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Advertising Management
Promotion Mix:
Also called Marketing Communication Mix.
“Promotion mix is a specific blend of Advertising,
Sales Promotion, Public Relations, Personal
Selling and Direct Marketing tools that the
company uses to pursue its advertising and
marketing Objectives.”
Promotion Mix
Advertising
Sales Promotion
Personal Selling
Public Relation
Direct Marketing
What is Advertising:
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.”
Basic Functions Of Advertising:
Advertising performs 3 basic functions:
1. Inform Function
2. Persuasive Function
3. Reminder Function
Advertising Planning Framework:
OBJECTIVE SETTING:
•Communication
Objective
•Sales Objective
BUDGET DECISION:
•Affordable
Approach
•Percent of sales
•Competitive parity
•Objective & task
MESSAGE DECISION:
•Message
strategy
•Message
execution
MEDIA DECISION:
Reach ,frequency,
impact, timing,
media vehicles or
types
CAMPAIGN
EVALUATION
•Communication
impact
•Sales impact
Step:1: setting advertising objective
The advertising objectives must be stated clearly in a precise
and measurable terms. The objectives stated clearly and
precisely enable the advertiser to measure the extent upto
which the objectives have been met or achieved. The
advertising objectives can be “sales oriented” or
“communication oriented”. Although the long term
objective of each ad is to have an increase in sales, all ad
campaigns are not designed with this specific objective.
Some ad campaigns may focus on increasing the awareness
about the product or service, changing the attitude,
informing the new product etc.
Step:2: setting the advertising budget
Methods:
 Affordable approach
 Percentage of sales method
 Competitive parity method
 Objective & task method
Step:3: Creating advertising message
Just to gain and hold attention, advertising messages must be
better planned, more imaginative, more entertaining and
more rewarding to consumers.
“creativity plays an important role in developing effective
message.”
A creative strategy focus on what the advertising message
says or communicate and guides the development of all
messages used in the advertising campaign.
Advertising Appeal:
The advertising appeal refers to the basis or approach
used in the advertisement to attract the attention or
interest of consumer and to influence their feelings
towards the product, service or cause.
Advertising appeals can be broken down into 3:
 Informational appeal
 Emotional appeal
 Moral appeal
Step:4: Media planning:
A media planner needs to answer the following
question:
 What audiences do we want to reach?
 When & how to reach them?
 Where to reach them?
 How many people should be reached?
 How often do we need to reach them?
 What will it cost to reach them.
Types of Media Vehicles:
 Print media: Newspaper, magazines, pamphlets,
visiting cards, yellow pages etc.
 Broadcast media: Radio, T.V, Cinema.
 Out door Advertising: Bill boards, hot air
balloons, wall writings, hoardings etc.
 Transit advertising: buses, loud speakers
 Specialty advertising: T-shirts, caps, cups etc.
 Internet
Step:5:Evaluating the effectiveness of advertisements:
The advertising program should evaluate both the
communication effect and the sales effect of advertising
regularly.
Measuring the communication effects of an advertisement-
copy testing- tells whether the ad is communicating well.
The sales effect of advertising are often harder to measure
than the communication effect because sales are effected
by many factors besides advertising- such as product
features, price and availability.
5 M’s of advertising:
MISSION
MEASURE
MENT
MEDIA
MESSAGE
MONEY
5 M’s
Advertising Agency:
The American Association of Advertising Agency (AAAA)
defines an advertising agency as “ an independent
organization of creative people and business people who
specialize in developing and preparing advertising plans,
advertisements and other promotional tools.”
Types of Advertising Agencies:
• Full service agency:
Full service agencies are geared to provide complete
range of services to its clients, which includes services
such as strategic planning, creative development,
production, media planning, media buying and other
related services.
In India, HTA, Clarion, Lintas are some of the Full Service
agencies.
Types of Advertising Agency (conti…):
2. Limited service agency:
They concentrate on creative aspect of advertising. They
are well appreciated and used by clients looking for high
quality creative work while depending on other sources
for media planning and execution of the campaign. They
are also known as creative boutiques or creative
shops.
3. House agency:
The house agency is an advertising agency established by
a company to look after its advertising requirements.
eg. Mudra Communication pvt ltd,- owned by reliance.
India’s 10 leading advertisers by media spend:
 Hindustan Lever($376 m)
 Paras Pharmaceuticals ($120 m)
 Procter & Gamble ($114 m)
 Coca-Cola company ($95 m)
 Godrej industries ($80m)
 Colgate-palmolive ($67 m)
 Pepsico ($62 m)
 Nirma chemicals ($52 m)
 Nestle ($50 m)
 Dabur India ($49 m)
India’s 10 leading advertising/PR companies of India:
 Ogilvy & mather
 J walter Thompson India
 Mudra Communivation Pvt Ltd
 FCB Ulka advertising Ltd.
 Rediffusion- DY&R
 Erickson India Ltd.
 RK Swamy/BBDO advertising Ltd.
 Grey worldwide(I) Pvt. Ltd.
 LEO Burnett India Pvt Ltd.
 Contract advertising India Ltd.
Conclusion
(Key to good advertising)
The most important step lies in deciding what your
advertising should say and to whom it should say
it. All you need to do is to decide who buys and
uses your products and why. In order to spend
your media dollars wisely, you must know what
they read or watch so that they will see your ads.
Thank you
ALL !!!

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Advertising Management.ppt

  • 2. Promotion Mix: Also called Marketing Communication Mix. “Promotion mix is a specific blend of Advertising, Sales Promotion, Public Relations, Personal Selling and Direct Marketing tools that the company uses to pursue its advertising and marketing Objectives.”
  • 3. Promotion Mix Advertising Sales Promotion Personal Selling Public Relation Direct Marketing
  • 4. What is Advertising: 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.”
  • 5. Basic Functions Of Advertising: Advertising performs 3 basic functions: 1. Inform Function 2. Persuasive Function 3. Reminder Function
  • 6. Advertising Planning Framework: OBJECTIVE SETTING: •Communication Objective •Sales Objective BUDGET DECISION: •Affordable Approach •Percent of sales •Competitive parity •Objective & task MESSAGE DECISION: •Message strategy •Message execution MEDIA DECISION: Reach ,frequency, impact, timing, media vehicles or types CAMPAIGN EVALUATION •Communication impact •Sales impact
  • 7. Step:1: setting advertising objective The advertising objectives must be stated clearly in a precise and measurable terms. The objectives stated clearly and precisely enable the advertiser to measure the extent upto which the objectives have been met or achieved. The advertising objectives can be “sales oriented” or “communication oriented”. Although the long term objective of each ad is to have an increase in sales, all ad campaigns are not designed with this specific objective. Some ad campaigns may focus on increasing the awareness about the product or service, changing the attitude, informing the new product etc.
  • 8. Step:2: setting the advertising budget Methods:  Affordable approach  Percentage of sales method  Competitive parity method  Objective & task method
  • 9. Step:3: Creating advertising message Just to gain and hold attention, advertising messages must be better planned, more imaginative, more entertaining and more rewarding to consumers. “creativity plays an important role in developing effective message.” A creative strategy focus on what the advertising message says or communicate and guides the development of all messages used in the advertising campaign.
  • 10. Advertising Appeal: The advertising appeal refers to the basis or approach used in the advertisement to attract the attention or interest of consumer and to influence their feelings towards the product, service or cause. Advertising appeals can be broken down into 3:  Informational appeal  Emotional appeal  Moral appeal
  • 11. Step:4: Media planning: A media planner needs to answer the following question:  What audiences do we want to reach?  When & how to reach them?  Where to reach them?  How many people should be reached?  How often do we need to reach them?  What will it cost to reach them.
  • 12. Types of Media Vehicles:  Print media: Newspaper, magazines, pamphlets, visiting cards, yellow pages etc.  Broadcast media: Radio, T.V, Cinema.  Out door Advertising: Bill boards, hot air balloons, wall writings, hoardings etc.  Transit advertising: buses, loud speakers  Specialty advertising: T-shirts, caps, cups etc.  Internet
  • 13. Step:5:Evaluating the effectiveness of advertisements: The advertising program should evaluate both the communication effect and the sales effect of advertising regularly. Measuring the communication effects of an advertisement- copy testing- tells whether the ad is communicating well. The sales effect of advertising are often harder to measure than the communication effect because sales are effected by many factors besides advertising- such as product features, price and availability.
  • 14. 5 M’s of advertising: MISSION MEASURE MENT MEDIA MESSAGE MONEY 5 M’s
  • 15. Advertising Agency: The American Association of Advertising Agency (AAAA) defines an advertising agency as “ an independent organization of creative people and business people who specialize in developing and preparing advertising plans, advertisements and other promotional tools.” Types of Advertising Agencies: • Full service agency: Full service agencies are geared to provide complete range of services to its clients, which includes services such as strategic planning, creative development, production, media planning, media buying and other related services. In India, HTA, Clarion, Lintas are some of the Full Service agencies.
  • 16. Types of Advertising Agency (conti…): 2. Limited service agency: They concentrate on creative aspect of advertising. They are well appreciated and used by clients looking for high quality creative work while depending on other sources for media planning and execution of the campaign. They are also known as creative boutiques or creative shops. 3. House agency: The house agency is an advertising agency established by a company to look after its advertising requirements. eg. Mudra Communication pvt ltd,- owned by reliance.
  • 17. India’s 10 leading advertisers by media spend:  Hindustan Lever($376 m)  Paras Pharmaceuticals ($120 m)  Procter & Gamble ($114 m)  Coca-Cola company ($95 m)  Godrej industries ($80m)  Colgate-palmolive ($67 m)  Pepsico ($62 m)  Nirma chemicals ($52 m)  Nestle ($50 m)  Dabur India ($49 m)
  • 18. India’s 10 leading advertising/PR companies of India:  Ogilvy & mather  J walter Thompson India  Mudra Communivation Pvt Ltd  FCB Ulka advertising Ltd.  Rediffusion- DY&R  Erickson India Ltd.  RK Swamy/BBDO advertising Ltd.  Grey worldwide(I) Pvt. Ltd.  LEO Burnett India Pvt Ltd.  Contract advertising India Ltd.
  • 19. Conclusion (Key to good advertising) The most important step lies in deciding what your advertising should say and to whom it should say it. All you need to do is to decide who buys and uses your products and why. In order to spend your media dollars wisely, you must know what they read or watch so that they will see your ads.