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UNIVERSITY OF MUMBAI

PROJECT ON

ADVERTISING AFTER GLOBALISATION

SUBMITTED BY

VIJAY BHOJWANI

PROJECT GUIDE

PROF. RAJWADE

BACHELOR OF MANAGEMENT STUDIES

SEMESTER V
(2009-10)

V.E.S. COLLEGE OF ARTS, SCIENCE & COMMERCE,


SINDHI COLONY, CHEMBUR – 400071

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UNIVERSITY OF MUMBAI

PROJECT ON

ADVERTISING AFTER GLOBALISATION

Submitted
In Partial Fulfillment of the requirements
For the Award of the Degree of
Bachelor of Management

By

VIJAY BHOJWANI

PROJECT GUIDE

PROF. RAJWADE

BACHELOR OF MANAGEMENT STUDIES

SEMESTER V
(2009-10)

V.E.S. COLLEGE OF ARTS, SCIENCE & COMMERCE,


SINDHI COLONY, CHEMBUR – 400071

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Declaration

I student of BMS – Semester V


(2009-10) hereby declare that I have completed this
project on .

The information submitted is true & original to the best


of my knowledge.

Student’s Signature

Name of Student

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C E R T I F I C A T E

This is to certify that of TYBMS has


successfully completed the project on .
under the guidance
of .

Project Guide Principal


PROF. RAJWADE Dr. (Mrs) J. K. PHADNIS

Course Co-ordinator
Mrs. A. MARTINA

External Examiner

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ACKNOWLEDGMENT
I would like to express my gratitude towards Prof. Rajwade who
guided me throughout the project of Advertising after Globlisation. This
project helped me a lot in getting more knowledge and experience in the
field of advertising.

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EXECUTIVE SUMMARY

“ADVERTISING” as we all know is a very small word, but it means in today’s


competitive world. Advertising means giving a message to the consumers about a
particular product. If the message is properly understood and received by the consumers,
then only we can say that advertising done is worth something; otherwise it is just a waste
of resources.
Advertising is powerful medium of mass communication. It is useful for
communicating advertising message in an agreeable and agreeable manner. In the
communication process the message moves from the sender to the receiver i.e. from
seller to the buyer. The final result of advertising as a communication process is the
understanding of the message by the consumers.
The need and importance of advertising is increasing day by day. Advertising
helps us a lot in taking a proper decision about selecting a right product. As the
development is taking place rapidly, the competition is also increasing a lot, hence, the
demand for advertising is also increasing. All the companies want their product to be at
the top in the market. So the companies spend a lot on advertising, marketing and
promotion of their product. Companies spend crores of rupees on advertising.
The pattern of advertising in this globalised world is changing very fast. Few
factors which are responsible for the success of advertising is:
1) Celebrity Endorsements.
2) Creativity in Advertisement.
3) Innovative Advertisement.
4) Different Theme.

Now a days the demand is for the creative advertising and in creative advertising
VODAFONE is the best, as it advertise its products in an extra ordinary way as compare
to other products. Advertising is really important and plays a vital role in increasing or
decreasing sale of company. There are few mediums of advertising which are:
Print, T.V., Radio, and Hoardings.

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All these advertising mediums are different from each other and the company is the
one who selects the right medium for the right product. The medium selection is also
important process, as it is the integral part in making an ad.
Few companies which are excellent in advertising their product are:
1) Airtel
2) Cadbury
3) Vodafone
4) Virgin
5) Mc Donalds
These companies know what the customer wants and they advertise according to the
season, taste and liking of the consumers. They work according to the ongoing trend and
the current scenario of the market.
An advertisement should be very constructive and effective, than only the customers
will think about buying a product of the particular company. The advertisement should
leave an impact in the mind of the people and a positive impact. The impact of the
advertisement should be positive on all the consumers, the advertisements should create a
negative impact on anyone or any particular group of consumers may be children group,
youngsters, adult or old aged group. If the impact of advertisement on consumers will be
negative than it will directly affect the sale, reputation, goodwill and image of company
in the market and in the minds of the people.
Advertising has changed the life of the people, as they can select the best product
amongst all the others in the market. Among all the types of medias broadcasting media
is the media which is used most by the companies which includes television and radio
which are most effective and creates more impact on the consumers as compare to other
medias. Above all the main purpose of the advertising is to create an impact on the
consumers, which is necessary for success of any advertisement and for the sale of that
particular product in the market.

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INDEX:

1) INTRODUCTION TO ADVERTISING
2) GLOBALISATION AND ITS IMPACT ON BUSINESS
3) MEDIAS IN ADVERTISING
4) CELEBRITY ENDORSEMENTS
5) CASE STUDY OF 2 PRODUCT GROUPS
6) RECENT UPDATES ON ADVERTISING
7) MAKING AN CONSTRUCTIVE OR EFFECTIVE AD
8) IMPACT OF ADVERTISING
9) CONCLUSION

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INTRODUCTION TO ADVERTISING

Advertising plays a very important role in the present highly competitive and
consumer-oriented marketing system. It is an essential supplement of modern large scale
production and marketing. Advertising is necessary for giving information to consumers
about the products, their features, uses and advantages. It is also useful for encouraging
consumers to purchase specific products and also for sales promotion. Advertising is
essential in the case of internal as well as global marketing. Similarly, it is necessary in
the case of all types of products- old, well established and new. Many companies spend
crores of rupees on advertising and publicity of their products. Advertising media such as
newspapers, magazines, radio and T.V. earn substantial portion of their revenue through
the advertisements. In the present business world, simply manufacturing superior quality
goods at lower costs is not adequate. The goods produced need to be presented to
potential buyers in an attractive manner so as to induce them to purchase by visiting retail
shops. Advertising as a tool of communication is getting popularity in recent years.
New techniques are being introduced to present the products in an agreeable manner to
consumers. Advertising touches the lives of the people belonging to different age groups-
from youngest to the oldest. Companies spent huge amounts to influence the preferences
and behaviour patterns of consumers. Advertising as a subject under commerce discipline
has a long history.

However its form has changed considerably along with the expansion of business
activities and the technological developments in the media of advertising. However, the
basic objectives of advertising i.e. to provide information, to attract attention, to create
awareness and to influence buying behaviours of consumers have remained stable over
the long historical period. Advertising is a must not only in the business world but also in
all other aspects of life.

In today’s world advertising plays a very important and a vital role in selling and
marketing of any type of goods or product it maybe durable or non-durable, perishable or
non-perishable every product needs this effective power that is advertising for making

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their a successful one and for gaining a edge over the other competitive products in the
markets. Not only products but today even services are sold by taking the help of the
advertisements like banks, insurance companies etc. all need advertising to promote their
services. Advertising acts as an important marketing tool for presentation and promotion
of ideas, goods and services. As the competition is getting more and more tougher in the
market the products and services with similar target groups are spending more and more
on advertising to gain more profit share as compare to other products and services in the
market, hence the need of advertising is increasing day by day.

In brief, advertising is an effective method of communication. It gives


information to consumers about products and services and induces them to purchase.
Buyers are persuaded to continue to buy the product. This leads to sales promotion with
profit to the seller and satisfaction and welfare to consumers.
Advertising can be of any type it can be:
PRINT or HOARDINGS or VISUAL (T.V.) or RADIO

Example of a T.V. commercial of the Brand FEVICOL

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DEFINITION OF ADVERTISING:

The term advertising originates from the Latin word advertere which means “to turn the
mind towards”. The dictionary meaning of the term advertising is “to give public notices
or to announce publicity”. This suggests that advertising acts as a marketing vehicle and
is useful for drawing the attention of people towards a specific product/ service/
manufacturer. Advertising is an activity or a process while advertisement is a specific
piece of communication appearing in press, radio or TV.

According to the American Marketing Association advertising is defined as


“Any paid form of non –personal presentation and promotion of ideas, goods or services
by an identified sponsor”.

According to David Potter


“The only institution we have for instilling new needs, for training to act as consumer for
altering men’s values and thus for hastening their adjustment to potential abundance is
advertising.
This definition suggests that advertising is an institution which makes people aware of
their needs and makes them vigilant consumers. Advertising also provides better
understanding of life and brings their adjustment with potential abundance of goods and
services.

According to Dunn and Barbon


“Advertising is paid, non-personal communication through various media by business
firms, non-profit organizations and individuals who are in some way identified in the
advertising message and who hope to inform or persuade members of a particular
audience.”
This definition suggests that the advertiser identifies himself in the advertisement and the
purpose of advertising is to inform and to persuade people of a specific type.

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FEATURES OF ADVERTISING:

1. Advertising provides information:


The basic purpose of advertising is to provide information about products,
goods, services or ideas to perspective buyers. The details of products
such as features, uses, prices, benefits, other instructions to be followed
while using the product are given in the advertisements.

2. Advertising is a paid form of communication:


Advertising may be in any convenient form such as sign, symbol, slogan,
Illustration or message.

3. Advertising is a non-personal presentation:


Advertising is non-personal in character as against salesmanship which is
personal (face to face communication) in character. In Advertising, the
message is given to all and not to one specific individual.
e.g. T.V., radio, etc.

4. Advertising is an art, science and profession:


It is an art as it needs creativity for raising its effectiveness. It is treated as
science as it has its principles, rules, etc. Advertising is now treated as
profession with its professional bodies and code of conduct for members.

5. Creativity-the essence of Advertising:


Advertising is a method of presenting a product in an artistic, attractive
and agreeable manner. This is possible through the element of creativity
which is the essence of Advertising of the present period.

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6. Advertising is for persuasion:
Advertising is not only for giving information but also for appealing
people to buy a specific product. It aims at persuasion of potential
customers.

7. Advertising is target oriented:


It is possible to make intensive Advertising by selecting a specific market
or specific segment of consumers for the purpose of Advertising. This
selection of specific market is called target market.

8. Advertising is an important element in marketing mix:


Advertising supports the sales promotion efforts of the manufacturer. It
can make positive contribution in sales promotion provided other elements
in the marketing mix are reasonably favorable.
Brand plays an important role in promoting the product or the company, let the
advertisement be the best if it won’t have a particular it won’t work out in the market.
ROLE OF BRAND:

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GROWTH OF ADVERTISING IN INDIA:

Advertising as we understand today has its origin in the early historical period. It
has made steady progress over centuries. Its need or importance is growing along with
the growth and expansion of business activities. Many significant changes have taken
place during the process of evolution of advertising.

Like other countries, advertising has a long history in India. However, advertising
was officially recognized as a medium of mass communication only in the 18th century.
The first newspaper “BENGAL GAZETTE” was published in India in 1780. By 1786,
there were four weekly newspapers and monthly magazines published in Calcutta.
Advertising on radio started in India in 1950’s. Advertising on radio proved to be a
powerful medium useful for creating new markets.

Commercial Broadcasting has informed and entertained people for more than 40
years. In 1928, two advertising agencies were started in India. They include the national
advertising service started by J.Jain and J.W. Tompson (Now HTA).

The importance of advertising started increasing only after the Second World
War. The Association of Advertising Agencies of India (AAAI) was established in 1945.
The Audit Bureau of Circulation (ABC) was started in 1948. T.V. started in India in
September 1959.

In addition to DD Metro now we also many other channels on television like Zee
T.V., STAR PLUS, COLORS, ETC. cable T.V. and many more such channels for
advertising purpose. Introduction of satellite T.V. has made a revolution in the
advertising field in India. The progress of advertising in terms of quality, creativity and
coverage is extremely fasten India since 1950 due to the introduction of new advertising
media. Ample of scope is available for advertising due to industrial growth.

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ACTIVE PARTICIPANTS IN ADVERTISING:

Advertising is a type of collective activity which needs the support and


participation of certain individuals or organizations. They are called active participants in
advertising. Such participants are called:
1) Advertisers
2) Advertising agency
3) Audience
4) Advertising media and finally
5) The government authorities

1) Advertisers:

Advertisers are the individuals/firms/organizations which desire to advertise their


products or services. They support the whole advertising process as they provide
finance by paying the advertising charges. They initiate entire advertising process.
It is the advertiser who takes broad decisions about advertising. He decides the

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advertising budget, select the audience, media and agency for the purpose of
advertising. He is the key participant in the entire advertising activity.

2) Advertising agencies:

An advertiser can implement his advertising plan directly through his own
sales or advertising department or may transfer the entire responsibility of
advertising to a specialized professional agency called advertising agency.
These agencies provide expert services to their clients that is advertisers.
They prepare advertising plan and execute them the same on behalf of
their client. An advertiser can transfer his botheration about advertising to
such advertising agency. Such agencies charge commission of 15% from
media owners on the media bills. Such agencies offer benefit of their skills
and experience to their clients. HTA, Lintas mudra, Everest, O and M are
some leading advertising agencies operating in India.

3) Audience:

Advertising is for giving message about goods or services to readers,


viewers or listeners. They constitute the audience. It is for their
information and guidance that advertisements are given. An advertiser
desires to cover his target audience/market for promoting sales. Efforts are
also made to make advertisements attractive and agreeable to the
audience. Moreover, waste in advertising is possible when the advertising
message is not received or accepted by audience.

4) Advertising Media :

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Advertising media act as a connecting link between the advertiser and the
audience. The media act as a channel of communication for giving
message to two or more media for advertising purpose. Newspaper,
magazine, radio and T.V. are some popular advertising media and are used
extensively by advertisers. In India T.V. advertising is popular but is
equally costly. The advertising agency guides their clients in the selection
of convenient advertising media that is media planning.

5) Government Authorities:

Government authorities act as a one important participant in the


advertising field. Government acts as a supervisory authority in the field
of advertising. It makes rules and regulations as regards that use of media
for advertising purpose. Some advertising media such as radio and T.V.
operate directly under the control of central government.

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GLOBALISATION AND ITS IMPACT ON ADVERTISING.

Globalisation is the process by which the people of the world are unified into a single
society and function together. Globalization is often used to refer to economic
globalization: the integration of national economies into the international economy
through trade, foreign direct investment, capital flows, migration, and the spread of
technology. This process is usually recognized as being driven by a combination of
economic, technological, socio cultural, political and biological factors. The term can
also refer to the transnational dissemination of ideas, languages, or popular culture.
The term "globalization" has been used in the social sciences since the 1960s;
however, the term did not achieve widespread use until the later half of the 1980s. An
early description of globalization was penned by the American entrepreneur-turned-
minister Charles Taze Russell who coined the term 'corporate giants' in 1897. Since its
popularization by economists and journalists in the 1980s and 1990s, the concept of
globalization has inspired numerous competing definitions and interpretations.
The United Nations ESCWA has written that globalization "is a widely-used term that
can be defined in a number of different ways. When used in an economic context, it
refers to the reduction and removal of barriers between national borders in order to
facilitate the flow of goods, capital, services and labour...although considerable barriers
remain to the flow of labour...Globalization is not a new phenomenon. It began in the late
nineteenth century, but its spread slowed during the period from the start of the First
World War until the third quarter of the twentieth century. This slowdown can be
attributed to the inwardlooking policies pursued by a number of countries in order to
protect their respective industries.. however, the pace of globalization picked up rapidly
during the fourth quarter of the twentieth century..."

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Saskia Sassen writes that "a good part of globalization consists of an enormous variety of
micro-processes that begin to denationalize what had been constructed as national -
whether policies, capital, political subjectivities, urban spaces, temporal frames, or any
other of a variety of dynamics and domains."
Impact of Globalization, both theoretically and practically, can be observed in different
economic, social, cultural, political, finance, and technological dimensions of the world.
Globalization brought about a new world order and is gradually reaching new heights,
integrating all the fields to form a cohesive network. The Impact of Globalization has
crossed the economy to influence all phases of human life challenging their national and
individual particularities. Globalization impact has touched all political, cultural,
economic, and ideological dimensions. With the onset of the western democratic system
the Impact of Globalization on politics is visible. In economic globalization the impact
ranges from production, consumption, commercial exchange, and distribution. In the
cultural domain, globalization had its impact on the imagination, idealism, theories,
thought process, and practices of humankind
However, the Impact of Globalization had the best possible results on the Information
and Communication system. This globalization of information is observed with the
globalized telecommunications and information technologies operating in today's world.
For instance, the satellite TV channels, cellular phones, broadband, Internet, and so forth.
All these have successfully transformed the world into a global village. The globalization
of information is also proved from the usage of the most popular language, English, in
the Internet. Moreover, there is the diminished use of paper with the spread of the new
globalized information technology. Today, at present only few international news
agencies dominate the total information system, such as, the Associated Press and the
United Press of USA, Reuters of Great Britain, and Agence France Presse of France.

Another Impact of Globalization is in the field of Science, with the introduction of new
fresh attempts in scientific research and capabilities of invention. In this, the nations like
the United States of America, the European Union, and Japan have reached heights. This
globalization of science leads to the fusion of scientific data and rules to form a uniform
network of database.

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The Impact of the Globalization of economy, politics, information, and technology,
results in the globalization of culture. The present day TV channels, movies and
advertisements are open to all parts of the world imparting modern education. This again
transforms the values, ethics, religion, and thought processes of the mankind as a whole.
The best outcome of the globalized culture is the evaluation and improvement in the
status of women. Another significant change is the demand for equal rights by the
emerging "third gender" in today's world. According to them against global human right
system, there should be division of humankind into three genders along with the males
and females.

The Impact of Globalization on culture is also observed in the discussions held at the
World Intellectual Property Organization, in which the Americans requested the original
bearer of all types of intellectual items, like books, songs, scripts, to give up their
copyrights for large private groups. However, this was countered by the European Union
countries and on the other hand accepted by Great Britain. Again, France, one of the
European countries, got engaged in a movement for the grant of cultural exclusiveness in
the fields of audio-visual and cinematic production.

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IMPORTANCE OF ADVERTISING IN GLOBALISED WORLD:
The importance of advertising is well accepted in globalisation. Its constructive
and positive role in promoting business and in offering better life and welfare to
consumers and the society at large is universally accepted. In modern business,
advertising is a must due to large sale production, market competition and need to attract
consumers through information and persuasion. Advertising is a medium of mass
communication. It enables sellers to communicate with the prospective buyers regarding
various details of goods and services. It is a basic tool of marketing. It helps all the 4
elements in the marketing mix and raises their capacity to satisfy consumers and there by
promotes sales.

Advertising is not simply for catching consumers or exploiting them in one or the
other. It has to play a more positive and constructive role. It has to make business more
useful for meeting needs of consumers and raising their welfare. Advertising facilitates
large scale marketing and higher profits to manufacturers and traders. In addition, it
provides information and education to consumers and promotes their welfare. These are
the areas advertising plays a positive role. Advertising acts as a bridge or line of
communication between manufacturers and traders on the one hand and consumers or
buyers on the other hand. Advertising is for the benefit of both the parties and not for the
benefit of one party at the cost of other. It helps advertiser to give better service and
satisfaction to consumers along with expansion of business and earning more profit. This
suggests that advertising has to play a wider role of social and economic significance and
not merely as tool of sales promotion. Advertising facilitates large scale production and
distribution for meeting the needs of consumers or the society at large. This role of
advertising needs to be noted in the right spirit by the advertisers, advertising agencies
and advertising professionals. Such understanding will raise the level of advertising and

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may remove certain unethical practices in the field of advertising. Even the criticism of
advertising will be limited if the constructive role of advertising is appreciated correctly
by all those concerned with the field of advertising.

The role of advertising can be studied by referring to its advantages in different


areas. For e.g., advertising acts as a medium of communication with the consumers. It
educates guides and persuades them in the right direction. It is also important to note that
advertising widens market and facilitates large scale production of goods and services. In
addition, advertising creates employment opportunities in the field of advertising and in
other fields also (production, distribution of goods and services). It facilitates the process
of economic growth and globalization of business. Finally, advertising raises the standard
of living of people. It encourages market competition which again leads to product
innovation, improvement in the quality and more benefits and satisfaction to consumers.
All such benefits indicate the importance and the positive role of advertising. Advertising
offers advantages or special benefits to different social groups such as consumers, traders,
producer, retailers and advertising media. Such benefits also suggest the importance and
constructive role of advertising in modern business. All these things proves the
importance and a great need of advertising in globalised market.

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Effects of globalization
Globalization has various aspects which affect the world in several different ways such
as:
• Industrial - emergence of worldwide production markets and broader access to a
range of foreign products for consumers and companies. Particularly movement
of material and goods between and within national boundaries.
• Financial - emergence of worldwide financial markets and better access to
external financing for borrowers. As these worldwide structures grew more
quickly than any transnational regulatory regime, the instability of the global
financial infrastructure dramatically increased, as evidenced by the financial
crises of late 2008.
• Economic - realization of a global common market, based on the freedom of
exchange of goods and capital. The interconnectedness of these markets, however
meant that an economic collapse in any one given country could not be contained.
• Political - some use "globalization" to mean the creation of a world government
which regulates the relationships among governments and guarantees the rights
arising from social and economic globalization. Politically, the United States has
enjoyed a position of power among the world powers; in part because of its strong
and wealthy economy. With the influence of globalization and with the help of
The United States’ own economy, the People's Republic of China has experienced
some tremendous growth within the past decade. If China continues to grow at the
rate projected by the trends, then it is very likely that in the next twenty years,
there will be a major reallocation of power among the world leaders. China will
have enough wealth, industry, and technology to rival the United States for the
position of leading world power.

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• Informational - increase in information flows between geographically remote
locations. Arguably this is a technological change with the advent of fibre optic
communications, satellites, and increased availability of telephone and Internet.
• Language - the most popular language is English.
• About 35% of the world's mail, telexes, and cables are in English.
• Approximately 40% of the world's radio programs are in English.
• About 50% of all Internet traffic uses English.
• Competition - Survival in the new global business market calls for improved
productivity and increased competition. Due to the market becoming worldwide,
companies in various industries have to upgrade their products and use
technology skillfully in order to face increased competition.
• Ecological - the advent of global environmental challenges that might be solved
with international cooperation, such as climate change, cross-boundary water and
air pollution, over-fishing of the ocean, and the spread of invasive species. Since
many factories are built in developing countries with less environmental
regulation, globalism and free trade may increase pollution. On the other hand,
economic development historically required a "dirty" industrial stage, and it is
argued that developing countries should not, via regulation, be prohibited from
increasing their standard of living.
• Cultural - growth of cross-cultural contacts; advent of new
categories of consciousness and identities which embodies cultural
diffusion, the desire to increase one's standard of living and enjoy foreign
products and ideas, adopt new technology and practices, and participate in
a "world culture". Some bemoan the resulting consumerism and loss of
languages. Also see Transformation of culture.

We all read newspaper and business magazines about globalisation on business. It


has changed India `s economy and improved our lifestyle. There is no doubt that India is
a growing economy and main credit goes to its software revolution . But do we all know

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that most R&D centers are in US not in India IT software industry still work as a
facilitator for developed conutry `s business and daily life . All indian brains are in
US/UK/Europe and work for them to improve their technology. In India if we talk about
bangalore or guragon we have potholes roads , poor street lights and improper parking
facility near big corporate houses . Our Government dont consider providing proper
infrastructure facility . I believe its corporate social respnisiblity to provide good
infrastructure facility to its employess and clients.

That every successive administration in the last decade has eventually succumbed to the
pressures of globalization suggests that regardless of how different political formations
package their policies in advance of the elections, there is a powerful and very vocal
lobby for globalization in India. This is because for some sections of Indian society and
the Indian diaspora, globalization has come as something of a bonanza.
NRIs look forward to new business opportunities in a globalized India. English-language
(or even local language) media outlets who expect globalization to increase advertizing
revenues have also been eager supporters of globalization. (A recent Economic Times
survey of the nation's top CEO's indicated that most major India businesses anticipated
considerably higher allocations for marketing and advertizing campaigns in order to
survive in the globalized Indian economy. Some estimate that the advertizing industry
has been one of the fastest growing industries in India - growing as much as 25-30% in
some years.)
Another outcome of globalization has been a huge increase in salaries of senior
managers, accountants, lawyers and public-relations personnel working for MNCs or
their local competitors. For the IT-literate, job opportunities have been plentiful, and
there are also opportunities to live and earn abroad. For the English-speaking upper
middle-class, this has come as a boon. With greater access to disposable income, the
seduction of consumerism becomes hard to resist, and the demand for unrestricted
globalization inevitably follows the attraction for new and ever more advanced consumer
goods. This new and more prosperous class of Indian consumers associates India's
progress with the availability of the latest automobile models and consumer goods. The
local availability of imported European cosmetics and fashions, imported drinks and

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confectioneries - these have all become important to those who have sufficient disposable
income to purchase such items.
Globalization has other champions too. Importers have a strong financial interest in a
globalized economy. But so do exporters dependent on imported parts and machinery.
Industrialists with interests in ports, shipping, international warehousing and other
aspects of international trade and commerce may also see globalization as beneficial to
their sectors of the economy. Indian industrialists who have so far failed to invest in
research and development and are losing the battle for market share are also becoming
amenable to globalization in the fond hope of partnering with an MNC that will enable
them to stabilize or expand their sinking business ventures.
Although these sections of society are in numerical terms a very small minority in the
country, they are able to wield considerable authority on account of their financial clout.
Their voices are far more likely to be heard in the Indian media, and they are much more
likely to be able to influence important political decisions in the country. Because of their
familiarity with English, and privileged access to major media outlets and institutions of
higher learning, they are taken to be more credible, and are thus able to exercise
tremendous influence on public policy.
But it should be noted that the interests of a particular section of Indians need not match
the real interests of all other sections of Indian society. Other sections of society may
benefit only to the extent that a fraction of this new prosperity trickles down to them.
Some may not benefit at all, while some may even be adversely affected. In addition,
globalization may have hidden consequences that may negatively impact the quality of
life even of those prospering through globalization.
But the greatest danger posed by unrestricted globalization is that it may
exacerbate the problems of nagging poverty and uneven development, and create grave
infra-structural mismatches. It is already evident that the Indian economy has become
more dependent on imports which has brought with it constant pressure on the value of
the Rupee, leading to recursive bouts of high inflation. And rather than expand India's
manufacturing strength and develop new capabilities and technological development in
India, globalization may in fact put India at a global disadvantage in key sectors of

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modern industry leading to an economy that is always chasing scientific and
technological advances that occur in other nations.

MNCs and 'transparency' and 'ethical practices'


MNCs are Multi National Companies. MNCs is one of the most booming and
profitable and beneficial sector for the guest country as well as for the host country and
also for the people associated with a multi national company. There are many famous,
popular and successful MNCs running and earning profits in India some of those are:
1) Mc Donalds
2) Monginis
3) Baskin 31 Robbins
4) Ford
5) Dominoz
6) Pizza HUT etc.

As the number of MNCs are going on increasing the need for the advertising also
increases a lot as these companies need to establish in the host country, to do a
successful business and also beat their other multinational competitor as well as
the in house competitor(from country’s origin). This shows that how much useful
and important is advertising in this competitive world.

Arguments favoring globalization have often centered on how multinationals


practice 'transparency' in their business dealings and are more 'ethical' than their Indian
counterparts. Although rarely substantiated with any thing other than anecdotal
testimonies, such praise for the MNCs is common in the Indian media. Yet, there are
numerous instances where multinationals have not only displayed a lack of ethics and
'transparency' but have actually broken the law. Consider an October 2, 1998 report in the

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Hindu titled: Large-scale tax evasion by MNCs unearthed. The author of that report,
Sujay Mehdudia wrote: "Income-Tax officials have alleged that these companies evade
taxes with impunity as the tax laws of the country are 'inadequate and ineffective' to deal
with such cases." He wrote of multinational giants flouting tax laws knowing very well
that they could not be arrested or criminally prosecuted against under the Indian legal
system and could get away by paying the tax dues when caught. Violations were neither
rare nor exceptional, since all the companies surveyed or scrutinized by the Income-Tax
authorities in the recent past had shown a tendency to violate the law of the land. The
article quoted a high-ranking tax officer as saying: "Had the violations taken place in
some other country, not only would criminal proceedings have been launched but the
people responsible for it would have been put behind bars." The author concluded his
article with the statement: "In the recent past, cases of TDS evasion by some Japanese
and South Korean firms operating in India have come to the notice of the authorities,
highlighting a ``certain intention'' on the part of these companies to dupe the
Government."
A more recent Hindustan Times report (May 12 2000) was more specific - it
began with the headline: Rs 2100 crore tax evasion by MNCs. Minister of State for
Finance V Dhananjaya Kumar in a written reply to a question posed in the Lok Sabha had
provided data that indicated that MNCs had evaded Rs 1433.89 crores on income tax, Rs
143.80 crore on central excise duty as well as Rs 535.05 crore on account of import duty
payable during last three years. Sony was identified as the biggest evader, and charged
with evading over 450 crores. SEDCO Forex International Drilling Co, Swiss-Swedish
major Asia Brown Baveri, Hyundai Motors, Johnson & Johnson, Siemens, LG, Hawlet
Packard and Philips were others implicated in cheating on import duties. Several MNCs
had not paid enough central excise duties - including stock market darlings like
Hindustan Lever, Procter and Gamble and Nestle. EID Parry, Gillette, Pepsi, Bayer,
Novaritis and Carrier Aircon were also named as violators. Asia Satellite Telecom, Sabre
Inc, Lucent Technologies, Nokia, Caribjet inc and Allied Signal group had been cited for
serious income tax violations. Amadeus Marketing, American Airlines, British Airways,
Pan Amsat, Motorola, Ashurst Morris Crisp, Reuters and ABN Amro were also in the list
of companies to have evaded income tax.

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Transfers Globalization and Technology
Take the argument that globalization brings in new technology. On a selective
basis, globalization indeed brings in new technology and opposition to globalization is
not tantamount to becoming technologically isolated from the rest of the world. But
today, almost no advocate of globalization is calling for selectivity. For instance, Coca-
Cola and Pepsi were welcomed into the country even though they offered little in terms
of new technology. The same can be said of advertising companies and manufacturers of
consumer non-durable goods like soap, detergent, toothpaste, cereals etc.

As the world is getting technologically more powerful the need of marketing and
advertising is also increasing. The more the technology will prosper the more will be
there the need of advertisements. As the technology will rise it also needs to be in use for
the consumers, and so the consumers need to be aware of it, and to make the consumers
aware of the recent and current technology there is the need of advertising to sell that
technology.

And although there has been significant investment in the manufacture of


automobiles and consumer goods, the capital equipment and the assembly lines for their
production is imported. Little of the design and development work takes place in India.
And in many instances, all that happens is the local assembly of knocked-down kits. So
far, globalization in India has not been tantamount to an all-around technological
upgradation of Indian design and manufacturing.
Some offer a counter-argument for unrestricted globalization arguing that only if
India liberalizes unconditionally will India be able to attract high technology and capital

29
investment in the areas it really wants. In other words, if we let the Cokes and Pepsis of
the world to come in, the INTELs, the AMDs, and the CISCOs will follow. But the
experience of the last decade belies such claims. While it is true that INTEL, AMD and
CISCO have all invested in India, the sum total of their investments has been minuscule
in relation to their other investments abroad. And rather than bring in new technology to
India, they are actually sucking out technology from India.

MEDIAS IN ADVERTISING
Advertising is basically for giving information about products and services to
consumers. For a layman, all advertising belongs to one category. However, it is not so.
Advertising can be classified into different categories on the basis of area coverage,
audience, media, and functions and so on. Product advertising, service advertising,
financial advertising and so on are also the types of advertising though the basic purpose
of all types is identical that is information and persuasion of consumers. Advertising is a
form of communication that typically attempts to persuade potential customers to
purchase or to consume more of a particular brand of product or service.
Every major medium is used to deliver these messages, including television, radio,
cinema, magazines, newspapers, video games, the Internet, carrier bags and billboards.
Advertising is often placed by an advertising agency on behalf of a company or other
organization.

Types of advertising:
Media
Commercial advertising media can include wall paintings, billboards, street furniture
components, printed flyers and rack cards, radio, cinema and television adverts, web
banners, mobile telephone screens, shopping cart, skywriting, bus stop benches, human
billboards, magazines, newspapers, town criers, sides of buses, banners attached to or
sides of airplanes ("logo jets"), in-flight advertisements on seatback tray tables or
overhead storage bins, taxicab doors, roof mounts and passenger screens, musical stage
shows, subway platforms and trains, elastic bands on disposable diapers, stickers on

30
apples in supermarkets, shopping cart handles , the opening section of streaming audio
and video, posters, and the backs of event tickets and supermarket receipts. Any place an
"identified" sponsor pays to deliver their message through a medium is advertising.

PRINT MEDIA:
In print media the advertising message is printed on paper. Newspaper and
magazines are two important print media used extensively for advertising purpose. Even
direct mail advertising can be classified as print media. This media has now acquired
more importance due to increase in the number and pages of newspapers and magazines
and also due to improvement in the quality of paper and printing technology used for
communicating advertising message. Print media are useful for indoor advertising. Print
media is the most widely used medium of advertisement used by corporate, households,
manufactures, wholesalers, banks, financial institutions, automobile industry and many
more. This medium of advertisement gives the advertiser the flexibility to select his target
audience, his area of advertisement, his budget and the timings the ads have to be placed.

OUTDOOR ADVERTISING MEDIA:


Along with print media, outdoor advertising media is also quite famous. They
include posters, billboards, wall and skywriting, hoardings, vehicle advertising, neon
signs and so on. These medias attract the attention of people when they are moving
outdoor for different purposes. Outdoor media are now made attractive and appealing by
using new techniques.

Hoardings: -
This form of advertisement is popular in metropolitan cities like Mumbai where the flow
of traffic is heavy and the number of people traveling is countless. Since the traveling
time of a person in the vehicle is lot the person is ought to see this form of advertisement

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which is placed on the tops of the buildings in a very attractive form. The ads cannot be
unseen and shall catch your eye once you pass besides it.

Mobile billboards:
Mobile Billboards are truck- or blimp-mounted billboards or digital screens. These can be
dedicated vehicles built solely for carrying advertisements along routes pre selected by
clients, or they can be specially-equipped cargo trucks. The billboards are often lighted;
some being backlit, and others employing spotlights. Some billboard displays are static,
while others change; for example, continuously or periodically rotating among a set of
advertisements.
Mobile displays are used for various situations in metropolitan areas throughout the
world, including:
Target advertising, One-day, and long-term campaigns, Conventions, Sporting events,
Store openings and similar promotional events, Big advertisements from smaller
companies, Others.

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BRODCASTING MEDIA:

In this, the advertising message is announced through the advertising medium


used. Radio and T.V. are two examples of broadcasting media which now operates
throughout the day. T.V. as an advertising medium is more attractive and popular as
compare to radio. This is because T.V. is audio-visual medium while radio is only audio
medium. Broadcasting media are too costly but their coverage is also wide.

Television commercials
The TV commercial is generally considered the most effective mass-market advertising
format, as is reflected by the high prices TV networks charge for commercial airtime
during popular TV events. The annual Super Bowl football game in the United States is
known as the most prominent advertising event on television..

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The majority of television commercials features a song or jingle that listeners soon relate
to the product. Virtual advertisements may be inserted into regular television
programming through computer graphics.

Celebrities
This type of advertising focuses upon using celebrity power, fame, money, popularity to
gain recognition for their products and promote specific stores or products. Advertisers
often advertise their products, for example, when celebrities share their favourite
products or wear clothes by specific brands or designers. Celebrities are often involved in
advertising campaigns such as television or print adverts to advertise specific or general
products.
Increasingly, other media are overtaking television because of a shift towards consumer's
usage of the Internet as well as devices such as T.V.
Advertising on the World Wide Web is a recent phenomenon. Prices of Web-based
advertising space are dependent on the "relevance" of the surrounding web content and
the traffic that the website receives.
E-mail advertising is another recent phenomenon. Unsolicited bulk E-mail advertising is
known as "spam".

CELEBRITY ENDORSEMENTS

"A sign of a celebrity is that his name is often worth more than his services.”
- Daniel J Boorstin

INTRODUCTION

The motive behind total branding may be decocted as an attempt to amalgamate diverse
activities to win customer preference. Apropos to this context, the topic “Impact of
celebrity endorsement on overall brand”, is a significant one. The crescendo of
celebrities endorsing brands has been steadily increasing over the past years. Marketers
overtly acknowledge the power of celebrities in influencing consumer-purchasing

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decisions. It is a ubiquitously accepted fact that celebrity endorsement can bestow special
attributes upon a product that it may have lacked otherwise. But everything is not hunky-
dory; celebrities are after all mere mortals made of flesh and blood like us. If a celebrity
can aggrandize the merits of a brand, he or she can also exacerbate the image of a brand.
“Any brand can get a celebrity. That is easy. But getting a celebrity consistent with the
right brand, to the right degree, at the right time, for the right purpose and in the right
way... that is not easy.”

Celebrity endorsements are impelled by virtue of the following motives:

• Instant Brand Awareness and Recall.


• Celebrity values define, and refresh the brand image.
• Celebrities add new dimensions to the brand image.
• Instant credibility or aspiration PR coverage.
• Lack of ideas.
• Convincing clients

The scope of a celebrity on the incumbent brand:

Simply stating, a brand is a differentiated product and helps in identifying your product
and making it stand out due to its name, design, style, symbol, color combination, or
usually a mix of all these.

Before we can scrutinize the effects of celebrity endorsement on the overall brand, we
have to ferret the implicit nuances that act as sources of strong brand images or values:

• Experience of use: This encapsulates familiarity and proven reliability.

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• User associations: Brands acquire images from the type of people who are seen
using them. Images of prestige or success are imbibed when brands are associated
with glamorous personalities.
• Belief in efficiency: Ranking from consumer associations, newspaper editorials
etc.
• Brand appearance: Design of brand offers clues to quality and affects preferences.
• Manufacturer’s name & reputation: A prominent brand name
(Sony,Kellogg’s,Bajaj,Tata) transfers positive associations

The celebrity’s role is the most explicit and profound in incarnating user associations
among the above-mentioned points. To comprehend this, let us analyze the multiplier
effect formula for a successful brand:

S=P* D*AV --the multiplier effect


Where S is a successful brand,
P is an effective product.
D is Distinctive Identity
and AV is Added values.

The realm of the celebrity’s impact is confined to bestow a distinctive identity and
provide AV to the brand; the celebrity does not have the power to improve or debilitate
the efficiency and features of the core product. Thus, we are gradually approaching an
evident proposition claiming,

“The health of a brand can definitely be improved up to some extent by celebrity


endorsement. But one has to remember that endorsing a celebrity is a means to an end
and not an end in itself.”

An appropriately used celebrity can prove to be a massively powerful tool that magnifies
the effects of a campaign. But the aura of cautiousness should always be there. The fact
to be emphasised is that celebrities alone do not guarantee success, as consumers
nowadays understand advertising. They know what advertising is and how it works.

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People realize that celebrities are being paid a lot of money for endorsements and this
knowledge makes them cynical about celebrity endorsements.

Compatibility of the celebrity’s persona with the overall brand image

A celebrity is used to impart credibility and aspirational values to a brand, but the
celebrity needs to match the product. A good brand campaign idea and an intrinsic link
between the celebrity and the message are musts for a successful campaign. Celebrities
are no doubt good at generating attention, recall and positive attitudes towards
advertising provided that they are supporting a good idea and there is an explicit fit
between them and the brand. On the other hand, they are rendered useless when it comes
to the actual efficiency of the core product, creating positive attitudes to brands, purchase
intentions and actual sales.

SONAM KAPOOR ENDORSING LOREAL

Certain parameters that postulate compatibility between the celebrity and brand image

are:

• Celebrity’s fit with the brand image.


• Celebrity—Target audience match
• Celebrity associated values.

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• Costs of acquiring the celebrity.
• Celebrity—Product match.
• Celebrity controversy risk.
• Celebrity popularity.
• Celebrity availability.
• Celebrity physical attractiveness.
• Celebrity credibility.
• Celebrity prior endorsements.
• Whether celebrity is a brand user.
• Celebrity profession.

Successful celebrity endorsements for a brand- An Indian perspective

The latter part of the '80s saw the burgeoning of a new trend in India– brands started
being endorsed by celebrities. Hindi film and TV stars as well as sportspersons were
roped in to endorse prominent brands. Advertisements, featuring stars like Tabassum
(Prestige pressure cookers), Jalal Agha (Pan Parag), Kapil Dev (Palmolive Shaving
Cream) and Sunil Gavaskar (Dinesh Suitings) became common. Probably, the first ad to
cash in on star power in a strategic, long-term, mission statement kind of way was Lux
soap. This brand has, perhaps as a result of this, been among the top three in the country
for much of its lifetime.

In recent times, we had the ShahRukh - Santro campaign with the objective of mitigating
the impediment that an unknown Korean brand faced in the Indian market. The objective
was to garner faster brand recognition, association and emotional unity with the target
group. Star power in India can be gauged by the successful endorsement done by Sharukh
for three honchos- Pepsi, Clinic All Clear and Santro. Similarly, when S Kumars used
Hrithik Roshan, then the hottest advertising icon for their launch advertising for
Tamarind, they reckoned they spent 40 - 50 per cent less on media due to the sheer
impact of using Hrithik. Ad recall was as high as 70 per cent, and even the normally
conservative trade got interested.

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In the Indian context, it would not be presumptuous to state that celebrity endorsements
can aggrandize the overall brand. We have numerous examples exemplifying this claim.
A standard example here is Coke, which, till recently, didn't use stars at all
internationally. In fact, India was a first for them. The result was a ubiquitously appealing
Aamir cheekily stating Thanda matlab Coca Cola. The recall value for Nakshatra
advertising is only due to the sensuous Aishwarya. The Parker pen brand, which by itself
commands equity, used Amitabh Bachchan to revitalize the brand in India. According to
Pooja Jain, Director, Luxor Writing Instruments Ltd (LWIL), post Bachchan, Parker's
sales have increased by about 30 per cent.

India is one country, which has always idolized the stars of the celluloid world.
Therefore it makes tremendous sense for a brand to procure a celebrity for its
endorsement. In India there is an exponential potential for a celebrity endorsement to be
perceived as genuinely relevant, thereby motivating consumers to go in for the product.
This would especially prove true if the endorser and the category are a natural lifestyle fit
like sportspersons and footwear, Kapil-Sachin and Boost or film stars and beauty
products.

Some Global Examples:

Globally, firms have been juxtaposing their brands and themselves with celebrity
endorsers. Some successful ongoing global endorsements are as follows:

• Celebrity endorsements have been the bedrock of Pepsi's advertising. Over the
years, Pepsi has used and continues to use a number of celebrities for general
market and targeted advertising, including Shaquille O'Neal, Mary J. Blige,
Wyclef Jean, and Busta Rhymes, who did a targeted campaign for their Mountain
Dew product.
• George Foreman for Meineke. He has also sold more than 10 million Lean Mean
Fat-- Reducing Grilling Machines since signing with the manufacturing company.
• James Earl Jones for Verizon and CNN.

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• Nike golf balls, since the company signed Tiger Woods in 1996, have seen a $50
million revenue growth. Nike's golf line grossed more than $250 million in annual
sales. In 2000 he renegotiated a five-year contract estimated at $125 million.
• Other successful endorsements like Nike—Michael Jordan, Dunlop—John
McEnroe, Adidas—Prince Naseem Hamed, and so on.
• Venus Williams, tennis player and Wimbledon champion has signed a five-year
$40 million contract with sportswear manufacturer Reebok International Inc.

Advantages of a celebrity endorsing a Brand

Brands have been leveraging celebrity appeal for a long time. Across categories, whether
in products or services, more and more brands are banking on the mass appeal of
celebrities. As soon as a new face ascends the popularity charts, advertisers queue up to
have it splashed all over. Witness the spectacular rise of Sania Mirza and Irfan Pathan in
endorsements in a matter of a few months. The accruement of celebrity endorsements can
be justified by the following advantages that are bestowed on the overall brand:

• Establishment of Credibility: Approval of a brand by a star fosters a sense of trust


for that brand among the target audience- this is especially true in case of new
products. We had the Shah Rukh-Santro campaign. At launch, Shah Rukh Khan
endorsed Santro and this ensured that brand awareness was created in a market,
which did not even know the brand.
• Ensured Attention: Celebrities ensure attention of the target group by breaking the
clutter of advertisements and making the ad and the brand more noticeable.
• PR coverage : is another reason for using celebrities. Managers perceive
celebrities as topical, which create high PR coverage. A good example of
integrated celebrity campaigns is one of the World’s leading pop groups, the
Spice Girls, who have not only appeared in advertisements for Pepsi, but also in
product launching and PR events. Indeed, celebrity-company marriages are
covered by most media from television to newspapers (e.g. The Spice Girls and
Pepsi)

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• Higher degree of recall: People tend to commensurate the personalities of the
celebrity with the brand thereby increasing the recall value. Golf champion Tiger
Woods has endorsed American Express, Rolex, and Nike. Actress Catherine Zeta-
Jones is used by T-Mobile and Elizabeth Arden. 007 Pierce Brosnan promotes
Omega, BMW, and Noreico.
• Associative Benefit: A celebrity’s preference for a brand gives out a persuasive
message - because the celebrity is benefiting from the brand, the consumer will
also benefit.
• Mitigating a tarnished image: Cadbury India wanted to restore the consumer's
confidence in its chocolate brands following the high-pitch worms controversy; so
the company appointed Amitabh Bachchan for the job. Last year, when the even
more controversial pesticide issue shook up Coca-Cola and PepsiCo and resulted
in much negative press, both soft drink majors put out high-profile damage
control ad films featuring their best and most expensive celebrities. While Aamir
Khan led the Coke fight back as an ingenious and fastidious Bengali who finally
gets convinced of the product's `purity,' PepsiCo brought Shah Rukh Khan and
Sachin Tendulkar together once again in a television commercial which drew
references to the `safety' of the product indirectly.
• Psychographic Connect: Celebrities are loved and adored by their fans and
advertisers use stars to capitalize on these feelings to sway the fans towards their
brand.
• Demographic Connect: Different stars appeal differently to various demographic
segments (age, gender, class, geography etc.).
• Mass Appeal: Some stars have a universal appeal and therefore prove to be a good
bet to generate interest among the masses.
• Rejuvenating a stagnant brand: With the objective of infusing fresh life into the
stagnant chyawanprash category and staving off competition from various brands,
Dabur India roped in Bachchan for an estimated Rs. 8 crore.
• Celebrity endorsement can sometimes compensate for lack of innovative ideas.

Disadvantages of a celebrity endorsing a brand:

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The celebrity approach has a few serious risks:

1. The reputation of the celebrity may derogate after he/she has endorsed the
product: Pepsi Cola's suffered with three tarnished celebrities - Mike Tyson,
Madonna, and Michael Jackson. Since the behaviour of the celebrities reflects on
the brand, celebrity endorsers may at times become liabilities to the brands they
endorse.
2. The vampire effect: This terminology pertains to the issue of a celebrity
overshadowing the brand. If there is no congruency between the celebrity and the
brand, then the audience will remember the celebrity and not the brand. Examples
are the campaigns of Dawn French—Cable Association and Leonard Rossiter—
Cinzano. Both of these campaigns were aborted due to celebrities getting in the
way of effective communication. Another example could be the Castrol
commercial featuring Rahul Dravid.
3. Inconsistency in the professional popularity of the celebrity: The celebrity may
lose his or her popularity due to some lapse in professional performances. For
example, when Tendulkar went through a prolonged lean patch recently, the
inevitable question that cropped up in corporate circles - is he actually worth it?
The 2003 Cricket World Cup also threw up the Shane Warne incident, which
caught Pepsi off guard. With the Australian cricketer testing positive for
consuming banned substances and his subsequent withdrawal from the event,
bang in the middle of the event, PepsiCo - the presenting sponsor of the World
Cup 2003 - found itself on an uneasy wicket
4. Multi brand endorsements by the same celebrity would lead to overexposure : The
novelty of a celebrity endorsement gets diluted if he does too many
advertisements. This may be termed as commoditisation of celebrities, who are
willing to endorse anything for big bucks. Example, MRF was among the early
sponsors of Tendulkar with its logo emblazoned on his bat. But now Tendulkar
endorses a myriad brands and the novelty of the Tendulkar-MRF campaign has
scaled down.

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5. Celebrities endorsing one brand and using another (competitor): Sainsbury’s
encountered a problem with Catherina Zeta Jones, whom the company used for its
recipe advertisements, when she was caught shopping in Tesco. A similar case
happened with Britney Spears who endorsed one cola brand and was repeatedly
caught drinking another brand of cola on tape.
6. Mismatch between the celebrity and the image of the brand: Celebrities manifest a
certain persona for the audience. It is of paramount importance that there is an
egalitarian congruency between the persona of the celebrity and the image of the
brand. Each celebrity portrays a broad range of meanings, involving a specific
personality and lifestyle. Madonna, for example, is perceived as a tough, intense
and modern women associated with the lower middle class. The personality of
Pierce Brosnan is best characterized as the perfect gentlemen, whereas Jennifer
Aniston has the image of the ‘good girl from next door’.

In India, Bollywood and sport personalities like Amitabh Bachchan, Shahrukh Khan,
Fardeen Khan, Saif Ali Khan, Sachin Tendulkar, Saurav Ganguly, Virender Sehwag and
Bhaichung Bhutia rule the mind-space and airwaves.

It is interesting to see Amitabh ‘touching’ our hearts with Nerolac; making a fervent pitch
for peace in the public service message released after the Gujarat riots; playing the matrix
for Reid & Taylor; doting grandfather in the new Cadbury’s commercial, and so on.

As an endorser, he fulfills all the FRED objectives, namely, Familiarity (target market is
aware of him, finds him friendly, likeable and trustworthy); Relevance (which says that
there should be a link between the endorser and the product as well between the endorser
and the audience); Esteem (the polio endorsement, for example, is successful as the
masses see him as a credible name-face-voice); Differentiation (in all his projections, he
is seen to be one among the masses, and yet he towers above them. He is different). His
appeal is universal, lesser mortals merely cater to specific niches…

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So, which celebrity should one go with? Who should be the spokesperson for your
product? Who caters to which niche? Does it always happen by trial and error? Should a
corporate organisation pay for individual research to find logical fits for their
needs/brands?

US has a popular index, called the Q score, that summarises various perceptions and
feelings that consumers have in the form of ‘likeability’ measurements. It measures
familiarity and appeal of performers, characters, personalities, etc.

So, how about developing an index in India that would aid companies in reaching out to
their respective audiences? The index could be classified on the basis of demographics,
psychographics, and geographical demarcations. It would have to be relevant to
advertisers and brand managers (who have used any of the known celebrities as
endorsers; they could check out the measurable value addition), representatives from
respective fraternities/domains, peers, media, etc.

KATRINA KAIF ENDORSING KODAK CAMERA

The celebrity trap:

Once into a celebrity, it is hard to get out of it. If the brand has done even moderately
well after the break of a celebrity campaign, it becomes difficult to separate the role of
message and the role of the celebrity in selling the brand.

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And hence, the celebrity becomes an addiction for the marketing team.

And the task to find substitutes becomes more and more difficult. Interestingly, celebrity
is a disease that is seen to spread across a marketing department. Once one brand
manager gets into it, others tend to follow, not wanting to be left behind!

With the surfeit of celebrities on screen and in the newspapers, there are two new
drawbacks emerging for celebrity usage.

Celebrity credibility is coming under question. Consumers are getting more and more
advertising savvy and are beginning to voice opinions, even in small towns, like "He has
been paid to sell the product."

Clearly celebrity endorsement is no longer as credible as it was a few decades ago.

Unless category and celebrity are closely linked (like Nike and sports stars), the power of
a celebrity's word is questionable.

The trustworthiness of public figures, which celebrities tended to bring in the past, is
bound to disappear if a celebrity begins to appear and endorse a brand in every
conceivable category!

Celebrity clutter. With each celebrity endorsing multiple products and multi brands in a
category, resorting to different celebrities, the consumer is left confused.

And reluctant to get into 'this celebrity is bigger than that comparison' to make brand
choices.

Santro is endorsed by Shah Rukh Khan and Palio by Sachin Tendulkar… does the
consumer buy the brands because of the star pull? … a question worth pondering about. It
ends up making brand parity rather than giving brand differentiation, often one of the key
aims of using a celebrity.

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When Palmolive used Kapil Dev in the '80s, his line 'Palmolive da jawaab nahin' became
famous -- it is remembered even today.

Pataudi gave Gwalior suitings a strong competitive edge and pushed it to Number 2 in
perceptions in the suitings market.

Even Sridevi made Cema bulbs and tubes memorable by dancing in a bulb!

The advertisements by themselves were fairly non-descript; the celebrities gave the brand
the differentiation. Celebrity advertising were few and far in between in those days. The
days of 'pure' celebrity working for the brand seem to be over.

Today, it is back to the power of an idea and an insight. No simple solutions exist any
longer. Unless there is something powerful in the idea, the celebrity is just another cost.

Aamir Khan and Coke is the ultimate example of the same. As long as the brand
depended on his star value and wove interesting stories around him, it just didn't cut ice
with the consumer -- until 'Thanda Matlab Coca-Cola' happened.

Could it have worked as well without a celebrity? One will never know as the brand has
entered the celebrity trap.

CONCLUSION FOR CELEBRITY ENDORSEMENTS:

Despite the obvious economic advantage of using relatively unknown personalities as


endorsers in advertising campaigns, the choice of celebrities to fulfill that role has
become common practice for brands competing in today's cluttered media environment.

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There are several reasons for such extensive use of celebrities. Because of their high
profile, celebrities may help advertisements stand out from the surrounding clutter, thus
improving their communicative ability. Celebrities may also generate extensive PR
leverage for brands. For example, when Revlon launched the "Won't kiss off test" for its
Colorstay lipsticks in 1994 with Cindy Crawford kissing reporters, the campaign featured
on almost every major news channel and equally widely in the press. A brief assessment
of the current market situation indicates, that celebrity endorsement advertising
strategies can, under the right circumstances, indeed justify the high costs associated with
this form of advertising.

But it would be presumptuous to consider celebrity endorsement as a panacea for all


barricades. Celebrity endorsement if used effectively, makes the brand stand out,
galvanizes brand recall and facilitates instant awareness. To achieve this, the marketer
needs to be really disciplined in choice of a celebrity. Hence the right use of celebrity can
escalate the Unique Selling Proposition of a brand to new heights; but a cursory
orientation of a celebrity with a brand may prove to be claustrophobic for the brand. A
celebrity is a means to an end, and not an end in himself/herself

CASE STUDY OF 2 PRODUCT GROUPS:


ADVERTISING BY CADBURY AND AIRTEL.

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As we all know CADBURY and AIRTEL are two different companies for two
entirely different product groups, in the market. Cadbury is the FMCG Company whereas
Airtel is a leading company in the field of telecommunication. Both these companies are
different from each other, as both are from entirely different background and
manufacture, distribute and sell entirely different products from each other, the purpose
behind selecting both these companies in the project of advertising is that both are
leading brands, their products are sell all around the world, successful products, and a
goodwill, these all reasons are equally important for success of both these companies, and
all this is only possible as both these companies are best in marketing their products in
proper and a different manner through advertising. Advertising is one of the essential tool
of these companies to set a place for their products in the minds of all the people.

LOGOS OF CADBURY AND AIRTEL

CADBURY AND AIRTEL ARE THE TWO COMPANIES WHICH


STOOD IN TOP 5 RANKING OF THE BEST ADVERTISEMENTS
TELECASTED ON TELEVISION.

The consumers are quite impressed by both these companies, because of their different
way of marketing and advertising. Social advertising, besides FMCG and telecom
companies, beat the slowdown blues to emerge as the country’s top television advertising
categories in the first two months of 2009, as per data collated by media tracking firm
TAM AdEx. Among individual firms, Hindustan Unilever, Reckitt Benckiser,
GlaxoSmithKline, Bharti Airtel and Cadbury were the top five advertisers by volumes
(seconds spent advertising) on TV.
CADBURY INDIA:

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Cadbury is an FMCG Company that is the fast moving consumable goods
company, it gives strong competition to all the companies which sell eatable items and
mostly chocolates and one among those competitors is Nestle and Amul which also sells
chocolates and some other eatable items. Cadbury is ahead from both these companies
when advertising is considered, because of which most of its products are a hit in the
market among the consumers, but the consumers delight is the Dairy Milk chocolate.
Dairy Milk chocolate is the favourite of the consumers among all the other chocolates
available in the market. Other than this some more products of Cadbury are Perk, 5 Star,
Bournvita, Fruit and Nut, Celebrations.

CADBURY CELEBRATIONS is one of the products of Cadbury which is


specially meant for festivals and occasions. Celebrations is a family pack of chocolates
containing all the chocolates of Cadbury, it is meant for the purpose of celebrations.
During the time of any festival or any such celebration, Cadbury come up with different
advertisements for different festivals like Diwali, Raksha Bandhan, etc. Amitabh
Bacchan being the brand ambassador of Cadbury is mostly seen promoting Cadbury
celebrations on televisions during the season of festivals.

Cadbury is one company which sells its products and promotes and advertise
them as per the demand and liking of the product in the minds of the people and in the
market. It considers all the situations, seasons, likings, behavior of the people to advertise
its products. The most important thing which we see in the ads of Cadbury is the theme
and the emotion. In the advertisement of Cadbury dairy milk the theme is to have
something sweet whenever it is the time of happiness of celebration, so to have dairy
milk to celebrate it, may be when India wins a cricket match or when anybody passes in
exam in this the tagline was “pappu pass ho gaya”, or when it is the day of salary.
Currently the tagline is “kuchh meetha ho jaye”

Whenever we see an ad commercial of Cadbury on television we feel like having


a Cadbury dairy milk chocolate at that time, this is the impact of the advertisements of
Cadbury. These ads are totally different from other chocolate companies ads and always

49
have a logic or theme behind it for having something sweet which attracts the customers
a lot.

BRAND AMBASSADOR:
Amitabh Bacchan is the brand ambassador for the Cadbury India. Priety Zinta is
also one of the celebrity endorser for Cadbury. Amitabh Bacchan endorses dairy milk
chocolate whereas Priety Zinta endorses Perk chocolate. Both these chocolates are a hit in
the market. Amitabh Bacchan has really given many advantages to Cadbury by endorsing
their product as he is an ideal for many people and people think that when Amitabh
Bacchan is eating dairy milk why not us. Preity has also proved to be very profitable for
the company; she really gives tough competition to Nestle Munch chocolate which is
endorsed by other big celebrity Rani Mukherjee.
AMITABH BACCHAN IN THE AD OF CADBURY DAIRY MILK

Amitabh Bacchan proved to be an asset for Cadbury, whichever advertisement of


Cadbury had Amitabh in it that was a hit in the market. He also proved to profitable
during the time of crisis when Cadbury was in controversy of worms found in the

50
chocolate, during that time Amitabh Bacchan promoted Cadbury and helped them to
build their same image and goodwill in the market again.

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ADVERTISEMENTS BY CADBURY:

Cadbury India celebrates 'pay day' with Dairy Milk

52
Cadbury India has unveiled a new campaign that continues with
the brand's 'Kucch Meetha Ho Jaye' positioning. Created by Ogilvy & Mather, the
campaign revolves around the theme of 'Pay Day', which is associated with happiness by
most people.

Commenting about Cadbury's latest communication, Sanjay Purohit, director - marketing,


Cadbury India said, "This new campaign takes the concept of celebrations to yet another
level. With the Pappu and Miss Palampur campaigns, Cadbury Dairy Milk created a
space for itself during the big, community celebration moments. This new commercial
keeps the core promise of happiness while introducing another 'moment of joy' in one’s
life. Also, the new TVC highlights the celebratory occasion of pay day, which is an
important event in the life of every middle-class Indian."

Said Abhijit Avasthi, executive creative director, Ogilvy & Mather (India & South Asia),
“We were looking to come up with another interesting, unique meetha moment. We
realised that while celebrations have been done for various occasions, the celebration for
‘pay day’ was not done. Pay day emotes feelings that are naturally celebratory in nature.
Pay day makes you feel as rich as a king or as rich as a crorepati. This is the moment that
CDM captures in the new CDM campaign. And then we lucked out on the 50s' Kishore
Kumar song that brings the pay day story idea together beautifully.”

Speaking to Campaign India about the task at hand, Shekhar Jha, creative director,
Ogilvy & Mather said, "Generally, the first of every month is the day everyone feels rich
and in the mood to indulge. We had to position Cadbury Dairy Milk as something that
can be a part of this day of happiness, promises and salaries. Cadbury automatically lends
itself to the celebrations."

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The storyline unfolds in a really old office where clerks are busy typing and the main
protagonist is one of them. A cashier approaches the main protagonist to give him his
salary. The protagonists soon starts singing with sheer happiness as do all the typists.
Similarly the newspaper boy and doctor appear as well. And then a kid appears to whom
he hands over a Cadbury Dairy Milk bar. Cut to the scene where he protagonist's wife is
all ready to go to the cinema for the evening. He even buys a ticket for her in black, since
the movie is houseful. While watching the movie, he puts his hand around his wife’s
shoulder and she sees he is holding a Cadbury chocolate bar in his hand. Everybody joins
in the celebration. The TVC underlines the brand's positioning that Cadbury Dairy Milk
is always around to celebrate one's joyous occasions.

"The consumer insight," says Jha, "arose from the fact that most people feel indulgent on
the day they receive their salaries. We decided to build up on this insight."

This was the most popular and successful ad of Cadbury in which a girl is
dancing and entering the cricket ground when the match was won by his
friend’s team. This ad impacted a lot on consumers to have a Cadbury
chocolate.

54
AIRTEL:
AIRTEL as we all know is a well known and a well established company in the
field of telecommunication. It sells sim cards in the market and give tough competition in
the market to companies such as BSNL, VODAFONE, RELIANCE, etc. Airtel is having
a stable and good place in the market, it is all because of its marketing strategies and
different way of promoting its product. The advertisements of Airtel are very well
planned and are different as compare to the advertisements of other companies sim cards.
People are able to relate with these advertisements, mostly having R.Madhavan and
Vidya Balan in them, people loved the ads of airtel in which both these stars acted as they
really share a superb chemistry in these advertisements which appealed and impacted a
lot on the consumers and it created a strong and a positive impact in the minds of the
consumers.

R.MADHAVAN AND VIDYA BALAN IN THE AD OF AIRTEL

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As for cellphone service providers, ad-spends are being maintained to address high
growth. In January, the country created a global record by adding 15 million new users in
a single month. India, the world’s fastest growing mobile market, has been witnessing the
highest subscriber additions globally every month for over a year now.

Bharti Airtel has been consistently refreshing its advertising. Over the last two months,
the telecom giant has been driving home campaigns of its network and lifetime prepaid
offering. According to Bharti Airtel CMO Sanjay Gupta: “In times of recession, it is
important for brands to maintain their salience and convey relevant information to
customers.”

Sectors such as FMCG and telecom are daily necessities — one cannot do without a
bathing soap or stop making phone calls due to recession. So ad spends in sectors where
business is growing would continue to grow despite slowdown.”
Bharti Airtel’s key competitor Vodafone Essar was ranked seventh among the top
advertisers. In telecom, there is no other way to take the message to the consumer, but
talk about it and advertise. Only the Airtel ad found a place in both the lists in the year
2008 2009 also. And according to Desai, 2008 was a turning point for the brand. “The R.
Madhavan-Vidya Balan commercials kicked off this new-found intimacy of expression
that the brand lacked.”
This year saw a range of ads from the best creative minds in the advertising industry.
From liberally using celebrities to endorse brands to messages laced with humour and
romance, they left no stone (and emotion) unturned to create an impact.

56
ADVERTISEMENTS BY AIRTEL:

Airtel (STD)
Rediffusion Y& R, Young and Rubicam
A follow-up to an earlier ad, R. Madhavan, who’s away on work, calls up his
Wife, Vidya Balan, to say goodnight. She reminds him that he has already called eight
times. But both stay on the line, waiting for the other to disconnect. The voice-over:
‘Kabhi pyaar ke beech dooriyan na aayen’ (Let distance not come in the way of love).
Airtel+Nokia/Lifetime prepaid
Ranbir Kapoor, while trying to get into Deepika Padukone’s house, attracts. The attention
of her brother Shah Rukh Khan. Ranbir pretends to be an alien from Youngistan. An
impressed Shah Rukh invites him in. Tag line: ‘Chaho to sab kuch hai asaan’ (If you
desire, everything is easy).
Airtel+Nokia/Lifetime prepaid A cross section of people putting their hands over their
hearts is followed by actor Shah Rukh Khan taking out a Nokia cellphone from his shirt
pocket and saying ‘hello’. There is a symphony of hellos. Tag line: ‘Garv se kaho’ hello
(Say hello with pride).

57
RECENT UPDATES OF ADVERTISING

The advertising sector is one of the most booming sectors in today’s competitive world
where everyone wants its product to be sold more than that of its competitors. Today
crores of rupees are invested in advertising and promotion of the products of different
companies, this shows the need and importance of advertising in today’s world.

Government-led social ads topped the charts for television advertising, followed by
marketers of grocery, cellphone service providers and colas. Life insurance and cars, too,
were among the top ten. In the print category too, social ads took the top slot. But in
print, the other prominent advertisers were educational institutions, cars, retailers and real
estate firms.

Industry estimates suggest that of the Rs 22,000 crore annual spending on advertising in
the country across all mediums, print and television make up for the lion’s share,
accounting for Rs 18,500 crore worth of ad-spends. The remaining Rs 3,500 crore is
through smaller media like radio and internet.

Tam Media research CEO LV Krishnan said: “Ad spends by the government have risen
significantly over the last year. Top spenders within FMCG have remained, by and large,
the same. In the case of telecom service providers, there has been a shift, though spends
have been maintained.”

Television advertising in FMCG has been riding on the back of increased brand
promotions, preventing consumers from downtrading, heightened competition, newer
products and packs, and up to 20% growth in rural markets.

GlaxoSmithKline Consumer Healthcare (GSKCH), ranked third in terms of ad-spend


volumes, EVP-marketing Shubhajit Sen said: “Our ad spend levels have gone up this
quarter. We are not only running campaigns for new launches like Horlicks NutriBar, but
also increasing spends on flagship Horlicks because the quarter coincides with school

58
exams. We will continue to invest in brands.”

As for cellphone service providers, ad-spends are being maintained to address high
growth. In January, the country created a global record by adding 15 million new users in
a single month. India, the world’s fastest growing mobile market, has been witnessing the
highest subscriber additions globally every month for over a year now.

Bharti Airtel has been consistently refreshing its advertising. Over the last two months,
the telecom giant has been driving home campaigns of its network and lifetime prepaid
offering. According to Bharti Airtel CMO Sanjay Gupta: “In times of recession, it is
important for brands to maintain their salience and convey relevant information to
customers.”

Sectors such as FMCG and telecom are daily necessities — one cannot do without a
bathing soap or stop making phone calls due to recession. So ad spends in sectors where
business is growing would continue to grow despite slowdown.”
Bharti Airtel’s key competitor Vodafone Essar was ranked seventh among the top
advertisers.

Vodafone Essar’s marketing head Harit Nagpal said: “We had some value propositions
which had to be taken to the consumers. In telecom, there is no other way to take the
message to the consumer, but talk about it and advertise.”
ITC, Procter & Gamble, PepsiCo and Coca-Cola were the other advertisers to figure in
the list of top 10 advertisers on television.
In 2008, Cadbury Perk stood out as the best on-air commercial--the only commercial with
a brand recall of 100%
This is not the time to dwell on turkeys, says our expert Santosh Desai. And so, the Mint-
Synovate-TVAdIndx survey brings the campaigns in the past year which had the right
formula to capture the hearts and minds of the consumer.

59
In 2008, Cadbury Perk stood out as the best on-air commercial—the only commercial
with a brand recall of 100%. But surprisingly, it found no place in the list of Top 10 ads
based on ad diagnostics. It was the Titan ad, ably supported by Bollywood actor Aamir
Khan, which won the sweepstakes here.
Only the Airtel ad found a place in both the lists. And according to Desai, 2008 was a
turning point for the brand. “The R. Madhavan-Vidya Balan commercials kicked off this
new-found intimacy of expression that the brand lacked.”
This year saw a range of ads from the best creative minds in the advertising industry.
From liberally using celebrities to endorse brands to messages laced with humour and
romance, they left no stone (and emotion) unturned to create an impact.
SUCCESSFUL ADS:
Cadbury Perk
Ogilvy and Mather
A castaway tries to build a crude boat to escape from the island he is marooned on, but to
no avail. He spots a ship and fires a flare gun, but it sinks the vessel. All his hopes of
escaping are dashed. He munches on a bar of Perk when he spots a woman shipwrecked
on his island. Tag line: ‘Yeh life hai (This is life), take it lightly’.
Airtel (STD)
Rediffusion Y& R, Young and Rubicam
A follow-up to an earlier ad, R. Madhavan , who’s away on work, calls up his wife,
Vidya Balan, to say goodnight. She reminds him that he has already called eight times.
But both stay on the line, waiting for the other to disconnect. The voice-over: ‘Kabhi
pyaar ke beech dooriyan na aayen’ (Let distance not come in the way of love).
Kurkure Xtreme
Juhi Chawla has Kurkure, which leaves her craving for more. She spots a kurkure
delivery van and starts chasing it. She jumps off rooftops and performs various stunts to
reach the van. Tag line: Seriously, ‘thoda zyada’ (Seriously, something extra).
Airtel+Nokia/Lifetime prepaid
A cross section of people putting their hands over their hearts is followed by actor Shah
Rukh Khan taking out a Nokia cellphone from his shirt pocket and saying ‘hello’. There
is a symphony of hellos. Tag line: ‘Garv se kaho’ hello (Say hello with pride).

60
MAKING A CONSTRUCTIVE OR AN EFFECTIVE
ADVERTISEMENT:

This is an important aspect of advertising as advertisement published by a


company should be attractive, impressive as well as effective. It should give positive
results in terms of consumer loyalty, sales, promotion and competitive capacity. For
creativity in advertising, attention needs to be given to all components of an
advertisement. They include copy, illustration, layout, slogan, headline and art work. For
effective advertising, services of experts are necessary. An advertising agency maintains
such expert copywriters and others for preparing attractive advertisements for their
clients.

Construction of an advertisement means to prepare a copy of an advertisement


which is combination headline, slogan, illustration and advertising message adjusted in
proper layout. It is a specialized job which needs proper education, training, experience
and maturity. Advertising agency maintain such creative staff for preparation of an
advertisement. It may also be noted that advertising is a means for supplying information,
for making an appeal and for sales promotion. These purposes or objectives will be
achieved only when the advertisement prepared or constructed is effective. This means it
prove to be attractive, appealing and agreeable to readers or viewers.

In short, advertising must be effective purposeful or result oriented. Construction


of such advertisement needs intelligence, knowledge and imagination. New ideas must be
developed, an element of creativity must be included and effective appeal must be made
to target consumers. For effective advertising, attention needs to be given to copy and
visual which are two basic elements of an advertisement. Construction of an
advertisement is a lengthy process which includes different steps. An effective
advertisement can be created only when all such steps are completed in an orderly
manner.

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VISUALISATION:
The term visualization means, “seeing in the mind’s eye the form of the idea as it
would appear in the advertisement’. In other words, it is the ability to imagine how an ad
will look like when it is completed in all respects. The concept of the visualization is
applicable to newspaper advertising as well as to T.V. and radio advertising.
Visualizations is, therefore, a process of ideation. The term ideation means the
process of creating ideas, or the process of giving birth to new ideas. An idea is a
complete thought. It is a brain wave, but wave which is complete and comprehensive.
Visualization is an objective process. It not by an accident or by an chance that
advertising theme is born. An advertisement is the result of a creative activity. This
creative activity is called as visualization.
Visualization is mental process. It is a process of generating ideas in abstract and
translating them into the concrete form or shape of layout of an advertisement.
Visualization is a basic skill of expression. It is a mental process that crates an idea that
would be expressed and communicated to the prospects by way of an advertisement.
Visualization thus deals with language of vision which is also a very powerful means of
communication of one’s thoughts, feelings and emotions.

Definition of visualizing:
“Visualizing means creating the pictorial element and determining the general
nature of the other elements of an advertisement and how they all shall be arranged”.
CREATIVE VISUALISATION:

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Creativity is defined as “the ability to formulate new combinations from
two or more concepts already in mind”.
Creativity is the process of translating an idea into a theme. It is a thought
and action process of giving a concrete shape to an abstract idea. Creativity in advertising
is, thus, concerned with shaping dreams into reality. In the world of advertising, the term
CREATIVITY has acquired a specific connotation of making of individual
advertisements.
Creative visualization is really a tautology. Visualization is meaningless in
advertising unless it is creative. Visualization is concerned with a skill of imagination, yet
it is not imaginary. Creative visualization as a term simply emphasizes the fact that
visualization does not end with the generation of idea, but it includes the translation of
those ideas into creating advertising themes. Creative visualization also means that such a
theme, when constituted, is expressed by means of verbal expression or visual
expression. Creative is therefore, productive visualization-visualization that not only
generates ideas but also constitutes themes. Creative visualistion require creative
personality. Creative personality is the product of certain qualities which are, some times,
inborn but, many times acquired.

Creative visualiser should possess certain qualities which are as follows:


1) An independent and courageous mind.
2) Self aware and self centered personality.
3) Spontaneity and originality.
4) Zeal for precision and intellectual honesty.
5) Flexibility and adaptability.
6) Preference for ideas over people.
A creative visualiser is a keen observer of people. He studies people with a view to
getting new ideas. He mixes with people, nurtures friendships, develop contacts; yet he is
at home with ideas rather than with people. He is married to ideas and divorced from
people.

PROCESS OF VISUALISTIONS:

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Process of visualization means conceiving and delivering ideas. Some of
the techniques of visualization are:
1) Identifying the problem.
2) Forming pool of observations, facts and information.
3) Generating brain waves.
4) Brain storming.
5) Mediation.
6) Rough layout.
7) Giving final shape.
The techniques of visualization are connected with the process of visualization.
There are certain steps or stages in the process of visualization those are:
1) Locating the problem: It means getting acquainted with the product, market,
policies of advertiser, the need for advertising and the expectations from the
advertising campaign.
2) Collecting of the relevant information: Important facts are to be gathered.
Sources of information are to be tapped and collected facts are to be arranged.
3) Analysis of information: From the point of view of raw materials for ideas as well
as analyzing of the facts gathered to serve as launching pad for new ideas.
4) Hypothesis: Giving concrete shape to brain waves by way of proposition, theories
or ideas.
5) Incubation: It is the process of thinking tough over the hypothesis and hatching it
so that ideas spring from the hypothesis just as chicken’s spring from eggs after
incubations.
6) Syntheses: These various ideas are lined up and they are pieced together so as to
form one solid, worthy idea.
7) Verification: The idea that is conceived is developed into a mature visualization
after experimentation and verification.

These 7 steps of process of visualization is a standard process of manufacturing


advertisement.

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Making an ad or an advertisement by any using any medium it may be print
advertisement, on radio or on television. Making an ad is an art, the person who
makes an ad or the advertising agency must be quite creative enough, they should
know to use the things in a different manner which makes it an extra-ordinary
advertisement, so that the companies can overshadow their competitors in order to
rule the market. In today’s world people are quite clever they know the tricks played
by the companies to attract the consumers, by celebrity endorsements and some
emotional touch to connect with the people, but actually people know about these
strategies of companies for selling their product.

Now presently the ads which are ruling in the minds of people are the creative
advertisements. Creativity in advertisement is mostly seen on the T.V. ads, in
newspapers and magazines also creative ads are published, these ads are animated
pictures, which now-a-days consumers really like. On T.V. also creative ads and
animated ads are really loved, not only by children but also by youngsters and adults.
Currently people like those ads or are attracted towards those ads which has a logic
behind it to bye that particular product or it may have some creativity in it.
Some of the examples of creative advertisements on-air are:
a) Fevicol, b) Vodafone, c) Virgin mobile, d) Cadbury’s dairy milk
chocolate ad, etc.

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IMPACT OF ADVERTISING
The advertising business has become such an important factor in the economy in
many countries, especially in the United States, that it also changes the economy itself,
society, culture, and the political system.
The stimulation for the demand of products and services helps the economy grow
stronger and stronger. New inventions become known much faster and can establish their
spot in the sales figures of the economy. If there are more people buying these products
the overall costs will drop and the product will become cheaper for the customer which
raises his willingness to buy even more. On the other hand advertisements are very
expensive and some economists believe that these costs are put on top of the actual price
paid by the customer.
Critics argue that advertising can also have a huge influence on society. It tells the
consumers that only purchasing products makes you happy and therefore people compare
each other on their belongings. Women also compare themselves with the beautiful and
very skinny models they see on commercials and ads. This sometimes results in eating
disorders and a low self-esteem of women who don’t look like these models. Another bad
effect is, that minority groups, are portrait in a subordinate position, which settles in the
minds of people. Commercials are also an important part of the income of a TV station
which leads to the suspicion that a news channel might not report on an incident about a
company they depend on. A lot of TV shows are also based on these commercials, and if
the ratings aren’t good enough the show will be stopped. Only those shows which attract
a lot of viewers will be shown, which is not very differentiated and put minorities like
older people at a disadvantage.
Advertising can also have an impact in politics. Crores of rupees were spent on
advertisements and TV commercials in the elections of 1998. It gives the opponents the
chance to respond to charges very quickly reaching a few million viewers. But since this
is very expensive only very rich people have to chance to run for a political position or at
least depend on the donation of wealthier people who could have a huge impact on
democracy this way. The political issues talked about in an election are also very much
simplified because the spots are only about 30 seconds long, and you can’t really discuss
a lot in such a short period of time.

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There is finally the impact advertising can have on the culture of a country. The
globalized economy uses the same commercials in a lot of different countries, which
leads to a break down in the differences of these societies. Children will grow up not
knowing how their culture has been before in their country. It can also lead to a lot of
discussion about moral values if we just think about the very controversial ads of
Benetton we have discussed.

IMPACT OF ADVERTISING ON CONSUMERS:

Consumers are increasingly exposed with advertising campaigns in which they


are often confronted with idealized representations of the world (e.g., idealized situations,
attractive models). A large amount of studies has shown that ads presenting idealized
images can have strong effects on consumer satisfaction and welfare. However, obtained
results were not consistent with each other. Some studies found that advertising had an
increasing effect on consumer satisfaction; other studies found that advertising had a
negative impact and led to consumer dissatisfaction. No research has ever tried to resolve
why conflicting results were obtained in this area of research. Moreover, there exists no
extant consumer behaviour model on the effects of advertising on consumer satisfaction.

Consumers really play an important and a vital role in the success of any
advertisement. Any advertisement is said to be a successful one when consumers are
attracted to a particular ad. Advertisements are made by keeping the consumers
perspective in the mind so that it can appeal the right consumer which the company needs
to target for their product. People like the advertisements which appeal them or through
which they can connect or relate themselves. Some of the emotional ads also really work
on consumers as the consumers feel that someone like them is also using that product.

There are many types of mediums and many types of advertisements which
creates a greater impact on the minds of the consumers in different ways. Different
people like different medium to select their product as they think that this particular
medium shows the reality of the product. Every consumer is different from each other

67
some may like the advertisements or the products endorsed by their favourite celebrity,
some like animated advertisements, some like emotional advertisement and some like
only highly creative advertisements. So it depends on person to person about the liking of
an advertisement.

IMPACT OF ADVERTISING ON CHILDREN:

There are many products which are in use of children. Most of the kids
like the animated advertisements or the ads which are funny or having children. Children
are also attracted towards the ads which have jingles or some songs. There many products
which are mostly used by children, and to promote that product the company mostly
choose child actors, so that the child can relate to that advertisement or product, or which
should appeal the child. Many a times celebrities and sports personalities are also used to
promote the product made for children, in these type of ads the companies try to target
the parents by showing that the celebrity or the sports person also uses or use to consume
that product when he/she was child, by seeing such ads parents perspective towards their
child is targeted, so that the parents could buy that product for their child.

Example: Sachin Tendulkar in the advertisement of BOOST, in this the tagline is “Boost
is the secret of my energy”. This shows that Sachin being a sports star consumes Boost
so, the parents think why not our child.

The advertisements of chocolates, energy drinks like boost, horlicks, bournvita,


etc, Corn Flakes, baby products like JHONSONS & JHONSONS products, chawanprash,
etc. mostly ads of these products are created by targeting the child group of consumers.
Dabur and Johnson’s are major players in the products manufactured for children. The
brand name also impacts a lot on the parents as they care for their children, so they trust
only which is the best for their child.

There are many competitors in the market which sell and promote the products
specially manufactured for children, so the companies need to be very particular about

68
their product and should advertise their product in such a manner which appeals the child
and the features of the products should be different or extra ordinary in comparison to the
other products available in the market, and the advertisement also should be such which
should directly appeal the child and by seeing the ad commercial the child should ask for
that product from his/her parents, than only it can be said that the advertisement is
successful and product is real hit in the market and in the minds of the child consumers, if
this is not possible than that advertisement is just the waste of resources.

The advertisement should be attractive enough and should leave a positive and a
good impact in minds of the people. One of the examples of such advertisement is of
VODAFONE which really advertise its brand in a different manner which appeals the
overall society and which also impacts a lot on all the people.

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ADVERTISEMENT OF VODAFONE

This advertisement of Vodafone was srecially created only for telecasting during the IPL
season and for the T20 world cup, these types of 36 advertisements were created and
people loved these advertisements a lot, this ad really created a lot of positive impact in
minds of all group of consumers, today also people like recalling these advertisements as
it was a piece of creativity and something different in the world of advertisements seen
till today by all the consumers.

OVERALL IMPACT OF ADVERTISING:

The advertising is one thing which impacts all, the society on a whole, and the
society includes all children, youngsters, adults and even old aged people. The overall
impact of advertising can be positive for some people and some consider only the
negative aspect of the advertisement, it depends from person to person, every person
thinks differently for every other advertisement some ads may appeal to some people and
some may not appeal to those people, it depends on their perception and thinking about a
particular product.

The advertisement of a product should be such which appeals all from child to a
adult including the youngsters, may be the target audience be different for different
products but no one should feel inferior after seeing the advertisement or it should not
highlight the negative aspect of any group of persons, this also plays important role in
brand building of a particular product, success of the product and the image of the
company.

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CONCLUSION

In today’s competitive and a globalised economy the need and importance of


advertising is increasing day by day, as the development in all fields is taking place
rapidly. Advertising is really a very interesting and a very important topic related to
marketing as marketing depends a lot on advertising. Advertising helps the advertiser to
communicate the message to the consumer in a proper manner.

Everyone needs advertising for promoting its products or services in this


competitive market. Advertising acts a tool for the companies to inform the consumers
about the latest product in the market and also to give reminder to the consumers for
already existing products in the market. Advertising is useful for both the advertiser and
the consumer, as the companies boost their sales through it and consumer get the
knowledge of the product or service in the market. Advertising has really changed from
past to present, today advertising is done in a totally different and in an extra ordinary
manner from the previous years, its appeal and impact is more as compare to past, this is
because of globalization and development and in future we may see more different type
of advertising as compare to today’s advertising.

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