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Project Thesis
On
“The impact of advertisement of
consumer’s goods on customer’s brand
preference”
1
Report on
“The impact of advertisement of
consumer’s goods on customer’s brand
preference”
Supervised BY
Ms. Mustari Alam
Assistant Professor, Department of business
Administration Stamford University Bangladesh
Submitted By
Mithun kumar basak
Masters of business Administration(MBA)
2
Stamford University Bangladesh
Letter of Transmittal
Date: 8.8.2011
To
Ms. Mustari Alam
Assistant Professor, Department of business Administration
Stamford University, Bangladesh.
Sub: The Impact of Advertisement of consumer goods on customer brand
preference.
Dear Madam,
It is my great pleasure to submit you this kind of report. I’m giving
special thanks to you for your much cooperation to prepare this kind of
report. It is a great enjoyable and challenging experience for me. I
gathered a lot of experience doing the report. I also observed the practical
implementation of the different types of advertisement of consumer
goods on customer brand preference. In my whole M.BA session I was
known about the theory about the impact of advertisement of consumer
goods on customer brand preference in an advertisement and now I have
experienced from my practical experience while asking different types of
questions to different level of consumer about their attention to the
advertisement. And finally I have gathered vast information about
consumer choices in an advertisement through questionnaires
I again give thanks to my honorable advisor for her cooperation.
Sincerely yours,
Mithun kumar basak
3
Id: MBA 044 12157
Program: M B.A (Marketing)
Letter of Authorization
This is to certify that Mithun kumar basak. ID MBA 044 12157. Along
with the Batch 44th
, department of MBA Stamford University Bangladesh
has successfully completed his study with a full length research report on
“The Impact of Advertisement of consumer goods on customer brand
preference”.
During this period he acquired practical knowledge about “The impact of
advertisement of consumer goods on customer brand preference”.
His overall performances were quite satisfactory.
I wish him every success in life.
………………..
Ms. Mustari Alam
Assistant Professor, Department of business Administration
Stamford University Bangladesh
4
Acknowledgement
This is my great opportunity to prepare this project thesis as the
requirement of the master of business administration of Stamford
University Bangladesh. First of all I am very grateful God. I would
like to think my parents for encourage me to prepare this report.
At first I would like to give special thank to my honorable madam Ms.
Mustari Alam. who has given me the proper guidance to prepare this
report on the impact of advertisement of consumer goods on customer
brand preference For her great cooperation I was able to make this repot
properly.
Secondly, I would like to give the special acknowledgement to the
respondents. If they did not respond then it was not possible to make this
report. They helped me in filling the questionnaires.
5
TABLE OF CONTENTS
CHAPTERS PARTICULARS PAGE
NO
1 ABSTRACT 9
2 INTRODUCTION 10
3 OBJECTIVE 11
4 RESEARCH METHODOLOGY 12
5 SCOPE OF STUDY
6 LIMITATIONS
7 LITERATURE REVIEW 12
8 ADVERTISING 14
i. DEFINITION
ii. ORIGIN AND DEVELOPMENT OF
ADVERTISING
iii. MEDIA ADVERTISING
18
20
9 ADVERTISING OBJECTIVES 27
10 ADVERTISING PLANNING FRAMEWORK
i. THE ADVERTISING PLAN
ii. THE EXTERNAL FACTORS
28
29
30
11 ADVERTISING INDUSTRY
i. ADVERTISING AGENCY
ii. ADVANTAGES AND DISADVANTAGES
31-32
iii. ADVERTISING BUDGET 33
12 MEDIA BRIEF
i. DIFFICULTIES IN SELECTION OF
MEDIA
TYPES
34
35
13 BRAND
i. DEFINITION
ii. SIX LEVELS OF MEANING
iii. BRAND-FROM CONSUMER’S POINT
OF VIEW
iv. BRAND- FROM MANUFACTURER’S
POINT OF
VIEW
v. BRAND AWARENESS
vi. BRAND KNOWLEDGE
vii. BRAND RECOGNITION
viii. BRAND IMAGE
43
6
14 BRAND PREFERENCE
i. ABOUT BRAND PREFERENCE
ii. IMPORTANCE OF BRAND
PREFERENCE
iii. BASIC COMMUNICATION MODE
iv. BRAND PREFERENCE CHOICE
CRITERIA
v. BRAND ENDORSEMENT BY
CELEBRITIES
vi. SCOPE OF CELEBTITY ON BRAND
PREFERENCE
vii. SUCCESSFUL CELEBRITY
ENDORSEMENTS
viii. ADVANTAGES AND
DISADVANTAGES OF
CELEBRITY ENDORSEMENTS
ix. NEED FOR CELEBRITY
ENDORSEMENTS
47
50
15 INFLUENCE OF ADVERTISING ON
CUSTOMER’S
BRAND PREFERENCE
16 ADVERTISING RESEARCH
i. IMPORTANCE OF ADVERTISING
RESEARCH
ii. MEDIA RESEARCH
61
17 IMPACT OF COLOUR ON CUSTOMER’S
BRAND
PREFERENCE
65
18 IMPACT OF PACKAGING
i. FORMS OF PACKAGING
ii. ii. SIGNIFICANCE OF A TRADE
MARK
67
18 ANALYTICAL INTERPRETATION
i. TABLES
ii. CHARTS
69-94
19 FINDINGS 95
20 SUGGESTIONS
21 CONCLUSIONS 97
REFERENCES 98
7
ABSTRACT
Advertising is a form of communication used to help sell products and
services. Typically it communicates a message including the name of the
product or service and how that product or service could potentially
benefit the consumer. However, Advertising does typically attempt to
persuade potential customers to purchase or to consume more of a
particular brand of product or service. Modern advertising developed with
8
the rise of mass production in the late 19th and early 20th centuries. The
crescendo of celebrities endorsing brands has been steadily increasing
over the past 20 years or so. Marketers overtly acknowledge the power of
celebrity in influencing buyer's purchase decision. They have firm believe
that likeability or a favorable attitude towards a brand is created by the
use of a celebrity. The crore of rupees spent per year on celebrity
endorsement contracts show that celebrities like Amitabh Bachchan,
Sharukh khan and Sachin Tendulkar play an important role for the
advertising industry. It is an established fact that celebrity endorsement
can bestow unique features or special attributes upon a product that it
may have lacked otherwise.
My thesis deals with the impact advertisement creates on a customer’s
preference of a brand. In other words, how does an ad in a television,
radio, newspaper ,hoardings and banners lure a customer to go and
purchase the product. Does he purchase because of the benefits or
because he liked the advertisement which has created a positive impact
on him.
INTRODUCTION
Advertising is the means of informing as well as influencing the general
public to buy products or services through visual or oral messages. A
product or service is advertised to create awareness in the minds of
potential buyers. Some of the commonly used media for advertising are
T.V., radio, websites, newspapers, magazines, bill-boards, hoardings etc.
As a result of economic liberalization and the changing social trends
advertising industry has shown rapid growth in the last decade.
9
Advertising is one of the aspects of mass communication. Advertising is
actually brand-building through effective communication and is
essentially a service industry. It helps to forms the basis of marketing.
Advertising plays a significant role in today's highly competitive world.
A career in advertisement is quite glamorous and at the same time
challenging with more and more agencies opening up every day. Whether
its brands, companies, personalities or even voluntary or religious
organizations, all of them use some form of advertising in order to be able
to communicate with the target audience. The salary structure in
advertising is quite high and if you have the knack for it one can reach the
top. It is an ideal profession for a creative individual who can handle
work-pressure. Today, new areas are emerging within advertising like
event management, image management, internet marketing etc. Event
management wherein events are marketed, Image management wherein a
a particular profile of an individual or an organization is projected.
Internet marketing has also brought about a lot of changes in advertising
as Internet means that one is catering to a select group of audience rather
than a mass audience .Today 'Celebrity Endorsement' has attracted
immense debate on whether it really contributes to the brand building
process or whether it is just another lazy tool to make the brand more
visible in the minds of the consumers.
Although it has been observed that the presence of a well-known
personality helps in solving the problem of over-communication that is
becoming more prominent these days, there are few undesirable impacts
of this practice on the brand. The issue of matching the values of the
celebrity with the brand values is also very important, i.e. getting the right
celebrity to endorse the right brand. Consumers perceive the brand as
having superior quality because it has been endorsed by a credible source.
This makes endorsement as one of the indictors of quality for any brand.
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Corporate credibility along with endorser credibility plays a significant
role in the attitude of the consumer towards the brand and the
advertisement respectively. On the other hand, the over popularity of the
celebrity sometimes overshadows the brand.
OBJECTIVES:
1) A study on the impact of electronic media on brand preference.
2) A study on the impact of print media on brand preference.
3) A study on the impact of other media on brand preference.
RESEARCH METHODOLOGY AND RESEARCH DESIGN:
Primary data:
- Through questionnaire.
Secondary data:
- Through internet
Sample Procedure : Random sampling
11
Research design: the primary data and secondary data will be studied and
analyzed appropriately and interpreted to extract certain facts. Whenever
necessary statistical tools and financial tools like tabulation, graphs etc
will be used to present the findings effectively.
SCOPE OF THE STUDY
This project helps in projecting the impact of advertisement on
customer’s brand preference. It also shows how celebrity endorsement
impact customers.
LIMITATIONS
1. An in depth study might not be done because of time constraints.
2. The study will be conducted in Dhaka city only.
LITERATURE REVIEW
Advertising, sales promotion and public relations are mass-
communication tools available to marketers. As its name suggests, mass
communication uses the same message for everyone in an audience. The
mass communication tools trade off the advantage of personal selling, the
opportunity to tailor a message to each prospect, for the advantage of
reaching many people at a lower cost per person (Etzel et al., 1997).
Today, definitions of advertising abound. We might define it as
communication process, a marketing process, an economic and social
process, a public relations process or information and persuasion process
(Arens, 1996). Dunn et al. (1978) viewed advertising from its functional
perspectives, hence they define it as a paid, non-personal communication
through various media by business firms, non-profit organization, and
individuals who are in some way identified in the advertising message
and who hope to inform or persuade members of a particular audience.
Morden (1991) is of the opinion that advertising is used to establish a
12
basic awareness of the product or service in the mind of the potential
customer and to build up knowledge about it. Kotler (1988) sees
advertising as one of the four major tools companies use to direct
persuasive communications to target buyers and public noting that “it
consists of non-personal forms of communication conducted through paid
media under clear sponsorship”. According to him, the purpose of
advertising is to enhance potential buyers’ responses to the organization
and its offering, emphasizing that “it seeks to do this providing
information, by channeling desire, and by supplying reasons for
preferring a particular organization’s offer. While writing on advertising
nature and scope, Etzel et al. (1997) succinctly.
Capture all advertising as having four features:
(i) A verbal and or visual message
(ii) A sponsor who is identified
(iii) Delivery through one or more media
(iv) Payment by the sponsor to the media carrying the message.
Summarizing the above, they conclude that “advertising then consist of
all the activities involved in presenting to an audience a nonpersonal,
sponsor- identified, paid-for message about a product or organization”.
Those views of Etzel et al. (1997) coincide with the simple but all-
embracing definitions of Davies (1998) and Arens (1996). For instance,
while Davies states that “advertising is any paid form of non-personal
media presentation promoting ideas/concepts, good s or services by an
identified sponsor. Arens expressing almost the same view describes
advertising as “the personal communication of information usually paid
for and usually persuasive in nature about products (goods and services)
or ideas by identified sponsors through various media”. From the
foregoing, it could be concluded that the purpose of advertising is to
cerate awareness of the advertised product and provide information that
13
will assist the consumer to make purchase decision, the relevance of
advertising as a promotional strategy, therefore, depends on its ability to
influence consumer not only to purchase but to continue to repurchase
and eventually develop-brand loyalty. Consequently, many organizations
expend a huge amount of money on advertising and brand management.
A brand is a name given by a manufacturer to one (or a number) of its
products or services. Brands are used to differentiate products from their
competitors. They facilitate recognition and where customers have built
up favorable attitude towards the product, may speed the individual
buyers through the purchase decision process. Individual purchasers will
filter out un favorable or un-known brands and the continued purchase of
the branded product will reinforce the brand loyal behavior. Without
brands, consumer couldn’t tell one product from another and advertising
then would be nearly impossible
14
Advertising is a non-personal form of promotion that is delivered through
selected media outlets that, under most circumstances, require the
marketer to pay for message placement. Advertising has long been
viewed as a method of mass promotion in that a single message can reach
a large number of people. But, this mass promotion approach presents
problems since many exposed to an advertising message may not be
within the marketer’s target market, and thus, may be an inefficient use
of promotional funds. However, this is changing as new advertising
technologies and the emergence of new media outlets offer more options
for targeted advertising. Advertising also has a history of being
considered a one-way form of marketing communication where the
message receiver (i.e., target market) is not in position to immediacy
respond to the message (e.g., seek more information). This too is
changing.
For example, in the next few years technologies will be readily available
to enable a television viewer to click a button to request more details on a
product seen on their favorite TV program. In fact, it is expected that over
the next 10-20 years advertising will move away from a one-way
communication model and become one that is highly interactive. Another
15
characteristic that may change as advertising evolves is the view that
advertising does not stimulate immediate demand for the product
advertised.
That is, customers cannot quickly purchase a product they see
advertised. But as more media outlets allow customers to interact with the
messages being delivered the ability of advertising to quickly stimulate
demand will improve.
Advertising is only one element of the promotion mix, but it often
considered prominent in the overall marketing mix design. Its high
visibility and pervasiveness made it as an important social and encomia
topic in Indian society. Promotion may be defined as “the co-ordination
of all seller initiated efforts to set up channels of information and
persuasion to facilitate the scale of a good or service” promotion is most
often intended to be a supporting component in a marketing mix
promotion decision must be integrated and co-ordinate with the rest of the
marketing mix, particularly marketing mix strategy. The promotion mix
consists of four basic elements.
They are-
 Advertising
 Personal selling
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 Sales promotion, and
 Publicity
Advertising is the dissemination of information by non-personal means
through paid media where the source is the sponsoring organization.
 A personal selling is the between audience and employees of the
sponsoring organization. The source of information is the
sponsoring organization.
 Sales promotion is the dissemination of information through a
wide variety of activities other than personal selling, advertising
and publicity. Which stimulate consumer purchasing and dealer
effectiveness.
 Publicity is the disseminating of information by personal or non-
personal means and is not directly paid by the organization and the
organization is not source.
DEFINITION OF ADVERTISING
The word advertising originates from a Latin word
advertise, which means to turn to. The dictionary meaning of the term is
“to give public notice or to announce publicly” .Advertising may be
17
defined as the process of buying sponsor-identified media space or time
in order to promote a product or an idea.
The American Marketing Association, Chicago, has defined advertising
as “any form of non-personal presentation or promotion of ideas, goods
or services, by an identified sponsor.”
ORIGIN AND DEVELOPMENT OF ADVERTISING
It has been wrongly assumed that the advertising function is of recent
origin. Evidences suggest that the Romans practiced advertising; but the
earliest indication of its use in this country dates back to the middle Ages,
when the use of the surname indicated a man’s occupation. The next
stage in the evolution of advertising was the use of signs as a visual
expression of the tradesman’s function and a means of locating the source
of goods. This method is still in common use. The seller in primitive
times relied upon his loud voice to attract attention and inform consumers
of the availability of his services. If there were many competitors, he
relied upon his own personal magnetism to attract attention to his
merchandise. Often it became necessary for him to resort to persuasion to
pinpoint the advantages of this products. Thus, the seller was doing the
complete promotion job himself. Development of retail stores, made the
traders to be more concerned about attracting business. Informing
customers of the availability of supplies was highly important. Some
types of outside promotion were necessary. Signs on stores and in
prominent places around the city and notices in printed matters were
sometimes used When customers were finally attracted to the store and
satisfied with the service at least once, they were still subjected to
competitive influences; therefore, the merchant’s signs and
advertisements reminded customers of the continuing availability of his
services. Sometimes traders would talk to present and former customers
18
in the streets, or join social organizations in order to have continuing
contacts with present and potential customers.
As the markets grew larger and the number of customers increased, the
importance of attracting them also grew. Increasing reliance was placed
on advertising methods of informing about the availability of the
products. These advertising methods were more economical in reaching
large numbers of consumers. While these advertising methods were
useful for informing and reminding, they could not do the whole
promotional job. They were used only to reach each consumer personally.
The merchant still used personal persuasion once the customers were
attracted to his store. The invention of hand press increased the
potentialities of advertising. By Shakespeare’s times, posters had made
their appearance, and assumed the function of fostering demand for
existing products. Another important event was the emergence of the
pamphlet as an advertising medium. The early examples of these
pamphlets disclose their sponsorship by companies want to generate
goodwill for their activities. The low cost of posters and handbills
encouraged a number of publishers to experiment with other methods.
Media of Advertising
Print Media Electronic Media other Media
1.Newspaper 1.Radio 1.Hoardings
2.Periodicals 2.Television 2.Posters
Print Media
19
Print media is a very commonly used medium of
advertising by businessman. It includes advertising through newspaper,
magazines, journals, etc. and is also called press advertising.
a) Newspapers
You must have read Newspapers. In our country newspapers are
published in English, Sinhala and Tamil. These are the sources of news,
opinions and current events. In addition, Newspapers are also a very
common medium of advertising. The advertiser communicates his
message through newspaper which reaches to millions of people.
Advantages
• Newspaper normally have wide circulation and a single
advertisement in the newspaper can quickly reach to a large
number of people.
• The cost of advertising is relatively low because of wide
publication. Generally newspapers are published daily. Thus, the
same advertisement can be repeated frequently and remind reader
everyday The matter of advertisement can be given to newspaper at
a very short notice. Are even last minute change in the content is
also possible .this makes advertising quite flexible.
Limitations
• Newspaper are read soon after they are received and then are kept
generally in some corner of the houses after 24 hours we get a fresh
newspaper and this makes the life of the newspaper short.
• People read newspaper mainly for news and pay casual attention to
advertisement.
20
• Illiterate persons can not read and thus, newspaper advertising does
not benefit them.
b) Periodicals
Periodicals are publications which come out regularly but not on a daily
basis. These may be published on a weekly, fortnightly, monthly,
bimonthly, quarterly or even yearly basis. For example you must have
come across magazines and journals like India Today, Femina, etc. All
these periodicals have a large number of readers and thus, advertisements
published in them reach a number of people.
Advantages
• Periodicals have a selected readership and so advertisers can know
about their target customers and accordingly selective
advertisements are given.
Limitations
• Advertising in periodicals is costlier.
• The numbers of people to whom the advertisement reach are small
in comparison to newspaper.
• The advertisement materials are given much in advance hence last
minute change is not possible. This reduces flexibility
Electronic Media
This is a very popular form of advertising in the modern day
marketing. This includes Radio, television and Internet.
Radio Advertising
21
All of us are aware about a radio and must have heard advertisement for
various products in.it. In radio there are short breaks during transmission
of any programmed which is filled by advertisements of products and
services. There are also popular programmers sponsored by advertisers.
Advantages
• It is more effective as people hear it on a regular basis.
• It is also useful to illiterates, who can not read and write.
• There are places where newspapers reading may not possible, but
you can hear radio.
For example, you can hear radio while traveling on road or working at
home; but you can not read newspaper. Similarly, while driving you can
hear a radio but cannot read a newspaper.
Limitations
A regular listener may remember what he has heard. But, occasional
listeners tend to forget what they have heard in Radio.
The message that any advertisement wants to communicate may not
be proper as there is no chance to hear it again immediately. There may
be some other disturbances that distort communication.
In comparison to Television, Radio is less effective as it lacks visual
impact.
Television Advertising
With rapid growth of information technology and electronic
media, television has topped the list among the media of advertising. TV
has the most effective impact as it appeals to both eye and the ear.
22
Advantages
It is most effective as it has an audio-visual impact.
With catchy slogans, song and dance sequences, famous personalities
exhibiting products, TV advertising has a lasting impact.
With varieties of channels and programmes advertisers have a lot of
choice to select the channel and time to advertise.
With regional channels coming up any person even illiterates can
watch the advertisements and understood it by seeing and hearing.
Limitations
TV advertisements are usually expensive to prepare as well as to
telecast.
With almost every manufacturer trying to communicate their message
through TV advertising the impact among the viewers is also reducing.
Now-a-days people are switching on channels whenever there is a
commercial break.
Internet
It is the latest method of communication and gathering information.If you
have a computer and with an access to internet you can have information
from all over the world within a fraction of second. Through internet you
can go to the website of any manufacturer or service provider and gather
information. Sometimes when you do not have website addresses you
take help of search engines or portals.
Advantages
Information from all over the world is made available at the
doorsteps.
User can see the advertisement at their own time and as per their
requirement.
Limitations
It is not accessible without a computer.
It is not very suitable for general public.
23
It is not suitable for illiterate and those having no knowledge
about the operation of Internet.
Other Media
All the media of advertising discussed above are mostly used by
consumers while they are at home or inside any room, except radio and
newspapers or magazines to some extent. Moreover in all these media,
the consumer has also to spend some money to access the advertisement.
However, there are other media available, where the consumer has to
spend nothing and he can see such advertisements while moving outside.
Some of such advertising are hoardings, posters, vehicular displays, gift
items, etc.
Hoardings
While moving on roads you must have seen large
hoardings placed on iron frames or roof tops or walls. These are normally
boards on which advertisements are painted or electronically designed so
that they are visible during day or night. The advertisers have to pay an
amount to the owners of the space, where the hoardings are placed.
Posters
Poster are printed and posted on walls, buildings, bridges
etc to attract the attention of customers. Posters of films which are
screened on cinema halls are a common sight in our country.
Vehicular displays
24
You must have seen advertisements on the public
transport like buses, trains, etc. Unlike hoardings these vehicles give
mobility to advertisements and cover a large number of people.
What Advertisement Is?
Advertisement is a mass communicating of information
intended to persuade buyers to by products with a view to maximizing a
company’s profits.
The elements of advertising are:
25
It is a mass communication reaching a large group of consumers.
It makes mass production possible.
It is non-personal communication, for it is not delivered by an actual
person, nor is it addressed to a specific person.
It is a commercial communication because it is used to help assure
the advertiser of a long business life with profitable sales.
Advertising can be economical, for it reaches large groups of people.
This keeps the cost per message low.
The communication is speedy, permitting an advertiser to speak to
millions of buyers in a matter of a few hours.
Advertising is identified communication. The advertiser signs his
name to his advertisement for the purpose of publicizing his identity.
Advertising Objectives
Each advertisement is a specific communication that must
be effective, not just for one customer, but for many target buyers. This
means that specific objectives should be set for each particular
advertisement campaign. Advertising is a form of promotion and like a
promotion; the objectives of advertising should be specific. This requires
26
that the target consumers should be specifically identified and that the
effect which advertising is intended to have upon the consumer should be
clearly indicated. The objectives of advertising were traditionally stated
in terms of direct sales. Now, it is to view advertising as having
communication objectives that seek to inform persuade and remind
potential customers of the worth of the product. Advertising seeks to
condition the consumer so that he/she may have a favorable reaction to
the promotional message. Advertising objectives serve as guidelines for
the planning and implementation of the entire advertising programme.
The basic objectives of an advertising programme may be
listed as below:
To stimulate sales amongst present, former and future consumers. It
involves a decision regarding the media, e.g., TV rather than print ;
To communicate with consumers. This involves decision regarding
copy;
To retain the loyalty of present and former consumers. Advertising
may be used to reassure buyers that they have made the best purchase,
thus building loyalty to the brand name or the firm.
 To increase support. Advertising impliedly bolsters the morale of the
sales force and of distributors, wholesalers, and retailers, ; it thus
contributes to enthusiasts and confidence attitude in the organization. :
ADVERTISING PLANNING FRAMEWORK
Plans are nothing, planning is everything.
The advertising management is mainly concerned with
planning and decision making. The advertising manager will be involved
in the development, implementation, and overall management of an
27
advertising plan. The development of an advertising plan essentially
requires the generation and specification of alternatives. Decision making
involves choosing from among the alternatives. The alternatives can be
various levels of expenditure, different kinds of objectives or strategy
possibilities, and kinds of options with copy creation and media choices.
Thus, the essence of planning is to find out the feasible alternatives and
reduce them to decisions. An advertising plan reflects the planning and
decision – making process and the decisions that have been arrived at in a
particular product and market situation.
The Advertising Plan
As pointed out earlier, advertising plan and decision making focus on
three crucial areas; objectives and target selection, message strategy and
tactics, and media strategy and tactics. Let us elaborate on these points:
1. Objectives and Target Selection
28
Objectives in advertising can be understood in many ways.
An important part of the objective is the development of a precise,
disciplined description of the target audience. It is often tempting to direct
advertising at a broad audience; but everyone is a potential customer. It is
best to consider directing the advertising to more selected groups to
develop stimulating copy. It is quite possible to develop several
campaigns, each directed at different segments of the market, or to
develop one campaign based on multiple objectives.
2. Message Strategy and Tactics
Messages strategy must decide what the advertising is meant to
communicate – by way of benefits, feelings, brand personality, or action
content. Once the content of the campaign has been decided, decisions
must be made on the best-most effective-ways of communicating that
content. The decisions, such as the choice of a spokesperson, the use of
humor or fear or other tones, and the selection of particular copy, visuals,
and layout, are what we call “message tactics”
3. Media Strategy and Tactics
Message strategy is concerned with decisions about how
much is to be allocated to create and test advertising copy, media strategy
concerns decisions on how many media rupees to spend on an advertising
campaign. Media tactics comprise the decisions on which specific media
(television, radio magazines, etc.) or media vehicles (Reader’s Digest,
etc.) to spend these dollars.
EXTERNAL FACTORS
29
The external factors in the planning framework are
environmental, social and legal considerations. To a considerable extent,
these exist as constraints on the development of an advertising plan and
decision making. In developing specific advertisement, there are certain
legal constraints that must be considered. Deceptive advertising is
forbidden by law. What is deceptive is often difficult, because different
people can have different perceptions of the same advertisements. Thus,
an advertiser who attempts to provide specific, relevant information must
be well aware of what constitutes deception in a legal and ethical sense
and of other aspects of advertising regulation.
Even more difficult consideration for people involved in the advertising
effort is broad social and economic issues as stated below.
Does advertising raise prices or inhibit competition?
Is the use of sex or fear appeals is appropriate? Women and minority
groups are exploited in advertising by casting them in highly stereotyped
roles.
Is it more irritating than entertaining?
Is an intrusion into an already excessively polluted environment?
Advertising directed at children.
Advertising Industry
The advertising industry consists of three principal groups:
Sponsors;
Media; and
30
Advertising agencies or advertising departments.
Advertising agencies are of two basic types, viz., Independent; and
House. An independent agency is a business that is free to compete for
and select its clients. A house agency is owned by its major client. A
house agency is not completely free to serve other clients. The advertising
department an integral part of the organization it serves.
The advertising agency provides for the client a minimum
of:
Media information, such as the availability of time and space
Creative skills, such as “campaign planning” and “appeal planning”
Research capabilities, such as providing brand preference data.
What is an Advertising Agency?
An advertising agency is an independent organization set up to render
specialized services in advertising in particular and in marketing in
general. Advertising agencies started as space brokers for the handling of
the advertisements placed in newspapers. Over the years, the function of
the agencies has changed. Their main job today is not to aid media but to
serve advertisers.
Advantage of Using Agencies
The marketer gains a number of benefits by employing agencies. An
agency generally has an invaluable experience in dealing with various
advertising and marketing issues.
The lessons which agency learned in working with other clients are
useful inputs for the marketer.
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An agency may employ specialists in the various areas of preparation
and implementation of advertising plans and strategies.
The personnel are not members of the marketer’s management team.
They bring objective and unbiased viewpoints to the solution of
advertising and other marketing problems.
The discounts that the media offer to agencies are also available to
advertisers. This is a strong stimulus to them to use an agency, for the
media cost is not much affected thereby.
 The company normally does not have as many types of specialists asa
large or medium-sized advertising agency has because an agency can
spread the costs or its staff over many clients. It can do more for the same
amount of money.
The company can also get an objective, outside viewpoint from an
agency, assuming that the agency representatives are not acting as “Yes
man” in order to keep the advertiser’s account.
A related point is that the company can benefit from the agency’s
experience with many other products and clients.
Another advantage is that agency feels a greater pressure than the
company’s own department to produce effective results. The relations
between an agency and a client are very easy to terminate; but it is
difficult to get rid of an ineffective advertising department.
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The manner in which agencies are compensated, the use of an
agency may not cost the advertiser a single paisa.
ADVERTISING BUDGET
The size of the advertising budget can have an impact
upon the composition of the advertising mix. In general, a limited
promotion budget may impel the management to use types of promotion
that would not be employed otherwise, even though they are less effective
than the others.
Industrial firms generally invest a larger proportion of their budgets in
personal selling than in advertising, while the reverse is true of most
producers of consumer goods. Organizations with small budgets may be
forced to use types of advertising that are less effective than others.
Some marketers find it necessary to restrict their efforts primarily to
personal selling and publicity. There are organizations with small
promotion budget which take the opposite course of action. They
concentrate on advertising and sales promotion, and neglect other
methods. Some marketers advertise in expensive ways (through classified
advertisement in newspapers and magazines) and spend virtually nothing
on personal selling. There is universal difficulty of relating advertising
expenditures to sales and profit results. Determining the results of
advertising and consequently the amount of money to be allocated in
advertising budget.
Are complicated by several major difficulties as follows:
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The effects of external variables such as population, or income,
changes on economics conditions and competitive behavior;
Variations in the quality of advertising;
Uncertainly as to the time-lag effect of advertising; and
The effect of the firm’s other marketing activities, such as product
improvement and stepped-up personal selling. The above complexities
make the companies resort to more than one method of determining the
size of their advertising budget. Advertising Budget involves the
allocation of a portion of the total marketing resources to the advertising
function in a firm. The size of the budget allocation should be based on
the potential contribution that advertising can make. Advertising
budgeting should be based on a careful analysis of the opportunity for
using advertising.
Media Brief
Each medium has its merits and its handicaps. The
suitability and profitability of any one type varies from manufacturer to
manufacturer and may vary for a single manufacturer too. Changes are
the only rule. The buyers constitute his market; they are to receive his
advertising coverage consists of the advertiser’s reaching the maximum
number of these buyers include both his current and prospective
customers. The advertiser has to determine how many there are and
where they are. Then the selection process involves how to send an
effective advertising message economically to the group of buyers, the
length of the campaign period and the cost which he can afford-at a figure
which will make the advertising effort profitable.
Difficulties in Selection of Media Types
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Audience Measurement:
The media sell circulation or the opportunity to develop circulation.
There is a gross aspect to circulation (how many products were bought
last month) and a net aspect (how many of those purchasers are prospects
for the product saw the advertisement in the broadcast media).
Measurement of the same is not as easy as advertisers would think.
Reliance on a Particular type of Medium:
How much of his promotion effort should a manufacturer place in
magazines and how much on TV, how much in outdoor or point of
purchase? Which should be dominant and which are supplementary?
These factors play a key role in selection of a particular type of media.
Media costs, the costs of space and time, are the largest single expense
item in most advertising budgets. The selection of media types to be used
in an undertaking, therefore, deserves and even demands, the very best
thought and judgment of on the part of the top management. The points to
be considered are:
Availability: Regional markets may be so limited that national
circulation of gazines should not be used. A product may have so slight a
market that a medium such as the radio would not be indicated for use.
Se l e c t iv i t y: Some ideas demand visual presentation and others
demand oral presentation. The radio cannot accommodate stories
requiring a physical form, and outdoor advertising cannot accommodate
long stories.
Co mp et i t io n: is a matter which the advertiser cannot ignore.
Acompany may select media types not used by its competitors, based on
distinctiveness and domination.
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Selection of Individual Media
Selection of individual media to carry advertising requires the
consideration of the points like circulation; the quality and quantity of a
medium’s circulation, Prestige, Influence, Readership, etc.
Duplication
An advertiser must have coverage or else his message
will not reach as many buyers as he must reach. As an advertiser adds
magazine after magazine to his list to increase his coverage; he finds
duplication inevitable. One way of averting duplication is to use only one
of the magazines; another is to run a different advertisement. The
duplication limits an advertiser’s coverage. The points in favour of
duplication are repetition and frequency.
Frequency
The term frequency refers to the number of advertisements of the
same size appearing in an individual medium for a given period such as
per day, per week, per month, or per campaign. There is no formula to
determine the ideal frequency. The two factors are the size of the
advertising fund and the size of the advertisement to be run. If these are
known, frequency can be derived. The two other factors are the number
of media and the advertising period. As the number of media increases,
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there is pressure for a lower frequency, or to shorten the advertising
period. The other possibilities are to enlarge the fund, or to reduce the
size of the advertisement. Manufacturers cannot ignore the fact that what
the competitors are doing in respect of frequency. The more often a
message is repeated, the greater the proportion of it the consumer
remembers.
Size of advertisement
The size of advertisement influences the frequency. The size of an
advertisement can be derived if the advertiser:-
 Determines the size of the advertising fund,
Decides the numbers of individual media to be used, and
Decides the number of advertisements to appear during the
advertising period.
The purpose of the advertisement may be the strongest influence in
determining its size; a large space is used to announce, a small space is
used to remain. The amount of copy, the number of products included in
one advertisement and the illustration needs of the advertisement all help
to determine size. Salesmen and dealers may also decide how large
advertisements should be.
Colour
Colour is a factor which influences frequency. Colour
influences the size of the advertisement and size in turn determines
frequency. Colour commands a premium price.
Re-run on Advertisement
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Repetition has a considerable effect on advertising costs, and its
frequency. Re-run is considered unless it has performed well on its first
appearance. It is most common in mail order business and advertising that
uses small space. It is not common for large advertisements. Indirect
action advertisements should be re-run. The reinforcement of consumer
memory is another benefit of a re-run. There are savings on a re-run. New
readers are added whenever and advertisement is re-run.
Positioning
It involves the development of a marketing strategy for a
particular segment of the market. It is primarily applicable to products
that are not leaders in the field. These products are more successful if
they concentrate on specific market segments than if they attack dominant
brands. It is best accomplished through an advertising strategy, or theme,
which positions advertisements in specified market segments
 To project an image. Advertising is used to promote an overall image
of respect and trust for an organization. This message is aimed not only at
consumers, but also at the government, shareholders, and the general
public.
.
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Perhaps the most distinctive skill of professional marketers is
their ability to create, maintain, protect, and enhance brands. The
American Marketing Association defines a brand as follows: “A Brand is
a name, term, sign, symbol, or design, or a combination of them, intended
to identify the goods or services of one seller or group of sellers and the
differentiate them from those of competitors”. In essence, a brand
identifies the seller or marker. It can be name, trademark, logo, or other
symbol.
Under trademark law, the seller is granted exclusive rights to the use of
the brand name in perpetuity. Brands differ from other assets such as
patents and copyrights, which have expiration dates. A brand is
essentially a seller’s promise to deliver a specific set of features, benefits,
and services consistently to the buyers. The best brands convey a
warranty of quality. But a brand is an even more complex symbol. It can
convey up to six levels of meaning:
Attributes: a brand brings to mind certain attributes.
Mercedes suggest expensive, well-built, well-engineered, durable, high-
prestige .
Benefits: attributes must be translated into functional and
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emotional benefits. The attribute “durable” could translate into the
functional benefit. The attribute “expensive” translates into the emotional
benefit.
Culture: the brand may represent a certain culture. The
Mercedes represents German culture: organized, efficient, high quality.
Personality: the brand can project a certain personality.
Mercedes may suggest a no-nonsense boss (person), a reigning lion
(animal), or an austere palace (object)
User: the brand suggests the kind if consumer who buys or
uses the product. We would expect to see a 55-year-old top executive
behind the wheel of Mercedes, not a 20-year- old secretary. If a company
treats a brand only a name, it misses the point. The branding challenge is
to develop a deep set of positive associations of the brand. Marketers
must decide at which level(s) to anchor the brands identity. One mistake
would be to promote only attributes. First, the buyer is not as interested in
attributes as in benefits. Second, competitors can easily copy attributes.
Third, the current attributes may become less desirable later.
Promoting the brand only on one benefit can also be risky. Suppose
Mercedes touts its main benefit as “high performance”. Then several
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competitive brands emerge with high performance as compared to other
benefits. Mercedes needs the freedom to maneuver into a new benefit
positioning.
From consumer’s point of view:
Identification of source of product
Assignment of responsibility to product maker
Risk reducer
Search cost reducer
Promise, bond, or pact with maker of product
Symbolic device
Signal of quality
Brands identify the source or maker of a product and allow consumers to
assign responsibility to a particular manufacturer. From an economic
perspective, brands allow consumers to lower search costs for products
both internally and externally.
Consumers offer their trust and loyalty with the implicit understanding
that the brand will behave in certain ways and provide them utility
through consistent product performance and appropriate pricing,
promotion, and distribution programs and actions. Brands can serve as
symbolic devices, allowing consumers to project their self-image.
Certain brads are associated with being used by certain types of people
and thus reflect different values or traits. Researched have classified
products and their associated attributes into three major Final Assignment
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Brand Management categories: search goods, experience goods and
credence goods. There is difficulty in assessing and interpreting product
attributes and benefits so with experience and credence goods, brands
may be particularly important signals of quality. Brands can reduce the
risk in product decisions. These risks involve functional, physical,
financial, social psychological and time risk.
From manufacturer’s point of view:
Means of identification to simplify handling
Means of legally protecting unique features
Signal of quality level to satisfied customers
Means of endowing products with unique associations
Source of competitive advantage
Source of financial returns
Brands help manufacturers to organize inventory and accounting records.
A brand also offers the firm legal protection for unique features of the
product. A brand can retain intellectual property rights, giving legal title
to the brand owner. Brands can signal a certain level of quality so that
satisfied buyers can easily choose the product again. This brand loyalty
provides predictability and security of demand for the firm and creates
barriers of entry that make it difficult for other firms to enter the market.
BRAND AWARENESS
Whether it is a serial in a regional satellite channel or a
One Day International cricket match, there is a non-stop stream of
advertisements, which clutter the commercial break. Well-established
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brands attempt to sustain brand recall while new ones try appealing to
prospective consumers to get into their `consideration’ set. There are ads
for children, housewives and youth. With advertising expenditure in the
order of Rs. 8000 Crores per annum in the recent times and the
proliferation of brands across categories, there is a strong need to
consider the effectiveness of these advertisements. The idea is not to
cease advertising but to consider how considering decisions would
have to be considered with non-advertising alternatives. These non-
advertising alternatives may also enable a brand to create and sustain
consistent associations, which may be desirable in terms of long-term
implications. A contemporary approach that creates a synergy between
various aspects of a promotional mix (advertising included) provides a
refreshing approach towards marketing communications. There may be
several objectives of advertising and a promotional mix could be used in
an innovative manner to address each of these objectives depending on
the product category and target segment.
Brand Knowledge
Brand knowledge refers to brand awareness (whether and when
consumers know the brand) and brand image (what associations
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consumers have with the brand). The different dimensions of brand
knowledge can be classified in a pyramid (adapted from Keller 2001).
which each lower-level element provides the foundations of
the higher-level element. In other words, brand attachment stems from
rational and emotional brand evaluations, which derive from functional
and emotional brand associations, which require brand awareness. Brand
knowledge measures are sometimes called “customer mindset” measures
because they capture how the brand is perceived in the customer’s mind.
The Brand Knowledge Pyramid
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Brand awareness measures the accessibility of the brand in memory.
Brand awareness can be measured through brand recall or brand
recognition. Brand recall reflects the ability of consumers to retrieve the
brand from memory when given the product category, the needs fulfilled
by the category, or some other type of probe as a cue.
Brand Recognition
Brand recognition reflects the ability of consumers to confirm prior
exposure to the brand (i.e., recognize that it is an “old” brand that they
have seen before and not a “new” brand that they are seeing for the first
time).
Ina recognition task, consumers see a stimulus (e.g., an ad for
the brand, a brand name) and must say whether they have seen it before
(e.g., last night on television, in magazine X, etc.).
It is important to make the task as realistic as possible by allowing only a
short amount of time to answer the recognition question and by using
realistic stimuli and context. If you want to use recognition as a measure
of the performance of different marketing decisions (say, different logos
or ads), you should expose one group to one version of the target stimulus
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and another group to the other version of the target stimulus. However, to
make the task more realistic, both groups should also be exposed to other
stimuli (e.g., competitors' brands). In a second step, people see the “old”
stimuli again, along with completely new ones, and are asked to decide if
each stimulus is “old” or “new” (i.e., if they have seen them before or
not).
Brand Image
Brand image is defined as consumer perceptions of a brand
and is measured as the brand associations held in consumers’ memory. To
measure brand image, you can either use and adapt an existing list of
brand associations or start from scratch by eliciting brand associations
and then measuring the strength of these associations. The outcome of
this exercise is usually a short list of the positive and negative
associations consumers have with the brand, ranked by strength. For
comparison purposes, it is useful to report the average strength of each
association with the brand and the strength of the association with
competing brands, and to do this for each target segment (e.g., brand
users and users of competing brands).
Brand preference
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People begin to develop preferences at a very early age.
Within any product category, most consumers have a group of brands that
comprise their preference set. These are the four or five up market brands
the consumer will consider when making a purchase. When building
preference, the goal is to first get on the consumer’s preference sets, and
then to move up the set’s hierarchy to become the brand consumers prefer
the most – their up market brand. Gaining and maintaining consumer
preference is a battle that is never really won. In every product category,
consumers have more choices, more information and higher expectations
than ever before. To move consumers from trial to preference, brands
need to deliver on their value proposition, as well as dislodge
someone else from the consumer's existing preference set.
Preference is a scale, and brands move up, down and even off that scale
with and without a vigilant brand management strategy. Pricing,
promotional deals and product availability all have tremendous impact on
the position of our brand in the consumer’s preference set. If all things are
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equal, the best defense is to make us more relevant to
consumers than the competition. The brands potential can only be
fulfilled by continually reinforcing its perceived quality, up market
identity and relevance to the consumer. The same branding activities that
drive awareness also drive preference. And, while awareness alone will
not sustain preference, it will improve the brand’s potential for building
and maintaining preference. With a great story and a large enough
investment, awareness can be attained rather quickly. It takes time,
however, and constant revaluation to build brand preference. Aristotle
professed, “We are what we repeatedly do. Excellence then is not an act
but a habit.” Attaining and sustaining preference is an important step on
the road to gaining brand loyalty. The ability to generate more revenue,
gain greater market share and beat off the competition is the reward given
by consumer toward particular brand.
Brand preference is the Selective demand for a company's brand rather
than a product; the degree to which consumers prefer one brand over
another. In an attempt to build brand preference advertising, the
advertising must persuade a target audience to consider the advantages of
a brand, often by building its reputation as a long-established and trusted
name in the industry. If the advertising is successful, the target customer
will choose the particular brand over other brands in any category.
This brings us to the question of why people prefer one
brand over another. Some people like smoking Marlboro, while others
prefer Camel or Winston. Is this because they have tried all cigarette
brands before they chose one for them?
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The reality is that different kinds of products have different
images appealing to different people.
Other than the addition of television and the Internet as highly effective
media, there have been few changes in advertising since its birth. Yet the
mysteries about what is “good” or “bad” advertising prevail. The truth is
that if your ads do not change brand preference, they are not doing their
job.
If they do change brand preference, people will be three times
more likely to purchase your product. The point to reiterate is that simply
getting someone to remember your ad will not change whether or not they
buy your product.
Basic communications model for development of
brand preference
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To better understand the process of brand preference, let's first look at a
basic communications model. The five components of this model are
sender, medium, filter, receiver, and feedback. On a daily basis, we are
exposed to messages (sender/medium) via our radio, television,
billboards, Internet, mail, and word-of-mouth. Although these messages
are pervasive, we continually screen out (perceptual screen) or ignore
content that has little or no relevance to us. All messages are coded
patterns and sensations – colours, sounds, odours, shapes, etc. Those
messages deemed recognizable, or a basis for a relationship, are decoded
and stored in our memory (filter/screen).
A successful convergence between sender and receiver
will result in some type of response to a brand's compelling message
(feedback). Stored experiences in our long-term memory are connected
through a series of nodes and networks. Consumer prefer particular brand
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because they find it easier to interpret what benefits brand offers feel
more confident of it and get more satisfaction from using it . Because of
such consumer preference, the brand can charge a higher price, command
more loyalty, and run more efficient marketing programmers .The brand
preference therefore command a higher asset value.
Brand Preference choice criteria
There are six criteria choose brand preference. The first three element
categorized as “Brand building” in terms of how brand preference can be
built up. And last three elements are known as “defensive” because it
preserved in the face of different opportunity or different brands available
in market.
Memorable: How easily particular brand are recalled?
Meaningful: To what extent particular brand prefer in
corresponding
category? Does it suggest something about a product ingredient or
the type of person who might use the brand?
Likeability: How aesthetically appealing do customer finds the
brand
element? Is it inherently likeable visually, verbally and in other ways?
Transferable: Can the brand element be used to introduce in new
product in the same or different categories?
Adaptable: How adaptable and updatable is the brand element?
Protectable: How legally protectable is the brand element? How
comparatively protectable?
Brand Endorsement by Celebrities
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The motif behind total branding may be decocted as an
attempt to amalgamate diverse activities to win customer preference. The
crescendo of celebrities endorsing brands has been steadily increasing
over the past years. Marketers overtly acknowledge the power of
celebrities in influencing consumer-purchasing decisions. It is a
ubiquitously accepted fact that celebrity endorsement can bestow upon a
product special attributes it might not otherwise have. But everything is
not honky- dory; celebrities are after all mere mortals made of flesh and
blood like us. If a celebrity can aggrandize the merits of a brand, he or
she can also exacerbate the image of a brand.
If I may take the liberty of rephrasing Aristotle’s quote on anger, "Any
brand can get a celebrity. That is easy. But getting a celebrity consistent
with the right brand, to the right degree, at the right time, for the right
purpose and in the right way... that is not easy." Celebrity endorsements
are impelled by virtue of the following motives: -
Instant Brand Awareness and Recall
Celebrity values define, and refresh the brand image
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Celebrity adds new dimensions to the brand image
Instant credibility or aspiration PR coverage
Lack of ideas
Convincing clients
Successful Celebrity Endorsements for a Brand - An Indian
Perspective
The latter part of the '80s saw the burgeoning of a new trend
in India - brands started being endorsed by celebrities. Hindi film and TV
stars as well as sports-persons were roped in to endorse prominent brands.
Advertisements featuring stars like Tabassum (Prestige Pressure Cooker),
Jalal Agha (Pan Parag), Kapil Dev (Palmolive Shaving Cream) and Sunil
Gavaskar (Dinesh Suitings) became common. Of course, probably the
first ad to cash in on star power in a strategic, long-term, mission
statement kind of way was for Lux soap, a brand which has, perhaps as a
result of this, been among the top three in the country for much of its
life-time. We had the Shah Rukh-Santro campaign with the objective of
mitigating the impediment that an unknown Korean brand faced in the
Indian market. The objective was to garner faster brand recognition,
association and emotional unity with the target group. Similarly,
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when S. Kumar's used Hrithik Roshan, then the hottest
advertising icon for their launch advertising for Tamarind, they reckoned
they spent 40-50 per cent less on media due to the sheer impact of using
Hrithik. Ad recall was as high Witness the spectacular rise of Sania Mirza
and Irfan Pathan in endorsements in a matter of a few months.
Advantages of a Celebrity Endorsing a Brand
Establishment of Credibility: Approval of a brand by a star fosters
a
sense of trust for that brand among the target audience - this is especially
true in case of new products
Ensured Attention: Celebrities ensure attention of the target group
by
breaking the clutter of advertisements and making the ad and the brand
more noticeable.
PR Coverage : This is another reason for using celebrities. Managers
perceive celebrities as topical, which create high PR coverage.
Higher Degree of Recall: People tend to commensurate the
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personalities of the celebrity with the brand, thereby, increasing the recall
value.
Associative Benefit: A celebrity’s preference for a
brand gives out a persuasive message - because the celebrity is benefiting
from the brand, the consumer will also benefit.
Mitigating a Tarnished Image : Cadbury India wanted to restore the
consumer's confidence in its chocolate brands following the high-pitch
worms’ controversy; so the company appointed Amitabh Bachchan for
the job. It helps to reform the company’s image.
.
Psychographic Connect: Celebrities are loved and
adored by their fans and advertisers use stars to capitalise on these
feelings to sway the fans towards their brand.
Demographic Connect: Different stars appeal differently to various
demographic segments (age, gender, class, geography, etc.).
Mass Appeal: Some stars have a universal appeal and, therefore,
prove to be a good bet to generate interest among the masses.
Rejuvenating a Stagnant Brand: With the objective of infusing
fresh life into a stagnant brand celebrities are used.
Disadvantages of a Celebrity Endorsing a Brand
The celebrity approach has a few serious risks: -
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Reputation of the Celebrity may Derogate after
he/she has endorsed the Product: The behaviour of the celebrities
reflect on the brand, celebrity endorsers may at times become liabilities to
the brands they endorse.
The Vampire Effect: This terminology pertains to the issue of
a celebrity overshadowing the brand. If there is no congruency between
the celebrity and the brand, then the audience will remember the celebrity
and not the brand.
Inconsistency in the Professional Popularity of the
Celebrity: The celebrity may lose his or her popularity due to some lapse
in professional performances.
Multi Brand Endorsements by the Same Celebrity
would Lead to Over-exposure: The novelty of a celebrity endorsement
gets diluted if he does too many advertisements. This maybe termed as
commoditization of celebrities, who are willing to endorse anything for
big bucks.
Mismatch between the Celebrity and the Image of the
Brand: Celebrities manifest a certain persona for the audience. It is of
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paramount importance that there is an egalitarian congruency between the
persona of the celebrity and the image of the brand. Each celebrity
potrays a broad range of meanings, involving a specific personality and
lifestyle Despite the obvious economic advantage of using relatively
unknown personalities as endorsers in advertising campaigns, the choice
of celebrities to fulfill that role has become common practice for brands
competing in today's cluttered media environment.
Influence of advertising on consumer’s brand preference
The essence of being in business by any business outfits is
to produce for sales and profits. In order to remain in business an
organization must generate enough sales from its products to cover
operating costs and post reasonable profits. For many organizations, sales
estimate is the starting point in budgeting or profit planning.
It is so because it must be determined, in most cases, before
production units could be arrived at while production units will in turn
affect material purchases. However, taking decision on sales is the most
difficult tasks facing many business executives.
This is because it is difficult to predict, estimate or determine
with accuracy, potential customers’ demands as they are uncontrollable
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factors external to an organization. Considering, therefore, the importance
of sales on business survival and the connection between customers and
sales, it is expedient for organizations to engage in programmes that can
influence consumers’ decision to purchase its products. This is where
advertising and brand management are relevant. Advertising is a subset of
promotion mix which is one of the 4ps in the marketing mix i.e product,
price, place and promotion. As a promotional strategy, advertising serve
as a major tool in creating product awareness and condition the mind of a
potential consumer to take eventual purchase decision. When competition
is keen and the consumers are faced with brand choice in the market, it
becomes imperative for the manufacturers to understand the major factors
that can attract the attention of buyers to his own brand.
Major tools companies use to direct persuasive communications to target
buyers and public noting that “it consists of non- personal forms of
communication conducted through paid media under clear sponsorship”.
According to him, the purpose of advertising is to
enhance potential buyers’ responses to the organization and its offering,
emphasizing that “it seeks to do this providing information, by
channeling desire, and by supplying reasons for preferring a particular
organization’s offer. From the foregoing, it could be concluded that the
purpose of advertising is to cerate awareness of the advertised product
and provide information that will assist the consumer to make purchase
decision, the relevance of advertising as a promotional strategy, therefore,
depends on its ability to influence consumer not only to purchase but to
continue to repurchase and eventually develop-brand loyalty.
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Consequently, many organizations expend a huge amount of money on
advertising and brand management. A brand is a name given by a
manufacturer to one (or a number) of its products or services. Brands are
used to differentiate products from their competitors. They facilitate
recognition and where customers have built up favorable attitude towards
the product, may speed the individual buyers through the purchase
decision process. Individual purchasers will filter out unfavorable or un-
known brands and the continued purchase of the branded product will
reinforce the brand loyal behaviour. Without brands, consumer couldn’t
tell one product from another and advertising then would be nearly
impossible. Advertiser’s primary mission is to reach prospective
customers and influence their awareness, attitudes and buying behaviour.
They spend a lot of money to keep individuals (markets) interested in
their products.
To succeed, they need to understand what makes potential
customers behave the way they do. The advertisers goals is to get enough
relevant market data to develop accurate profiles of buyers-to-find the
common group (and symbols) for communications this involves the study
of consumers behaviour: the mental and emotional processes and the
physical activities of people who purchase and use goods and services
tosatisfy particular needs and wants.
It tries to determine the factors that influence consumer
behaviour, especially the economic, social and psychological aspects
which can indicate the most favoured marketing mix that management
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should select. Consumer behaviour analysis helps to determine the
direction that consumer behaviour is likely to make and to give preferred
trends in product development, attributes of the alternative
communication method etc.
Consumer behaviours analysis views the consumer as another
variable in the marketing sequence, a variable that cannot be controlled
and that will interprete the product or service not only in terms of the
physical characteristics, but in the context of this image according to the
social and psychological makeup of that individual consumer (or group of
consumers). Advertising helps in projecting product quality and value
before the consumers. Advertising has a major influence on consumers’
preference and it has, in no small measure, contributed to its success. The
same thing goes for its quality. The stage a product is in its life cycle is
very important to a marketer as it help in determining the type of
marketing strategies to be embarked upon in respect of the said product.
ADVERTISING RESEARCH
Advertising research is a branch of marketing research, and is both a sort
of insurance to avoid wasting money on in effective advertising and a
means of monitoring the effectiveness of a campaign while it is running
and after the campaign has ended. It is also possible and advantageous to
60
ling advertising research with other forms of marketing research which
the company is undertaking. Today the advertisers have the benefits of
many sorts of research, and they are usually recommended and
commissioned by an advertising agency. In fact, in its own interest a
good advertising agency may insist on the use of research to ensure that it
produces and conducts successful advertising.
“The advertising research is applications of marketing research aimed at
the measurement of advertising effectiveness and improves advertising
efficiency. The primary aim of advertising is to sell an idea, goods or
services whereas the ultimate goal of research is to measure the impact of
advertising on sales of that idea, good or service.”
Research is not confined to testing creativity. There is a wealth of
independently researched statistical information on sales, readership and
audience figures regarding all the principle media so that the most
economic media can be used. In addition to this it is possible to control
the duration of appearance of an advertisement by assessing when enough
people have had the opportunity to see the advertisement a sufficient
number of times. This is in line with the IPA definition of advertising
which refers to presenting “the most persuasive selling message to the
right prospects for the product or service at the lowest possible cost.”
Importance of advertising research
Advertising deals with many imponderables. Its aim is to
influence the minds and emotions of millions of prospective buyers. It is
61
a mass demand creation device, so its message must be standardized.
Furthermore, conditions in the market are constantly changing. It is also
expensive and highly competitive. In view of the many difficult problems
which overwhelmed advertising a great deal of attention is devoted to the
development of research techniques to provide better knowledge on
which to base advertising decisions. The two areas are embracing the
most pressing problems are those of advertising copy and advertising
media. The ethics and effectiveness of advertising are highly
controversial subjects. Measuring of advertising effectiveness poses
many challenging questions to those who create, sell and utilize
advertisements. It is a widely accepted fact that advertising is a great
force linking the producer and the consumer. The need of research in
advertising is also significant because a tremendously large number of
people are dependent for their earnings from this area.
MEDIA RESEARCH
Media selection is finding the most cost effective media to deliver the
desired number and type of exposures to the target audience. The media
planner has to know the capacity of the major media types to deliver
reach, frequency and impact. The major media types are T.V., newspaper,
radio, magazines or journals etc.
PRINT MEDIA
For many years advertisers have not been satisfied with circulation data
as the sole yardstick for buying advertising media. It has been clearly
demonstrated that the number of readers of a given copy of a publication
not only significantly exceeds circulation but also varies from gross
circulation figures as between various publications. An increasing amount
of research has been applied in resent years to the measurement of actual
reading audiences. Techniques for measuring reading audiences are now
sufficiently perfected so that these data are generally accepted and widely
employed. Newspapers and magazines are the most common types of
62
print media. As the media circulation increases so, does the attractiveness
of a newspaper or magazine to an advertiser, and the medium may raise
the advertising rates. The best way to measure a publications’ is through
measuring its readership or total audience. Media buyers need to know
the accurate circulation and readership figures to compare costs among
various publications that reach similar audiences.
BROADCAST MEDIA
The most extensive research in connection with broadcasting media is the
measurement of listening and viewing audiences. The following methods
are commonly employed.
The recall method:
The recall method obtains its data through listener surveys in which the
respondent is asked to report the television and radio programs he heard
during a specified period of time previous to the interview.
The diary method:
In the coincidental diary method a form listing broadcasting stations and
time periods is left with the respondent, who makes notations of
programs received. The diaries are usually designed so that they can be
attached to the radio or television set for convenient recording. The chief
advantage of this method is that the respondent records his listening or
viewing at the time, thus eliminating the burden on memory. It also has
the advantage of making it possible to obtain classification data regarding
the listener or viewer.
The coincidental method:
In this method investigators call telephone subscribers according to a
predetermined sampling pattern. It provides more accurate data than other
survey methods, since it eliminates the necessity for memory or entries in
63
a diary. Also it is based on a report of actual viewing or listening rather
than mechanical evidence that the radio set was operating.
The audiometer method:
The audiometer is attached to TV or radio sets at random in the homes of
potential consumers. The device maintains on a magnetic tape a
continuous record of the set in usage channel on and the station channel
to which tuned. Its advantage is that with the aid of audiometer one can
accurately measure the set in use from a valid sample. Its disadvantage is
that it does not indicate who is watching the set or listening to a radio set.
It only records whether the set is tuned on to a particular channel or
station. It tells nothing about the audience presence and their behavior.
Advertising research is not conducted much in India. This is because
Indian companies are not much aware of the techniques of its research
and the benefit they can get out of this activity. Of late, they are now
spending huge amount on advertisements released in various media. But
they do not initiate to find whether expenditure made by them is bringing
some worthwhile results in the form of increased sales and profits. If yes,
to what extent the increase in sales is due to advertising. Because the
increase in sales is due to other factors operating in the market place.
Therefore, it is the high time that the Indian business organizations
understand the importance of advertising and measure its effectiveness.
For any firm incurring expenditure on advertising, it is essential that
some percentage of the advertising budget should be embarked for the
advertising research .
Impact of colour on customer’s brand preference
64
Color is part of our daily
lives. People use colors to express themselves and their emotions, to
adapt to weather conditions (e.g., dark colors are used in winter to absorb
the heat better while light colors are used in the summer to stay fresh),
and also to simply help themselves feel confident with their bodies and
appearance.
Research indicates that over 80% of visual information is related to
color: i.e., color conveys information. It identifies a product or a
company, as well as the quality of the merchandise and much more .
Color can influence consumers’ purchase decisions, how they see things,
their emotions, and thus it is integral to marketing. Color photographs are
commonly used in ads because they are thought to have superior attention
getting properties.
For this reason, it is extremely important to understand
how color affects attitudes, beliefs, and feelings. Marketers can then
65
apply such knowledge to develop effective promotional strategies and
tactics.
For instance, a package can be designed to appear taller
or shorter: e.g., light-colored packaging may make a package appear
larger, whereas darker colors may minimize the perceived size . The right
colors communicate meaning and please the eye, whereas the wrong
colors can be unpleasant and even unsettling. As a marketing tool, color
can also be a subliminally persuasive force.
As a functional component of human vision, color can
capture attention, relax or irritate the eyes, and affect the legibility of text.
All things considered, the right colors empower and contribute to the
success of an advertising campaign, a product, a service, or even an
interior space.
In contrast, using the wrong colors can be a costly mistake.
Colors can also influence customers’ emotions, positively or negatively.
Previous research has shown a consistent association of colors with
certain feelings
Impact of Packaging Requirements of good packaging
Functional - effectively contain and protect the contents
Provide convenience during distribution, sale, opening, use, reuse,
be environmentally responsible
66
Be cost effective
Appropriately designed for target market
Eye-catching (particularly for retail/consumer Sales)
Communicate attributes and recommended use of the product and
package
Compliant with retailers' requirements
Promotes image of enterprise
Distinguishable from competitors' products
Meet legal requirements for product and Packaging
Point of difference in service and supply of Product.
For a perfect product, perfect colour.
Forms of packaging
Specialty packaging — emphasizes the elegant character of the
product
Packaging for double-use
Combination packaging two or more products packaged in the
Kaleidoscopic packaging — packaging changes continually to
reflect a series or particular theme
Packaging for immediate consumption — to be thrown away after
use
Packaging for resale — packed, into appropriate quantities, for the
retailer or wholesaler.
Trademarks
Significance of a trademark
67
Distinguishes one company's goods from those of another
Serves as advertisement for quality
Protects both consumers and manufacturers
Used in displays and advertising campaigns
Age group of respondents.
AGE GROUP OF
RESPONDENTS
NO. OF RESPONDENTS
20-25 50
26-30 42
31-35 22
36-40 29
41-45 7
68
Figure 1. Survey Report
Inference:
The survey conducted shows that most of the respondents were of the age
group of 20-25 years and the least respondents were of 41-45 years.
1. Respondents of different gender.
RESPONDENTS NO. OF RESPONDENTS
MALE 86
FEMALE 64
69
Figure 2.Survey Report
Inference :
This chart shows that mostly the male are more interested in branded
products than the female category.
3. Which are the favourite brands?
FAVOURITE BRANDS NO. OF RESPONDENTS
LEVIS 40
PEPE JEANS 13
WEST SIDE 12
ADIDAS 28
70
NIKE 16
SONY 16
REEBOK 15
Figure 3.Survey Report
Inference:
In this chart it is clear that the most liked brand is Levis followed by
Adidas which are both apparel companies.
4. Why the brands are preferred by the respondents?
PREFERENCE CRITERIA NO. OF RESPONDENTS
QUALITY 62
COMFORTABLE 42
STYLISH 23
RELIABLE 16
FEATURES 7
71
Figure 4.Survey Report
Inference:
The brands like Levis and Adidas and many more are liked by the
respondents because of the good quality which shows a percentage of 41
and comfortable which has a percentage of 28.The brands are even liked
because they are stylish, reliable and because of its features.
5. From where you get the information about these brands?
INFORMATION SOURCE NO. OF RESPONDENTS
NEWSPAPERS 32
TELEVISION 66
RADIO 6
INTERNET 10
HOARDINGS 11
WORD OF MOUTH 25
72
Figure 5.Survey Report
Inference:
The respondents said that they got the information of these brands from
different media like television, newspaper, radio and word of mouth etc.
according to the survey television has given information to 44%
respondents, newspaper to 215, through word of mouth to 17%
respondents, from radio to 4% internet 7% and last hoardings to 7% of
respondents. This shows that a television creates more impact on
customer.
6. If you are searching for information of a brand which
media will you look for?
MEDIA PREFERENCE NO. OF RESPONDENTS
PRINT MEDIA 25
ELECTRONIC MEDIA 79
OTHER MEDIA 17
WORD OF MOUTH 29
73
Figure 6.Survey Report
Inference
In this chart the respondents have said about their preference of media to
get information about their brands 53% have said that they prefer
electronic media like television, internet 17% have voted for print media
like newspaper, magazines 19% said that they go with word of mouth
from friends, family, relatives, etc. and 11% choose other media.
7. Do you rely on advertisement?
DO YOU RELY ON
ADVERTISEMENT
NO. OF RESPONDENTS
YES 58
NO 24
SOMETIMES 56
RARELY 12
74
Figure7.Survey Report
Inference
The respondents were asked whether they believe on advertisements.39%
said that they rely on advertisements and utilize theinformationgiven,16%
said that they do not believe,37% said that they sometmes believe if they
find the information rational, and 8% rarely believe.
8. Do you change your perception of a product by just seeing
the advertisement?
CHANGE OF PERCEPTION
DUE TO ADVERTISEMENT
NO. OF RESPONDENTS
YES 21
NO 52
SOMETIMES 59
RARELY 18
75
Figure 8.Survey Report
Inference
In this chart respondents were asked if they change they thinking about a
product after seeing advertisement 14% said that it is rarely that change
their perception after seeing an advertisement.
9. Do you think advertisement is necessary for your decision
making?
NECESSITY OF
ADVERTISEMENT IN
DECISION MAKING
NO. OF RESPONDENTS
ALWAYS NECESSARY 36
SOMETIMES NECESSARY 88
NOT NECESSARY 26
76
Figure 9.Survey Report
Inference
In the survey respondents were asked how much they feel advertisement
is necessary in their decisin making 24% said that it is always necessary
in decision making, 59% said that advertisement sometimes plays a
necessary part when they take a decision, and 17% said that
advertisement is not necessary in decision making .
10. What are the factors which influence your decision
making process?
FACTORS INFLUENCE
DECISION MAKING PROCESS
NO. OF RESPONDENTS
PRODUCT FEATURES 55
ADVERTISEMENT 29
COST 37
OPINION OF FRIENDS 20
OTHERS 9
77
Figure 10.Survey Report
Inference
This chart shows what are the factors considering which a respondent will
be influenced to decide to buy a product.37% said that the features of the
product will influence them,19% said that advertisement will influence
them to decide as they will get lots of formation about the product,25%
said that the cost of the product makes them decide to buy a product,13%
said that they will go by the opinion of friends and rest 6% said that there
may be other factors which will influence them to decide
11. What do you look for in an advertisement?
WHAT YOU LOOK FOR IN AN
ADVERTISEMENT
NO. OF RESPONDENTS
PRICE 59
BENEFITS 32
BRAND ENDORSERS 20
OFFERS 18
QUALITY 21
78
Figure 11.Survey Report
Inference
In the survey the respondents were asked what are the apspect that they
see in anad..40% said that they see the price,21% said that they see that
benefits shown in thaad.,13% see the brand endorsers,12% see the offers
given and 14% see the quality tp of the product shown in the ad. This
shows that in larger amount customers see the price aspect when they see
an ad .
12. Do you purchase a product just because your favorites
celebrity is endorsing it?
DO IT YOU PURCHASE A
PRODUCT BECAUSE YOUR
FAVOURITE CELEBRITY IS
ENDORSING
NO. OF RESPONDENTS
YES 72
NO 50
SOMETIMES 28
79
Figure12. Survey Report
Inference
In this chart the question asked to the respondents was if they purchase a
product because their favorite celebrity is endorsing a particular product.
13. Do you purchase a product just by getting attracted to
the product?
DO YOU PURCHASE BY
GETTING ATTRACTED TO
THE PRODUCT
NO. OF RESPONDENTS
YES 45
NO 29
SOMETIMES 60
RARELY 16
80
Figure13.Survey Report
Inference
According to the survey the 30% respondent said that they buy a product
by getting attracted to it,19% said that they do not buy by getting
attracted ,40% said that sometimes by getting at traced they buy the
product and 11% said that rarely the get attracted and purchase a product.
14. What are the factors in an advertisement which will
make you change your brand loyalty?
FACTORS WHICH CHANGE
BRAND LOYALTY
NO. OF RESPONDENTS
BENEFITS 35
VALUE FOR MONEY 50
NEW FEATURES 28
DISCOUNT 19
WORD OF MOUTH 18
81
Figure 14.Survey Report
Inference
The respondents were asked what are the reasons which will make them
change their brand loyalty.23% said that the benefits of another product
may make them change their brand loyalty,33% said that the value for
money may make them change,19% said that new features in another
product may compel them,13% said discounts offered by another brands
may make them switchers, and last word of mouth from friends and
family may make them like another brand.
15. If you hear the name of a brand through advertisement
what do you recall?
WHAT YOU RECALL FROM
ADVERTISEMENT
NO. OF RESPONDENTS
MUSIC 56
TAG LINE 27
ENDORSERS 21
PRODUCT 26
82
Figure 15.Survey Report
Inference
The respondents were asked what they can recall after they see or hear an
ad..38% of the respondents said that they can recall the music which was
played in the ad.,18%can remember the tag line,14% they remember the
brand endorser, 17% can recall only the product and 13 % they recall the
benefits that were shown in the ad. This makes it clearly evident that
music in an ad. makes it possible for consumers to recall the particular
brand.
16. What are the things that should be highlighted in an
advertisement?
WHAT SHOULD BE
HIGHLIGHTED IN AN
ADVERTYISEMENT
NO. OF RESPONDENTS
BENEFITS 35
TAG LINE 45
BRAND NAME 26
83
COMPANY NAME 18
ENDORSERS 12
PRODUCT FEATURES 14
Figure 16.Survey Report
Inference
Through this chart it is shown what are the things that should be given
more priority in an ad..23% of the respondents said that the benefits of a
product should be highlighted,30% said that the tag line should be
highlighted so that the customers can recall and their brand preference
will increase,17% said that the a brand name should be highlighted,12%
said that company name should be given more priority,8% said that
endorsers should be brought in the lime light, and rest 10% said that the
features of the product should be highlighted. From this survey we can
say that ,tag line of a brand should be brought in lime light so that brand
preference of that particular product will increase.
84
17. If a product is misinterpreted by your friend would you
believe him or go on with your own view?
WHAT YOU DO IF A
PRODUCT IS MIS
INTERPRETED
NO. OF RESPONDENTS
BELIEVE MY FRIEND 39
GO WITH MY VIEW 63
REFER ADVERISEMENT 29
85
REFER INTERNET 19
Figure 17.Survey Report.
Inference
The respondents were asked if their friend mis interprets a product what
they willdo.26% said that they will believe their friend and go with the
product,42% said that they will analyze and go with their own view,19%
said that they will refert advertisement and rest 13% will refer internet to
get the correct information. This shows that customers are very conscious
about a product and they will evaluate themselves and buy a product.
18. Do you prefer going to any store just by seeing the offers
on hoardings and banners?
DO YOU GO TO STORES BY
SEEING HOARDINGS AND
BANNERS
NO. OF RESPONDENTS
YES 75
NO 22
SOMETIMES 38
RARELY 15
86
Figure 18.Survey Report
Inference
The responders were asked if the go to stores by seeing the hoardings and
banners 50% of the respondents said that the see the banners and
hoarding 255 said sometimes they do and 105 said that it rarely happens
that they see and go to shop. Through this we come to know that that
banners and hoarding showing that product with its othe5r facets create
brand awareness and also induces brands preference.
19. After you experience any product do you convey the
message to others (positivenegative)?
DO YOU CONVEY
MESSAGE AFTER YOU
EXPERIENCE A
PRODUCT
NO. OF RESPONDENTS
YES 79
NO 26
SOMETIMES 33
RARELY 12
87
Figure 19.Survey Report
Inference
The respondents were asked if they convey word of mouth after they
experience a product whether it be positive or negative.53% of the
respondents said that they convey word of mouth to their friends and
family after they use a product,17% said that they do not do so,22% said
that sometimes they do it if the product has some problem and 8%said
that they rarely s[read word of mouth to any one.
20. What is your response to repeated advertisement in
Tvradio?
WHAT IS YOUR RESPONSE
TO REPEATED
ADVERTISEMENT
NO. OF RESPONDENTS
YES 68
NO 27
GET IRRITATED 36
CHANGE THE CHANNEL 19
88
Figure 20. Survey Report
Inference
In this question the respondents were asked to give a feed back about
repeated ads. which are shown in different media especially electronic
media.45% of the respondents said that they do not have any problem ,
18% said that they do not like that every moment ads are shown,24% said
that they get irritated and rest 13% said that they change the channel
when repeated ads of the same product comes.
21. How important is music in advertisement?
IMPORTANCE OF MUSIC IN
ADVERTISEMENT
NO. OF RESPONDENTS
VERY IMPORTANT 79
SOMETIMES IMPORTANT 38
NOT IMPORTANT 30
89
Figure 21.Survey Report
Inference
In this survey the respondents were asked how much they feel is music
important in an ad..54% of the respondents said that music plays an
important role in advertisemnets,26% said that sometimes its important
and 20% said that music is not important in ads. This survey proves that
music in an ad boosts the quality of an ad. and also it creates a positive
impact on brand preference.
22. Do you refer Google search before making purchasing
decision?
DO YOU REFER GOOGLE
SEARCH BEFORE
PURCHASING
NO. OF RESPONDENTS
YES 82
90
NO 25
ALWAYS 27
RARELY 16
Figure 22.Survey Report
Inference
In the survey the respondents were asked do they refer google search
before purchasing a product.54% said that they refer google search to find
about the product before purchasing it. This also brings in light that now
a days people are technologically aware and do search before they
buy.17% said that they do not go for google search,18% said that always
what ever be the product they refer internet before they purchase, and
11% of the respondents rarely do that if the product is of very importance.
23. Does the internet advertisement in the website create
brand awareness?
DOES INTERNET
ADVERTISEMENT CREATE
BRAND AWARENESS
NO. OF RESPONDENTS
YES 78
91
NO 22
SOMETIMES 35
RARELY 15
Figure 23.Survey Report
Inference
In this survey 52% of the respondents said that internet creates brand
awareness,15% said that it does not create brand awareness,23% said that
it sometimes creates brand awareness,10% said that rarely it does so.This
shows that internet really creates brand awareness
24. Do you think internet is the most reliable source of
information?
IS INTERNET A RELIABLE
SOURCE
NO. OF RESPONDENTS
YES 82
NO 41
SOMETIMES 27
92
Figure 24.Survey Report
Inference
55% said that internet is a very reliable source. this means that customer’s
believe in internet advertisement which will help in creating good brand
preference.
25. Have you ever online shopping?
HAVE YOU DONE ON LINE
SHOPPING
NO. OF RESPONDENTS
YES 77
NO 35
93
SOMETIMES 24
RARELY 14
Figure 26.Survey Report
Inference
52% have said that they have done on line shopping. This means that
customer’s rely on internet information about the products and also they
do on line shopping.
FINDINGS
 The most preferred brand is Levis with 48 respondents out of 150
Respondents.
 62 respondents prefer their brands because of its quality.
 66 of the respondents acquire information about their brands from
Television.
94
 79 respondents said that they would prefer electronic media than
any Other media to get information about a brand.
 58 respondents said that they rely on advertisement which shows
that Advertisement is important.
 59 respondents said that sometimes they change their perception of
a Brand by seeing an advertisement.
 55 respondents have said that product features influence their
decision Making process.
 59 respondents out of 150 said that they look for the price of a
product in an advertisement.
 72 respondents said that they purchase a product because their
favorite Celebrity is endorsing it.
 50 respondents said that value for money shown in an ad makes
them change their brand loyalty.
 When it was asked what they recall after seeing or hearing an ad 56
respondents said music.
 45 respondents said that the tag line should be highlighted in an
advertisement.
 75 respondents have said that they go to the stores by seeing the
hoardings and banners.
 79 respondents said that they spread word of mouth after
experiencing a product.
 79 respondents said that music is very important in an
advertisement.
 82 respondents said that they refer google search before purchasing
a product.
 78 respondents said that internet advertisement really creates brand
95
awareness about a product.
 82 respondents said that internet is a reliable source for collecting
information about a brand.
 77 respondents said that they have done on line shopping.
 89 respondents said that they do not refer company’s website
before purchasing.
CONCLUSION
 According to this study, it has found out that people notice
advertisements and the awareness level of the brand is good only
because of advertisements.
 Based on this study I would say television advertisements have
more reach to the people. Customers prefer television in
comparison to other media since they get both the audio and visual
96
effects .This also proves that customer’s rely on advertisements
shown in media
 Customers of the age group of 20-25 are more interested in
advertisements and brands.
 The customers like branded products because of the quality it
possesses..
 For an advertisement to be effective the price, the music and the
tag line should be highlighted. These three aspects create a great
impact in brand preference.
 Hoardings and banners also create brand awareness of a product
and are important to increase brand preference.
 The customer’s also spread word of mouth after they use a product.
 This survey also makes it clear that customer’s(especially of the
younger generation) refer internet before they purchase and they
search for the product features shown in internet advertisements.
Suggestions
Companies should research continuously for quality improvement.
Develop more effective advertising campaigns
Advertising messages should both be persuasive and reminder-oriented.
Comparative advertising is useful in this regard.
Television combines motion, sound, and special visual effects for
which it is the most preferred media for advertisements.
To employ integrated advertising of their product.
97
More budgets could be devoted to TV adverts in view of the
Consumers.
References
1. www.geocities.com/prof_rajagopal/labr1
2.www.krepublishers.com/...../
2.www.indiamba.com/Faculty_Column/FC706/fc706
4.www.csulb.edu/colleges/cba/honors
98

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“The impact of advertisement of consumer’s goods on customer’s brand preference”

  • 1. Project Thesis On “The impact of advertisement of consumer’s goods on customer’s brand preference” 1
  • 2. Report on “The impact of advertisement of consumer’s goods on customer’s brand preference” Supervised BY Ms. Mustari Alam Assistant Professor, Department of business Administration Stamford University Bangladesh Submitted By Mithun kumar basak Masters of business Administration(MBA) 2
  • 3. Stamford University Bangladesh Letter of Transmittal Date: 8.8.2011 To Ms. Mustari Alam Assistant Professor, Department of business Administration Stamford University, Bangladesh. Sub: The Impact of Advertisement of consumer goods on customer brand preference. Dear Madam, It is my great pleasure to submit you this kind of report. I’m giving special thanks to you for your much cooperation to prepare this kind of report. It is a great enjoyable and challenging experience for me. I gathered a lot of experience doing the report. I also observed the practical implementation of the different types of advertisement of consumer goods on customer brand preference. In my whole M.BA session I was known about the theory about the impact of advertisement of consumer goods on customer brand preference in an advertisement and now I have experienced from my practical experience while asking different types of questions to different level of consumer about their attention to the advertisement. And finally I have gathered vast information about consumer choices in an advertisement through questionnaires I again give thanks to my honorable advisor for her cooperation. Sincerely yours, Mithun kumar basak 3
  • 4. Id: MBA 044 12157 Program: M B.A (Marketing) Letter of Authorization This is to certify that Mithun kumar basak. ID MBA 044 12157. Along with the Batch 44th , department of MBA Stamford University Bangladesh has successfully completed his study with a full length research report on “The Impact of Advertisement of consumer goods on customer brand preference”. During this period he acquired practical knowledge about “The impact of advertisement of consumer goods on customer brand preference”. His overall performances were quite satisfactory. I wish him every success in life. ……………….. Ms. Mustari Alam Assistant Professor, Department of business Administration Stamford University Bangladesh 4
  • 5. Acknowledgement This is my great opportunity to prepare this project thesis as the requirement of the master of business administration of Stamford University Bangladesh. First of all I am very grateful God. I would like to think my parents for encourage me to prepare this report. At first I would like to give special thank to my honorable madam Ms. Mustari Alam. who has given me the proper guidance to prepare this report on the impact of advertisement of consumer goods on customer brand preference For her great cooperation I was able to make this repot properly. Secondly, I would like to give the special acknowledgement to the respondents. If they did not respond then it was not possible to make this report. They helped me in filling the questionnaires. 5
  • 6. TABLE OF CONTENTS CHAPTERS PARTICULARS PAGE NO 1 ABSTRACT 9 2 INTRODUCTION 10 3 OBJECTIVE 11 4 RESEARCH METHODOLOGY 12 5 SCOPE OF STUDY 6 LIMITATIONS 7 LITERATURE REVIEW 12 8 ADVERTISING 14 i. DEFINITION ii. ORIGIN AND DEVELOPMENT OF ADVERTISING iii. MEDIA ADVERTISING 18 20 9 ADVERTISING OBJECTIVES 27 10 ADVERTISING PLANNING FRAMEWORK i. THE ADVERTISING PLAN ii. THE EXTERNAL FACTORS 28 29 30 11 ADVERTISING INDUSTRY i. ADVERTISING AGENCY ii. ADVANTAGES AND DISADVANTAGES 31-32 iii. ADVERTISING BUDGET 33 12 MEDIA BRIEF i. DIFFICULTIES IN SELECTION OF MEDIA TYPES 34 35 13 BRAND i. DEFINITION ii. SIX LEVELS OF MEANING iii. BRAND-FROM CONSUMER’S POINT OF VIEW iv. BRAND- FROM MANUFACTURER’S POINT OF VIEW v. BRAND AWARENESS vi. BRAND KNOWLEDGE vii. BRAND RECOGNITION viii. BRAND IMAGE 43 6
  • 7. 14 BRAND PREFERENCE i. ABOUT BRAND PREFERENCE ii. IMPORTANCE OF BRAND PREFERENCE iii. BASIC COMMUNICATION MODE iv. BRAND PREFERENCE CHOICE CRITERIA v. BRAND ENDORSEMENT BY CELEBRITIES vi. SCOPE OF CELEBTITY ON BRAND PREFERENCE vii. SUCCESSFUL CELEBRITY ENDORSEMENTS viii. ADVANTAGES AND DISADVANTAGES OF CELEBRITY ENDORSEMENTS ix. NEED FOR CELEBRITY ENDORSEMENTS 47 50 15 INFLUENCE OF ADVERTISING ON CUSTOMER’S BRAND PREFERENCE 16 ADVERTISING RESEARCH i. IMPORTANCE OF ADVERTISING RESEARCH ii. MEDIA RESEARCH 61 17 IMPACT OF COLOUR ON CUSTOMER’S BRAND PREFERENCE 65 18 IMPACT OF PACKAGING i. FORMS OF PACKAGING ii. ii. SIGNIFICANCE OF A TRADE MARK 67 18 ANALYTICAL INTERPRETATION i. TABLES ii. CHARTS 69-94 19 FINDINGS 95 20 SUGGESTIONS 21 CONCLUSIONS 97 REFERENCES 98 7
  • 8. ABSTRACT Advertising is a form of communication used to help sell products and services. Typically it communicates a message including the name of the product or service and how that product or service could potentially benefit the consumer. However, Advertising does typically attempt to persuade potential customers to purchase or to consume more of a particular brand of product or service. Modern advertising developed with 8
  • 9. the rise of mass production in the late 19th and early 20th centuries. The crescendo of celebrities endorsing brands has been steadily increasing over the past 20 years or so. Marketers overtly acknowledge the power of celebrity in influencing buyer's purchase decision. They have firm believe that likeability or a favorable attitude towards a brand is created by the use of a celebrity. The crore of rupees spent per year on celebrity endorsement contracts show that celebrities like Amitabh Bachchan, Sharukh khan and Sachin Tendulkar play an important role for the advertising industry. It is an established fact that celebrity endorsement can bestow unique features or special attributes upon a product that it may have lacked otherwise. My thesis deals with the impact advertisement creates on a customer’s preference of a brand. In other words, how does an ad in a television, radio, newspaper ,hoardings and banners lure a customer to go and purchase the product. Does he purchase because of the benefits or because he liked the advertisement which has created a positive impact on him. INTRODUCTION Advertising is the means of informing as well as influencing the general public to buy products or services through visual or oral messages. A product or service is advertised to create awareness in the minds of potential buyers. Some of the commonly used media for advertising are T.V., radio, websites, newspapers, magazines, bill-boards, hoardings etc. As a result of economic liberalization and the changing social trends advertising industry has shown rapid growth in the last decade. 9
  • 10. Advertising is one of the aspects of mass communication. Advertising is actually brand-building through effective communication and is essentially a service industry. It helps to forms the basis of marketing. Advertising plays a significant role in today's highly competitive world. A career in advertisement is quite glamorous and at the same time challenging with more and more agencies opening up every day. Whether its brands, companies, personalities or even voluntary or religious organizations, all of them use some form of advertising in order to be able to communicate with the target audience. The salary structure in advertising is quite high and if you have the knack for it one can reach the top. It is an ideal profession for a creative individual who can handle work-pressure. Today, new areas are emerging within advertising like event management, image management, internet marketing etc. Event management wherein events are marketed, Image management wherein a a particular profile of an individual or an organization is projected. Internet marketing has also brought about a lot of changes in advertising as Internet means that one is catering to a select group of audience rather than a mass audience .Today 'Celebrity Endorsement' has attracted immense debate on whether it really contributes to the brand building process or whether it is just another lazy tool to make the brand more visible in the minds of the consumers. Although it has been observed that the presence of a well-known personality helps in solving the problem of over-communication that is becoming more prominent these days, there are few undesirable impacts of this practice on the brand. The issue of matching the values of the celebrity with the brand values is also very important, i.e. getting the right celebrity to endorse the right brand. Consumers perceive the brand as having superior quality because it has been endorsed by a credible source. This makes endorsement as one of the indictors of quality for any brand. 10
  • 11. Corporate credibility along with endorser credibility plays a significant role in the attitude of the consumer towards the brand and the advertisement respectively. On the other hand, the over popularity of the celebrity sometimes overshadows the brand. OBJECTIVES: 1) A study on the impact of electronic media on brand preference. 2) A study on the impact of print media on brand preference. 3) A study on the impact of other media on brand preference. RESEARCH METHODOLOGY AND RESEARCH DESIGN: Primary data: - Through questionnaire. Secondary data: - Through internet Sample Procedure : Random sampling 11
  • 12. Research design: the primary data and secondary data will be studied and analyzed appropriately and interpreted to extract certain facts. Whenever necessary statistical tools and financial tools like tabulation, graphs etc will be used to present the findings effectively. SCOPE OF THE STUDY This project helps in projecting the impact of advertisement on customer’s brand preference. It also shows how celebrity endorsement impact customers. LIMITATIONS 1. An in depth study might not be done because of time constraints. 2. The study will be conducted in Dhaka city only. LITERATURE REVIEW Advertising, sales promotion and public relations are mass- communication tools available to marketers. As its name suggests, mass communication uses the same message for everyone in an audience. The mass communication tools trade off the advantage of personal selling, the opportunity to tailor a message to each prospect, for the advantage of reaching many people at a lower cost per person (Etzel et al., 1997). Today, definitions of advertising abound. We might define it as communication process, a marketing process, an economic and social process, a public relations process or information and persuasion process (Arens, 1996). Dunn et al. (1978) viewed advertising from its functional perspectives, hence they define it as a paid, non-personal communication through various media by business firms, non-profit organization, and individuals who are in some way identified in the advertising message and who hope to inform or persuade members of a particular audience. Morden (1991) is of the opinion that advertising is used to establish a 12
  • 13. basic awareness of the product or service in the mind of the potential customer and to build up knowledge about it. Kotler (1988) sees advertising as one of the four major tools companies use to direct persuasive communications to target buyers and public noting that “it consists of non-personal forms of communication conducted through paid media under clear sponsorship”. According to him, the purpose of advertising is to enhance potential buyers’ responses to the organization and its offering, emphasizing that “it seeks to do this providing information, by channeling desire, and by supplying reasons for preferring a particular organization’s offer. While writing on advertising nature and scope, Etzel et al. (1997) succinctly. Capture all advertising as having four features: (i) A verbal and or visual message (ii) A sponsor who is identified (iii) Delivery through one or more media (iv) Payment by the sponsor to the media carrying the message. Summarizing the above, they conclude that “advertising then consist of all the activities involved in presenting to an audience a nonpersonal, sponsor- identified, paid-for message about a product or organization”. Those views of Etzel et al. (1997) coincide with the simple but all- embracing definitions of Davies (1998) and Arens (1996). For instance, while Davies states that “advertising is any paid form of non-personal media presentation promoting ideas/concepts, good s or services by an identified sponsor. Arens expressing almost the same view describes advertising as “the personal communication of information usually paid for and usually persuasive in nature about products (goods and services) or ideas by identified sponsors through various media”. From the foregoing, it could be concluded that the purpose of advertising is to cerate awareness of the advertised product and provide information that 13
  • 14. will assist the consumer to make purchase decision, the relevance of advertising as a promotional strategy, therefore, depends on its ability to influence consumer not only to purchase but to continue to repurchase and eventually develop-brand loyalty. Consequently, many organizations expend a huge amount of money on advertising and brand management. A brand is a name given by a manufacturer to one (or a number) of its products or services. Brands are used to differentiate products from their competitors. They facilitate recognition and where customers have built up favorable attitude towards the product, may speed the individual buyers through the purchase decision process. Individual purchasers will filter out un favorable or un-known brands and the continued purchase of the branded product will reinforce the brand loyal behavior. Without brands, consumer couldn’t tell one product from another and advertising then would be nearly impossible 14
  • 15. Advertising is a non-personal form of promotion that is delivered through selected media outlets that, under most circumstances, require the marketer to pay for message placement. Advertising has long been viewed as a method of mass promotion in that a single message can reach a large number of people. But, this mass promotion approach presents problems since many exposed to an advertising message may not be within the marketer’s target market, and thus, may be an inefficient use of promotional funds. However, this is changing as new advertising technologies and the emergence of new media outlets offer more options for targeted advertising. Advertising also has a history of being considered a one-way form of marketing communication where the message receiver (i.e., target market) is not in position to immediacy respond to the message (e.g., seek more information). This too is changing. For example, in the next few years technologies will be readily available to enable a television viewer to click a button to request more details on a product seen on their favorite TV program. In fact, it is expected that over the next 10-20 years advertising will move away from a one-way communication model and become one that is highly interactive. Another 15
  • 16. characteristic that may change as advertising evolves is the view that advertising does not stimulate immediate demand for the product advertised. That is, customers cannot quickly purchase a product they see advertised. But as more media outlets allow customers to interact with the messages being delivered the ability of advertising to quickly stimulate demand will improve. Advertising is only one element of the promotion mix, but it often considered prominent in the overall marketing mix design. Its high visibility and pervasiveness made it as an important social and encomia topic in Indian society. Promotion may be defined as “the co-ordination of all seller initiated efforts to set up channels of information and persuasion to facilitate the scale of a good or service” promotion is most often intended to be a supporting component in a marketing mix promotion decision must be integrated and co-ordinate with the rest of the marketing mix, particularly marketing mix strategy. The promotion mix consists of four basic elements. They are-  Advertising  Personal selling 16
  • 17.  Sales promotion, and  Publicity Advertising is the dissemination of information by non-personal means through paid media where the source is the sponsoring organization.  A personal selling is the between audience and employees of the sponsoring organization. The source of information is the sponsoring organization.  Sales promotion is the dissemination of information through a wide variety of activities other than personal selling, advertising and publicity. Which stimulate consumer purchasing and dealer effectiveness.  Publicity is the disseminating of information by personal or non- personal means and is not directly paid by the organization and the organization is not source. DEFINITION OF ADVERTISING The word advertising originates from a Latin word advertise, which means to turn to. The dictionary meaning of the term is “to give public notice or to announce publicly” .Advertising may be 17
  • 18. defined as the process of buying sponsor-identified media space or time in order to promote a product or an idea. The American Marketing Association, Chicago, has defined advertising as “any form of non-personal presentation or promotion of ideas, goods or services, by an identified sponsor.” ORIGIN AND DEVELOPMENT OF ADVERTISING It has been wrongly assumed that the advertising function is of recent origin. Evidences suggest that the Romans practiced advertising; but the earliest indication of its use in this country dates back to the middle Ages, when the use of the surname indicated a man’s occupation. The next stage in the evolution of advertising was the use of signs as a visual expression of the tradesman’s function and a means of locating the source of goods. This method is still in common use. The seller in primitive times relied upon his loud voice to attract attention and inform consumers of the availability of his services. If there were many competitors, he relied upon his own personal magnetism to attract attention to his merchandise. Often it became necessary for him to resort to persuasion to pinpoint the advantages of this products. Thus, the seller was doing the complete promotion job himself. Development of retail stores, made the traders to be more concerned about attracting business. Informing customers of the availability of supplies was highly important. Some types of outside promotion were necessary. Signs on stores and in prominent places around the city and notices in printed matters were sometimes used When customers were finally attracted to the store and satisfied with the service at least once, they were still subjected to competitive influences; therefore, the merchant’s signs and advertisements reminded customers of the continuing availability of his services. Sometimes traders would talk to present and former customers 18
  • 19. in the streets, or join social organizations in order to have continuing contacts with present and potential customers. As the markets grew larger and the number of customers increased, the importance of attracting them also grew. Increasing reliance was placed on advertising methods of informing about the availability of the products. These advertising methods were more economical in reaching large numbers of consumers. While these advertising methods were useful for informing and reminding, they could not do the whole promotional job. They were used only to reach each consumer personally. The merchant still used personal persuasion once the customers were attracted to his store. The invention of hand press increased the potentialities of advertising. By Shakespeare’s times, posters had made their appearance, and assumed the function of fostering demand for existing products. Another important event was the emergence of the pamphlet as an advertising medium. The early examples of these pamphlets disclose their sponsorship by companies want to generate goodwill for their activities. The low cost of posters and handbills encouraged a number of publishers to experiment with other methods. Media of Advertising Print Media Electronic Media other Media 1.Newspaper 1.Radio 1.Hoardings 2.Periodicals 2.Television 2.Posters Print Media 19
  • 20. Print media is a very commonly used medium of advertising by businessman. It includes advertising through newspaper, magazines, journals, etc. and is also called press advertising. a) Newspapers You must have read Newspapers. In our country newspapers are published in English, Sinhala and Tamil. These are the sources of news, opinions and current events. In addition, Newspapers are also a very common medium of advertising. The advertiser communicates his message through newspaper which reaches to millions of people. Advantages • Newspaper normally have wide circulation and a single advertisement in the newspaper can quickly reach to a large number of people. • The cost of advertising is relatively low because of wide publication. Generally newspapers are published daily. Thus, the same advertisement can be repeated frequently and remind reader everyday The matter of advertisement can be given to newspaper at a very short notice. Are even last minute change in the content is also possible .this makes advertising quite flexible. Limitations • Newspaper are read soon after they are received and then are kept generally in some corner of the houses after 24 hours we get a fresh newspaper and this makes the life of the newspaper short. • People read newspaper mainly for news and pay casual attention to advertisement. 20
  • 21. • Illiterate persons can not read and thus, newspaper advertising does not benefit them. b) Periodicals Periodicals are publications which come out regularly but not on a daily basis. These may be published on a weekly, fortnightly, monthly, bimonthly, quarterly or even yearly basis. For example you must have come across magazines and journals like India Today, Femina, etc. All these periodicals have a large number of readers and thus, advertisements published in them reach a number of people. Advantages • Periodicals have a selected readership and so advertisers can know about their target customers and accordingly selective advertisements are given. Limitations • Advertising in periodicals is costlier. • The numbers of people to whom the advertisement reach are small in comparison to newspaper. • The advertisement materials are given much in advance hence last minute change is not possible. This reduces flexibility Electronic Media This is a very popular form of advertising in the modern day marketing. This includes Radio, television and Internet. Radio Advertising 21
  • 22. All of us are aware about a radio and must have heard advertisement for various products in.it. In radio there are short breaks during transmission of any programmed which is filled by advertisements of products and services. There are also popular programmers sponsored by advertisers. Advantages • It is more effective as people hear it on a regular basis. • It is also useful to illiterates, who can not read and write. • There are places where newspapers reading may not possible, but you can hear radio. For example, you can hear radio while traveling on road or working at home; but you can not read newspaper. Similarly, while driving you can hear a radio but cannot read a newspaper. Limitations A regular listener may remember what he has heard. But, occasional listeners tend to forget what they have heard in Radio. The message that any advertisement wants to communicate may not be proper as there is no chance to hear it again immediately. There may be some other disturbances that distort communication. In comparison to Television, Radio is less effective as it lacks visual impact. Television Advertising With rapid growth of information technology and electronic media, television has topped the list among the media of advertising. TV has the most effective impact as it appeals to both eye and the ear. 22
  • 23. Advantages It is most effective as it has an audio-visual impact. With catchy slogans, song and dance sequences, famous personalities exhibiting products, TV advertising has a lasting impact. With varieties of channels and programmes advertisers have a lot of choice to select the channel and time to advertise. With regional channels coming up any person even illiterates can watch the advertisements and understood it by seeing and hearing. Limitations TV advertisements are usually expensive to prepare as well as to telecast. With almost every manufacturer trying to communicate their message through TV advertising the impact among the viewers is also reducing. Now-a-days people are switching on channels whenever there is a commercial break. Internet It is the latest method of communication and gathering information.If you have a computer and with an access to internet you can have information from all over the world within a fraction of second. Through internet you can go to the website of any manufacturer or service provider and gather information. Sometimes when you do not have website addresses you take help of search engines or portals. Advantages Information from all over the world is made available at the doorsteps. User can see the advertisement at their own time and as per their requirement. Limitations It is not accessible without a computer. It is not very suitable for general public. 23
  • 24. It is not suitable for illiterate and those having no knowledge about the operation of Internet. Other Media All the media of advertising discussed above are mostly used by consumers while they are at home or inside any room, except radio and newspapers or magazines to some extent. Moreover in all these media, the consumer has also to spend some money to access the advertisement. However, there are other media available, where the consumer has to spend nothing and he can see such advertisements while moving outside. Some of such advertising are hoardings, posters, vehicular displays, gift items, etc. Hoardings While moving on roads you must have seen large hoardings placed on iron frames or roof tops or walls. These are normally boards on which advertisements are painted or electronically designed so that they are visible during day or night. The advertisers have to pay an amount to the owners of the space, where the hoardings are placed. Posters Poster are printed and posted on walls, buildings, bridges etc to attract the attention of customers. Posters of films which are screened on cinema halls are a common sight in our country. Vehicular displays 24
  • 25. You must have seen advertisements on the public transport like buses, trains, etc. Unlike hoardings these vehicles give mobility to advertisements and cover a large number of people. What Advertisement Is? Advertisement is a mass communicating of information intended to persuade buyers to by products with a view to maximizing a company’s profits. The elements of advertising are: 25
  • 26. It is a mass communication reaching a large group of consumers. It makes mass production possible. It is non-personal communication, for it is not delivered by an actual person, nor is it addressed to a specific person. It is a commercial communication because it is used to help assure the advertiser of a long business life with profitable sales. Advertising can be economical, for it reaches large groups of people. This keeps the cost per message low. The communication is speedy, permitting an advertiser to speak to millions of buyers in a matter of a few hours. Advertising is identified communication. The advertiser signs his name to his advertisement for the purpose of publicizing his identity. Advertising Objectives Each advertisement is a specific communication that must be effective, not just for one customer, but for many target buyers. This means that specific objectives should be set for each particular advertisement campaign. Advertising is a form of promotion and like a promotion; the objectives of advertising should be specific. This requires 26
  • 27. that the target consumers should be specifically identified and that the effect which advertising is intended to have upon the consumer should be clearly indicated. The objectives of advertising were traditionally stated in terms of direct sales. Now, it is to view advertising as having communication objectives that seek to inform persuade and remind potential customers of the worth of the product. Advertising seeks to condition the consumer so that he/she may have a favorable reaction to the promotional message. Advertising objectives serve as guidelines for the planning and implementation of the entire advertising programme. The basic objectives of an advertising programme may be listed as below: To stimulate sales amongst present, former and future consumers. It involves a decision regarding the media, e.g., TV rather than print ; To communicate with consumers. This involves decision regarding copy; To retain the loyalty of present and former consumers. Advertising may be used to reassure buyers that they have made the best purchase, thus building loyalty to the brand name or the firm.  To increase support. Advertising impliedly bolsters the morale of the sales force and of distributors, wholesalers, and retailers, ; it thus contributes to enthusiasts and confidence attitude in the organization. : ADVERTISING PLANNING FRAMEWORK Plans are nothing, planning is everything. The advertising management is mainly concerned with planning and decision making. The advertising manager will be involved in the development, implementation, and overall management of an 27
  • 28. advertising plan. The development of an advertising plan essentially requires the generation and specification of alternatives. Decision making involves choosing from among the alternatives. The alternatives can be various levels of expenditure, different kinds of objectives or strategy possibilities, and kinds of options with copy creation and media choices. Thus, the essence of planning is to find out the feasible alternatives and reduce them to decisions. An advertising plan reflects the planning and decision – making process and the decisions that have been arrived at in a particular product and market situation. The Advertising Plan As pointed out earlier, advertising plan and decision making focus on three crucial areas; objectives and target selection, message strategy and tactics, and media strategy and tactics. Let us elaborate on these points: 1. Objectives and Target Selection 28
  • 29. Objectives in advertising can be understood in many ways. An important part of the objective is the development of a precise, disciplined description of the target audience. It is often tempting to direct advertising at a broad audience; but everyone is a potential customer. It is best to consider directing the advertising to more selected groups to develop stimulating copy. It is quite possible to develop several campaigns, each directed at different segments of the market, or to develop one campaign based on multiple objectives. 2. Message Strategy and Tactics Messages strategy must decide what the advertising is meant to communicate – by way of benefits, feelings, brand personality, or action content. Once the content of the campaign has been decided, decisions must be made on the best-most effective-ways of communicating that content. The decisions, such as the choice of a spokesperson, the use of humor or fear or other tones, and the selection of particular copy, visuals, and layout, are what we call “message tactics” 3. Media Strategy and Tactics Message strategy is concerned with decisions about how much is to be allocated to create and test advertising copy, media strategy concerns decisions on how many media rupees to spend on an advertising campaign. Media tactics comprise the decisions on which specific media (television, radio magazines, etc.) or media vehicles (Reader’s Digest, etc.) to spend these dollars. EXTERNAL FACTORS 29
  • 30. The external factors in the planning framework are environmental, social and legal considerations. To a considerable extent, these exist as constraints on the development of an advertising plan and decision making. In developing specific advertisement, there are certain legal constraints that must be considered. Deceptive advertising is forbidden by law. What is deceptive is often difficult, because different people can have different perceptions of the same advertisements. Thus, an advertiser who attempts to provide specific, relevant information must be well aware of what constitutes deception in a legal and ethical sense and of other aspects of advertising regulation. Even more difficult consideration for people involved in the advertising effort is broad social and economic issues as stated below. Does advertising raise prices or inhibit competition? Is the use of sex or fear appeals is appropriate? Women and minority groups are exploited in advertising by casting them in highly stereotyped roles. Is it more irritating than entertaining? Is an intrusion into an already excessively polluted environment? Advertising directed at children. Advertising Industry The advertising industry consists of three principal groups: Sponsors; Media; and 30
  • 31. Advertising agencies or advertising departments. Advertising agencies are of two basic types, viz., Independent; and House. An independent agency is a business that is free to compete for and select its clients. A house agency is owned by its major client. A house agency is not completely free to serve other clients. The advertising department an integral part of the organization it serves. The advertising agency provides for the client a minimum of: Media information, such as the availability of time and space Creative skills, such as “campaign planning” and “appeal planning” Research capabilities, such as providing brand preference data. What is an Advertising Agency? An advertising agency is an independent organization set up to render specialized services in advertising in particular and in marketing in general. Advertising agencies started as space brokers for the handling of the advertisements placed in newspapers. Over the years, the function of the agencies has changed. Their main job today is not to aid media but to serve advertisers. Advantage of Using Agencies The marketer gains a number of benefits by employing agencies. An agency generally has an invaluable experience in dealing with various advertising and marketing issues. The lessons which agency learned in working with other clients are useful inputs for the marketer. 31
  • 32. An agency may employ specialists in the various areas of preparation and implementation of advertising plans and strategies. The personnel are not members of the marketer’s management team. They bring objective and unbiased viewpoints to the solution of advertising and other marketing problems. The discounts that the media offer to agencies are also available to advertisers. This is a strong stimulus to them to use an agency, for the media cost is not much affected thereby.  The company normally does not have as many types of specialists asa large or medium-sized advertising agency has because an agency can spread the costs or its staff over many clients. It can do more for the same amount of money. The company can also get an objective, outside viewpoint from an agency, assuming that the agency representatives are not acting as “Yes man” in order to keep the advertiser’s account. A related point is that the company can benefit from the agency’s experience with many other products and clients. Another advantage is that agency feels a greater pressure than the company’s own department to produce effective results. The relations between an agency and a client are very easy to terminate; but it is difficult to get rid of an ineffective advertising department. 32
  • 33. The manner in which agencies are compensated, the use of an agency may not cost the advertiser a single paisa. ADVERTISING BUDGET The size of the advertising budget can have an impact upon the composition of the advertising mix. In general, a limited promotion budget may impel the management to use types of promotion that would not be employed otherwise, even though they are less effective than the others. Industrial firms generally invest a larger proportion of their budgets in personal selling than in advertising, while the reverse is true of most producers of consumer goods. Organizations with small budgets may be forced to use types of advertising that are less effective than others. Some marketers find it necessary to restrict their efforts primarily to personal selling and publicity. There are organizations with small promotion budget which take the opposite course of action. They concentrate on advertising and sales promotion, and neglect other methods. Some marketers advertise in expensive ways (through classified advertisement in newspapers and magazines) and spend virtually nothing on personal selling. There is universal difficulty of relating advertising expenditures to sales and profit results. Determining the results of advertising and consequently the amount of money to be allocated in advertising budget. Are complicated by several major difficulties as follows: 33
  • 34. The effects of external variables such as population, or income, changes on economics conditions and competitive behavior; Variations in the quality of advertising; Uncertainly as to the time-lag effect of advertising; and The effect of the firm’s other marketing activities, such as product improvement and stepped-up personal selling. The above complexities make the companies resort to more than one method of determining the size of their advertising budget. Advertising Budget involves the allocation of a portion of the total marketing resources to the advertising function in a firm. The size of the budget allocation should be based on the potential contribution that advertising can make. Advertising budgeting should be based on a careful analysis of the opportunity for using advertising. Media Brief Each medium has its merits and its handicaps. The suitability and profitability of any one type varies from manufacturer to manufacturer and may vary for a single manufacturer too. Changes are the only rule. The buyers constitute his market; they are to receive his advertising coverage consists of the advertiser’s reaching the maximum number of these buyers include both his current and prospective customers. The advertiser has to determine how many there are and where they are. Then the selection process involves how to send an effective advertising message economically to the group of buyers, the length of the campaign period and the cost which he can afford-at a figure which will make the advertising effort profitable. Difficulties in Selection of Media Types 34
  • 35. Audience Measurement: The media sell circulation or the opportunity to develop circulation. There is a gross aspect to circulation (how many products were bought last month) and a net aspect (how many of those purchasers are prospects for the product saw the advertisement in the broadcast media). Measurement of the same is not as easy as advertisers would think. Reliance on a Particular type of Medium: How much of his promotion effort should a manufacturer place in magazines and how much on TV, how much in outdoor or point of purchase? Which should be dominant and which are supplementary? These factors play a key role in selection of a particular type of media. Media costs, the costs of space and time, are the largest single expense item in most advertising budgets. The selection of media types to be used in an undertaking, therefore, deserves and even demands, the very best thought and judgment of on the part of the top management. The points to be considered are: Availability: Regional markets may be so limited that national circulation of gazines should not be used. A product may have so slight a market that a medium such as the radio would not be indicated for use. Se l e c t iv i t y: Some ideas demand visual presentation and others demand oral presentation. The radio cannot accommodate stories requiring a physical form, and outdoor advertising cannot accommodate long stories. Co mp et i t io n: is a matter which the advertiser cannot ignore. Acompany may select media types not used by its competitors, based on distinctiveness and domination. 35
  • 36. Selection of Individual Media Selection of individual media to carry advertising requires the consideration of the points like circulation; the quality and quantity of a medium’s circulation, Prestige, Influence, Readership, etc. Duplication An advertiser must have coverage or else his message will not reach as many buyers as he must reach. As an advertiser adds magazine after magazine to his list to increase his coverage; he finds duplication inevitable. One way of averting duplication is to use only one of the magazines; another is to run a different advertisement. The duplication limits an advertiser’s coverage. The points in favour of duplication are repetition and frequency. Frequency The term frequency refers to the number of advertisements of the same size appearing in an individual medium for a given period such as per day, per week, per month, or per campaign. There is no formula to determine the ideal frequency. The two factors are the size of the advertising fund and the size of the advertisement to be run. If these are known, frequency can be derived. The two other factors are the number of media and the advertising period. As the number of media increases, 36
  • 37. there is pressure for a lower frequency, or to shorten the advertising period. The other possibilities are to enlarge the fund, or to reduce the size of the advertisement. Manufacturers cannot ignore the fact that what the competitors are doing in respect of frequency. The more often a message is repeated, the greater the proportion of it the consumer remembers. Size of advertisement The size of advertisement influences the frequency. The size of an advertisement can be derived if the advertiser:-  Determines the size of the advertising fund, Decides the numbers of individual media to be used, and Decides the number of advertisements to appear during the advertising period. The purpose of the advertisement may be the strongest influence in determining its size; a large space is used to announce, a small space is used to remain. The amount of copy, the number of products included in one advertisement and the illustration needs of the advertisement all help to determine size. Salesmen and dealers may also decide how large advertisements should be. Colour Colour is a factor which influences frequency. Colour influences the size of the advertisement and size in turn determines frequency. Colour commands a premium price. Re-run on Advertisement 37
  • 38. Repetition has a considerable effect on advertising costs, and its frequency. Re-run is considered unless it has performed well on its first appearance. It is most common in mail order business and advertising that uses small space. It is not common for large advertisements. Indirect action advertisements should be re-run. The reinforcement of consumer memory is another benefit of a re-run. There are savings on a re-run. New readers are added whenever and advertisement is re-run. Positioning It involves the development of a marketing strategy for a particular segment of the market. It is primarily applicable to products that are not leaders in the field. These products are more successful if they concentrate on specific market segments than if they attack dominant brands. It is best accomplished through an advertising strategy, or theme, which positions advertisements in specified market segments  To project an image. Advertising is used to promote an overall image of respect and trust for an organization. This message is aimed not only at consumers, but also at the government, shareholders, and the general public. . 38
  • 39. Perhaps the most distinctive skill of professional marketers is their ability to create, maintain, protect, and enhance brands. The American Marketing Association defines a brand as follows: “A Brand is a name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and the differentiate them from those of competitors”. In essence, a brand identifies the seller or marker. It can be name, trademark, logo, or other symbol. Under trademark law, the seller is granted exclusive rights to the use of the brand name in perpetuity. Brands differ from other assets such as patents and copyrights, which have expiration dates. A brand is essentially a seller’s promise to deliver a specific set of features, benefits, and services consistently to the buyers. The best brands convey a warranty of quality. But a brand is an even more complex symbol. It can convey up to six levels of meaning: Attributes: a brand brings to mind certain attributes. Mercedes suggest expensive, well-built, well-engineered, durable, high- prestige . Benefits: attributes must be translated into functional and 39
  • 40. emotional benefits. The attribute “durable” could translate into the functional benefit. The attribute “expensive” translates into the emotional benefit. Culture: the brand may represent a certain culture. The Mercedes represents German culture: organized, efficient, high quality. Personality: the brand can project a certain personality. Mercedes may suggest a no-nonsense boss (person), a reigning lion (animal), or an austere palace (object) User: the brand suggests the kind if consumer who buys or uses the product. We would expect to see a 55-year-old top executive behind the wheel of Mercedes, not a 20-year- old secretary. If a company treats a brand only a name, it misses the point. The branding challenge is to develop a deep set of positive associations of the brand. Marketers must decide at which level(s) to anchor the brands identity. One mistake would be to promote only attributes. First, the buyer is not as interested in attributes as in benefits. Second, competitors can easily copy attributes. Third, the current attributes may become less desirable later. Promoting the brand only on one benefit can also be risky. Suppose Mercedes touts its main benefit as “high performance”. Then several 40
  • 41. competitive brands emerge with high performance as compared to other benefits. Mercedes needs the freedom to maneuver into a new benefit positioning. From consumer’s point of view: Identification of source of product Assignment of responsibility to product maker Risk reducer Search cost reducer Promise, bond, or pact with maker of product Symbolic device Signal of quality Brands identify the source or maker of a product and allow consumers to assign responsibility to a particular manufacturer. From an economic perspective, brands allow consumers to lower search costs for products both internally and externally. Consumers offer their trust and loyalty with the implicit understanding that the brand will behave in certain ways and provide them utility through consistent product performance and appropriate pricing, promotion, and distribution programs and actions. Brands can serve as symbolic devices, allowing consumers to project their self-image. Certain brads are associated with being used by certain types of people and thus reflect different values or traits. Researched have classified products and their associated attributes into three major Final Assignment 41
  • 42. Brand Management categories: search goods, experience goods and credence goods. There is difficulty in assessing and interpreting product attributes and benefits so with experience and credence goods, brands may be particularly important signals of quality. Brands can reduce the risk in product decisions. These risks involve functional, physical, financial, social psychological and time risk. From manufacturer’s point of view: Means of identification to simplify handling Means of legally protecting unique features Signal of quality level to satisfied customers Means of endowing products with unique associations Source of competitive advantage Source of financial returns Brands help manufacturers to organize inventory and accounting records. A brand also offers the firm legal protection for unique features of the product. A brand can retain intellectual property rights, giving legal title to the brand owner. Brands can signal a certain level of quality so that satisfied buyers can easily choose the product again. This brand loyalty provides predictability and security of demand for the firm and creates barriers of entry that make it difficult for other firms to enter the market. BRAND AWARENESS Whether it is a serial in a regional satellite channel or a One Day International cricket match, there is a non-stop stream of advertisements, which clutter the commercial break. Well-established 42
  • 43. brands attempt to sustain brand recall while new ones try appealing to prospective consumers to get into their `consideration’ set. There are ads for children, housewives and youth. With advertising expenditure in the order of Rs. 8000 Crores per annum in the recent times and the proliferation of brands across categories, there is a strong need to consider the effectiveness of these advertisements. The idea is not to cease advertising but to consider how considering decisions would have to be considered with non-advertising alternatives. These non- advertising alternatives may also enable a brand to create and sustain consistent associations, which may be desirable in terms of long-term implications. A contemporary approach that creates a synergy between various aspects of a promotional mix (advertising included) provides a refreshing approach towards marketing communications. There may be several objectives of advertising and a promotional mix could be used in an innovative manner to address each of these objectives depending on the product category and target segment. Brand Knowledge Brand knowledge refers to brand awareness (whether and when consumers know the brand) and brand image (what associations 43
  • 44. consumers have with the brand). The different dimensions of brand knowledge can be classified in a pyramid (adapted from Keller 2001). which each lower-level element provides the foundations of the higher-level element. In other words, brand attachment stems from rational and emotional brand evaluations, which derive from functional and emotional brand associations, which require brand awareness. Brand knowledge measures are sometimes called “customer mindset” measures because they capture how the brand is perceived in the customer’s mind. The Brand Knowledge Pyramid 44
  • 45. Brand awareness measures the accessibility of the brand in memory. Brand awareness can be measured through brand recall or brand recognition. Brand recall reflects the ability of consumers to retrieve the brand from memory when given the product category, the needs fulfilled by the category, or some other type of probe as a cue. Brand Recognition Brand recognition reflects the ability of consumers to confirm prior exposure to the brand (i.e., recognize that it is an “old” brand that they have seen before and not a “new” brand that they are seeing for the first time). Ina recognition task, consumers see a stimulus (e.g., an ad for the brand, a brand name) and must say whether they have seen it before (e.g., last night on television, in magazine X, etc.). It is important to make the task as realistic as possible by allowing only a short amount of time to answer the recognition question and by using realistic stimuli and context. If you want to use recognition as a measure of the performance of different marketing decisions (say, different logos or ads), you should expose one group to one version of the target stimulus 45
  • 46. and another group to the other version of the target stimulus. However, to make the task more realistic, both groups should also be exposed to other stimuli (e.g., competitors' brands). In a second step, people see the “old” stimuli again, along with completely new ones, and are asked to decide if each stimulus is “old” or “new” (i.e., if they have seen them before or not). Brand Image Brand image is defined as consumer perceptions of a brand and is measured as the brand associations held in consumers’ memory. To measure brand image, you can either use and adapt an existing list of brand associations or start from scratch by eliciting brand associations and then measuring the strength of these associations. The outcome of this exercise is usually a short list of the positive and negative associations consumers have with the brand, ranked by strength. For comparison purposes, it is useful to report the average strength of each association with the brand and the strength of the association with competing brands, and to do this for each target segment (e.g., brand users and users of competing brands). Brand preference 46
  • 47. People begin to develop preferences at a very early age. Within any product category, most consumers have a group of brands that comprise their preference set. These are the four or five up market brands the consumer will consider when making a purchase. When building preference, the goal is to first get on the consumer’s preference sets, and then to move up the set’s hierarchy to become the brand consumers prefer the most – their up market brand. Gaining and maintaining consumer preference is a battle that is never really won. In every product category, consumers have more choices, more information and higher expectations than ever before. To move consumers from trial to preference, brands need to deliver on their value proposition, as well as dislodge someone else from the consumer's existing preference set. Preference is a scale, and brands move up, down and even off that scale with and without a vigilant brand management strategy. Pricing, promotional deals and product availability all have tremendous impact on the position of our brand in the consumer’s preference set. If all things are 47
  • 48. equal, the best defense is to make us more relevant to consumers than the competition. The brands potential can only be fulfilled by continually reinforcing its perceived quality, up market identity and relevance to the consumer. The same branding activities that drive awareness also drive preference. And, while awareness alone will not sustain preference, it will improve the brand’s potential for building and maintaining preference. With a great story and a large enough investment, awareness can be attained rather quickly. It takes time, however, and constant revaluation to build brand preference. Aristotle professed, “We are what we repeatedly do. Excellence then is not an act but a habit.” Attaining and sustaining preference is an important step on the road to gaining brand loyalty. The ability to generate more revenue, gain greater market share and beat off the competition is the reward given by consumer toward particular brand. Brand preference is the Selective demand for a company's brand rather than a product; the degree to which consumers prefer one brand over another. In an attempt to build brand preference advertising, the advertising must persuade a target audience to consider the advantages of a brand, often by building its reputation as a long-established and trusted name in the industry. If the advertising is successful, the target customer will choose the particular brand over other brands in any category. This brings us to the question of why people prefer one brand over another. Some people like smoking Marlboro, while others prefer Camel or Winston. Is this because they have tried all cigarette brands before they chose one for them? 48
  • 49. The reality is that different kinds of products have different images appealing to different people. Other than the addition of television and the Internet as highly effective media, there have been few changes in advertising since its birth. Yet the mysteries about what is “good” or “bad” advertising prevail. The truth is that if your ads do not change brand preference, they are not doing their job. If they do change brand preference, people will be three times more likely to purchase your product. The point to reiterate is that simply getting someone to remember your ad will not change whether or not they buy your product. Basic communications model for development of brand preference 49
  • 50. To better understand the process of brand preference, let's first look at a basic communications model. The five components of this model are sender, medium, filter, receiver, and feedback. On a daily basis, we are exposed to messages (sender/medium) via our radio, television, billboards, Internet, mail, and word-of-mouth. Although these messages are pervasive, we continually screen out (perceptual screen) or ignore content that has little or no relevance to us. All messages are coded patterns and sensations – colours, sounds, odours, shapes, etc. Those messages deemed recognizable, or a basis for a relationship, are decoded and stored in our memory (filter/screen). A successful convergence between sender and receiver will result in some type of response to a brand's compelling message (feedback). Stored experiences in our long-term memory are connected through a series of nodes and networks. Consumer prefer particular brand 50
  • 51. because they find it easier to interpret what benefits brand offers feel more confident of it and get more satisfaction from using it . Because of such consumer preference, the brand can charge a higher price, command more loyalty, and run more efficient marketing programmers .The brand preference therefore command a higher asset value. Brand Preference choice criteria There are six criteria choose brand preference. The first three element categorized as “Brand building” in terms of how brand preference can be built up. And last three elements are known as “defensive” because it preserved in the face of different opportunity or different brands available in market. Memorable: How easily particular brand are recalled? Meaningful: To what extent particular brand prefer in corresponding category? Does it suggest something about a product ingredient or the type of person who might use the brand? Likeability: How aesthetically appealing do customer finds the brand element? Is it inherently likeable visually, verbally and in other ways? Transferable: Can the brand element be used to introduce in new product in the same or different categories? Adaptable: How adaptable and updatable is the brand element? Protectable: How legally protectable is the brand element? How comparatively protectable? Brand Endorsement by Celebrities 51
  • 52. The motif behind total branding may be decocted as an attempt to amalgamate diverse activities to win customer preference. The crescendo of celebrities endorsing brands has been steadily increasing over the past years. Marketers overtly acknowledge the power of celebrities in influencing consumer-purchasing decisions. It is a ubiquitously accepted fact that celebrity endorsement can bestow upon a product special attributes it might not otherwise have. But everything is not honky- dory; celebrities are after all mere mortals made of flesh and blood like us. If a celebrity can aggrandize the merits of a brand, he or she can also exacerbate the image of a brand. If I may take the liberty of rephrasing Aristotle’s quote on anger, "Any brand can get a celebrity. That is easy. But getting a celebrity consistent with the right brand, to the right degree, at the right time, for the right purpose and in the right way... that is not easy." Celebrity endorsements are impelled by virtue of the following motives: - Instant Brand Awareness and Recall Celebrity values define, and refresh the brand image 52
  • 53. Celebrity adds new dimensions to the brand image Instant credibility or aspiration PR coverage Lack of ideas Convincing clients Successful Celebrity Endorsements for a Brand - An Indian Perspective The latter part of the '80s saw the burgeoning of a new trend in India - brands started being endorsed by celebrities. Hindi film and TV stars as well as sports-persons were roped in to endorse prominent brands. Advertisements featuring stars like Tabassum (Prestige Pressure Cooker), Jalal Agha (Pan Parag), Kapil Dev (Palmolive Shaving Cream) and Sunil Gavaskar (Dinesh Suitings) became common. Of course, probably the first ad to cash in on star power in a strategic, long-term, mission statement kind of way was for Lux soap, a brand which has, perhaps as a result of this, been among the top three in the country for much of its life-time. We had the Shah Rukh-Santro campaign with the objective of mitigating the impediment that an unknown Korean brand faced in the Indian market. The objective was to garner faster brand recognition, association and emotional unity with the target group. Similarly, 53
  • 54. when S. Kumar's used Hrithik Roshan, then the hottest advertising icon for their launch advertising for Tamarind, they reckoned they spent 40-50 per cent less on media due to the sheer impact of using Hrithik. Ad recall was as high Witness the spectacular rise of Sania Mirza and Irfan Pathan in endorsements in a matter of a few months. Advantages of a Celebrity Endorsing a Brand Establishment of Credibility: Approval of a brand by a star fosters a sense of trust for that brand among the target audience - this is especially true in case of new products Ensured Attention: Celebrities ensure attention of the target group by breaking the clutter of advertisements and making the ad and the brand more noticeable. PR Coverage : This is another reason for using celebrities. Managers perceive celebrities as topical, which create high PR coverage. Higher Degree of Recall: People tend to commensurate the 54
  • 55. personalities of the celebrity with the brand, thereby, increasing the recall value. Associative Benefit: A celebrity’s preference for a brand gives out a persuasive message - because the celebrity is benefiting from the brand, the consumer will also benefit. Mitigating a Tarnished Image : Cadbury India wanted to restore the consumer's confidence in its chocolate brands following the high-pitch worms’ controversy; so the company appointed Amitabh Bachchan for the job. It helps to reform the company’s image. . Psychographic Connect: Celebrities are loved and adored by their fans and advertisers use stars to capitalise on these feelings to sway the fans towards their brand. Demographic Connect: Different stars appeal differently to various demographic segments (age, gender, class, geography, etc.). Mass Appeal: Some stars have a universal appeal and, therefore, prove to be a good bet to generate interest among the masses. Rejuvenating a Stagnant Brand: With the objective of infusing fresh life into a stagnant brand celebrities are used. Disadvantages of a Celebrity Endorsing a Brand The celebrity approach has a few serious risks: - 55
  • 56. Reputation of the Celebrity may Derogate after he/she has endorsed the Product: The behaviour of the celebrities reflect on the brand, celebrity endorsers may at times become liabilities to the brands they endorse. The Vampire Effect: This terminology pertains to the issue of a celebrity overshadowing the brand. If there is no congruency between the celebrity and the brand, then the audience will remember the celebrity and not the brand. Inconsistency in the Professional Popularity of the Celebrity: The celebrity may lose his or her popularity due to some lapse in professional performances. Multi Brand Endorsements by the Same Celebrity would Lead to Over-exposure: The novelty of a celebrity endorsement gets diluted if he does too many advertisements. This maybe termed as commoditization of celebrities, who are willing to endorse anything for big bucks. Mismatch between the Celebrity and the Image of the Brand: Celebrities manifest a certain persona for the audience. It is of 56
  • 57. paramount importance that there is an egalitarian congruency between the persona of the celebrity and the image of the brand. Each celebrity potrays a broad range of meanings, involving a specific personality and lifestyle Despite the obvious economic advantage of using relatively unknown personalities as endorsers in advertising campaigns, the choice of celebrities to fulfill that role has become common practice for brands competing in today's cluttered media environment. Influence of advertising on consumer’s brand preference The essence of being in business by any business outfits is to produce for sales and profits. In order to remain in business an organization must generate enough sales from its products to cover operating costs and post reasonable profits. For many organizations, sales estimate is the starting point in budgeting or profit planning. It is so because it must be determined, in most cases, before production units could be arrived at while production units will in turn affect material purchases. However, taking decision on sales is the most difficult tasks facing many business executives. This is because it is difficult to predict, estimate or determine with accuracy, potential customers’ demands as they are uncontrollable 57
  • 58. factors external to an organization. Considering, therefore, the importance of sales on business survival and the connection between customers and sales, it is expedient for organizations to engage in programmes that can influence consumers’ decision to purchase its products. This is where advertising and brand management are relevant. Advertising is a subset of promotion mix which is one of the 4ps in the marketing mix i.e product, price, place and promotion. As a promotional strategy, advertising serve as a major tool in creating product awareness and condition the mind of a potential consumer to take eventual purchase decision. When competition is keen and the consumers are faced with brand choice in the market, it becomes imperative for the manufacturers to understand the major factors that can attract the attention of buyers to his own brand. Major tools companies use to direct persuasive communications to target buyers and public noting that “it consists of non- personal forms of communication conducted through paid media under clear sponsorship”. According to him, the purpose of advertising is to enhance potential buyers’ responses to the organization and its offering, emphasizing that “it seeks to do this providing information, by channeling desire, and by supplying reasons for preferring a particular organization’s offer. From the foregoing, it could be concluded that the purpose of advertising is to cerate awareness of the advertised product and provide information that will assist the consumer to make purchase decision, the relevance of advertising as a promotional strategy, therefore, depends on its ability to influence consumer not only to purchase but to continue to repurchase and eventually develop-brand loyalty. 58
  • 59. Consequently, many organizations expend a huge amount of money on advertising and brand management. A brand is a name given by a manufacturer to one (or a number) of its products or services. Brands are used to differentiate products from their competitors. They facilitate recognition and where customers have built up favorable attitude towards the product, may speed the individual buyers through the purchase decision process. Individual purchasers will filter out unfavorable or un- known brands and the continued purchase of the branded product will reinforce the brand loyal behaviour. Without brands, consumer couldn’t tell one product from another and advertising then would be nearly impossible. Advertiser’s primary mission is to reach prospective customers and influence their awareness, attitudes and buying behaviour. They spend a lot of money to keep individuals (markets) interested in their products. To succeed, they need to understand what makes potential customers behave the way they do. The advertisers goals is to get enough relevant market data to develop accurate profiles of buyers-to-find the common group (and symbols) for communications this involves the study of consumers behaviour: the mental and emotional processes and the physical activities of people who purchase and use goods and services tosatisfy particular needs and wants. It tries to determine the factors that influence consumer behaviour, especially the economic, social and psychological aspects which can indicate the most favoured marketing mix that management 59
  • 60. should select. Consumer behaviour analysis helps to determine the direction that consumer behaviour is likely to make and to give preferred trends in product development, attributes of the alternative communication method etc. Consumer behaviours analysis views the consumer as another variable in the marketing sequence, a variable that cannot be controlled and that will interprete the product or service not only in terms of the physical characteristics, but in the context of this image according to the social and psychological makeup of that individual consumer (or group of consumers). Advertising helps in projecting product quality and value before the consumers. Advertising has a major influence on consumers’ preference and it has, in no small measure, contributed to its success. The same thing goes for its quality. The stage a product is in its life cycle is very important to a marketer as it help in determining the type of marketing strategies to be embarked upon in respect of the said product. ADVERTISING RESEARCH Advertising research is a branch of marketing research, and is both a sort of insurance to avoid wasting money on in effective advertising and a means of monitoring the effectiveness of a campaign while it is running and after the campaign has ended. It is also possible and advantageous to 60
  • 61. ling advertising research with other forms of marketing research which the company is undertaking. Today the advertisers have the benefits of many sorts of research, and they are usually recommended and commissioned by an advertising agency. In fact, in its own interest a good advertising agency may insist on the use of research to ensure that it produces and conducts successful advertising. “The advertising research is applications of marketing research aimed at the measurement of advertising effectiveness and improves advertising efficiency. The primary aim of advertising is to sell an idea, goods or services whereas the ultimate goal of research is to measure the impact of advertising on sales of that idea, good or service.” Research is not confined to testing creativity. There is a wealth of independently researched statistical information on sales, readership and audience figures regarding all the principle media so that the most economic media can be used. In addition to this it is possible to control the duration of appearance of an advertisement by assessing when enough people have had the opportunity to see the advertisement a sufficient number of times. This is in line with the IPA definition of advertising which refers to presenting “the most persuasive selling message to the right prospects for the product or service at the lowest possible cost.” Importance of advertising research Advertising deals with many imponderables. Its aim is to influence the minds and emotions of millions of prospective buyers. It is 61
  • 62. a mass demand creation device, so its message must be standardized. Furthermore, conditions in the market are constantly changing. It is also expensive and highly competitive. In view of the many difficult problems which overwhelmed advertising a great deal of attention is devoted to the development of research techniques to provide better knowledge on which to base advertising decisions. The two areas are embracing the most pressing problems are those of advertising copy and advertising media. The ethics and effectiveness of advertising are highly controversial subjects. Measuring of advertising effectiveness poses many challenging questions to those who create, sell and utilize advertisements. It is a widely accepted fact that advertising is a great force linking the producer and the consumer. The need of research in advertising is also significant because a tremendously large number of people are dependent for their earnings from this area. MEDIA RESEARCH Media selection is finding the most cost effective media to deliver the desired number and type of exposures to the target audience. The media planner has to know the capacity of the major media types to deliver reach, frequency and impact. The major media types are T.V., newspaper, radio, magazines or journals etc. PRINT MEDIA For many years advertisers have not been satisfied with circulation data as the sole yardstick for buying advertising media. It has been clearly demonstrated that the number of readers of a given copy of a publication not only significantly exceeds circulation but also varies from gross circulation figures as between various publications. An increasing amount of research has been applied in resent years to the measurement of actual reading audiences. Techniques for measuring reading audiences are now sufficiently perfected so that these data are generally accepted and widely employed. Newspapers and magazines are the most common types of 62
  • 63. print media. As the media circulation increases so, does the attractiveness of a newspaper or magazine to an advertiser, and the medium may raise the advertising rates. The best way to measure a publications’ is through measuring its readership or total audience. Media buyers need to know the accurate circulation and readership figures to compare costs among various publications that reach similar audiences. BROADCAST MEDIA The most extensive research in connection with broadcasting media is the measurement of listening and viewing audiences. The following methods are commonly employed. The recall method: The recall method obtains its data through listener surveys in which the respondent is asked to report the television and radio programs he heard during a specified period of time previous to the interview. The diary method: In the coincidental diary method a form listing broadcasting stations and time periods is left with the respondent, who makes notations of programs received. The diaries are usually designed so that they can be attached to the radio or television set for convenient recording. The chief advantage of this method is that the respondent records his listening or viewing at the time, thus eliminating the burden on memory. It also has the advantage of making it possible to obtain classification data regarding the listener or viewer. The coincidental method: In this method investigators call telephone subscribers according to a predetermined sampling pattern. It provides more accurate data than other survey methods, since it eliminates the necessity for memory or entries in 63
  • 64. a diary. Also it is based on a report of actual viewing or listening rather than mechanical evidence that the radio set was operating. The audiometer method: The audiometer is attached to TV or radio sets at random in the homes of potential consumers. The device maintains on a magnetic tape a continuous record of the set in usage channel on and the station channel to which tuned. Its advantage is that with the aid of audiometer one can accurately measure the set in use from a valid sample. Its disadvantage is that it does not indicate who is watching the set or listening to a radio set. It only records whether the set is tuned on to a particular channel or station. It tells nothing about the audience presence and their behavior. Advertising research is not conducted much in India. This is because Indian companies are not much aware of the techniques of its research and the benefit they can get out of this activity. Of late, they are now spending huge amount on advertisements released in various media. But they do not initiate to find whether expenditure made by them is bringing some worthwhile results in the form of increased sales and profits. If yes, to what extent the increase in sales is due to advertising. Because the increase in sales is due to other factors operating in the market place. Therefore, it is the high time that the Indian business organizations understand the importance of advertising and measure its effectiveness. For any firm incurring expenditure on advertising, it is essential that some percentage of the advertising budget should be embarked for the advertising research . Impact of colour on customer’s brand preference 64
  • 65. Color is part of our daily lives. People use colors to express themselves and their emotions, to adapt to weather conditions (e.g., dark colors are used in winter to absorb the heat better while light colors are used in the summer to stay fresh), and also to simply help themselves feel confident with their bodies and appearance. Research indicates that over 80% of visual information is related to color: i.e., color conveys information. It identifies a product or a company, as well as the quality of the merchandise and much more . Color can influence consumers’ purchase decisions, how they see things, their emotions, and thus it is integral to marketing. Color photographs are commonly used in ads because they are thought to have superior attention getting properties. For this reason, it is extremely important to understand how color affects attitudes, beliefs, and feelings. Marketers can then 65
  • 66. apply such knowledge to develop effective promotional strategies and tactics. For instance, a package can be designed to appear taller or shorter: e.g., light-colored packaging may make a package appear larger, whereas darker colors may minimize the perceived size . The right colors communicate meaning and please the eye, whereas the wrong colors can be unpleasant and even unsettling. As a marketing tool, color can also be a subliminally persuasive force. As a functional component of human vision, color can capture attention, relax or irritate the eyes, and affect the legibility of text. All things considered, the right colors empower and contribute to the success of an advertising campaign, a product, a service, or even an interior space. In contrast, using the wrong colors can be a costly mistake. Colors can also influence customers’ emotions, positively or negatively. Previous research has shown a consistent association of colors with certain feelings Impact of Packaging Requirements of good packaging Functional - effectively contain and protect the contents Provide convenience during distribution, sale, opening, use, reuse, be environmentally responsible 66
  • 67. Be cost effective Appropriately designed for target market Eye-catching (particularly for retail/consumer Sales) Communicate attributes and recommended use of the product and package Compliant with retailers' requirements Promotes image of enterprise Distinguishable from competitors' products Meet legal requirements for product and Packaging Point of difference in service and supply of Product. For a perfect product, perfect colour. Forms of packaging Specialty packaging — emphasizes the elegant character of the product Packaging for double-use Combination packaging two or more products packaged in the Kaleidoscopic packaging — packaging changes continually to reflect a series or particular theme Packaging for immediate consumption — to be thrown away after use Packaging for resale — packed, into appropriate quantities, for the retailer or wholesaler. Trademarks Significance of a trademark 67
  • 68. Distinguishes one company's goods from those of another Serves as advertisement for quality Protects both consumers and manufacturers Used in displays and advertising campaigns Age group of respondents. AGE GROUP OF RESPONDENTS NO. OF RESPONDENTS 20-25 50 26-30 42 31-35 22 36-40 29 41-45 7 68
  • 69. Figure 1. Survey Report Inference: The survey conducted shows that most of the respondents were of the age group of 20-25 years and the least respondents were of 41-45 years. 1. Respondents of different gender. RESPONDENTS NO. OF RESPONDENTS MALE 86 FEMALE 64 69
  • 70. Figure 2.Survey Report Inference : This chart shows that mostly the male are more interested in branded products than the female category. 3. Which are the favourite brands? FAVOURITE BRANDS NO. OF RESPONDENTS LEVIS 40 PEPE JEANS 13 WEST SIDE 12 ADIDAS 28 70
  • 71. NIKE 16 SONY 16 REEBOK 15 Figure 3.Survey Report Inference: In this chart it is clear that the most liked brand is Levis followed by Adidas which are both apparel companies. 4. Why the brands are preferred by the respondents? PREFERENCE CRITERIA NO. OF RESPONDENTS QUALITY 62 COMFORTABLE 42 STYLISH 23 RELIABLE 16 FEATURES 7 71
  • 72. Figure 4.Survey Report Inference: The brands like Levis and Adidas and many more are liked by the respondents because of the good quality which shows a percentage of 41 and comfortable which has a percentage of 28.The brands are even liked because they are stylish, reliable and because of its features. 5. From where you get the information about these brands? INFORMATION SOURCE NO. OF RESPONDENTS NEWSPAPERS 32 TELEVISION 66 RADIO 6 INTERNET 10 HOARDINGS 11 WORD OF MOUTH 25 72
  • 73. Figure 5.Survey Report Inference: The respondents said that they got the information of these brands from different media like television, newspaper, radio and word of mouth etc. according to the survey television has given information to 44% respondents, newspaper to 215, through word of mouth to 17% respondents, from radio to 4% internet 7% and last hoardings to 7% of respondents. This shows that a television creates more impact on customer. 6. If you are searching for information of a brand which media will you look for? MEDIA PREFERENCE NO. OF RESPONDENTS PRINT MEDIA 25 ELECTRONIC MEDIA 79 OTHER MEDIA 17 WORD OF MOUTH 29 73
  • 74. Figure 6.Survey Report Inference In this chart the respondents have said about their preference of media to get information about their brands 53% have said that they prefer electronic media like television, internet 17% have voted for print media like newspaper, magazines 19% said that they go with word of mouth from friends, family, relatives, etc. and 11% choose other media. 7. Do you rely on advertisement? DO YOU RELY ON ADVERTISEMENT NO. OF RESPONDENTS YES 58 NO 24 SOMETIMES 56 RARELY 12 74
  • 75. Figure7.Survey Report Inference The respondents were asked whether they believe on advertisements.39% said that they rely on advertisements and utilize theinformationgiven,16% said that they do not believe,37% said that they sometmes believe if they find the information rational, and 8% rarely believe. 8. Do you change your perception of a product by just seeing the advertisement? CHANGE OF PERCEPTION DUE TO ADVERTISEMENT NO. OF RESPONDENTS YES 21 NO 52 SOMETIMES 59 RARELY 18 75
  • 76. Figure 8.Survey Report Inference In this chart respondents were asked if they change they thinking about a product after seeing advertisement 14% said that it is rarely that change their perception after seeing an advertisement. 9. Do you think advertisement is necessary for your decision making? NECESSITY OF ADVERTISEMENT IN DECISION MAKING NO. OF RESPONDENTS ALWAYS NECESSARY 36 SOMETIMES NECESSARY 88 NOT NECESSARY 26 76
  • 77. Figure 9.Survey Report Inference In the survey respondents were asked how much they feel advertisement is necessary in their decisin making 24% said that it is always necessary in decision making, 59% said that advertisement sometimes plays a necessary part when they take a decision, and 17% said that advertisement is not necessary in decision making . 10. What are the factors which influence your decision making process? FACTORS INFLUENCE DECISION MAKING PROCESS NO. OF RESPONDENTS PRODUCT FEATURES 55 ADVERTISEMENT 29 COST 37 OPINION OF FRIENDS 20 OTHERS 9 77
  • 78. Figure 10.Survey Report Inference This chart shows what are the factors considering which a respondent will be influenced to decide to buy a product.37% said that the features of the product will influence them,19% said that advertisement will influence them to decide as they will get lots of formation about the product,25% said that the cost of the product makes them decide to buy a product,13% said that they will go by the opinion of friends and rest 6% said that there may be other factors which will influence them to decide 11. What do you look for in an advertisement? WHAT YOU LOOK FOR IN AN ADVERTISEMENT NO. OF RESPONDENTS PRICE 59 BENEFITS 32 BRAND ENDORSERS 20 OFFERS 18 QUALITY 21 78
  • 79. Figure 11.Survey Report Inference In the survey the respondents were asked what are the apspect that they see in anad..40% said that they see the price,21% said that they see that benefits shown in thaad.,13% see the brand endorsers,12% see the offers given and 14% see the quality tp of the product shown in the ad. This shows that in larger amount customers see the price aspect when they see an ad . 12. Do you purchase a product just because your favorites celebrity is endorsing it? DO IT YOU PURCHASE A PRODUCT BECAUSE YOUR FAVOURITE CELEBRITY IS ENDORSING NO. OF RESPONDENTS YES 72 NO 50 SOMETIMES 28 79
  • 80. Figure12. Survey Report Inference In this chart the question asked to the respondents was if they purchase a product because their favorite celebrity is endorsing a particular product. 13. Do you purchase a product just by getting attracted to the product? DO YOU PURCHASE BY GETTING ATTRACTED TO THE PRODUCT NO. OF RESPONDENTS YES 45 NO 29 SOMETIMES 60 RARELY 16 80
  • 81. Figure13.Survey Report Inference According to the survey the 30% respondent said that they buy a product by getting attracted to it,19% said that they do not buy by getting attracted ,40% said that sometimes by getting at traced they buy the product and 11% said that rarely the get attracted and purchase a product. 14. What are the factors in an advertisement which will make you change your brand loyalty? FACTORS WHICH CHANGE BRAND LOYALTY NO. OF RESPONDENTS BENEFITS 35 VALUE FOR MONEY 50 NEW FEATURES 28 DISCOUNT 19 WORD OF MOUTH 18 81
  • 82. Figure 14.Survey Report Inference The respondents were asked what are the reasons which will make them change their brand loyalty.23% said that the benefits of another product may make them change their brand loyalty,33% said that the value for money may make them change,19% said that new features in another product may compel them,13% said discounts offered by another brands may make them switchers, and last word of mouth from friends and family may make them like another brand. 15. If you hear the name of a brand through advertisement what do you recall? WHAT YOU RECALL FROM ADVERTISEMENT NO. OF RESPONDENTS MUSIC 56 TAG LINE 27 ENDORSERS 21 PRODUCT 26 82
  • 83. Figure 15.Survey Report Inference The respondents were asked what they can recall after they see or hear an ad..38% of the respondents said that they can recall the music which was played in the ad.,18%can remember the tag line,14% they remember the brand endorser, 17% can recall only the product and 13 % they recall the benefits that were shown in the ad. This makes it clearly evident that music in an ad. makes it possible for consumers to recall the particular brand. 16. What are the things that should be highlighted in an advertisement? WHAT SHOULD BE HIGHLIGHTED IN AN ADVERTYISEMENT NO. OF RESPONDENTS BENEFITS 35 TAG LINE 45 BRAND NAME 26 83
  • 84. COMPANY NAME 18 ENDORSERS 12 PRODUCT FEATURES 14 Figure 16.Survey Report Inference Through this chart it is shown what are the things that should be given more priority in an ad..23% of the respondents said that the benefits of a product should be highlighted,30% said that the tag line should be highlighted so that the customers can recall and their brand preference will increase,17% said that the a brand name should be highlighted,12% said that company name should be given more priority,8% said that endorsers should be brought in the lime light, and rest 10% said that the features of the product should be highlighted. From this survey we can say that ,tag line of a brand should be brought in lime light so that brand preference of that particular product will increase. 84
  • 85. 17. If a product is misinterpreted by your friend would you believe him or go on with your own view? WHAT YOU DO IF A PRODUCT IS MIS INTERPRETED NO. OF RESPONDENTS BELIEVE MY FRIEND 39 GO WITH MY VIEW 63 REFER ADVERISEMENT 29 85
  • 86. REFER INTERNET 19 Figure 17.Survey Report. Inference The respondents were asked if their friend mis interprets a product what they willdo.26% said that they will believe their friend and go with the product,42% said that they will analyze and go with their own view,19% said that they will refert advertisement and rest 13% will refer internet to get the correct information. This shows that customers are very conscious about a product and they will evaluate themselves and buy a product. 18. Do you prefer going to any store just by seeing the offers on hoardings and banners? DO YOU GO TO STORES BY SEEING HOARDINGS AND BANNERS NO. OF RESPONDENTS YES 75 NO 22 SOMETIMES 38 RARELY 15 86
  • 87. Figure 18.Survey Report Inference The responders were asked if the go to stores by seeing the hoardings and banners 50% of the respondents said that the see the banners and hoarding 255 said sometimes they do and 105 said that it rarely happens that they see and go to shop. Through this we come to know that that banners and hoarding showing that product with its othe5r facets create brand awareness and also induces brands preference. 19. After you experience any product do you convey the message to others (positivenegative)? DO YOU CONVEY MESSAGE AFTER YOU EXPERIENCE A PRODUCT NO. OF RESPONDENTS YES 79 NO 26 SOMETIMES 33 RARELY 12 87
  • 88. Figure 19.Survey Report Inference The respondents were asked if they convey word of mouth after they experience a product whether it be positive or negative.53% of the respondents said that they convey word of mouth to their friends and family after they use a product,17% said that they do not do so,22% said that sometimes they do it if the product has some problem and 8%said that they rarely s[read word of mouth to any one. 20. What is your response to repeated advertisement in Tvradio? WHAT IS YOUR RESPONSE TO REPEATED ADVERTISEMENT NO. OF RESPONDENTS YES 68 NO 27 GET IRRITATED 36 CHANGE THE CHANNEL 19 88
  • 89. Figure 20. Survey Report Inference In this question the respondents were asked to give a feed back about repeated ads. which are shown in different media especially electronic media.45% of the respondents said that they do not have any problem , 18% said that they do not like that every moment ads are shown,24% said that they get irritated and rest 13% said that they change the channel when repeated ads of the same product comes. 21. How important is music in advertisement? IMPORTANCE OF MUSIC IN ADVERTISEMENT NO. OF RESPONDENTS VERY IMPORTANT 79 SOMETIMES IMPORTANT 38 NOT IMPORTANT 30 89
  • 90. Figure 21.Survey Report Inference In this survey the respondents were asked how much they feel is music important in an ad..54% of the respondents said that music plays an important role in advertisemnets,26% said that sometimes its important and 20% said that music is not important in ads. This survey proves that music in an ad boosts the quality of an ad. and also it creates a positive impact on brand preference. 22. Do you refer Google search before making purchasing decision? DO YOU REFER GOOGLE SEARCH BEFORE PURCHASING NO. OF RESPONDENTS YES 82 90
  • 91. NO 25 ALWAYS 27 RARELY 16 Figure 22.Survey Report Inference In the survey the respondents were asked do they refer google search before purchasing a product.54% said that they refer google search to find about the product before purchasing it. This also brings in light that now a days people are technologically aware and do search before they buy.17% said that they do not go for google search,18% said that always what ever be the product they refer internet before they purchase, and 11% of the respondents rarely do that if the product is of very importance. 23. Does the internet advertisement in the website create brand awareness? DOES INTERNET ADVERTISEMENT CREATE BRAND AWARENESS NO. OF RESPONDENTS YES 78 91
  • 92. NO 22 SOMETIMES 35 RARELY 15 Figure 23.Survey Report Inference In this survey 52% of the respondents said that internet creates brand awareness,15% said that it does not create brand awareness,23% said that it sometimes creates brand awareness,10% said that rarely it does so.This shows that internet really creates brand awareness 24. Do you think internet is the most reliable source of information? IS INTERNET A RELIABLE SOURCE NO. OF RESPONDENTS YES 82 NO 41 SOMETIMES 27 92
  • 93. Figure 24.Survey Report Inference 55% said that internet is a very reliable source. this means that customer’s believe in internet advertisement which will help in creating good brand preference. 25. Have you ever online shopping? HAVE YOU DONE ON LINE SHOPPING NO. OF RESPONDENTS YES 77 NO 35 93
  • 94. SOMETIMES 24 RARELY 14 Figure 26.Survey Report Inference 52% have said that they have done on line shopping. This means that customer’s rely on internet information about the products and also they do on line shopping. FINDINGS  The most preferred brand is Levis with 48 respondents out of 150 Respondents.  62 respondents prefer their brands because of its quality.  66 of the respondents acquire information about their brands from Television. 94
  • 95.  79 respondents said that they would prefer electronic media than any Other media to get information about a brand.  58 respondents said that they rely on advertisement which shows that Advertisement is important.  59 respondents said that sometimes they change their perception of a Brand by seeing an advertisement.  55 respondents have said that product features influence their decision Making process.  59 respondents out of 150 said that they look for the price of a product in an advertisement.  72 respondents said that they purchase a product because their favorite Celebrity is endorsing it.  50 respondents said that value for money shown in an ad makes them change their brand loyalty.  When it was asked what they recall after seeing or hearing an ad 56 respondents said music.  45 respondents said that the tag line should be highlighted in an advertisement.  75 respondents have said that they go to the stores by seeing the hoardings and banners.  79 respondents said that they spread word of mouth after experiencing a product.  79 respondents said that music is very important in an advertisement.  82 respondents said that they refer google search before purchasing a product.  78 respondents said that internet advertisement really creates brand 95
  • 96. awareness about a product.  82 respondents said that internet is a reliable source for collecting information about a brand.  77 respondents said that they have done on line shopping.  89 respondents said that they do not refer company’s website before purchasing. CONCLUSION  According to this study, it has found out that people notice advertisements and the awareness level of the brand is good only because of advertisements.  Based on this study I would say television advertisements have more reach to the people. Customers prefer television in comparison to other media since they get both the audio and visual 96
  • 97. effects .This also proves that customer’s rely on advertisements shown in media  Customers of the age group of 20-25 are more interested in advertisements and brands.  The customers like branded products because of the quality it possesses..  For an advertisement to be effective the price, the music and the tag line should be highlighted. These three aspects create a great impact in brand preference.  Hoardings and banners also create brand awareness of a product and are important to increase brand preference.  The customer’s also spread word of mouth after they use a product.  This survey also makes it clear that customer’s(especially of the younger generation) refer internet before they purchase and they search for the product features shown in internet advertisements. Suggestions Companies should research continuously for quality improvement. Develop more effective advertising campaigns Advertising messages should both be persuasive and reminder-oriented. Comparative advertising is useful in this regard. Television combines motion, sound, and special visual effects for which it is the most preferred media for advertisements. To employ integrated advertising of their product. 97
  • 98. More budgets could be devoted to TV adverts in view of the Consumers. References 1. www.geocities.com/prof_rajagopal/labr1 2.www.krepublishers.com/...../ 2.www.indiamba.com/Faculty_Column/FC706/fc706 4.www.csulb.edu/colleges/cba/honors 98