QUESTION BANK

Subject: Advertising and Sales Promotion

Subject Code: BBA 308

Faculty: Dr. Dipti Jain

Unit 1 and Unit 2

Q1. Explain the role of advertising in the marketing mix and its importance in stimulating
demand. Provide examples of how advertising can impact consumer behavior and market
trends.

Ans. In today’s competitive business landscape, advertising has become an integral part of
marketing strategies. It plays a crucial role in informing, persuading, and reminding consumers
about products and services, while stimulating demand and influencing consumer behavior. As a
key component of the promotional strategy within the marketing mix, advertising helps
businesses effectively reach their target audience and create awareness about their offerings.

This essay explores the role of advertising in the marketing mix, its significance in stimulating
demand, and the ways it shapes consumer behavior and market trends. Real-world examples
from various industries help illustrate the profound impact advertising has on the marketplace.

Advertising in the Marketing Mix

The marketing mix, often referred to as the 4Ps—Product, Price, Place, and Promotion—
represents a strategic framework used by businesses to market their offerings. Promotion, as one
of these pillars, focuses on communicating the value of a product to consumers, and advertising
is a primary tool within this domain.

Advertising is typically a paid, non-personal communication from an identified sponsor aimed

at influencing consumer behavior. It is delivered through multiple channels, including traditional
media like television, radio, print, and billboards, as well as digital platforms like social media,
websites, search engines, and mobile apps.

The Role of Advertising in Promotion

Within the broader promotional mix, which also includes sales promotion, personal selling,
public relations, and direct marketing, advertising serves several critical functions:

 Mass Communication: Advertising allows businesses to reach large audiences quickly

and efficiently.

 Brand Awareness: Through consistent messaging, advertising builds brand recognition

and awareness.

 Message Control: Unlike word-of-mouth or public relations, advertisers have full

control over the content and timing of their messages.

For example, Coca-Cola uses advertising to maintain its brand image globally. Its campaigns,
such as "Taste the Feeling," consistently emphasize happiness, sharing, and refreshment,
reinforcing its emotional connection with consumers.

Importance of Advertising in Stimulating Demand

Advertising plays a central role in creating and increasing demand for products and services. It
influences consumer decision-making at every stage of the buying process—from awareness to
consideration to purchase and beyond.

1. Creating Awareness

The first step in stimulating demand is to inform potential consumers about the existence of a
product or service. Advertising spreads this awareness and educates customers about product
benefits and availability.

 Example: Cadbury Dairy Milk expanded its market in India by advertising in regional
languages and linking its products to local festivals. This strategy raised awareness in
rural areas, contributing to higher demand.

2. Persuading Potential Buyers

Once consumers are aware of a product, advertising persuades them to choose one brand over
others by highlighting unique selling points (USPs) and emotional appeals. Effective advertising
can position a product as a better alternative in a competitive market.
  Example: Surf Excel’s "Daag Ache Hain" campaign persuaded parents to associate stains
with positive childhood experiences. By appealing to emotions rather than just product
functionality, the brand enhanced its appeal and drove demand.

3. Stimulating Latent Demand

Advertising can create demand where none previously existed by addressing unmet or
unrecognized needs. It often stimulates interest in innovative products and services.

 Example: Apple’s advertisements for the iPhone transformed smartphones from

communication tools into lifestyle necessities. By showcasing features like the App
Store, high-quality cameras, and sleek design, Apple created a new demand for premium
smartphones.

4. Encouraging Repeat Purchases and Brand Loyalty

Advertising helps brands stay top-of-mind, encouraging customer retention and repeat purchases.
It reinforces brand values and builds loyalty over time.

 Example: Amul’s topical billboard campaigns, which comment humorously on current

events, have helped the brand remain relevant for decades. These consistent and witty ads
have earned Amul a loyal customer base across generations.

5. Educating Consumers

Some products require consumer education about usage and benefits. Advertising plays a vital
role in informing consumers and clearing misconceptions.

 Example: Tata Tea’s "Jaago Re" campaign not only promoted its tea but also educated
the public about civic responsibilities like voting. This initiative built brand goodwill
while increasing product sales.

How Advertising Impacts Consumer Behavior

Advertising significantly affects consumer attitudes, beliefs, and purchasing decisions. It can
drive trends, reinforce social norms, and influence emotional responses to brands.
1. Shaping Perceptions and Attitudes

Advertising helps form positive perceptions of a product or service by emphasizing its strengths
and benefits. It can also change negative perceptions over time.

 Example: Dettol uses its advertisements to position itself as a trusted hygiene brand.
During health crises like the COVID-19 pandemic, Dettol ads emphasized protection and
safety, reinforcing consumer trust in its products.

2. Creating Aspirational Appeal

Advertising often taps into consumer aspirations for a better lifestyle, status, or identity. Luxury
brands frequently use aspirational marketing to justify premium pricing.

 Example: Mercedes-Benz India runs ads that associate their vehicles with success and
sophistication. The aspirational value attached to owning a Mercedes drives demand
among affluent consumers and professionals.

3. Encouraging Impulse Buying

Well-crafted advertisements, often paired with time-sensitive offers, can lead to impulse
purchases. Digital ads, in particular, create a sense of urgency.

 Example: Flipkart’s and Amazon India’s advertising during sales events like "The Big
Billion Days" promote flash sales and exclusive deals. These campaigns create urgency,
encouraging consumers to make quick, often impulsive purchases.

4. Influencing Social and Cultural Trends

Advertising can influence broader societal norms and trends by promoting specific ideals,
lifestyles, or behaviors.

 Example: Fair & Lovely (now Glow & Lovely) ads historically promoted fair skin as
desirable. Although controversial, these ads shaped societal beauty standards in India for
years. In contrast, modern brands are now focusing on more inclusive advertising
campaigns that celebrate diversity.
Advertising and Market Trends

Beyond influencing individual consumers, advertising can shape entire markets and industries.

1. Expanding Market Size

Through awareness and education campaigns, advertising often grows the total size of the market
by attracting new users.

 Example: Amazon India used aggressive advertising to popularize online shopping

across urban and rural India. By highlighting convenience, cash-on-delivery, and
discounts, Amazon expanded the e-commerce customer base dramatically.

2. Managing the Product Life Cycle

Advertising supports a product through its life cycle stages—introduction, growth, maturity, and
decline. It can introduce new products, differentiate during competition, and rejuvenate declining
brands.

 Example: Hero MotoCorp relaunched its Splendor motorcycles with nostalgic

advertisements, reinforcing their reliability and affordability. This strategy helped the
brand maintain its leadership position in the two-wheeler market.

3. Creating New Categories

Innovative advertising can create entirely new product categories by stimulating latent demand.

 Example: Apple’s marketing campaigns for AirPods created a new category for truly
wireless earbuds. Apple’s ads showcased seamless connectivity and convenience,
prompting other brands to enter this space and making wireless earbuds mainstream.

Advertising in the Digital Age

The digital revolution has transformed advertising, making it more personalized, interactive, and
measurable. Digital advertising allows brands to engage consumers in real-time, target specific
segments, and track campaign performance.
1. Targeted Advertising

Digital platforms like Google Ads and Facebook Ads enable businesses to target ads based on
demographics, interests, and behavior.

 Example: Zomato uses personalized push notifications and app-based ads to promote
restaurant offers and discounts tailored to users’ preferences, increasing order frequency.

2. Interactive Campaigns

Social media advertising encourages user interaction through contests, polls, and influencer
collaborations.

 Example: Swiggy’s #Voice of Hunger campaign on Instagram encouraged users to

record creative voice notes in the shape of food items. This unique and engaging
campaign increased user participation and brand visibility.

3. Influencer Marketing

Brands collaborate with influencers to reach niche audiences with authentic recommendations.

 Example: Nykaa partners with beauty influencers on YouTube and Instagram to

showcase its cosmetics and skincare products. Influencers’ reviews and tutorials build
trust and drive demand for Nykaa’s offerings.

Conclusion

Advertising plays a central role in the marketing mix, acting as a powerful tool for businesses to
promote products, stimulate demand, and influence consumer behavior. By creating awareness,
persuading potential customers, educating the market, and fostering brand loyalty, advertising
helps drive sales and build strong brands.

In today’s competitive and fast-evolving marketplace, effective advertising strategies—whether

traditional or digital—are essential for businesses seeking growth and sustainability. As
technology advances and consumer preferences evolve, advertising will continue to be a key
driver of demand, shaping not only what consumers buy but also how they think and behave.
Q2. How to set advertising objectives? Once the list of advertising objectives is prepared
how DAGMAR approach and Hierarchy-of- Effects model can be used to accomplish
them? Explain with examples.

Ans 2. Setting clear advertising objectives is a crucial step in developing an effective advertising
campaign. Well-defined objectives guide the creative process, media planning, budget allocation,
and performance evaluation. Advertising objectives should align with the overall marketing and
business goals of the organization.

Steps to Set Advertising Objectives:

1. Understand the Marketing and Business Goals

Advertising objectives should be aligned with the overall marketing and business goals of the
company.

Example:
If a company like Tata Motors plans to launch a new electric car, the advertising objective
could focus on creating awareness among eco-conscious consumers, which aligns with their
business goal of entering the EV market.

2. Identify the Target Audience

Clearly define who you are trying to reach. This involves understanding:

 Demographics (age, gender, income)

 Psychographics (lifestyle, interests, values)

 Geographic location

 Behavioral aspects (purchase habits)

Example:
An organic skincare brand like Mamaearth may target young, health-conscious women aged 20-
35 who prefer chemical-free products.

3. Decide on the Communication Task

Advertising objectives should focus on what you want the audience to do after seeing the
advertisement. Do you want them to:

 Become aware of the brand?

 Understand the product?

 Develop a preference?

 Make a purchase?

Example:
If OnePlus launches a new smartphone, they may aim to inform consumers about its unique
camera features.

4. Use the Hierarchy-of-Effects or DAGMAR Model

Frameworks like Hierarchy-of-Effects and DAGMAR help set objectives at various stages of the
customer decision journey:

 Awareness

 Knowledge/Comprehension

 Liking/Preference

 Conviction

 Purchase/Action

5. Make Objectives SMART

Good advertising objectives should be:

 Specific (clearly defined)

 Measurable (quantifiable results)

 Achievable (realistic)
  Relevant (aligned with marketing goals)

 Time-bound (clear deadline)

Example:
“Achieve a 30% increase in website traffic for the Samsung Galaxy S24 within the first month of
launch.”

6. Determine the Budget

Advertising objectives should be set according to the available budget. A larger budget may
focus on broader objectives like national awareness, while a smaller budget may focus on
regional engagement or online sales conversions.

7. Select Appropriate Media Channels

Your objectives influence the choice of media platforms—TV, print, social media, radio, etc.
Example:
A youth-focused brand like Nike may prioritize Instagram Reels and YouTube ads to achieve the
objective of increasing brand engagement among Gen Z.

8. Establish KPIs to Measure Success

Decide how success will be measured. KPIs might include:

 Brand awareness (surveys, impressions)

 Engagement (likes, shares, comments)

 Conversion rates (sales, sign-ups)

 ROI (return on ad spend)

Example:
Swiggy may track coupon redemptions or order numbers after a campaign offering a 50%
discount on first orders.
DAGMAR Approach to Accomplish Advertising Objectives

The DAGMAR Model (Defining Advertising Goals for Measured Advertising Results) was
developed by Russell H. Colley in 1961. It provides a structured approach to setting and
measuring advertising objectives.

Stages of the DAGMAR Model

1. Awareness

 Objective: Make the target audience aware of the brand or product's existence.
 Goal: Ensure the consumer recognizes or recalls the brand name.

Example:
Tata Motors launches teaser ads for its electric vehicle, Tata Punch EV, across TV, social media,
and YouTube to generate initial awareness about the product.

2. Comprehension (Understanding)

 Objective: Ensure the audience understands the product's benefits, features, and uses.
 Goal: Educate consumers so they have a clear idea of the brand’s offering.

Example:
Samsung creates detailed explainer videos and social media posts about its Galaxy S24 Ultra,
highlighting camera technology, battery life, and AI features to improve consumer
comprehension.

3. Conviction

 Objective: Persuade the consumer to form a positive attitude and preference toward the
brand.
 Goal: Build trust and convince consumers that the product is right for them.
Example:
Mamaearth uses influencer endorsements and customer testimonials in its advertising to build
trust and encourage conviction that their organic skincare products are safe and effective.

4. Action

 Objective: Encourage consumers to take a specific action, usually to buy the product.
 Goal: Convert consumer interest and conviction into purchase behavior.

Example:
Flipkart runs a "Big Billion Days" sale campaign offering heavy discounts and limited-time
deals, prompting customers to complete purchases.

How DAGMAR Leads to Achieving Advertising Objectives

The DAGMAR model ensures that advertising objectives are clearly defined and
measurable, focusing on consumer communication rather than just immediate sales. Here's how
it helps:

1. Clear Objective Setting

DAGMAR requires advertisers to specify what they want to achieve at each stage—whether it's
increasing awareness or driving purchase.
Example: An advertising objective could be "Increase brand awareness of Tata Punch EV
among millennials by 40% in 3 months."

2. Measurement of Effectiveness

DAGMAR emphasizes quantifiable goals. Marketers can measure success at each stage—
awareness through brand recall surveys, comprehension through engagement rates, conviction
through preference surveys, and action through sales data.

3. Focus on Communication Tasks

DAGMAR shifts the focus from "selling" to communicating effectively with the target
audience. If consumers move successfully from awareness to action, it indicates effective
advertising.

Example: Swiggy may use DAGMAR to first create awareness of a "Swiggy One" membership,
then educate users on its benefits (free delivery), build conviction through customer reviews, and
finally offer discounts to encourage sign-ups.

4. Consumer Journey Mapping

DAGMAR aligns advertising with the consumer’s decision-making process, ensuring

messages are tailored to move them along the purchase journey.

Hierarchy of Effects Model: Stages and Its Role in Achieving Advertising Objectives

The Hierarchy of Effects Model, introduced by Lavidge and Steiner in 1961, describes the
customer journey in six sequential stages that lead from initial awareness to final purchase. It is
an essential framework in advertising and helps marketers set clear, measurable objectives at
each phase of a consumer’s decision-making process. The model works on the principle that
consumer behavior progresses through three stages: Cognitive (thinking), Affective (feeling),
and Conative (doing).

Stages of the Hierarchy of Effects Model (with Examples)

1. Awareness
This is the first stage where potential customers become aware of a brand or product.
Advertising aims to grab attention and ensure brand recall.
Example: Tata Motors promoting its latest EV car, Tata Punch EV, through TV ads and
social media teasers to create brand awareness.
2. Knowledge (Information)
Once aware, consumers need information about the product's features and benefits. The
objective is to educate them.
 Example: Samsung explains the features of its Galaxy S24 Ultra in detailed YouTube
videos, highlighting camera quality and battery life.
3. Liking
After understanding the product, advertising builds positive feelings or emotional
connections with the brand.
Example: Cadbury Dairy Milk runs emotional ads during festivals like Diwali, focusing
on family bonds and sharing happiness.
4. Preference
At this stage, the consumer develops a preference for the brand over competitors.
Example: OnePlus smartphones advertise high-end specs at competitive prices,
encouraging consumers to choose them over brands like Apple or Samsung.
5. Conviction
Consumers become convinced about the product’s value, developing the intention to
purchase.
Example: Mamaearth uses influencer marketing and customer testimonials to assure
buyers of its product safety, encouraging them to buy.
6. Purchase
The final stage is action—the consumer makes the purchase decision.
Example: Flipkart’s “Big Billion Days” sale creates urgency with limited-time offers,
encouraging immediate buying.

How the Model Helps Achieve Advertising Objectives

The Hierarchy of Effects Model allows advertisers to design campaigns targeting specific
consumer behavior stages. It helps them set advertising objectives like:

 Increase awareness by 30% through mass media campaigns.

 Educate consumers about product benefits, measured by website visits or engagement.
 Generate preference tracked via brand consideration surveys.
 Drive purchase, measured through sales conversions.
For example, Swiggy may first raise awareness about its new feature (free delivery), educate
users about how it works (via app notifications), and finally offer discount coupons to encourage
ordering.

Each stage has its key performance indicators (KPIs)—impressions for awareness,
engagement for knowledge, sentiment analysis for liking, and conversion rates for purchase.

Conclusion

Setting advertising objectives is a strategic process that requires alignment with broader
marketing goals. Once these objectives are clear, frameworks like the DAGMAR approach and
the Hierarchy-of-Effects model help guide the execution and evaluation of advertising
campaigns.

The DAGMAR model emphasizes measurable communication objectives and clarity, while the
Hierarchy-of-Effects model maps out the psychological stages a consumer goes through before
making a purchase decision.

By using both models in tandem, businesses can ensure their advertising not only grabs attention
but also guides consumers smoothly from awareness to purchase—creating meaningful
engagement and long-term brand loyalty.

Q3. Define advertising and explain its importance in the marketing Give example of Effects
of Advertising.

Ans3. Definition of Advertising

Advertising is a paid form of non-personal communication that promotes products, services,

ideas, or brands to a target audience through various media channels such as television, radio,
newspapers, social media, and websites. It aims to inform, persuade, and remind potential
customers about the offerings of a company, with the ultimate goal of influencing their
purchasing behavior. Unlike personal selling, advertising communicates to a mass audience, and
its message is controlled by the advertiser.
According to Philip Kotler, “Advertising is any paid form of non-personal presentation and
promotion of ideas, goods, or services by an identified sponsor."

According to American Marketing Association (AMA), "Advertising is any paid form of non-
personal presentation and promotion of ideas, goods, or services by an identified sponsor."

For example, when Tata Motors runs a television campaign showcasing its electric vehicle (EV),
Tata Nexon EV, it is engaging in advertising to inform and persuade consumers about its new
product.

Importance of Advertising in Marketing

Advertising plays a critical role in the marketing mix, often categorized under Promotion (one
of the 4Ps—Product, Price, Place, Promotion). It serves as the voice of the company,
communicating product value and benefits to a large audience. Here's why advertising is
important in marketing:

1. Creates Awareness

Advertising helps companies introduce new products or services to the market. It creates
awareness among potential customers, informing them of what is available.

Example: When Swiggy introduced its "Instamart" service for instant grocery delivery,
advertisements on TV and social media platforms made consumers aware of this new
convenience.

2. Educates Consumers

Advertising provides necessary information about the product’s features, benefits, price, and
availability, helping consumers make informed decisions.

Example: Samsung launches explainer ads to educate customers about the advanced camera
features of its Galaxy smartphones.

3. Builds Brand Image and Loyalty

Consistent and creative advertising builds a brand’s image and personality. It can foster
emotional connections with consumers, which leads to brand loyalty.

Example: Amul has built a strong brand image over the years through its witty, topical
advertisements that resonate with the Indian audience.

4. Persuades Consumers to Buy

Advertising influences consumer perception, persuading them to prefer one brand over another.
It highlights the unique selling propositions (USPs) of products to create preference and
encourage buying behavior.

Example: Colgate runs ads emphasizing its dental protection benefits, persuading consumers to
choose it over other toothpaste brands.

5. Supports Sales Promotion

Advertising is used to inform consumers about sales, discounts, and special offers. It generates
excitement and encourages immediate purchases.

Example: Flipkart’s Big Billion Days Sale is promoted heavily across digital and traditional
media to drive traffic to its platform and boost sales.

6. Reinforces Customer Satisfaction

Reminder advertisements reinforce customer satisfaction and keep the brand top-of-mind. It
encourages repeat purchases and word-of-mouth referrals.

Example: Coca-Cola’s advertisements during festivals emphasize happiness and togetherness,

reinforcing a positive brand image and encouraging loyal customers to continue buying.

Effects of Advertising: Examples and Explanation

Advertising has a broad impact on consumers, businesses, and society. Below are some key
effects with examples:

1. Economic Impact
Advertising stimulates demand, driving the production and consumption cycle in an economy. It
helps companies grow, creates job opportunities in media, design, and sales, and leads to
economic development.

Example: The heavy advertising campaigns by Ola Electric increased the demand for electric
scooters in India, encouraging more production and boosting the EV industry.

2. Increases Consumer Awareness and Knowledge

Advertising informs consumers about product choices and market trends, leading to a more
aware and knowledgeable consumer base.

Example: Awareness campaigns by Khadi India highlighted the availability of sustainable, eco-
friendly clothing options, educating consumers about indigenous products.

3. Influences Consumer Behavior

Through persuasive communication, advertising shapes consumer preferences and buying

behavior. It can create perceived differences between similar products.

Example: Apple's sleek and innovative advertising campaigns position the iPhone as a status
symbol, influencing consumers to buy not just for functionality but for the brand image.

4. Encourages Competition and Innovation

Advertising drives competition in the market. Brands strive to offer better quality products,
services, and prices to outperform competitors.

Example: Jio’s aggressive advertising and free data campaigns in India disrupted the telecom
sector, forcing competitors like Airtel and Vodafone to innovate and offer competitive services.

5. Social and Cultural Influence

Advertising can promote social change and influence cultural values by raising awareness of
societal issues.
Example: Tanishq’s ad campaigns promote inclusivity and diversity by showcasing interfaith and
modern marriages, impacting societal attitudes.

6. Negative Effects (If Misused)

While advertising has many positive effects, it can also have negative consequences, such as
creating unnecessary wants or promoting unrealistic standards.

Example: Beauty product ads that promote fairness as a standard of beauty (e.g., earlier
campaigns by Fair & Lovely, now Glow & Lovely) have been criticized for reinforcing harmful
stereotypes.

Conclusion
Advertising is a vital element in marketing. It informs, persuades, and reminds consumers about
products and services, helping businesses grow and strengthen their brands. Its role in creating
awareness, shaping consumer perceptions, and driving demand makes it an indispensable tool for
marketers. However, responsible advertising practices are essential to avoid misleading
consumers and to contribute positively to society.

Q4. Describe the key elements involved in building advertising programmes/ campaigns.

Ans 4. An advertising campaign is a coordinated series of promotional efforts that

communicate a central message about a product, service, or brand over a defined period, using
various media channels. The goal of an advertising campaign is to achieve specific marketing
objectives, such as building brand awareness, generating interest, increasing sales, or changing
consumer attitudes.

An advertising campaign is a planned strategy consisting of a series of interconnected

advertisements sharing the same message and objectives, aimed at reaching and influencing a
target audience.

Example:
  The Coca-Cola "Share a Coke" campaign replaced the Coke logo with people's names
on bottles, encouraging customers to find and share a Coke with someone whose name
was on the bottle.

 It ran across TV, outdoor, digital, and social media, all delivering the same core
message: "Share a Coke."

Key Elements Involved in Building Advertising Programmes / Campaigns

Building an advertising campaign involves several key elements or steps. These are important
to create a successful and impactful campaign. Here's an overview of these elements:

1. Identifying the Target Audience

 Before designing an ad campaign, it's important to know who you are talking to.

 Define the demographics (age, gender, income), psychographics (lifestyle, interests),

and buying behavior of your ideal customer.

Example:
If you're promoting sports shoes, your audience might be fitness enthusiasts, young adults, or
athletes, aged 18-35, living in urban areas.

2. Setting Advertising Objectives

 These are the goals you want to achieve with the campaign.

 Objectives can be:

o Informative (creating awareness)

o Persuasive (encouraging purchase)

o Reminder (reinforcing the brand in consumers’ minds)

 The objectives should be Specific, Measurable, Achievable, Realistic, and Time-

bound (SMART).
Example:
Increase brand awareness by 30% within 3 months among the youth segment.

3. Message Decision (Creative Strategy)

 The message should be clear, engaging, and relevant.

 Decide the main theme, tone, and appeal (emotional, rational, moral).

 Highlight the Unique Selling Proposition (USP) of your product or service.

Example:
For Fevicol, the core message is "Fevicol ka jod hai, tootega nahi", emphasizing the strong
bond (USP).

4. Selecting the Advertising Media (Media Planning)

 Choose the right media platforms to reach your target audience effectively.

 Options include TV, radio, print, outdoor (billboards), social media, digital ads, etc.

 Consider reach, frequency, cost, and audience media habits.

Example:
For a youth-oriented product, focus on Instagram, YouTube, and influencer marketing, as
young people spend time there.

5. Budget Decisions

 Allocate funds based on the media selection, production costs, and duration of the
campaign.

 Ensure that the budget aligns with the campaign objectives and offers a good return
on investment (ROI).

Example:
A startup may allocate 60% of its advertising budget to social media, while a big FMCG
brand may split the budget between TV, print, and digital ads.
6. Creative Development and Production

 Develop and produce the advertisements based on the creative strategy.

 This includes scripting, designing, filming, and editing the ads for each medium.

Example:

 TV commercials

 Print ad design for magazines

 Banner ads for websites

 Short videos for social media

7. Execution of the Campaign

 Roll out the campaign across selected media channels according to the schedule.

 Ensure consistency in messaging and timely delivery.

Example:
Launching a Diwali sale campaign for an e-commerce brand like Amazon with ads on TV,
social media, and newspapers starting two weeks before the festival.

8. Monitoring and Evaluation of the Campaign

 After launching the campaign, continuously monitor its performance.

 Use metrics and tools (like Google Analytics, surveys, sales data) to evaluate whether
the objectives are being met.

 If required, make adjustments to the campaign strategy.

Example:
If an ad campaign is not getting enough engagement on Instagram, you may need to tweak the
creative content or timing of posts.

Conclusion
An advertising campaign is a structured and strategic effort that combines creativity, planning,
and analysis to achieve specific marketing goals. The key elements—target audience, objectives,
message, media, budgeting, execution, and evaluation—must work together seamlessly to
maximize the campaign’s impact and success.

Q5. What are the various message decisions that an advertiser has to take?

Ans5. The message is the thought, idea, attitude, image or other information that an advertiser
want to convey to the target audience. Formulating the message would require solving four
problems.

What to say- Message Content

How to say it logically- Message Structure

How to say it symbolically- Message Format

Who should say it-Message source

Message Content

Message content refers to the core idea, theme, or information that an advertisement
communicates to the target audience. It focuses on what to say in the advertisement to attract
attention, create interest, and persuade consumers to take a desired action (buying a product,
visiting a website, etc.).

A critical part of message content is the advertising appeal, which is the approach used to
attract consumers’ attention and influence their feelings or actions.

Meaning of Advertising Appeals

An advertising appeal is the strategy or technique used in an ad to capture attention,
stimulate interest, and motivate action by connecting with the audience’s emotions, needs, or
desires.

Appeals are designed to trigger emotions or provide logical reasons for a customer to prefer
one product over another. The right appeal can shape consumer attitudes, build brand image,
and drive purchases.
Types of Advertising Appeals
Here are the major types of advertising appeals used in message content:

1 Emotional Appeals

These appeals aim to stir emotions such as happiness, love, fear, or guilt to connect with the
audience at a personal level.

Examples:

 Fear Appeal: Insurance ads showing the consequences of not being insured (e.g., LIC
campaigns emphasizing family security).
 Happiness Appeal: Coca-Cola’s “Open Happiness” campaign creates a feeling of joy
and togetherness.

2 Rational (Logical) Appeals

These appeals focus on logic, facts, and information, providing reasons why a product is
beneficial.

Examples:

 Ads for electronics (like Samsung TVs) showcasing technical specifications, energy
efficiency, and price comparisons.
 Detergents (like Surf Excel) advertising superior stain removal with scientific proof

3 Moral Appeals

These appeals target the audience’s sense of right and wrong, urging them to act in a way that
benefits society or the environment.

Examples:

 Tata Tea’s “Jaago Re” campaign encouraging voters to be socially responsible.

 Eco-friendly brands promoting products like paper straws or biodegradable packaging.
4 Fear Appeals

Fear appeals highlight negative consequences of not taking action, creating urgency.

Examples:

 Anti-smoking campaigns showing harmful health effects (like Cancer Awareness Ads).
 Road safety ads depicting accidents to encourage wearing helmets or seat belts.

5. Humor Appeals

Humor appeals use funny situations, jokes, or characters to entertain and engage audiences,
making the ad more memorable.

Examples:

 Fevicol ads showing exaggerated situations of “strong bonding” in a humorous way.

 Center Fresh gum’s “Zubaan Pe Rakhe Lagaam” ads using lighthearted humor.

6 Sex Appeals

Sex appeals use sensual or romantic themes to attract attention. They focus on desire, physical
attraction, or aspiration.

Examples:

 Perfume ads like Axe and Wild Stone, often implying attraction and desirability.
 Clothing brands featuring attractive models to showcase fashion.

7 Bandwagon Appeals

These appeals encourage consumers to follow the crowd, suggesting that “everyone is using it,
so you should too.”
Examples:

 Ads stating “Join the millions who trust XYZ Bank.”

 “India’s No. 1 Brand” claims, like Colgate or Amul.

8 Scarcity Appeals

Scarcity appeals create a sense of urgency by highlighting limited time or limited stock offers.

Examples:

 Flipkart’s Big Billion Day sales (“Only today!”).

 Airline ads saying “Only a few seats left at this price.”

Meaning of Message Structure

Message structure refers to how an advertising message is organized and presented to the
audience. It determines how the information is arranged, which points are emphasized, and
how the message guides the audience’s thinking process.

The goal of message structure is to ensure the message is clear, logical, persuasive, and
memorable. By choosing the right structure, advertisers can enhance comprehension, retain
attention, and influence consumer attitudes and behavior.

Dimensions of Message Structure in Advertising

1Drawing Conclusions

This decision involves whether the advertiser should explicitly state the conclusion of the
message or allow the audience to draw their own conclusion.

Types:

 Explicit Conclusion: Clearly states the takeaway or call-to-action (e.g., "Buy now!" or
"Act fast!").
  Implicit Conclusion: Provides information and lets consumers infer the conclusion on
their own.

Example:

 Explicit: A life insurance ad says, “Secure your family’s future today by choosing XYZ
Life Insurance.”
 Implicit: A travel agency ad shows happy families on vacations, implying that booking
with them ensures a joyful trip.

When to use:

 Explicit conclusions work better for low-involvement or simple products.

 Implicit conclusions work well for high-involvement products, encouraging consumers
to think and engage.

2 Repetition

Repetition refers to how often a message is delivered to the target audience. Repeating a
message helps reinforce the brand, increase recall, and clarify complex messages.

Purpose:

 Builds brand awareness.

 Increases message retention.
 Reduces consumer skepticism over time.

Example:

 Fevicol ads consistently repeat the idea of “strong bonding” across various humorous
campaigns.
 Amul billboard ads repeat timely, witty messages to reinforce brand familiarity.

Repetition is most effective when spaced properly to avoid wear-out, where consumers become
bored or annoyed.
3 One-Sided vs. Two-Sided Messages

This dimension deals with whether the message presents only the positives of a product or both
the positives and negatives.

Types:

 One-Sided Message: Only highlights the product's benefits, ignoring any drawbacks.
 Two-Sided Message: Acknowledges limitations but emphasizes strengths.

Example:

 One-Sided: “Our face cream guarantees glowing skin in 10 days!”

 Two-Sided: “Our cream may take a few weeks to show results, but it’s 100% natural and
safe.”

Two-sided messages can increase credibility, especially for educated consumers or high-
involvement purchases.

4 Order of Presentation

This refers to the sequence in which information is presented in an ad.

Options:

 Primacy Effect: Presenting the strongest argument at the beginning (captures early
attention).
 Recency Effect: Placing the strongest argument at the end (leaves a lasting impression).

Example:

 Primacy: An ad that starts with “Introducing the safest car on Indian roads!”
 Recency: An ad that ends with “And now, you can own it for just ₹5 lakh!”

Use primacy when the audience is less interested, and recency when the audience is already
engaged.
5 Climax vs. Anti-Climax Order

This relates to how the message builds up to its conclusion.

Climax Order: The ad gradually builds excitement, leading to a powerful conclusion or call-
to-action.

Anti-Climax Order: The most impactful point is made immediately, followed by supporting
details.

Example:

 Climax: A storytelling ad that builds suspense and ends with the product reveal, like the
Google Reunion ad about two friends reuniting.
 Anti-Climax: An ad that starts with a major offer like “Flat 50% off on all products!”
and then explains the details.

Use climax for emotional storytelling and anti-climax for urgent, attention-grabbing offers.

Message Source

In advertising, the message source refers to the person, organization, or entity that delivers the
advertising message to the target audience. The source can be a celebrity, a subject expert, a
customer testimonial, or even a brand mascot (like the Amul Girl). The effectiveness of the
advertisement often depends on who is communicating the message, because audiences are
more likely to be influenced by sources they trust, admire, or relate to.

The credibility and attractiveness of the source are key factors that shape how the audience
receives, interprets, and acts on the message.

Two Key Dimensions of Message Source

1. Source Credibility

Source credibility is the degree to which the target audience perceives the source as
believable, trustworthy, and competent. A credible source can significantly enhance the
persuasiveness of the message, especially when promoting complex or high-risk products (like
health products, financial services, etc.).

Components of Source Credibility:

 Expertise: The extent to which the source is perceived as knowledgeable or an expert in

the subject.
 Trustworthiness: The degree to which the audience believes the source is honest,
unbiased, and reliable.

Examples of Source Credibility:

 A doctor endorsing a medicine (like a dentist recommending Colgate toothpaste). The

expertise of the doctor gives the ad more credibility.
 Amitabh Bachchan promoting Pulse Polio immunization campaigns. His
trustworthiness and respect in society make the message more convincing.

2. Source Attractiveness

Source attractiveness refers to how appealing or likable the source is to the target audience. This
dimension is not just about physical appearance but also includes personality, lifestyle, and
similarity to the audience. An attractive source creates a positive emotional connection, which
can increase attention, engagement, and persuasion.

Components of Source Attractiveness:

 Familiarity: The audience recognizes and feels comfortable with the source.
 Similarity: The audience relates to the source, seeing them as "someone like me".
 Likeability: The source’s charm or appeal makes them likable.

Examples of Source Attractiveness:

 Virat Kohli endorsing Puma sportswear. His athletic persona, popularity, and fitness
appeal attract young, fitness-conscious consumers.
 Alia Bhatt promoting Manyavar Mohey bridal wear. Her relatable girl-next-door
image makes her appealing to young women shopping for weddings.
 Ranveer Singh for Thums Up, using his energetic and bold personality to connect
with adventurous youth.
 Unit -2

Q1. What is Reach vs. Frequency? Explain their relevance in media planning. Discuss the
factors involved in influencing the choice of media in a media plan.

Ans 1. Reach and Frequency are two critical concepts in media planning and buying. They help
advertisers plan how their message will be delivered to the target audience. Both are essential for
achieving advertising objectives, such as brand awareness, recall, and driving purchase
decisions.

Meaning of Reach

Reach refers to the total number of unique individuals or households exposed to an

advertisement or campaign at least once during a specific time period. It measures how widely
an advertising message is disseminated.

Example: If an ad is shown to 1 lakh people at least once, the reach is 1 lakh.

Meaning of Frequency

Frequency refers to the number of times the same individual or household is exposed to the
advertisement within a given time frame. It focuses on the repetition of the message to reinforce
awareness and improve recall.

Example: If each person in the audience sees the ad 5 times, the frequency is 5.

Relevance of Reach and Frequency in Media Planning

 A successful media plan strikes a balance between reach and frequency, depending on
campaign goals.

 High reach is ideal for new product launches, where the objective is to build
awareness quickly.

 High frequency is crucial for reminder advertising, brand reinforcement, and

encouraging repeat purchases.

Real-Life Example:
  Coca-Cola: During major festivals, Coca-Cola focuses on high reach via TV, digital,
and outdoor ads to tap into new audiences.

 Nirma Detergent: Their consistent and repetitive ads on TV create high frequency,
ensuring strong brand recall.

Difference between Reach and Frequency

Parameter Reach Frequency

Number of unique people exposed to Number of times the ad is shown to the

Definition
an ad. same person.

Build awareness by exposing the Reinforce the message through

Objective
message to as many people as possible. repeated exposures.

Number of exposures to the same

Focus Area Quantity of audience.
audience.

New product launches, expanding Reminder advertising, maintaining

Best Used For
market reach. brand loyalty.

Measurement Average number of times each person

Percentage of target audience reached.
Unit sees the ad.

Awareness campaigns with a wide Campaigns needing message

Campaign Type
target base. reinforcement (e.g., promotions, sales).

TV ads during major sporting events, TV soap sponsorships, repetitive radio

Example Media
YouTube masthead ads. jingles.

Often more expensive as it requires Less costly if targeting a narrow

Cost Implication
broader media coverage. audience with repeated messages.
Factors Influencing the Choice of Media in a Media Plan
Media planning is a crucial element in advertising that ensures the message reaches the right
audience, at the right time, through the right medium. Media planners need to evaluate various
factors before selecting media channels for their advertising campaigns. The choice of media
directly impacts the effectiveness and efficiency of the campaign.

Key factors that influence the selection of media in a media plan:

1. Nature of the Product or Service

 The type of product determines the suitable media.

 FMCG products (e.g., soaps, shampoos) require mass media like TV and radio to
ensure wide coverage.
 Industrial or B2B products are better suited for trade journals, specialized
magazines, and digital platforms targeting specific audiences.

Example: A luxury watch brand may choose print media in elite magazines, while a soft drink
brand may rely on TV and outdoor media for mass appeal.

2. Target Audience Characteristics

 The demographics (age, gender, income), psychographics (lifestyle, values), and

geographic location of the audience are vital.
 Media selection depends on where the target audience spends their time.

Example:

 Young adults may be best reached via Instagram, YouTube, and OTT platforms.
 Senior citizens may be better reached through newspapers, radio, or TV channels.

3. Media Reach and Coverage

 Reach refers to the number of unique people exposed to the message.

 If the goal is to create mass awareness, media with large reach such as television or
national newspapers is appropriate.
  For localized campaigns, regional media like local newspapers, FM radio, and outdoor
hoardings are suitable.

Example: A mobile network operator offering services in a specific state may prefer regional
TV and newspapers in the local language.

4. Cost of Media

 Budget constraints play a major role in media selection.

 TV commercials and prime-time slots are expensive, whereas digital ads and radio
slots are more affordable.
 Planners balance cost-per-thousand impressions (CPM) to maximize reach within
budget limits.

Example: Start-ups with limited budgets may focus on social media advertising rather than
expensive television ads.

5. Media Impact or Effectiveness

 Some media have a greater impact because of their visual and emotional appeal.
 Television and cinema ads combine audio-visual effects, making them more engaging
and memorable.
 Print media is effective for detailed information, and digital media allows for
interactive engagement.

Example: An automobile ad benefits from TV commercials showing the car’s features in

action, while product specifications can be detailed in magazines or websites.

6. Timing and Flexibility

 Certain products are seasonal (ice cream in summer, woollens in winter).

 Media with short lead times (digital media, radio) offer greater flexibility for quick
campaign launches or last-minute changes.
Example: E-commerce sales promotions (like Flipkart’s Big Billion Days) use digital and TV
ads right before and during the sale to maximize reach and urgency.

7. Competitor’s Media Strategy

 Knowing where competitors are advertising helps make informed decisions.

 A brand may choose the same media to neutralize competition or different media to
target untapped audiences.

Example: If Brand A heavily advertises on TV, Brand B might invest in social media and
influencer marketing to stand out.

8. Media Habit of the Target Audience

 Understanding the media consumption behavior of the audience is key.

 Are they online during certain hours? Do they read newspapers or prefer TV shows?

Example: Office-goers commuting by car might listen to FM radio ads, while millennials
might consume content during late-night streaming on OTT platforms.

9. Message Complexity and Format

 Complex messages that require detailed explanations are better suited to print media or
websites.
 Simple, emotional messages work well on TV and radio.

Example: A life insurance policy may need detailed explanations in brochures or webinars,
while a chocolate brand can use TV ads to evoke emotions quickly.

10. Legal and Ethical Considerations

 Some products have advertising restrictions (e.g., tobacco and alcohol).

 The media chosen must comply with regulations and ethical standards.
Example: Alcohol brands use surrogate advertising (music CDs, soda) and sponsor events
rather than directly advertising their products on TV.

11. Media Availability

 The availability of slots, space, or time on preferred media can also influence the
decision.
 During festive seasons, TV ad slots and prime pages in newspapers are often booked
in advance.

Example: During Diwali, most brands book prime-time TV slots and front-page newspaper
ads, requiring early planning.

Q2. Evaluate the need and importance of measuring advertising effectiveness. Discuss
methods used for pretesting and post-testing of advertising effectiveness. Give examples in
each method discussed.

Ans. 2 Measuring advertising effectiveness refers to evaluating whether an advertisement or

campaign has achieved its intended objectives such as creating awareness, improving brand
recall, generating leads, or increasing sales.

Need and Importance of Measuring Advertising Effectiveness

1. Ensure Communication Goals Are Achieved

It helps advertisers assess whether the message has been understood by the target
audience and whether it has resulted in desired consumer behavior (awareness, interest,
purchase).
2. Optimize Advertising Budget
Advertising involves significant costs. Measuring effectiveness ensures the return on
investment (ROI) is maximized and helps identify wastage in media spending.
3. Improve Future Campaigns
Feedback from evaluations highlights what worked and what didn’t. This helps in making
improvements in future advertising campaigns.
 4. Make Informed Media Decisions
Helps decide which media channels are delivering better results, enabling effective
media selection and media planning in the future.
5. Evaluate Creativity and Message Impact
Ensures the advertising copy and message design resonate with the target audience.
6. Assess Competitive Positioning
Helps to understand how an advertisement performed in comparison with competitors.

Methods of Measuring Advertising Effectiveness

The measurement of advertising effectiveness can be divided into:

1. Pre-Testing (Before launching the ad)

2. Post-Testing (After the ad is released)

Pre-Testing Methods

Pre-testing evaluates an advertisement before it is released to ensure it is effective and makes the
necessary impact.

1. Focus Group Discussions:

 A small group of consumers (usually 8-12 people) is selected and shown the
advertisement or concept.
 Their opinions are gathered regarding clarity, appeal, relevance, and emotional response.
 Example: A chocolate company like Dairy Milk might use a focus group to test a new
campaign to see if it evokes the desired emotional connection.

2. Storyboards and Animatics:

 Advertisers present a visual representation of the ad concept, like sketches or animations.

 Respondents provide feedback on the storyline and presentation.
 Example: An FMCG brand might present storyboards of a detergent ad to assess whether
the message about stain removal is clear.
3. Consumer Jury Method:

 A panel of target consumers reviews multiple versions of an ad.

 They rate and rank the ads based on factors like appeal, clarity, and persuasiveness.
 Example: A beverage brand may test different taglines or visuals through a jury to
choose the most impactful one.

4. Physiological Tests:

 Techniques such as eye-tracking, galvanic skin response, and brainwave analysis are used
to measure physical reactions.
 They evaluate attention, interest, and emotional response.
 Example: A luxury car ad may be tested for eye movement to ensure consumers focus on
features like design and safety.

Post-Testing Methods

Post-testing is conducted after the advertisement is released to measure its actual effectiveness in
the marketplace.

1. Recall Tests:

 Participants are asked to recall the advertisement, brand name, and message, either
unaided or aided.
 Example: After an ad campaign, Parle-G may conduct a recall test to see if consumers
remember the brand message “G Maane Genius”.

2. Recognition Tests:

 Respondents are shown the advertisement or elements of it (logo, slogan) to check if they
recognize it.
 Example: Amul may show viewers their cartoon ad creatives to see if people recognize
their brand and associate it with quality dairy products.
3. Sales Analysis (Before-After Studies):

 Sales data before and after the advertising campaign are compared to determine if there
was a positive impact.
 Example: A smartphone company like Xiaomi may evaluate sales figures after launching
an aggressive advertising campaign during the festive season.

4. Inquiry Tests:

 Advertisements that encourage inquiries (calls, emails, website visits) are tracked to
measure consumer response.
 Example: A coaching institute’s ad might include a toll-free number, and the number of
inquiries can indicate ad effectiveness.

5. Attitude Measurement Tests:

 Surveys are conducted to assess changes in consumer attitudes towards the brand after
viewing the advertisement.
 Example: A health drink company may survey consumers to determine if their
perception of the brand has improved after seeing a campaign focused on health benefits.

Conclusion

Measuring advertising effectiveness is critical for advertisers to ensure that their communication
strategies achieve the desired outcomes. Pre-testing allows advertisers to identify weaknesses
and make improvements before launching an ad, while post-testing helps in evaluating the
campaign's success in the real market. By using both types of testing, companies can maximize
the impact of their advertising, optimize their budgets, and stay competitive in the market.

Q3. What are the legal, ethical, and social aspects of advertising in India that must be
considered?
Ans 3. Advertising plays a crucial role in the modern business environment. It helps companies
inform, persuade, and remind consumers about products and services. However, advertising is a
powerful communication tool, and if not used responsibly, it can mislead consumers, harm
societal values, and lead to unethical practices. To regulate and guide advertising, there are legal,
ethical, and social considerations that advertisers must follow, especially in India.

Legal Aspects of Advertising in India

Legal aspects of advertising involve following the laws and regulations laid down by the
government and regulatory bodies to protect consumers from misleading, false, or offensive
advertisements. These laws ensure fair competition and consumer welfare.

Key Legal Regulations and Acts:

1. The Consumer Protection Act, 2019

o Protects consumers from unfair trade practices and misleading advertisements.
o Provides penalties for companies promoting false claims.
o Example: If a fairness cream claims 100% skin whitening in seven days without
proof, it can be penalized.
2. Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954
o Prohibits misleading advertisements related to drugs, magic remedies, or
treatments for diseases like cancer, diabetes, etc.
o Example: Ads promising "instant cure for diabetes" are banned.
3. The Cable Television Networks (Regulation) Act, 1995
o Prohibits the broadcasting of advertisements that are misleading, offensive, or
obscene on television.
o Example: Ads showing vulgarity or content harmful to minors are banned.
4. Food Safety and Standards Act, 2006
o Regulates claims made by food product advertisements regarding quality,
nutrition, and safety.
o Example: Packaged foods claiming "100% healthy" without scientific validation
can face action.
5. The Emblems and Names (Prevention of Improper Use) Act, 1950
 o Prevents the misuse of national emblems, names, and symbols in advertisements.
o Example: Using the national flag for commercial promotion is prohibited.
6. Advertising Standards Council of India (ASCI) Guidelines
o ASCI is a self-regulatory body that ensures ethical advertising.
o It lays down a code for truthful, non-offensive, and socially responsible
advertising.
o Example: ASCI can ask brands to withdraw misleading ads, like health drinks
claiming to make children taller.

Ethical Aspects of Advertising in India

Ethical aspects refer to the moral principles that guide advertising practices. Ethical advertising
is truthful, respectful, and does not exploit or mislead consumers.

Key Ethical Considerations:

1. Truthfulness and Honesty

o Ads should be fact-based and not make false claims.
o Example: A toothpaste claiming to "100% prevent cavities" without evidence is
unethical.
2. No Exploitation of Emotions or Fear
o Ads should not create fear or prey on emotions to sell products.
o Example: Showing scary outcomes for not buying insurance policies may be
considered unethical.
3. Avoiding Stereotypes
o Ads should not reinforce harmful gender, caste, religion, or regional stereotypes.
o Example: Portraying women only as homemakers in detergent ads promotes
gender bias.
4. Children as Target Audience
o Ads targeted at children should not be misleading or encourage harmful behavior.
o Example: Fast food ads promoting unhealthy eating habits without highlighting
health risks are unethical.
5. Fair Competition
 o Advertisers should not defame competitors or make unfair comparisons.
o Example: Comparative ads should be honest and backed by facts, not misleading
attacks.
6. Environmental Claims
o Brands claiming to be eco-friendly should provide proof.
o Example: A product labeled "100% biodegradable" must meet environmental
standards.

Social Aspects of Advertising in India

Social aspects involve understanding the impact of advertising on society. Ads influence social
values, behavior, culture, and the public mindset. Advertisers have a responsibility to promote
positive messages and avoid harmful content.

Key Social Considerations:

1. Social Responsibility
o Ads should promote socially beneficial behavior, such as health awareness,
education, and environmental care.
o Example: Government campaigns like "Swachh Bharat Abhiyan" use advertising
to promote cleanliness.
2. Protecting Cultural Sensitivities
o Ads should respect India’s cultural, religious, and social diversity.
o Example: Ads must avoid offensive portrayal of any religion or community.
3. Promoting Positive Role Models
o Ads should promote equality, inclusiveness, and empowerment.
o Example: Ads showcasing women in leadership roles or breaking stereotypes
(e.g., Ariel’s “Share the Load” campaign).
4. Discouraging Harmful Practices
o Ads should not encourage smoking, drinking, or unhealthy lifestyles.
o Example: Alcohol and tobacco ads are prohibited; only surrogate advertising (like
promoting soda under the same brand) is allowed under strict guidelines.
5. Influencing Youth and Children
 o Youth are impressionable. Ads should encourage responsible consumption and
behavior.
o Example: Ads promoting online gaming and betting to teenagers can have a
negative social impact.

Examples of Legal, Ethical, and Social Challenges in India

1. Fair & Lovely (Now Glow & Lovely)

o Faced criticism for promoting fair skin as a standard of beauty.
o Ethically questionable for promoting stereotypes and socially insensitive.
2. Maggie Noodles Controversy (Nestlé India)
o Banned for a period in 2015 due to excessive lead levels.
o Legal violation of food safety standards.
3. Kent RO’s “Maids” Ad Controversy
o Criticized for showing domestic help in a poor light during COVID-19.
o Seen as unethical and socially insensitive, forcing an apology from the company.

Conclusion
In India, advertising must comply with strict legal guidelines, uphold ethical principles, and act
responsibly towards society. Advertisers have a duty to avoid misleading claims, promote
positive social messages, and ensure their advertisements do not harm cultural or societal values.
By adhering to these aspects, companies not only gain consumer trust but also contribute to the
betterment of society.

Q4. What is media planning? Discuss the various steps involved in media planning and how
media selection is done.

Ans4. Meaning of Media Planning

Media planning is the process of selecting the most appropriate media platforms and scheduling
the timing and frequency of advertisements to achieve a company’s marketing and advertising
objectives. It involves deciding what message will be delivered, through which media, when,
and how often, to reach the right target audience at the right time, and within the allocated
budget.
The primary goal of media planning is to maximize the impact of advertising messages while
minimizing costs, ensuring the campaign effectively reaches its intended audience. A successful
media plan creates brand awareness, stimulates consumer interest, and drives purchases.

Steps Involved in Media Planning

Media planning is a systematic process that consists of several essential steps. Each step ensures
that the advertisement reaches the target audience efficiently and cost-effectively.

1. Analyzing the Target Audience

 Understanding the consumer profile is the first and most crucial step.
 The advertiser must identify who the target audience is based on demographic factors
(age, gender, income), psychographics (lifestyle, interests), geographic location, and
media habits.

Example: If a brand sells sports shoes, the target audience could be young adults aged 18–35
who are fitness enthusiasts and frequently use digital media platforms.

2. Defining Media Objectives

 Media objectives set the goals of the media plan, focusing on Reach, Frequency, and
Continuity.
o Reach: The percentage of the target audience exposed to the ad at least once.
o Frequency: The number of times the target audience sees or hears the ad.
o Continuity: The pattern of ad exposure over a period (continuous, flighting, or
pulsing).

Example: A new smartphone launch campaign may aim for a high reach in the first month and
increased frequency closer to the product launch date.

3. Selecting Media Mix and Media Vehicles

 After objectives are set, planners decide on the media mix (types of media) and media
vehicles (specific channels/platforms within a medium).
  Media can include:
o Traditional media: Television, radio, newspapers, magazines, outdoor
(billboards, transit ads).
o Digital media: Social media (Instagram, Facebook), websites, YouTube, mobile
apps.

Example: A fashion brand targeting youth may select Instagram and YouTube as media
vehicles in their digital media mix.

4. Determining Media Budget

 Allocating the media budget is crucial. The budget depends on:

o The scope of the campaign.
o Media costs (CPM - cost per thousand impressions, CPC - cost per click).
o Frequency and duration of the campaign.

Example: A big-budget campaign for a car brand may invest heavily in prime-time TV slots
and sponsorships, while a small local business may focus on Facebook ads.

5. Scheduling the Media Plan (Timing and Frequency)

 Scheduling involves planning when and how often ads should appear.
 Strategies:
o Continuous schedule: Ads run steadily over time (e.g., FMCG products like
toothpaste).
o Flighting schedule: Ads appear in bursts with breaks in between (e.g., seasonal
products like air conditioners).
o Pulsing schedule: A combination of continuous and flighting (e.g., soft drinks
with consistent ads and increased during summer).

Example: Cold drink ads increase in frequency during summer, following a pulsing strategy.

6. Media Buying and Negotiation

  Once the media plan is finalized, media buying involves negotiating rates with media
outlets and purchasing ad space or time slots.
 Negotiators aim to get the best rates, premium placements, and bonus spots (extra ad
space/time).

Example: Securing prime-time TV slots during IPL matches or homepage banners on popular
news websites.

7. Monitoring and Evaluation (Feedback and Optimization)

 After the campaign is live, it’s essential to monitor performance metrics like
impressions, reach, click-through rates (CTR), conversion rates, and sales.
 Adjustments can be made in real time (especially in digital media) to improve efficiency.

Example: If a social media ad has a low CTR, the creative or target audience can be changed
during the campaign.

How Media Selection is Done in Media Planning

Media selection is an important part of the media planning process. It involves choosing the
right media and media vehicles to achieve the campaign objectives.

Factors Influencing Media Selection:

1. Target Audience Media Habits

o Choose media where the target audience spends time.
o Example: Gen Z spends more time on Instagram and YouTube, while older adults
may prefer newspapers and TV.
2. Nature of the Product or Service
o High-involvement products (e.g., cars) may need detailed TV ads, while impulse
products (e.g., candies) can be promoted through outdoor or point-of-sale ads.
3. Reach and Frequency Requirements
o Products with mass appeal (e.g., soap) need media with high reach, such as TV
or radio.
 o Niche products may focus on specialized magazines or digital channels.
4. Cost of Media
o Budget influences media choices. TV and newspapers can be expensive, while
digital media often offer affordable options with better targeting.
5. Geographic Considerations
o Local businesses may use regional newspapers or radio, while national brands
go for national TV networks and pan-India digital campaigns.
6. Creative Requirements
o Some media are better for visual storytelling (TV, digital video), while others
work for detailed messages (print media).

Conclusion
Media planning is a strategic and systematic process aimed at delivering the right message, to the
right audience, at the right time, through the right media. It involves a series of steps, from
understanding the target audience to evaluating and optimizing the media campaign. Careful
media selection, based on audience preferences, media costs, and campaign objectives, ensures
that the advertising message reaches its intended audience efficiently and achieves desired
marketing outcomes.

Q5. What do you mean by Advertising Budget? Discuss the advantages and limitations of
the various methods for setting advertising budgets. Which methods would you
recommend? Explain clearly the rationale for each method.

Ans 5. An advertising budget refers to the financial plan allocated by a company or an

organization specifically for advertising and promotional activities over a certain period, usually
a year. It determines how much a business is willing to spend on communicating its products,
services, or brand to its target audience through various media channels like television,
newspapers, social media, etc.
The advertising budget is an integral part of the overall marketing budget and plays a critical
role in achieving a company’s marketing and sales objectives. A well-planned advertising budget
ensures the efficient use of financial resources to maximize brand visibility, market reach, and
customer engagement, ultimately leading to increased sales and market share.

Methods of Setting Advertising Budgets:

There are various methods to determine how much a company should spend on advertising. Each
method has its advantages and limitations, and the choice depends on the organization's
objectives, industry practices, and resources.

1. Percentage of Sales Method

In this method, the advertising budget is fixed as a percentage of either past sales or expected
future sales.

 Advantages:
o Simple to calculate and implement.
o Directly relates advertising expenditure to sales.
o Helps maintain a consistent ratio between sales and advertising costs.
 Limitations:
o Assumes sales cause advertising rather than advertising generating sales.
o Ignores market opportunities or competition intensity.
o May result in lower budgets during low sales periods when advertising is actually
needed more.
 Example: If the company’s sales were ₹50 lakh last year and it allocates 5% for
advertising, the budget would be ₹2.5 lakh.

2. Affordable Method

The company sets the advertising budget based on what it believes it can afford after covering all
other expenses.

 Advantages:
o Easy to adopt, especially for small businesses with limited funds.
o Ensures the company doesn’t overspend beyond its means.
  Limitations:
o Advertising becomes a secondary priority.
o Neglects market potential and competitor actions.
o Not suitable for long-term brand-building.
 Example: A startup may decide to allocate whatever surplus it has left after paying
operational costs toward advertising.

3. Competitive Parity Method

Here, companies set their advertising budgets based on what competitors are spending.

 Advantages:
o Helps maintain competitive presence in the market.
o Reduces the risk of being outperformed by competitors.
 Limitations:
o Assumes competitors know the right budget, which may not be true.
o Ignores the company’s specific marketing objectives and financial capabilities.
 Example: If a competitor is spending ₹10 lakh on digital ads, a company may match that
amount to stay competitive.

4. Objective and Task Method

This is a scientific approach where companies first define specific marketing objectives,
determine the tasks required to achieve those objectives, and then estimate the cost of performing
those tasks.

 Advantages:
o Most logical and result-oriented method.
o Directly ties the budget to marketing and communication goals.
o Encourages detailed planning and evaluation of advertising activities.
 Limitations:
o Time-consuming and requires thorough research.
o May be difficult for small businesses without expertise.
  Example: If a company’s objective is to increase brand awareness by 20%, it may
allocate funds to TV ads, social media campaigns, influencer marketing, etc., estimating
the total cost to meet this goal.

5. Marginal Analysis Method

In this method, the budget is set by evaluating the marginal cost of additional advertising against
the marginal revenue it is expected to generate.

 Advantages:
o Encourages spending only up to the point where additional advertising generates
additional revenue.
 Limitations:
o Difficult to measure the direct impact of advertising on revenue.
o Requires sophisticated data and analysis.
 Example: A company may find that an extra ₹1 lakh on advertising brings in additional
revenue worth ₹1.5 lakh, but any further increase does not justify the expense.

Recommended Method: Objective and Task Method

Rationale:

I would recommend the Objective and Task Method because it is systematic, goal-oriented,
and ensures that the advertising budget is directly linked to the company’s marketing
objectives. It provides a clear rationale for why each rupee is being spent and encourages
accountability.

Reason of Recommendation

o It considers specific goals (e.g., increasing market share by 10% or driving 20%
more traffic to the website).
o It ensures that the budget allocation is aligned with actual business needs rather
than arbitrary figures.
 o It allows for better planning, measurement, and evaluation of advertising
efforts.

However, for small businesses with limited resources or new entrants without data, starting with
a Percentage of Sales or Affordable Method might be more practical in the short term.

Conclusion
An advertising budget is essential for effectively planning and executing an advertising
campaign. Choosing the right method for setting the advertising budget depends on factors like
the company’s size, goals, market conditions, and available resources. Among all the methods,
the Objective and Task Method is considered the most effective as it links directly to business
objectives and ensures optimized use of the advertising budget.