1. THE WORLD OF ADVERTISING

2. ADVERTISING
Advertising may be defined as the process of buying sponsor-identified media space or time in order to promote a product, service or an idea.
Advertising is any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor.

3. Relationship b/w Ads & PLC
Competitive
Comparative
Pioneering

4. Major Decisions in Advertising

5. How Advertising Works Types of Communication/Advertising Models:-
AIDA Model
DAGMAR Model
Hierarchy-Effect Model
FCB Grid

6. A.I.D.A MODEL
AIDA model is initiatory and simplest. AIDA model was presented by Elmo Lewis to explain how personal selling works. It shows a set of stair-step stages which describe the process leading a potential customer to purchase. The stages, Attention, Interest, Desire, and Action, form a linear hierarchy. Exp:- Reliance Communication GSM Launch.
Attention:- can elaborate by advertisement where Mukesh Ambani spoke about the new project being introduced on his father’s 70th birthday.
Interest:- is generated as the company spokesperson featured in the ad, as a representative of the company image and also spoke about introducing a new technology – GSM.

7. Contd…….
Desire:- was created with various offers like free SMS, 40paise STD calls, 5Rs./day, Lifetime validity and various coupons etc.
Action:- In the last stage people are moved to action in the form of buying product/Service etc.
It demonstrates that consumers must be aware of a product's existence, Be interested enough to pay attention to the product's features/benefits, and Have a desire to have benefits from the product's offerings. Action, the fourth stage, would come as a natural result of movement through the first three stages.

8. Advantages Simplest- Explain how Personal Selling works-
A set of stair-step stages-
Describe the process leading a potential customer to purchase-

9. DAGMAR Model
Russell Colley (1961) developed a model for setting advertising objectives and measuring the results. This model was entitled ‘Defining Advertising Goals for Measured Advertising Results- DAGMAR.’
DAGMAR model suggests that the ultimate objective of advertising must carry a consumer through four levels of understanding: from unawareness to Awareness—the consumer must first be aware of a brand or company Comprehension—he or she must have a comprehension of what the product is and its benefits; Conviction—he or she must arrive at the mental disposition or conviction to buys the brand; Action—finally, he or she actually buy that product.

10. Advantages Define advertising objectives and measuring the results-
unawareness to Awareness-
Easy to Understand-

11. Hierarchy-of-Effects Models
Among advertising theories, the hierarchy-of-effects model is predominant. It shows clear steps of how advertising works
Hierarchy of effects Model can be explained with the help of a pyramid.

12. KNOWLEDGE/COMPRIHENSION
Contd…….
PURCHASE
CONVICTION
PREFERENCE
LIKING
KNOWLEDGE/COMPRIHENSION
AWARENESS

13. Contd…….
Awareness:- If most of the target audience is unaware of the object, the communicator’s task is to build awareness, perhaps just name recognition, with simple messages repeating the product name. Like:- Parle-G. G mane Genius.
Knowledge:- The target market might have product awareness but not know much more; hence this stage involves creating brand knowledge. This is where comprehension of the brand name and what it stands for become important. Exp- Aircel Pocket Internet
Liking:- If target market know the product, how do they feel about it?  If the audience looks unfavorably towards the product so communicator has to find out why. Exp- India Today- Send Suggestions to us

14. Contd…….
Preference:- The target audience might like the product but not prefer it to others.  In this case, the communicator must try to build consumer preference by promoting quality, value, performance and other features. 
Conviction:- A target audience might prefer a particular product but not develop a conviction about buying it.  The communicator’s job is to build conviction among the target audience.
Purchase:- Finally, some members of the target audience might have conviction but not quite get around to making the purchase.  They may wait for more information or plan to act later.  The communicator must need these consumers to take the final step, perhaps by offering the product at a low price, offering a premium, or letting consumers tried out.

15. Advantages Predominant- Clear steps of how advertising works-
Easy to explain/understand-

16. FCB GRID
FCB grid,” is suggested by Dave Berger and Richard Vaughn. This model combines high and low involvement, and left and right brain specialization. It shows a visually coherent matrix which has four quadrants with two factors—high and low involvement, and feeling and thinking.
The communication response would certainly be different for high versus low involvement products and those which required mainly thinking (left brain) and feeling (right brain) information processing

17. FCB GRID TELLS ABOUT High Involvement: Very important decision
Lot to lose if you choose the wrong brand
Decision requires lot
Low involvement :
Little to lose if you choose the wrong brand.
Decision requires little thought
Decision is not mainly logical or objective
Decision is not based mainly on functional facts
Low Feel or emotional approach
Decision does not express one’s personality
Decision is not based on looks, tastes, touch, smell, or sound (sensory effects)

18. Advantages Helps to analyze the awareness in target audience-
Helps to create, develop, refine or sustain the awareness in the target market.

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