Advertising & public relation

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Advertising & public relation

  1. 1. First year Advertising and Public Relation Paper 580/1.5 Assignments Submit by- Submit to- Kawinder jit Rajnish Sharma Enroll no.-5800800101 Checked by-
  2. 2. content <ul><li>Unit I- Make an appointment with an advertising agency manager. Understand from him/her how advertising of products and services differs </li></ul><ul><li>Unit II- Find an example of cooperative advertising. Contact a representative of each company that participates in the cooperative advertising to understand the advantages and disadvantages of it, as well as the costs associated with it. </li></ul><ul><li>Unit III- Find examples of false/deceptive advertising across as many media channels as possible. Write in what way the advertising was false and what action was taken by reporting press, consumers and the company once the deception was exposed. </li></ul><ul><li>Unit IV- Visit a McDonald’s outlet, and find out what kind of emergency plans are in place at restaurant. How did these rules come about ? When ? Who framed them? What contingencies do they guard against? Has there ever been occasion to implement these? Present your answers in the context of the argument that it is vital for an organization to have emergency plans in place </li></ul><ul><li>Unit V- Volunteer with an organization of your choice that often distributes press releases. Speak with a manager in the company to understand how the company plans different types of press releases, and what rules of thumb it has created in order to ensure the best possible result for the company </li></ul>
  3. 3. Unit I Make an appointment with an advertising agency manager. Understand from him/her how advertising of products and services differs.
  4. 4. Advertising : Adverting is only one element of the promotion mix, but it often considered prominent in the overall marketing mix design. Advertising is integral part of our social and economic systems. In our complex society , advertising has evolved into a vital communications system for both consumers and businesses. Advertising is defined as any paid form of nonpersonal communication about an organization, product, service or idea by an identified sponsor. Dictionary meaning of the term is “ to give public notice or to announce publicly.”
  5. 5. Ad. Agency: Getting the best out of advertising is a highly skilled job. It requires the inputs of experts in many different fields like writers, artists, photographers, designers, television production crews and many others. Even the biggest advertisers cannot afford to employ all these experts. Almost all advertising is therefore arranged through an advertising agency which provides the necessary skill to turn the message into a memorable and effective advertisement. Advertising has not only come to reflect pop culture but has also become an important element of economic growth. An advertising agency is a firm that specializes in the creation, design and placement of advertisements, and in the planning and execution of promotional campaigns for products and services of their clients
  6. 6. CLASSIFICATION AND TYPES OF ADVERTISING <ul><li>Product – Related Advertising </li></ul><ul><li>Pioneering Advertising </li></ul><ul><li>Competitive Advertising </li></ul><ul><li>Retentive Advertising </li></ul><ul><li>Public Service Advertising </li></ul><ul><li>Functional Classification </li></ul><ul><li>Advertising Based on Demand Influence Level. </li></ul><ul><li>1.Primary Demand (Stimulation) </li></ul><ul><li>2. Selective Demand (Stimulation) </li></ul><ul><li>Institutional Advertising </li></ul><ul><li>Product Advertising </li></ul>
  7. 7. Cont. types : <ul><li>1.Informative Product Advertising </li></ul><ul><li>2.Persuasive Product Advertising </li></ul><ul><li>3.Reminder-Oriented Product Advertising </li></ul><ul><li>Advertising based on Product Life Cycle </li></ul><ul><li>Consumer Advertising </li></ul><ul><li>Industrial Advertising </li></ul><ul><li>Trade Advertising </li></ul><ul><li>Retail Advertising </li></ul><ul><li>Wholesale Advertising </li></ul><ul><li>Advertising Based on Area of operation </li></ul><ul><li>National advertising </li></ul><ul><li>Local advertising </li></ul><ul><li>Regional advertising </li></ul><ul><li>Advertising According to Medium Utilized </li></ul>
  8. 8. Now as per our query what differs in products and services advertising. Here the main difference lies in the meaning of their tangibility. To clarify this as: Advertising services is one of the most difficult type of advertising. You don't have a tangible product you can put in someone's hand. They can't touch it, feel it, see it or smell it. It must often be explained as well as demonstrated. One of the best examples of service advertising is carpet cleaners. They come in, run some machinery over your carpets and leave. Nothing tangible is left behind. Except clean carpets. Service advertising is most often emotional advertising. Carpet cleaners don't sell clean carpets. They sell health to the infant crawling on the floor. They sell pride that people can visit a beautiful clean home . On the contrary advertising products; they can touched ,felt, saw or smelled. e.g. Colgate total.
  9. 9. A lthough the rules of marketing apply pretty equally to most products, the advertising and marketing of a service has a few differences. The biggest difference is that there is no product for the customer to touch, smell or see. A service is whatever the customer perceives it to be .The owner of a service company may see the finished product in an entirely different light than the customer For example, a carpet cleaner knows certain fabrics and colors may not clean as well as others. Heavy traffic may have worn the carpet. Cleaning will not make wear disappear. The customer may not understand these things. The customer may unrealistically expect the carpet to be exactly like new. The owner of a service company has a much tougher selling job than the person with a product. He may have to offer to clean a portion of the carpet at no charge to convince the customer of the quality of the finished job.
  10. 10. Example
  11. 11. Another clear difference as :Most service businesses live on word-of-mouth advertising, and referrals. Satisfied customers who will be happy to write testimonials of your service and quality of work. To demystify more we take excerpts from interview of Kunal Lalani MD Of Caryons Advertising Ltd. In 4PsB&M.
  12. 12. About Crayons Advertising Ltd. Crayons Advertising Ltd D-12,NELSON CHAMBERS 115,NMR, 600029, TAMIL NADU p: 42082975 Kunal Lalani, a Commerce graduate from Delhi University, single handedly set up Crayons Advertising in 1986 with meager resources. As Managing Director of the agency, he has driven it to make it one of the largest independent agencies in India. A hands-on person, his strength lies in understanding the intricacies of Indian business and providing not only communication solutions but business solutions as well. His passion for the industry led to the formation of the Advertising Agencies Guild of India (AAG), of which he was the Founder-President, and he mobilized 30 ad agencies to work on issues of common interest. He was also a member representing North Zone at the Advertising Agencies Association of India (AAAI).
  13. 13. Kunal Lalani , Managing Director, Crayons Advertising Congress is not Colgate Palmolive . Winning an unlimited budget account of congress party is great news for any agency.
  14. 16. What made us win is the fact that we did a lot of homework before (clients perspective –AIDA- [attention, interest, desire, action]) I reiterate that we are aligned to a particular project, not a party, plus we were dealing with highly sensitive people. For them, the vote of Anil Ambani is equal to the vote of any other person. And not always think in English in India ,instead thought in Hindi.
  15. 17. Having to work with political party, we developed insight how they think and their mindset. If we were thinking in Hindi, it’s oblivious that we used our insights to connect with the aam aadmi . Conclusion: We conclude from above excerpt that we will not treat Public Services Advertising like a Colgate Palmolive or a Close-Up.
  16. 18. Unit II Find an example of cooperative advertising. Contact a representative of each company that participates in the cooperative advertising to understand the advantages and disadvantages of it, as well as the costs associated with it.
  17. 19. Cooperative Advertising: <ul><li>Cooperative (co-op) advertising is an agreed-on sharing of specified advertising costs or other promotional costs among manufacturers and retailers or analogous groups. Co-op is an arrangement beneficial to both manufacturers and their business partners and an excellent way to expand advertising and promotion. </li></ul><ul><li>Cooperative advertising is a cost-sharing arrangement between you and your suppliers for your advertising. The rules and policies for each cooperative advertising arrangement will vary for each supplier. However, one feature that is common in almost all cooperative advertising arrangements is that you must prominently feature the supplier's product or service in your advertisement. Cooperative advertising can significantly minimize your expenses — in particular, your advertising expense </li></ul>
  18. 20. As per our definitions we simplified the term co-op advertising as: <ul><li>Cooperative advertising occurs when two brands appear in one ad because their lifestyles match; said Harish Bijoor , CEO Harish Bijoor Consult ltd , a marketing consulting firm. It’s kind of like a marriage between two people from different background with common goals; he added. </li></ul><ul><li>Reebok and Sony Ericsson may seem unlikely partners; just as Nike and Apple or Samsung and Hindustan Unilever Ltd, do. Yet ,these companies have either already launched or plan to launch joint advertising or cooperative advertising campaign in an effort to sell common benefits and reduce overall costs </li></ul>
  19. 21. Furthering how these companies participates in co-op advertising <ul><li>For Sony Ericsson and Reebok , and Nike and iPod the commonality lies in the fact that most serious runners (or hobby runners) listen to music while running. The two companies came together to present exercise as an experience and not a chore. </li></ul><ul><li>Intel India among the first companies to launch cooperative campaigns in association with PC makers. The campaigns which still continues, made Intel, which makes chips, one of the most recognized brands in the world. PC makers benefited by association with a company that was considered a technology leader . In addition ,small PC assemblers gained credibility by associating with the brand e.g. Sahara, Chirag. Intel campaign started in 1991, when the firm created cooperative advertising fund. Intel sometimes pays up to 75% of advertising cost. </li></ul>
  20. 22. Examples in FMCG <ul><li>Samsung India Electronic Pvt. Ltd and Hindustan Uniliver have just launched a cooperative advertising effort where some of the latter’s Surf Excel packs carry Samsung branding on one side and their own branding on the other. </li></ul><ul><li>In early 2000’s P&G home product ltd, and Whirpool India ltd launched a similar one for Ariel detergent and Whirpool washing machines. </li></ul><ul><li>“ Cooperative advertising accounts for a very small percentage of total advertising because the issues companies face while working together are far too many”. Said Bijoor. But if done right, the reach can be twofold and can change the way advertising works. </li></ul>
  21. 23. Benefits of Cooperative Advertising <ul><li>The biggest benefit of cooperative advertising for small business owners, of course, is that such arrangements can dramatically cut advertising costs .e.g. Intel </li></ul><ul><li>Another benefit that sometimes results from such agreements is valuable creative and media-buying guidance. Some large manufacturers will provide help for the small business owner in refining the look and message of the advertisement, and in effectively placing the ad in a mutually beneficial way. E.g. service sector, garment retails. </li></ul>
  22. 24. Drawbacks to Cooperative Advertising <ul><li>The small business owner must be careful that he or she completely understands the commitment involved when seeking a cooperative advertising agreement. Many manufacturers demand a certain style of advertising, or a high level of quality that may be difficult for a struggling business to achieve. There may be hidden requirements which must be met, or limits on the kind of advertising which can be funded by manufacturers'. The specific demands involved in an advertising cooperation will vary widely between manufacturers; business consultants recommend that small business owners consult an attorney before signing any such agreements. </li></ul>
  23. 25. Unit III Find examples of false/deceptive advertising across as many media channels as possible. Write in what way the advertising was false and what action was taken by reporting press, consumers and the company once the deception was exposed.
  24. 26. Introduction Deceptive advertising and marketing practices have been around since the beginning of time and are still prevalent today. Sometimes it is done unknowingly by an advertiser, however, more often than not, it is done with the intent to mislead the consumer.
  25. 27. What is false or misleading advertising ? An advertisement or marketing practice is considered deceptive if there is a &quot;representation, omission, or practice that is likely to mislead the consumer&quot;. The advertisement does not necessarily have to cause actual deception, but, according to the Federal Trade Commission (FTC), the act need only likely mislead the consumer (Federal Trade Commission, 1998 . False advertising consists of any claims that are untruthful or deceptive to a reasonable consumer. Misleading advertising consists of any claims) that may give a consumer the wrong impression about a product they wish to purchase or use. State and federal regulators also monitor unfair advertising practices . False or misleading advertisements may cause damage to consumers including financial losses.
  26. 28. Types of false or misleading advertising <ul><li>It is illegal to promote a product that a company does not intend to sell or provide. </li></ul><ul><li>High-pressure sales tactics to get a consumer to purchase an unwanted product or service </li></ul><ul><li>Artificially inflating prices to make it appear that a good deal is available </li></ul><ul><li>Use of fine print to mislead consumers </li></ul><ul><li>Failure to disclose when an offer expires </li></ul><ul><li>False claims of going out of business or offering wholesale or factory direct products misleadingly </li></ul><ul><li>Deceptive non-disclosure </li></ul><ul><li>And more </li></ul>
  27. 29. Examples
  28. 30. Examples:
  29. 31. Examples:
  30. 32. Penalties against false or misleading advertising <ul><li>Under Central and state consumer protection laws, there a number of penalties that may be brought against companies who run false or misleading ads, which may include ordering companies to stop engaging in deceptive practices, hefty fines, corrective advertising, disclosures, and more. </li></ul><ul><li>In the event that false or misleading advertising causes harm or injury to a consumer, civil penalties can be imposed to recover monetary damages . Under the Lanham Act , a consumer bringing a lawsuit against a company must prove that the advertisement was actually false or likely to mislead or confuse consumers. Evidence of consumer confusion is a requirement to obtain recovery for damages. </li></ul>
  31. 33. Unit IV Visit a McDonald’s outlet, and find out what kind of emergency plans are in place at restaurant. How did these rules come about ? When ? Who framed them? What contingencies do they guard against? Has there ever been occasion to implement these? Present your answers in the context of the argument that it is vital for an organization to have emergency plans in place.
  32. 34. PR skills importance at restaurant : People who open their own restaurant typically possess an abundance of highly desirable traits and skills . Almost without exception, they're very capable individuals who are naturally optimistic, creative, dedicated, highly motivated, action-oriented, and are not afraid of hard work and long hours to achieve their goals. Although restaurant owners consistently display these positive characteristics, it's no secret that many new restaurateurs find themselves faced with moderate and even severe challenges in turning their restaurants into successful businesses. There's a lot of truth in the statement, &quot;opening a restaurant is the easy part, the real challenge is making money at it.&quot;
  33. 35. One of the main occupational hazards of owning a restaurant is getting buried in the small detail of daily operations. As our activity suggest how McDonald successfully adopt PR regime at restaurant
  34. 36. overview Despite its worldwide proliferation, McDonald’s is still an indelible symbol of American culture. Representing the world’s largest chain of fast food restaurants, the McDonald’s golden arches are nearly ubiquitous; the chain boasts some 31,000 restaurants in over 100 countries that together serve about 52 million customers each the McDonald’s Corporation poses interesting challenges to public diplomacy.
  35. 37. History/Founding <ul><li>McDonald’s was originally established in the United States by the brothers Mac and Richard McDonald. After the failure of several car hop style restaurants, the brothers implemented a system emphasizing speed, volume, and low prices.The new system would use mechanized kitchens, assembly lines, and preassembled food to reduce cost, increase production, and generate higher customer turnover. Thus, in 1948, the modern McDonald’s restaurant made its debut. By 1955, the first franchise was opened by Ray Kroc in Des Plaines, Illinois, marking the creation of the McDonald’s Corporation. Though the McDonald’s brothers sold a few franchises, the franchising boom didn’t begin until Kroc purchased the rights to the chain in the early 1960’s. Kroc emphasized the idea of fast, low-priced, quality products offered in a clean, friendly environment. Rigorous rules governed franchise operations, creating homogeneity in the McDonald’s look, taste, and experience. </li></ul>
  36. 38. What I Learned About PR at McDonalds At McDonalds I've given it a little thought and there are three big lessons I learned that I carry with me today in my practice of public relations.
  37. 39. These points are taken from the excerpts of Bob Langert, Senior Director for Corporate Responsibility for McDonalds, and author of the Open for Discussion Blog. <ul><li>Know Your Audience :In PR, knowing who you are serving and meeting their preferences is the key to unlocking loyalty </li></ul><ul><li>The Power of Having and Working a Plan Everything at McDonalds was regimented. We wore the same uniform, followed detailed processes for readying food, observed minimum wait times in the drive thru (2 minutes max Everything was timed and customers were generally happy with the food served up by this otherwise different types of crew. Likewise, in PR it is important to have a plan in place so that you aren’t always running from crisis to crisis. </li></ul><ul><li> </li></ul>
  38. 40. Cont. <ul><li>How to Shift Gears in a Crisis </li></ul><ul><li>Picture this, a bus with more than 50 kids arrives and their chaperones in the restaurant and you have enough food for about 10, the average crowd at that time of day. It takes a good two to three minutes to get 20 hamburgers made and don’t even ask for a filet of fish, fry times are longer – which also means we don’t have enough fries. What do you do, well, you innovate within the plan. We took orders and “parked” the customers to the side so that the lines didn’t get out of hand. We pulled a person off the register to fill orders and the manager kept up with the fries, taking pressure off of the front line. We then handed out free kids cones to appease the crowd. In a PR, when a crisis hits, it is important to know who does what. The McDonald’s system makes that apparent, everyone has defined roles, so the manager can easily make a few tweaks to “hone the plan” in action. A PR crisis plan should do the same. </li></ul>
  39. 41. Now how these rules comes out and who framed them. <ul><li>Ray Kroc, Founder of McDonald's build a complete &quot;set of instructions&quot; for operating a McDonald's restaurant </li></ul><ul><li>He required every new franchisee to attend the corporation's Hamburger University to learn the McDonald's &quot;system&quot; or way of doing business regardless of their experience. </li></ul>
  40. 42. Conclusion <ul><li>From the visit at McDonalds outlet it is imperative for an organization to have PR planning in place to face any type of crisis- regarding influx of customer , security contingencies. Their must be a comprehensive developed system: </li></ul><ul><li>Increase the odds you'll attract and keep quality employees </li></ul><ul><li>Provide direction </li></ul><ul><li>Create consistency </li></ul><ul><li>Prepare Your Operating Manual </li></ul><ul><li>Menu and kitchen management. ,Dining room management. ,Bar and beverage management. ,Personnel administration., Purchasing and inventory, Employee training, Cleanliness and sanitation. safety and security Marketing and promotions. Business and financial management. Equipment management. Facilities management </li></ul>
  41. 43. Unit V Volunteer with an organization of your choice that often distributes press releases. Speak with a manager in the company to understand how the company plans different types of press releases, and what rules of thumb it has created in order to ensure the best possible result for the company.
  42. 44. Press releases: Press releases are often lumped together as one single tool in PR writing or publicity. However, there are many different types of press releases, all with their own rules, formats, and other subtle differences in how they convey a message to members of the media . Press releases are often referred to as news releases or media releases, and are a tool used to pitch a newsworthy story about a business, website, or person to journalists, bloggers, and other members of the media. The purpose of a press release is basically to inspire a journalist to research the story further or conduct an interview to write a unique news story, although many publications (especially online) will publish news releases as-is. What Does a Press Release Look Like? Press releases often fall within the 300-600 word range, and rarely exceed one print page if being distributed through fax or mail.
  43. 45. Types of press releases <ul><li>General News Releases – General press releases are what most people think of when they think of press releases. A general press release simply includes news that needs to be disseminated to members of the media in the hopes of media coverage and exposure. For example, a general news release might be used if a company runs a contest, wins an award, or has some other general news about the company, organization, person, or website. </li></ul><ul><li>Launch Releases – Launch press releases tend to follow the format of a general news release, but with a more specific function. Launch releases have to carry an extra air or urgency or timeliness to generate buzz around the launch of a company, website, organization, or initiative of some kind. </li></ul>
  44. 46. Contd. types <ul><li>Product Press Releases – Product press releases can sometimes carry a slightly different format than general press releases, because they’ll often include specs for the product. Product press releases can overlap with launch releases when a new product is launched, and can also be used if products win awards, reach sales milestones, have to be recalled for some reason, have an upgraded version released, and can be used with any other product-focused news. Product press releases will often benefit from including photos. </li></ul><ul><li>Executive / Staff Announcements – Companies often send press releases when there are staff changes, especially in high levels of management. The primary difference with staff announcements (as opposed to general news releases) is that more of the release can be biographical as supporting information to justify the staff change and introduce the new staff member. These will also often include at least one photo. </li></ul>
  45. 47. Contd. types <ul><li>Expert Positioning Press Releases – These press releases are often less urgent than more general news releases. They may revolve around a report issued by the company, by offering statistics and results, or they may involve news from a third party organization with quotes or other supporting information from the issuing company or individual. These releases are used to demonstrate someone’s expertise in a certain subject matter, to hopefully make them a go-to source for information in the future for members of the media. </li></ul><ul><li>Event Press Releases – Event press releases are often formatted differently than a general news release, because they need to very clearly lay out the who, what, when, where, and why, often in a list or outline form rather than laid out in paragraphs. As opposed to media advisories, which are intended to convince members of the media to actually attend an event, event press releases are usually issued in hopes that the media will announce the event details to the public. </li></ul>
  46. 48. As info Issued by: Debasis Ray Head - Corporate Communications Tata Motors Limited Phone: +912266657613 E-Mail: peoplescar@tatamotors.com to my request about their company press releases
  47. 49. About Tata Motors Tata Motors Limited is India’s largest automobile company, with revenues of Rs. 35651.48 crores (USD 8.8 billion) in 2007-08. It is the leader in commercial vehicles in each segment, and among the top three in passenger vehicles with winning products in the compact, midsize car and utility vehicle segments. The company is the world’s fourth largest truck manufacturer, and the world’s second largest bus manufacturer . Established in 1945, Tata Motors’ presence indeed cuts across the length and breadth of India.  Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954
  48. 50. He said there are many newsworthy angles to take with press releases <ul><li>Company Launch – Sending a press release for the launch of a brand new company (online or offline) can be newsworthy. </li></ul><ul><li>Product Launch – Sending a press release for the launch of a brand new product (especially if the company has already made a name for themselves) is often newsworthy. </li></ul><ul><li>Website Launch – Sending a press release for the launch of a new website can sometimes be newsworthy </li></ul><ul><li>Upgrades – Upgrades on products (such as software), or even websites (especially if it’s for a popular website and the upgrades / updates will drastically affect usability). </li></ul><ul><li>Awards – Winning a notable award is generally newsworthy. </li></ul><ul><li>Executive Changes – When a larger, or well-known, company introduces new executives into its management team, or promotes from within, it can be newsworthy. </li></ul><ul><li>Contests and Events – Holding events can be newsworthy, depending on the appeal to the general population or even within a specific niche. Whether or not a contest is newsworthy will often depend on the award being offered. </li></ul><ul><li>Research Results – Conducting quality first-hand research and then publishing the results publicly is very often newsworthy, no matter what the niche is. Change of Ownership – If a company or large website goes through a merger or acquisition, it will often be news worth </li></ul>
  49. 51. Examples: <ul><li>Tata Motors unveils the People’s Car- </li></ul><ul><li>A comfortable, safe, all-weather car, high on fuel efficiency & low on emissions </li></ul><ul><li>Jharia Division of Tata Steel celebrates its 100th year (1910 - 2009) ~Jharia Division – Working since 1910 to make Tata Steel a world leader in steelmaking ~ Jharia, April 04, 2009 </li></ul>
  50. 52. Thank you

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