We Will Discuss
A.) Difference between Advertising and Marketing
B.) What is Advertising
C.) Nature of Advertising
D.) Feature of Advertising
E.) Importance or Role of Advertising
F.) Objective of Advertising
G.) Scope of Advertising
H.) Benefits or Advantage of Advertising
I.) Disadvantage of Advertising
J.) Key Players of Advertising
A.) Difference between Advertising & Marketing
Advertising | Marketing |
Advertising Is Just One Slice of the Marketing | Marketing include advertising and other factor also. |
Advertising include promotion of product. | It is the process of Create, communicate, Delivers Value to Customer. |
Short Term | Long Term |
Aware and create interest to buy the product | Attracts Customer Organically |
Create awareness | Generates Sales |
Example of Advertising and Marketing
The company noticed that the roads in India were damaged, due to which people had trouble in traveling. For this company introduce a motorbike that they travel hassle-free. In this company first, discover the needs or wants of the consumers and, then create a product, after then they communicate ( means Advertising ) and, then deliver the product to the customer.
B.) What is Advertising
Advertising work as a source of communication between the customer ( the user of product and services ) and the advertiser.
Advertising is the means of informing and influencing a vast audience to buy a product or service through visual (seen), oral, or written messages.
Advertising is the action of calling public attention.
Definition of Advertising
According to Kotler - Advertising is any paid form of non-personal presentation ( not for an individual ) & promotion of ideas, goods, or services by an identified sponsor.
According to Advertising Association of the UK - Advertising is any communication, usually paid-for, specifically intended to inform and/or influence one or more people.
Requirement of Advertising
A business that wants to step into markets and make a mark definitely needs advertising. There is hardly any organization that does not advertise these days. Advertising can be done through various media such as newspaper, magazines, television, radio, posters, hoardings, billboard and in recent times, the internet.
C.) Nature of Advertising
1.) Attention seeker
2.) Has a unique selling proposition
3.) Consumer-oriented
4.) Uses various media
5.) Paid Form
1.) Attention seeker
The term ‘advertising‘ brings from the Latin word ‘advertere’ meaning ‘to turn the attention’ each piece of advertising attempts to hunt the eye of your audience towards a product or service.
2.) Has a unique selling proposition
Usually, the advertiser needs to have a unique selling proposition (USP). This unique selling proposition makes the merchandise or service stand out of the gang. Advertising attempts to influence the audience through different kinds of appeal.
3.) Consumer-oriented
Advertising expands the knowledge of consumers. With this nature of advertising, consumers can have the skills to know the products, brands, or services that exist within the market. Every product or service is made for consumer satisfaction.
4.) Uses various media
Alone from print platforms like newspapers and magazines, its presence can now even be seen in audio, visual platforms like films, hoardings, banners, flags, promotional campaigns, nowadays the internet, web, so on...
5.) Paid Form
Only that attempt of the seller on which he/she has spent some money to communicate information to the consumer is called advertising. Whatever may be the media each medium and media vehicle cost the advertiser.
D.) Feature of Advertising
1.) Paid Form
2.) Impersonal Presentation
3.) Speedy and Mass Communication
4.) Target oriented
1.) Paid Form
Only that attempt of the seller on which he/she has spent some money to communicate information to the consumer is called advertising. Whatever may be the media each medium and media vehicle cost the advertiser.
For example :- If an editor of some magazine, on his own, publishes news about a particular product, it will convey to the consumers necessary information regarding that product but no expenditure has been incurred by the seller for this publication.
As such, it cannot be called advertising. It may be called propaganda or publicity. Thus, any information about a product communicated free of cost cannot be termed as advertising.
2.) Impersonal Presentation
Advertising is non-personal presentation of information. In other words, it is not for an individual. Advertising cover mass population.
3.) Speedy and Mass Communication
Advertising is a speedy medium of communication. Besides being speedy, its operational area is extremely vast. In other words, it reaches many people simultaneously.
4.) Target oriented
Advertisements focused upon the needs and want of target customers and markets. Advertisements depict target customers and markets
For example :- protein health drinks like Horlicks, Complain, etc., are targeted towards children, focusing upon parent's emotions, pointing towards excelling in studies, sports, and beating the competition.
E.) Role and Importance of Advertising
1.) Spreading Awareness
2.) Popularizing a Brand
3.) Increasing Demand
4.) Increased Profit
5.) Maintains the existing market
6.) It acts as salesman
7.) Reduces his burden of job
8.) It is a driving-force in decision-making
1.) Spreading Awareness
Advertisements aware people about new or existing products and services in the market that will accomplish their needs or solve their problems. A typical advertisement will tell you what the service or product is, where it can be bought, for how much, by whom, why it should be bought so on.
2.) Popularizing a Brand
Think about all the famous manufacturers you recognize, which includes coca-cola or McDonald's. These manufacturers come out of the group and make their name a brand because they applied the phenomenon of advertising nicely.
3.) Increasing Demand
The target Customer of advertisements is typically big, whether you’re advertising in Newspapers, magazines, BillBoards, radio, or television. A well-maid or delivered advertisement will satisfy the public that they should buy the product or try it at once.
4.) Increased Profit
Advertisements are displayed too large groups of people at the same time. This means, even with a low conversion rate, many people will end up buying your products eventually. If you execute your advertisement well, you will get a good conversion rate and great sales. Increased sales, of course, mean increased profits.
5.) Maintains the existing market
A forward-looking company or a going concern always has its eyes on future business prospects that it cannot be going to lose a place in the current position. A company’s success is shown not only in creating a market but also in its maintaining and expansion as per the changing environment.
6.) It acts as salesman
Sometimes Advertising has been rightly described as salesmanship. What a traveling salesman does, he sells goods and services at the doorstep by convincing the customer. That is why most retail organizations do not employ a large army of the traveling salesman, as they advertiser their products to their customers.
7.) Reduces his burden of job
In case the salesman alone is asked to accept the challenge of selling, it goes very difficult. In the absence of advertising, he is forced to play a double role. One role is advertising another is selling.
Advertising produces public interest, wins confidence, and promotes strong faith. With such a ready background, the salesman can perform his task easily.
8.) It is a driving-force in decision-making
In the present day, products and services are complex. There is a large number of products and services available in the market. The largest possible varieties of products to such an extent that the consumers are confused to decide which product will be better for them. Further, each producer claims that his products are the best.
F.) Objective of Advertising
1.) Introduce a product
2.) Spreading Awareness
3.) Brand building
4.) Maintains the existing market
5.) Acquiring customers
6.) Value Creation
1.) Introduce a product
Advertising is most commonly used for the introduction of a new product in the market. There are so many advertisements for the latest phone, refrigerator, television, etc. It does not matter that there is a new or existing company they all need advertising to launch their new product.
2.) Spreading Awareness
Advertisements aware people about new or existing products and services in the market that will accomplish their needs or solve their problems. A typical advertisement will tell you what the service or product is, where it can be bought, for how much, by whom, why it should be bought so on.
3.) Brand building
Think about all the famous manufacturers you recognize, which includes coca-cola or McDonald's. These manufacturers come out of the group and make their name a brand because they applied the phenomenon of advertising nicely.
4.) Maintains the existing market
A forward-looking company or a going concern always has its eyes on future business prospects that it cannot lose place of the current position. A company’s success is shown not only in creating a market but also in its maintaining and expansion as per the changing environment.
5.) Acquiring customers
The objective of advertising is not only to introduce the product or create awareness about a new product but also to acquire more customers for company growth. Acquire the customer is not an easy task because they are already habitual of other products. So the advertiser has to pass a strong message to the customer to switch customer brands.
6.) Value Creation
Creating value is not an easy task. It requires time and a lot of effort from the company. The company can sell out their product with the help of advertisements. But a company that provides a quality product at less price can create its value in front of its customers.
G.) Scope of Advertising
1.) Message
2.) Media
3.) Organization or Advertiser
4.) Product
5.) Advertising agencies
6.) Competitor
7.) Art as well as science
8.) Activities
1.) Message
Advertising carries a message of the product. The message may be visual or oral or written. It is designed in a systematic and psychological manner to influence the prospective customer.
2.) Media
A large number of advertising media, with their respective advantage, disadvantage, cost, and benefit are available. The selection of media should be made based on the type of customer to be approached and the capacity of the organization to bear the cost.
3.) Organization or Advertiser
It is who, which need advertisement to sell this product or services. Because advertisements create demand, provide messages or information, Influence the prospective customer, and that all helps a company to sell its product or service.
4.) Product
Advertising covers the attributes of the product & services. Product and services to be sold have its advantage and disadvantage. The advertiser should show the attributes of the product and avoid the criticism of a similar product of the competitors.
5.) Advertising agencies
Advertising agency plays an important role because the advertising agency makes an effective and innovative advertisement which attracts customers and customers to get that product. Advertising agencies help people in understanding the merits and demerits of a company product or service. An advertising agency is one which makes awareness about the company’s product through advertisements. He has to be very cautious in selecting his advertising message and method. This can influence people negatively.
6.) Competitor
A company's product or service is shown as better when compared to a competitor's. A comparative advertising campaign may involve marketing a side-by-side comparison of the features of a company's products next to those of its competitor. It may also feature comparison based on price or Quality.
7.) Art as well as science
Advertising is considered to be an art as well as a science because it has some of the characteristics of both. It is an art because of the advertiser employs his creative abilities. It is a science because of no. of media, technology, method, the technique used to create an advertisement.
8.) Activities
It is a continuous activity. Activities included under advertising and Mass Communication carrying message developing Impressions and image building and so on. These activities are performed by the advertiser economically, effectively and regularly.
H.) Benefits of Advertising
1.) Launch of a new product
2.) Increases markets
3.) Mass sales
4.) Keeps the competitive spirit alive
5.) Creates goodwill
6.) Consumer awareness
1.) Launch of a new product
Advertising plays a highly significant role in the introduction of a new product on the market. It encourages people to buy or know about a new product. Without the help of advertising no, one will be aware of the new product launched in the market.
2.) Increases markets
It helps the manufacturers to expand their markets. It opens the horizons for new markets for the product or service. Advertisement not only create new customer but it also helps to expand the new locations for the company.
3.) Mass sales
Advertising facilitates mass production to goods that ultimately results in a raised volume of sales. There is a direct link between advertisements and sales. The more advertisements we do the more sale will take place.
4.) Keeps the competitive spirit alive
Advertising helps in keeping the competitors at the end. It keeps a regular check on the performance of the brand or product. Advertising help the company to come out of the group and help to create its own brand. A perfect advertisement helps the company to uplift its brand from its competitor.
5.) Creates goodwill
Advertising builds goodwill for a brand. Advertising is a central root through which the audience gets to know about a brand or product. If a company is spending on the advertisement, it means they want to make their consumers aware. This increases the goodwill of a brand.
6.) Consumer awareness
Advertising is educational and dynamic. It educates the customers about the new products and their diversifications. It helps them to know all the variants available in the market and which one will fit for them. Every customer has his taste and it differs from person to person. Advertisement helps them to choose the right product for them.
I.) Disadvantages of Advertising
1.) Deferred Revenue Expenditure
2.) Misrepresentation of Facts
3.) Increased Cost
4.) Advertising helps to sell bad products
5.) Wastage of National Resources
6.) Survival of Small Companies
1.) Deferred Revenue Expenditure
It is a deferred revenue expenditure, as the results are not immediate. As advertising occupies a substantial portion of the total budget of the organization. Hence, investing a large sum in it does not necessarily yield immediate results thus limiting its utility.
2.) Misrepresentation of Facts
A major drawback of advertising is the misrepresentation of facts regarding products and services. Advertisers usually misrepresent the unreal/false benefits of a product. They come to realize later that the description given in the advertisement was something else whereas the actual product was quite different from it.
3.) Increased Cost
An organization has to spend a large cost on advertising. It increases the expense of the products. To meet this expenditure, the price of the product is increased. No manufacturer of goods or services pays for the advertising expenses out of his pocket. Therefore advertising leads to an unnecessary rise in prices of goods or services. Advertising costs are passed on to consumers in the form of high prices.
4.) Advertising helps to sell bad products
Usually, miracle products that claim they can cure rapidly everything from bad breath are heavily advertised. Consumer’s choice is greatly affected by the advertisement. Advertisement reduces competition among the competitor because not every company can advertise there product. Big industrialists and manufacturers have a huge budget with them so they can advertise easily.
5.) Wastage of National Resources
Products have their life period. Day by day new products gets launched by the company with minor changes. These products attract the customer to buy the new one in place of the old product. Sometimes the product is changed before the end of its normal period of usefulness.
6.) Survival of Small Companies
The advertisement makes it difficult for a small organization to uplift in society. They have to struggle a lot to make the customer aware of their products. They face difficulty to sell their product because another Big player is having a major share of the market.
J.) Key Player of Advertising
1.) Advertiser
2.) Advertising Agency
3.) Media
4.) Suppliers
5.) Target Audience
6.) Government Authorities
1.) Advertiser
The advertiser is the company whose product or service is going to be promoted through advertising. The result of the final advertisement is going to benefit him the most as it's his brand whose future depends upon the nature of the advertising.
2.) Advertising Agency
Whenever an advertiser will get affected the most positive or negative it's the advertising agency that plays the greatest role in creating the impact of the advertisement. In other words, the advertising agency is responsible for the degree of the effectiveness of the advertisement, the outcome of which will make or break the brand. Advertising Agency like......
A. CRAYONS ADVERTISING Crayons Banners
Crayons Advertising has expertise in advertising brand management, branding, film production, events, digital, media, and out of home services.
Clients: SBI, Delhi Police, Indira IVF, J&K Tourism, Kajaria, among others.
B. JWT INDIA
JWT India offers services for brand building, digital transformation, social and sector expertise. They also provide trends and insights on cultural shifts to their clients.
Clients: Apollo Hospital, Hero Honda, Star news, Standard Chartered, Ministry of Finance, Ministry of Defence, Pepsi Foods, 20th Century Fox, Van Heusen, Hero Motors, and Parle etc..
3.) Media
The third player in the advertising world is media. The media player is composed of the channel of communication that carries a message from the advertiser to the audience and in the case of the internet it carries a response from the audience back to the advertiser.
4.) Suppliers
The fourth player in the world of advertising is the group of service organizations that assist advertisers, advertising agencies, and media in creating and placing the ads.
They provide specialized services like artist, writer, photographer, directors, producers, freelancer, consultants and so on
5.) Target Audience
All advertising strategies start with the identification of the customer or prospective customer, the audience of the advertising message.
The task of learning about the target audience is difficult and takes no. of hours to accomplish. The data-gathering technology that not only reduces the time but also improves the accuracy of information about the customer.
6.) Government Authorities
The business of advertising is regulated by the government department. The government adopts law and regulation which have a direct and indirect bearing on the advertising. Apart from this ASCI ( Advertising Standards Council of India ) and ABC ( Audit Bureau of Circulation ) are also some of the authorities regulating advertising.
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