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Advertising consists of all the activities


involved in presenting through the media
a nonpersonal, sponsor-
sponsor-identified, paid-
paid-for
message about a product or organization.
    !


All advertisements have four features:
1)A verbal and/or visual nonpersonal
message.
2)An identified sponsor.
3)Delivery through one or more media.
4)Payment by the sponsor to the medium
carrying the message.

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Although there are no accurate figures for
the cost of personal selling, we do know it
far surpasses advertising expenditures.
Only a few manufacturing industries,
spend more on advertising than on
personal selling.
At the wholesale level, personal selling
expenses are more for wholesaler than the
expenditures for advertising
" !


Advertising can be classified according to


following types.

1)The Target
2)The Type of Demand
3)The Message
4)The Source
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An ad is directed at consumers or
business; thus it is either business-
business-to
to--
consumer advertising or business-
business-to
to--
business advertising. Retailers by
definition sell only to consumers. On the
other hand, many manufacturers and
distributors must divide their advertising
between business customers and
consumers.
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Primary--demand advertising is
Primary
designed to stimulate demand for a generic
category of a product such as coffee, electricity,
or garments made from cotton. In contrast,
selective--demand advertising is intended to
selective
stimulate demand for individual brands.
The use of primary-
primary-demand advertising occurs
throughout the product lifecycle and therefore is
considered demand-
demand-sustaining advertising.
Selective--demand advertising is essentially
Selective
competitive advertising. It pits one brand
against the rest of the market. This type of
advertising is employed when a product is
beyond the introductory life-
life-cycle change.
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All selective advertising may be classified


as product or institutional.
Product advertising focuses on a particular
product or brand. It is subdivided into
direct--action and indirect-
direct indirect-action product
advertising.
Institutional advertising presents
information about the advertiser's
business or tries to create a favorable
attitude towards the organization.
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The
focus here is on commercial messages but
the most valued form of endorsement is
social,, commonly referred to as word-
word-of
of--
mouth advertising, technically it doesn't fit
our definition of advertising.
On the other hand, the Internet has
generated increasing interest in
personalized messages. Though they are
transferred electronically and not by Ơword
of mouthơ, they can have the same effect.

 

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An advertising campaign consists of all the tasks
involved in transforming a theme into a
coordinated advertising program to accomplish a
specific goal for a product or brand.
An advertising campaign is planned within the
framework of the overall strategic marketing
plan and as part of a broader promotional
program. The framework is established when
management:
1)Identifies the target audience.
2)Establishes the overall promotional goals.
3)Sets the total promotional budget.
4)Determines the overall promotional theme.

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Top executives want proof that advertising
is worthwhile. They want to know whether
dollars spent on advertising are producing
as many sales as could be reaped from
the same dollars spent on other marketing
activities. On the other hand, advertisers
promise only that a certain number of
people will be exposed to an ad.
!! "!
 
It is hard to measure the sales effectiveness of
advertising. By the very nature of the marketing
mix, all elements, including advertising, are so
intertwined that it is nearly impossible to
measure the effect of any one by itself. Factors
that make the sales impact of advertising
difficult are:
1)Different Objectives.
2)Effects over time.
3)Measurement Problems.
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Ad
effectiveness measures are either direct or
indirect. Direct tests, which compile the
responses to an ad or a campaign, can be used
only with a few types of ads.
Most other measures are indirect tests of
effectiveness, or measures of something other
than actual behavior. One of the most frequently
used measures is advertising recall. Recall tests
are based on the premise that an ad can have
an effect only if it is perceived and remembered.
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There are three ways a firm can manage


its advertising:
1)Develop an internal advertising
department.
2)Use an outside advertising agency.
3Use a combination of an internal
department and an outside advertising
agency.
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All these advertising
tasks, some of them, or just overall direction can
be performed by an internal department. A
company whose advertising is a substantial part
of its marketing mix will usually have its own
advertising department.
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Many companies,
especially producers, use advertising agencies to
carry out some or all of their advertising
agencies. An advertising agency is an
independent company that provides specialized
advertising services.
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Many Firms have their own advertising


department and also use an advertising
agency. The internal department acts as a
liaison with the agency, giving the
company greater control over this major
expenditure.
   
Sales promotion is one of the most loosely
used terms in the marketing vocabulary.
We define sales promotion as demand-
demand-
stimulating devices designed to
supplement advertising and facilitate
personal selling. Examples of sales
promotion devices are coupons,
premiums, in-
in-store displays, sponsorships,
trade shows, samples, in-
in-store
demonstrations, and contests.
   
Sales promotion is distinct from
advertising or personal selling, but these
three forms of promotion are often used
together in an integrated fashion.
There are two categories of sales
promotion:
1)Trade promotions; directed to the
members of the distribution channel.
2)Consumer promotions; aimed at
consumers.
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There are three broad objectives of sales
promotion are:
1)Stimulating business user or household
demand for a product.
2)Improving the marketing performance of
middleman and sales people.
3)Supplementing advertising and facilitating
personal selling.
  
Public relation is a management tool
designed to favorably influence attitudes
toward an organization, its products, and
its policies. It is an often overlooked form
of promotion. In most organizations this
promotional tool is typically a stepchild,
relegated far behind personal selling,
advertising, and sales promotion.
   

Public relation activities typically are


designed to build or maintain a favorable
image for an organization with its various
publics i.e. customers, prospects,
stockholders, employees, labor unions, the
local community, and the government.
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Publicity is any communication about an
organization, its products, or policies
through the media not paid for by the
organization. Publicity usually takes the
form of a news story appearing in the
media or an endorsement provided by an
individual, either informally or in a speech
or interview. This is good publicity.
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 "
There are three means for gaining good publicity:
1)Prepare and distribute a story to the media. The
intention is for the selected newspapers,
television stations, or other media to report the
information as news.
2)Personal communication with a group.
3)One--on-
3)One on-one personal communication, often
called lobbying. Companies lobby legislators or
other powerful people in an attempt to influence
their opinions, and subsequently their decisions.