Budget, Legal and Ethical constraints.

1. DESIGN FOR PRODUCTION
SANGEETA JAIN

2. LECTURE 3 BUDGET, LEGAL AND
ETHICAL CONSTRAINTS

3. BUDGET

4. BUDGET
• A budget is the money a company sets aside to pay for
designing and advertising. It reflects the amount a client is
willing to commit to achieve its advertising objectives. In order
to utilize the budget to its fullest potential consider innovative
ways to produce cost effective advertising.
• Allotting the budget:
– Name of the media option(s)
– Description/specifications of the media option
– Size, location etc. of the advertisement
– Repetition of the advertisement and/or media option
– Cost of each insertion and total amount

5. BUDGET FOR PRINT
Points to be included in the assessment task:
– Name of the media option(s)
• Newspaper advertisement
• Magazine advertisement
• Billboard
– Description/specifications of the advertisement such as
• Size, location etc. of the advertisement
• Cost of each insertion and total amount
• Cost of material – ex: paper for printing (if applicable)
– Cost of photography (if required)
– Miscellaneous expenses (such as transportation expense)

6. NEWSPAPERS
• Newspapers sell advertising space
• Advertisements are measured using column centimeters or inches.
• A column centimeter is a unit of space one column wide by one cms high.
• PCCM stands for Per Column Centimeter (newspaper advertising rate
calculation, Australia)
• For example: Let's say the newspapers basic cost for a display ad is $7.25
per column inch. by three inches tall would run $43.50. 2 columns (12p) x 3
inches = 6 column inches x $7.25 per column inch = $43.50.
• http://www.adcentre.com.au/wp-content/uploads/SMH-Rate-Card.pdf

7. MAGAZINES
• Magazine Advertisements are measured using size of the page.
• Sizes include Double page spread, Full page, Half page, ¼ page horizontal
or vertical and so on…
• Ads can be positioned on the right or the left side page and/or on back
cover page, inside cover pages also
• A full page ad to a small strip of ad in a magazine can cost in the range of
$6000 to $750. It is best practice to contact the magazine publication house
for details regarding the cost and technical requirements of the ad.
• http://www.newscorpaustralia.com/ad-specs

8. BILLBOARDS
• The cost of billboard advertisements greatly varies depending on the location.
Pricing for billboards depends on the number of locally based adults that look at
the billboard. This number is called in-market impressions.
• The production costs for making a billboard advertisement are relatively minimal.
Vinyl is the standard material used because of its resistance to weather. Printing
an advertisement on vinyl for a bulletin billboard (14’ by 48’ or almost 700 square
feet of material) will cost around $500.
• Cost for a 6m x 3m Landscape Billboard Pricing approximately range from:
- Market Rate: $2,000 - $2,800 pm
- Installation: $300 - $325 approx
- Print Production: $500 approx
• http://www.billboardsmelbourne.com.au/billboard_prices.html

9. LEGAL AND ETHICAL CONSTRAINTS
• Constraint is a limitation or restriction.
A problem or situation that requires a person or organization to
choose between alternatives that must be evaluated as right
(ethical) or wrong (unethical).
• Why does advertising need to be regulated?
Because…advertising has social and legal effects. Society determines what
is offensive, excessive, and irresponsible; government bodies determine
what is deceptive and unfair.

10. • Who should/shouldn't be the target of advertising?
• Who should/shouldn't be exposed to advertising, whether targeted or not?
• What products, services, or ideas should/shouldn't be advertised?
• What should/shouldn't be relationship between advertising content and medium?
• What should/shouldn't be advertisers' obligation to society?
• Make sure the advertisements are not false or misleading.
• Use disclaimers when necessary.
• Be careful with testimonials and claims.
• Use "free” properly.
• Avoid "illegal lotteries” when conducting enter-to-win contests.
LEGAL AND ETHICAL CONSTRAINTS

11. LEGAL AND ETHICAL CONSTRAINTS
• Truth in Advertising: Advertisements must by truthful, not deceptive and not unfair.
Advertisers must also have evidence available to back up claims they make.
• Advertising to Children: Children are not likely to understand exaggerated
statements or images. The best way to act ethically in this area is to advertise to
parents, not children.
• Advertising Harmful Products: Different countries look differently on the advertising
of vice products and services, striking a balance between placing personal
responsibility on citizens and regulating what citizens are allowed to indulge in.
• Advertising Tactics: Advertising tactics present additional ethical challenges.
Advertisers have a range of less-than-ethical yet legal tools at their disposal,
including subliminal advertising, emotional appeals, taking advantage of less
educated individuals, spreading propaganda for political campaigns, and other tactics
ethical advertisers consistently refrain from using.

12. LEGAL AND ETHICAL CONSTRAINTS
• The Advertising Standards Bureau (the Bureau) manages the complaint
resolution process of the advertising self-regulation system. Our vision is to
be the foremost authority in Australia for adjudication of complaints about
advertising and marketing communications.
• The Bureau functions as secretariat for the Advertising Standards Board
and the Advertising Claims Board – the two independent bodies were
established to determine consumer and competitive complaints against the
advertising self-regulatory Codes.
• https://adstandards.com.au/