1. Basics of advertising

2. Definition of Advertising
Advertising is defined as any Paid form of Nonpersonal Presentation and Promotion of ideas, goods and services by an Identified Sponsor Using Mass Media to Persuade or Influence an Audience.

3. Functions of Advertising
Provide Product &
Brand Information
Persuade & Provide Incentives
To Take Action
Advertising
Performs 3 Basic
Functions
Provide Reminders and
Reinforcement

4. Informative Advertising
(about new product, customer value, explanation of product working, suggesting new uses of product, informing about price change, building brand and company image)
Persuasive Advertising
Building Brand Preferences, encouraging switching to your brand, changing customer’s perception about product, persuade customers to buy now.
Reminder Advertising
Maintaining customer relationships, reminding customers about product uses, its future uses, where to buy from, etc.

5. History of Advertising
Can be traced back to recorded history
Archaeologists working in countries around mediterranean sea have dug up signs announcing various events and offers.
Romans painted walls to announce gladiator fights.
Phoenicians painted pictures promoting their wares on large rocks.
Greece towns cries announced the sales of cattle, crafted items and even cosmetics.
Modern advertising is a far cry from these early efforts.

6. Roles of Advertising Marketing Role Communication Role Economic Role
The role of marketing is to carry persuasive message to actual and potential customers
Economic Role
Advertising is a form of mass communication.
Societal Role
it makes customer stick to a product regardless of the price charged. Consumer values non-price features
Informs us about new and improved products, teaches us how to use these innovations, etc.

7. Economic role
The Economic Role advertising is that it makes customer stick to a product regardless of the price charged. Consumer values non-price features. Profits Help consumers assess value through: Price as well as through; quality Location and Reputation Opportunity cost Such price value information helps people make more rational decisions.
Advertising decreases the likelihood that the consumer will switch to an alternative product regardless of the price charged.

8. Societal role
The Societal Role Informs people about new and improved products and services that solve their problems in a better way – use of new technological products.
It mirrors fashion and design trends and make life more colorful.

9. Classifications of Advertising
By Target Audience
By Geographic Area By
Medium By
Purpose
Consumer
Business
• Local (retail)
• Regional
• National
• International
Print
Broadcast
(electronic)
– Radio
– TV
Out-of-Home
Direct-Mail
• Product
• Nonproduct
• Commercial
• Noncommercial
• Action
• Awareness

10. Scope of Advertising Product related advertising
Management delimits the scope of advertising into the following:
Product related advertising
it is concerned with conveying information about and selling a product or service.
Pioneering advertising: developing primary demand by conveying about and selling a product category rather than a brand.
Competitive advertising: seeks to stimulate selective demand . Useful when product has reached maturity stage.
Retentive advertising: useful when product has achieved a favorable status in the market.

11. Institutional advertising
Communicates and sells the name and prestige of the company.
Public service advertising
directed at the social welfare of a community or a nation.

12. Types of Advertising Interactive Advertising Brand Advertising
Public Service
Advertising
Retail or Local
Advertising
Institutional
Advertising
Political
Advertising
Business-to-
Business
Advertising
Directory
Advertising
Direct-Response
Advertising

13. Retail or Local Advertising:
Brand Advertising
Focuses on development of a long term brand identity and image.
Most visible advertising
Retail or Local Advertising:
Refer to a retailer or a manufacturer or distributor advertising who offers products in a fairly restricted geographic area.
It focus on store traffic, and creating distinctive image for the retailer.
Message announces the facts about products available in nearby stores.
Political Advertising
Politicians use advt. to persuade people to vote for them.

14. Directory advertising
It includes yellow pages, trade directories, organizational directories, etc.
Direct Response advertising
May use any advertising medium, apart from others it tries to stimulate a sale directly.
Business to Business advertising
Messages directed at retailers, wholesalers, distributors and from industrial purchasers and professionals to other businesses but not to general consumers.
Advertisements placed in publications and professional journals.

15. Institutional Advertising
Also called corporate advertising
Focus on establishing a corporate identity or winning the public over to the organizational point of view.

16. Public service advertising
Communicates a message for good cause as save trees, stop wasting water, stop drinking, etc.
Usually created free of cost and media often donate time and space.
Interactive Advertising:
Delivered to individual consumers having access to computer and internet.
Advertisers use web pages, banner ads, s.
Consumers can respond to ads or ignore it.

17. Five Players of Advertising
The Advertiser
The Advertising Agency
The Media
The Vendor
The Audience

18. Five Players of Advertising
The Advertiser is the individual or organization that usually initiates the advertising process.
Uses advertising to send out a message about its products Initiates the advertising effort by identifying a marketing problem Approves audience, plan and budget Hires the advertising agency .
need to get out the message Manufacturers Resellers Individuals Institutions, Government Agencies

19. The Advertising Agency plans and implements part or all of the advertising efforts.
May use an outside agency, or their own advertising department or in-house agency.
Has strategic and creative expertise, media knowledge, workforce talent, and negotiating abilities.

20. The Media are the channels of communication that carry the messages from the advertiser to the audience, i.e. television, magazines, radio, etc.
Are also companies or huge conglomerates
Mass media advertising can be cost effective because the costs are spread over the large number of people the ad reaches

21. Five Players of Advertising
The Vendors are a group of service organizations that assist advertisers, advertising agencies, and the media, i.e. freelance copywriters, graphic artists, photographers, etc.
The Target Audience may be the purchaser or the consumer of the product, or both. May need to design different ads for each group.
Critical to know as much about these target audiences as possible.

22. Thank You