TOPIC

Production is to stimulate demand for a

product. Identify televisions commercials one
aimed at stimulating selective primary
demand one aimed at stimulating selective
demand. Describe each commercial and
discuss how it attempts to achieve its
objectives.

Submitted To
Submitted By
Miss Jaspreet Kaur
Anshul Jain
Roll No. RT1903A11
 Reg. No.
10905775
M.B.A. IstSem
Section C

Contents

Introduction

Aspects of Promotional Mix

Primary Demand Stimulation

Selective Demand Stimulation

Television Commercials

Conclusion
 INTRODUCTION

Promotion involves disseminating information about a product,

product line, brand, or company. It is one of the four key aspects
of the marketing mix. (The other three elements are product
marketing, pricing, and place.)

Promotion is generally sub-divided into two parts:

• Above the line promotion: Promotion in the media (e.g. TV,

radio, newspapers, Internet and Mobile Phones) in which the
advertiser pays an advertising agency to place the ad
• Below the line promotion: All other promotion. Much of this
is intended to be subtle enough for the consumer to be
unaware that promotion is taking place. E.g. sponsorship,
product placement, endorsements, sales promotion,
merchandising, direct mail, personal selling, public relations,
trade shows

The specification of these four variables creates a promotional

mix or promotional plan. A promotional mix specifies how much
attention to pay to each of the four subcategories, and how much
money to budget for each. A promotional plan can have a wide
range of objectives, including: sales increases, new product
acceptance, creation of brand equity, positioning, competitive
retaliations, or creation of a corporate image.
There are four main aspects of a promotional mix. These are

 Personal Selling
Personal selling involves selling a product or service on a
one to one basis. This can either be done face to face or
over the phone. In our promotional section we talked about
push and pull strategies. If the organization is using a pull
strategy to sell the product a sales force will be required to
make sure that retail outlets are looked after well, that they
have enough stock, are trained well so they can push the
product onto the consumer. With a push strategy the sales
force will need to try and persuade retail outlets to carry
stock of your product.

 Direct Marketing
The aim of direct marketing is to create one to one
relationships with the organizations target market. Direct
marketing can come in the form of post, email, telephone
calls and mail order. The company usually contacts a named
person at the address.

 Sales Promotion
The aim of sales promotion is to increase short term sales
and increase in store or web traffic. The tactics used for this
include loyalty cards, coupons, price promotions e.g.
BOGOF, point of sales, packaging promotion or web coupons

 Viral Marketing
Viral marketing occurs when consumers pass on or
recommend your product/company/website to others. This
 could be via email, or bulletin boards or word of mouth.
There have been many well known online viral marketing
campaigns. These include The Blair Witch Project and the
establishment of Hotmail as a leading free email provider.

 Advertising
Advertising can be defined as placing your message in any
form of paid media.

Advertising can have a number of objectives, these

usually are

• To promote
• To remind
• To support
• To compete
• To persuade

A major portion of advertising effort is designed to increase the

demand for a product or service. There are two kinds of demand.
Primary and selective

Primary Demand Stimulation

Primary demand is demand for the product or service rather than

for a particular brand. It is intended to affect the demand for a
type of product, and not the brand of that product. Some
advertise to stimulate primary demand. When a product is new,
primary demand stimulation is appropriate. At this time, the
marketer must inform consumers of the existence of the new
item and convince them of the benefits flowing from its use.
When primary demand has been stimulated and competitors have
entered the market, the advertising strategy may be to stimulate
the selective demand.

Selective Demand Stimulation

This demand is for a particular brand such as Charminar

cigarettes, Surf detergent powder, or Vimal fabrics. To establish a
differential advantage and to acquire an acceptable sort of
market, selective demand advertising is attempted. It is not to
stimulate the demand for the product or service. The advertiser
attempts to differentiate his brand and to increase the total
amount of consumption of that product. Competitive advertising
stimulates selective demand. It may be of either the direct or the
indirect type.

Television Commercials Relating to

Stimulating Selective Primary Demand and
Selective Demand

Primary demand advertising is often used to help a new product

gain market acceptance. Selective demand is when someone has
already identified a need for a product or service, and is actively
seeking for a solution to fulfill their need. More than likely, they
are researching the quality, value, and competitors of a
product/service to see which solution will be right for them.

Thomas Cook launches new National

Advertising campaign for 100% Holidays

Thomas Cook India Ltd, in 2006, announced the launch of a

premium holidays brand - 100% Holidays. The new brand would
offer international group holidays segment as well as for the
customized individual holidays products. This is the first time in
travel industry that a brand has been launched for a specific
category. With 100% Holidays Thomas Cook India will strengthen
its position in the outbound leisure travel business. The 100%
holidays brand operates as a product brand under the corporate
Thomas Cook India brand.
The international holiday travel market is growing rapidly at over
30% per annum. Thomas Cook has a strong and well-respected
franchise in both the group escorted holidays segment as well as
the individual customized holiday’s segment and is one of the
largest players in the category. The business contributes approx.
25% of the revenue of Thomas Cook India Ltd.
The brand was positioned as a premium holidays brand in this
segment. Research showed that customers felt that Thomas Cook
holidays are superior in quality, fully loaded with well designed
itineraries and inclusions and clear and transparent on their
pricing.
This customer feedback is perfectly captured in the brand identity
of 100% Holidays"
The name "100% Holidays" captures the consumer expectation of
a complete and satisfying holiday experience and is designed to
appeal to the discerning premium customer. The brand uses a
striking blue and light blue stylized logo with the number 100
interlaced with a % sign and supported by the word holidays. The
brand stands for quality, trust and honesty.
Thomas Cook India's advertising agency. The launch of the new
brand was supported with a multimedia national advertising
campaign featuring popular holiday destinations and the
company's product offerings in the group escorted holiday’s
segment. Interestingly the company had also planned a unique
television campaign based on 100% theme.

Online MARKETING in India

Reliance Retail and Future Group (Pantaloon) have decided to
build up significant online channel to run parallel to their physical
formats, adopting the highly successful online model of Wal-Mart.
Online sales of Wal-Mart has been growing faster than sales of
eBay and Amazon. This, therefore, is a clear warning signal to
fledging online retailers in India.
Given the muscle of Reliance and the hunger for growth of the
Future Group, these players are aggressively setting up online
channel to tap the fast growing e-commerce pie.
Currently this market is worth around Rs 11 bn. and is expected
to touch Rs 23 bn in the one year. Though a majority of this is
accounted for travel and ticketing, the retail sale through these
channels is doubling.
While the Future Group is putting its weight behind future bazaar,
Reliance Retail is understood to have already set up a separate
team to put in place the nuts and bolts for its e-commerce
platform.
However, one critical element that the physical retail chains have
to grapple with is how to establish the brand recall in the virtual
world. Online retail chains have gone through this exercise over
the past 5-6 years and they have a good recall. Reliance and
Future need to figure this out and earlier the better for them.
They are now accepting the various services offered on the
Internet and the increasing. Penetration of broadband at homes
also promises to bring in more revenues. The entire online
retailing industry would have primary demand advertising on
their priority while the Reliance and the Future Group have to; in
addition, stimulate brand recall through secondary email
advertising.

Coca Cola India in 2007

Coca-Cola, India’s largest beverage company continues its trend

of creating the most powerful and appealing brand messaging for
its consumers in the country. Having made “Thanda” synonymous
with “Coca-Cola”, the company announced the launch of an
intensive integrated marketing communication program for the
summer of 2007.
Based on the theme “Sabka Thanda Ek”, the campaign has been
designed to build the Coca-Cola brand from its refreshment
platform to a higher order of emotional benefit by establishing it
as the universal choice which brings people together. A range of
initiatives including mass media advertising and leveraging the
digital space like the internet are being rolled out.
The new TV commercial to feature- who else but Aamir Khan, the
Coca-Cola brand ambassador in an all new avatar. In the ad,
Aamir appears as a no nonsense attendant traveling in a train,
connecting consumers with Coca-Cola. The campaign has been
conceptualized by the creative genius Prasoon Joshi, Chairman.
To extend the reach and appeal of the new summer campaign,
the company also plans to leverage the internet by building and
promoting online communities. The strategy includes leveraging
www.myenjoyzone.com- the interactive destination for Coca-Cola
consumers. To compliment, the entire brand messaging process,
range of on the ground initiatives including road shows and
contests across all key markets are also being rolled out. The new
campaign ‘Sabka Thanda Ek’ strengthens the universal appeal of
the brand amongst consumers. It offers a higher order of
emotional benefit of bringing people together. And who else to
better communicate this message, but our brand ambassador
Aamir Khan, in a never been seen appearance.”

SANDWHICH MAKER

Fifteen years ago, George Foreman came on the tube to endorse

a product that could cook your food in minutes, but also “knocks
out the fat”. Since then the Foreman Grill has earned a
comfortable place on kitchen counters across the world and
enabling college students everywhere to prepare gourmet grilled
chicken sandwiches with ease.
The product was the thing of the future when it came to low fat
cooking. In order to help people understand their necessity for
this product, commercials focused on detailing how the dual
cooking surfaces can cook the food quickly, while any fat coming
out drips out through the channels built in to the grill surface. The
commercials were so effective in generating enough primary
demand from the public that over 80 million grills have been sold
since its introduction in 1994.

APPLE COMPARING ITSELF TO PC’s

Apple is comparing itself to PC’s, and putting out a message of

how Mac is better in terms of being affected by the 114,000
known viruses out there. This is a perfect example of Apple
trying to gain market share among consumers who have
identified a widespread problem of computer viruses, and are
looking for a solution that would minimize their frustrations.
By understanding how the public perceives your offerings, they
can make sound decisions on how your campaign is positioned.
If your offerings are something new to the then measures to fully
educate the public should be at the top of your checklist. This
probably means skimping out on the website content wouldn’t be
such a great idea. Remember that by definition, the public’s
primary demand for a product or a service puts them at the
phase of trying to understand this new offering can fit in to their
lives and benefit them.
However if we’re trying to sell a commodity like a computer, then
they better make sure you’re armed with the right strategy for
branding and acquisition marketing to earn the dollars for your
business. A little bit of search engine marketing, perhaps a dash
of email marketing, and a hint of display advertising may really
do the trick in making sure the public remembers you, as well as
being available to them at the time they are making purchase
decisions
 CONCLUSION

Promotion via television commercials can definitely increase the

demand and popularity of product which the company is about to
deliver to its customer whether it’s new launch or to increase the
popularity of its existing brand. Primary demand advertising is
often used to help a new product gain market acceptance.
Selective demand is when someone has already identified a need
for a product or service, and is actively seeking for a solution to
fulfill their need. More than likely, they are researching the
quality, value, and competitors of a product/service to see which
solution will be right for them.