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A study on Impact of Advertising Strategies of Nokia
Cellular Phones ��
A DISSERTATION PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF
MBA DEGREE OF BANGALORE UNIVERSITY
SUBMITTED BY
VIJAYA KUMAR N C Reg. No – 03XQCM6118
UNDER THE GUIDANCE OF
Mr. B .SRINIVASAN
PROFESSOR, MPBIM (INTERNAL GUIDE)
M. P. BIRLA INSTITUTE OF MANAGEMENT (ASSOCIATE BHARATIYA VIDYA BHAVAN)
# 43, Race Course Road, BANGALORE – 560001 Tel: 080-22382798, 080-22389635
(2003-2005 Batch)
DECLARATION
I hereby declare that the research work embodied in this dissertation entitled
“A study on Impact of Advertising Strategies of Nokia Cellular Phones”
has been carried out by me under the guidance and supervision of
Mr.SRINIVASAN, Professor (Internal Guide), M.P.Birla Institute of
Management, Bangalore.
I also declare that this dissertation has not been submitted to any other
university/ Institution for the award of any other Degree/Diploma.
Place: Bangalore
Date: 17th June 2005 (VIJAYA KUMAR N C)
Reg No: 03XQCM6118
Certificate
This to certify that this report entitled “A study on Impact of
Advertising Strategies of Nokia Cellular Phones ”, has been prepared by
Mr. VIJAYA KUMAR N C, M P Birla Institute of Management in partial
fulfillment of the award of the degree, Master of Business Administration at
Bangalore University, under my guidance and supervision.
This report or a similar report on this topic has not been submitted for
any other examination and does not form a part of any other course
undergone by the candidate.
Place: Bangalore
Date: (MR. B.SRINIVASAN)
Professor, MPBIM
Bangalore
Certificate
I hereby certify that this dissertation is an offshoot of the research
work undertaken and completed by Mr.Vijaya Kumar N C under the
guidance and supervision of Mr. B.Srinivasan, Professor, (Internal Guide)
MPBIM, Associate Bharatiya Vidya Bhavan, Bangalore.
Place: Bangalore
Date: (Dr. N.S. Malavalli)
Principal MPBIM, Bangalore
ACKNOWLEDGEMENT
I sincerely thank Dr. Nagesh Malavalli (Principal), M.P.Birla
Institute of Management, Bangalore for granting me the permission to do
this Research Project.
I would like to express my immense gratitude to Mr.B.Srinivasan,
Professor, (Internal Guide), M.P.Birla Institute of Management, Associate
Bharatiya Vidya Bhavan, Bangalore for his guidance, continuous
encouragement and valuable suggestions at every stage of the project.
I would like to express my indebtedness to Prof. Santhanam
(Professor), M.P.Birla Institute of Management, Associate Bharatiya Vidya
Bhavan, Bangalore for his valuable suggestions and encouragement which
are imperative for the completion of this project.
I extend my deep sense of gratitude to all my family and friends who
have directly or indirectly encouraged and helped me to complete my project
successfully.
I would like to extend my thanks to all the unseen hands that have
made this project possible.
Place: Bangalore
Date: 17th June 2005 (Vijaya Kumar N C)
CHAPTERS
CONTENTS
PAGE NO’S
EXECUTIVE SUMMARY
1
1
INTRODUCTION
2
��Problem statement
��objectives of the study
��scope of the study
��operational definitions
2
INDUSTRY PROFILE
3-13
��Companies Profile 3-6
��Product profile 7-13
3
REVIEW OF LITERATURE
14-21
4
RESEARCH METHODOLOGY
22-24
��Research approach
��Type of Research
��Research Method
��Data gathering tools
��Population of the study
��Sampling plan
��Cross sectional study
��Data analysis
��Duration of the study
��Limitations of the study
5
DATA ANALYSIS AND INTERPRETATION
25-49
6
SUMMARY OF FINDINGS/CONCULSIONS/ 50-51
List of Tables and Graphs
TABLE NO
TITLE
PAGE NO’S
1 Indicating the Brand Awareness 25
2 Showing the Medium through which the Brand
Awareness was created 26
3 Indicating the number of respondents owning Nokia
Cellular phones 27
4 Showing reason to purchase the product 28
5 Indicating the medium of advertisement through which respondents came to know about the Nokia Brand.
29
7 Showing the medium of advertisement that reaches maximum people
30
10 Showing the feelings created on the viewers 31
11 Showing the Brand Image 32
13 Showing the segment of the people. 33
15 Indicating Amount of information 34
17 Showing whether advertisement make the viewers to see again
35
20 Showing whether the viewers recall advertisement. 36
21 Showing best time period of the time spent for the family. 37
22 Showing frequency of the advertisement 38
23 Showing culture in the advertisement. 39
24 Showing any other media available to advertise Nokia
Cellular Phones. 40
25 Showing use of celebrities. 41
27 Indicating sharing of information 42
28 Showing style of the advertisement 43
29 Showing tone of the advertisement. 44
30 Showing words used in the advertisement. 45
TABLE NO
TITLE
PAGE NO’S 31 Showing the competitors of Nokia Cellular Phones. 46
32 Showing competitors effectiveness. 47
EXECUTIVE SUMMARY
This report titled “IMPACT OF ADVERTISING STRATEGIES OF NOKIA
CELLULAR PHONES” is submitted in partial fulfillment of the requirements for the
degree of Master of Business Administration of Bangalore University.
This study is an attempt to understand the impact of advertising of Nokia Cellular
Phones. It also tries to evaluate the advertising effectiveness in establishing brand
patronage among the viewers.
The objective of this study is To analyze the advertising effectiveness on consumers of
Nokia Cellular Phones, to analyze the different medium through which the advertisement
reaches maximum number of people in the market, to analyze the strategies that the
company should adopt such that the viewers turn into consumers, to know the present
status of the competitors of Nokia Cellular Phones in terms of advertisement.
The survey was conducted among the college students because the market for cellular
phones is huge. Questionnaire were prepared and distributed to get the suggestions about
the effectiveness of advertisement of Nokia Cellular Phones. By the survey, we came to
know about the various media that has to be used greater number of people in the market
and the strategies that has to be used for making the advertisement more effective when
compared to its competitors.
From the conclusion of this study we can come to the know what strategies can be
adopted such that the advertisement of Nokia Cellular phones can be made more efficient
when compared to their competitors. The medium of advertisement that has to hire
through which we can reach maximum number of people. The style, word and tone that
has to be used in the advertisement that attracts more number of people. The type of
feeling that is created by the advertisement and the strategies to adopt that attract the
people toward those feelings.
STATEMENT OF THE PROBLEM
“TO STUDY THE IMPACT OF THE ADVERTISEMENT STRATEGIES OF
NOKIA CELLULAR PHONES.”
In this market which is full of competitors, we would like to know the strategies that
help us to beat our competitors. This study helps us to know how we can over come our
competitors with regard to advertisement.
OBJECTIVES OF THE STUDY:
1. To analyze the advertising effectiveness on consumers of Nokia Cellular Phones.
2. To analyze the different medium through which the advertisement reaches
maximum number of people in the market.
3. To analyze the strategies that the company should adopt to turn viewers into
consumers.
4. To know the present status of the competitors of Nokia Cellular Phones in terms of
advertisement.
5. To analyze what the viewers expect from the advertisement in present generation.
SCOPE OF THE STUDY:
The study is conducted with respect to Nokia Cellular Phones. Due to time and
resource constraints, this study is focused on College Students. This study helps us to
know how we can over come our competitors with regard to advertisement.
OPERATIONAL DEFINITIONS:
The definitions committee of the American Marketing Association has defined
advertising as, “Any paid form of non-personal presentation of idea, goods or service by
an identified sponsor.”
NOKIA
From its inception, Nokia was in the communications business as a manufacturer of
paper- the original communications medium. Then came technology with the founding of
the Finnish Rubber Works at the turn of the 20th century.
Rubber and Associated Chemicals were leading edge technologies at that time.
Another major technological change was the expansion of electricity into homes and
factories which led to the establishment of the Finnish Cable Works in 1912 and, quite
naturally, to the manufacture of Cables for the telegraph industry and to support that new-
fangled device – the telephone.
After operating for 50 years, an Electronics Department was set up at the Cable Works
in 1960 and this paved the way for a new era in telecommunications. Nokia Corporation
was formed in 1967 by the merger of Nokia company – the original paper – making
business – with the Finnish Rubber Works and Finnish Cable Works.
Design has always been important at Nokia and today’s mobile phones are regarded as
a benchmark for others to follow. Take, for example, multi-coloured, clip-on facias which
turned mobiles into a fashion item overnight.
But Nokia has always thought like that and back in the fashion conscious 1960’s when
one branch of the corporation was a major rubber manufacturer, it hit on the idea of
making brightly coloured rubber boots at a time when boots followed the Henry Ford
principle – you could have any colour, so long as it was black!
The 60’s, however, were more important as the start of Nokia’s entry into the
telecommunications market. A radio telephone was developed in 1963 followed, in 1965,
by data modems – long before such items were even heard of by the general public.
In the 1980’s, everyone looked to micro computers as t he next ‘big thing’ and Nokia
was no exception as a major producer of computers, monitors and T.V. sets. In those
days, the prospect of High Definition T.V., Satellite Connections and text services fuelled
the imagination of the fashion conscious homeowner.
In the background, however, changes were afoot. The world’s first international
cellular mobile telephone network, NMT, was introduced in Scandinavia in1981 and
Nokia made the first car phones for it. True enough, there were ‘transportable’ mobile
phones at the start of the 80’s but they were heavy and huge. Nokia produced the original
hand portable in 1987 and phones have continued to shrink in inverse proportion to the
growth of the market ever since.
It took a technological breakthrough and a change in the political climate to create the
wire-free world people are increasingly demanding today. The technology was the digital
standard, GSM, which could carry data in addition to high quality voice. In 1987, the
political goal was set to adopt GSM throughout Europe on July 1st 1991. Finland met the
deadline, thanks to Nokia and the operators.
Politics and technology have continued to shape the industry. The 80’s and 90’s saw
widespread deregulation which stimulated competition and customer expectations. Nokia
changed too and in 1992 Jorma Ollila, then President of Nokia Mobile Phones, was
appointed to head the entire Nokia group. The Corporation divested the non-core
operations and focused on telecommunications in the Digital Age. Few people in the
early 90’s would have thought that ‘going digital’ would change things so much.
2001 and into the Future
Nokia is harnessing its experience in mobility and networks to generate a startling
vision of the future. Meeting rooms, offices and homes will be ‘smart’ en ough to
recognize their human visitors and give them whatever they want by listening to their
requests.
Nokia welcomes change and improvement and can embrace new ideas at great speed.
Such characteristics will never change but, as to the rest, the story has only just began!
During the past few years Nokia has been actively acquiring companies with interesting
new technologies and competencies, including also investments in minority positions. All
of these acquisitions and investments were targeted to enhance Nokia’s ability to help
create the mobile world.
During the past few years Nokia has been divesting businesses which have not been a
critical component to our vision of the Mobile World. This strategy has enabled Nokia to
focus on shareholder value by concentrating on the core competencies and business areas
where we see the most value added and the best growth opportunities.
NOKIA FIRST IN TELECOMMUNICATIONS
The world’s first international cellular mobile telephone network NMT was opened in
Scandinavia in 1981 with Nokia introducing the first car phones for the network. The
world’s first NMT hand portable, the Nokia cityman was launched in 1987.
Year 2003:
Nokia announce that the world’s first CDMA 2000® 1xEV -DV high speed packet
data phone call was completed at Nokia’s CDMA Product Creation Centre in San Diego.
The call, achieving a peak data rate of 3.09 Mbps, was made between a test set based on a
commercially available Nokia 2285 handset upgraded with a Nokia 1xEV-DV chipset
and a Racal Instruments, Wireless Solutions Group, 1xEV-DV base station emulator.
This chipset is the world’s first to support complete 1xEV -DV Release C functionality.
Year 2004:
Using Nokia’s CDMA Dual -Stack handset, Nokia demonstrated the Industry’s
first Mobile IPv6 call at the 3G World Congress Convention and Exhibition in
November. The demonstration highlighted real-time streaming video with seamless hand
off between two CDMA access networks using Mobile IPv6.
Nokia announced the Nokia NFC (Near Field Communication) shell, the latest
step in the development of innovative products for mobile communications, in
November. With the Nokia NFC shell on their phone, consumers will be able to easily
access a variety of services and conveniently exchange information with a sample touch
gesture utilizing NFC technology.
In October Nokia and Telia Sonera Finland successfully conducted the world’s
first EDGE-WCDMA 3G packet data handover in a commercial network. Achieving a
first for the Asia-Pacific region, Nokia, Media Corp Technologies, M1 and the Media
Development Authority of Singapore jointly showcased a live end-to-end mobile phone
TV broadcast over a DVB-H (Digital Video Broadcast – Handheld) network at the Nokia
Connection event in Singapore.
Nokia and Texas Instruments Incorporated introduced the first pre-integrated and
validated series 60 Reference Implementation based on TI’s OMAP (TM) processor -
powered reference design in February. The reference implementation is available
immediately to series 60 licenses.
Year 2005:
The Nokia 6630 imaging smart phone has as the first device in the world achieved
global GCF 3G WDCMA certification. The certification was achieved based on the
requirements defined by Global Certification Forum (GCF), an independent industry
body which provides network compliancy requirements and testing for GSM / WCDMA
mobile devices.
SBS Finland’s Kiss FM became the first radio station in the world to begin Visual
Radio Broadcasts. The unique new concept developed by Nokia offers the listeners the
possibility to give feedback and to participate in programs easier than ever before.
Nokia introduced a new product for secure mobile contactless payments and
ticketing. The world’s first Near Field Communications (NFC) product for payment and
ticketing will be an enhanced version of the already announced Nokia NFC shell for
Nokia 3220 phone.
CELLULAR
A type of wireless communication that is most familiar to mobile phones users. It’s
called ‘Cellular’ because the system uses many base stations to divide a service area into
multiple ‘Cells’. Cellular cells are transferred from base station to base station as a user
travels from cell to cell.
The basic concept of cellular phones began in 1947, when researchers looked at crude
mobile (Car) phones and realized that by using small cells (range of service area) with
frequency reuse they could increase the traffic capacity of mobile phones substantially.
However at that time, the technology to do so was nonexistent.
Anything to do with broadcasting and sending a radio or television message out over
the airwaves comes under Federal Communications Commission (FCC) regulation.
A cell phone is a type of two-way radio. In 1947, AT & T proposed that the FCC
allocate a large number of radio spectrum frequencies so that widespread mobile
telephone service would become feasible and AT & T would have an incentive to
research the new Technology. We can partially blame the FCC for the gap between the
initial concept of Cellular Service and its availability to the public. The FCC decided to
limit the amount of frequencies available in 1947, the limits made only twenty-three
phones conversations possible simultaneously in the same service area – not a market
incentive for research.
The FCC reconsidered its position in 1968, stating “if the technology to build a better
mobile service works, we will increase the frequencies allocation, freeing the airwaves
for more mobile phones.” AT & T and BELL labs proposed a cellular system to the FCC
of many small, low-powered, broadcast towers, each covering a ‘Cell’ a few miles in
radius and collectively covering a larger area. Each tower would use only a few of the
total frequencies allocated to the system. As the phones traveled across the area, cells
would be passed from tower to tower.
WIRELESS STANDARDS
ANALOG SERVICE:
A method of modulating radio signals so that they can carry information such as voice
or data. Analog cellular phones work like a FM radio. The receiver and transmitter are
tuned to the same frequency, and the voice transmitted is varied within a small band to
create a pattern that the receiver reconstructs, amplifies and sends to a speaker. The
drawback of analog is the limitation on the number of channels that can be used.
DIGITAL SERVICE:
A method of encoding information using a binary code of 0’s and 1’s. Most newer
wireless phones and networks use digital technology. In digital, the analog voice signal is
converted into binary code and transmitted as a series of on and off transmissions. One of
digitals drawbacks is that there are three digital wireless technologies, CDMA, TDMA,
and GSM. Phones that work with one technology may not work on another.
TDMA IS-136 (TIME DIVISION MULTIPLE ACCESS)
It is an update to TDMA IS-54, also called Digital AMPS or D-AMPS. Released in
1994, TDMA IS-136 uses the frequency bands available to the wireless network and
divides them into time slots with each phone user having access to one time slot at
regular intervals. TDMA IS-136 exists in North America at both the 800 MHz and 1900
MHz bands. Major US carriers using TDMA and AT & T wireless services, BELL
SOUTH and SOUTH WESTERN BELL.
CDMA IS-95 (CODE DIVISION MULTIPLE ACCESS):
It is based on a form of spread spectrum technology that separates voice signals by
assigning them digital codes within the same broad spectrum. CDMA type technology
was used in military communication systems because it was resistant to interface from
enemy signals.
The Qualcomm Corporation began developing a CDMA wireless system in the late
1980’s that was accepted as a s tandard in 1993 and went into a operation by 1996.
CDMA also exists at both the 800 MHz and 1900 MHz bands. The major US carriers
using CDMA are AIR TOUCH, BELL ATLANTIC / NYNEX, GTE, PRIMECO. And
SPRINT PCS.
GSM (GLOBAL SYSTEM FOR MOBILE COMMUNICATIONS):
It is based on an improved version of TDMA technology. In 1982, the conference of
European posts and Telecommunications (CEPT) began the process of creating a digital
cellular standard that would allow users to roam from country to country in Europe. By
1987, the GSM standard was created based on a hybrid of FDMA (Analog) and TDMA
(Digital) technologies. GSM engineers decided to use wider 200 KHz channels instead of
the 30 KHz channels that TDMA used, and instead of having only 3 slots like TDMA,
GSM channels had 8 slots. This allowed for fast bit rates and more natural-sounding
voice-compression algorithms. GSM is currently the only one of the three technologies
that provides data services such as email, fax, internet browsing, and intranet / LAN
wireless access, and it’s also the only service that permits users to place a call from either
North America or Europe. The GSM standard was accepted in the US in 1995. GSM-
1900 cellular systems have been operating in the US since 1996, with the first network
being in the Washington D.C. area. Major carriers of GSM 1900 include omni point,
Pacific Bell, Bell South, Sprint Spectrum, Microcell, Western Wireless, Powertel and
Aerial.
DIFFERENT TECHNOLOGY
BLUETOOTH TECHNOLOGY
It is a technology for wireless communication between devices. It’s based on a low -
cost short-range radio link.
Every decorator knows that cables and wires are unsightly and confusing. Bluetooth
connections allow wireless communication between devices within a range of about 30
feet (10 metres). Unlike infrared, you don’t have to point devices directly at each other,
or even have both devices in the same room. Blue tooth can initiate connections
automatically with paired devices, so you don’t even have to think about it. And no, you
don’t have to pay for a Bluetooth connection, no matter how much data you transfer.
When two devices share information, there are a few things that have to be worked
out: firstly, how they will physically connect through how many wires? Or none at all? –
And then what are the agreed commands that will make sense to both devices? Bluetooth
is an industry standard that solves both of these issues cheaply, and using very little
battery power.
GPRS TECHNOLOGY:
General Packet Radio Service is a technology that allows your phone to transfer data
at moderate speeds. GPRS lets you send data faster than over a GSM data network, and
it’s also a lot more efficient. But “data” sounds pretty vague.
To use GPRS, you need a phone that supports it, a subscription from your network
operator that supports GPRS, and the proper settings.
GPRS does what it says: it sends “packets” of data over a radio wave (on GSM
network). Packet switching works like a jigsaw puzzle: your data is split into many
pieces, then sent over the network and reassembled at the other end. GPRS is just one of
the ways to transport these jigsaw puzzles.
EDGE TECHNOLOGY:
Enhanced Data rates for Global Evolution (EDGE) enables data connections three
times faster than GPRS within the same multi slot class. Like GPRS, you’re billed for the
data you transfer, not for the time you spend connected.
EDGE opens up a lot of possibilities for connecting to data networks on your mobile
phone, making it far less frustrating to stream video and download larger files.
To use EDGE, you need a phone that supports it, a subscription from your network
operator that supports EDGE, and the proper settings.
EDGE is based on General Packet Radio Service, which sends “packets” of data over
a radio wave. Packet Switching works like a jigsaw puzzle: your data is split into many
pieces, then sent over the network and reassembled at the other end. GPRS is just one of
the ways to transport these jigsaw puzzles.
JAVA TECHNOLOGY:
JAVA is both a programming language and a software platform, and its used to create
and run applications for Nokia phones. With JAVA applications, your phone can do more
of the things you’d like it to do. Downloading and installing applications is a relatively
simple process (as is uninstalling them), and there is a wide range of applications
available.
JAVA was originally developed by Sun Microsystems. Enhancements and
standardization of the JAVA platforms are conducted by the JAVA Community Process
(JCP), in which Nokia takes on active role together with sun and other members.
There are two parts to JAVA technology: a programming language, and an
environment in which those commands can be executed. You need an environment where
the language means something, so JAVA brings its own environment along. JAVA-
enabled Nokia phones – most Nokia models on the market now-contain a JAVA Virtual
Machine, which is ready to run applications written in JAVA. This makes using new
applications easy, because you usually don’t have to configure, load, or install anything
else.
MMS TECHNOLOGY:
MMS stands for Multimedia Messaging Service, a technology that allows you to
create, send and receive text messages that also include an image, audio, and / or video
clips. MMS messages are sent from one mobile phone to another, or to an email address.
Multimedia Messaging enriches your mobile messages in much the same way as
inserting photos or changing fonts and colours does in email – it’s both useful and
expressive.
MMS messages are sometimes considered equivalent to so –called “Picture
Messaging”, popularized by the recent imaging phones boom, but other uses of the
technology do exist.
You don’t need to have an imaging phone to send and receive MMS messages, just an
MMS-enabled mobile phone, an operator management that supports the service, and the
correct settings on your handset. Of course, an imaging phone gives you the option of
creating and passing on your original images.
An MMS message is a multimedia presentation in a single entry, unlike an email with
attachments, making it easier to create and simpler to deliver than an email with
attachments. MMS is a scalable technology, which means it’s suitable for most types of
mobile phones. And MMS is compatible with fixed email addresses, so it is possible to
criss-cross back and forth over the mobile-PC border.
MOBILE BROWSING TECHNOLOGY:
A mobile browser is simply any program that lets you access and read content on a
network from a mobile device – usually the Internet or some other mobile network
service. As more phones on the market boast high network connection speeds and colour
screens, mobile browsing is becoming more common (and a lot better looking).
Many new Nokia models come with an integrated XHTML or even HTML mobile
browser, giving you the chance to surf without being chained to a desktop computer.
Today’s mobile browsers give you richer colours and faster browsing than the original
mobile browsers, and most importantly, a way to access the web at your finger tips.
Considering the no-frills WAP sites that started off mobile browsing, the technology has
come a long way.
In order to browse with a mobile phone, you need to have a phone with a browser
(either one that’s built in or downloaded), a subscription from your network operator to a
data service (GSM data, GPRS, EDGE, WCDMA, etc) and the correct settings on your
phone. Then its up to other companies and individuals to build the sites and services you
can browse.
MOBILE VIDEO TECHNOLOGY:
Mobile video means both creating your own video clips and watching content created
by others. There are two types of mobile video content services: downloadable and
streaming. You can download, store and play back videos on your mobile device. Or, you
can stream video content, which is a better option for viewing longer clips because data
isn’t stored on your phone. You can also tune in to live video feeds using streaming.
We can
¾�Use a phone equipped with a camera to record your own clips, then send them
(by email, MMS or over a wireless connection using Bluetooth technology or
infrared).
¾�Watch streamed news, sports, music videos, or movie trailers.
¾�Watch live camera views such as road conditions, concerts, parties, etc.
¾�Subscribe to MMS videos and download short video content such as daily
news, weather or cartoons.
¾�Store your favorite videos on a Multimedia Card (MMC) card – longer clips
can fit on a MMC card as long as it has enough capacity.
Unless the video you want to watch is already stored on an MMC card, your phone
must be able to connect to the internet in order to access to video files. This means you
need a phone with a GPRS, EDGE, WCDMA or other network connection, and the
correct settings. If you’re interested in streaming video, look for a phone that supports
EDGE or WCDMA.
REVIEW OF LITERATURE ADVERTISING:
Advertising is any paid form of non-personal presentation and promotion of ideas,
goods or services by an identified sponsor. It is paid communication because the
advertiser has to pay for the space or time in which his advertisement appears.
Advertisers include business firms but also museums, charitable organizations, and
government agencies that advertise to various target publics. Advertisements are a cost
effective way to disseminate messages, whether to build brand preference or to educate a
nation’s peopl e.
Organizations handle their advertising in different ways. In small companies,
someone handles advertising in the sales or marketing departments, who works with an
advertising agency. A large company will often set up its own advertising department,
whose manager reports to the Vice President of marketing. The advertising departments
job is to develop the total budget, and handle direct-mail advertising, dealer displays and
other forms of advertising not ordinarily performed by the agency. Most companies use
an outside advertising agency to help them create advertising campaigns and to select and
purchase media. Global companies that use a large number of ad agencies located in
different countries and serving different divisions have suffered from uncoordinated
advertising and image diffusion. Advertising agencies need to redefine themselves as
communication companies and assist clients in improving their overall communication
effectiveness.
Five M’s of Advertising
MISSION : What are the advertising objectives?
MONEY : How much can be spent?
MESSAGE : What message should be sent?
MEDIA : What media should be used?
MEASUREMENT : How should the results be evaluated?
Strengths of Advertising as a promotional tool
1. It offers planned and controlled message.
2. It can contact and influence numerous people simultaneously, quickly, and
at a low
cost per prospect. Hence, it is called Mass Means of Communication.
3. It has the ability to deliver messages to audiences with particular
demographic and
socio-economic features.
4. It can deliver the same message consistently in a variety of contexts.
5. It can reach prospects that cannot be approached by sales man.
6. It helps to presell goods and pull the buyers to retailers.
7. It offers a wide choice of channels for transmission of messages such as
visual (by
sights), aural, (by ear) aural and visual.
8. It is very useful to create maximum interest and offer adequate knowledge
of the
new product when the innovation is being introduced in the market.
Weakness of Advertising as a promotional tool
1. It is much less effective than personal selling and sales promotion at later
stages in the buying process, e.g.: in convincing and securing action.
2. It is less flexible than personal communication. It cannot answer
objections raised by
prospects.
3. It is essentially one-way means of communication. It cannot obtain quick
and accurate feedback in order to evaluate message effectiveness.
4. It is most efficient communication (very low cost per prospect) but it is
least effective as a tool of a communication.
5. It is unable to reach prospects when they are in a buying mood. Hence
advertisements have to be repeated and repetition involves additional cost.
6. Advertising, many a time lacks credibility and trustworthiness.
Importance of Advertising
1. To create widespread visibility in the market and access those pockets
which are not approachable by the sales force. Quoting a customer, “Make the
customers come to you rather than trying to approach all the potential
customers.”
2. As a symbol of sound financial position of the company and also to make
the statement that the company is here to stay!
3. To aid in easy brand recall and also create a top of mind awareness of the
brand.
4. To make maximum potential customers aware of the new offerings and
schemes of the company and initiate enquiries about the same.
5. To establish a strong brand image in the market so as to give the company
an edge over its competitors.
Communication goals of Advertising
Advertising should concentrate on clear and measurable communication objectives
known as DAGMAR (Defining Advertising Goals, Measuring Advertising Results).
Advertising objectives must be oriented around the process of communication.
Communication tasks are,
1. Developing brand awareness.
2. Changing consumer attitudes.
3. Associating desirable themes with products, and
4. Informing consumers about product attributes.
The ultimate purpose of most advertising is to help the probability of the sale of the
product or a service. Advertising as a mode of promotion increases propensity to
purchase-moving the prospect steadily, inch-by-inch, closer to a purchase decision. Of
course, advertising is only one of several communication forces. It moves the consumer
through successive levels such as unawareness, awareness, comprehension or
recognition, conviction (intention to buy) and action purchase.
Advertising goals may be divided into four stages of commercial communication as
follows:
��Awareness: the prospects must become aware of the existence of the brand
or company. Awareness is the bare minimum goal of advertising.
��Comprehension: the prospect must understand what the product is and
what it will do for him. Comprehension level indicates that people are not only
aware of the brand or company that they know the brand name and can recognize
the package or trade market. But they are not yet convinced that they must want to
buy.
��Conviction: the prospect must be mentally convinced to buy the brand or
the product. The conviction level shows brand preference and intention to buy the
product in the near future.
��Action: the prospect takes meaningful action. Purchase decision is duly
taken.
Choosing among major media types:
The media planner has to know the capacity of the major media types to deliver reach,
frequency, and impact. Media planners make their choice among media categories by
considering the following variables:
��Target-Audience Media habits: for example radio and television are the most
effective media for reaching teenagers.
��Product Characteristics: Media types have different potentials for
demonstration, visualization, explanation, believability and color. Women’s
dresses are best shown in color magazines, and Polaroid cameras are best
demonstrated on television.
��Message characteristics: timeliness and information content will influence
media choice. A message announcing a major sale tomorrow will require
specialized magazines or mailings.
��Cost: Television is very expensive, whereas newspaper advertising is relatively
inexpensive. What counts is the cost-per-thousand exposures.
Advertising in India
Indian Advertising starts with the hawkers calling out their wares right from the days
when cities and markets first began
¾�Shop front signage’s
¾�From street side sellers to press ads
¾�The first trademarks
¾�Handbills distributed separately from the products
18th Century:
Concrete advertising history begins with classified advertising. Ads appear for the first
time in print in Hickey's Bengal Gazette. India's first newspaper (weekly). Studios mark
the beginning of advertising created in India (as opposed to imported from England)
Studios set up for bold type, ornate fonts, more fancy, larger ads. Newspaper studios train
the first generation of visualisers & illustrators. Ads appear in newspapers in the form of
lists of the latest merchandise from England
Since 1980, advertising in India has demonstrated phenomenal growth – growth in
size, quality, and range of services, in the total expenditure in advertising per year. In
1950 advertising expenditure was hardly Rs. 5 Crores. By 1988, it rose to Rs. 900 Crores.
It may be around by Rs. 2200 Crores by 2001 A.D.
There are now over 400 advertising Agencies as against just 100 advertising agencies
around 1970. In the Indian market, we have more than 11,000 branded products
extensively advertised in all languages. Press advertisement account for about 50 percent
and TV account for about 18 percent of the total advertising costs.
In the media sector we have at present intense competition, e.g., TV / Radio,
Newspaper each attempting an increasing market share. In the press segment we are
witnessing regular media war. In the case of the Press, competition is total. However,
media owners are expected to adopt now customer-oriented approach to get rid of such
unhealthy competition.
Essentials of good Advertisement
A good advertisement must have the right message communicated through a right
media. It must reach the right people and prospects and that too at a right time and at the
right cost. Right timing of an advertisement needs no emphasis. It should fulfill its sole
purpose, viz., gain sale or action from the prospects and the cost of communication
should be reasonable.
The task assigned to the advertisement can be successfully fulfilled when:
1. It is seen by the desired prospects.
2. It is read by them with interest.
3. It is properly understood by them exactly as the advertiser wants.
4. It is believed by them and it wins their confidence and trust and above all
it succeeds in igniting their desire to purchase the product or service offered or
sale.
Effective advertisements takes the prospect near about the point of closing the sale so
that actual sale may be easily completed by the sales force. Each advertisement must be a
unique selling proposition, invoking maximum force of persuasion to convert a prospect
into a customer.
In the light of the above information, t he author conducted a research study on the
advertising strategies of two leading garment manufacturers in Bangalore City.
ATTENTION
It can be viewed as an information filter – a screening mechanism that controls
the quantity and nature of information any individual receives. Getting a consumer’s
attention is not easy. An individual, overtly or accidentally, avoids exposure to stimuli.
The advertising environment is truly “cluttered”; most major magazines have almost one -
half of their pages carrying advertisements, the other half carrying editorial matter.
Amid all this advertising, it is not easy to create an advertisement that stands out
enough to get noticed, processed, and remembered. The effectiveness of ads is reduced
not only by the higher levels of clutter in general, but even more significantly by the
proximity of ads for competing brands from the same product category.
The situation is made worse in the broadcast media, especially television. Viewers
have always had the freedom to do things while a program is being shown; including
leaving the room mentally and physically, but the use of remote control devices has made
channel-switching endemic. Television advertisers today have to cope with the
phenomena of zapping and zipping.
CREATING ADVERTIEMENTS THAT ATTRACTS ATTENTION
The attention filter operates at various levels of effort and consciousness. At one
extreme is the process of active search wherein a receiver actually seeks information. He
or she might solicit opinions of friends or search through magazines not normally read.
Another level could be termed passive search. A receiver searches for information only
from sources to which he or she is exposed during the normal course of events.
The final level might be called passive attention. Here a receiver has little
immediate need for the information and makes no conscious effort to obtain it, but some
information may nevertheless enter the system. At all three levels, it is appropriate to
discuss why a person obtains information so that ads can be designed to maximize
attention. There are, of course, as many reasons as there are situations and individuals.
However, it is instructive to examine four general motives for attending to informative
stimuli.
A first motive is to obtain information that will have a high level of utility for a
person. In an advertising context, an individual will obtain product information that will
help make better purchase decisions. Second, people may be motivated to expose
themselves to information that supports their opinions- supportive exposure-and to avoid
discrepant information. Third, there is a desire to be exposed to information that
stimulates. Finally, people are motivated to find stimuli that are interesting to them.
These motives will be examined in turn.
ADVERTISING EFFECTIVENESS:
Advertising effectiveness consists in the degree of achievement of the objectives set
by an advertiser in consultation with advertising agency working on the account. It may
also take the form of an increase in the sales of market share or penetration into a new
market segment.
ADVERTISING STRATEGIES:
Strategy provides the link between advertising objectives and plans and paves the
ground for their implementation. It can be instrumental in prioritizing various objectives,
taking into account the attitudinal framework as well as corporate and marketing goals,
and the market situations and characteristics.
Advertising strategy is based on consideration such as the following:
• Advertising objectives.
• Advertising budgets.
• Selection of target audiences.
• Advertising message.
• Media decision.
• Media space decisions.
• Company’s standing and it s strength and weaknesses.
• Product history and its life cycle stage.
• Positioning of the product as indicated by perceptual mapping.
• Existing and anticipated competition.
BRAND PATRONAGE:
Most of the time, an advertisers (seller) tries to build a brand privilege or
patronage for his products or service. A seller has a brand privilege if buyers exhibit
brand insistence, brand loyalty, or brand preference towards his product or service. By
means of advertising or persuasive mass communication, seller tries to move prospective
buyers and existing buyer from lower level to higher level of brand attitude of customers
– from brand ignorance to brand awareness, or from brand acceptance to brand
preference, loyalty, and insistence
RESEARCH METHODOLOGY
RESEARCH APPROACH
The research for this study is a Descriptive Research.
A Descriptive Research is a type of conclusive research, which has its major objective
as the description or something, usually market characteristics or functions. It is
preplanned and structured.
Under this approach a Cross-Sectional study is conducted in which one sample of
respondents is drawn from the target population and information is obtained from this
sample one.
This study is based on Descriptive Research approach comprises the following
methods;
1. Secondary Data:
Secondary Data refers to that which is compiled by some other than the other
researcher for purpose not directly related to the research. These are readily available
for processing. This type of data relate to past period. The two main types of
secondary data are Internal and External data.
The sources used for such data types are as follows:
a. Internal: the sources include company annual reports bulletins, research
reports, etc.
b. External: the sources include:
• Published materials such as periodicals and books like business
periodicals, marketing journals, general business and trade magazines, etc.
• Computerized databases such as internet databases and off-line
databases (information available on Diskettes and CD-ROM disks).
2. Primary Data:
Primary Data refers to the data gathered for a specific purpose or for a specific
research project. These data gives latest information. This type of data is obtained
from original sources. In this study, primary data is collected through
Questionnaire Method.
TOOLS FOR DATA COLLECTION:
The approved questionnaire is the main tool used for data collection in this study. The
questionnaire consists of structured and unstructured questions.
The questionnaire tool is mainly used because:
• Both qualitative and Quantitative information can be gathered.
• Factual survey can be done.
• Opinion survey in order to secure personal opinions or on a particular
matter can be done effectively. This tool is administered through Personal
Interview with the target population.
SAMPLING PLAN:
1. Sampling Unit – Who is to be surveyed:
The sampling unit consists of college students owning Nokia Cellular Phones for
analyzing the advertising effectiveness on consumers.
2. Sampling Procedure – How should the respondents be chosen:
The sampling technique chosen are Simple Random Sampling and Stratified
Random Sampling , in which a sample is drawn probabilistically from each group
or strata i.e. College Students owing Nokia Cellular Phones.
3. Sample Size – How many respondents to be surveyed:
Due to time and other constraints, the size is 100 respondents. These samples
of respondents are chosen randomly.
CROSS SECTIONAL STUDY:
A Cross Sectional Study is a type of research design involving the collection of
information from any given sample of population elements only once.
SIMPLE RANDOM SAMPLING:
A probability sampling technique in which each element in the population has a
known and equal probability of selection. Every element is selected independently of
every other element and the sample is drawn by a random procedure from sampling
frame.
STRATIFIED RANDOM SAMPLING:
A probability sampling technique that uses a two-step process to partition the
population into sub populations, or strata. Elements are selected from each stratum by a
random procedure.
ULTIMATE CONSUMER:
Ultimate Consumers refers to those individuals who buy goods and services for final
use or consumption.
DATA ANALYSIS:
The data collected are tabulated and classified as required. Statistical techniques such
as Frequency Distribution, Central Tendency, Percentages, etc., are used for analysis of
primary data. Conclusions are drawn based on the analysis and findings of primary data.
DURATION OF THE STUDY:
The duration of the study is six weeks.
LIMITATIONS OF THE STUDY:
• Due to time and resource constraints, only college students are selected for
the study for making an analysis for the advertising strategies.
• Due to resource and time constraints, a randomly selected sample has been
chosen respondents for making an analysis of advertising effectiveness on
consumers.
BRAND AWARENESS
It is important to know the awareness of the brand in the market.
Table 1:
Response Respondents Percentage
Yes 100 100
No 0 0
BRAND AWAREN ESS
Y es , 100
No, 0
Y es No
Source: Table 1
Interpretation:
From the above table it is clear that the brand awareness of Nokia Cellular phones
in the market are huge. 100%. The number of people who did not know about Nokia
Cellular phones is null.
Inferences:
The awareness level for the Nokia Cellular Phones in the market is found to be
100% of the total respondents who were interviewed. The purpose of brand awareness
has been significantly achieved by the company.
Medium through which the Brand Awareness was created.
Table 2:
Medium No of Respondents Percentage
Friends 43 43
Neighbours 2 2
Family members 5 5
Advertisements 50 50
MED IU M OF AWARENESS
43
25
50
Frie nds
Ne ighbours
Fa m ilym e m be rs
Adve rtise m e nts
ME
DIU
M
No of Res pondents
Source: Table 2
INTERPRETATION:
It is found that from advertisement 50% of respondents have came to know about
the Brand. 43% of the respondents have came to know from their friends. 5% from their
family members and 2% from their neighbours.
Inference:
People have come to know about the brand through advertisement. Hence the
advertisement should be designed in such a way that more number of people know about
the existence of the brand.
NUMBER OF RESPONDENTS OWNING NOKIA CELLULAR PHONES:
Table 3:
Response Respondents Percentage
Yes 75 75
No 25 25
N OK IA C ELL PH ON E H OLD ER S
75
25
Y es
No
Source: Table 3
INTERPRETATION:
It is found that about 75% of the respondents own Nokia Cellular Phones. 25% of
the respondents did not own Nokia Cellular phones.
INFERENCE:
Most of the people who know the Nokia Brand name own the Cellular phones.
Hence the advertisement should be designed in such a way that the Brand awareness is
created among greater number of people.
Reason to Purchase the Product
Reason No of Respondents Percentage
Advertisement 3 4
Quality 37 49
Brand name 22 30
Service 10 13
Price 3 4
R eason for P urchase
3
3722
10 305
10152025303540
Advert i
sement
Quality
B rand n
ame
Servic e
P rice
Re a sons
No
of
Re
spo
nd
en
ts
No of Res pondents
Source: Table 4
INTERPRETATION:
About 49% of the respondents have purchased the product due to its Quality
factor, 30% of the respondents due to its Brand Name, and 13% of the respondents due to
its Service factor. Only 3% of the respondents have purchased due to the Advertisement
and Price factor respectively.
INFERENCE:Most of the customers purchased the product due to its quality and not
due to advertisement. Hence the company should take appropriate steps such that the
customers are created by the advertisement.
Through which Medium of advertisement respondents came to know about the
Nokia Brand.
Table 5:
Medium of Advertisement No of Respondents Percentage
Television. 50 50
Print Media 37 37
Boardings 3 3
Others 10 10
MED IU M OF B R AN D AW AR EN ESS
5037
3 10
Televis ion.
P rint M edia
B oardings
O thers
Source: Table 5
INTERPRETATION:
It is found that 50% of the respondents came to know about the product through
Television. 37% of them through Print Media, 3% of them through Outdoor Boardings.
10% of the respondents came to know about the product through the medium other than
these medium stated above.
INFERENCE:
Most of the customers have come to know about the product through television.
Hence the company should concentrate on providing advertisements in TV.
MEDIUM OF ADVERTISEMENT THAT REACHES MAXIMUM PEOPLE:
Table 6:
Medium of Advertisement No of Respondents Percentage
Television. 65 65
Print Media 14 14
Boardings 1 1
Word-of-Mouth 20 20
EFFEC TIVE MED IU M OF AD VER TIS IN G65
14
1
20
0 10 20 30 40 50 60 70
Te le vision.
Print M e dia
Boa rdings
W ord-of-M outh
ME
DIU
M
RESP ONDENTS
No of Res pondents
Source: Table 6
INTERPRETATION:
It is clear that 65% of the respondents have suggested that Television is the media
through which greater number of people can be reached. Then stands Word-of-Mouth
with 20% of the respondents supporting it. Print Media stands third with 14% of the
respondents supporting it. Boardings stand at the last with only 1% of the respondent
supporting it.
INFERENCE:
The advertisement should be exhibited in the television which is the best medium
through which greater number of people can be reached.
Feeling created on the Viewers:
Table 7:
Feelings No of Respondents Percentage
Fear 1 1
Emotional 7 7
Anxiety 12 12
Informative 76 76
Humour 4 4
FEELIN GS OF V IEWER S
1 7 12
76
4
F ear E m otional A nx iety Inform ative Hum our
Source: Table 7
INTERPRETATION:
It is clear that 76% of the respondents have suggested that Nokia Cellular Phone
advertisements give information about their products. 12% of the respondents have
suggested that the advertisement creates Anxiety feeling. 7% of the respondents suggest
that the ad creates Emotional feeling, 4% of the respondents suggest that the ad creates
Humourous feelings and only 1% of the respondents say that they create Fear type of
feeling to the viewers.
INFERENCE: Advertisement are concentrated on providing information. The
company must also focus on the advertisement which are humorous and emotional which
are liked by our Indians.
Brand Image:
Table 8:
Response No of Respondents Percentage
Strongly agree. 33 33
Agree 65 65
Disagree 1 1
Strongly disagree 1 1
B R AN D IMAGE
33
65
1 1
010203040506070
Strongly a gre e . Agre e Disa gre e Stronglydisa gre e
RESPONSE
RE
SP
ON
DE
NT
S
No of Res pondents
Source: Table 8
INTERPRETATION:
It is clear that 65% of the respondents say that the advertisement creates Brand
Image among the viewers who watch the advertisement. 33% of the respondents strongly
agree that the ad creates Brand Image. 1% of the respondents say that they disagree that
the ad creates Brand Image.
INFERENCE:
The advertisement creates Brand Image among the viewers who watch the
advertisement. Hence the company should continue with the present tactics.
SEGMENT OF THE PEOPLE:
Table 9:
Segment of People No of Respondents Percentage
Students 30 30
Officials 18 18
Business people 52 52
Non-workers 0 0
No of Res pondents
3018
52
0
0 10 20 30 40 50 60
S tude nts
Officia ls
Busine ss pe ople
Non-w orke rs
No of Res pondents
Source: Table 9
INTERPRETATION:
It is clear that 52% of the respondents say that the advertisement focuses on the
Business people. 30% of the respondents say that the ad focuses on Students. 18% of the
respondents say that the ad focuses on Officials. There are no respondents who say that
the ad focuses on the Non-working class of the market.
INFERENCE:
The advertisement focuses majorly on business people. The advertisement should
be designed in such a way that it focuses on students, officials, non-workers as well.
Amount of information:
Table 10:
Response No of Respondents Percentage
No information. 10 10
Incomplete information. 17 17
Little information. 28 28
Complete information. 45 45
IN FOR MER C IALS
10
17
28
45
No inform a tion.
Incom ple teinform a tion.
Littleinform a tion.
Com ple teinform a tion.
RE
SP
ON
SE
No of Res pondents
Source: Table 10
INTERPRETATION:
It is clear that 45% of the respondents say that the advertisement of Nokia
Cellular Phones provide complete information. 28% of the respondents say that the ad
provides little information, 17% of the respondents say that the ad provides incomplete
information. There are no respondents who say that the ad provides no information.
INFERENCE:
The present tactics used in the advertisement is good as it provides complete
information about the products. The advertisement should be designed such that the full
information of the products are available for the viewers.
ADVERTISEMENT MAKE THE VIEWERS TO SEE AGAIN:
Table 11:
Response No of Respondents Percentage
More frequently. 24 24
Somewhat frequently 60 60
Less frequently 13 13
Zero frequency. 3 3
IN FLU EN C E OF AD VER TISEMEN T
24
60
13 3
M ore frequent ly . S om ewhat frequent ly Les s frequent ly Zero frequenc y .
Source: Table 11
INTERPRETATION:
It is clear that 60% of the respondents say that they watch the advertisement
somewhat frequently. 24% of the respondents say that they watch more frequently the
advertisement. 13% of the respondents say that they watch less frequently the
advertisement. 3% of the respondents say that they are not interested in seeing the
advertisement again.
INFERENCE:The advertisement should be designed in such a manner that the viewers
are motivated to watch the advertisement more frequently. Advertisement should be
designed such that the switching from one channel to other channel during the exhibition
of the advertisement can be lowered.
ADVERTISEMENT RECALL:
Table 12:
Response Respondents Percentage
Yes 73 73
No 27 27
AD VER TISEMEN T R EC ALL
Y es , 73
No, 27Y es
No
Source: Table 12
INTERPRETATION:
It is clear that 73% of the respondents say that they recall the advertisement when
they see any characteristics which are used in the advertisement. 27% of the respondents
say that they do not recall the advertisement when they see any characteristic which are
used in the advertisement
INFERENCE:
The respondents are able to recall the advertisement characteristics when they see
any other characteristics. Hence the company should continue with the present design
such that the advertisement can be recalled when ever they see the characteristics which
are used in the advertisement.
BEST TIME PERIOD:
Table 13:
Time Period No of Respondents Percentage
7 AM – 9 AM 6 6
9 AM – 12 PM 3 3
12 PM – 3 PM 3 3
3 PM – 6 PM 7 7
6 PM – 10 PM 81 81
B EST TIME PERIOD
63
37
81
0 20 40 60 80 100
7 AM – 9 AM
9 AM – 12 P M
12 P M – 3 P M
3 P M – 6 P M
6 P M – 10 P M
TIM
E P
ER
IOD
RES P ONDENTS
No of Res pondents
INTERPRETATION:
It is clear that 81% of the respondents say that the best time period to produce the
advertisement to the viewers is between 6 PM to 10 PM. 7% of the respondents say that
the best time period is from 3 PM to 6 PM. 6% of the respondents say that the best time
period is from 7 AM to 9 AM. 3% of the respondents say that the best time period is from
9 AM to 3 PM
INFERENCE:The best time period to exhibit the advertisement in the Television is 6
PM to 10 PM. Hence the company should exhibit the advertisement in many TV channels
such that it reaches maximum number of people.
FREQUENCY OF THE ADVERTISEMENT:
Table 14:
Response Respondents Percentage
Yes 78 78
No 22 22
FR EQU EN C Y OF AD VER TISE ME N T
Y es , 78
No, 22
Y es
No
Source: Table 14
INTERPRETATION:
78% of the respondents say that the frequency of the advertisement should be
increased. 22% of the respondents say that the frequency of the advertisement should not
be increased
INFERENCE:
The frequency of the advertisement should be increased such that the viewers can
watch the advertisements more often and can remember the products features and share
those information to their friends.
CULTURE IN THE ADVERTISEMENT:
Table 15:
Response No of Respondents Percentage
Strongly agree. 17 17
Agree 53 53
Disagree 21 21
Strongly disagree 9 9
CULTURE IN ADVERTISEMENT
17
53
21
9
Strongly a gree .
Agree
Disa gree
Stronglydisa gre e
RE
SP
ON
SE
PRESPONDENTS
No of Res pondents
Source: Table 15
INTERPRETATION:
53% of the respondents say that the advertisement of Nokia Cellular Phones
represent our culture in their advertisement. 21% of the respondents disagree that the
advertisement represent our culture. 17% of the respondents strongly agree that the
advertisement represent our culture. 9% of the respondents strongly disagree that the
advertisement represent our culture.
INFERENCE:The company should continue with the existing design of the
advertisement as they represent our culture. The company should design advertisement
with more emotional feelings which are liked by our nationals.
ANY OTHER MEDIA:
Table 16:
Response Respondents Percentage
Yes 39 39
No 61 61
ALTER N ATE ME D IA
Y es , 39
No, 61
Y es
No
Source: Table 16
INTERPRETATION:
61% of the respondents say that there is no any other media through which the
advertisement can be designed to reach maximum number of people. 39% of the
respondents say that there are other media through which the advertisement can be
designed to reach maximum number of people.
INFERENCE:
The company should use the present media of advertisement effectively to reach
more number of people. Some of them have suggested of using FM Radio to advertise the
product.
USE OF CELEBRITIES:
Table 17:
Response No of Respondents Percentage
Need. 25 17
Must. 14 53
Not Needed. 48 21
Cannot say 13 9
U SE OF C ELEB R ATIES IN AD VER TISEMEN T
25
14
48
13
Need.
M us t.
Not Needed.
Cannot s ay
RE
SP
ON
SE
RESPONDENTS
No of Res pondents
Source: Table 17
INTERPRETATION:
48% of the respondents say that the Celebrities are not needed in the
advertisement to make them more effective. 25% of the respondents say that the
Celebrities are needed. 14% of the respondents say that the company must use the
Celebrities in their advertisement. 13% of the respondents have no idea about this issue.
INFERENCE:
The company may or may not use the celebrities in their advertisement since most
of them have said that the celebrities are not needed.
SHARING OF INFORMATION:
Table 18:
Response Respondents Percentage
Yes 78 78
No 22 22
SH AR IN G OF IN FOR MATION
Y es , 78 No, 22
Y es
No
Source: Table 18
INTERPRETATION:
78% of the respondents say that they share the additional characteristics displayed
in the advertisement with their friends. 22% of the respondents say that they do not share
the additional characteristics displayed in the advertisement with their friends
INFERENCE:
The company should design the advertisement such that it attracts individual such
that they share the information and additional characteristics with their friends.
STYLE OF THE ADVERTISEMENT:
Table 19:
Ratings No. of Respondents Percentage
Poor 3 3
Average 27 27
Good 62 62
Great 8 8
3
27
62
80
10203040506070
RES P ONDENTS
P oor A verage G ood G reat
RES P ONS E
STYLE OF TH E AD VER TISEMEN T
No. of Res pondents
Source: Table 19
INTERPRETATION:
From the above table it is clear that 62% of the respondents say that the style of
the advertisement is good, 27% of the respondents say that the style is average, 8% of
them say that the style is great, and 3% of them say that the style if poor.
INFERENCE:
The respondents have rated that the style of the advertisement is good. Hence the
company should continue with the existing style.
TONE OF THE ADVERTISEMENT:
Table 20:
Ratings No. of Respondents Percentage
Poor 24 24
Average 53 53
Good 8 8
Great 15 15
TON E USED IN AD VER TISEMEN T
24
53
8
15
Poor
Ave ra ge
Good
Gre a t
RA
TIN
GS
No. of Res pondents
Source: Table 20
INTERPRETATION:
From the above table it is clear that 53% of the respondents rate the tone in the
advertisement as average, 24% of them as poor, 15% of them as great, and 8% of them as
good.
INFERENCE:Most of the respondents have rated the tone as average in the
advertisement. Hence the company should design good tone in the advertisement so that
the advertisement is more effective. Atleast the company should work on the tone so that
it is rated good.
WORDS USED IN THE ADVERTISEMENT:
Table 21:
Ratings No. of Respondents Percentage
Poor 4 4
Average 42 42
Good 47 47
Great 7 7
4
42 47
70
10
20
30
40
50
RESPONDENTS
P oor A verage G ood G reat
RATINGS
WORDS USED IN ADVERTISEMENT
No. of Res pondents
Source: Table 21
INTERPRETATION:
From the above table it is clear that 47% of the respondents have rated the words
used in the advertisement as good, 42% of the respondents as average, 7% of the
respondents as great and 4% of the respondents as poor.
INFERENCE:
Since most of the respondents have rated the words used in the advertisement as
good and average the company should use little effective strategies such that average rate
are converted into good rate.
COMPETITORS:
Table 22:
Companies No. of Respondents Percentage
Samsung. 54 54
L.G. 12 12
Sony Ericsson. 28 28
Others. 6 6
C OMPETITOR S54
12
28
6
Sa m sung.
L.G.
Sony Ericsson.
Othe rs.
BR
AN
DS
No. of Res pondents
Source: Table 22
INTERPRETATION:
54% of the respondents have rated Samsung company advertisement as the
competition for Nokia Cellular Phones advertisement. 28% of the respondents have rated
Sony Ericsson as the competitor. 12% of the respondents have rated L.G. as the
competitor. 6% of the respondents have rated Other companies as the competitors.
INFERENCE:Samsung companies advertisement is treated as the competitor for the
Nokia Cellular Phones advertisement. Hence the company should use effective strategies
to overcome Samsung companies strategies.
COMPETITORS EFFECTIVENESS:
Table 23:
Response Respondents Percentage
Yes 59 59
No 41 41
C OMPETITOR S EFFEC TIVEN ESS
Y es , 59
No, 41
Y es No
Source: Table 23
INTERPRETATION:
59% of the respondents say that the competitors design more effective
advertisement than the Nokia Cellular phones advertisement. 41% of the respondents say
that the competitors design less effective advertisement than the Nokia Cellular phone
advertisement.
INFERENCE:
The competitors of Nokia Brand are designing more effective advertisement.
Hence the company should adopt certain strategies such that the advertisement is more
effective than its competitors.
TESTING OF HYPOTHESIS Hypothesis: a Hypothesis in statistics is simply a quantity statement about a population.
It is a supposition made as a basis for reasoning.
Testing of Hypothesis: it is to test some hypothesis about parent population from which
the sample is drawn.
Null hypothesis formulated is:
HO : The advertisement provides complete information about the product.
The research hypothesis (alternative hypothesis) formulated is:
HA : The advertisement does not provides complete information about the product.
Level of Significance: 5%=0.05.
Ztab at 5% level of significance : 1.645.
Test Statistics : Z = _P-Ps _
¥��34�Q�
Given:
P=0.5
Q=1-0.5=0.5
n=100
Ps=0.30
Substituting the above values in the given formula, we get Zcal = 4.
Conclusion: since Zcal > Ztab, HO is rejected.
So the advertisement does not provide complete information about the product.
· 2 test:
It is one of the simplest and most widely used non-parametric tests in
VWDWLVWLFDO�ZRUN��7KH�V\PERO� �2 is the Greek letter Chi. This test was first used by
Karl Pearson in the 1990.
· 2 = �´��2 -E)2
E
Where O = Observed Frequency.
E = Expected Frequency.
Competitors Observed(O) Expected (E)
Samsung 54 25
Sony Ericsson 28 25
L.G. 12 25
Others 6 25
Null hypothesis formulated is:
HO : all competitors are equally competitive in terms of advertisement for Nokia
Cellular phones.
The research hypothesis (alternative hypothesis) formulated is:
HA : all competitors are not equally competitive in terms of advertisement for Nokia
Cellular phones.
Level of Significance: 5% = 0.05.
·2tab = 7.814
Test 6WDWLVWLFV��� · 2 =��� ���2 -E)2
E
·2cal = 55.20.
Conclusion: since ·� ����� �!� ·�� � ��� ��+R�LV�UHMHFWHG� �6R��all competitors are not equally competitive in terms of advertisement for Nokia
Cellular phones.
The summary of findings of the study is presented below:
1. There is a high level of awareness of the brand of Nokia Cellular Phones
in the market. It is found that the awareness level for the brand in the
market is 100% of the respondents who were interviewed. The awareness
was created by the advertisement and the friends.
2. The consumers of Nokia Cellular Phones purchased the product due to the
quality, Brand name.
3. The consumers came to know about the product through the Television
and Print Media of the advertisement.
4. Through Television and Word-of-Mouth medium the advertisement
reaches maximum number of people.
5. The advertisement of Nokia Cellular Phones provides information about
their products and creates Anxiety type of feeling among its viewers.
6. Nokia Cellular Phones advertisement creates Strong Brand Image among
its viewers.
7. Nokia Cellular Phone advertisements are designed mostly for Business
people and Students in the market.
8. Nokia Cellular phone Advertisement provides complete information about
their products.
9. Nokia Cellular Phones motivates the viewers to watch the advertisement
some what frequently.
10. The viewers of the advertisement recall the ad when they see some
characteristics which are used in the advertisement.
11. The best time period the advertisement should be shown on Television in
6 PM to 10 PM.
12. Nokia Cellular phones should increase the frequency of their
advertisement inorder to compete with their competitors.
13. Nokia Cellular phones represent our culture in the advertisement.
14. The other media that can be used to advertise its product when compared
to its competitors are FM Radio, Huge Balloons.
15. It is the wish of the company to use any celebrities in their advertisement.
The respondents suggested that celebrities were not needed to improve the
effectiveness of the advertisement.
16. When the advertisement is good, then the viewers share the information
and other additional qualities of the advertisement and product with their
friends.
17. The style of the advertisement of Nokia Cellular Phone is Good. 62% of
the respondents have rated the style of the ad as Good.
18. The tone of the advertisement of Nokia Cellular Phone is Average. 53% of
the respondents have rated the tone of the ad as Average.
19. The words used in the advertisement of Nokia Cellular Phone is Good.
47% of the respondents have rated the words of the ad as Good.
CONCLUSIONS AND SUGGESTIONS
During the study and personal interviews held with the Students of different
colleges, all the respondents provided with a few valuable suggestions. The suggestions
were based on the advertisements. When asked as how good was the advertisements of
the brand, all the respondents came forward with some good and valuable suggestions.
We, thereby, would like to highlight a few and important suggestions for the benefit of
the company.
The suggestions were as follows:
1. When the study was conducted among the consumers we found that the
purchase of the Nokia Cellular product was due to their quality and Brand
name but the advertisement played a minor role in making their decisions.
Hence the company should take steps such that the viewers are converted
into consumers by the use of advertisement.
2. The best medium to reach greater number of people is Television. But
Nokia cellular phones are concentrating more on Print Media. Hence the
company should take appropriate steps such that it concentrates more on
Television advertisements rather than Print Media.
3. The advertisement of Nokia Cellular Phones are concentrating on
providing information about their products to the viewers. But in India the
viewers like emotional and humourous advertisements. So the company
should design advertisements such that it includes little bit of emotional or
Humour characteristics.
4. Nokia Cellular Phone advertisements are designed for the Business people
and Students. Hence the company should see that the advertisements are
designed for the rest of the market too like officials and non-workers.
5. The advertisement should be designed in such a manner that the viewers
watch the advertisement more frequently. Their competitors are designing
advertisements more effectively than the Nokia.
6. The best time period that the advertisement is exhibited to the viewers is
between 6 PM and 10 PM. The company should take appropriate steps to
see that the advertisement is exhibited in the above period and should be
shown in several channels instead of hiring one or two channels.
7. Nokia Cellular Phones should increase the frequency of their
advertisements such that the viewers get the product and characteristics of
the advertisements and share the information with their friends.
8. The advertisement can be exhibited through other media such FM radio,
Huge advertisement balloons.
9. Should use the modern computer technology like Multimedia systems to
make their advertisements more effective than their competitors.
10. The tone and words used in the advertisement of Nokia Cellular phone are
average. Hence the advertisement should be designed in such a manner
that the tone and words are good such that it attracts many viewers and the
characteristics can be shared among their friends.
11. From the study we came to know that the competitors are designing
advertisements more effectively than Nokia. Hence appropriate strategies
has to adopted such that the advertisements are more effective than their
competitors.
QUESTIONNAIRE
IMPACT OF ADVERTISEMENT OF NOKIA CELLULAR
PHONES
(Please put ‘99’ in the appropriate box provided.)
1. Personal information
a. Name :
b. Age :
c. Course :
d. College :
2. Do you know about Nokia brand?
Yes � No. � If yes how did you come to know about this brand?
Friends � Neighbours �
Family Members � Advertisement � 3. Do you own Nokia cellular phones?
Yes � No. � 4. What made you to purchase the product?
Advertisement � Brand name � Quality � Service � Price �
5. Through which medium of advertisement did you came to know about the Nokia
brand?
Television � Print Media � Boarding’s � Others �
6. Which medium do you think the advertisement reaches maximum people?
Print Media � Television � Boarding’s � word-of-mouth �
7. What type of feeling do you think the advertisement creates on the viewers?
Fear � Anxiety � Emotional � Informative � Humour �
8. Nokia advertisements exhibit Brand image
Strongly Agree � Agree � Disagree � Strongly disagree �
9. Nokia advertisements are designed to which segment of the people?
Students � Officials �
Business people � Non-workers �
10. Nokia advertisements exhibit the information about their products.
No info. � Incomplete info �
Little info. � Complete info. �
11. Nokia advertisements make you to see the advertisement again
More frequently � Somewhat frequently � Less frequently � zero frequency �
12. Do you recall the advertisement of Nokia Cellular Phones when you see some
characteristics that are related to the advertisement?
Yes � No. �
13. Which is the best time period the advertisement should be shown on Television?
7 AM to 9 AM � 9 AM to 12 PM �
12 PM to 3 PM � 3 PM to 6 PM � 6 PM to 10 PM
� 14. Should Nokia Cellular Phones have to increase the frequency of their
advertisement inorder to compete with others?
Yes � No. � 15. Nokia Cellular phones represent our culture in the advertisement when compared
to other brands.
Strongly agree � Agree �
Disagree � Strongly disagree �
16. Is there any other media through which Nokia brand can advertise its product
when compared to other brand?
Yes � No. �
If yes what is the media______________________________
17. Nokia Company should use any celebrities in its advertisement.
Need � Not needed �
Must � Cannot say �
18. When you see the advertisement Nokia cellular phones do you share the
additional characteristics of the product with your friend?
Yes � No. � 19. How do you rate the brands advertisement with regard with to the following:
��Style of the advertisement Poor � Average � Good � Great �
��Tone used in the advertisement Poor � Average � Good � Great �
��Words used in the advertisement Poor � Average � Good � Great �
20. Which brand do you think is the competitor for Nokia in terms of advertisement?
Samsung � L.G. �
Sony Ericsson. � Others �
21. Are the competitors of Nokia are creating advertisements which are effective than
Nokia.
Yes � No. �
22. Give some suggestions for Nokia cellular phones to improve the advertisement
effectiveness.
LIST OF REFERENCE:
Texts:
��PHILIP KOTLER – MARKETING MANAGEMENT, Pearson Education, 11th
edition, Page 637-661.
��A.D. Farbey – HOW TO PRODUCE SUCCESSFUL ADVERTISING, Kogan
Page India Pvt. Ltd., First Edition, Page 27, 113-126.
��C.R. Kothari – RESEARCH METHODOLOGY: Methods & Techniques,
Wishwa Prakashan, 2nd edition.
��Rajeev Batra, John G. Myers, David A. Aaker – ADVERTISING
MANAGEMENT, Pearson Education, 5th edition.
��Manendra Mohan – ADVERTISING MANAGEMENT: Concepts & Cases,
Tata McGraw Hill Publishing Company Ltd., New Delhi, 1997.
Websites:
www.nokia.com
www.inventors.about.com
www.wirelessadvisor.com
www.magindia.com
