Advertising is the any paid form of non-personal presentation & promotion of ideas, goods, & services by an identified sponsor. It also refers to controlled, identifiable information & persuasion by means of mass communication.
Advertisements designs to target a group of customers rather than individuals. It helps a business to promote their brands & products to the targeted audience with the aim to increase sales, enhance brand value, inform customers about new products, educate customers about product features etc.
Objective of Advertising
- to introduce new products
- to stimulate buying impulse
- support personal selling
- to reach inaccessible customers
- to build brand image & good will
- enter a new market to attract a new group of customers
- to support the effort of dealers & agents to sell products & services
- to expand market for the existing range of products & services
- motivate the channel partners to stock in more of the organization’s products
- to tap the memory of existing customers
- to rope in new customers
- provide end to end guidance to the existing & prospective customers
- to provide the information about products & services
- reassure the existing customers about the service levels
- to change social attitude & persuade the customers to take action.
Characteristics of Advertising
- Advertising is basically a commercial activity different from publicity
- It is sponsored communication which influences the purchase behaviour & attitude of consumers
- lack personal elements & is purely non-personal mostly carried out through sponsors to target & attract a large group of customers
- it encompasses research, plan, co-ordination & execution of activities
- This is a key component of promotion element of marketing mix
- It is effective when the time, place, & direction of advertisement is controlled & is highly persuasive
- Set of the targeted customers, identifies it.
Different methods are used to advertise different products
- Functions of Advertising
- preparing ground for new products
- creation of demand
- facing the competition
- creating & enhancing good will
- barring new entrances
- persuading customers & maintaining customers loyalty
- build brand image
- informing the changes to customers
- to lower the prices
- acts as a competitive weapon
- strengthen other promotion mix elements
Social & Economic Effects of Advertising
1. Economic Effects
- effect on the value of products & services
- effect on prices
- on consumer demand & consumer choice
- effect of competition
2. Social Effects
- social & cultural issues
- stereotyping in advertising
- sex appeals or nudity used to gain consumer’s attention
Advertising & Decision Making
Advertising reaches products & services to customers. During the process many crucial decisions need to be taken by the branding & marketing communications team. Some of the decisions are listed below:
- objectives behind releasing the advertisement
- media through which the advertisement effort is to be carried out
- ad copy & related aspects of the advertisement
- advertising budget taking into consideration the various costs involved
Classification of Advertising
- on the basis of area coverage(i.e. local, regional, national, international advertising)
- audience(i.e. consumer, industrial, trade, professional advertising)
- on the basis of media(i.e. print, electronic, outdoor media advertising, etc.)
- on the basis of advertising stages(i.e. pioneer, retentive stage advertising, etc.)
- There are different types of Advertising like social, political, institutional, product, retails, financial, service, etc.
Selection of a right type of advertising media is a difficult task. Any media that is selected must be capable of accomplishing at least three main objective :
- it must reach the largest number of people possible
- must attract their attention
- it must be economical
- Above the line (ATL)
- Below the line (BTL)
- Through the line(TTL)
It refers to promotional activities done at macro level. It does at national, regional, or at bigger territory level & is coveres mass audience in this type of promotion. Creates brand image about the company & its product. Radio, cinema, television, newspaper, & magazines are used to create an impact about the company & its products. ATL communication is more of conventional in nature.
This communication is unconventional in nature, done micro level &forms part of non-media communication. Measures include direct mailing, distribution of flyers, brochures, & usage of sponsorship, public relations, tele-marketing & point of sale.
Through the Line (TTL)
It refers to an advertising strategy involving both above & below the line communications. This strategic approach allows brands to engage with a customer at multiple points. This enables an integrated communications approach where consistent messaging across multiple media create a customer perception.
The advent of social media has blurred the ‘Line’ segregating the marketing techniques. These days, companies use an integrated approach involving both ATL & BTL & called TTL approach. This generate a solid perception regarding the company & the product, the main aim of Marketing!