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Project Report on Advertising Effectiveness

Project Report on Advertising Effectiveness

The objectives of all business are to makes profits and a merchandising concern can do that by increasing its sales at remunerative prices. This is possible, if the product is widely polished to be audience the final consumers, channel members and industrial users and through convincing arguments it is persuaded to buy it. Publicity makes a thing or an idea known to people. It is a general term indicating efforts at mass appeal. As personal stimulation of demand for a product service or business unit by planting commercially significant news about it in a published medium or obtaining favourable presentation of it upon video television or stage that is not paid for by the sponsor.

    On the other hand, advertising denotes a specific attempt to popularize a specific product or service at a certain cost. It is a method of publicity. It always intentional openly sponsored by the sponsor and involves certain cost and hence is paid for. It is a common form of non- personal communication about an organisation and or its products idea service etc. that is transmitted to a target audiences through a mass medium. In common parlance the term publicity and advertising are used synonymously.

What is Advertising :

    The word advertising is derived from the Latin word viz, "advertero"  "ad" meaning towards and "verto" meeting towards and "verto" meaning. "I turn" literally specific thing".

    Simply stated advertising is the art "says green." Advertising is a general term for and all forms of publicity, from the cry of the street boy selling newspapers to the most celebrate attention attracts device. The object always is to bring to public notice some articles or service, to create a demand to stimulate buying and in general to bring logethel the man with something to sell and the man who has means or desires to buy".

     Advertising has been defined by different experts. Some of the quoted definition are :

     American marketing association has defined advertising as "any paid form of non personal presentation and promotion of ideas, goods or services by an identified sponsor. The medium used are print broad cast and direct.

     Stanton deserves that "Advertising consists of all the activities involved in presenting to a group a non- personal, oral or visual openly, sponsored message regarding a product, service, or idea. This message called an advertisement is disseminated through one or more media and is paid for by the identified sponsor.

     Advertising is any paid form of non personal paid of presentation of ideas goods or services by an identified sponsor.

     Advertising is a "non- personal paid message of commercial significance about a product, service or company made to a market by an identified sponsor.

    In developing an advertising programme, one must always start by identifying the market needs and buyer motives and must make five major decisions commonly referred as 5M (mission, money message, media and measurement) of advertising.

Basic Features of Advertising

    On the basis of various definitions it has certain basic features such as :

1.  It is a mass non-personal communication.

2.  It is a matter of record.

3.  It persuades buyers to purchase the goods advertised.

4.  It is a mass paid communication.

5.  The communication media is diverse such as print (newspapers and magazines)

6.  It is also called printed salesmanship because information is spread by means of the written and printed work and pictures so that people may be induced to act upon it.

Functions of Advertising

   For many firms advertising is the dominant element of the promotional mix particulars for those manufacturers who produce convenience goods such as detergent, non prescription drugs, cosmetics, soft drinks and grocery products. Advertising is also used extensively by maters of automobiles, home appliances, etc, to introduce new product and new product features its uses its attributes, pt availability etc.

     Advertising can also help to convince potential buyers that a firms product or service is superior to competitors product in make in quality, in price etc. it can create brand image and reduce the likelihood of brand switching even when competitors lower their prices or offer some attractive incentives.

     Advertising is particularly effective in certain other spheres too such as :

i)   When consumer awareness of products or service is at a minimum.

ii)  When sales are increasing for all terms in an industry.

iii) When a product is new and incorporates technological advance not strong and.

iv) When primary buying motive exists.

It performance the following functions :

i)   Promotion of sales

ii)  Introduction of new product awareness.

iii) Mass production facilitation

iv) Carry out research

v)  Education of people.


   Broadly speaking, advertising may be classified into two categories viz., product and institutional advertising.

a)Product Advertising

    The main purpose of such advertising is to inform and stimulate the market about the advertisers products of services and to sell these. Thus type of advertising usually promote specific, trended products in such a manner as to make the brands seam more desirable. It is used by business government organization and private non-business organizations to promote the uses features, images and benefits of their services and products.   Product advertising is sub-divided into direct action and indirect action advertising, Direct action product advertising wages the buyer to take action at once, ice he seeks a quick response to the advertisement which may be to order the product by mail, or mailing a coupon, or he may promptly purchase in a retail store in response to prince reduction during clearance sale.

     Product advertising is sub-divided into direct & indirect action advertising & product advertising aims at informing persons about what a products is what it does, how it is used and where it can be purchased. On the other hand selective advertising is made to meet the selective demand for a particular brand or type is product.

b)Institutional Advertising :

    It is designed to create a proper attitude towards the sellers to build company image or goodwill rather than to sell specific product or service. Its purpose is to create a frame of mind and to implant feeling favourable to the advertisers company. Its assignment is to make friends for the institution or organization.

    It is sub-divided into three categories : patronage, public, relations and public service institutional advertising.

i)  In patronage institutional advertising the manufacturer tells his prospects and customer about himself his policies and lives personnel. The appeals to the patronage motivation of buyers. If successful, he convince buyers that his operation entitles him to the money spent by them.

ii) Public relations institutional advertising is used to create a favourable image of the firm among employees, stock-holders or the general public.

iii)   Public service institutional advertising wages public support.

c)Other Types :

    The other types are as follows :

i)  Consumer advertising

ii)  Comparative advertising

iii) Reminder advertising

iv) Reinforcement advertising


    The long term objectives of advertising are broad and general, and concern the contribution  advertising should make to the achievement of overall company objectives. Most companies regard advertisingly main objective as hat of proving support to personal selling and other forms of promotion. But advertising is a highly versatile communications tools and may therefore by used for achieving various short and long term objectives. Among these objectives are the following :

1. To do the entire selling job (as in mail order marketing).

2. To introduce a new product (by building brand awareness among potential buyers).

3. To force middlemen to handle the product (pull strategy).

4. To build brand preference 9by making it more difficult for middleman to sell substitutes).

5. To remind users to buy the product (retentive strategy).

6. To publicize some change in marketing strategy (e.g., a price change, a new model or an improvement in the product).

7.  To provide rationalization (i.e. Socially acceptable excuses).

8.  To combat or neutralize competitors advertising.

9.  To improve the moral of dealers and/or sales people (by showing that the company is doing its share of promotion).

10. To acquaint buyers and prospects with the new uses of the product (to extend the PLC).


    The functions of advertisement, and that purpose its ethics, may be discussion below :

1.  It leads to cheaper prices. "No advertiser could live in the highly competitive arena of modern business if his methods of selling were more costly than those of his rivals."

2.  It acquaints the public with the features of the goods and advantages which buyers will enjoy.

3.  It increases demand for commodities and this results in increased production. Advertising :

a) Creates and stimulates demand opens and expands the markets;

b) Creates goodwill which loads to an increase in sales volume;

c) Reduces marketing costs, particularly product selling costs.

d) Satisfied consumer demands by placing in the market what he needs.

4. It reduces distribution expenses in as much as it plays the part of thousands of salesman at a home. Information on a mass scale relieves the necessity of expenditure on sales promotion staff, and quicker and wider distribution leads to diminishing of the distribution costs.

5.  It ensures the consumers better quality of goods. A good name is the breath of the life to an advertiser.

6.  By paying the way for large scale production and increased industrialization, advertising  contributes its quota to the profit of the companies the prosperity of the shareholder the uplifts of the wage earners and the solution of he unemployment problem. 

7.   It raises the standard of living of the general public by impelling it to use to articles of modern types which may add to his material well being. "Modern advertising has made the luxuries of yesterday the necessities of today ..................... It is a positive creative force in business. It makes two blades of grass grow in the business world where one grew before.

8.   It establishes the goodwill of the concern for the test articles produced by it and in course of time they sell like not cakes consumer search for satisfaction of their needs when they purchase goods what they want from its beauty, superiority, economy, comfort, approval, popularity, power, safety, convenience, sexual gratification and so on. The manufactures therefore tries to improve this goodwill and reputation by knowing the buyer behaviour.

To sum up it may be said that advertising aims at committing the producers, educating the consumer, supplementing the salesman converting the producer and the dealer to eliminate the competitor, but above all it is a link between the produce and the consumer. 


     Advertising as a tool to marketing not only reaches those who buy , but also those whose opinions or authority is counted for example a manufacturer of marble tiles and building boards advertises not only to people who intend to build houses but also to architect and engineers. While the manufacturers of pharmaceuticals products advertise to doctors as well as to the general public. At time it is necessary for a manufacturer or a concern to advertise things which it does not sell but which when sold stimulates the sales of its own product. There are concerns like electric heaters, iron etc. because the use of these increases the demand for their products.

     Advertising should be used only when it promises to bring good result more economically and efficiently as compared to other means of selling. There are goods for which much time and efforts are required in creating a demand by sending salesman to prospective buyers than by simply advertising them. In the early days of the cash register in America it was sold by specially trained salesman who called on the prospective users and had the difficult task of convincing them that they could no longer carry on with the old methods, and that they urgently needed a cash register. In our country certain publishers have found it less costly to sell their books by sending salesman from house to house among prospective buyers than to advertise them. In these two examples the cost of creating demand would be too high if attempted by advertising alone under such circumstances advertising is used to make the salesman acceptable to the people they call upon to increase the confidence of the public in the house. Naturals when there are good profits competitors will be attracted and they should be kicked out as and when sufficient capital is available by advertising on a large scale. Immediate result may not justify the increased expenditure but it will no doubt secure future sales.


    An advertising is an organized series of advertising messages. It has been defined as "a planned, co-ordinate series of promotional efforts built around a central theme and designed to reach a specified goals." In other words, it is an orderly planned effort consisting of related but self contained and independent advertisements. The campaign may appear in one more media . it has single theme or keynote idea and a single objective or goal. Thus, "a unified theme of content provides psychological continuity throughout the campaign while visual and oral similarity provide physical continuity. In short run, all campaign want pre-determined psychological reaction in the long run, practically all campaigns have sales goal.

The series of advertisements used in the campaign must be integrated with the sales promotional efforts and with the activities of the sales force.

Campaign vary in length some may run only for a few days, other for weeks, yet other for a season or the entire year. Usually a range of 3 to 6 months includes many campaigns. Many factors influences campaign length such as competitors advertising media, policies, seasonal falls curves of the product involved, the size of the advertising funds, campaign objectives and the nature of the advertisers marketing programme.


    The advertising campaign, especially those connected with the consumers aims at achieving these objectives :

i)   To announce a new product or improve product.

ii)  To hold consumers patronage against intensified campaign use.

iii) To inform consumers about a new product use.

iv) To teach consumers how to use product.

v)  To promote a contest or a premium offer.

vi) To establish a new trade regional, and

vii)     To help solve a coca regional problem.

The institutional advertising campaign on the other hand, have these objectives.

i)   To create a corporate personality or image.

ii)  To build a company prestige.

iii) To keep the company name before the public.

iv) To emphasize company services and facilities.

v)  To enable company salesman to see top executive consistently when making sales calls, and

vi) To increase friendliness and goodwill towards the company.

Developing the campaign programmes. The advertising campaigns are prepared by the advertising agencies, which work an behalf of their clients who manufacture product or service enterprises, which have services to sell. The word campaign is used because advertising agencies approach their task with a sum Blanca of military fanfare in which one frequently hears words like target audience logistics, zero in and tactics and strategy etc.

The account executive co-ordinates the work in a campaign. The creation of an advertising campaign starts with an exploration of consumers habits and psychology in relation to the product. This requires the services of statistical trained in survey techniques and of others trained in social psychology. Statisticians select samples for survey which are done by trained interviewers who visits individuals, included in the sample and ask question to find out about their taste and habits.

This enquiry often leads to a change in a familiar product. For instance bathing soap may come in several new colours or cigarette in a new packet or talcum powder in another size.

Such interviews are often quite essential to find out the appeal of advertising message for a product that would be most effective with consumers.

David Ogilvy describes a consumers survey to find out the most meaningful benefit in which women are interested when they buy a face cream. The largest preference as given to "Cleans deep into pores" followed in order of importance by prevent dryness, "is a complete beauty treatment, recommended by skin doctors" makes skin look younger' contains estrogenic hormones, pasteurized for purity, prevent skin form aging, smooth our wrinkles ogilvy concludes, form this voting come one of Helena Rubinstein's most successful face creams. We christened it deep cleanser, thus, building the winning form into name of the product. 

After getting the data the account executive puts together the essential elements of his clients brief, interprets the research findings and draws up what he calls the "advertising strategy".


     Several steps are required to developed an advertising campaign the number of stages and exact order in which they are carried out may vary according to an organisations resources, the nature of its product and the types of audiences to be reached. The major stages/step are :

1.  Identifying and analyzing the advertising.

2.  Defining advertising objects.

3.  Creating the advertising platform.

4.  Determining the advertising appropriation.

5.  Selection media plan.

6.  Creating the advertising message.

7.  Evaluating the effectiveness of advertising.

8.  Organizing of advertising campaign.


1.Identifying & Analyzing the Advertising target :

     Under this step it is to decided as to whom is the firm trying to reach with  the message. The advertising target is the group of people towards which advertisements are aimed at four this purpose complete information about the market target i.e. the location and geographical location of the people, the distribution of age, income, sex, educational level, and consumers attitudes regarding purchase and use both of the advertising product and competing products is needed with better knowledge of market target, effective advertising campaign can be developed on the other hand, if the advertising target is not properly identified and analyzed the campaign is does likely to be effective.

2.Determining the advertising objectives :

    The objectives of advertisement must be specifically and clearly defined in measurable terms such as "to communicate specific qualities about a particulars product to gain a certain degree of penetration in a definite audience of a given size during a given period of time", increase sales by a certain percentage or increase the firms market shares."

    The goals of advertising may be to :

i)   Create a favourable company image by acquainting the public with the services offered available to the employees and its achievements.

ii)  Create consumers or distributor awareness by encouraging requests providing information about the types of products sold; providing information about the benefits to be gained from use of the company's products or services; and indicating how product (or services) can be used;

iii) Encourage immediate sales by encouraging potential purchasers through special sales contests, getting recommendation of professional people about company's products etc.

iv)  It secures action by the reader through associating ideas, repetition of the same name in different contexts, immediate action appeal.

3.Creating the Advertising platform :

    An advertising platform consists of the basic issues or selling points that an advertiser wishes to include in the advertising campaign. A single advertisement in an advertising campaign may contain one or more issues in the platform. A motorcycle producers advertising platform should contain issues which are of importance to consumers filling and such issues also be those which the competitive product do not posses.

4. Determining the Advertising Appropriation:

The advertising appropriation is the total amount of money which  marketer allocates. For advertising for a specific time period. Determining the campaign budget involves estimating now much it will cost to achieve the campaigns objectives. If the campaign objectives are profit relating and stated quantitatively, then the amount of the campaign budget is determined by estimating the proposed campaigns effectiveness in attaining them. If campaigns object is to build a particular type of company image, then there is little basis for predicting either the campaigns effectiveness or determining the budget required.

5.Selecting the Media :

    Media selection is an important since it costs time space and money various factors influence this selection, the most fundamental being the nature of the target market segment, the type of the product and the cost involved. The distinctive characteristics of various media are also important. Therefore management should focus its attention on media compatibility with advertising objectives.





Press Advertising or Print




City, Small town, Sundays, Daily, weekly, Fortnightly, quarterlies, financial and annuals, English, vernacular or regional languages.



General or special, illustrated or otherwise, English, Hindi, Regional language.


Trade & Technical Journals, Industrial year books, commercial, directories, telephone,  Directories, references books & annuals.

Circulated all over the country and among the industrialist and business magnates.


Direct Mail

Circulars, catalogues, leaflets, brochures, booklets, folders, colanders, blotters, diaries & other printed material.


Outdoor or Traffic

Poster and bills on walls, railways stations platforms outside public buildings trains, buses.


Broadcast or radio and T.V.

Spot, Sectional or national trade cost



Movie Slides and films non theatrical and documentary films metal plates and signs attaches to trees.


House to house

Sampling , couponing, free gifts, novelties, demonst-rations.


Dealer aids

Counter and widows display  demonstration given by retailer or the advertises goods.

8. Internet

Today, Internet is a big spot for advertising.

So these are the media of the advertising campaign of the selecting of the media.

6.Creating the Advertising Messages :

    This is an important stage of advertising campaign. The contents of the message has to be very carefully drafted in the advertisement. Characteristics of person in the advertising target influence the message content and form. An advertisers must use words, symbols and illustration that are meaningful, familiar and attractive to those persons. The type of media also influence the content and form of the message.

7.Evaluating the Effectiveness of Advertising :

    The effectiveness of advertising is measured for a variety of reasons :

a)  To determine whether a campaign  accomplished its advertising objects.

b)     To evaluate the relative effectiveness of several advertisements to ascertain which copy, illustrations or layout is  best.

c)  To determine the strengths and weaknesses of various media and media plans.

In other words, measuring advertising effectiveness is needed to determine whether proposed advertisement should be used and if they will be now they might be improved; and whether going campaign should be stopped, continued or changed. In accomplishing these purposes, pretests and post test are conducted. The former tests before exposing target consumers to advertisements and the letter after consumers have been exposed to advertisements and the letter after consumers have been exposed to advertisements.

For an effective advertising programme, the advertising manager requires a basic understanding of the medium that is going to carry it.

For effectively using advertising the management must test advertising to know which of the advertisement to know which of the advertisement have proved profitable and why as compared to others.   

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