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Page 1: Advertising

Advertising

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Page 2: Advertising

2Promotion Management

AdvertisingAny paid form of non-personal communication about an organization, product, services, or idea by an identified sponsor.

Is non-personal, one way communication. Can reach masses of geographically dispersed

buyers. Can repeat a message many times. Cost effective for large audience but it can be

very costly for some media types. Can be used to create brand image It has got ability to strike a responsive chord with

consumer. Popular advertising campaigns attract consumers’ attention and can help generate sales.

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Evaluation of Broadcast mediaTelevision

Advantages and Limitations Buying Television Time

Network versus spotMethods for buying timeSelecting time periods and programs Cable television

Measuring the TV audience

Radio Advantages and Limitations Buying Radio Time Time classification Audience Information

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TelevisionIdeal advertising mediumAble to combine visual images, sound, motion, and color presents the advertiser with the opportunity to develop the most creative and imaginative appeals of any medium.

Advantages:Creativity and Impact

Provides opportunity for creative flexibility Possibility for dramatic, life like representation Can convey mood or image of the brand Develop emotional or entertaining appeals

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Advantages:Coverage and Cost effectiveness

Reach to large audience Almost all age group watches and in developing economy it is in

increasing trend. Cost effective - From coverage point of view (Relative Cost)

Captivity and Attention Have to see with favorite program (unless we make special effort

to avoid it) People give attention to some advertising message Effective for low-involvement product through repetition and with

catchy slogan and jingles.

Selectivity and Flexibility Selecting target customer is possible with some specific program Flexibility in appealing to specific interest group (sports, news,

history, the arts or music) Flexibility to access different geographic market and also to

repeat in some specific occasion (sponsorship of events)

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Television

LimitationsCosts (Airing and preparation both) – Absolute cost

Lack of selectivity (for specific and small target group)

Fleeting message (Timing is reducing and can not have anything tangible)

Clutter (Increasing use of commercial)

Limited viewer attention Zapping: changing the channel during com. Time Zipping: Fast forwarding commercial which watching

recorded programs

Distrust and negative evaluation

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Buying television timeNetwork versus Spot

Buying airtime from television networks (affiliated series of local TV stations)

Or buying Spots directly with local stations in non-network periods

Methods of buying time Sponsoring the program Participating in the sponsorship Spot announcements

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The importance of Radio has come down tremendously after introduction of TV in developed economy. Still it is an important medium for advertising.A medium characterized by highly specialized programming appealing to very narrow segments of the population. In developing economy, it is one of the most effective medium for reaching to specific target group.Radio has survived and flourished as an advertising medium because of its certain advantages.Also has got certain limitations.Use of FM radio has been increased tremendously in Nepali market. Useful for local approach, cost effective but becoming more clutter.

RADIO

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Advantages:Cost and efficiency

Low cost for high coverage Inexpensive for production of programs, jingles. More reach and frequency due to cost effectiveness.

Selectivity High degree of audience selectivity Geographic coverage for specific target group Selectivity through specific program

Flexibility Message can be changed in short notice Message can easily be adjusted to local market and marketing situation

Mental Imagery Listeners can have their own imagination of the message Can reinforce the television message through a technique (Image transfer)

Integrated Marketing Opportunities Can be related marketing with deejays and program host (popular one) Live radio program can be run for selling activities

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LimitationsCreative Limitations

Absence of visual image A short-lived and fleeting message

Fragmentation High level of audience fragmentation Percentage of the market tuned to any particular station is very small.

Chaotic Buying Procedures Due to having number of radio stations (if access is needed for

nationwide) Reduced to some extent with syndicated program and network in radio

too.

Limited Research Data Comparing to TV, Magazine, Newspaper research data is limited

Limited Listeners Attention Clutter

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Buying Radio TimeNetwork Radio

Can be purchased on a network basis using of the national network (US)

Also have got some regional networks (US)Spot Radio

Buying from Radio stations in various markets. Greater flexibility in selecting markets, individual stations,

and airtime and adjusting the message for local market conditions.

Local Radio Buying time from Local radio stations

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Evaluation of Print MediaThe role of Magazine and NewspapersMagazines

Classification of Magazines Advantages and Disadvantages Magazine circulation and readership Audience research for Magazines Purchasing Magazine Advertising Space The Future of Magazines

Newspapers Types of Newspapers Types of Newspapers Advertising Advantages and Limitations The Newspaper Audience Purchasing Newspaper Space The Future of Newspapers

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Role of Magazines and NewspapersIt differs from broadcast media as the information can be processed by the readers at their own pace.Are not intrusive like radio, TV and need effort from readers part for reaching information (high involvement media)Most Magazines reach to very selective audienceNewspaper has got extensive market coverageBoth are print media but characteristics are different.

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MagazinesMost Magazines are specialized but some magazines are of mass appeal.Classifications of Magazines

Consumer Magazines Bought by general public for information and/or entertainment. There are many classifications under consumers magazines but

majors are for general interest, sports, travel, and women’s. It represents major portion of Magazines.

Business publications Published for specific businesses, industries or occupations. Magazines and Trade journals.

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Magazines

AdvantagesSelectivityReproduction Quality (can be reproduced as it is produced in high quality paper and printing process)Creative Flexibility

Gatefolds, bleed pages, 3d pop-ups, inserts (return cards, recipe booklets, coupons, records, product samples etc.)

Permanence (long life span)PrestigeConsumer Receptivity and InvolvementServices

Some magazines offer special services to advertiser like having merchandising staff for encouraging promotion of the product

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Magazines

DisadvantagesCostsLimited Reach and FrequencyLong lead-time(30-90 days) Clutter and Competition

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Magazines

Magazine Circulation and ReadershipCirculation

Number of individuals who receive a publication through subscription and store purchase.

Primary circulation: Copies to subscribersReadership and Total Audience

Pass along readership: another person who reads from purchasers (e.g. doctors waiting rooms, airplanes, beauty saloons etc.)

Total Audience: Magazines X readers per copy.

Audience Research for MagazinesMedia planner is interested in the match between magazine’s readers and advertiser’s audience.Information can be available from own research and syndicated studies.

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Purchasing Magazine Advertising Space

Cost Elements Rates are primarily a function of circulation,

other variables like size of the ad, its position, particular edition, any mechanical or production requirement, and the number of frequency.

Frequency may get lower rates. Color chosen (B&W, one color, few colors,

multiple colors)

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NewspapersLargest of all advertising media in terms of volume.Important Medium due to its access and popularity.

Types of Newspapers Daily Newspapers Weekly Newspapers National Newspapers Special Audience Newspapers Newspaper Supplements

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Types of Newspapers AdvertisingDisplay Advertising General presentation uses illustration, headlines,

white space and other visual devices in addition to the copy text.

Classified Advertising Under small subheads according to the subject

matter - Classified ads and displays

Special Ads and Inserts Govt. notices, public notices, Pre-printed inserts

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Newspapers

AdvantagesExtensive penetrationFlexibilityGeographic selectivityReader Involvement and AcceptanceServices offered

Offer special services to advertiser like having merchandising staff for encouraging promotion of the product

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Newspapers

LimitationsPoor reproductionShort life spanLack of SelectivityClutter

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The Newspaper Audience Circulation is the major criteriaMatching the target audience and circulation of newspaper is difficult job.

Audience InformationBasic data for media planner is the circulation Required to rely on various researches for target audience (in developed markets, this facility is available)

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Purchasing Newspaper Space

Rates are primarily a function of circulation, other variables like size of the ad, its position, particular edition, any mechanical or production requirement, and the number of frequency.

Frequency may get lower rates. Color chosen (B&W, one color, few colors,

multiple colors)

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