A PROJECT REPORT ON

IMPACT OF ADVERTISMENT ON INTERNATIONAL MARKETING

SUBMITTED

MOHAMMED SAFIULLAH
ROLL NO.: 12 (Marketing)
UNDER THE GUIDENCE OF

Mr. ZUBAIR QUAZI

(Millennium Institute of Management, Rouza Bagh, Aurangabad)

MAULANA AZAD EDUCATION TRUSTS MILLENIUM INSTITUTE OF MANAGEMENT ROUZA BAGH, AURNAGABAD DR. BABASAHEB AMBEDKAR MARATHWADA UNIVERSITY, AURNAGABAD (2011-2012)

A PROJECT REPORT ON

IMPACT OF ADVERTISMENT ON INTERNATIONAL MARKETING

A Project Submitted In partial Fulfillment of the Requirements for the Award of the Degree Of

MASTER OF BUSINESS ADMINISTRATION FOR (2011-2012)

BY

MOHAMMED SAFIULLAH
ROLL NO.: 12 (Marketing)
UNDER THE GUIDENCE OF

Mr. ZUBAIR QUAZI

Department of Marketing Management MILLENIUM INSTITUTE OF MANAGEMENT ROUZA BAGH, AURNAGABAD DR. BABASAHEB AMBEDKAR MARATHWADA UNIVERSITY, AURNAGABAD

ACKNOWLEDGEMENT

This report on IMPACT OF ADVERTISING ON INTERNATIONAL MARKETING

Is prepared in fulfillment of final semester of MBA of

Dr. BABASAHEB AMBEDKAR MARATHWADA UNIVERSITY

First I express my sincere thanks to Dr. Shaikh Saleem Sir Director of Millennium Institute of Management For his encouragement and help. I am greatly indebted to acknowledge thanks to Mr. Zubair Quazi For his valuable suggestions and interest. I would also like to thank all the members of faculty of Millennium Institute of Management and all my friends for their help & guidance.

CERTIFICATE
This is to certify that Mr. Mohammed Safiullah Student of MASTER OF BUSINESS ADMINISTRATION of MILLENNIUM INSTITUTE OF MANAGEMENT has completed the dissertation report titled

IMPACT OF ADVERTISING ON INTERNATIONAL MARKETING

Conducted and submitting as partial fulfillment of the requirement of the course curriculum for the academic year 2011-2012

Quazi Zubair
Asst. Prof. Millennium institute of management Aurangabad

Dr. Shaikh saleem Sir

Director Millennium institute of management Aurangabad

IMPACT OF ADVERTISMENT ON INTERNATIONAL MARKETING

UNDER THE GUIDENCE OF

Mr. ZUBAIR QUAZI

(Asst. Prof. Millennium Institute Of Management Aurangabad)

BY

MOHAMMED SAFIULLAH
(Millennium Institute of Management, Aurangabad)

PERFACE

This report on

IMPACT OF ADVERTISING ON INTERNATIONAL MARKETING

Is prepared in fulfillment of final semester of MBA (P.T.)

Dr. Babasaheb Ambedkar Marathwada University Aurangabad

I prepared this report after a thorough research and analysis of the topic. I would like to thank all those who helped me make this project report worthwhile.

Declaration

I hereby that this project report submitted by me in partial fulfillment of

Master of Business Administration

This is a genuine work of mine. It has not been submitted either fully or partly to this or any other institute prior, in any other connection

Place: Aurangabad

Guides Feed Back

Mr. Mohammed Safiullah is a hard working

Professional and works with a great dedication and involvement. He has a good aptitude to learn new things and is always full of ideas and innovation. We really wish him good luck and a bright future.

Mr. Zubair Quazi

Millennium Institute of Management Rouza Bagh, Aurnagabad.

Index

Sr. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16

Topic International Marketing: a global market place What is Advertising and it's milestones Advertising Objectives Advertising Plan Consumer and market Analysis Market plan Research methodology Media Strategy and Tactics Advertising Communication System International Advertising Concept Brand Ambassadors Advertising Expenditure and Top 10 Adv. Companies Media Outlets Advertising Legend Reference Questionnaire

International Marketing: A Global Market Place

Trade is increasingly global in scope today. There are several reasons for this. One significant reason is technology. Because of improved transportation and communication opportunities today, trade is now more practical. Thus, consumers and businesses now have access to the very best products from many different countries. Increasingly rapid technology lifecycle also increases the competition among countries as to who can produce the newest in technology. In part to accommodate these realities, countries in the last several decades have taken increasing steps to promote global trade through agreement such as the General Treaty and Tariffs, and trade organizations such as the World Trade Organization (WTO), North American Free Trade Agreement (NAFTA), and the European Union (EU).

International Marketing refers to marketing carried out by

companies overseas or across national borderlines. This strategy uses an extension of the home country of a firm.

Introduction to International Marketing:

International marketing is simply the application of marketing principals to more than one country. However, there is a crossover between what is commonly expressed as international marketing and global marketing, which is a similar term. The intersection is the result of the process of

internationalization. Many American and European authors see international marketing as a simple extension of exporting, whereby the marketing mix is simply adapted in some way to take into account differences in consumers and segments. It then follows that global marketing takes a more standardized approach to world markets and focuses upon sameness, in other words the similarities in consumers and consumers and segments. So lets take a look at some generally accepted definitions.

Some Forces In International Trade:

Trade between countries is beneficial because these countries differ in their relative economic strength-some have more advanced technology and some have lower costs. Products tend to be adopted more quickly in the United State and Japan, for ex. So once the demand for a product (say, VCRs) is in the decline in these markets, an increasing market potential might exist in other countries (e.g. Europe and the rest of Asia). Internalization/ transaction costs refers to the fact that developing certain very large scale projects,

such as an automobile intended for the World market, may entail such large costs that these must be spread over several countries.

Advertising:
Advertising is a persuasive communication attempt to change or reinforce ones prior attitude that is predictable of future behavior.

Historical Milestones in Advertising:

Advertising goes back to the very beginning of recorded history. Archaeologists working in the countries around the Mediterranean Sea have dug up signs announcing various events and offers. An early form of advertising was the town crier. Another early advertising form was the mark that trades people placed on their goods, such as pottery. As the persons reputation spread by word of mouth, buyers began to look for his special mark, just as trademarks and brand names are used today. As production became more important. The turning point in the history of advertising came in the year 1450 when Johann Gutenberg invented the printing press. Advertising no longer had to produce extra copies of a sign by hand. The first printed advertisement in the English language appeared in 1478. In 1622, advertising got a big boost with the launching of the first English newspaper, the

Weekly News. Advertising had its greatest growth in the United States. Ben Franklin has been called the father of American Advertising because his Gazette, first published in 1729, had the largest circulation and advertising volume of any paper in colonial America. The invention of radio and later television create two more amazing media for the spread of advertising. The objective of all business is 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 favorable 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 organization and or its products idea service etc. that is transmitted to 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 vertero meeting towards and vertero meaning, I turn literally specific thing. Simply stated advertising is the art says green. Advertising is a general term for and all form 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 definitions 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 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 program, one must always start by identifying the market needs and buyer motive and must make five major decisions commonly referred as 5M (mission, money, message, media and measurement) of advertising.

Basic Features of Advertising:

One the basis of various definitions it has certain basic features such as: 1- It is 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 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.

Function 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 and soft drink and grocery products. Advertising is also used extensively by maters of automobiles, home appliances, etc., to introduce new products 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 products 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: 1) When consumer awareness of products or service is at a minimum. 2) When sales are increasing for all terms in an industry. 3) When a product is new and incorporates technological advance not strong and. 4) When primary buying motive exists.

It performance the following functions 1. Promotion of sales. 2. Introduction of new product awareness. 3. Mass production facilitation. 4. Carry out research. 5. Education of people.

Types of Advertising:
Broadly speaking, advertising may be classified into two categories viz., product and institutional advertising.

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 types 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 during clearance sale. Product advertising is sub-divided into direct and indirect action advertising and 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.

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 favorable to the advertising 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. 1. In patronage institutional advertising the manufacturer tells his prospects and customer about himself his policies and lives personal. The appeals to the patronage motivation of buyers. If successful, he convinces buyers that his operation entitles him to the money spent by them. 2. Public relations institutional advertising is used to create a favorable image of the firm among employees, stock-holders or the general public. 3. Public service institutional advertising wages public support.

Other types:
The other types are as follows: 1. Consumer advertising. 2. Comparative advertising. 3. Reminder advertising. 4. Reinforcement advertising.

Advertising Objectives:
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 advertising 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 9 by making it more difficult for middlemen to sell substitute.)

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 products) 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)

Benefits:
The functions of advertisement, and hat 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 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 the 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 modern types which may add to his material well being 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 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 behavior. 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.

Advertisings Two Important Virtues:

You have complete control. Unlike public relations efforts, you determine exactly where, when and how often your message will appear, how it will look, and what it will say. You can target your audience more readily and aim at very specific geographic areas. You can by consistent, presenting your companys image and sales message repeatedly to build awareness and trust. A distinctive identity will eventually become clearly associated with your company, like McDonalds golden arches. Customers will recognize you quickly and easily in ads, mailer, packaging or signs if you present yourself consistently.

What Advertising Can Do For Your Business:

Remind customers and prospects about the benefits of your product or service. Establish and maintain your distinct identity. Enhance your reputation. Encourage existing customers to buy more of what you sell. Attract new customers and replace lost ones. Slowly build sales to boost your bottom line. Promote business to customers, inventors.

Advertising Plan:
The manager needs to engage in situation analysis with respect to the market conditions that are operating at the time and to assess the consumer/market, competitive, facilitating agency, and social legal, and global factors that will affect decision making and the development of the plan. It is vital that the advertising plan be developed so as to mesh with and support the various components of the marketing and communications mix such as personal selling, pricing, public relation, and promotion. The advertising manager also needs to know the major areas of his or her planning and decision-making responsibilities.

There are three areas of major importance: Objective and Target Selection. Consideration. Message Strategy and Tactics. Media Strategy and Tactics.

Message Decision Message generation Message Evolution and selection Message execution

Objective setting Communication Objectives Sales Objectives

Budget Decision Affordable Approach Percent of sales Competitive Parity Objective and task

Campaign Evolution Communication Impact Sales Impact

Media Decision Reach, Frequency, impact Major media types Media Timing

Consumer and Market Analysis:

A situation analysis often begins by looking at the aggregate market for he product, service, or cause being advertised: the size of the market, its growth rate, seasonality, geographical distribution, the possible existence of different segments, and trends in all of these aggregate market characteristics.

Competitive Analysis:
Advertising planning and decision-making are heavily affected by competition and the competitive situation the advertiser faces. Competition is such a pervasive factor that it will occur as a consideration in all phases of the advertising planning and decision-making process. A type of market structure analysis that involves the development of perceptual maps of a market, for ex. Attempts to locate the relative perceptual positions of competitive brands. Situation analysis should usually include as analysis of what current share the brand now has, what shares its competitors have, trends in these shares, reasons for these trends, what share of a market is possible for the brand, and from which competitors an increase in share will come. The planner also has to be aware of the different competing companies, and the history of competitive moves and objectives in the product category.

The Marketing Plan:

Advertising planning and decision making take place in the context of an overall marketing plan. The marketing plan includes planning, implementation, and control functions for the total corporation or a particular decision-making unit or product line. The marketing plan will include a statement of marketing objectives and will spell out particular strategies and tactics to reach those objectives. The marketing objectives should identify the segments to be served by the organization and how it is going to serve them. The needs and wants of consumers on which the firm will concentrate, such as the needs of working men and women for easily prepared meals, are identified and analyzed in a marketing plan. There are several marketing tools that can be used to help an organization achieve its marketing objectives. Most people are familiar with the 4 Ps the marketing mix which includes product, price, place, and promotion. A marketing plan formulates the strategy and tactics for each of these.

Research Methodology:
Methodology is the process how the study is done. It is very necessary to design proper methodology for the project which should be scientific, realistic, and economical to arrive at reliable inferences relevant to the subject in line with the aim and objective of the project.

Sources of Data:
The information is collected for this study is categorized mainly into two sources. 1.Primary Data 2.Secondary Data

Primary Data:
It involves the collection of data that does not already exist. This can be through numerous forms, including questionnaires and telephone interviews amongst others. This information may be collected in things like questionnaires, magazines, and interviews. It was mainly directed towards what kind of impact does the

advertising

has

on

the

impressionable

minds

and

how

advertisement decides their buying decision.

Secondary Data:
The secondary data are those which have already been collected by someone else and which have already been passed through the statistical process. The following sources of secondary data collected were used. Internet for getting information on rules and regulation on advertising. Secondary research can come from either internal or external sources.

Message Strategy and Tactics:

The actual development of an advertising campaign involves several distinct steps. First, the advertising manager must decide what the advertising is meant to communicate by way of benefits, brand personality, or action content. Once the content of the campaign has been decided, decisions must be made on the best and most effective ways to communicate that content.

Media Strategy and Tactics:

Although there are many rules of thumb often used to decide how much money to spend on advertising, the soundest rules involve beginning with a detailed specification of what a corporation is attempting to accomplish with advertising, and the resources necessary. It is only when the job to be done is well specified that the amount and nature of the effort the amount of money to be invested in advertising can be really determined.

Advertising Communication System:

Advertising communication always involves a perception process and four of the element shown in the model: the source, a message, a communication channel and a receiver. In addition, the receiver will sometimes become a source of information by talking to friends or associates. This type of communication is termed wordof-mouth communication, and it involves social interactions between two or more people and the important ideas of group influence and the diffusion of information. An advertising message can have a variety of effects upon the receiver. It can Create awareness Communicate information about attributes and benefits

 Develop or change an image or personality Associate a brand with feelings and emotions Create group norms Precipitate behavior

International advertising Concept:

It entails dissemination of a commercial message to target audiences I more than one country. Target audiences differ from country to country in terms of how they perceive or interpret symbols or stimuli; respond to humor or emotional appeals, as well as in levels of literacy and language spoken. How the advertising function is organized also varies. International advertising can. Therefore, ne viewed as a communication process that takes place in multiple cultures that differ in term of values, communication styles and consumption patterns. International advertising is also a business activity involving advertisers and the advertising agencies that create ads and buy media in different countries. The sum total of these activities constitutes a worldwide industry that is growing in importance. International advertising is also a major force that both reflects social values and propagates certain values worldwide.

The Communication Process:

The process of communication in international markets involves a number of steps. First, the advertiser determines the appropriate message for the target audience. Next, the message is encoded so that it will be clearly understood in different cultures contexts. The message is then sent through media channels to the audience who then decodes and reacts to the message. At each stage in the process, cultural barriers may hamper effective transmission of the message and result in miscommunication.

International Advertising as a Business practice:

International advertising can also be viewed as a business activity through which a firm attempts to inform target audiences in multiple countries about itself and its product or services offering. In some cases the advertising message relates to the firm and its activities, i.e. its corporate image. In other cases, the message relates to a specific product or service marketed by the firm. In either case, the firm will use the service of an advertising agency to determine the appropriate message, advertising copy and make the media placement.

Brand Ambassadors:
Brand Ambassadors: their effect on international marketing and advertising. Mahendar Singh Dhoni The New Brand Ambassador Of Pepsico India The Indian cricket team Captain MS Dhoni has been appointed as the new Brand Ambassador of PepsiCo India Holdings (Frito-Lay Division) to endorse its snack food products. In a press statement, MS Dhoni said, It is privilege to be associated with the brands it is a big hit among youngsters. I am excited and looking forward to a long and fulfilling association with the brand. Saif Ali Khan, multi-talented actress Juhi Chawla and flamboyant Cricketer Tilakratna Dilshan, Kavin Pitersson, Virender Sahwag, Harbhajan Singh. Deepika Warrier, PepsiCos marketing director said, MS Dhoni vibrant persona, Pan-India appeal and her confident attitude makes her a great fit for our brands. As part of the new campaign, MS Dhoni will be seen in a new TV ad, which telecasted by mid Feb 2011 WC on all TV channels.

India: Sania Mirza global brand ambassador for adidas

Adidas, the worlds leading sports brand, signed a multi-year partnership effective immediately with Indian tennis sensation, Sania Mirza.

Signing Sania, one of the most promising tennis stars and an Asian youth icon, highlights Adidas, commitment to bring the dominant international tennis brand and the importance of India in the brands vision. Hartwin Feddersen, Director of Marketing at Adidas India was present to welcome Sania into the Adidas family. Speaking in Mumbai, Hartwin Feddersen, Director of

Marketing at Adidas India said, Sania Mirza is one of the most recognizable faces of global tennis and is a youth icon amongst young Asian across the world. This is a big moment for Adidas and her Indian sports. Sania Mirzas appeal goes well beyond tennis and the sporting world and its only natural for us to use her as a global brand ambassador for Adidas. She is a perfect fit for our brand as she personifies the passion, energy and boldness that Adidas stands for. We welcome her into the Adidas family and look forward to a long association with her. Sanias relationship with Adidas dates back several years. She was a part of the Adidas Aces Junior Tennis Program as a trailblazing junior. She won the 2003 Wimbledon Juniors Doubles Title and the 2005 Hyderabad Open Single Title wearing the 3stripes.

Commenting on the partnership with Adidas, Sania Mirza said, I am extremely happy to be part of such a distinguished family of players and brand ambassadors.

Coca Cola signs Imran Khan as brand ambassador:

Soft drink major Coca Cola has roped in Imran khan as brand ambassador for Coke and the actor will be featuring in the companys new campaign to be rolled out this week. The campaign is expected to be rolled out this week/ talking about the campaign, Coca-Cola India Director-Marketing Kashmira Chadha said, In addition to leveraging mass media the entire communication effort will be complimented by a range of initiatives including in-store and on-the-ground activation across all key markets. Soft drinks, Chocolates, Biscuits, paints, cars, tyres, scooters, suiting, footwear, watches, pens, hair oil, insurance packages, diamonds, photo films the list could goes on. It appears that, of late, corporate India does not want to sell anything to the consumer without either a movie star or a sports hero. This in itself is an important advertising strategy for majority of the companies.

Coca-Cola Sales Fig.:

The table below shows the amount of Coca-Cola in servings that had been drunk by the respective year. As a logical consequence, these numbers are indicators of the amount of Coca-Cola produced and sold.

Years Selling Numbers of Coca-Cola

1886 1899 1902 1903 1907 1910 1912 1914 1915 1919 1936 1944 1952 1958 1962 1965 1973 1982 1993 1996 2003

9 glasses per day Over 100 million Over 200 million Over 300 million Over 1 billion Over 2 billion Over 3 billion Over 4 billion Over 5 billion Over 10 billion Over 100 billion Over 100 billion Over 200 billion Over 300 billion Over 400 billion Over 500 billion Over 1 trillion Over 2 trillion Over 4 trillion Over 5 trillion Over 6 trillion

Advertising Expenditure & Top 10 Adv. Companies:

The table below shows advertising spending in the top ten global ad markets.

Country 1997 Advertising Expenditure (million percent U.S. Japan U.K. Germany France Brazil Italy Australia Canada S.Korea Total 117.0 35.7 20.8 20.3 9.7 8.8 7.2 5.5 5.4 5.3 235.7 50 15 9 9 4 4 3 2 2 2 100

Top 10 Advertising Companies:

Rank

Company

Total U.S. Ads. (Million $)

Total U.S. Sales (Million $) 20866 11805 91260 50251 12635 3211 10024 11380 10551 2766

Adv. As a Recent of Sales 9.9% 12.8 1.4 2.1 6.4 24.1 7.3 6.4 6.7 24.7

1 2 3 4 5 6 7 8 9 10

Philip Morris Procter & Gamble General Motors Sears RJR Nabisco Grand Metropolitan Eastman Kodak McDonalds Pepsi Co Kellogg

2058 1507 1294 1045 815 774 736 728 712 683

Top 20 advertising/ Pr companies of India:

S. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Ogilve & Mather

Site J Walter Thompson India Mudra Communications Pvt. Ltd. FCB-Ulka Advertising Rediffusion-DY&R McCann-Erickson India Ltd. RK Swamy / BBDO Advertising Ltd. Grey Worldwide (I) Pvt. Ltd. Leo Burnett India Pvt. Ltd. Contract Advertising India Ltd. Euro RSCG Advertising Pvt. Ltd Pressman Advertising & marketing Ltd. MAA Oberoi Multimedia Ltd. Triton Communication Pvt. Ltd. Ambience DArcy Advertising Pvt. Ltd. Bates India Percept Advertising Ltd. TBWA Anthem Pvt. Ltd Everest Integrated Communication Pvt. Ltd.

Media Outlets:
An overview of 10 leading media outlets:
1. Television 2. Radio 3. Print Publications 4. Internet 5. Direct Mail 6. Signage 7. Product Placement 8. Mobile Devices 9. Sponsorship 10. Others

Television advertising:
Advertising offers the benefit of reaching large numbers in a single exposure. Yet because it is a mass medium capable of being seen by nearly anyone, television lacks the ability to deliver an advertisement to highly targeted customers compared to other media outlet. Television networks are attempting to improve their targeting efforts. In particular, networks operating in the pay-toaccess arena, such as those with channels on cable and satellite television, are introducing more.

Narrowly themed programming (i.e. TV shows geared to specific interest groups) designed to appeal to selective audiences. However, television remains an option that is best for products that targeted to a broad market. The geographic scope if television advertising ranges from advertising within a localized geographic area using fee-services, such as cable and fiber optic services, to national coverage using broadcast programming. Television advertising, once viewed as the pillar of advertising media outlets, is facing numerous challenges from alternative media (e.g. Internet) and the invasion of technology devices, such as digital video recorders, that have empowered customers to be more selective on the advertisement they view. Additionally, television lacks effective response tracking which has led many marketers to investigate other media that offer stronger tacking options.

Radio Advertising:
Promotion through radio has been viable advertising option for over 80 years. Radio advertising is mostly local to the broadcast range of a radio station, however, at least three options exist that offer national and potentially international coverage. First, in many countries there are radio networks that use many geographically distinct stations to broadcast simultaneously. In the United States such networks as Disney (Childrens Programming) and ESPN (Sports programming) broadcast nationally

either through a group of company-owned stations or through a syndication arrangement (i.e. business agreement) with partner stations. Second, within the last few years the emergence of radio advertising. Finally, the potential for national and international advertising may become more attractive as radio stations allow their signals to be broadcast over the internet. In many ways radio suffers the same problems as television, namely, a mass medium that is not highly targeted and offers little opportunity to track responses. But unlike television, radio presents the additional disadvantage of limiting advertisers to audio-only advertising. For some products advertising without visual support is not effective.

Print Publication Advertising:

Print Publication such as magazine, newspapers and special issue publications offer advertising opportunities at all geographic levels. Magazines, especially those that target specific niche or specialized interest areas, are more narrowly targeted compared to broadcast media. Additionally, magazines offer the option of allowing marketers to present their message using high quality imagery (e.g. full color) and can also offer touch and scent experience (e.g. perfume). Newspapers have also incorporated color advertisement, through their main advantage rests with their ability to target local markets. Often focus on an extremely narrow topics ( e.g. auto buying guide, tour guide, college and university ratings, etc.)

Internet Advertising:
The fastest growing media outlet for advertising is the Internet. Compared to spending in other media, the rate of spending for Internet advertising is experiencing tremendous growth. However, total spending for Internet advertising remains relatively small compared to other media. Yet, while Internet advertising is still a small player, its influence continuous to spend and each year more major marketers shift a larger portion of their promotional budget to this medium. Two key reasons for this shift rest with the internets ability to: 1) narrowly target an advertising message and, 2) track user response to the advertisers message. The internet offers many advertising option with message delivered through websites or by email. Website advertising advertising tied to a users visit to a website accounts for the largest spending on Internet advertising. For marketers, website advertising offers many options in terms of: Creative type Size Placement Delivery Email advertising

Advertising Legend:
Legend of Advertising: David Ogilvy
David Ogilvy, along with the likes of Leo Burnett, William Bernbach and others, was one of the great ad men of the 20 th century if not the greatest. He wasnt just a great ad exec (owning and running Ogilvy & Mather originally Ogilvy, Benson & Mather) but was, also, a branding/ marketing/ research, as well as a creative ( in particular, copywriting), genius. But his real genius lay in being able to tie up all these skills together: offering an overall / holistic approach to advertising. The following article covers some of his most important accomplishments from all aspects of his career in advertising. Quote from Ogilvy: It takes a big idea to attract the attention of consumers and get them to buy your product. Unless your advertising contains a big idea, it will pass like a ship in the night. I doubt if more than one campaign in a hundred contains a big idea. Unpromising start: Ogilvy flunked university (Oxford) He then went to Paris (1931) and worked as a junior chef whilst working out what to do with the rest of his life.

Refernce
Bibliography: www.Google.com

Books referred: Marketing Management by Kotler International Marketing by Cateora and Graham International Business by Chandran

Webliography:

www.Google.co.in www.Wikipedia.org www.Yahoo.co.in Advertising Agencies Websites

Questionnaire
Personal Details
Before starting this questionnaire, pleas fill in this profile sheet, all data will be kept private and will only be used to collate results. Name: Sex: Age: Q.1) which method do you use to promote your

services/products? Top of form On-line advertising? Ans: 1)Affiliated Links 2) Pay for Click Q.2) Which kinds of media do you consider are more believable for different types of product? Ans: 1) TV 2) Newspaper 3)Magazine 4) Radio

Q.3) How likely are you to buy products or services from each of the following companies? Ans: 1) Very likely 4)Not at all likel 2) Quite likely 3) Not very likely

Q.5) In particular, what products/services do you remember just viewing in these adverts? Q.6) why do you think you remembered these product/services? Q.7) which was the most memorable advert you have just watched and why? Q.8) would you buy any of the products you have just viewed and why? Q.9) would you have brought any of the products if a celebrity like Shahrukh Khan and Kareena Kapoor were promoting/endorsing them? Q.10) what does the use of a a celebrity in an advertisement say to you about the product being offered? Q.11) referring to the answer above, do you believe that the product is anymore realistic than other brands being promoted by non celebrities? Q.12) for each of the companies/ brands that have noticed any advertising for which of the following descriptions would you attribute to each brand? Ans: 1) colorful Eye 2) Informative catching 3) Relevant.