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Definition

• Advertising is a process, not a medium in its own right, although it


uses different media forms to communicate.
• Advertising, in its simplest form, is the way in which the vendor or
manufacturer of a product communicates with consumers via a
medium, or many different media.
Objective
• A message from vendor/manufacturer to consumer
• Intended to give information which will influence consumer choice
• Aimed at a known audience
• Paid for
Advertising Vs Branding
• Brand Essence - a way of summing up the significance of the brand
to stockholders and consumers alike of the brand in one simple
sentence
• Brand Slogan - a public way of identifying the brand for consumers -
often associated with a logo
• Brand Personality - marketers can describe their brand as though it
were a person, with likes and dislikes and certain behavior
• Brand Values – what does it stand for/against?
• Brand Appearance - What does it look/sound/taste like?
• Brand Heritage - how long has it been around? does it have
customers who have been loyal to it for many years?
• Emotional benefits – how it avoids/reduces pain or increases
pleasure
• Hard benefits – bigger? better? cheaper? washes whiter?
Scope and Importance of Advertising
• Advertisements are important for:
o standardized products
o products aimed at large markets
o products that have easily communicated features
o products low in price
o products sold through independent channel members and/or are
new.
Marketing Mix
• Marketing mix is a major concept in modern marketing
• It is set of controllable, tactical marketing tools, which the firm uses to
achieve its objectives in the target market.
Elements
• Product
• Price
• Place
• Promotion
Promotion-Mix

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• The specific group of marketing activities concentrated with
communication aspect with existing or potential consumer, and
relevant public, it involves many activities.

Elements
• Advertising
• Personal Selling
• Sales promotion
• Publicity
Classifying Advertising
• Consumer Advertising
o National Adverisling-Geographical Area-Brand
o Retai/Local-Clear stocks of particular brand
o Cooperative-different geographic area-ads in local media
o End Product advertising
Role of Advertising
• Hierarchy-effects model and corresponding attitude components,
(Lavidge and Steiner model)

• Percipitation-Stimulation
• Persuasion-Comparitive
• Reinforcement-decision
• Reminder-Brand/Company in memory
Functions of Advertising
• Stimulates Demand
• Strengthens other promotion mix elements
• Develops brand preference
• Cut costs
• Lower prices
• Competitive weapon
Benefits of Advertising
• Information
• Brand image building
• Innovation
• Growth of media
Triangle of Communication

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Consumer behavior
• Study of how people behave when obtaining, using, and disposing
of products (and services).
• Consumer jury test A method of testing advertisements that
involves asking consumers to compare, rank, and otherwise
evaluate the ads.
• The study of consumer behavior enables marketers to understand
and predict consumer behavior in the marketplace; it is concerned
not only with what consumers buy but also with why, when, where,
and how they buy it.
• Consumer research is the methodology used to study consumer
behavior; it takes place at every phase of the consumption process:
before the purchase, during the purchase, and after the purchase.
Media Planning
It refers to a series of decisions required in delivering the ad message to the
target audience. The plan specifies media objectives and media strategies to
accomplish the objectives
Media plan and strategy activities

Situation Analysis
• Analyse and understand the marketing problem. The company and its
competition is analysed on
o Internal strengths and weakness
o External opportunities and threats
 (market size, company share, product features, sales,
costs, profits, distribution, sales operation, role of
advertising, target market)
Marketing Strategy
Formulate activities that will solve concerned marketing problems
• Marketing objectives
• Product and spending strategy
• Marketing mex elements to be used
• Distribution network strategy
• Select the most suitable market segments
Advertising strategy
Decide what messages to communicate through advertisements
 How can the product or service satisfy
consumer needs

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 Positioning decisionl
 Ad copy themes
 Specific objectives of each individual ad in a
campaign
 Number of ads
 Size of advertisements
 Media time

Setting media objectives


 Translate marketing and advertising objectives and strategies into
goals that media can achieve
Determining media strategy
 Set guidelines to control the planner’s selection and use of media.
Select the best strategy alternative
Selection of media
Comparing and selecting the media
 TV, newspapers,magazine, radio, or others
 Audience size and characteristics-comparisons
Media (TV,Radio)
 Sponsorship (sole,shared, etc.)
 Required level of reach and frequency
 On which days and months commercials are scheduled
 Placement of spots between or within the programmmes
Media (Print)
 Number of ads to appear on which days and months
 Any preferred position of ads within media
 Any special treatment, such as colour etc.,
 Desired reach and frequency
Media (others)
 Billboards (location of market, kinds of outdoor to be used)
 Direct mail, catalogues
 Transit
 Internet
 Product placement
SWOT Analysis
A Planning and Organizing Tool
• Strengths and weaknesses are generally internal factors that are within
your control.
• Opportunities and Threats are generally external issues that you can’t
control.
Strengths
• Consider from both the view of the firm (product) as well as from
customers and competitors
• Realistic and not modest

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• One’s strength is another’s weakness
• Questions:
– What are the firm’s or the product’s advantages over others?
– What does it do well? What makes it stand out from your
competitors?
Weaknesses
• Be truthful so that weaknesses may be overcome as quickly as
possible
• One’s strength is another’s weakness

• Questions.
– What is done poorly?
– What can be improved?
– What should be avoided?
Opportunities and Threats
• external in nature
• Represent characteristics of:
– the research environment
– growth in potential markets
– changes in the competitive, economic, political/legal,
technological, or socio-cultural environments
• A threat to some is an opportunity to another.
• Questions on opportunities:
– Is there a product/service area that others have not yet covered?
– Are there emerging trends that fit with your company's
strengths?
• Questions on threats:
– Are your competitors becoming stronger?
– Are there emerging trends that amplify one of your weaknesses?
In the case of IVR strength could be:
• Technological capability: speed, efficiency, precision, power, etc.
• Stage of development relative to competitors: RIO, patent, prototype.
• Characteristics of the lead researcher: commercialization focus,
reputation, other complimentary work.
• cost
In the case of IVR a weakness could be:
• technological weakness: lack of speed, efficiency, precision or power
• lead researcher uninterested in commercialization
• stage of development or uncertainty with regard to technological
capabilities
• cost
An opportunity could include:
• a new, developing or untapped market
• an old market needing technological advances
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• a recent technological development that can be used as a catalyst for
others (possibly through licensing)
• change in regulatory environment that creates demand for new
technology
A threat could be:
• other ongoing research or commercialization efforts
• a large existing competitor
• market volatility (because we are new market entrants)
• market access (for supplies or customers)
• a competitor has a new, innovative product or service
• competitors have superior access to channels of distribution

Suggestions for using SWOT Analysis:


• SWOT analysis can be very subjective.
• Two people rarely come-up with the same final version of SWOT.
• Be realistic; no need to inflate strengths or be in denial about
shortcomings.
• Distinguish between where your technology is today, and where it
could be in the future.
• Be specific. Avoid grey areas.
• Always analyze in the context of your competitive environment.
More suggestions for using SWOT Analysis
• Weaknesses should be looked at in order to convert them into
strengths.
• Try to match your strengths with external opportunities.
• Threats should be converted into opportunities.
• Strengths and opportunities should be matched.
• Keep your SWOT short and simple.
• Do not rely on it too much.
Expanding Your SWOT Analysis
• Delve deeper into the details of the technology.
• Include more detailed competitor information in the analysis.
• Take a closer look at the business environment.
• Expand the reach of a SWOT analysis through surveys.