An Introduction to

Advertising

Prof Sameer Kulkarni

For Chanakya,3rd Sem Marketing
Specialization
Definition of Advertisement
Advertisement is a paid form of non
personal communication. Advertising
promotes ideas, goods and services of
an identified sponsors.

The main purpose of advertisement is

to create sales.
Basic Requirements of an
advertisement
 Attention Value

 Conviction Value

 Retention Value

 Recall Value

 Motivational Value

 Empathy Value
Benefits of Advertising
Role of Advertising
 Communication with the consumers

 Persuasion

 Catalyst for change

 Contribution to economic growth

 Support in the Non commercial purpose

Impacts of advertising
 Impact on Product

 Impact on Price

 Impact on Competition

 Impact on Consumer choice

 Impact on Business Cycle

 Value addition
Functions of Advertising-I

Ø Social Function

Ø Psychological Function

Ø Economic Function
Functions of Advertising
(Social)

 Consumer protection is achieved by educating

through advertisement.

 Ithelps to solve social causes, such as fighting

chronic disease like:
Ø Cancer
Ø Malaria
Ø AIDS
Functions of Advertising
( psychological)
 Advertisement appeals to psychological motives of
human beings:

 E.g.

Ø Thirst

Ø Safety

Ø Beauty

Ø Security
Functions of Advertising-II*
 Perception

 Persuasion

 Reinforcement

 Reminder

*(According to Prof. Jagdish N. Shet)

Types of Advertisement
 Consumer advertisement

 Industrial advertisement

 Trade advertisement

 Non-profit advertisement

 Service advertisement

 Surrogate advertisement
Type of impact required by ad
 Promotional demand ad

 Direct & Indirect action Demand ad

 Industrial ad
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Ad Spiral

Pioneering: Educate consumers about the products / services

Addressing unmet needs , Level of change introduced..
 Communication Process

Message Channel Receiver

Encoding Decoding
Noise

Source Feedback

The marketer
The sender of the message
 Communication Process

Message Channel Receiver

Encoding Decoding
Noise

Source Feedback

Designing of advertisements, sales presentations,

P-O-P displays, etc.
Translation of the message into symbolic form
 Communication Process

Message Channel Receiver

Encoding Decoding
Noise

Source Feedback

Actual advertisement that contains the intended

message
Symbolic expression of the sender’s thoughts
 Communication Process

Message Channel Receiver

Encoding Decoding
Noise

Source Feedback

Television, radio, print media, telephone, direct

mail, etc.
Path through which the message moves to get to the
receiver
 Communication Process

Message Channel Receiver

Encoding Decoding
Noise

Source Feedback

Person or groups of persons for whom the message is

intended
 Communication Process

Message Channel Receiver

Encoding Decoding
Noise

Source Feedback

Process receiver uses to interpret the meaning of the

message
Functions of Advertising
( Economic)
 Forconveying value/ price function to
customer:

Ø Brings attitudinal change in the customer

Ø It helps the sales in an indirect manner

Ø It establishes a rapport with the customer