UNIT I INTRODUCTION TO ADVERTISING Definition The American Marketing Association (AMA) has defined as any paid form of non

personal presentation and promotion of ideas, goods and services by an identified sponsor advertising is: "Advertising is the non personal communication of information usually paid for and usually persuasive in nature about products, services or ideas by identified sponsors through the various media." FUNCTIONS OF ADVERTISING 1. To differentiate the product from their competitors 2. To communicate product information 3. To urge product used 4. To expand the product distribution 5. Too increase brand preference and loyalty 6. To reduce overall sales cost 7. Creates new demands 1. To differentiate the product from their competitors An important function of advertising is the identification function, that is, to identify a product and differentiate it from others; this creates an awareness of the product and provides a basis for consumers to choose the advertised product over other products this creates an awareness of the product and provides a basis for consumers to choose the advertised product over other products. The identification function of advertising includes the ability of advertising to differentiate a product so that it has its own unique identity or personality. There are four additional ways to differentiate your offering from the competition and increase your differentiation: leveraging the brand, innovating your service offering, as well as designing product and packaging in a way that creates an aesthetic beyond the functional. None of these methods are expensive. All are ways that can increase your perceived value to the customer and increase your market share. Example: GARNIER FRUTICS (shampoo) the shampoo bottle have the different color from all other shampoo available in the shelf. The bottle of the shampoo is unique from all others. Example: apple laptops make them different from others as the WHITE color and logo of APPLE on back of the screen. 2. To communicate product information Another function of advertising is to communicate information about the product, its attributes, and its location of sale; this is the information function. Product information communicated to the customers in manner that meets their information needs. Most consumers tend to discount the information in advertising because they understand that the purpose of the advertising is to persuade. Making an advertising message believable is not easy; though often it is sufficient to make the consumer curious enough to try the product. Such curiosity is often referred to as interested disbelief. Advertisers use a variety of devices to increase the believability of their advertising: celebrities or experts who are the spokespersons for the product, user testimonials, product demonstrations, research results, and endorsements. Example: Ponds age miracle, in that ad the celebrity HADIQA KAYANI is informing the consumers about the benefits of it. That how the old women can look younger by using it continuously. It will make you fair cream plus it reduces freckles plus it can be used as a sun block as well it will make you look young. 3. To urge product used The third function of advertising is to induce consumers to try new products and to suggest reuse of the product as well as new uses; this is the persuasion function. The basic function of advertising is to provide constant reminders and reinforcements to generate the desired behavior the advertiser wants from them. This is a particularly effective function in the long run as reminders

and reinforcements register in the consumers' minds, becoming the base on which they shape their future decisions. Sampling in the way to urge the product using. Example: Fair and lovely as we know that it will make a girl look fair and prettier in 4 weeks. Example: Neutrogena acne treatment cream will remove your pimple is 24 hours. NEUTROGENA say no to pimples!! 4. To expand the product distribution When the consumer comes to know about the particular product from the advertisement he/she wants to try that new product. They go to shops to buy the product; if the new product is not available in a shop then the shopkeeper consults the distributor to make that product available in his shop. It is basically to provide the product all over market. It is necessary to make sure that product should be accessible to everyone. Availability of product effect the distribution. Example: Wateen telecom and Motorola Partner to Expand Distribution of Videoconferencing Product Line in Pakistan. So as many people are getting to know about this facility they are running towards the franchises to avail it. So for that Wateen should expand their distribution all around the cities. Accessibility is major factor for successful product 5 To increase brand preference and loyalty Marketing is a moving thing. As your needs are changed your preferences are changed. When the product delivers the promised quality, service and value, it creates satisfied customers who become instrumental in spreading a favorable word-of-mouth. Satisfied customers also develop brand preference; each product features and uses are written on the product. Example: 99% girls who are not married will not look at the ad of pampers or any milk powder for children but when they will get married their interest will automatically move towards such ad' 6. Brand loyalty Brand loyalty is a long-term customer preference for a particular product or service. Brand loyalty can be produced by factors such as customer satisfaction with the performance or price of a specific product or service, or through identifying with a brand image. It can be encouraged by advertising. People often make purchasing decisions based on how a brand makes them feel emotionally rather than based on quality or other objective evaluations. If "Just Do it" strikes a chord with an athlete, he'll buy Nike; the decision may have little to do with quality. Example: For instance, when one buys a tube of Colgate toothpaste and finds it ok, one will not have to spend any valuable time on looking for other toothpaste brands. 7. To reduce overall sales cost When a product is selling you have to teach the people about the product. Like if we would advertise through newspapers, TV, broachers and internet, it would cater huge sum of masses and if you do individually it would be more costly and time consuming. Example: Coke targets their consumers on a very large scale through mass media whereas Makka cola advertise on smaller scale or go door to door to advertise their product. 8. Creates new demands Advertising have to create new demands they should educate the people about more and more new things coming up in the market. Each year new products, including line extensions and new brands are introduced into groceries and drugstores. Example: Wateen telecom is offering wireless internet chips, video conferencing and WIMAX services as they are introducing new services in market its creating new demands.

ADVERTISING OBJECTIVE Advertising objectives are the communication tasks to be accomplished with specific customers that a company is trying to reach during a particular time frame. A company that advertises usually strives to achieve one of four advertising objectives: trial, continuity, brand switching, and switchback. Objectives of advertising Introduce new product Sustain the established product Increase sales volume and share market Increase public welfare To help middlemen Other objectives Trial The purpose of the trial objective is to encourage customers to make an initial purchase of a new product. Companies will typically employ creative advertising strategies in order to cut through other competing advertisements. The reason is simple: Without that first trial of a product by customers, there will not be any repeat purchases. Continuity Continuity advertising is a strategy to keep current customers using a particular product. Existing customers are targeted and are usually provided new and different information about a product that is designed to build consumer loyalty. Brand Switching Companies adopt brand switching as an objective when they want customers to switch from competitors brands to their brands. A common strategy is for a company to compare product price or quality in order to convince customers to switch to its product brand. Switchback Companies subscribe to this advertising objective when they want to get back former users of their product brand. A company might highlight new product features, price reductions, or other important product information in order to get former customers of its product to switchback. THE FIVE PLAYERS OF ADVERTISING 1. The Advertiser 2. The Advertising Agency 3. The Media 4. The Vendor 5. The Audience 1. The Advertiser Advertising begin with the advertiser, the person or organization that needs to get out a message. The advertiser also makes the final decisions about the target audience, the media that will carry the advertising, the size of the advertising budget, and the length of the campaign. Finally the advertiser pays the bill. 2. The Advertising Agency The second player in the advertising world is the advertising agency. Advertisers hire independent agencies to plan and implement part or all of their advertising efforts. This working arrangements is known as the agency client partnership. 3. The Media The third player in the advertising world is the Media. The media is composed of the channels of communication that carry the message from the advertiser to the audience, and in the case of the

internet, it carries the response from the audience back to the advertiser. Media delivers advertising message in a way that is consistent with the creative effort. 4. The Vendors The group of service organizations that assist advertisers, advertising agencies and the media: the vendors. Members of the group are also called freelancers, consultants and self employed professionals. 5. The Target Audience The final player in the advertising world is the target audience. All strategy starts with the customers. The target audience has a direct bearing on the overall advertising strategy. especially the creative strategy and the media strategy. Communication Process in Advertising SOURCE MESSAGE Sponsor Literary form Author Persona
1. Autobiography 2. Narrative 3. Drama

RECEIVER Implied Consumer Sponsor consumer Actual Consumer

Sender. The party sending the message to another party (also called the source of communicator). Encoding. The process of putting thought into symbolic form. Message. The set of symbols that the sender transmits. Media. The communication channels thought which the Message moves from sender to receiver. Receiver. The party receiving the message sent by another party (also called the audience or destination). Response. The set of reactions that the receiver has after being exposed to the message. Feedback. The part of the receiver's response that the receiver communicates back to the sender. Noise. Unplanned static or distortion during the communication process, resulting in the receiver's receiving a different message than the sender sent ADVERTISING AGENCY Definition According to The American Association of Advertising Agencies (AAAA) define an advertising agency as an independent organization of creative people and business people who specialize in developing and preparing marketing and advertising plans, advertisements, and other promotional tools. The agency purchases advertising space and time in various media on behalf of different advertisers, or sellers to find customers for their goods and services An advertising agency or ad agency is a service business dedicated to creating, planning and handling advertising (and sometimes other forms of promotion) for its clients. An ad agency is independent from the client and provides an outside point of view to the effort of selling the client's products or services. An agency can also handle overall marketing and branding strategies and sales promotions for its clients Types of advertising agencies

1. Limited-Service Advertising Agencies. Specialist Advertising Agencies 2. In-House Advertising Agencies Interactive agencies 3. Search engine agencies 4. Social media agencies Ad agencies come in all sizes and include everything from one or two-person shops (which rely mostly on freelance talent to perform most functions), small to medium sized agencies, large independents such as SMART and TAXI, and multi-national, multi-agency conglomerates such as Omnicom Group, WPP Group, Publicis, Interpublic Group of Companies and Havas. Limited-Service Advertising Agencies o Some advertising agencies limit the amount and kind of service they offer. Such agencies usually offer only one or two of the basic services. For example, although some agencies that specialize in "creative" also offer strategic advertising planning service, their basic interest is in the creation of advertising. Similarly, some "media-buying services" offer media planning service but concentrate on media buying, placement, and billing. o When the advertiser chooses to use limited-service advertising agencies, it must assume some of the advertising planning and coordination activities that are routinely handled by the full-service advertising agency. Thus, the advertiser who uses limited-service agencies usually takes greater responsibility for the strategic planning function, gives greater strategic direction to specialist creative or media agencies, and exercises greater control over the product of these specialized agencies, ensuring that their separate activities are well-ordered and -coordinated. Specialist Advertising Agencies o In addition to the full-service, general-line advertising agencies, there are also agencies that specialize in particular kinds of advertising: recruitment, help-wanted, medical, classified, industrial, financial, direct-response, retail, yellow pages, theatrical/entertainment, investment, travel, and so on. o Specialization occurs in such fields for a variety of reasons. Often, as in recruitment advertising, for example, specialized media or media uses are involved that require knowledge and expertise not ordinarily found in a general-line agency. In other cases, such as medical or industrial advertising, the subject is technical and requires that writers and artists have training in order to write meaningful advertising messages about it. o Such specialist advertising agencies are also usually "full-service," in that they offer all the basic advertising agency services in their area of specialization plus other, peripheral advertising services related to their area of specialization. 1. In-House Advertising Agencies Some advertisers believe that they can provide such advertising services to themselves at a lower cost than would be charged by an outside agency. Interactive agencies Interactive agencies may differentiate themselves by offering a mix of web design/development, search engine marketing, internet advertising/marketing, or e-business/e-commerce consulting. Interactive agencies rose to prominence before the traditional advertising agencies fully embraced the Internet. Search engine agencies Lately, pay per click (PPC) and (SEO) search engine optimization firms have been classified by some as 'agencies' because they create media and implement media purchases of text based (or

image based, in some instances of search marketing) ads. This relatively young industry has been slow to adopt the term 'agency', however with the creation of ads (either text or image) and media purchases, they do technically qualify as 'advertising agencies'. Social media agencies Social media agencies specialize in promotion of brands in the various social media platforms like blogs, social networking sites, Q&A sites, discussion forums, mic Selection of advertising agencies An advertiser seeks the help of an advertising agency to help him in planning and in carrying out the advertisement programs. He has to select an appropriate advertising agency to advertise his products or services. First he has to decide the nature of job; the agency is expected to do. Then, the advertiser should make a list of all possible agencies that can serve his purpose. He has to select the best-qualified one to get many specialized services. Some of the factors to be considered while selecting the advertising agencies are, The first one is the creativity: which is an important assert of an advertising agency. It depends on the quality of creative personnel appointed by the agencies. It is the creativity, which makes advertising popular. The next criterion is the services: It is necessary to consider the range of services offered while selecting advertising agency for a job. Small agencies provide limited services while large agencies offer wide range of services. If an agency is well equipped to provide full services to the advertiser, such agency can be selected. The location is the next criterion; Advertisers have to consult and communicate on various advertising problems. This can be done quickly and economically, if the office of the agency is within easy reach of the advertiser. In some instances, advertisers insist that the agency should have an office in the same city. Remuneration of advertising agency Agency Remuneration 1. Media commission The media allowed the agencies to retain a 15% media commission on the space or time they purchased on behalf of the clients. That started a tradition that endures to this day, although it is now changing rapidly 2. Marks ups In the process of creating an ad the agency normally buys a variety of services or materials from outside suppliers for example, photos, and illustrations. The agency pays the suppliers charge and then adds a marks up to the client s bill. 3. Fees Clients today expect agencies to solve problems rather than just place ads, so fees are becoming more common. There are two types of pricing methods a.) Fee commission combination b.) Straight fee or retainer method Advertising agency is a service organization, which render services for some charges called compensation or remuneration. The compensation is the total revenue they get from advertisers and media owners. From that they meet the expenses in the preparation of advertising copy and the balance is the net revenue for the agency. Advertising agencies get the remuneration by the methods such as commission method, fees system, cost-plus methods and agency charges method. he commission method is the most common and the oldest method of remuneration. Under this method the agency is paid a fixed commission of 15% on cost charged for media space or time by the media owners.

However this rate varies from country to country. Further 2 percent cash discount for prompt payment is allowed by media to agency. This cash discount is allowed not on media bill but on the amount to be paid by the agency media. The main drawback of this method is the agency is tempted to recommend expensive media to get huge remuneration. Services of the agency Advertising agencies perform many useful services to different sections of the community differently. 1. Their contribution to the media: Advertising agencies book advertisement space on behalf of their clients; they provide regular flow of advertisements to different media. It makes it possible for the media owners to supply newspapers, magazines etc., at reduced costs; 2. They act as a link between advertisers and the media. To the business, the agency provides specialized services to firms in areas like preparation of message, design, selection of media etc; they relieve the firms from the hazards and responsibilities of advertisement tasks. As they have close contact with media owners. They can obtain advertising space at competitive rates. Even small firms can also get their services at reduced costs. 3. They help the firm in marketing research. 4. To the society The advertising agencies provide employment to artists and similar skilled people, they inform the public about the existence of different varieties of products, changes made in the existing products and also the introduction of new products, 5. They also help to enhance the standard of living of the people. Modern advertising is a down-to-earth- job. It is not a game. It is a very serious and specialized job. This job is made easy to all advertisers by the advertising agencies. SOCIAL, ETHICAL IMPLICATION IN ADVERTISING Advertising as Untruthful or unreliable Truth Substantiation Comparisons Bait advertising Guarantees and warranties Price claims Testimonials Taste and decency Advertising as offensive or in bad taste Sources of distaste Sexual appeal Advertising and children Social and cultural consequences Advertising encourages materialism Advertising makes people buy things they dont need Advertising and stereotyping Economic Effects of Advertising Effects on Consumer choice Effects on competition Effects on product costs and price One of the most complaints against advertising is that many advertisements are misleading or untruthful and mislead consumers. A number of studies have shown a general mistrust of advertising among consumers Evaluating The Social, Ethical, And Economic Aspects Of Advertising And Promotion

1. Ethics in Advertising Ethics: Moral principles and values that govern the actions of and individual or group. Not all issues can be regulated A marketing or promotion action may be legal but not considered ethical Marketers must make decisions regarding the appropriateness of their actions Companies are scrutinized for their ethics 2. Social and Ethical Criticisms of Advertising as untruthful or deceptive Advertising as offensive or in bad taste Advertising of personal products Sexual appeals Advertising and Children Social and Cultural Consequences Making people buy things they dont need Encouraging materialism Stereotyping Advertisings influence on the media 3. Social and Ethical Criticisms of Advertising as untruthful or deceptive General mistrust of ads Deliberately untruthful or misleading vs. puffery Problems often more at local level rather than national Advertising as offensive, in bad taste, or irritating Advertising of personal products Sexual appeals Suggestive, demeaning, raunchy Shock advertising 4. Many people found Benettons Death Row ad campaign offensive 5. Bijan used shock advertising to get attention Source: Courtesy Bijan Designer for Men, Beverly Hills, California 6. American Advertising Federation Advertising Principles 1. Truth Advertising shall reveal the truth, and shall reveal significant facts, the omission of which would mislead the public. 2. Substantiation Advertising claims shall be substantiated by evidence in possession of the advertiser and the advertising agency prior to making such claims. 3. Comparisons Advertising shall refrain from making false, misleading, or unsubstantiated statements or claims about a competitor or his products or service. 4. Bait advertising shall not offer products or services for sale unless such offer constitutes a bona fide effort to sell the advertised products or services and is not a device to switch consumers to other goods or services, usually higher priced. 7. American Advertising Federation Advertising Principles 5. Guarantees and warranties Advertising of guarantees and warranties shall be explicit, with sufficient information to apprise consumers of their principal terms and limitations or, when space or time restrictions preclude such disclosures, the advertisement shall clearly reveal where the full text of the guarantee or warranty can be examined before purchase. 6. Price claims Advertising shall avoid price claims that are false or misleading, or savings claims that do not offer provable savings. 7. Testimonials Advertising containing testimonials shall be limited to those of competent witnesses who are reflecting a real and honest opinion or experience. 8. Taste and decency Advertising shall be free of statements, illustrations, or implications that are offensive to good taste or public decency. 8. Advertising and Children Children's TV Watching Behavior Children between ages 2-11 watch on average 21.5 hours of TV per week and may see 22,000 commercials per year Television is an important source of information for children about products 9. Advertising and Children Some studies have shown Children lack experience and knowledge to evaluate advertising critically They can not differentiate between commercials and program (fantasy vs. reality) Children are vulnerable to advertising while other studies argue Children must learn through the consumer socialization process; need to acquire skills to function in the marketplace Acquired skills have helped teens evaluate ads and recognize persuasion techniques 10. Social and Cultural Consequences of Advertising Does advertising encourage consumption, or merely reflect our societys need for it? Advertising and its related arts thus help develop the kind of man the goals of the industrial system requireone that reliably spends his income and works reliably because he is always in need of more John Kenneth Galbraith To blame advertising now for those most basic tendencies in American history is to miss the pointThe people who have created modern advertising are not hidden persuaders pushing our buttonsthey are just producing an especially visible manifestation, good and bad, of the American way of life. Stephen Fox The Mirror Makers: A History of American Advertising and Its Creators 11. Social and Cultural Consequences of Advertising makes people buy things they dont need Advertising may encourage materialism Information versus persuasion dichotomy Does advertising really have that much power? Freedom of choice 12. Advertising and Stereotyping Portrayal of women Gender stereotyping Portrayal of women as sex objects Role portrayal of women to reflect changing role in society Blacks and Hispanics Gays Elderly 13. Advertising and the Media Arguments supporting advertiser control of the media Advertising pays the bills therefore they exert influence on the character,content, and coverage of certain issues. Arguments against

advertiser control of the media To retain public confidence the media must report the news fairly and accurately. Advertisers need the media more than the media needs any particular advertiser. 14. Economic Effects of Advertising Effects on consumer choice Differentiation Brand loyalty Effects on competition Barriers to entry Economies of scale Effects on product costs and prices Advertising as an expense Increased differentiation 15. What is Advertisings Role in the Economy? Advertising = Market Power Advertising = Information Advertising affects consumer Advertising informs preferences and tastes, consumers about product changes product attributes, attributes but does not and differentiates the product change the way they value from competitive offerings. those attributes. 16. What is Advertisings Role in the Economy? Consumer Buying Behavior Advertising = Market Power Advertising = Information Consumers become brand Consumers become more loyal and less price sensitive price sensitive and buy best and perceive fewer value. Only the substitutes for advertised relationship between price brands. and quality affects elasticity for a given product. 17. What is Advertisings Role in the Economy? Barriers to entry Advertising = Market Power Advertising = Information Potential entrants must Advertising makes entry overcome established brand possible for new brands loyalty and spend relatively because it can more on advertising. communicate product attributes to consumers. 18. Advertising helps new companies such as Daewoo enter the market Source: Courtesy Daewoo Motor America, Inc. 19. What is Advertisings Role in the Economy? Industry structure and market power Advertising = Market Power Advertising = Information Firms are insulated from Consumers can compare market competition and competitive offerings easily and competitive rivalry potential rivals; increases. Efficient firms concentration increases, remain, and as the inefficient leaving firms with more leave, new entrants appear; discretionary power. the effect on concentration is ambiguous. 20. What is Advertisings Role in the Economy? Market conduct Advertising = Market Power Advertising = Information Firms can charge higher More informed consumers prices and are not as pressure firms to lower likely to compete on prices and improve quality or price quality; new entrants dimensions. Innovation facilitate innovation. may be reduced. 21. What is Advertisings Role in the Economy? Market performance Advertising=Market Power Advertising=Information High prices and excessive Industry prices decrease. profits accrue to advertisers The effect on profits due and give them even more incentive to advertise their to increased competition products. Output is restricted and increased efficiency compared with conditions of is ambiguous. perfect competition. 22. Do You Agree With Leo Burnett? It must be said that without advertising we would have a far different nation, and one that would be much the poorer-not merely in material commodities, but in the life of the spirit. ADVERTISING CAMPAIGN Meaning Advertising campaign, which is a set of, interrelated and coordinated marketing communication activities that center on a single theme or idea that appears in different media across a specified time. Copy platform The written copy platform specifies the basic elements of the creative strategy. Different agencies may call this document a creative platform or work plan, creative brief, creative blueprint, or creative contract Outline of copy platform Basic problem or issue the advertising Advertising and communication objectives Target audience Major selling idea or key benefits to communicate Creative strategy statement (campaign theme, appeal, and execution technique to be used) Supporting information and requirements. The Search for the major selling idea An important part of the creative strategy is determining the central theme that will become the major selling idea of the advertising campaign

The major selling idea should emerge as the strongest singular thing you can say about your product or services. This should be the claim with the broadest and most meaningful appeal to your target audience. Some of the best known approaches 1. Unique selling proposition 2. Creating a brand image 3. Finding the inherent drama 4. Positioning Developing an Advertising Campaign Identify and Analyze the Advertising Target. The group of people for which the advertisement is aimed at, may direct campaign at only a portion of the target market. Research and analyze advertising targets to establish an information base for a campaign. Generally increase advertisers knowledge about their target--the more effective the campaign. Defining Objectives. What the firm hopes to accomplish from the campaign, should be clear, precise and measurable, can help measure the success at the end of the campaign. Use a benchmark. At what stage are the target market in the Product Adoption Process. What are the goals of the campaign...to increase purchases, to generate traffic in the retail store etc. Demand oriented objectives vs. image oriented objectives Increase product/brand awareness Change consumer attitudes...reposition product Increase customer knowledge of product features Determine the Advertising Appropriation Total amount of money that a marketer allocates for advertising in a specific period. Objective and Task Approach determine the objectives, then list the tasks needed to achieve the objectives. o Percent of Sales Approach Sales create marketing?! What happens when the products sales are declining. o Competition Matching Approach Other companies have different advertising objectives. o Arbitrary Approach determined by high level executives, Delaware MBA Program Creating an Advertising Message 1. A function of the product's features, uses and benefits. 2. Must be aware of the characteristics of target market, different message to different target market. 3. Dependant on objective of the campaign. 4. Can use a Spokesperson. Celebrities Primary goal--reach the highest number of people (within the advertiser's target) for amount spent. Achieve the appropriate message reach and frequency for the target audience while staying within the budget. Various Media o TV Channels/programs
o

Radio. Magazines, Newspapers, Local vs. national Direct Mail, Outdoor, o Electronic, WWW,. Executing the Campaign Requires extensive planning and coordination. Advertising Agencies, production costs, research organizations, media firms, printers, photographers, and commercial artists etc. Detailed schedules are needed to insure everything is accomplished on time. 5. Evaluating the effectiveness of the campaign Measure the achievement of the objectives, assessing the effectiveness of the copy etc., and the media. o o o o UNIT -II ADVERTISING MEDIA MEDIA PLANNING The process of establishing the exact media vehicles to be used for advertising Media planning is the series of decisions involved in delivering the promotional message to the prospective purchaser and /or user of the product or brand In a basic sense the goal of the media plan is to find that combination of media that enables the marketer to communicate the message in the most effective manner to the largest number of potential consumer at the lower cost. That's why it's important to put together a media plan for your advertising campaign. The three components of a media plan are as follows: 1. Defining the marketing problem. Do you know where your business is coming from and where the potential for increased business lies? Do you know which markets offer the greatest opportunity? Do you need to reach everybody or only a select group of consumers? How often is the product used? How much product loyalty exists? 2. Translating the marketing requirements into attainable media objectives. Do you want to reach lots of people in a wide area (to get the most out of your advertising dollar)? Then mass media, like newspaper and radio, might work for you. If your target market is a select group in a defined geographic area, then direct mail could be your best bet. 3. Defining a media solution by formulating media strategies. Certain schedules work best with different media. For example, the rule of thumb is that a print ad must run three times before it gets noticed. Radio advertising is most effective when run at certain times of the day or around certain programs, depending on what market you're trying to reach When comparing the cost and effectiveness of various advertising media, consider the following factors: Reach. Expressed as a percentage, reach is the number of individuals (or homes) you want to expose your product to through specific media scheduled over a given period of time. Frequency. Using specific media, how many times, on average, should the individuals in your target audience be exposed to your advertising message? It takes an average of three or more exposures to an advertising message before consumers take action. Cost per thousand. How much will it cost to reach a thousand of your prospective customers (a method used in comparing print media)? To determine a publication's cost per thousand, also known as CPM, divide the cost of the advertising by the publication's circulation in thousands. Cost per point. How much will it cost to buy one rating point for your target audience, a method used in comparing broadcast media. One rating point equals 1 percent of your target audience. Divide the cost of the schedule being considered by the number of rating points it delivers. Impact. Does the medium in question offer full opportunities for appealing to the appropriate senses, such as sight and hearing, in its graphic design and production quality? Selectivity. To what degree can the message be restricted to those people who are known to be the most logical prospects?

MEDIA TYPES

Advertising is an investment in your business's future. And like any investment, it's important to find out as much as you can before you make a decision. You'll be able to use this guide as a reliable reference tool often in the months and years to come. NEWSPAPER MEDIA ADVERTISING Every advertising medium has characteristics that give it natural advantages and limitations. As you look through your newspaper(s), you'll notice some businesses that advertise regularly. Observe who they are and how they advertise their products and services. More than likely, their advertising investment is working if it's selling! Some Advantages in Newspaper Media Advertising Almost every home receives a newspaper, either by newsstand or home delivery. Reading the newspaper is a habit for most families. And, there is something for everybody: sports, comics, crosswords, news, classifieds, etc. You can reach certain types of people by placing your ad in different sections of the paper. People expect advertising in the newspaper. In fact, many people buy the paper just to read the ads from the supermarket, movies or department stores. Unlike advertising on TV and radio, advertising in the newspaper can be examined at your leisure. A newspaper ad can contain details, such as prices and telephone numbers or coupons. There are many advantages to advertising in the newspaper. From the advertiser's point-of-view, newspaper advertising can be convenient because production changes can be made quickly, if necessary, and you can often insert a new advertisement on short notice. Another advantage is the large variety of ad sizes newspaper advertising offers. Even though you may not have a lot of money in your budget, you can still place a series of small ads, without making a sacrifice. Some Disadvantages with Newspaper Advertising Advertising in the newspaper offers many advantages, but it is not without its inherent disadvantages, such as:

Newspapers usually are read once and stay in the house for just a day. The print quality of newspapers isn't always the best, especially for photographs. So use simple artwork and line drawings for best results. The page size of a newspaper is fairly large and small ads can look minuscule. Your ad has to compete with other ads for the reader's attention. You're not assured that every person who gets the newspaper will read your ad. They may not read the section you advertised in, or they may simply have skipped the page because there wasn't any interesting news on it.

RADIO ADVERTISING MEDIA : Since its inception, radio has become an integral part of our culture. In some way, it touches the lives of almost everyone, every day. Radio, as a medium, offers a form of entertainment that attracts listeners while they are working, traveling, relaxing or doing almost anything. A farmer, for example, may listen to the radio while he is having breakfast or plowing his field. People driving to work often listen to the radio. Radio offers information such as: news, weather reports, traffic conditions, advertising and music for your listening pleasure. What Are Some of the Good Things About Radio? Radio media advertising is a relatively inexpensive way of reaching people. It has often been called the "theater of the mind" because voices or sounds can be used to create moods or images that if crested by visual effects would be impossible to afford. You can also negotiate rates for your commercials, or even barter. Stations are often looking for prizes they can give away to listeners, so it's possible to get full commercial credit for the product or service you offer. Advantages to radio advertising media include: The ability to easily change and update scripts are paramount to radio broadcasting, since news stories can and often do happen live.

Radio is a personal advertising medium. Station personalities have a good rapport with their listeners. If a radio personality announces your commercial, it's almost an implied endorsement. Radio is also a way to support your printed advertising. You can say in your commercial, "See our ad in the Sunday Times," which makes your message twice as effective.

What are Some Limitations to Radio Advertising Media? Radio advertising is not without its disadvantages too, such as:

You can't r-eview a radio commercial. Once it plays, its gone. If you didn't catch all the message, you can't go back and hear it again. Since there are a lot of radio stations, the total listening audience for any one station is just a piece of a much larger whole. That's why it's important to know what stations your customers and prospects probably listen to. Therefore, most of the time, you'll have to buy time on several radio stations to reach the market you are after. People don't listen to the radio all the time...only during certain times of day. So, it's important to know when your customers or prospects are listening. For example, if you want to reach a large portion of your audience by advertising during the morning farm report, you'll have to specify that time period to the radio station when you buy the time.

TELEVISION MARKETING MEDIA Television is often called "king" of the advertising media, since a majority of people spend more hours watching TV per day than any other medium. It combines the use of sight, color, sound and motion...and it works. TV has proven its persuasive power in influencing human behavior time and time again. But it's also the "king" of advertising costs. Advantages in Television Advertising Media Television reaches very large audiences-audiences that are usually larger than the audience your city's newspaper reaches. The area that a television station's broadcast signal covers is called A.D.I., which stands for "Area of Dominant Influence." Some advantages of television advertising include the following:

Advertising on television can give a product or service instant validity and prominence. You can easily reach the audiences you have targeted by advertising on TV. Children can be reached during cartoon programming, farmers during the morning agricultural reports and housewives during the afternoon soap operas. A special documentary on energy sources for heating homes and business will also attract viewers interested in heating alternatives. TV offers the greatest possibility for creative advertising. With a camera, you can take your audience anywhere and show them almost anything. Since there are fewer television stations than radio stations in a given area, each TV audience is divided into much larger segments, which enables you to reach a larger, yet, more diverse audience.

Disadvantages in Television Advertising Media Because TV has such a larger A.D.I., the stations can charge more for commercials based on the larger number of viewers reached. The cost of television commercial time is based on two variables: 1. The number of viewers who watch the program. 2. The time during the day the program airs. Reach and Frequency Reach is the number of different people who are exposed an advertising message at least once.

Frequency is the number of times they are exposed to the message. A related term is coverage, which is the potential number of people exposed to a message. In print media, reach and coverage are usually synonymous; in broadcast, coverage refers to the number of households living in communities that carry the broadcast, not those that actually are tuned in. Reach and frequency are important aspects of an advertising plan and are used to analyze alternative advertising schedules to determine which produce the best results relative to the media plan's objectives. Calculate reach and frequency and then compare the two on the basis of how many people you'll reach with each schedule and the number of times you'll connect with the average person. Let's say you aired one commercial in each of four television programs (A, B, C, D), and each program has a 20 rating, resulting in a total of 80 gross rating points. It's possible that some viewers will see more than one announcement--some viewers of program A might also see program B, C, or D, or any combination of them. For example, in a population of 100 TV homes, a total of 40 are exposed to one or more TV programs. The reach of the four programs combined is therefore 40 percent (40 homes reached divided by the 100 TV-home population). Many researchers have charted the reach achieved with different media schedules. These tabulations are put into formulas from which you can estimate the level of delivery (reach) for any given schedule. A reach curve is the technical term describing how reach changes with increasing use of a medium. The media salespeople you work with or your advertising agency can supply you with these reach curves and numbers. Now let's use the same schedule of one commercial in each of four TV programs (A, B, C, D) to determine reach versus frequency. In our example, 17 homes viewed only one program, 11 homes viewed two programs, seven viewed three programs, and five homes viewed all four programs. If we add the number of programs each home viewed, the 40 homes in total viewed the equivalent of 80 programs and therefore were exposed to the equivalent of 80 commercials. By dividing 80 by 40, we establish that any one home was exposed to an average of two commercials. To increase reach, you'd include additional media in your plan or expand the timing of your message. For example, if you're only buying "drive time" on the radio, you might also include some daytime and evening spots to increase your audience. To increase frequency, you'd add spots or insertions to your existing schedule. For example, if you were running three insertions in a local magazine, you'd increase that to six insertions so that your audience would be exposed to your ad more often. Gross rating points (GRPs) are used to estimate broadcast reach and frequency from tabulations and formulas. Once your schedule delivery has been determined from your reach curves, you can obtain your average frequency by dividing the GRPs by the reach. For example, 200 GRPs divided by an 80 percent reach equals a 2.5 average frequency. Frequency is important because it takes a while to build up awareness and break through the consumer's selection process. People are always screening out messages they're not interested in, picking up only on those things that are important to them. Repetition is the key word here. For frequency, it's much better to advertise regularly in small spaces than it is to have a one-time expensive advertising extravaganza. ACTIVITIES INVOLVED IN DEVELOPING THE MEDIA PLAN
The situational analysis The marketing strategy plan The creative strategy plan

Setting media objectives

Determining media strategy

Media use decisionbroadcast

Selecting broad media classes Selecting media with in classes

Media use decision other media

1.THE SITUATIONAL ANALYSIS

Purpose : To understand the marketing problem. An analysis is made of a company and its competitors on the basis of 1. Size share of the total market. 2. Sales history, costs, and profits. 3. Distribution practices. 4. Methods of selling. 5. Use of advertising 6. Identification of prospects. 7. Nature of the product. 2. THE MARKETING STRATEGY PLAN Purpose : To plan activities that will solve one or more of the marketing problems. Includes the determination of : 1. Marketing objectives. 2. Product and spending strategy 3. Distribution strategy. 4. Which elements of the marketing mix are to be used? 5. Identification of best market segments. 3. THE CREATIVE STRATEGY PLAN Purpose: To determine what to communicate through advertisements. Includes the determination of: 1. How product can meet consumer needs. 2. How product will be positioned in advertisements. 3. Copy themes 4. Specific objectives of each advertisement. 5. Number of sizes of advertisements. 4. SETTING MEDIA OBJECTIVES Purpose: To translate marketing objectives and strategies into goals that media can accomplish. 5. DETERMINING MEDIA STRATEGY Purpose : To translate media goals into general guidelines that will control the planners election and use of media. The best strategy alternatives should be select. 6. SELECTING BROAD MEDIA CLASSES Purpose: To determine which broad class of media best fulfills the criteria. Involves comparison and selection of broad media classes such as newspapers, magazines, radio, television, and others. The analysis is called intermediate comparisons. Audience size is one of the major factors used in comparing the various media classes. 7. SELECTING MEDIA WITH IN CLASSES Purpose: To compare and select the best media with in broad classes, again using predetermined criteria. Involves making decisions about the following. a. If magazines were recommended, then which magazines.? b. If televisions was recommended, then 1. Broadcast or cable television? 2. Network or spot television? 3. If network which programme? 4. If spot which markets? c. If radio or newspapers were recommended , then 1. Which markets shall be uses? 2. What criteria shall buyers use in making purchases of local media? 8. MEDIA USE DECISION - BROADCAST. 1. What kind of sponsorship (sole shared , participating or other)

2. What levels of reach and frequency will be required? 3. Scheduling: On which days and months are commercials to appear? 4. Placements of spots: in programmes or between programmes? 9. Media use Decisions- Print 1. Number of ads to appear and on which days and months. 2. Placements f ads: Any preferred position within media? 3. Special treatment: Gatefolds, bleeds, color etc 4. Desired reach or frequency levels. 10. MEDIA USE DECISIONS- OTHER MEDIA 1. Bill boards a) Location of markets and plan of distribution. b) Kinds of outdoor boards to be used. 2. Direct mail or other media: Decisions peculiar to those media