PROMOTION-MARKETING MIX

Advertising is a form of communication that typically attempts to persuade potential customers to purchase or to consume more of a particular brand of product or service.

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Purpose of Advertising

To Inform•When a new product is introduced.•Aimed to create demand of new product.

To Persuade•To persuade people to buy a product of a particular brand.

To Remind•To remind people of existing products.•To draw attraction of customers.

Types of Advertising

Informative AdvertisementInforming the public of a new products.For example a new car launch.

Persuasive AdvertisementTelling people that a particular brand is superior to all other brands.

Reminder AdvertisementAdds repeated again and again.

Types of Advertising

Product AdvertisementIs the promotion of a particular product or service.For example “Our mineral water is purified by the latest technology”.

Institutional AdvertisementConcerned with the promotion of overall image of the company.For example “Our company contributes to keeping the country clean”

Collective/Genetic AdvertisementAdvertisement of a product not a particular brand.For example “Drinking Milk is essential for children”Financed by all the producers of the product.

Competitive AdvertisementCarried out by different producers encouraging public to buy their brand.For example Pepsi.

Direct AdvertisementAdvertisement without involvement of any third party.For example through Direct Mail, Door-to-Door canvassing and person-to-person basis.

Indirect AdvertisementDone with the involvement of third party.Used when advertiser do not wish to appeal to a particular group of people buy to masses.For example though Television and Radio.

Advantages and Disadvantages of Advertising Of Direct AdvertisingPros:•Personal contact. Results in better communication of the message.•Suitable for product requiring lot of advise and explanation.•Cheap of smaller market.•Demonstration of product is possible.•No wasteful circulation. Limited to only target customers.Cons:•Limited coverage. Lack of man power.•People do not take this type of advertisement seriously.

Of Indirect AdvertisingPros:•Wide coverage through mass media.•Low unit cost.•Different tools of appeals can be usedCons:•Impersonal.•High absolute cost.•Wasteful circulation.

To Producer

Pros:•Increases sales.•Economies of scale through increased sales.•High profits.•Bigger market share.•Brand image is created.

Cons:•Increase in cost.•May result in price war among advertisers.•Loss in case of unsuccessful advertisement.•Imitation brand.

To Customer

Pros:•Introduction to new products.•Awareness of different brands in the market.•Lower prices due to economies of scale.•Better quality goods at cheap rates due to competition.•Certain goods and services are made available to the public at very low prices because of their income form advertisement for example newspaper and magazines.

Cons:•Higher prices of goods. Price of advertisement is added to the product.•Misleading claims.•Imitation brands.•Customers become confused.•Unnecessary purchases.

Advantages Disadvantages•Wide coverage •Wasteful circulation•Daily circulation •Reach only literate people

•Different rates depending onsize and location of ads

•Short life•Poor quality advertisement

•Low cost per exposure •No audio/visual impact

Advantages Disadvantages•Long life •Inflexible•Better quality •Infrequent•Targeted •No audio/visual impact•Still cheap •Suitable only for literate people•Low cost per exposure

Advertising Media

• Newspaper

• Magazines

Advantages Disadvantages•Wide coverage •No visual impact•Audio impact •Exposure life is very short•Can reach illiterate people •Ads fail to get attention

•Targeted. (Ads between programs) •Becoming less popular

•Low cost

Advantages Disadvantages•Audio and Visual impact •High absolute cost•Lost cost per exposure •Wasteful circulation•Wide coverage •Fail to get attention

• Radio

• Television

1. Cost Budget2. Type of message Includes detail or not

3. Type of product Requires demonstration/Requires Audio and visual impact

4. Target Teenagers/Housewives/Professionals

5. Market Local/National/International

6. Government policy Does government allow such types of ads

Factors affecting choice of Advertisement Media

THANK YOU-BY ASHISH