DEVELOPING AND MANAGING AN ADVERTISEMENT
PROF: JACOB ALEXANDER
AJAI SACHCHAR 08PG146
PRITIKA AGARWAL 08PG181
SIDDHARTH KAUSHIK 08PG161
B.K VENKATAKRISHNA 08PG158
SANDEEP MAHESHWARI 08PG191
SR.NO TOPIC PAGE NO
1 ADVERTISING & DEVELOPING A CAMPAIGN 1-3
2 MAJOR TYPES OF ADVERTISING 3-4
3 MEDIA SELECTION CONSIDERATION 4-6
4 ADVERTISING APPROPRIATIONS & FACTORS 7-8
AFFECTING BUDGET DECISIONS
5 ADVERTISING APPEALS 9-10
6 MEDIA SCHEDULING 11
7 MEDIA TYPES 12-14
8 BUYER PERSUASION 15-17
Advertising is a paid form of non-personal communication transmitted through mass media, such
as Television, radio, the internet, newspapers, magazines, direct mail, outdoor displays, and signs
on mass transit vehicles. Organizations use advertising to reach a variety of audiences ranging
from small, specific groups, such as stamp collectors to large groups such as athletic shoe
purchasers in the country. Advertising is used to promote goods, services, ideas, images, issues,
people, and anything else that advertisers want to publicize or foster.
DEVELOPING AN ADVERTISING CAMPAIGN
An advertising campaign involves designing a series of advertisements and placing them in
various advertising media to reach a particular audience.
IDENTIFYING AND ANALYSING THE TARGET AUDIENCE
The target audience is the group of people to whom advertisements are aimed. For example
advertisements for Barbie cereal are targeted toward young girls whereas those for Special K
cereals are directed at health- conscious adults. It is a critical process wherein the information
yielded helps determines other steps in developing the campaign. The target market may include
everyone. Advertiser research and analyze advertising targets to establish an information base for
DEFINING THE ADVERTISING OBJECTIVES
The advertisers’ next step is to determine what the firm hopes to accomplish with the campaign.
As it is the advertising objectives that guide campaign development. It should be clearly stated,
precisely and in measurable terms. Precision and measurability allow advertisers to evaluate
advertising success at the end of the campaign. To provide precision advertising objectives
should contain benchmarks and standards.
CREATING THE ADVERTISING PLATFORM
Before launching the political campaign, party leaders develop a political platform stating major
issues that are the basis of the campaign. It should consist of issues important to the customers.
One of the best ways to do that is to survey the customers about what they consider most
important in the selection and use of the product involved.
DETERMINING THE ADVERTISING APPORPRIATION
The advertising appropriation is the total amount of money a marketer allocates for advertising
for a specific time period. This is hard to decide how much to spend on advertising for a specific
period because the potential effects of advertising are so difficult to measure precisely.
DEVELOPING THE MEDIA PLAN
In order to derive maximum results from media expenditures, marketers must develop effective
media plans. A media plans sets forth the exact media vehicles to be used like the magazines,
television, newspapers, radio etc. and the dates and times of advertisements will appear. The
media planner’s primary goal is to reach the largest number of people in the advertising target
that the budget will allow.
CREATING THE ADVERTISING MESSAGE
The basic content and form of an advertising message are a function of several factors. A
product’s features, uses, and benefits affect the content of the message. Characteristics of the
people in the target audience – gender, age, education, income, and lifestyle influence both
content and form. An advertising campaign’s objectives and platform also affect the content and
form of its messages.
EXECUTING THE CAMPAIGN
Execution of an advertising campaign requires extensive planning and coordination because
many tasks must be completed on time and many people and firms are involved. Implementation
requires detailed schedules to ensure that various phases of the work are done on time.
EVALUATING ADVERTISING EFFECTIVENESS
A variety of ways exist to test the effectiveness of advertising. They include measuring
achievement of advertising objectives, assessing effectiveness of copy, illustrations, or layouts
and evaluating certain media.
MAJOR TYPES OF ADVERTISING
The firm’s promotional plan and budget depends upon the type of advertisement used. If a
company wants to build up the image it has to use institutional advertising and if it wants to
enhance the sales of a particular product it has to use product advertising.
Modern corporations market multiple products and need a different type of advertising.
Institutional advertising promotes the whole corporation and is designed to establish, change or
maintain the corporation’s identity. A form of institutional advertising is called advocacy
advertising which is typically used to safeguard against negative consumer attitudes and to
enhance the company’s credibility among consumers who already favor its position. These types
of advertising are used by the company to express their views in controversial issues. At other
times, firms’ advocacy campaigns react to criticism or blame, some in direct response to
criticism by the media.
Unlike institutional advertising, product advertising promotes the benefits of a specific good or
service. This is classified into three types pioneering, competitive and comparative advertising.
This is used to stimulate primary demand for a new product or product category. This is used in
introductory stage of a product life cycle, and this gives the consumers in depth information
about the benefits of the product class. Pioneering advertising also seeks to create interest about a
Firms use competitive advertising or brand advertising when a product enters the growth phase
and the other companies begin to enter the market place. This advertising influences the demand
for a particular brand. This stresses the subtle differences of the brands and aims at improving
Comparative advertising directly or indirectly compares two or more competing brands on one or
more specific attributes. Products experiencing sluggish growth or those entering the market
place against strong competitors are more likely to employ comparative claims in their
MEDIA SELECTION CONSIDERATIONS
An important element in advertising campaign is the media mix, the combination of media to be
used. Media mix depends on several factors like cost per contact, reach, frequency, target
audience considerations, flexibility of the medium, noise level and the span life of the medium.
Cost per Contact
It is the cost of reaching one member of the target market, therefore as the size of the audience
increases the cost increases. Cost per contact enables the advertiser to compare media vehicles
such as television, radio, magazine, newspaper. The advertiser might then pick up the lowest cost
per contact to maximize the advertising punch.
Is the number of different target consumers who are exposed to a commercial atleast once
during a specific period, usually four weeks. Media plans for product introductions and attempts
at increasing brand awareness usually emphasizing reach. For example an advertiser might try to
reach 70% of the target audience during the first three months of the campaign. Reach is related
to a medium’s ratings generally referred to in the industry as gross rating points.
It is the number of times an individual is exposed to a message during a specific period.
Advertisers use average frequency to measure the intensity of a specific medium coverage.
Media selection is also a matter of matching the advertising medium with the product’s target
market. If marketers are trying to reach teenage females, they might select a specific magazine
which is popular among teenagers, if they are trying to reach consumers over fifty years old they
may choose a different magazine. A medium’s ability to reach a precisely defined market is
audience to reach a precisely defined market is audience selectivity.
This is extremely important to an advertiser, magazine advertising traditionally could not adapt
as rapidly to changing market conditions. While this is fast changing due to computer technology
that creates electronic ad images and layouts, the lead time for magazine advertising is still
longer. An advertiser can change a radio ad or an ad in internet within few minutes.
Is the level of distraction to the target audience in a medium. For eg to understand a televised
promotional message, viewers must listen to it carefully without distractions. Noise can also be
created by competing ads as when a street is lined with bill boards or when a television program
is cluttered with competing ads.
Media have either a short or long life span. Life span means that messages can either fade or
persist as a tangible copy to be carefully studied. Radio commercial may last less than a minute,
therefore the advertisers repeat the ads. A magazine has a relatively long life span.
In creating ads, there are four fundamental decisions:
1. Determine message content and devise ads – each ad has some requirements like a
headline or opening to create interest and copy that presents the message. Content
decisions also involve the use of color and illustrations, ad size or length, the source, the
use of symbolism.
2. Outline a promotion schedule – this should allow for all copy and artwork and be based
on the lead time needed for the chosen media.
3. Specify each ad’s location in a broadcast program or print medium- as costs have risen,
more firms have become concerned about ad placement.
4. Choose how many variations of a basic message to use – this depends on the frequency of
presentations and the ad quality.
There are two major decisions about the timings of ads
a) How often an ad is shown,
b) When to advertise during the year.
First the firm must balance audience awareness and knowledge versus irritation if it
places an ad several times in a very short period. McDonald’s runs ads often, but
changes them repeatedly. Second, a firm must choose whether to advertise over the
year or in certain periods. Distributed ads hold brand recognition and increase sales in
non- peak periods.
The advertising appropriation is the total amount of money a marketer allocates for advertising
for a specific time period. It is hard to decide how much to spend on advertising for a specific
period because the potential effects of advertising are so difficult to measure precisely. Many
factors affect a firm’s decision about how much to appropriate for advertising. Geographic size
of the market and the distribution of buyers within the market have a great bearing on this
Advertising appropriations for business products are usually quite small relative to product sales,
whereas consumer convenience items, such as soft drinks, FMCG products generally have large
advertising expenditures relative to sales.
There are many techniques to determine the advertising appropriations. They are as follows
1) OBJECTIVE AND TASK APPROACH: Under this approach marketers determine the
objectives a campaign is to achieve and then attempt to list the tasks required to
accomplish them. The costs of the tasks are calculated and added to arrive at the total
2) PERCENT OF SALES APPROACH: In this the marketers, simply multiply the firms
past sales plus a factor for planned sales growth or decline by a standard percentage on
based on both what the firm traditionally spends on advertising and the industry average.
3) COMPETITION MATCHING APPROACH: Marketers following this approach try to
match their major competitors’ appropriation in absolute value or to allocate the same
percentage of sales for advertising that their competitors do.
4) ARBITRARY APPORACH: In this the high level executive in the firm states how
much to spend on advertising for a certain period. It often leads to over spending or under
FACTORS AFFECTING BUDGET DECISIONS
Here are five specific factors to consider when setting the advertising budget:
Stage in the product life cycle- new products typically merits large advertising budgets to
build awareness and to gain consumer trial. Established brands usually are supported with
lower advertising budgets, measured as a ratio to sales.
Market share and consumer base – high market share brands usually requires less
advertising expenditure as a percentage of sales to maintain share. To build share by
increasing market size requires larger expenditure.
Competition and clutter – in a market with large number of competitors and high
advertising spending, a brand must advertise more heavily to be heard. Even simple
clutter from advertisements not directly competitive to the brand creates a need for
Advertising frequency – the number of repetitions needed to put across the brand’s
message the consumers has an obvious impact on the advertising budget.
Product substitutability – brands in less- well differentiated or commodity or commodity
like product classes (beer, soft drinks, banks) require heavy advertising to establish a
DEVELOPING AND EVALUATING ADVERTISING APPEALS:
An advertising appeal identifies a reason for a person to buy a product. Advertising campaigns
can focus on one or more advertising appeals. Criteria for evaluating the advertisement appeal
depend on desirability, exclusiveness and believability. The advertising appeal selected then
becomes the UNIQUE SELLING PROPOSITION. The appeal must first make a positive
impression on and be desirable to the target marketer. Consumers must be able to distinguish the
message from the competitor’s message.
COMMON ADVERTISING APPEALS:
1) Profit: Lets the consumer know whether the product will save them the money, make
them money or keep them from losing money.
Eg: Life insurance policies
2) Health: Appeals to those who are health-conscious or want to be healthy.
Eg: Saffola oil Advertisements
3) Love or romance: Is used often in selling cosmetics and perfumes.
Eg: Axe perfumes
4) Fear: Can centre on social embarrassment or losing one’s health and must be executed
properly with lot of care.
Eg: Deterioration of the environment because of pollution
5) Admiration: Admiring the use of the Brand.
Eg: Mercedes Benz
6) Convenience: Shows the Service differentiation what the product is providing compared
to its competitors.
Eg: Dominos for 30 min delivery
7) Fun and pleasure: Generally used for vacations, beers, amusement parks and more.
Eg: Country Club Resorts
8) Vanity and Egotism: Are generally used for the expensive products or conspicuous
items. Eg: Cars and Clothing
9) Environmental Consciousness: Centres on protecting the environment and being
considerate for others in the community.
10) Eg: Hyundai Advertisements
EXECUTING THE MESSAGE
Message execution is the way in which an Advertisement portrays its information. The style in
which the message is executed form the most creative part of the Advertisement.
TEN COMMON EXECUTIONAL STYLES:
1) Slice of Life: Depicts people in normal settings or enjoying their normal life.
Eg: McDonalds giving advertisements with people sitting in Cars
2) Lifestyle: Shows how well the product will fit in their lifestyle
Eg: Apple IPods
3) Spokesperson/Testimonial: Can feature a celebrity or a common man endorsing the
Eg: Toyota uses Aamir Khan for endorsements
4) Fantasy: Creates a fantasy in the users for the execution of the product.
Eg: Apple I Phones
5) Humorous: Using humor in the ads
Eg: BigBazar using the Old guy
6) Real/ animated Product Symbols: Creates a character in the advertisement that
represents the product.
Eg: McDonalds Cartoon Character
7) Mood or image: Builds a mood or image around the product such as peace love or
Eg: Diamond Jewellery Ads
8) Demonstration: Shows Consumer the Expected Benefits.
Eg: Tide or any Detergent Ad
9) Musical: Conveys the message through song.
10) Scientific: Uses a research or scientific Evidence to show the brand superiority over
Eg: Colgate Toothpaste
A Media schedule designates the medium or media to be used, the specific vehicles and the
insertion dates of advertising.
There are three types of media schedules:
1) Continuous Media Schedule: Products which are in the latter stage of the
product lifecycle which are advertised on reminder basis uses this. A continuous
schedule allows the advertising to run steadily throughout the advertising period.
Eg: coca-cola and Marlboro Cigarettes
2) Fighted Media Schedule: The advertiser may schedule the ads heavily every
other month or every two weeks to achieve a greater impact with an increased
frequency and reach at those times.
Eg: Movie studios might schedule the television advertising on Wednesday and
Thursday nights, when moviegoers are deciding which movie to see at the
3) Pulsating Media Schedule: It combines continuous scheduling with fighting.
Continuos advertising are simply heavier during the best sales period. A retail
department store may advertise on a year round basis but place more advertising
during certain sales period such as Diwali, Christmas and Back to School etc.
4) Seasonal Media Schedule: Advertising for champagne is concentrated during the
weeks of Christmas and New year’s whereas Health-club concentrate in
advertisement during January to take advantage of new years resolutions.
Research shows that the continuous schedules for advertisement are more
effective than fighting in driving sales.
Advertising media are channels that advertisers use in mass communication. The six major
advertising media are newspaper, magazine, radio, television, outdoor media and the internet.
Following chart summarizes the advantages and disadvantages of these major channels. In recent
years, however, alternative media have emerged that give advertisers innovative ways to reach
their target audience and avoid advertising clutter.
MEDIUM ADVANTAGES DISADVANTAGES
NEWSPAPER Geographic selectivity and flexibility; Little demographic selectivity; limited
short term advertiser commitments; colour capabilities; low pass-along rate;
news value and immediacy; year may be expensive
round readership; high individual
market coverage; short lead time
MAGAZINES Good reproduction, especially for Long-term advertiser commitments; slow
colour; demographic selectivity; audience build-up; limited demonstration
regional selectivity; local market capabilities; lack of urgency; long lead
selectivity; relatively long advertising time
life; high pass-along rate
RADIO Low cost; immediacy of message; can No visual treatment; short advertising life
be scheduled on short notice; of message; high frequency required to
relatively no seasonal change in generate comprehension and retention;
audience; highly portable; short term distraction from background sound;
advertiser commitments; commercial clutter
TELEVISION Ability to reach a wide diverse Short life of message; some consumer
audience, low cost per thousand; skepticism about claims; high campaign
creative opportunities for cost; little demographic selectivity with
demonstration; immediacy of network stations; long-term advertiser
messages; entertainment carryover commitments, long lead times required
demographic selectivity with cable for production; commercial clutter
OUTDOOR Repetition; moderate cost; flexibility; Short message; lack of demographic
MEDIA geographic selectivity selectivity; high noise level distracting
INTERNET Fastest growing medium; ability to Difficult to measure ad-effectiveness and
reach a narrow target audience; return on investment; ad exposure relies
relatively short lead time required for on “click-through” from banner ads; not
creating web-based advertising; all consumers have access to the internet
Newspaper are generally a mass-market medium, however, they may not be the best vehicle for
marketers trying to reach a very narrow market. For example local newspapers are not the best
media vehicle for reaching purchasers of specialty steel products.
Compared to the cost of other media, the cost per contact in magazine advertising is usually high.
The cost per potential customer may be much lower, however, because magazines are often
targeted to specialized audiences and thus reach more potential customers.
Radio has several strengths as an advertising medium: selectivity and audience segmentation, a
large out-of-home audience, low unit and production cost, timeliness and geographic flexibility.
Television is an audiovisual medium; it provides advertisers with many creative opportunities.
Television broadcasters include network television, independent stations, cable television and a
relative newcomer, direct broadcast satellite televisions.
Outdoor or out-of-home advertising is a flexible, low-cost medium that may take a variety of
forms. Examples include billboards, skywriting, giant inflatable, and mini-billboards in malls
and on bus stop shelters, signs in sports arenas. Outdoor advertising reaches a broad and services
market and is, therefore, ideal for promoting convenience products and services as well as
directing consumers to local businesses. One of outdoor’s main advantages over other media is
that its exposure frequency is very high, yet the amount of clutter from competing ads is very
low. Outdoor advertising is becoming increasingly innovative and three-dimensional. For
example delta’s living billboard is an example of how far you can go with outdoor media.
The World Wide Web and the internet have undoubtedly shaken up the advertising world. With
ad revenues approaching $ 6 billion in 2001, the internet has established itself as a solid
Alternative media vehicles can include shopping carts in grocery stores, computer screen savers,
CD-ROMs, interactive kiosks in department stores and advertisements run before movies at the
cinema and on rented videocassettes.
HOW DOES ADVERTISING PERSUADE THE BUYER
Advertising is usually performed by an identified sponsor, and performed through a variety of
channels. Advertisers influence our identity by making commercials. Many agree that they
influence our identity and they have a huge impact on audience. They influence us by using
things such as techniques, stereotypes and targeting people. Our personal identity is who we are
and what things make us up such as occupation, beliefs, personality, self esteem, lifestyle,
relationships, and friends, how we look and what we wear. Advertisers use techniques to grab
people's attention. For example, to make a burger look tasty in advertising, it may be painted
with brown food colouring, sprayed with waterproofing to prevent it from going soggy and
sesame seeds may be superglued in place. Advertising will bring new customers and more sales
for the business. It can be expensive but can help increase a business's profits.
Some of the factors that persuade the buyer are as follows:-
AWARENESS - before anything else can happen the must become aware that the
product or service exists. Thus, the first task must be to gain the attention of customers.
All the different models are, predictably, agreed on this first step. If the audience never
hears the message they will not act on it, no matter how powerful it is.
INTEREST - but it is not sufficient to grab their attention. The message must interest
them and persuade them that the product or service is relevant to their needs. The content
of the message(s) must therefore be meaningful and clearly relevant to that target
audience's needs, and this is where marketing research can come into its own.
UNDERSTANDING - once an interest is established, the customer must be able to
appreciate how well the offering may meet his or her needs, again as revealed by
research. This may be no mean achievement where the copywriter has just fifty words, or
ten seconds, to convey everything there is to say about it.
ATTITUDES - but the message must go even further; to persuade the reader to adopt a
sufficiently positive attitude towards the product or service that he or she will purchase it,
albeit as a trial. There is no adequate way of describing how this may be achieved. It is
simply down to the magic of the copywriters art; based on the strength of the product or
PURCHASE - all the above stages might happen in a few minutes while the reader is
considering the advertisement; in the comfort of his or her favourite armchair. The final
buying decision, on the other hand, may take place some time later; perhaps weeks later,
when the prospective buyer actually tries to find a shop which stocks the product.
REPEAT PURCHASE - but in most cases this first purchase is best viewed as just a
trial purchase. Only if the experience is a success for the customer will it be turned into
repeat purchases. These repeats, not the single purchase which is the focus of most
models, are where the vendors focus should be, for these are where the profits are
generated. The earlier stages are merely a very necessary prerequisite for this.
FACTORS LEADING TO AUDIENCE PERSUASION
SOURCE OR ENDORSER OF MESSAGE:-
Every advertising message is rendered or endorsed by someone. The same message rendered by
two different people can have different impact on the same audience. The persuasive influence of
the source depends mainly on the specific features as written below:-
The credibility of the source.
Likeability of the source
The sources approach to the views and disposition of the audience.
CREDIBILITY OF THE SOURCE:-
Research has shown that source credibility is an important determinant of audience persuasion.
Factors such as level of expertise,trustworthiness,culture,age and educational level decide the
source credibility with the audience.If the source appears appears to be having some selfish
interest ,then the influence of the source over the audience would be far greater. A source that
has the right qualification and expertise in the relevant field can be an effective
communicator.The power,prestige and social status of the source also influences audience
LIKEABILITY OF THE SOURCE:-
The likeability of the source is the second major determinant that determines the effectiveness of
the source.An audience likes a source for several reasons.If the source is identical to the audience
in personal attributes , political affiliations,race features ,the audience then tends to be like the
source. It is this attitude of the receivers that prompts advertisers to use film stars as sources for
great many advertisements.
THE SOURCE’S APPROACH TO THE VIEWS AND DISPOSTION:-
When a source delivers a message where he initially agrees with his audience existing views, he
is more persuasive. The audience becomes receptive when they find out that the originator of the
message has identical views. Later in the message, the audience may come across views that are
contrary to the one held by them. Yet the source original posture agreeing with the receivers
views facilitates his entry into the mind of the receiver.
1. MARKETING CONCEPTS & STRATEGIES BY WILLIAM.M.PRIDE &
2. MARKETING 8e BY JOEL R.EVANS & BARRY BERMAN.
3. MARKETING MANAGEMENT BY PHILIP KOTLER.
4. BUSINESS OUTLOOK
5. MARKETING BY LAMB, HAIR, McDaniel