you want the viewer to see on the screen? It depends on the product and concept and idea.Story Board: The concept of television commercial is conveyed to the production team through the storyboard. Storyboard displays inside a frame, shaped like a television screen, a picture of each camera shot.Media PlanningMedia planning is the process of directing the advertising message to the target audience at the appropriate time and place. Media planners must consider the following: What audiences do we want to reach? When and where do we want to reach them? How many people should we reach? How often do we need to reach them? What will it cost to reach them?Media Planners involves the coordination of three levels of strategy formulations : marketing strategy, advertising strategy and media strategy.TECHNOLOGICAL FORCES AND ADVERTISINGTechnological growth provides very big and important opportunities to advertisers who can use them to meet customer needs. Let we take an example of technological growth: due to the technological changes in communication, now marketers can easily reach to large masses of people more efficiently through a variety of media. The internet has become an irrepressible force.