Unlock the Insight And you’ll Sell More!

“ The obligation of
Advertising (is) to
Sell.”

David Ogilvy
 3000 300+
Messages Exposures Recall 1-3?
A Day A Day 10? Response

 How are you going to be the one that makes

the connection?

Illustrative Estimates
 YOUR :30 Spot

 Who are are?

 What are you?
 Where are you going with your degree?
 When are you getting there?
 Why are you doing that and why are you here?
Relation of Promotion Objectives, Adoption
Process, and AIDA Model
Adoption
Promotion Process AIDA
Objectives Model

Awareness Attention
Informing Interest Interest
Evaluation
Persuading Trial Desire
Decision
Reminding Confirmation Action

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin—for use only with Essentials of Marketing
 What Makes the MOST EFFECTIVE
Advertising?
 Actionable
 Produces Results
 Involves the customer
 In its communication
 In message development

 Relevant call to action

Your
 Brand Experience

 Long term relationship YOUR

REAL
JOB
Job
TYPES OF ADVERTISING
MEDIA..
@copyright Gulshan Dua, Shailja &
Aishwarya
TV COMMERCIALS..
 The world’s the most effective, most
pervasive, and most popular method of
selling products.
 Severe advertising techniques are now being
used, to attract the consumers in such a way
that the product stays in their mind.
  Advertisements should be gripping and eye
catching and this is what every brand is trying
to do.

Watch it : http://youtube.com/watch?v=fl1ZpEw0TtM :-abhi

 Technique of making a TV commercial can be
anything, bottom line is it should attract
viewers.
 Commercials are now short, to the point, much
more attractive and use amazing strategies, to
surprise their viewers.
 The latest most talked about advertisement is
LUX featuring Sharukh Khan.
 Watch it :
http://youtube.com/watch?v=C0kSzXSrWAg
:abhi..
  Using a brand ambassador for every brand is a
very common thing now.

http://youtube.com/results?search_type=search_videos&search_query=cadbury%20
  Another very popular strategy is to use kids for
almost every advertisement, whether Surf
Excel or Asian Paints, kids do it and say it all.

http://youtube.com/watch?v=2z2b8NDBzjc

http://youtube.com/watch?v=zEj-BGFvcMQ
Abhi…
PRINT ADVERTISING..
 One of the most popular and native form of
advertising, includes printing pictures in an
attractive manner.
 Print advertising is the oldest form of
advertising and is the advertising done
through newspapers, magazines, pamphlets
etc.
 Currently, the largest share of the advertising
pie in value terms goes to the print segment
followed closely by television.
 In India, print advertising is expected to grow
at 23% in 2005, compared to an expected
growth of 11.6% in TV.
 Five fundamentals of successful print
advertisements:
 attract attention
 appeal to the reader’s self-interest

 should communicate the company’s unique

advantage
 Should tell what all advantage their product has,
which others do not offer.
 It should motivate readers to take action.

@copyright Gulshan Dua, Shailja &

Aishwarya
 HUMOUR sells!! The following advertisement
proves it.

@copyright Gulshan Dua, Shailja &

Aishwarya
RADIO ADVERTISING..

http://youtube.com/watch?v=XlsAjCzI14k abhi….
 Inexpensive form of advertising, which reaches
far and wide to numerous listeners.
 A well-produced radio spot can inspire the
imagination like nothing else.
 Without a video aspect, the listener's mind is
free to wander, to conjure up splendid and
impossible scenarios to hold their interest.
 People hear radio ads usually while do
something else, so the bottom line once again
“It has to be good!”
 Three guidelines for radio commercials that
can make listeners sit up and take notice:

 Grab attention. Right from the start, a great spot should

grab and hold the listener's attention. Comedy is a common
technique.
 Keep them listening. The best radio spots make a

listener want to listen all the way through. Audience must

be able to relate to the story.
 Reward the audience. Radio isn't a direct-response

medium. The spot should close with a solid payoff

resolution of a humorous situation or some final bit of
information that helps listeners take advantage of what is
being offered.
 Radio is a powerfully emotive medium. As a
result it offers a good opportunity to talk about
brand values from a human perspective.
 Radio is a very authentic medium where the
voice can carry authority, warmth and
experience.
 Radios can be combined with the other
different forms of advertising, which can prove
beneficial for the brand.
BILLBOARD ADVERTISING..
 A billboard or hoarding is a large outdoor
signboard
 Found in places with high traffic such as
cities, roads, motorways and highways.
 Billboards show large advertisements aimed
at passing pedestrians and drivers.
 The biggest example of a digital billboard
would be the Times Square in New York, USA.
 It is a signature of America's marketing and
financial prowess, a world-famous tourist
attraction and one of the country’s most coveted
marketing communications venues.

@copyright Gulshan Dua, Shailja &

Aishwarya
ONLINE ADVERTISING..
 Internet is increasingly a part of the
media mix for advertisers as they
realize its high potential in reach and
penetration .
 The Internet has great cost advantage,
the cost per 1,000 reach is very
effective when compared to other
media.
 Types of Online Advertising are:
 Pop – Ups
 Web Banners

 Email Advertising
Pop – Ups
 Pop-up ad is an advertisements that displays in
a new browser window.
 Pop-up advertisements are a form of online
advertising on the World Wide Web intended to
increase web traffic or capture email
addresses.
 But there is a strong resentment by some web
surfers towards pop-up ads.
Emails
 Another very important way of advertising online.
 Users will make very quick decisions when they open
an email.
 Users generally consider the following:
 Usefulness - the email's content and purpose should be
immediately clear and relevant
 Usability - users need to see they can quickly find what they

want.
 Desirability - do users actual want to read on - does it feel like

a positive experience?
 Web Banners
 Web banner or banner ad is a form of
advertising on the World Wide Web.
 Rectangular, flashing boxes at the top of
WebPages on commercial sites.
 It is an advertisement graphic hyper
linked to the URL of the advertiser.
 These images are usually placed on web
pages that have interesting content.
 When the viewer clicks on the banner,
the viewer is directed to the website
advertised in the banner.
BALLOON ADVERTISING..
 Inflatables are highly visible
communicators and act as a powerful
eye catcher among the masses for
display, especially FMCG goods.
 These huge inflatables picture a
natural replica of the brand and leaves
a permanent impression and recall
value.
 Advertising inflatables and custom
balloons are simply the cheapest way
to promote any business with
satisfaction guaranteed.
 Advertising balloons are great traffic
builders.
COMPARATIVE ADVERTISING

Comparative advertising, as a special form of

advertising, is a sales promotion device that compares
the products or services of one undertaking with those
of another, or with those of other competitors.
Function of comparative advertising

To objectively demonstrate the merits of their

products.

Promotes the transparency of the market

Stimulate competition
SURROGATE ADVERTISING
 SURROGATE ADVERTISING’ IS
DUPLICATING THE BRAND IMAGE OF
ONE PRODUCT EXTENSIVELY TO
PROMOTE ANOTHER PRODUCT OF THE
SAME BRAND
ALL YOU WANTED TO KNOW
ABOUT AN AD AGENCY..
 INTERNATIONAL
ADVERTISING
AGENCIES
 DENTSU, INCOME US$ 2078.1m
 Mc CANN-ERICKSON, US$ 1857.9m
 J WALTER THOMPSON, US$ 1536.1
 OGILVY & MATHER, US$ 1,135.4m
DOMESTIC
ADVERTISING
AGENCIES
• HINDUSTAN THOMPSON
ASSOCIATES,INCOMES US$ 10,091.
• LINTAS:INDIA, US$ 8,690.
• MUDRA COMM US$ 5,585.
• O & M, US$ 4,534.
 PARTICIPANTS IN THE IMC PROCESS

Advertiser (Client)

Advertising Agency

Media Organizations Direct Sales

Response Promotion
Marketing Agencies Agencies
Communications
Specialist
Organization Public
Interactive
Relations
Agencies
Collateral Services Firms
 ADVERTISING DEPARTMENT UNDER
CENTRALIZED SYSTEM

President

Research
and Human
Production Finance Marketing
Develop- Resources
ment

Marketing Product
Advertising Sales
Research Planning
 PROS & CONS OF CENTRALIZATION

+ Positive - Negative

Better Less Goal

Communications Involvement

The
Fewer Longer
Personnel Centralized Response Time
System

Can’t Do
Continuity
Multiple Product
Of Staff
Lines
 DECENTRALIZED BRAND MANAGEMENT
SYSTEM
Corporate

Production Finance Marketing Research Human

and Resources
Development

Sales Product Marketing

Management Services

Brand Brand
Advertising Marketing
Manager Manager
Department Research
Ad agency Ad agency

Sales Package
Promotion Design

Merchandising
 PROS & CONS OF DECENTRALIZATION

+ Positive - Negative

Lack of
Concentrated
Experience
Attention
in IMC

Rapid Problem The Competition for

Response Decentralized Resources
System

Increased Lack of
Flexibility Authority
 PROS & CONS OF IN-HOUSE AGENCIES

+ Positive - Negative

Cost Less
Savings Experience

The
More Less
Control In-house Objectivity
Agency

Better Less
Coordination Flexibility
 AD AGENCIES HAVE SKILLED SPECIALISTS

Artists Writers Researchers

Photographers Media Analysts Other Skills

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 FULL-SERVICES AGENCIES
Planning
advertising Full Range of Performing
Marketing research
Creating
Communication
advertising
and Promotion
Services Selecting media
Producing
advertising

Strategic market
planning
Package design
Sales promotion Non-Advertising
and training Services Public relations
Trade show and publicity
materials
 TYPICAL FULL-SERVICE AGENCY
ORGANIZATION

Board of
Directors

Aishwarya
@copyright Gulshan Dua, Shailja &
President

VP Creative VP Account VP Marketing VP Management

Services Services Services and Finance

Writers TV Print Account Media Research Sales Office

Art Directors ProducitonProductionSupervision Promotion
Management

Traffic Traffic Account PersonnelAccountingFinance

Executive
 SERVICES PROVIDED BY AGENCIES

Agency Services

Aishwarya
@copyright Gulshan Dua, Shailja &
Account Marketing Creative
Service Services Services

The link between Research Creation and

agency and client department may execution of ads
design and execute
Managed by the research programs Copywriters,
Account Executive artists, other
Media department specialists
may analyze, select
and contract media
resources
THE ROLE OF CREATIVE BOUTIQUES

Creative
Provide Only Creative Services
Boutiques

Full-Service Agencies May

Subcontract With Creative
Boutiques

Other Functions Provided by

the Internal Client Departments
 COCA COLA’S IN-HOUSE BOUTIQUE
http://youtube.com/watch?v=gTPWsvLnp9Y
CREATED THIS POPULAR SPOT
http://youtube.com/watch?v=bXdsaYHUn1M

http://youtube.com/watch?v=XlsAjCzI14k

Aishwarya
@copyright Gulshan Dua, Shailja &
+
MEDIA BUYING CAN BE SPECIALIZED

Media
Specialize in Buying Media,
Buying Especially Broadcast Time
Services

Agencies and Clients Develop

Media Strategy

Media Buying Organizations

Implement the Strategy and
Buy Time and Space
METHODS OF AGENCY COMPENSATION
Commissions
Method

Cost-Plus
Agreements

Compensation Percentage
Methods Charges

Fee
Arrangements

Incentive-Based
Payment
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
 WHY AGENCIES LOSE CLIENTS

Personnel
changes Changes
Poor in strategy
performance
Poor Declining
communications sales
Unrealistic
demands
Changes
in size Payment
conflicts
Personality
conflicts Policy
Conflict of
interests changes

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 HOW AGENCIES GAIN CLIENTS

Referrals Presentations

Solicitations

Public Relations Image, Reputation

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 DIRECT RESPONSE AGENCY ACTIVITIES

Data Base
Media Services
Management

Direct Direct
Response Creative
Mail
Agencies

Research Production

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

ACTIVITIES PERFORMED BY SALES
PROMOTION AGENCIES

Promotion Planning

Creative Work

Aishwarya
@copyright Gulshan Dua, Shailja &
Research
Research

Coordination With
Advertising

Premium Design

Contest/Sweepstakes
Development

Data Base Marketing

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

FUNCTIONS PERFORMED BY PUBLIC RELATIONS
FIRMS

Damage
Control Generating
Strategy Publicity

Aishwarya
@copyright Gulshan Dua, Shailja &
Development

Program
Planning
Image
Portrayal
Lobbying
Public
Affairs

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 FUNCTIONS PERFORMED BY INTERACTIVE
AGENCIES

Web
Web Sites
Banner Ads

Interactive
Media Creation

Aishwarya
@copyright Gulshan Dua, Shailja &
CD-ROMs Kiosks

Audio Video

Digital
Content

Animation Special Effects

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

MARKETING RESEARCH COMPANIES
Planning and
Implementing
Research

Information
Application

Analysis and
Interpretation

Primary Data
Collection
Qualitative & Quantitative

Secondary Data
Collection

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

CHOOSE AD AGENCY
 MARKET COVERAGE
 QUALITY OF COVERAGE
 EXPERTISE TO DEVELOP CENTRAL AD
CAMPAIGN
 CREATIVE REPUTATION
 SCOPE & UTILITY OF SERVICES
 DESIRABLE IMAGE
 SIZE & TYPE OF AGENCY.
An Agency’s Art = means to
an end =
is commercial in nature.
NOT an entertainment
business
NOT a vehicle for inner self
expression

Atthe end of the day

“Did you sell more product?”
 It is MUCH easier
to produce art than
to produce art that
sells something else
Advertising Development Perspectives
 Client Says: “My Brand”
 Account Director: “My Client”
 Creative Director: “My Ad”
 Planner says: “My Consumer”
INTERNATIONAL ADVERTISING
AGENCIES

 DENTSU, INCOME US$ 2078.1m

 Mc CANN-ERICKSON, US$ 1857.9m

 J WALTER THOMPSON, US$ 1536.1

 OGILVY & MATHER, US$ 1,135.4m

DOMESTIC ADVERTISING
AGENCY

 HINDUSTAN THOMPSON ASSOCIATES,INCOMES

US$ 10,091.
 LINTAS:INDIA, US$ 8,690.

 MUDRA COMM US$ 5,585.

 O & M, US$ 4,534.

SETTING UP GLOBAL
ADVERTISING BUDGET

 PERCENTAGE OF SALES
 COMPETITTIVE PARITY

 OBJECTIVE AND TASK

 RESOURCE ALLOCATION
ADVERTISING REGULATIONS
 ADVERTISING OF VICE PDTS &
PHARAMACEUTICALS
 COMPARATIVE ADVERTISING

 CONTENT OF AD MSG

 ADS TARGETTING CHILDREN

HOW TO COPE WITH AD
REGULATIONS?
 KEEP TRACK OF REGULATIONS AND PENDING
LEGISLATIONS
 SCREEN THE CAMPAIGN EARLY ON

 LOBBYING ACTIVITIES

 CHALLENGES EGULATIONS IN COURT

 ADAPT MARKETING MIX STRATEGY

CORDINATING INT’L
ADVERTISING

 MONETORY INCENTIVES
 ADVERTISING MANUALS

 LEAD COUNTRY CONCEPTS

 GLOBAL OR PAN REGIONAL MEETINGS.

APPROACHES TO CREATING
ADVERTISING COPY

 “LAISSEZ FAIRE”
 EXPORT ADVERTISING

 PROTOTYPE STANDARDIZATION

 REGIONAL APPROACH

 PATTERN STAANDARDIZATION
 The obligation of Planning is to UNCOVER HOW to develop
a long-lasting, bonding relationship with the customer.
“ at the heart of a creative philosophy is
the belief that nothing is so powerful
as an insight into human nature,
 what compulsions drive a man,
Most Effective
 what instincts dominate his action, Advertising
Involves the customers
 even though his language so often
camouflages what really motivates
him.
 For if you know these things about (a)
KNOW man you can touch him at the core of
THIS
his being.”
Bill Bernbach
♦ WHAT is the role of an advertiser?
If you’re going to hunt wild pigs,
the first thing you’ve got to do
is learn how to be a pig.
You’ve got to think like they think,
move like they move,
and have the same instincts
for safety and danger.

Hawaiian knife hunter via Jon Steel Turn

Yourself into a
Consumer
CREATIVE STRATEGY

STANDARDIZATION VS
ADAPTATION
GLOBAL ADVERTISING
CONTINUUM

Adapted Standardized
STANDARDIZATION VS. ADAPTATION OF

INTERNATIONAL ADVERTISING Area of strategies and tactics

Standardization of creative strategy and tactics
Local Environmental Determinants
Cultural Environment
Economic Conditions A spectrum
Legal Conditions
Competition of various
Advertising Infrastructure
Consumer Profile degrees of The
Country of Origin Image
adaptation International
Firm
FirmEnvironmental Determinants
Environment Determinants influenced by advertising
Managerial
* Managerial and
and
Financial
FinancialCharacteristics
Characteristics
- Corporate
- Corporate
Strategy
Strategy
the presence strategy
- Internal
- Internal
Culture
Culture
- Decision-making
- Decision-makingauthority
authority
or absence continuum
- Financial
- Financial
condition
condition
of organization
of organization
*Nature
Natureorofproduct
product
of the local,

Intrinsic Determinants firm and

International advertising objectives
Relationship between multinational advertiser intrinsic
and advertising agency (ies)
Creative Strategies determinants
Media Strategy
Other elements of the communication mix
Support activities and barriers
Adaptation of creative
strategy and tactics
STANDARDIZED ADVERTISING
 Assumption: Consumers everywhere share the
same wants and needs
 Maintainingconsistent image
 Reducing confusion among world travelers
 Implementing single-coordinated campaign across
countries
 Reducing development, media, and other costs
PRODUCTS SUITABLE FOR
STANDARDIZED ADVERTISING
 Luxury products
 High-tech products

 Experiential products

 Favorable country image

ADAPTED ADVERTISING
 Assumption: Insurmountable cultural,
economic, infrastructural, and political
differences across countries
 Increasing effectiveness by tailoring ads to local
conditions
 Giving more freedom to subsidiaries
MERITS OF STANDARDIZATION
 SCALE ECONOMIES
 CONSISTENT IMAGE

 GLOBAL CONSUMER INSIGHTS

 CREATIVE TALENT

 CROSS FERTILIZATION
BARRIERS TO STANDARDIZATION

 CULTURAL DIFFERENCES
 ADVERTISING REGULATIONS

 MARKET MATURITY

 “NOT INVENTED HERE”(NIH) SYNDROME.

 Global Difficulties with the Communication
Process
 In China: KFC’s slogan: “Finger lickin’ good” came out as
“Eat your fingers off”
 Also in China: Coca-Cola had thousands of signs made
using the translation: “Ke-kou-ke-la”
 Depending on the dialect this means . . .
 “Bite the wax tadpole,” or

 “Female horse stuffed with wax”

 InTaiwan: Pepsi’s slogan, “Come alive with the Pepsi

generation” came out as “Pepsi will bring your ancestors
back from the dead”
PULLING AND PUSHING
PROMOTIONAL STRATEGIES
 Pulling strategy:
strategy promotional effort by a
seller to stimulate demand among final users,
who will then exert pressure on the distribution
channel to carry the good or service, pulling it
though the marketing channel
 Pushing strategy:
strategy promotional effort by a
seller to members of the marketing channel
intended to stimulate personal selling of the
good or service, thereby pushing it through the
marketing channel
 Preparing the Creative Brief
 Addresses These Key Issues:
 Who is the Typical Target Consumer?
 Demographics
 Psychographics
 Usage and Behavior
 How do Consumers View the Brand?
 What is the Role for Advertising?

How well
These are
Answered =
Key
 Preparing the Creative Brief
 Focus on the Consumer
 Written From Consumer POV
 Use THEIR terminology
 Introduces the Creative Department to the
Person They’re Talking to
 Know the Creative Team/Confidence of
ADVERTISING AWARDS
THE ADVERTISING HALL OF FAME

 The Advertising Hall of Fame, is a virtual

museum.
 Celebrates the extraordinary men and
women who have made significant
contributions to advertising and society.
 Honors the extraordinary achievements of
advertising leaders.
The Advertising Hall of Fame does the following :
 Honors the extraordinary achievements of
advertising leaders.
 Educates members of the industry and
academia.
 Inspires current and attracts future
advertising professionals.
CANNES LIONS

 The International Advertising Festival -

Cannes Lions - is the largest gathering of
worldwide marketing and advertising
professionals, as well as the most prestigious
advertising awards.
 Winning companies receive the Lion awards,
honoring the most creative TV/cinema, print,
outdoor, online, radio and integrated
advertising.
 ABBY

 These are the Indian advertising awards, which are

awarded to excellence in all the types of advertising.

Press - Foods
Silver
Agency :
Ogilvy & Mather
Brand/Client :
Cadbury Dairy Milk Chunky
Team:
Ogilvy & Mather Team
Press - Business Products & Services
Silver
Agency :
Ogilvy & Mather
Brand/Client:
Hutch
Team:
Ogilvy & Mather Team

http://youtube.com/watch?v=QafQuNpArpw
WORK FOR AD AGENCIES
ANYMORE

 This is the best of times and worst of times for Indian advertising agencies.
 The raw material of any knowledge-based industry is the people working in that
organisation..and the Advertising Agency has a short supply of it.
 The 15 per cent commission system — the reward system that is adopted by
the advertising industry around the world — is the culprit for this situation.

The Solution:
 Build ‘knowledge laboratories’
 Let fresh talent bloom
 Give more teeth to seniors
 Treat employees with care

Else, there will be notices outside advertising agencies proclaiming

‘Trespassers will be hired……...’