Advertising Management Dr.
Chetna Sawant
ADVERTISING MANAGEMENT
UNIT 1
INTRODUCTION:
The word advertising comes form the latin word "advertere meaning” to turn the minds of
towards". Some of the definitions given by various authors are: 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 American
Marketing Association "advertising is any paid form of non-personal presentation and promotion
of ideas, goods and services by an identified sponsor". Advertising is used for communicating
business information to the present and prospective customers. It usually provides information
about the advertising firm, its product qualities, place of availability of its products, etc.
Advertisement is indispensable for both the sellers and the buyers. However, it is more important
for the sellers. In the modern age of large scale production, producers cannot think of pushing
sale of their products without advertising them. Advertisement supplements personal selling to a
great extent. Advertising has acquired great importance in the modern world where tough
competition in the market and fast changes in technology, we find fashion and taste in the
customers.
DEFINITIONS OF ADVERTISING
1. American Marketing Association has defined advertising as “any paid form of non-personal
presentation of ideas, goods and services by an indentified sponsor”.
2. According to Webstar, “Advertising is to give public notice or to announce publicity”.
3. According to Gardner, “Advertising is the means of mass selling that has grown up parallel
with and has been made necessary to mass production”.
FEATURES OF ADVERTISING
Advertising Management Dr. Chetna Sawant
1. Communication : Advertising is means of mass communication reaching the masses. It is a
non-personal communication because it is addressed to masses.
2. Information : Advertising informs the buyers about the benefits they would get when they
purchase a particular product. However, the information given should be complete and true.
3. Persuasion : The advertiser expects to create a favourable attitude which will lead to
favourable actions. Any advertising process attempts at converting the prospects into customers.
It is thus an indirect salesmanship and essentially a persuasion technique.
4. Profit Maximisation : True advertising does not attempt at maximising profits by increasing
the cost but by promoting the sales. This way It won‟t lead to increase the price of the product.
Thus, it has a higher sales approach rather than the higher-cost approach.
5. Non-Personal Presentation : Salesmanship is personal selling whereas advertising is non-
personal in character. Advertising is not meant for anyone individual but for all. There is absence
of personal appeal in advertising.
6. Identified Sponsor : A sponsor may be an individual or a firm who pays for the
advertisement. The name of reputed company may increase sale or products. The product gets
good market because of its identity with the reputed corporate body.
7. Consumer Choice : Advertising facilitates consumer choice. It enables consumers to purchase
goods as per their budget requirement and choice. Right choice makes consumer happy and
satisfied.
8. Art, Science and Profession : Advertising is an art because it represents a field of creativity.
Advertising is a science because it has a body of organised knowledge. Advertising is profession
is now treated as a profession with its professional bodies and code of conduct for members.
9. Element of Marking Mix : Advertising is an important element of promotion mix.
Advertising has proved to be of great utility to sell goods and services. Large manufactures
spend crores of rupees on advertising.
Advertising Management Dr. Chetna Sawant
10. Element of Creativity : A good advertising campaign involves lot of creativity and
imagination. When the message of the advertiser matches the expectations of consumers, such
creativity makes way for successful campaign.
OBJECTIVES OF ADVERTISING
https://archive.mu.ac.in/myweb_test/sybcom-avtg-eng.pdf
ROLE OF ADVERTISING IN MARKETING PROCESS
https://www.hpuniv.ac.in/hpuniv/upload/uploadfiles/files/MBA%20MM-02_merged.pdf
Page number 9
Integrated MARKETING COMMUNICATION (IMC) – ROLE AND IMPORTANCE
https://archive.mu.ac.in/myweb_test/sybcom-avtg-eng.pdf : Page number 14 to 22
IMC: A concept of marketing communications planning that recognizes the added value of a
comprehensive plan that evaluates the strategic roles of a variety of communication disciplines.
In other words, the message and approaches of general advertising, direct response, sales
promotion, public relations, and personal selling efforts are combined to provide clarity,
consistency, and maximum communications impact. IMC, thus, calls for a “big picture”
approach to planning marketing and promotion programs and coordinating the various
communication functions. It requires firms to develop a total marketing communications strategy
that recognizes what the sum total of a firm’s marketing activities, not just advertising,
communicate to its customers. Consumers’ perceptions of a firm and/or brands are a synthesis of
the messages they receive from various sources. These include media advertisement, price, direct
marketing efforts, publicity, and sales promotions, as well as interactions with salespeople and
other customer-contact employees. In a global economy with international markets and
instantaneous communications, no aspect of marketing can be studied in a vacuum or in isolation
Advertising Management Dr. Chetna Sawant
if one expects to be accurate and relevant. Marketing tools, used as planned business-building
techniques are more likely to facilitate attainment of organizational goals than current “silo”
approaches. Advertising is but a part of this integrated marketing communication. One such tool
within IMC is Direct or Database Marketing. This involves not just direct mail but also
telemarketing & direct response advertising on T.V and radio and other media, in which ad aims
to generate an action response (eg. Call center number). Direct marketing has two advantages
over mass advertising.
· The ability to target specific individual consumers with an offer that is tailored to that
consumer.
· The ability to directly measure response. The goal of direct marketing may not be to generate
awareness or change preference but it generates some action. It could be to get an order or
request for some information, a visit to a dealer or a store and so on. So direct marketing
encompasses the following:
· Targeting
· Customization ability
· Measurability
This has become a major tool since many advertisers are combining direct marketing efforts with
their regular advertising efforts. Primarily to retain loyalty of existing customers, to cross sell
new products and services to these existing customers, and to increase the amount or frequency
of usage. The second important tool within the context of IMC is Sales Promotion. They are of
two types:
· Consumer promotion (coupons, samplings, premiums, sweepstakes, low-cost financing deals
and rebates)
· Trade promotions (allowances for featuring the product in retail advertising, display and
merchandising allowances and the like) These are used to get the consumer to try or to
repurchase the brand and to get the retail trade to carry and to ‘push’ the brand. Retails in turn
use promotions to clear their inventory of slow moving, out of season, shelf-unstable products
Advertising Management Dr. Chetna Sawant
(such as fresh produce). Price cuts, displays, frequent shopper programs and so on are few of the
sales promotions done by the retailers. So how does it play a role with IMC or advertising? There
are 3 ways in which it plays a role:
· It is a key element in inducing trial or repurchase in many communication programs in which
advertising creates awareness and favorable attitudes but fails to spur action. The action comes
about due to the limited duration of the program so the consumer must act quickly. The
consumer may perceive this as a value for money purchase.
· In many retail outlet the companies are able to make out through scanners as to which brands
are moving fast off the retail shelves and also try to understand as to which shelf does not receive
much sales so that they could reduce the hiring or the display of merchandise from the shelf. This
is done in order to be cost effective.
· In order to keep the brand equity of the brand intact especially for high involvement products
and ‘feeling’ products, the advertising and sales promotion efforts must complement each other.
UNIT 2
The "theory of cognitive dissonance" in advertising states that when a consumer's actions (like
buying a product) contradict their beliefs or attitudes, it creates a mental discomfort, prompting
them to change their beliefs or rationalize their purchase to achieve consistency, which marketers
can leverage to influence buying decisions by highlighting potential inconsistencies and offering
solutions through their products; essentially, making the consumer feel better by buying the
advertised item to reduce this internal conflict.
Key points about cognitive dissonance in advertising:
Core concept: People naturally strive for consistency between their thoughts, beliefs, and
actions. When these elements clash, it creates a state of discomfort called "cognitive dissonance".
Application in advertising: Marketers can use this theory by presenting messages that subtly
suggest a consumer's current behavior or beliefs are inconsistent, then offering their product as a
way to resolve this dissonance and achieve consistency.
Advertising Management Dr. Chetna Sawant
Post-purchase dissonance: This is a common application where consumers might feel uneasy
after buying a product, especially if they had doubts about their choice. Marketers can address
this by providing reassurance through post-purchase communication, highlighting the product's
benefits, and offering customer support.
How advertisers use cognitive dissonance
Highlighting negative consequences of not buying: Ads can portray situations where not using
the product leads to undesirable outcomes, making the consumer feel like they need to buy it to
avoid negative consequences.
Creating a sense of urgency: Limited-time offers or scarcity tactics can create dissonance by
making consumers feel like they might miss out if they don't buy now.
Appealing to social norms: Ads might suggest that everyone else is using a product, creating
pressure to conform and avoid feeling left out.
Using testimonials and endorsements: Presenting positive experiences from others can
reinforce the idea that the product is beneficial and aligns with the consumer's desired self-
image.
Important aspects of cognitive dissonance theory
Magnitude of dissonance: The level of discomfort depends on the importance of the conflicting
cognitions and the degree of inconsistency.
Dissonance reduction strategies: People actively try to reduce dissonance by changing their
beliefs, behaviors, or perceptions to create consistency.
Example of cognitive dissonance in advertising: "Smoking is bad for your health, but this
brand has a special filter to reduce the harm." - This ad acknowledges the negative aspects of
smoking while presenting a solution that allows the consumer to continue smoking with less
guilt.
DAGMAR stands for Defining Advertising Goals for Measured Advertising Results.
Advertising Management Dr. Chetna Sawant
DAGMAR Model was developed by Russell Colley in 1961 for setting advertising objectives
and measuring advertising results.
According to DAGMAR Model the ultimate objective of advertising involves a communication
task, intended to create awareness, impart information, develop attitude and induce action.
Advertising objective is to carry a consumer through four levels of understanding:-
1. From unawareness to awareness - consumer must be aware of product or company,
2. Comprehension - what the product is and its benefits,
3. Conviction - mental conviction to buy the product, and
4. Action - finally buy the product.
Communication Process in DAGMAR Approach
Unaware
Aware
Comprehension & Image
Attitde
Action
1. Awareness
Advertising Management Dr. Chetna Sawant
Before the purchase behaviour is expected from target audience it is necessary to make the
audience aware with the product or company. The initial communication task of the advertising
activity is to increase the consumer awareness of the product or offer.
2. Comprehension
Only Awareness is not sufficient to stimulate a purchase, sufficient knowledge and information
about the product or the organization is necessary. This step involves the target audience to learn
something about the product, organization, or offer. Here communication task of advertising
activity is to make consumer learn about the product – product characteristics, benefits, or uses.
3. Attitude or Conviction
At this step a sense of conviction is established. By creating interest and preference, buyers are
moved to a position where they are convinced that a particular product in the class should be
tried at the next opportunity. At this step communication task of advertising activity is to mould
the audience’s beliefs about the product and this is often done through messages that demonstrate
the product’s superiority over a rival or by talking about the rewards as a result of using the
product.
4. Action Finally, communication must encourage buyer to engage in purchase activity
https://vikramuniv.ac.in/files/wp-
content/uploads/BBA_H__VI_Sem.__DAGMAAR_Approach_A__SP___Dr._Nagesh_Para
shar.pdf
Advertising and Communication: Process of communication (270-276)
https://nscpolteksby.ac.id/ebook/files/Ebook/Business%20Administration/Consumer%20B
ehaviour%20and%20Advertising%20Management%20(2006)/32.%20Chapter%204%20-
%20Process%20of%20Advertising.pdf
Advertising Management Dr. Chetna Sawant
Wilbur Schramm’s Model
Schramm's model of communication is an early and influential model of communication. It was
first published by Wilbur Schramm in 1954 and includes innovations over previous models, such
as the inclusion of a feedback loop and the discussion of the role of fields of experience. For
Schramm, communication is about sharing information or having a common attitude towards
signs. His model is based on three basic components: a source, a destination, and a message. The
process starts with an idea in the mind of the source. This idea is then encoded into a message
using signs and sent to the destination. The destination needs to decode and interpret the signs to
reconstruct the original idea. In response, they formulate their own message, encode it, and send
it back as a form of feedback. Feedback is a key part of many forms of communication. It can be
used to mitigate processes that may undermine successful communication, such as external noise
or errors in the phases of encoding and decoding.
The success of communication also depends on the fields of experience of the participants. A
field of experience includes past life experiences as well as attitudes and beliefs. It affects how
Advertising Management Dr. Chetna Sawant
the processes of encoding, decoding, and interpretation take place. For successful
communication, the message has to be located in the overlap of the fields of experience of both
participants. If the message is outside the receiver's field of experience, they are unable to
connect it to the original idea. This is often the case when there are big cultural differences.
Schramm holds that the sender usually has some goal they wish to achieve through
communication. He discusses the conditions that are needed to have this effect on the audience,
such as gaining their attention and motivating them to act towards this goal. He also applies his
model to mass communication. One difference from other forms of communication is that
successful mass communication is more difficult since there is very little feedback. In the 1970s,
Schramm proposed many revisions to his earlier model. They focus on additional factors that
make communication more complex. An example is the relation between sender and receiver: it
influences the goal of communication and the roles played by the participants.
Schramm's criticism of linear models of communication, which lack a feedback loop, has been
very influential. One shortcoming of Schramm's model is that it assumes that the communicators
take turns in exchanging information instead of sending messages simultaneously. Another
objection is that Schramm conceives information and its meaning as preexisting entities rather
than seeing communication as a process that creates meaning.
UNIT 3
1) https://www.igntu.ac.in/eContent/MJMC-04Sem-ProfManukonda-
Advanced%20Public%20Relations%20and%20Advertising.pdf
2) https://www.premclt.com/uploads/9/1/5/9/9159993/module_4.pdf
UNIT 4
1) https://herambclasses.com/Notes/SY/adversting__2_.pdf
2) https://mrcet.com/downloads/MBA/digitalnotes/MARKETING/DSMM%20digital
%20notes.pdf
Advertising Management Dr. Chetna Sawant
UNIT 5
1) https://www.msuniv.ac.in/images/distance%20education/learning%20materials/ug
%20pg/pg/mba_marketing/II%20Year%20-%20DKB25%20-
%20Advertising%20and%20Sales%20promotion.pdf
2) https://www.emarketinginstitute.org/free-ebooks/online-marketing-for-
beginners/chapter-4-basics-search-engine-marketing/#google_vignette
SE = Search Engine is a tool that enables users to locate information on the World Wide
Web. Search engines use keywords entered by users to find Websites which contain the
information sought.
SEO / SEM = A form of online marketing, Search Engine Optimization / Search Engine
Marketing is the process of making a site and its content highly relevant for both search
engines and searchers. Successful search marketing helps a site gain top positioning for
relevant words and phrases.
What is SEO? SEO is the act of modifying a website to increase its ranking in organic
(vs paid), crawler-based listings of search engines.
What is search engine marketing (SEM)? SEM is the act of marketing a website via
search engines by purchasing paid listings.
