UNIT I
ADVERTISING
LESSON 1:
DEFINITION, INTRODUCTION
TO ADVERTISING AND ITS HISTORY
Objective
Students by the end of this lesson I expect you to be clear with
what is advertising and how it has evolved over a period of
time.
The World of Advertising
In this first lesson we will start with the discussion on the so-
called the glamour’s world and that is advertising where our
main focus will be on what is’ advertising? What are its
important dimensions? (The standard definition of ad-
vertising includes six elements.)
To start with tell me what do you understand from advertising.
As all of you would have noticed that, whenever you are
watching any channel or coming from your home they’re too
many advertisement, but have you ever thought why it is being
done? If no, then start thinking and if yes then lets discuss.
Before getting into the definition try and recall this
advertisement. Tell me this is the advertisement of which
brand?
What is Advertising?
Advertising is known to each one of us. This is so because right
from morning till night we come across a number of them in
newspapers, in magazines, on the roads as hoardings, in shops
as posters, in films and on TV. In fact, in stares at us from all
sides and is all-pervasive. What function does it perform
essentially? It influences our decisions, especially buying
decisions.
If you want to see the effect of advertising ask a nursery going
child these days he/she are aware of brands like Colgate and
Rasna and Nirma thanks to TV advertising. Jingles of the
products are hummed by the young and old alike.
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CHAPTER1:
ROLE OF ADVERTISING
Advertising puts across the message in a convincing way, and
ADVERTISING AND PROMOTIONS
guides us to take action-buy these products repeatedly.
Now Let’s first understand the definition of advertising.
The word advertising has its origin from a Latin word
‘advertire’ which means to turn to.
The dictionary meaning of the word is ‘to announce publicly
or to give public notice.’
American Marketing association has defined advertising as “any
paid form of non-personal presentation and promotion of
ideas, goods and services by an identified sponsor.”
Advertising is a paid form of communication, although some
forms of advertising, such as public service announcements
(PSAs), are donated space and time.
Second, not only is the message paid for, but also the sponsor
is identified.
Third, most advertising tries to persuade or influence the
consumer to do something, Although in some cases the point
of the message is simply to make consumers aware of the
product or company.
Fourth and fifth, the message is conveyed through many
different kinds of mass media reaching a large audience of
potential consumers.
Finally, because advertising is a form of mass communication, it
is also non-personal.
A definition of advertising, then, includes all six features.
Advertising is paid non-personal communication from an
identified sponsor using mass media to persuade or influence
an audience.
In an ideal world every manufacturer would be able to talk one-
on-one with every con-sumer about the product or service
being offered for sale. Personal selling is typically a one-on-one
approach, but it is very expensive.
Although advertising delivered through interactive technology
might be considered personal rather than mass communication,
it is still a far cry from personal selling. Adver-tises can provide
more customization through interactive media such as the
World Wide Web, but it is not the same as meeting with every
customer individually to discuss a product or service. The key
point is that interactive advertising reaches a large audience just
like traditional advertising.
The costs for time in broadcast media, for space in print media,
and for time and space in interactive and support media are
spread over the tremendous number of people that these
media reach. For example, $1.2 million may sound like a lot of
money for one Super Bowl ad; but when you consider that the
advertisers are reaching over 500 million people, the cost is not
so extreme.
Lets us discuss the salient features of Advertising in detail.
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ADVERTISING AND PROMOTIONS
The following are the salient features of advertising:
• Paid Form: .An advertising message is paid for by the
advertiser and this distinguishes it from publicity which is
not paid, for. When an advertiser makes payment, he
exercises control over its contents, form schedule, and media
selection.
• Any Form: Advertising can take several forms. It could be a
sign, a symbol, and an illustration. It could be a message
which is either written in words or shown on TV or aired on
radio. It could be a mailer received in post it could be a
handbill distributed at a “street corner. Advertising could be
outdoor advertising such as posters or billboards or neon
signs. Any form of presentation, which fulfils the functions
of an advertisement, can be employed.
• Non-Personal: Advertisement does not include any
personal selling done on person-to-person basis or people-
to-people basis. It is a substitute for a personal salesman. It
uses mass media to deliver the message. Advertisement is
meant for a larger ‘target audience and is not directed to an
individual.
• Goods, Services, Ideas: Advertising can promote a wide
range of products. It can also promote services such as
mobile telephony, internet and banking. Besides, this
advertising is used to propagate socially relevant causes such
as family welfare, fuel, economy, adult literacy etc. All of you
must have seen advertisements on TV advising care and
caution while bursting crackers at the time of Deepavali.
• Identified Sponsor: An advertisement is put by an
advertiser. The advertiser could be a company or corporation
or society or an individual. The sponsoring organization
puts either its name or the name of the brand or both on
the advertisement.
• Information: An advertising message informs the
consumers about the features of the products and their
availability.
• Persuasion: Advertising goes beyond information. It
persuades the potential consumers about the suitability of
the product.
• Target Audience: An advertising message is meant for a
specific group of people who are the potential or actual users
of the product. A lipstick is meant for young college girls. A
luxury car is meant for, high income business and
professional people. An advertiser directs his message to a
selected group called its target audience.
• Creativity: Advertising has to sell. But beyond that- it is
also an art, which employs creativity to create an ad message.
Advertising as a profession employs both creative and on
creative - people. Those who write advertisements are called
copywriters and work in the creative section. Those who
visualize the written words are also create the message so-
generated is produced to be put across through different
media. Production and media are the two other important
departments of advertising business.
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• Advertising now is practiced as a profession. The advertising
industry consists of the advertising agencies with billing
running to Rs. 10,000 crores per annum. Then we have a
body of advertisers, mostly manufacturers, distributors,
large retailers; service institutions etc. who sustain the
advertising activity. We have the media consisting of the
press, broadcast media (radio, TV), outdoor publicity etc. In
all these three components, there are trained professionals
like the Advertising Manager, the Media Manager, the
Accounts Manager, the Space Selling Manager, the Art
Director etc.
• Psychological, Social, and Economic Force: Advertising
influences our attitudes and- predisposes us favourably
towards certain products. It is thus a psychological force.
Advertising reflects the contemporary society. It is thus a
social force. Advertising attempts to influence’ demand and
so it is an economic force.
• A Discipline: Advertising is studied as a discipline having a
body of knowledge at journalism and mass communication
schools and in business schools, and now in University’s
regular programmes (e.g., B.Com. of Mumbai and Goa
University).
I think by now you are clear with the concept of advertising
now let us move on two views that are for advertising.
The function of advertising can be vied in two basic ways:
1. As a tool of marketing
2. As a means of communication
1. As a tools of marketing: the advertising, in the above lines
has been defined as a tool of marketing. It is used as a tool
for selling the products, ideas and services of the identified
sponsor i.e. advertiser, through non-personal intermediaries
or media. It supplements the voice and personality of the
individual salesman.
2. Advertising as a means of communication and
persuasion: advertising presents and promotes the ideas,
goods and services of an identified advertiser. In presenting
and promoting an item (ideas, goods and services), the
advertiser, is engaging in a very important function of
communication. It informs the prospective buyers and users
about the product and the producer. It, thus, serves as a
communication link between the producer and the
prospective buyers who are interested in seeking the
information. Surely, advertising may be taken as the most
efficient means of reaching people with product
information.
A part from disseminating the information to the prospective
buyers about the product and the producer, the advertising
serves as a mass persuader. While creating awareness and
popularity, it seeks to persuade. In fact advertising is a mass
persuasion. It is a more effective widespread and less costly way
of establishing contact than salesmanship. Clyde R. Miller
points out that “ all success in business in industrial produc-
tion, in invention, in religious conversion, in education and in
politics depend upon the process of persuasion’.
Persuasion is the essence of a democratic society. Every adver-
tiser in modern times intends that all creative advertising must
serve more than merely inform or entertain. It must change or agencies came in the USA. In 1875, the first modern advertising

ADVERTISING AND PROMOTIONS

reinforce an attitude or behaviour. And the consumer-the
average man-should recognize the advertisers persuasive
intention.
Thus advertising, in its broader sense must include only its
commercial functions but at the same time, it should also
convey adequately its purpose. The definition of advertising in
the light of the above view, may be given as-”Advertising is
controlled, identifiable information and persuasion by means
of mass communication media”
Audiences for Advertising
• Household Consumers
• Business Organizations
• The Trade Channel
• Professionals
• Government
Students let us see how adverting has originated and
gained importance over a period of time
Origin and Growth of Advertising
Advertising history runs parallel to, the history of mankind.
Advertising as we know it today is a. phenomenon’” hardly
sixty years’ ‘old. . Prior to the invention of the printing, press
(1450 AD) there were town criers who sold their goods through
shouting Generally, this was a method of ‘ sale in fairs and
market yard. This simple method was’ supplemented by shop-
’signs. The oldest written advertising is preserved in the British
museum (3000 years old). Albums (a place for writing on the
wall) and stone-tablets were the media. Placards followed these.
With the fall of the Roman empire, advertising died too. Till
1400 AD, there was not much of it.
agency was set up in Philadelphia (N.W. Ayer & Son). They
offered not only space selling but also many other services to
clients.
Towards the end of the 19th century, creative advertisement
developed. Painting came to be used in advertising (1887).
Consolidation: In the last century (20th century) advertisement
bloomed to its full form. More emphasis was laid on advertise-
ment copy. Art services and advertisement production became
more and more important. Media selection was also considered
equally important. By 1920, the agencies started planning
campaigns. In 1917, AAAA (American Association of Advertis-
ing Agencies) was founded.
In the early part of the century, advertising form underwent
metamorphosis. In 1914, ABC (Audit Bureau of Circulation)
was founded.
After the First World War, advertisement got established. MR
also came up on the scene. Radio commercials in the USA
became common. Advertisement films also became prominent.
After the II World War, there was mass production. Advertising
activity therefore increased.
TV also came later in 20th century as a powerful medium of
advertising:
Let us tabulate the history of Indian Advertising.
Period Characteristics
Pre- Press Advertisements
Independen
ce India
1930s The talkie and radio emerge as media
1940s War Years
Famine.
Fight for Independence

Let us first see what happed in early years of Printing

1950s Watershed years for advertising
Many Indian Industries came up.
Printing press invention (Germany, ‘Gutenberg) gave a boost to Wood’s survey of rural market.
writing and advertising. Handbills were first printed in 1477. Burmah Shell propagated kersosene by transit
Soon the newspaper came up on the scene. Towards the end of advertising on vans.
the 16th century all publications in Germany and Holland Cinema advertising began ( 2-3 minutes films).
carried advertisements. Product advertised were: new pam- Calcutta gets the privilege of having India’s first
phlets; books and treatises. ad club (1956).
Press syndicate: leading ad agency
Periodical advertising on, a regular basis began in the early part National created the Murphy baby – still a
of the 17th century. England had a weekly newspaper (1692). popular figure.
But a form similar to newspaper of today came after 50 years.
1960s India’s first Advertising convention ( Calcutta –
Newspapers -started accepting picture advertising. 1960).
In 1650s some advertisements occasionally appeared. Coffee Advertising should be Indian in thought and
was offered for the first time in 1652, chocolate in 1657 and the content. (Dr. Keskar in this convention).
in 1658 Shift to marketing orientation.
Professionalisation within agencies.
Handbills are the fore-runners of the present day advertise- Asian Advertising Congress at New Delhi.
ments. They appeared on the scene in the 18th century. The first
1960s Research data generated.
daily newspaper started publication in 1702. Patent Medicines MRI (Market Rating Indices).
were advertised most in all the newspapers. Shop Audits.
Expansion: In 19th century advertising marked a great expan- NRS.
sion. In 1892, the first advertising agency sprang up in London Creativity was emphasized.
(Reynell and Sons). In 1841, in the USA the first advertising Photography finds increasing use
Social marketing.
agency was started (founded by Volney Palmer). More such

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ADVERTISING AND PROMOTIONS
1970s Media boom.
Special magazines.
Asian Advertising Congress at New Delhi
Life-style studies Positioning.
Rural Marketing
1980s Indigenisation though there is still Western
execution.
Public Sector advertising.
Expansion and diversification of agencies
TV as a powerful medium
Colour printing more popular
Regional broadcasts.
Expansion of radio.
Marketing techniques in print medium
Formation of Indian Chapter of International
Advertising Association.
Formation of ASCI.
Adoption of a new code.
History of Indian Advertising has been taken up
as a project by Advertising Club of Bombay.
Reach 1 and Reach II.
1990s NRS IV, V, VI and PRS ( 1997) Surveys.
Niche magazines.
Opening of print media for foreign
collaboration.
F.M. Radio in private hands.
Emphasis on brand equity.
Several satellite channels and pay channels of
TV.
Consumer satisfaction and tracking studies.
Prasar Bharati, Cable TV Regulation and
Conditional Access System (CAS)
“Quote-Unquote what few stalwarts have to say about
Advertising.”
• “Advertising is the principal reason why the business
man has come to inherit the earth.”
James Randolph Adams, quoted in John P. Bradley, Leo F.
Daniels & Thomas C. Jones, The International Dictionary of
Thoughts, 1969, Chicago, IL: J. G. Ferguson Publishing Co.,
p. 12.
• “Advertising is of the very essence of democracy. An
election goes on every minuteof the business day across
the counters of hundreds of thousands of stores
andshops where the customers state their preferences
and determine which manufacturerand which product
shall be the leader today, and which shall lead
tomorrow.”
Bruce Barton (1955), chairman of BBDO, quoted in James B.
Simpson, ContemporaryQuotations, 1964, Binghamton,
NY: Vail-Ballou Press, p. 82.
• “Advertising is the ability to sense, interpret . . . to put
the very heart throbsof a business into type, paper and
ink.”
Leo Burnett, quoted by Joan Kufrin, Leo Burnett: Star
Reacher(1995), Chicago, IL: Leo Burnett Company, Inc., p.
54.
• “Advertising is what you do when you can’t go see
somebody. That’s all itis.”
Fairfax Cone (1963), ad agency partner, quoted in James B.
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Simpson, ContemporaryQuotations, 1964, Binghamton,
NY: Vail-Ballou Press, p. 84.
• “Advertising is the life of trade.”
Calvin Coolidge, quoted in John P. Bradley, Leo F. Daniels &
Thomas C. Jones, The International Dictionary of
Thoughts, 1969, Chicago, IL: J. G. Ferguson Publishing Co.,
p. 13.
• “Advertising - a judicious mixture of flattery and
threats.”
Northrop Frye, quoted in Robert I. Fitzhenry, The Fitzhenry
& Whiteside Book of Quotations, 1993, Canada: Fitzhenry&
Whiteside Limited, p. 18.
• “The art of publicity is a black art.”
Learned Hand, American jurist, quoted in Robert I.
Fitzhenry, The Fitzhenry & Whiteside Book of Quotations,
1993, Canada: Fitzhenry& Whiteside Limited, p. 19.
• “[A]dvertising is a symbol-manipulating occupation.”
S. I. Hayakawa, Language in Thought and Action (1964),
New York: Harcourt, p. 268.
• “Advertising is salesmanship mass produced. No one
would bother to use advertisingif he could talk to all his
prospects face-to-face. But he can’t.”
Morris Hite, quoted in Adman: Morris Hite’s Methods for
Winning the AdGame, 1988, Dallas, TX: E-Heart Press, p.
203.
• Advertising is “the lubricant for the free-enterprise
system.”
Leo-Arthur Kelmenson (1976), quoted in Michael McKenna,
The Stein & Day Dictionary of Definitive Quotations, 1983,
New York: Stein & Day Publishing Co., p. 11.
• “Advertising may be described as the science of
arresting the human intelligence longenough to get
money from it.”
Stephen Butler Leacock, quoted in Michael Jackman, Crown’s
Book of PoliticalQuotations, 1982, New York: Crown
Publishing Inc., p. 1.
• “Advertising is the greatest art form of the twentieth
century.”
Marshall McLuhan (1976), Canadian social scientist (quoted
in Robert Andrews, The Routledge Dictionary ofQuotations
1987, p. 5, London: Routledge & Kegan Paul).
• “Ads are the cave art of the twentieth century.”
Marshall McLuhan, quoted in Robert I. Fitzhenry, The
Fitzhenry & Whiteside Book of Quotations, 1993, Canada:
Fitzhenry& Whiteside Limited, p. 19.
• “Advertising is an environmental striptease for a world
of abundance.”
Marshall McLuhan, introduction to Wilson Bryan Key,
Subliminal Seduction: Ad Media’s Manipulation of a Not So
Innocent America, 1974, New York: Signet (New American
Library), p. vii.
• “Advertising is the rattling of a stick inside a swill
bucket.”
George Orwell, quoted in Angela Partington, The Oxford
 Dictionary ofQuotations, 1992, New York: Oxford
University Press, p. 501.
• Advertising is “[a] ten billion dollar a year
misunderstanding with the public.”
Chester L. Posey, Senior V.P. & Creative Director, McCann
Erickson
• “Advertising is, actually, a simple phenomenon in terms
of economics. It ismerely a substitute for a personal
sales force - an extension, if you will, ofthe merchant
who cries aloud his wares.”
Rosser Reeves, Reality in Advertising (1986), New York:
AlfredA. Knopf, Inc., p. 145.
• “Advertising is the ‘wonder’ in Wonder Bread.”
Jef I. Richards (1995), advertising professor, The University
of Texas at Austin.
• “Advertising is the modern substitute for argument;its
function is to make the worse appear the better.”
George Santayana
• “Advertising is the foot on the accelerator, the hand on
the throttle, the spur on theflank that keeps our
economy surging forward.”
Robert W. Sarnoff, quoted in John P. Bradley, Leo F. Daniels
& Thomas C. Jones, The International Dictionary of
Thoughts, 1969, Chicago, IL: J. G. Ferguson Publishing Co.,
p. 15.
• “The simplest definition of advertising, and one that
will probably meet thetest of critical examination, is
that advertising is selling in print.”
Daniel Starch, Principles of Advertising, 1923, Chicago, IL:
A.W. ShawCompany, p. 5.
• “Advertising is selling Twinkies to adults”
Donald R. Vance
• “Advertising is legalized lying.”
H.G. Wells, quoted in Michael Jackman, Crown’s Book of
PoliticalQuotations, 1982, New York: Crown Publishing
Inc., p. 2.
• “Advertising is the genie which is transforming America
into a place of comfort,luxury and ease for millions.”
William Allen White, quoted in John P. Bradley, Leo F.
Daniels & Thomas C. Jones, The International Dictionary of
Thoughts, 1969, Chicago, IL: J. G. Ferguson Publishing Co.,
p. 15
Ad Spends Seen Rising In The New Year
Advertising industry poised for a healthy growth
Lalitha Srinivasan
MUMBAI, DEC 29: What will really work in the Rs 12,000
crore Indian advertising industry in the year 2004? Will ad
spends be under pressure in the highly competitive industry?
While many head honchos of advertising agencies predict that
2004 will be a good year for the ad industry, there are others
who expect tougher times ahead. According to ad gurus, sectors
like pharma, insurance, IT, services and consumer durables will
surely increase their ad spends in the year 2004.
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Looking for a Bride Groom
ADVERTISING AND PROMOTIONS
of Age 18 - 25 26 - 30 31 - 35 36 - 45 46 - 50 Above 50
With the economy showing signs of recovery, the Indian ad
industry will certainly register a healthy growth rate in the year
2004, predicts Nirvik Singh, chairman South Asia, Grey
Worldwide Group. “In the New Year, the ad spends will go up
in many sectors which include pharma and insurance. I defi-
nitely see a bright year for the ad industry in the year 2004,” he
adds.
For effective advertising strategy, Indian marketers will continue
to opt for integrated marketing plans which will be split
between above and below- the-line-activities, says Mr. Singh. “I
think it will be a mix of 70 per cent of traditional advertising
and 30 per cent of non-traditional media,” he adds.
If this year the industry grows by about 10 per cent, the next
year should see a 15 to 18 per cent growth as the outlook is
healthy, predict industry analysts in Mumbai.
Echoing similar views, Arvind Sharma, chairman and chief
executive officer, Leo Burnett, expects the Indian ad industry to
grow by 15 per cent in the year 2004. “Happy times are ahead.
Most sectors will increase their ad spends to stand out in a
clutter. Sectors like FMCGs, durables and services will surely
increase their ad spends in 2004.” says Mr Sharma. According to
industry analysts, the new new year promises to be good:
strong macro economic fundamentals, turnaround in GDP
growth, brimming foreign exchange reserves and increased
public investment programmes in infrastructure. “The sectors,
which already show remarkable results, are industry and services.
India’s IT sector will continue to make tremendous progress.
And now, outsourcing and R&D are creating widespread job
opportunities. Given this macro environment, advertising will
reflect this positive framework,” comments a leading advertising
practitioner in Mumbai.
Sharing Mr Sharma’s positive outlook, Kurien Mathews,
director, TBWA India, says the ad industry will benefit from the
feel-good factors in the country. “The country is doing well. The
economy is booming so the ad industry will see better times. I
think ad spends will certainly increase in sectors like insurance
and financial services,” says Mr Mathews.
According to Ramesh Narayan, managing director, Canco
advertising, the ad industry can hope for a bright year ahead as
all economic indicators are showing great signs. “With the
elections around the corner, many key sectors will hike their ad
spends, with the result the industry will fare better in the year
2004,” he adds.
In sharp contrast to these views, Tarun Rai, senior vice-
president, JWT India, says the ad spends will not increase
dramatically while there will be an incremental increase in the
year 2004. “Things will be better next year. However, I think it’s
going to take another year before we can assume that the
growth is going to last. While ad spend may increase, it may not
be reflected in the industry’s growth. I do not expect any
dramatic change in the new year,” comments Mr Rai.
Finally, with the economy looking up, most professionals are
hoping for a better year than 2003 in the Indian advertising
industry.
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ADVERTISING AND PROMOTIONS
The spirit should be free and creativity of yours should fly
higher and higher in this ad mad world of advertising.
Just go through this on advertising history :
• A sophisticated & professional industry called Indian
Advertising
• Indian Advertising starts with the hawkers calling out their
wares right from the days when cities and markets first began
• Shop front signages
• From street side sellers to press ads
• The first trademarks
• Handbills distributed separately from the products
18th Century
• Concrete advertising history begins with classified advertising
• Ads appear for the first time in print in Hickey’s Bengal
Gazette. India’s first newspaper (weekly).
• Studios mark the beginning of advertising created in India
(as opposed to imported from England) Studios set up for
bold type, ornate fonts, more fancy, larger ads
• Newspaper studios train the first generation of visualisers &
illustrators
• Major advertisers: Retailers like Spencer’s, Army & Navy and
Whiteaway & Laidlaw
• Marketing promotions: Retailers’ catalogues provided early
example
• Ads appear in newspapers in the form of lists of the latest
merchandise from England
• Patent medicines: The first brand as we know them today
were a category of advertisers
• Horlicks becomes the first ‘malted milk’ to be patented on
5th June 1883 (No. 278967).
The 1900s
1905 - B Dattaram & Co claims to be the oldest existing
Indian agency in Girgaum in Bombay
1912 - ITC (then Imperial Tobacco Co. Ltd.) launches Gold
Flake
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1920s - Enter the first foreign owned ad agencies
• Gujarat Advertising and Indian Advertising set up
• Expatriate agencies emerge: Alliance Advertising, Tata
Publicity
• LA Stronach’s merges into today’s Norvicson Advertising
• D J Keymer gives rise to Ogilvy & Mather and Clarion
1925 - LR Swami & Co, Madras
1926 - LA Stronach & Co (India) Pr. Ltd, Bombay starts
• Agency called National set up for American rather than
British advertisers
• American importers hire Jagan Nath Jaini, then advertising
manager of Civil and Military Gazette, Lahore. National
today is still run by Jaini’s family
• Beginning of multinational agencies
• J Walter Thompson (JWT) opened to service General
Motors business
1928 - BOMAS Ltd (Formerly DJ Keymer & Co Ltd) set up
1929 - J Walter Thompson Co Pr. Ltd formed
Indian Agencies, Foreign Advertising in the Thirties
1931 - National Advertising Service Pr. Ltd. Bombay set up
• Universal Publicity Co, Calcutta formed
1934 - Venkatrao Sista opens Sista Advertising and Publicity
Services as first full service Indian agency
1935 - Indian Publicity Bureau Pr Ltd, Calcutta established
1936 - Krishna Publicity Co Pr. Ltd, Kanpur begins opera-
tions
• Studio Ratan Batra Pr. Ltd, Bombay established
• Indian Broadcasting Company becomes All India Radio
(AIR)
1938 - Jayendra Publicity, Kolhapur started
1939 - Lever’s advertising department launches Dalda - the
first major example of a brand and a marketing campaign
specifically developed for India
• The Press Syndicate Ltd, Bombay set up
Indianising Advertisements in the Forties
1940 - Navanitlal & Co., Ahmedabad set up
1941 - Lux signs Leela Chitnis as the first Indian film actress to
endorse the product
• Hindustan Thompson Associates (HTA), the current
incarnation of JWT, coins the Balanced Nourishment
concept to make Horlicks more relevant to India
• Green’s Advertising Service Agents, Bombay formed
1943 - Advertising & Sales Promotion Co (ASP), Calcutta
established
1944 - Dazzal, Bombay comes into existence
• Ranjit Sales & Publicity Pr. Ltd, Bombay started
1945 - Efficient Publicities Pr. Ltd, Madras set up
• Tom & Bay (Advertising) Pr. Ltd., Poona begins operations
in India
1946 - Eastern Psychograph Pr. Ltd., Bombay set up
• Everest Advertising Pr. Ltd, Bombay established
1947 - Grant Advertising Inc, Bombay formed
• Swami Advertising Bureau, Sholapur started
1948 - RC Advertising Co, Bombay set up
• Phoenix Advertising Pr. Ltd, Calcutta formed
1950s - Radio Ceylon and Radio Goa become the media
option
1951 - Vicks VapoRub: a rub for colds, causes ripples with its
entry in the balm market
1952 - Shantilal G Shah & Co, Bombay
1954 - Advertising Club, Mumbai set up
• Express Advertising Agency, Bombay
• India Publicity Co. Pr. Ltd., Calcutta
1956 - Aiyars Advertising & Marketing, Bombay
• Clarion Advertising Services Pr. Ltd, Calcutta
1957 - Vividh Bharati kicks off
1958 - Shree Advertising Agency, Bombay
1959 - Associated Publicity, Cuttack
Creative Revolution in the Sixties
1960 - Advertising Accessories, Trichur started
• Marketing Advertising Associates, Bombay set up
1961 - Industrial Advertising Agency, Bombay comes into
existence
• Bal Mundkur quits BOMAS to set up Ulka the same year
1962 - India’s television’s first soap opera - Teesra Rasta
enthralls viewers
1963 - BOMAS changes names to SH Benson’s
• Stronach’s absorbed into Norvicson
• Lintas heading for uncertainty
• Levers toying with giving its brands to other agencies
• Nargis Wadia sets up Interpub
• Wills Filter Tipped cigarettes launched and positioned as
made for each other, filter and tobacco match
1965 - Kersey Katrak sets up Mass Communication and
Marketing (MCM)
1966 - Government persuaded to open up the broadcast
media
• Ayaz Peerbhoy sets up Marketing and Advertising Associates
(MAA)
1967 - First commercial appears on Vividh Bharati
1968 - Nari Hira sets up Creative Unit
• India wins the bid for the Asian Advertising Congress
1969 - Sylvester daCunha left Stronach’s to run ASP; later sets
up daCunha Associates
1970 - Frank Simoes sets up Frank Simoes Associates
The Problematic Seventies
1970, 1978 - National Readership Studies provided relevant
data on consumers’ reading habits
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1970 - Concept of commercial programming accepted by All
ADVERTISING AND PROMOTIONS
India Radio
• Hasan Rezavi gives the very first spot on Radio Ceylon
1971 - Benson’s undergo change in name to Ogilvy, Benson &
Mather
1972 - Western Outdoor Advertising Pvt Ltd (WOAPL)
introduces first closed circuit TV (CCT) in the country at the race
course in Mumbai
1973 - RK Swamy/BBDO established
1974 - MCM goes out of business
• Arun Nanda & Ajit Balakrishnan set up Rediffusion
1975 - Ravi Gupta sets up Trikaya Grey
1976 - Commercial Television initiated
1978 - First television commercial seen
1979 - Ogilvy, Benson & Mather’s name changes to Ogilvy &
Mather
Glued to the Television in the Eighties
1980 - Mudra Communications Ltd set up
• King-sized Virginia filter cigarette enters market with brand
name of ‘Charms’
1981 - Network, associate of UTV, pioneers cable television in
India
1982 - The biggest milestone in television was the Asiad ’82
when television turned to colour transmission
• Bombay Dyeing becomes the first colour TV ad
• 13th Asian Advertising Congress in New Delhi
• Media planning gets a boost
1983 - Maggi Noodles launched to become an overnight
success
• Canco Advertising Pvt. Ltd. founded
• Manohar Shyam Joshi’s Hum Log makes commercial
television come alive
• Mudra sponsors first commercial telecast of a major sporting
event with the India-West Indies series
1984 - Hum Log, Doordarshan’s first soap opera in the colour
era is born
• Viewers still remember the sponsor (Vicco) of Yeh Jo Hai
Zindagi!
1985 - Mudra makes India’s first telefilm, Janam
1985-86 - 915 new brands of products and services appearing
on the Indian market
1986 - Sananda is born on July 31. The Bengali magazine
stupefies India by selling 75,000 copies within three hours of
appearing on the newsstands.
• Mudra Communications creates India’s first folk-history TV
serial Buniyaad. Shown on DD, it becomes the first of the
mega soaps
• Price quality positioning of Nirma detergent cakes boost
sales
1988 - AAAI’s Premnarayan Award instituted
7
 1989 - Advertising Club Bombay begins a biennial seminar In the New Millennium
ADVERTISING AND PROMOTIONS

called ‘Advertising that Works’
• Advertising & Marketing (A&M) magazine launched
Tech Savvy in the Nineties
1990 - Marks the beginning of new medium Internet
• Agencies open new media shops; go virtual with websites
and Internet advertising
2000 - Mudra launches magindia.com - India’s first advertising
and marketing gallery
• Lintas merges with Lowe Group to become Lowe Lintas and
Partners (LLP)
• bigideasunlimited.com - a portal offering free and fee ideas
for money launched by Alyque Padamsee and Sam Mathews

• Brand Equity (magazine) of The Economic Times is born • Game shows like Kaun Banega Crorepati become a rage;
media buying industry is bullish on KBC
1991 - First India-targetted satellite channel, Zee TV starts
• Kyunki Saas Bhi Kabhi Bahu Thi marks the return of
broadcast
family-oriented soap on TV
• Close on the throes of the Gulf War enters STAR (Satellite
Transmission for Asia Region)
• French advertising major Publicis acquires Maadhyam
2001 - Trikaya Grey becomes Grey Worldwide
1992 - Spectrum, publisher of A&M, constitutes its own
award known as ‘A&M Awards’ • Bharti’s Rs 2.75-crore corporate TV commercial, where a baby
girl is born in a football stadium, becomes the most
• Scribes and media planners credit The Bold And The
expensive campaign of the year
Beautiful serial on STAR Plus channel as a soap that started
the cultural invasion 2002 - Lowe Lintas & Partners rechristened Lowe Worldwide
1993 - India’s only advertising school, MICA (Mudra Institute • For the first time in the history of HTA, a new post of
of Communications Ahmedabad), is born president is created. Kamal Oberoi is appointed as the first
president of HTA
• Tara on Zee TV becomes India’s first female-centric soap
1995 - Advertising Club of Bombay calls its awards as Abby Points to ponder L:
• Country’s first brand consulting firm, SABRE (Strategic
Advantage for Brand Equity) begins operations
1996 - The ad fraternity hits big time for the first time by
bagging three awards at the 43rd International Advertising ADVERTISING
Festival, Cannes
• Sun TV becomes the first regional TV channel to go live 24
hours a day on all days of the week n Advertising: paid, nonpersonal
communication through various media by
1997 - Media boom with the growth of cable and satellite;
print medium sees an increase in titles, especially in specialised business firms, not
not--for
for--profit
areas organizations, and individuals who are
• Government turns towards professional advertising in the identified in the advertising message and
private sector for its VDIS campaigns who hope to inform or persuade members
• Army resorts to the services of private sector agencies of a particular audience
• Advertising on the Internet gains popularity
• Equitor Consulting becomes the only independent brand
consultancy company in the country
• Several exercises in changing corporate identity
• For the first time ever, Indians stand the chance of winning
the $ 1- million booty being offered by Gillette as part of its
Football World Cup promo 1998
• Events assume important role in marketing mix
• Rise of software TV producers banking on ad industry talent
• Reinventing of cinema -advertising through cinema begins
1998 - Lintas becomes Ammirati Puri Lintas (APL)
1999 - B2B site agencyfaqs.com launched on September 28,
1999
• The Advertising Club Bombay announces the AdWorks
Trophy

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 ADVERTISING AND PROMOTIONS
1
Advertising
Advertising and Market Share

u New brands spend proportionately

more for advertising than old ones.

u A certain level of exposure is needed

to affect purchase habits.

u Beyond a certain level, diminishing

returns set in.

1
Advertising
Advertising and the Consumer

u Average U.S. citizen is exposed to

hundreds of ads each day.

u Advertising may change a

consumer’s attitude toward a
product.

u Advertising can affect consumer

ranking of brand attributes.

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