Advertising, Sales and Promotion
Advertising, Sales and Promotion
Advertising, Sales and Promotion
‘Advertising’ can be defined as – any paid form of non-personal communication of information about
products or ideas by an identified sponsor through the mass media in an effort to persuade or
influence the behaviour of people in such a manner as to induce them to buy. In short, it means
popularising a product or service. Advertising can only create awareness and demand, but cannot
sell the product on its own.
ADVERTISING OBJECTIVES
Induce trial
Intensify usage
Sustain preference
Confirm image/Create a reputation/To build the brand
Change habits
Build line of acceptance
To build primary demand
To introduce/launch a new product
To introduce a price deal/scheme
To inform about a product’s availability
To help sales ‚ Counter competition
How to Plan an Advertising Campaign Media planning is a process of directing the advertising
message to the target audience at the appropriate time and place, using the appropriate
channel/vehicle. Media Planning helps answer questions such as - What audience do we want to
reach? When and where to reach them? How many persons should we reach? How often do we
need to reach them? What will be the cost to reach these people?
Planning of any advertising campaign must begin in the advertiser’s office. It is here that the agency
gets the first hand information of:
• weaknesses, if any
In short, one must have complete information about the client and the product/services to be
advertised. There are some factors that an agency bears in mind when selecting any media. Not only
the circulation of the newspaper or magazine, but also whether it reaches the target
segment/audience or the visibility of the hoarding, or timing of the advertisement on the television
channel, or radio station. Thus, several factors are considered when selecting any Media like features
of the media, nature of the product, the distribution network, cost of media, its frequency, Etc. It is
important to avoid any duplication or overlap of readership/viewership – e.g., A businessman would
be reading Times of India, Economic Times and also a business magazine like Business
World/Business Today. Thus, a clear rational should be adopted when selecting any media. The
biggest or the largest need not necessarily be the ideal media.
Truthful: The advertisements must ensure truthfulness and honesty of the representations
and claims made by advertisements and to safeguard against misleading advertisements.
Not offensive: The advertisements should not be offensive to generally accepted standards
of public decency.
Claims: Claims made in an advertisement should be based on or supported by independent
research or assessment, the source and date of this should be indicated in the
Advertisement.
Fair Competition: Observe fairness in competition.
Permission: Advertisement should not contain any reference to any person, Firm, Institution
or Organisation without their due permission.
Distortion: An advertisement should not distort facts nor mislead the consumer by means of
implications, omissions or exaggeration.
Trust: The advertisement should not be so framed as to abuse the trust of the consumer or
exploit his lack of knowledge – e.g., a product shall not be described as ‘free’ when actually it
involves any cost of delivery, freight or postage.
Guarantee: Claims such as ‘up to five years guarantee’ or ‘prices from as low as Y’ are not
acceptable, if there is a likelihood of the consumer being misled either as to the extent of the
availability or as to the applicability of the benefits offered.
Physical weakness: Advertisement addressed to those suffering from weakness, perceived
inadequacy of any physical attributes such as height or bust development, obesity, illness,
impotency, infertility, baldness, etc.
COPY WRITING
A copywriter is a person who writes text, or copy, for clients. Most copywriters work in advertising or
marketing, producing copy that’s intended to persuade a reader to buy a product or service or
otherwise take action. Copywriting involves providing words, which are read or heard in
advertisements. This may include slogans or jingles or detailed text for catalogues, brochures, leaflets
and journals. Copywriting also takes the form of script for television and film commercial
advertisement. Ultimately, the kinds of ads and media a copywriter will work in depend on his or her
own inclination and what clients ask for. A copywriter often works as part of an advertising team.
Agencies and advertising departments partner copywriters with art directors. The copywriter has
ultimate responsibility for their ads verbal and textual content, the art director has ultimate
responsibility for the visual look and appeal, and both are responsible for coming up with big,
effective, persuasive ideas.
The essential skill of the Copywriter lies in interpreting and understanding the mind and needs of the
target audience and the characteristics of the product. They must identify what it is that would make
people want or need the product being promoted.
MARKETING MIX
Marketing is basically exchange process and development of good relationship with customer.
Marketing mix is to providing value to the customer. Providing right product, at right price, at right
time at right place and to right customer is the marketing mix. Basically these are the elements of
marketing mix:
1.Product
2.Price
3.Place
4.Promotion
IMC is a plan through which we check and analyze different communication disciplines (like direct
marketing, sales promotion etc) according to our product target market and strategy so that we
could get maximum communication impact. “A marketing communication plan that evaluates the
strategic role of different communication disciplines and combines these disciplines to provide
clarity, consistency, and maximum communication impact”. As per this:
IMC requires that firm should develop the overall marketing strategy that requires whole of a firm’s
marketing activities, not just promotion, communicates with its customers. IMC is being vastly
adopted by almost all of the marketers because it makes the marketers to answer the changing
environments, trends, globalization, customer priorities and a lot more and therefore changing their
promotion and marketing styles with respect to that changing environment.
PROMOTIONAL MIX
Promotion mix is the process of making channels of information and persuasion to sell a product,
service or an idea. We can also say that Promotion Mix is basically the tool that helps organization in
getting its communication objectives. Following are the items of Promotion Mix:
1.Advertising
3.Internet Marketing
4.Sales Promotion
5.Publicity
6.Personal Selling
Advertising:
Advertising is basically paid form of non-personal communication about the product, organization,
service or idea. Non personal communication means that getting the immediate feedback from the
audience is not possible.
Direct Marketing:
Direct marketing is an advertising strategy that relies on the individual distribution of a sales
pitch to potential customers. Mail, email, and texting are among the delivery systems used. It
is called direct marketing because it generally eliminates the middleman such as
advertising media. Direct Marketing is very helpful for the people those have money and they don’t
have the time to go to the store and buy the thing. Direct Marketing provides them a way to directly
contact the manufacturer and buy the thing at convenience.
Internet Marketing:
Internet marketing, or online marketing, refers to advertising and marketing efforts that
use the Web and email to drive direct sales via electronic commerce, in addition to sales
leads from websites or emails.
Sales Promotion:
Sales promotion is the process of persuading a potential customer to buy the product. Sales
promotion is designed to be used as a short-term tactic to boost sales – it is rarely suitable as a
method of building long-term customer loyalty. Some sales promotions are aimed at consumers.
Others are targeted at intermediaries and at the firm's sales force. It is used to introduce new
product, clear out inventories, attract traffic, and to lift sales temporarily. Stimulation of sales
achieved through contests, demonstrations, discounts, exhibitions or trade shows, games,
giveaway etc.
Publicity:
is the public visibility or awareness for any product, service or company. It may also refer to
the movement of information from its source to the general public, often but not always via
the media. In publicity no payment is made to the publisher.
Publicity is actually the type of non-personal communication regarding the product or the service.
Publicities do an important role to make the decisions of the people about any product because the
one who is publicizing a product is not directly involved with the company. In publicity the product is
directly criticized and/or appreciated.
Personal Selling:
Personal selling is where businesses use people (the "sales force") to sell the product after
meeting face-to-face with the customer. The sellers promote the product through their
attitude, appearance and specialist product knowledge. They aim to inform and encourage
the customer to buy, or at least trial the product.
Materialism
Deception and manipulation
Stereotypes
Offensiveness
Advertising to children
Creates Insecurities
MEDIA PLANNING
Media planning is the process of identifying and selecting media outlets – mainly newspapers,
magazines, websites, TV and radio stations, and outdoor placement – in which to place paid
advertisements. The person responsible for evaluating the many media options and strategizing
campaigns to support a particular product, service, or brand is called a media planner. Media
planners typically are employed by advertising agencies.
A media planner’s job is to develop a coordinated plan for a particular client’s advertising budget.
They decide where, when, and how often to feature a specific ad. The more the planner can optimize
– meaning stretch – a client’s budget to reach the largest number of people, the better his or her
odds of seeing results. The whole purpose of advertising is to make potential customers aware of a
company’s products or services and to persuade them to buy them.
MEDIA PLANNING
Media planning is generally outsourced to entails sourcing and selecting optimal media
platforms for a client's brand or product to use. The job of media planning is to determine the
best combination of media to achieve the objectives.
Market Analysis
Performing a market analysis involves determining who your audience is.
The audience is the number and type of people your advertising targets. The
audience can be classified according to age, sex, income, occupation, etc.
Implementation
Now you have a plan. Now it's time to set it in motion. This is when you buy
media. Media buying is the purchasing of the space in the selected media.
Advertising budget is a financial document that shows the total amount to be spent on advertising
and lists the way this amount is to be allocated. It is a translation of an advertising plan into
monetary units. It helps in meeting advertising objectives of an org. It is prepared for a specific future
period of time. It is prepared by the advertising manager in consultation with the marketing manager
and approved by the top management. It shows the plan of allocation of available funds to various
advertising activities.
METHODS OF SETTING ADVERTISING BUDGET
AFFORDABLE METHOD
• An amount after allocating all the relevant company expenditure is given for advertising.
• It is based on the presumption that the firm can only afford that much amount on advertising.
• This method is not logical since it doesn’t considering the advertising needs of the firm.
• This sales figure could be last year’s sales figure or the average of the sales figures of last years.
• It may also use projected sales figure in determining the advertising budget.
• The advertising expenditures of competitors are taken as the guidelines for setting advertising
budget.
• It is based on the belief that the firm will maintain his market share as it spend same amount on
advertising as his competitors
3. Affordability:
The most important and the foremost factor while deciding the
budget is how much funds are available to the company.
4. The Product Life Cycle:
When the product is introduced, high level of advertising is required
because the product is new and the market is to be informed and
persuaded to purchase the product. When the product reaches to
the maturity stage, more advertising expenditure is required to
reduce the dropping of sales and to maintain the status quo.
6. Level of Competition:
If the competitors advertising budget is immense and is advertising
heavily, the higher budget would be required to counter attack.
7. Contingency Planning:
There are many external uncontrollable restraints that must be
taken into consideration while planning the budget.
SALES PROMOTION
“A direct inducement that offers an extra value or incentive for the product to the sales force,
distributors, or the ultimate consumer with the primary objective of creating an immediate sale.”
NEED OF SP
OBJECTIVES OF SP
IMPORTANCE OF SP
If advertising spends are reduced to increase Sales Promotions it can erode brand franchise and
image (commodity / parity product image)
ADVANTAGES OF SP
DISADVANTAGES OF SP
Creativity is the act of turning new and imaginative ideas into reality. Creativity is
characterised by the ability to perceive the world in new ways, to find hidden patterns, to
make connections between seemingly unrelated phenomena, and to generate solutions.
When it comes to direct mail marketing and advertising, creativity is the most important
aspect. It is the most efficient way to create memorable, long-lasting impressions for your
prospects, and it is a great way for you to build a fan base faster.
Creativity is the soul of advertising and branding. It is what gives life to messages about
products and services that may otherwise be boring or insignificant in the hearts and minds of
target customers.
CREATIVE LAYOUT
layout may be defined as the format in which the various elements of the advertisement are
combined. It should not be confused with the visualization though. It is a blueprint. Its
function is to assemble the different parts of advertisements- illustrations, headlines, body
text, the advertiser’s signature, and perhaps borders and other graphic materials- into a
unified presentation of the sales message.
Idea generation
CREATING APPEAL
Importance of Advertising
1. Product Launch – The foremost aim of advertising is promotion. Hence, advertising is
essential, especially for a new product that has to be launched in the market. Advertising
helps convey the information regarding launch of the new product.
2. Retain the existing customers – It is essential that customers keep following, buying
and using your brand. And this is where advertising helps companies again! It keeps on
reminding the customers about the brand and so, helps in retaining the customers and
increasing the sales.f
3. Brand Promotion – Promotion is quintessential if any brand wants to stay in the market.
This goal is achieved with the help of advertising which promotes a product, company or
service. When a brand gets established with the help of advertising, it becomes a
promise of quality and the customers start expecting from a brand. Thereafter, the stage
arises where advertising starts acting as a reminder. It reminds and convinces customers
that their chosen brand is still there.
4. Educates people – Advertising is not only about promotion! It also educates people and
makes the society aware about various issues. Many social issues like female foeticide,
child labor, child abuse, etc., are also raised thorough sensible advertisements. Thus,
advertising also helps in educating people and spreading awareness.
5. Comparison – Advertising also provides the opportunity of comparing various products
to the customers. Based on features, qualities or specifications described through
advertising, customers can take their pick on the available products.
The advertising objectives must flow from prior decisions on target market, market positioning, and
marketing mix.
Informative advertising:
It is heavily used in the pioneering stage of a product category, where the aim is to build primary
demand.
Persuasive advertising:
It is generally used when the product is in the competitive stage, where the company’s objective is to
build selective demand for a particular brand.
Whirlpool ice magic positions itself as being a quick icemaker and was the first one of its kind to use
this as a marketing platform.
Reminder advertising:
It is very important to use these when the product is in the maturity stage. They are intended to
remind people to purchase your brand.
Reinforcement advertising:
It seeks to ensure the buyers that they have made the right choice by purchasing your brand.
ADVERTSING PLANNING
2. How will we reach those targets? The cost, time required, resources will be discussed.
Budget
An advertising budget should be prepared very carefully. Firm should never overspend
on any one platform. Instead all the platforms should be used for small promotions and
based on the performance the budget should be increased. The results take time for any
campaign.
Audience
Depending upon the types of customer the medium should be used. It is ok to be present
on all platforms but the focus should be on the one where your maximum audience is
available. Like whether you have to advertise on Newspaper or Facebook or Television it
depends upon the audience.
Message
Professional assistance may be helpful. The ads should be very simple to convey the
message to the common people without any difficulty. The ads should not be too wordy
and some visual effects should be included to make it a bit interesting.
3. How to measure the results? Measuring the performance of the plan as per the
targets set.
Hence, this concludes the definition of Advertising Plan along with its overview.
CREATIVE BRIEFS
By definition, a creative brief (or creative briefing) is a document produced by the
requesting party (the customer) with the goal of establishing the defining aspects of a
creative piece of work, such as a print ad or website banner. The term is often heard in
the advertising market where it represents the first step in the journey of producing all
sorts of material such as promotional videos, websites, etc.
It details our objectives, audience/community, message or utility, the context in which
we’ll engage, timing and budgeted.
Thinking about a broader concept, a creative brief can also be defined as a relatively
short written document used by project managers and/or creative professionals with
the goal of guiding the development of creative materials to be used in
marketing/communication campaigns.
Great creative briefs have one primary function — to inspire your creative team to come up
with the most brilliant and effective communications response to solve a particular problem.
While a collection of facts, the brief should put your creative team in the right frame of mind
to come up an innovative and creative solution.
TYPES OF ADVERTISEMENTS
Print Advertising: If an advertisement is printed on paper, be it newspapers, magazines,
brochures, fliers that would be considered a portable printed medium, then it comes under the
banner of print advertising.
Outdoor Advertising: Advertising on bill boards or signboards, outside of a building and often
by the roadside. The billboard advertising is very popular however has to be really terse and
catchy in order to grab the attention of the passers by.
Broadcast advertising: is a very popular advertising medium that constitutes of several
branches like television, radio or the Internet • The cost of television advertising often
depends on the duration of the advertisement, the time of broadcast (prime time/peak time),
and of course the popularity of the television channel on which the advertisement is going to
be broadcasted.
Covert advertising: advertising is a unique kind of advertising in which a product or a
particular brand is incorporated in some entertainment and media channels like movies,
television shows or even sports.
Surrogate Advertising: Surrogate advertising is prominently seen in cases where advertising a
particular product is banned by law.
Celebrity Advertising: banks upon celebrities and their popularity for advertising their
products.
Persuasive advertisement: A type of product promotion that attempts to influence a consumer
in favour of a purchasing particular good or service by appealing to their emotions and
general sensibilities. • A business might engage in informative or persuasive advertising to
encourage first time customers to try its product, in addition to reminding customers to
purchase a product they have previously bought.
As part of the marketing mix, promotion includes all activities that involve communicating
with the customer about the product and its benefits and features. Once a company has
worked on the product and price elements, it is time to start a conversation with the consumer
about the product. This includes raising awareness through different mediums to increase
sales, as well as to create and foster brand loyalty. Through promotion, the company aims to
attract the customer’s attention and give them enough information about the product to foster
enough interest to motivate them to purchase.
The team tasked with these activities will begin by understanding the dynamics of the target
audience and deciding which modes of promotion are likely to help meet targets. Once the
channel is decided, information from other elements of the mix is incorporated to ensure that
the message sent corresponds to the actual product features, benefits and user experience.
None of the elements of the marketing mix work in isolation
4. Attitude Change
Attitudes towards the product or organization, both before and after the appearance of an
advertisement, are measured by measuring instruments which normally contains 15 to 20
sales.
5. Action
Advertising aims at stimulating action or behavior. The intention can be measured by
instruments, and the answers to certain questions may be analyzed to find out the future
trends in purchasing.
(i) Questionnaire-answer: The draft of an advertisement along with some relevant questions is
sent to a group of target consumers or advertising experts and their opinions are collected and
analysed to find out whether the proposed advertisement is satisfactory or not.
POST TESTING
Inquiry tests: It is controlled experiment conducted in the field. In inquiry test, the
number of consumer inquiries produced by an advertising copy or the medium is
considered as to the measure of its communication effectiveness.
Recall: Regular users of the related medium may be asked if they can recall a
specific advertisement, including the name of the advertiser and the products
referred to and if so, how much of the advertisement they can play back. Their
responses are studied and graded to see how far the advertisement was successful
in attracting notice or being retained.
Recognition: In this case, a particular issue of a medium is shown page by page to
a sample of its readers and they are asked to point out which advertisements they
recognise as having seen and or on the basis of the replies, evaluation is made of
the receptiveness of the advertisement.
INTERNATIONAL ADVERTISING
It can be viewed as a communication process that takes place in multiple cultures that differ
in terms of values, communication styles, and consumption patterns. The sum total of these
activities constitutes a worldwide industry that is growing in importance. International
advertising is also a major force that both reflects social values, and propagates certain values
worldwide. International advertising involves recognizing that people all over the world have
different needs. ASPECTS OF INTERNATIONAL ADVERTISING:
Culture
Language
Education
Government regulations
Media Limitations
1. Problem Definition
Pre-testing:
Implementation
Monitoring Evaluation
The following are the various sales promotion schemes used at the
consumers’ level:
1. Sampling:
Free samples are given to consumers to increase their interest in the product. They
are also given to introduce a new product and expand the market.
2. Coupons:
Coupons are supplied along with a product. It is a certificate that reduces prices.
Coupons can be mailed, enclosed in the packets or printed in the advertisements. The
purpose is to attract the customers and bring them to a particular shop to increase
the sales of a particular brand.
3. Demonstration:
It is the instructions to educate the consumers in the manner of using the product. It
is a promotional tool to attract the attention of the consumers. When products are
complex and of a technical nature, demonstration is necessary, e.g., computers, field
machinery, electrical pumping set etc. Demonstration is done in front of consumers
for mix, wet grinder in retail shops etc.
4. Contests:
These are conducted to attract new customers or to introduce new products. The
consumers are asked to state in a few words why they prefer a particular product. To
enter into the contest, the consumers must purchase a product and submit the
evidence (a label or package or a card attached to the product) with the entry form
for contest.
2. Merchandise Allowance:
An advertising allowance is given to the dealers for advertising the features of the
manufacturer’s product. A display allowance is given to them for arranging special
displays of the product. After verifying the promotional work of the dealer, the
manufacturers will give a certain amount of money for promotional activities.
3. Price Deals:
Apart from the regular discount, special discounts are also allowed to the dealers for
a specified quantity of purchase. This special discount is over and above the regular
discount.
ADVANTAGES OF ADVERTISING
DISADVANTAGES OF ADVERTISING
1. Adds to Costs:
2. Undermines Social Values:
3. Confuses the Buyers:
4. Encourages Sale of Inferior Products:
5. Some Advertisement is in Bad Taste