INTRODUCTION TO MARKETING MANAGEMENT UINT 1

1 .MEANING OF MARKET

The term market has been derived form latin word “mercatus”

Which means to “trade”

2. MARKET DEFINTION

“Market include both place and region in which buyers and sellers are in free competition with one and another.

-pyle

3 .MEANING OF MARKETING

Market is concerned with performance of all such activities that facilitate selling.

4 .DEFINE MAEKETING

American marketing association

“Marketing is concerned with the people and the activities involved in the flow of goods and service from producer to the consumer”

5 .DEFINE MARKETING MANAGEMANT

“Management is an art of getting things done through the people”

- Maryparker

6 . MEANING OF SELLING

Selling is a narrow term that denoted only the transfer of title or ownership of goods only

Meaning:

Marketing management facilitates the activities and functions which are

involved in the distribution of goods and services.

According to Philip Kotler, “Marketing management is the analysis,

planning, implementation and control of programmes designed to bring about

desired exchanges with target markets for the purpose of achieving

organisational objectives.

Importance of Marketing Management:

.Marketing management today is the most important function in a

commercial and business enterprise.

IMPORTANCE OF THE MARKETING MANAGEMENT:

(i) Introduction of new products in the market.

(ii) Increasing the production of existing products.

(iii) Reducing cost of sales and distribution.

(iv) Export market.

(v) Development in the means of communication and modes of transportation

within and outside the country.

(vi) Rise in per capita income and demand for more goods by the consumers.

Functions Of Marketing Management

TOP SEVEN Functions Of Marketing Management.

1. Marketing Research

2. Sales Forecasting

3. Advertising

4. Sales Promotion

5. Channels of Distribution

6. Product Packaging

7. Pricing.

1. Marketing ResearchMarket research, today, has come to be a very important part of the marketing function. Market research when properly conducted and used on a regular basis is just as valuable to the manufacture.

2. Sales Forecasting:. The sales forecast is a commitment on the part of the sales department and each of its divisions of the expected sales likely to be achieved in a given period at stated prices.

3. Advertising:

Advertising is generally convey concepts about companies, goods and services by means of words, pictures, diagrams, sound, music, colour, shapes and symbol on two levels of significance-the national and the emotional.

4. Sales Promotion:

Sales promotion includes those marketing activities, other than personal selling, advertising, and publicity, such as displays, shows and exhibitions, demonstrations. The main purpose is to increase sales.

5. Channels of Distribution:

Producers generally do not sell their products directly to the final users. Between them and the final user stand a number of marketing intermediaries performing a variety of functions and bearing a variety of names. Commonly used channels of distribution are:

6. Pricing:

The price of the products is the means whereby manufacturers obtain a fair

return. All business enterprises face the task of setting a price for their products

or services. Price goes by many names, e.g., fares, tuitions, rents assessments

and plain old price.

Major Functions of Marketing Management

Selling Buying and Assembling Transportation Storage Standardization and Grading Financing Risk Taking Market Information

Selling

Selling plays a very vital part in realizing the ultimate aim of earning profit. Selling is groomed by means of personal selling, advertising, publicity and sales promotion. Effectiveness and efficiency in selling determines the volume of the firm’s profits and profitability.

Buying and Assembling

Buying It deals with what to buy, of what quality, how much from whom, when and at what price.

Assembling means buying necessary component parts and to fit them together to make a product. ‘Assembly line’ marks a production line made up of purely assembly functions.

Transportation

Transportation is the physical means through which products are moved from the places where they are produced to those places where they are needed for consumption. It creates locational utility.

Transportation depends mainly on railroads, trucks, waterways, pipelines and airways.

Storage

Storing protects the products from deterioration and helps in carrying over surplus for future consumption or usage in production.

Standardization and Grading

Standardization means setting up of certain standards. This may include quantity like weight and size or quality like color, shape, appearance, material, taste, sweetness etc. A standard gives rise to uniformity of products.

Grading means classification of standardized items into certain well defined classes or groups. It includes the division of products into classes made of units possessing similar features of size and quality.

Grading is very essential for raw materials; agricultural products like fruits and cereals; mining products like coal, iron and manganese and forest products like timber.

Financing

Financing involves the application of the capital to meet the financial requirements of agencies dealing with various activities of marketing.

Financing is required for the working capital and fixed capital, which may be secured from three sources — owned capital, bank loans and advance & trade credit.

Risk Taking

Risk means loss due to some unforeseen situations. Risk bearing in marketing means the financial risk invested in the ownership of goods held for an anticipated demand, including the possible losses because of fall in prices and the losses from spoilage, depreciation, obsolescence, fire and floods or any other loss that may occur with the passage of time.

Market Information

The importance of this facilitating function of marketing has been recently marked. The only sound foundation on which marketing decisions depend is timely and correct market information.

UNIT 2

1 .MARKETING PLAN

A marketing plan is also important for developing a promotional

Strategy as it help your business identify its target market and to set measurable goals

2 . KEY DUTIES/ RESPONSIBILITIES OF MARKETING MANAGER

- Report programs milestones

- Manage digital marketing

- Develop tools and best practise

- Develop marketing programs

3 .IMPORTENT OF MARKETING

- It helps in management by objectives

- It helps in achieving objectives

- It helps in control

- It helps the customers in getting full satisfaction

4 .MIS(Marketing information system)

MIS is one of the sub system the main objective of such system is to provide regular and timely information to the producer and enable him to take certain important decisions .

5 . SALES PROMOTION

Sales promotion is the part of promotion. Promotion refers to several demand creation activities of which sales promotion is an important one. EX : Displays, Shows, Demonstration etc.,

MARKETING PLAN

A marketing plan is also important for developing a promotional strategy as it helps your business identify its target markets and to set measurable goals.

What is Marketing Planning:

Marketing planning is a forward looking exercise, which determines the future

strategies of an organisation with special reference to its product development,

market development, channel design, sales promotion and profitability.

(OR)

What is marketing planning?The marketing planning process is a road map that analyzes the business environment, investigates potential problems, identifies threats and opportunities for growth in the industry and forecasts financial projections and returns on investment and sets budgets.

The Importance Of Marketing Planning

1. It helps in avoiding future uncertainties.

2. It helps in management by objectives.

3. It helps in achieving objectives.

4. It helps in coordination and communication among the departments.

5. It helps in control.

6. It helps the customers in getting full satisfaction.

Benefits of Marketing Planning: 1. Marketing planning promotes successful marketing operations.

2. Planning helps to co-ordinate activities which can facilitate the attainment of objectives over time. 3. It forces management to reflect upon the future in a systematic way.

4. Resources can be better balanced in relation to identified market opportunities.

5. A plan provides a frame work for a continuing review of operations.

6. Marketing planning helps to appraise performance, capitalize on strength, minimize weaknesses and threats and finally open up new opportunities.

7. Planning can be advocated to minimize the risk of failure.

8. Marketing planning reduces the adverse consequences of unfavourable circumstances beyond the influence of management.

9. A marketing plan promotes the process of communication and co-ordination between marketing department and other departments.

10. A greater preparedness to accommodate change can be stimulated.

Characteristics of Marketing Planning:

1. The success depends to a large extent upon human behaviour and response.

2. They are complicated in nature.

3. Marketing decisions have long term effects on efficiency, profitability and

market standing of the firm.

4. Marketing planning is a formal and systematic approach towards planning of

all marketing activities-product positioning, price setting, distribution channels

etc.

5. Marketing planning, as a rational activity, requires thinking; imagination and

foresight. Market analysis, market projection, consumer behaviour analysis and

marketing-guided conclusions are based on data and measurements drawn from

internal and external environments.

6. Marketing planning is a forward-looking and dynamic process designed to

promote market- oriented or consumer-oriented business actions. 7. Planning is concerned with two things: (i) Avoiding incorrect actions and (ii) Reducing frequency of failure to exploit opportunities.

Elements of Marketing planning

1.Determining objectives

2.Sales forecasting

3.procedure

4.Programme

5.schedule

6.budget

UNIT-3

Unit 3

1.Line or military type of organisation.

This is the oldest and simplest from of the organisation and is popularly known as military organisation.

The term “line” has been borrowed from the military administration this system of organisation is also known as “scaler”, “traditional”, or “hierarcial” from of organisation.

2. Functional organisation.

Under the functional type of organisation, the whole work is divided into various function such as product planning marketing research, advertising, sales promotion, etc.., each function is entrusted to a manager who is generally a specialist in that particular function.

3. Line and staff organisation.

Line and staff system is the combination of both line and functional system of organisation. This system avoids the short comings of both the system but embodies. The best points of each of them. Hence, this system is widely prevalent in most of the modern enterprises.

4. Geographical type

When business activities are expanded the market is fragmented into different sales territories as dividing national market into regions, region into districts, district into areas. This is called Geographical type of organisation.

5. Marketing decision making

Marketing decision making process refers to the different stages of decision making that a consumer under goes before after and during the purchase of product or services. It is important for a marketer to understand

what goes inside the head of consumer and how to make him/her purchase your product or service.

6. commitee organisation

According to H.G.HICKS, “A committee is a group of people who meet by plan to discuss or make a decision for a particular subject.

7. Product type

If a firm manufacture different kinds of product. A separate product manager is employed for each product.

8.Market type

This type of organisation is structured on the basis of difficult type of customer.

MARKETING ORGANISATIONAL STRUCTURE:

Organizational structure explains the positions and official relationships between various individual working in organization.

MARKETING ORGANISATION CHART:

Diagrammatic presentation of the organization structure. It shows designation & functions of personnel.

a) Line or Military Type of Organizationb) Functional Organisationc) Line and Staff Organizationd) Committee Organisatione) Geographical Typef) Market Type(Consumer oriented)g) Product Typeh) Matrix Typea) Line or Military Type of Organization

It is a simplest and oldest for types of organization. “Line of authority flow from top to bottom”(i.e) upward flow. “Responsibility flowfrom bottom to top”(i.e) downward flow.

If the labour management problems are easy to solve.

If the processes are easily directed.

.If the work is of a routine nature.

Merits:

1. It is simple to work.

2. It is easy to fix responsibility.

3. Quick communication is easy.

4. Discipline can easily be maintained.

Demerits:1. Over Loading2. Lack of specialisation3. Lack of Initiative4. Instability

c) Line and Staff Organization

The line officers are assisted by the staff that helps them in formulating strategies and plan by supplying valuable information.

Staff role like a advisory role.

Merits:

1. This type is based on specialization.

2 It brings expert knowledge of the whole concern.

3. Increased efficiency of operations may be possible

4. Mass production is possible.

Demerits:

1. -Possibility of misinterpretation

2. It is possible that the workers may misunderstand .

b) Functional Organisation

Functional organization is suitable for large scales of operations. There will be separate departments to look after different lines of

activities. Organization is divided into smaller groups based on the functional area.

Merits:

1. . Greatest use of division of labour is possible.

2. . The system is based on expert knowledge.

3. . Mass production is made by standardization .

4. . Separation of mental and manual functions is possible.

5. . Methods and operations can be standardized.

Demerits:

1. Too many experts and bosses (high officials) create confusion in the mind of

the worker.

2. It is difficult to fix responsibility on workers.

3. Discipline and morale of the workers are seriously affected, because of

contradictory orders from different experts.

4. There is heavy overhead expense.

3. Committee Organisation:“A committee is a group of people who meet by plan to discuss or make a decision for a particular subject” -H.G.Hicks

Committee organisation is widely used for the purpose of discharging advisory functions of the management.

Committees are formed in different levels of organisation. A committee is a group of people who meet by plan to discuss or

make a decision on a particular subject.

Thus group judgement is possible to attain an aimed result.

Merits:1. It stimulates co-operative action.2. It can promote better understanding.3. A problem is discussed in detail and decision taken.4. It facilitates co-ordination of activities of various departments.5. Group discussion and decision will bring better results.6. It gives demographic management.

Demerits:1. Committees are expensive.2. Committee weakens individual responsibility.3. Committee may sometimes become time-consuming rather than time-saving.4. Responsibility cannot be fixed on any person.5. It lacks secrecy. g) Product Type

Certain companies produce different varieties of products and it is

advantageous to boost the sales on the basis of product or product

groups.

A separate product manager is appointed for each product. He

attends Sales promotion, advertising, marketing research etc.,

f) Market Type(Consumer oriented)

This type of organisation is based on the different types of customers.

The enterprises have adopted customer-oriented marketing and sub-

division of markets on the basis of government and non-government

customers, industrial individual customers, rich and poor customers and

on the basis of sex, income, taste, age etc.

A firm may have different groups of customers, who have different

needs and problems.

Merits (Consumer type):

1. This type of organisation can encourage consumers with clearly defined

services.

2. This type of organisation is useful to serve different type of customers.

Demerits (Consumer type):

3. Coordination between sales and other functions of marketing is difficult.

4. More man-power is required thus expenditure is high.

H)Territorial or Regional basis

The structure is based on territorial or regional basis. When business activities are expanded, the various parts of the market

area are divided into territories. The whole world into continents, continent into regions, region into

zones, zone into districts etc. This type of organisation enjoys the knowledge of likes and dislikes of

people in the particular areas.

Merits (Geographical Type):

1. Geographic type of organisation provide opportunities for local talent to

be utilized.

2. This type of organisation improve an organization’s relationship with

customers.

Demerits (Geographical Type):

3. This type of organisation require more people to work.

4. There arise communication problems.

5. Cost of operations are high.

6. Top managers at HO find it difficult to control and supervise the

activities in different locations.

MATRIX ORGANISATION:

Suitable for large no of small projects will have to managed. It is also known as multiple command system. It has two chain of command (vertical as well as horizontal flow of

authority). Matrix organisation is also known as grid or project organisation. Matrix

organisation is created by merging the two or more complementary organisations

Merits

1. Specialized product knowledge is acquired.

2.It is economical to draw experts from various sections.

3. Expansion, improvements, diversification etc., are the result.

4. The chances of success of the project are higher.

5. It allows effective use of resources.

Demerits (Matrix type):

1. Administrative costs are high.

2. Workers under this type have to report to two bosses.

3. There arise conflicts between functional managers and project managers.

Definition: Decision Making ProcessDecision Making Process refers to the different stages of decision making that a consumer undergoes before, after and during the purchase of product or service. It is important for a marketer to understand what goes inside the head of consumer and how to make him/her purchase your product or service.

I. Problem or need recognition: The buying process starts with need recognition. The consumers identifies gap between his current state and desired state. A need can be triggered by internal or external stimuli. Internal stimuli includes personal needs experienced by the consumer, such as hunger, thirst etc.

II. Information search: In second stage, customer tries to gather as much information as possible. But it depends on how strong the need is. If the need is too strong, customer might skip this stage and go for purchase. If not, information search process begins. Information search can be categorized into internal and external research. Internal search refers to recalling past experiences with the productIII. Evaluation of alternatives: In this stage, customer evaluates all the alternatives available in the market. It either occurs separately or in conjunction with information search. The important determinant in this stage is the degree of involvement customer may have with potential product.

IV. Purchase: Actual buying of product occurs in this stage.

V. Post purchase behaviour: In this stage, consumer analyses whether product was useful to him or not, whether the product fulfilled his need or not. If the satisfaction level is high, consumer will become loyal customer of the brand. Marketer’s goal is to make sure that buyer feels positive about their purchases.

The Marketing Control Process:

Any definition of marketing control referred earlier has directly or indirectly

harped on the four stages or the elements of the control process namely, setting

of performance standards appraising of performance correcting the deviations

and reformulating the plan.

1. Setting performance standards:

The starting point in control process is setting the performance standards for

marketing operations. These performance standards are the parameters of

expected performance against which the actual marketing performance is

gauged and evaluated.

2. Appraising the performance:

Fixing of performance standards is followed by the appraisal of marketing

performance. Performance appraisal calls for collecting and collating the

information about performance, analysing it and relating it with the standards

with a view to trace deviations and lapses, if any, and the cause thereof.

3. Correcting deviations:

It is the performance appraisal that reveals the deviations or variations from the

standard performance or the planned course of action. These deviations can be

favourable or unfavourable.

Favourable deviations are acceptable deviations where actual

performance is better than the planned one and indicates the cause

or causes for the better performance.

Unfavourable deviations, on the other hand, are unacceptable

deviations indicating the bitter performance less than desired

giving the cause or causes for such short-fall in the achievement.

4. Reformulating the plan:

The final phase of marketing control process is reformulating the plan, on the

basis of the inputs provided by the marketing information system on the actual

marketing performance and its analysis and evaluation.

UNIT-4

1.Marketing Control

The marketing planning and organizing cannot be done effectively without marketing control because a good control system keeps marketing programme on track so that they can reach their goals.

Definition- Marketing Control

“Marketing Control is the process of taking steps to bring actual result and desired results closer together” -Philip Kotler

2.Marketing Audit

According to E.J.Kelly, “A marketing audit is a systematic and comprehensive appraisal of the total marketing operation, a device to use in appraising the extent of integration of the inputs and a way to identify and evaluate the assumptions underlying marketing operations”.

3.Risk

According to J.E.Boyles, risk maybe defined as, “Uncentainty in regard to cost, loss or damage”. Risk implies an element of uncertainty or possibility of loss.

4.Causes for Marketing Risks:

a)According to change in the Market:

Time Risk,Place Risk and Risk of Competitions.

b)Natural Causes

c)Human elements:

Personal Risks,Customer Risk and Risk from public Responsibility

Scope, Areas or Types of Marketing Audit

1. Marketing Environment AuditMarketing Environment Audit consists of the external environment of company. It includes natural environment, economic environment, political environment, demographic environment, etc. The marketing audit analyses the marketing consumer, competitors, suppliers, so on. This audit helps the company to make marketing strategies.

2. Marketing Strategy AuditMarketing Strategy Audit is a critical analysis of marketing objectives and strategies. It finds out whether the company's marketing objectives are clear and proper. It also examines the marketing strategies of the company. This audit is done to find out the utility of the marketing strategies.

3. Marketing Organization AuditMarketing Organization Audit is a systematic study of the company's organizational resources like manpower, organization, structure, employee training and development, Research and Development facilities, motivation, communication and working relations.

4. Marketing Systems AuditMarketing Systems Audit finds out the company's ability of collecting and analyzing data. It looks for the company's ability to plan and control the marketing activities. It also studies the company's marketing information system, planning and control system, etc.

5. Marketing Productivity Audit

Marketing Productivity Audit finds out the profitability of the company's products. It examines the markets. It also examines the measure to improve cost-effectiveness.

6. Marketing Function AuditMarketing Function Audit is a complete study of marketing functions in relation to the product, price, promotion and place of distribution. So, it is an audit of the marketing mix (4 P's) of the company

1. Outside auditorIn this method, the company can appoint an outside auditor to conduct a marketing audit. An outside-auditor must be professional, a consultant or an agency.Outside auditors conduct marketing audits for many companies. They have enough skills and experience.

2.Task force auditIn

‘Task Force Audit’ method, the company appoints a team of its own executives for conducting a marketing audit. These executives are highly experienced. They conduct the marketing audit independently. They submit their report to the top level of management.

3. Self audit

In ‘Self Audit’ method, the company appoints the marketing manager to conduct a marketing audit. Here, the marketing manager has to conduct a

marketing audit himself. This is called self-audit. Self audit must be conducted impartially by the marketing manager.

4. Audit from above

In ‘Audit From Above’ method, the company appoints a senior executive to conduct a marketing audit. This executive is mostly a director or a person who has complete knowledge about marketing.

Marketing Risk

9 Types of Marketing Risk

Marketing risk is the potential for losses and failures of marketing. This

includes risks related to pricing, product development, promotion, distribution,

branding, customer experience and sales. The following are common types of

marketing risk.

Brand Risk

A valuable brand is at constant risk of losing brand value due to competition and

failures such as a rebranding that results in declining brand awareness.

Product Development

Risks related to developing and launching a new product. Completely new

products typically have a reasonably high failure rate at launch. Product

development also involves project risk and innovation risk.

Demand Risk

The risk that demand for your products or services will fall or fail to materialize.

This can occur due to shifts in customer needs and preferences. Demand can

also suddenly fall due to an innovation that makes a product obsolete.

Concentration Risk

Dependence on a small number of products, regions or customers for your

revenue. For example, a firm that generates 80% of revenue from 5 customers.

Price Risk

Price related risk such as a price war.

Distribution Risk

Distribution risks such as channel conflict, loss of partners and inventory risk.

Operations Risk

A broad class of risks that includes anything that can potentially go wrong with

your core business processes. For example, a manufacturing problem that results

in a delayed product launch or a supply chain problem that results in poor

inventory levels.

Reputation Risk

The risk of negative events such as poor customer service damaging your

reputation. Reputation risk can be seen as a gap between how you want to be

viewed as a brand and how you behave as a firm.

Sales Risk

Risks related to sales processes. For example, a high performing salesperson

quits and is able to attract many of your biggest accounts to their new company.

.Methods of Dealing with Risk

Avoidance Avoidance is a method for mitigating risk by not participating in activities that may incur injury, sickness or death. Smoking cigarettes is an example of one such activity because avoiding it may lessen both health and financial risks. 

Retention

Retention is the acknowledgment and acceptance of a risk as a given. Usually, this accepted risk is a cost to help offset larger risks down the road, such as opting to select a lower premium health insurance plan that carries a higher deductible rate..

Sharing Sharing risk is often implemented through employer-based benefits that allow for the company to pay a portion of insurance premiums with the employee. In essence, this shares the risk with the company and all employees participating in the insurance benefits. The understanding is that with more participants sharing the risks, the costs of premiums should shrink proportionately.

Transferring The use of health insurance is an example of transferring risk because the financial risks associated with health care are transferred from the individual to the insurer. Insurance companies assume the financial risk in exchange for a fee known as a premium and a documented contract between the insurer and individual.

UNIT-V

1. Definition - Advertising:

“Advertising is any form of paid non-personal presentation of ideas,goods or services for the purpose of inducing people to buy” -Weeler

2. What is Advertising Management:

Advertising Management is a planned managerial process and designed to control the various advertising activities’

3. What is Advertising Strategy:

Advertising strategies include elements such as geographic location, perceived demographics of the audience, price points, special offers, and what advertising media, such as billboards, websites, or television, will be used to present the product.

4. What is Advertisement copy:

“An advertisement copy refers to the reading matter that forms the text consists of only one word or of many thousand words”.

5. What is Advertising Media:

Advertising media refers to the various media channels through which advertising is done. Advertising media is used for showcasing promotional

content which communicated in various forms such as text, speech, images, videos using TV, radio, online, outdoor etc.

2.OBJECTIVES ADVERTISING:

a. finds new users,b. supports salesmen,c. increases profit,d. reaches customers who would otherwise be inaccessible to sales staff, and e. tells the public, the good qualities of the product, i.e., why people should purchase only this brand.vii. Advertising convinces retailers that they should keep the products of that company.viii. Advertising creates a confidence in the minds of buyers regarding quality of those goods or products.ix. Advertising builds up reputation for the company goods and services.

(OR)

3.Objectives of Advertising

1. Brand building – Advertising helps in the establishment and promotion of a brand in the existing market. It also aids in the creation of new market for the brand. With the help of audio-visual advertisements, you can also reminding and reinforce the brand message into your target customers’ mind.

2. Creation of demand – One of the main objectives of advertising is that it persuades the customers to buy and use a particular product. Hence, advertising also contributes in creating brand awareness and demand. Also, advertising is the best option for promotion when it comes to launch of a new product or service. Effective and convincing advertisements do not only help establish a brand identity but also persuade competitor brand’s customers to switch to a new brand.

3. Informing Customers about a Product, Company or Service – Advertising is also a strong medium of communicating about product, company or service. Companies can tell about features, qualities or unique characteristics of their product or service in the advertisement.

4. Promoting a Particular Feature – Specific objectives of companies can also be fulfilled with the help of advertising. Building up more positive customer attitudes, beating negative promotion, extending customer base, creating comparison in customer’s mind and various other particular objectives can be attained by making a specific advertisement for the same.

5.Achieve sales and profit goals – Advertisements create awareness about a brand and help in increasing the demand for a product or service. The increased demands results in increased sales and so, profit goals of a company are attained with the help of advertising Importance of Advertising

Advertising plays a very important role in today’s age of competition. Advertising is one thing which has become a necessity for everybody in today’s day to day life, be it the producer, the traders, or the customer. Advertising is an important part. Lets have a look on how and where is advertising important:

4.Importance of Advertising

1. Product Launch – The foremost aim of advertising is promotion. Hence, advertising is essential, especially for a new product that has to be launched in the market. Advertising helps convey the information regarding launch of the new product.

2. Retain the existing customers – It is essential that customers keep following, buying and using your brand. And this is where advertising helps companies again! It keeps on reminding the customers about the brand and so, helps in retaining the customers and increasing the sales.

3. Brand Promotion – Promotion is quintessential if any brand wants to stay in the market. This goal is achieved with the help of advertising which promotes a product, company or service. When a brand gets established with the help of advertising, it becomes a promise of quality and the customers start expecting from a brand. Thereafter, the stage arises where advertising starts acting as a reminder. It reminds and convinces customers that their chosen brand is still there.

4. Educates people – Advertising is not only about promotion! It also educates people and makes the society aware about various issues. Many social issues like female foeticide, child labor, child abuse, etc., are also raised thorough sensible advertisements. Thus, advertising also helps in educating people and spreading awareness.

5. Comparison – Advertising also provides the opportunity of comparing various products to the customers. Based on features, qualities or specifications described through advertising, customers can take their pick on the available products.

5.What is Classifications/type of Advertising Media:

a)Direct Advertising

b)Indirect Advertising

A)Direct Advertising:

1.Cards b)Sales Letters c)Circular and Leaflets d)Catalogues,Book-lets and Brochurs e)Folders f)House Organs g)Calenders h)gifts,Diaries etc.,

B).Indirect Advertising:

1.Press Advertising i)Newspaper ii)Magazines

2.Radio Advertising

3Film Advertising

4.Television Advertising

5.Outdoor Advertising

i)Posters ii)Painted Displays iii)Electric Light Arrangement iv)Neon signsv)Travelling Displays v)Field signs vi)Sandwich Men vii)Sky Advertising viii)Hand Bills

6.Point of purchase Advertising

i)Window Display ii)Show Rooms iii)Exhibitions iv)Counter Displays

6.Types of Advertising Strategy

Motivation Strategies

'Utility' Strategy: Advertising as a service - advertising that adds value by helping people achieve their goals (value = ability to meet my goal/cost (money, time, effort). e.g. Tesco HomePlus

Modelling' Strategy: Using aspirational high-profile personalities - celebrities and experts - to inspire or inform behaviour. e.g. George Clooney Nespresso campaign

'Reframing' Strategy: Ads that reframe a target behaviour a positive light, by tapping into pre-existing assumptions and behaviour. e.g. Reframing carrots as junk food

Evocation' Strategy: Ads that stir powerful emotions to motivate behaviour. e.g.Google's 'Dear Sophie' campaign for Chrome

'Ownership' Strategy: Inviting the audience to be part of the campaign, so they own it as their own (endowment effect) e.g. Share a Coke campaign

'Collectivism' Strategy: Reinforcing or creating social norms of appropriate and desirable behaviour. Dove Campaign For Real Beauty Evolution Sketches

'Play' Strategy: Making the desired behaviour enjoyable by embracing the principles of structured play or gamification. e.g. Speed camera lottery campaign

Ease Ad Strategies

'Skill-up' Strategy - ads that show someone either how to do a target behaviour, or how to do it more easily. e.g. Amazon's Echo campaign

'Eliminate-Complexity' Strategy - ads that remove or reduce barriers - real, imaginary or anticipated - to undertaking a target behaviour, making it as effortless as possible. e.g. Westpac's Impulse Saver Campaign

'Commitment' Strategy - ads that invite an initial small action that is consistent with the target behaviour. e.g. Transport Accident Commission SpeedKills campaign

7.ESSENTIALS OF A GOOD ADVERTISEMENT COPY

An ad copy is made of various principles, all of which are integrated into a few lines of the copy that the advertisers are allowed to engage.

Credibility- An ad copy must focus on the credibility or the reliability of the ad. The copywriters should essentially flaunt an element of reliability in the ad so that the consumers are convinced to go ahead with the product. The credibility of an advertisement is the extent of honesty in the ad message. Misleading and misinterpreted ads harm the reputation of the selling house.

Attention- The keywords, punch lines or phrases that seize the attention of the potential consumers or some component in the ad that attracts the target audience is essential in a good advertising copy.

Assurance of benefit- An advertisement copy must contain some promise of the benefits that the product offers if the consumer purchases and uses the product.

Brief and clear- An ad copy must be brief and clear, i.e. it must be to the point. It doesn't mean that the copy must omit the important elements of the ad. A clear copy is easy and quick to be read by the readers. It is self-explanatory, definite, and precise. Clarity makes way for interpretation.

Apt and conforming- The copy must be apt and must match the needs of the prospects. A copywriter has to use the most suitable USP. Every ad copy must meet the conforming standards and rules acceptable to the advertising media and the laws of the land. A copy that offends the morality challenges religious beliefs of the people is not welcomed by any media.

8.Measures of Effectiveness of Advertising:

Sales Response Communication Response

Sales Response

Statistical studies Mathematical Models

Communication Response

Enquiry test Couponing Split run test

Recognition test Recall test Attitude test

4 step model to effective advertising

1. Clearly define your business goal2. Identify the specific behaviour change required to achieve goal3. Select one of ten behavioural strategies ('action spurs') that will facilitate

this behaviour change4. Develop a creative idea based on the selected 'action spur'