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MARKETING

PLACE PROMOTION
PRODUCT PRICE

PUBLICIYT AND
SALES PERSONAL DIRECT
ADVERTISING PUBLIC
PROMOTIONS SELLING MARKETING
RELATIONS

POSITIVE NEWS
MISSION PROSPECATING DIRECT MAIL
IN MEDIA
TO SALES PRE APPROACH
MONEY APROACH TELEMARKETIN
PERSONS COMMUNITY
PRESENTATION G
MASSAGE ACTIVITY
TO MIDDIL MAN OBJECATION TELESHOPING
MEDIA HADLING SPONSOR SHIP
TO CUSTOMER CLOSING INTERNET OF EVENTS
MEASUREMENT FOLLOW UP MARKETING

A COMPREHENSIVE STRUCTURE OF MARKETING MIX

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Module I
MARKETING COMMUNICATIONS

Marketing communications

The marketing communications are the means by which firms


attempt to inform, persuade, and remind consumers, directly or indirectly,
about the products and brands they sell.
The concept under which a company carefully integrates and
coordinates its many communications channels to deliver a clear,
consistent, and compelling message about the organization and its
products. IMC implementation often requires the hiring of a Mar Com
manager.

“is the coordination and integration of all marketing communications


tools, avenues, and sources within a company into a seamless program
that maximizes the impact on consumer and other end users at a minimal
cost.”

Clow and Baack, 2004, p.8

Integrated Marketing Communication


Indroduction.

The shift from mass marketing to targeted marketing, with its


corresponding use of a richer mixture of communication channels and
promotion tools, poses a problem for marketers. Consumers are being
exposed to a greater variety of marketing communications from and about
the company from an array of sources. However, customers don’t
distinguish between message sources the way marketers do. In the
consumer’s mind, advertising messages from different media—such as
television, magazines, or online sources—blur into one. Messages delivered
via different promotional approaches—such as advertising, personal
selling, sales promotion, public relations, or direct marketing—all become
part of a single message about the company. Conflicting messages from
these different sources can result in confused company images and brand
positions.

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The Need for Integrated Marketing Communications

 Conflicting messages from different sources or promotional


approaches can confuse company or brand images

• The problem is particularly prevalent when functional


specialists handle individual forms of marketing
communications independently

 The Web alone cannot be used to build brands; brand


awareness potential is limited

 Best bet is to wed traditional branding efforts with the


interactivity and service capabilities of online communications

 Web efforts can enhance relationships

Steps in Developing Effective Communications

• Identify target audience


• Determine objectives
• Design communications
• Select channels
• Establish budget
• Decide on media mix
• Measure results/manage IMC

Developing Effective Communication


Step 1: Identifying the Target Audience
 Affects decisions related to what, how, when, and where
message will be said, as well as who will say it

Step 2: Determining Communication Objectives

Six buyer readiness stages

Buyer-Readiness Stages
• Awareness
• Knowledge
• Liking
• Preference
• Conviction
• Purchase
Step 3: Designing a Message
 AIDA framework guides message design

 Message content contains appeals or themes designed to


produce desired results

 Rational appeals

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 Emotional appeals
- Love, pride, joy, humor, fear, guilt, shame
 Moral appeals
 Message Structure: Key decisions are required with respect to
three message structure issues:
 Whether or not to draw a conclusion
 One-sided vs. two-sided argument
 Order of argument presentation
 Message Format: Design, layout, copy, color, shape,
movement, words, sounds, voice, body language, dress, etc.
Message Content
Message
Rational Appeals
Structure
Emotional
Draw Message
Appeals
Conclusions Format
Moral Appeals
Argument Type Headline, Copy,
Argument Color,
OrderMoral Words, &
Appeals Sounds,
Body Language
Attention Interest Desire Action
Moral Appeals

Step 4: Choosing Media


 Personal communication channels

 Includes face-to-face, phone, mail, and Internet chat


communications
 Word-of-mouth influence is often critical
 Buzz marketing cultivates opinion leaders
 Non personal communication channels
 Includes media, atmosphere, and events
Step 5: Selecting the Message Source
 Highly credible sources are more persuasive

 A poor spokesperson can tarnish a brand

Step 6: Collecting Feedback


 Recognition, recall, and behavioral measures are assessed

 May suggest changes in product/promotion

Communications Objectives
• Category need
• Brand awareness
• Brand attitude
• Purchase intention

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Designing the Communications
• Message strategy
• Creative strategy
• Message source
• Global adaptation
Creative Strategy
• Informational and transformational appeals
• Positive and negative appeals
• Fear
• Guilt
• Shame
• Humor
• Love
• Pride
• Joy
Message Source
Celebrity Characteristics

• Expertise
• Trustworthiness
• Likeability
Select Communication Channels
• Personal channels
• Non personal channels
• Integration of channels
Personal Communications Channels
• Advocate channels
• Expert channels
• Social channels

Non Personal Communication Channels


• Media
• Sales promotion
• Events and experiences
• Public relations
Modes Of Marketing Communications
• Advertising
• Sales promotion
• Events and experiences
• Public relations and publicity
• Direct marketing
• Interactive marketing
• Word-of-mouth marketing
• Personal selling
Communication Platforms Advertising
• Print and broadcast ads
• Packaging inserts
• Motion pictures
• Brochures and booklets
• Posters
• Billboards

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• POP displays
• Logos
• Videotapes

Sales Promotion
• Contests, games, sweepstakes
• Premiums
• Sampling
• Trade shows, exhibits
• Coupons
Events/ Experiences
• Sports
• Entertainment
• Festivals
• Art
• Causes
• Factory tours
• Company museums
• Street activities
• Rebates
• Entertainment
• Continuity programs
Public Relations
• Press kits
• Speeches
• Seminars
• Annual reports
• Charitable donations
• Publications
• Community relations
• Lobbying
• Identity media
Personal Selling
• Sales presentations
• Sales meetings
• Incentive programs
• Samples
• Fairs and trade shows

Direct Marketing
• Catalogs
• Mailings
• Telemarketing
• Electronic shopping
• TV shopping
• Fax mail
• E-mail
• Voice mail
• Blogs
• Websites

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Word-of-Mouth Marketing
• Person-to-person
• Chat rooms
• Blogs

Module II
CONSUMER BEHAVIOR AND MARKETING COMMUNICATION

Marketing Communications Objectives

• Increase Market Penetration


• Develop Repeat Purchase Behavior
• Establish Customer Relationships
• Increase Rate of Consumption
• Encourage Product Trial
• Stimulate Impulse Buying
• Stimulate Demand
• Differentiate the Product
• Establish a Product Image
• Influence Sales Volume
• Establish, Modify, or Reinforce Attitudes
• Develop Sales Leads
• Stimulate Interest
• Establish Understanding
• Build Support & Acceptance

Marketing Communications Mix


The specific mix of advertising, personal selling, sales promotion, and
public relations a company uses to pursue its advertising and marketing
objectives.

The Marketing Communications Environment is Changing

 Mass markets have fragmented, causing marketers to shift


away from mass marketing

• Media fragmentation is increasing as well

 Improvements in information technology are facilitating


segmentation

Factors In Setting Communications Mix


• Type of product market
• Buyer readiness stage
• Product life cycle stage

Establish the Budget

• Affordable
• Percentage-of-sales

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• Competitive parity
• Objective-and-task

Setting the Promotional Budget And Mix


Setting the Total Promotional Budget

Affordability Method
 Budget is set at a level that a company can afford
 Percentage-of-Sales Method
 Past or forecasted sales may be used
 Competitive-Parity Method
 Budget matches competitors’ outlays
• Setting the Total Promotional Budget
 Objective-and-Task Method
 Specific objectives are defined
 Tasks required to achieve objectives are
determined
 Costs of performing tasks are estimated, then
summed to create the promotional budget
• Setting the Overall Promotion Mix
 Determined by the nature of each promotion tool and the
selected
promotion mix strategy

PROCESS OF COMMUNICATION
Elements in the Communication Process

• Sender
• Message
• Media
• Receiver
• Encoding
• Decoding
• Response
• Feedback
• Noise
Sender: The party sending the message to another party—here, Hewlett-
Packard.
Encoding: The process of putting thought into symbolic form—HP’s
advertising agency assembles words and illustrations into an
advertisement that will convey the intended message.
Message: The set of symbols that the sender transmits—the actual HP
multifunction machine ad.

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Media: The communication channels through which the message moves
from sender to receiver—in this case, the specific magazines that HP
selects.
Decoding: The process by which the receiver assigns meaning to the
symbols encoded by the sender—a consumer reads the HP multifunction
machine ad and interprets the words and illustrations it contains.
Receiver: The party receiving the message sent by another party—the
home office or business customer who reads the HP multifunction machine
ad.
Response: The reactions of the receiver after being exposed to the
message—any of hundreds of possible responses, such as the consumer is
more aware of the attributes of HP multifunction machines, actually buys
an HP multifunction machine, or does nothing.
Feedback: The part of the receiver’s response communicated back to the
sender—HP research shows that consumers are struck by and remember
the ad, or consumers write or call HP praising or criticizing the ad or HP’s
products.
Noise: The unplanned static or distortion during the communication
process, which results in the receiver’s getting a different message than
the one the sender sent—the consumer is distracted while reading the
magazine and misses the HP ad or its key points.

The Communications Process


• Selective attention
• Selective distortion
• Selective retention

Communications efforts should be viewed from the perspective of


managing customer relationships over time.

The communication process begins with an audit of all potential


contacts.

Effective communication requires knowledge of how communication


works.

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Noise

Encodi Decodi
Messa Receiv
Sende ng ge ng er
r Chann Messa
Messa el ge
ge
Messa
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Chann
el

Schramm's Model of Communication

Wilbur L. Schramm was a forefather in the development of a basic


model of communication. His model is a derivation of the Shannon-Weaver
transmission model of communication. The Shannon-Weaver model
proposed six elements of communication:

• source
• encoder
• message
• channel
• decoder
• receiver

Wilbur Schramm's 1954 model expands on this thinking by


emphasizing the process of encoding and decoding the message. Schramm
envisioned this process as a two-way circular communication between the
sender and receiver. Where the Shannon-Weaver model is a more
mathematical and technological one, Schramm incorporates the study of
human behavior in the communication process.

In addition to the six elements above, Schramm has included these


concepts:

• Feedback - information that comes back from the receiver to the


sender and tells him how well he is doing.

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Diagram of Schramm's feedback loop

Diagram of Schramm's field of experience

Dr. Schramm suggests that the message can be complicated by


different meanings learned by different people. Meanings can be
denotative or connotative. Denotative meanings are common or dictionary
meanings and can be roughly the same for most people. Connotative
meanings are emotional or evaluative and based on personal experience. A
message can also have surface and latent meanings. Other characteristics
of messages that impact communication between two individuals are:
intonations and pitch patterns, accents, facial expressions, quality of voice,

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and gestures. The successful transmission of a message depends on
whether this message will be accepted over all the competing messages.

Schramm's model of communication also allows for the process of


interpreting the message. This process is influenced by the presence of
both physical (phone, tv, sirens, etc.) and semantic (distractions, age,
attitudes, etc.) noise.

Dr. Schramm believed that all of these elements were important


functions of communication in society. He felt that people in a society need
information on their environment and methods of communicating in order
to make decisions. Most importantly we need "places to store the
accumulated knowledge and wisdom of a society and this is why we have
libraries" (Schramm, 1963, pg. 14). Within a library, all of these elements of
Wilbur Schramm's communication model are useful in addressing problems
with conducting a reference interview. This model provides the rationale to
solve the problem presented in this project.

Strengths

Schramm provided the additional notion of a “field of experience,” or


the psychological frame of reference; this refers to the type of orientation
or attitudes which interactants maintain toward each other.

Included Feedback

Communication is reciprocal, two-way, even though the feedback


may be delayed.Some of these methods of communication are very direct,
as when you talk in direct response to someone. Others are only
moderately direct; you might squirm when a speaker drones on and on,
wrinkle your nose and scratch your head when a message is too abstract,
or shift your body position when you think it’s your turn to talk. Still other
kinds of feedback are completely indirect.

For example,

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politicians discover if they’re getting their message across by the number
of votes cast on the first Tuesday in November; commercial sponsors
examine sales figures to gauge their communicative effectiveness in ads;
teachers measure their abilities to get the material across in a particular
course by seeing how many students sign up for it the next term.

Included Context

A message may have different meanings, depending upon the specific


context or setting. Shouting “Fire!” on a rifle range produces one set of
reactions-reactions quite different from those produced in a crowded
theater.

Included Culture

A message may have different meanings associated with it


depending upon the culture or society. Communication systems, thus,
operate within the confines of cultural rules and expectations to which we
all have been educated. Other model designers abstracted the dualistic
aspects of communication as a series of “loops,” (Mysak, 1970), “speech
cycles” (Johnson, 1953), “co-orientation” (Newcomb, 1953), and
overlapping “psychological fields” (Fearing, 1953).

Weaknesses

Schramm’s model, while less linear, still accounts for only bilateral
communication between two parties. The complex, multiple levels of
communication between several sources is beyond this model.

Two-step flow of communication

The two-step flow of communication model hypothesizes that


ideas flow from mass media to opinion leaders, and from them to a wider
population. It was first introduced by sociologist Paul Lazarsfeld et al. in
1944[1] and elaborated by Elihu Katz and Lazarsfeld in 1955[2] and
subsequent publications.[3] Lowery and DeFleur argue the book was much
more than a simple research report: it was an effort to interpret the
authors' research within a framework of conceptual schemes, theoretical

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issues, and research findings drawn broadly from the scientific study of
small groups [4]
Unlike the hypodermic needle model, which considers mass
media effects to be direct, the two-step flow model stresses human
agency.

According to Lazarsfeld and Katz, mass media information is


channeled to the "masses" through opinion leadership. The people with
most access to media, and having a more literate understanding of media
content, explain and diffuse the content to others.

Based on the two-step flow hypothesis, the term “personal influence”


came to illustrate the process intervening between the media’s direct
message and the audience’s reaction to that message. Opinion leaders
tend to be similar to those they influence—based on personality, interests,
demographics, or socio-economic factors. These leaders tend to influence
others to change their attitudes and behaviors. The two-step theory refined
the ability to predict how media messages influence audience behavior and
explains why certain media campaigns do not alter audiences’ attitudes.
This hypothesis provided a basis for the multi-step flow theory of mass
communication.[5]

Criticisms

The original two-step flow hypothesis—that ideas flow from the


media to opinion leaders and then to less active sections of the population
—has been criticized and negated by myriad consequent studies. Findings
from Deutschmann and Danielson assert, “we would urge that the Katz-
Lazarsfeld two-stage flow hypothesis, as a description of the initial
information process, be applied to mass communication with caution”[6].
They find substantial evidence that initial mass media information flows
directly to people on the whole and is not relayed by opinion leaders.

Furthermore, the two-step hypothesis does not adequately describe


the flow of learning. Everett Rogers’ “Diffusion of Innovations” cites one
study in which two-thirds of respondents accredited their awareness to the
mass media rather than face-to-face communication. Similarly, critics

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argue that most of Lazarsfeld’s findings pertain to learning factors involved
with general media habits rather than the learning of particular
information. Both findings suggest a greater prevalence of a one-step flow
of communication.

However, Lazarsfeld’s two-step hypothesis is an adequate description


to understand the media’s influence on belief and behavior. Troldahl finds
that media exposure is a first step to introduce discussion, at which point
opinion leaders initiate the second-step flow. These findings also realize
opinion leaders decisive role in the balance theory, which suggests that
people are motivated to keep consistency among their current beliefs and
opinions. If a person is exposed to new observations that are inconsistent
with present beliefs, he or she is thrown into imbalance. This person will
then seek advice from their opinion leader, to provide them with additional
cognitions to bring them back into balance.

Cognitive dissonance

Cognitive dissonance is an uncomfortable feeling caused by


holding conflicting ideas simultaneously. The theory of cognitive
dissonance proposes that people have a motivational drive to reduce
dissonance. They do this by changing their attitudes, beliefs, and actions.
[2] Dissonance is also reduced by justifying, blaming, and denying. It is one
of the most influential and extensively studied theories in social
psychology.

Experience can clash with expectations, as, for example, with buyer's
remorse following the purchase of an expensive item. In a state of
dissonance, people may feel surprise,[2] dread, guilt, anger, or
embarrassment. People are biased to think of their choices as correct,
despite any contrary evidence. This bias gives dissonance theory its

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predictive power, shedding light on otherwise puzzling irrational and
destructive behavior.

A classical example of this idea (and the origin of the expression


"sour grapes") is expressed in the fable The Fox and the Grapes by Aesop
(ca. 620–564 BCE). In the story, a fox sees some high-hanging grapes and
wishes to eat them. When the fox is unable to think of a way to reach
them, he surmises that the grapes are probably not worth eating, as they
must not be ripe or that they are sour. This example follows a pattern: one
desires something, finds it unattainable, and reduces one's dissonance by
criticizing it. Jon Elster calls this pattern "adaptive preference formation."

Cognitive dissonance theory is based on three fundamental assumptions.

1. Humans are sensitive to inconsistencies between actions and beliefs.

According to the theory, we all recognize, at some level, when


we are acting in a way that is inconsistent with our
beliefs/attitudes/opinions. In effect, there is a built in alarm that goes
off when we notice such an inconsistency, whether we like it or not.
For example, if you have a belief that it is wrong to cheat, yet you
find yourself cheating on a test, you will notice and be affected by
this inconsistency.

2. Recognition of this inconsistency will cause dissonance, and will


motivate an individual to resolve the dissonance.

Once you recognize that you have violated one of your


principles, according to this theory, you won’t just say "oh well". You
will feel some sort of mental anguish about this. The degree of
dissonance, of course, will vary with the importance of your
belief/attitude/principle and with the degree of inconsistency
between your behavior and this belief. In any case, according to the
theory, the greater the dissonance the more you will be motivated to
resolve it.

3. Dissonance will be resolved in one of three basic ways:

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a. Change beliefs

Perhaps the simplest way to resolve dissonance between


actions and beliefs is simply to change your beliefs. You could, of
course, just decide that cheating is o.k. This would take care of any
dissonance. However, if the belief is fundamental and important to
you such a course of action is unlikely. Moreover, our basic beliefs
and attitudes are pretty stable, and people don’t just go around
changing basic beliefs/attitudes/opinions all the time, since we rely
a lot on our world view in predicting events and organizing our
thoughts. Therefore, though this is the simplest option for resolving
dissonance it’s probably not the most common.

b. Change actions

A second option would be to make sure that you never do this


action again. Lord knows that guilt and anxiety can be motivators
for changing behavior. So, you may say to yourself that you will
never cheat on a test again, and this may aid in resolving the
dissonance. However, aversive conditioning (i.e., guilt/anxiety) can
often be a pretty poor way of learning, especially if you can train
yourself not to feel these things. Plus, you may really benefit in
some way from the action that’s inconsistent with your beliefs. So,
the trick would be to get rid of this feeling without changing your
beliefs or your actions, and this leads us to the third, and probably
most common, method of resolution.

c. Change perception of action

A third and more complex method of resolution is to change


the way you view/remember/perceive your action. In more
colloquial terms, you would "rationalize" your actions. For example,
you might decide that the test you cheated on was for a dumb class
that you didn’t need anyway. Or you may say to yourself that
everyone cheats so why not you? In other words, you think about
your action in a different manner or context so that it no longer

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appears to be inconsistent with your beliefs. If you reflect on this
series of mental gymnastics for a moment you will probably
recognize why cognitive dissonance has come to be so popular. If
you’re like me, you notice such post-hoc reconceptualiztions
(rationalizations) of behavior on the part of others all the time,
though it’s not so common to see it in one’s self.

Module III
ADVERTISING

Introduction
Word advertising has been derived from the Latin work ‘Adverts’.
This means to turn people to attention to specific things.

In order to obtain higher turnover business now uses various


methods of persuading people to buy their products.

Advertising is the art of making the product and known to the world in
such as way that a desire for buying that product is created in the hearts of
the people.

• Advertising is there for essential for creating and maintaining


demand for products.

• It educates people and spread knowledge.

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• Making one’s products known to the prospective customers through
hoarding, magazines, new paper, radio, televisions etc. is called
advertising.

• It is a kind of printed salesmanship.

• It is paid form of publicity.

According to American Marketing Association “Advertising implies


any paid form non personal presentation and promotion of ideas, goods
and services by an identified sponsor”

Characteristics of advertising
1. Paid form

2. Provide some information

3. Motivation of sales

4. Non personal presentation

5. Promotion of Idea, good or services,

6. Identifiable sponsor

7. Adverting is not the guarantee of sales

8. Advertising is both art and sales.

9. It can be oral written of visual

10. It can do through various media, such as press, radio, samples


etc.

11. It can be stimulate demand of goods and services.

Objectives of advertising
1. Creation of demand

2. Increases sales

3. Supports dealers

4. Builds goodwill

5. Eliminates middle man

6. Minimizes seasonal fluctuations

7. Building up fixed clientele

8. Educate consumers

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9. Higher standard of living

Role and importance of advertising

Advertising is a relativity low cost way of conveying selling massages


to numerous prospects and is important in most marketing programmes it
is used not only stimulate demand but for many other purposes. It can
force middle man to stock the product by building consumer interest it can
help train dealers sales man in product uses and applications. It can build
deal and consumer confidence in the company and its products by building
familiarity. Effective advertising by a manufacturer often arouses a
consumers interest but it will rarely send him to retail store actively
seeking the products. However, when, in store, an alert sales man on
attractive displays all his attention to manufacture products, the impact of
previous advertising often helps in persuading him to buy.

Importance of advertising

• Economies the production process


• Product available to more people
• Advertising share expenses of news papers and other media of
advertising.
• It serve social awareness programmes
Scope of advertising
• Mission
• Money
• Message
• Media
• Measurement
Functions of advertising
Primary functions

• Increase sales
• Awareness about the new product
• Increased brand awareness
• Helping dealers
• Pressured dealers
• Increasing demand
• Demand in recession period
• Raising standard of living
• Business for other parties

Secondary functions
• To encourage sales man
• Provide information

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• Good feeling among executives
• Feeling of security
• Attract better employees
Benefits of advertising
To manufacturers

• Create regular demand


• Aid to selling
• Create awareness
• Introduction of new products
• Increasing goodwill
• Expand the market
• Increasing profitability
• Encourage research in an organization
To customer
• Make purchasing easier
• Educate the consumers
• Create confidence
• Eliminate middle man
• Reduction in selling price
To society

• Provide direct employment


• Advertising medias can earn big revenue
• Improve the standard of living
• Motivate people for hard work
Types of advertising
• Consumer advertising
o National advertisement
o Regional advertising
o Local advertising
• Industrial advertising
• Trade advertising
o Retail advertising
o Whole sale advertising
• Product advertising
o Informative
o Persuasive
o Remainder
• Institution advertising
o Informative
o Persuasive
o Remainder
o Manufacturer

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• Co operative advertising
o Horizontal co operative advertising
o Vertical co operative advertising
• Pioneering advertisement
• Comparative advertising
• Comparative advertising
• Reinforcement advertisement
• Defensive advertisement

Advertising agencies
• Advertising agencies or ad agencies is a service business dedicated
to creating planning and handling advertising for its clients.

• The first advertising agencies is opened in Philadelphia in 1841

Functions of advertising agencies

• Advertising development and creative function


• Media selection
• Research and development
• Communication of advertisement
• Relationship functions – liaison between Clint and media and
target audience.
• Recording and data base maintaining
Advertising Key Decisions

Setting objectives

Advertising objectives can be classified by primary purpose:


• Inform
- Introducing new products
• Persuade
- Becomes more important as competition increases
- Comparative advertising
• Remind
- Most important for mature products
Setting the budget
• Several factors should be considered when setting the ad budget:
- Stage in the PLC
- Market share
- Level of competition
- Ad clutter
- Degree of brand differentiation
Developing the advertising strategy
Creative challenges

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• Media fragmentation
• Soaring media costs
• Advertising clutter
Creating ad messages
• Message strategy
• Creative concept
• Advertising appeal
• Message execution
• Many execution styles
• Tone, format, illustration, headline, copy
Select advertising media
• Decide on level of reach, frequency and impact
• Choose among the major media types by considering:
• Consumer media habits, nature of the product, types of
messages, and costs
• Select specific media vehicles
• Decide on media timing
Evaluating advertising campaigns
• Measuring communications effects
• Copy testing
• Consumer recall
• Product awareness
• Product knowledge
• Product preference
• Measuring sales effect
• Past vs. current sales comparison
• Experimentation
Management of advertising or Building of advertising programme
• Setting advertisement objectives
o DAGMAR
o AIDA Model
o Innovation adaption model
o Close effect model
• Determining advertisement budget
• Affordable
• Percentage of sales
• Comparative parity
• Objective and task

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• Regression method
• Adaptive control method
• Compromise method
• Selection of media
• Indore and outdoor
• Direct and mail advertising
• Folk
• Organizing advertising
• Advertising manager
• Advertising media
• Advertising copy and lay out
• Advertising theme
• Advertising layout
• Measuring advertising effectiveness
• Sales response
• Communication responses
• Pretesting ads
• Posttest ads
• Attitude test
Message

The message is what the marketing communicator tries to


communicates with customers to attract his attention interest arose desire
and elicit action in the form of purchase. The massage should be developed
in a way that it has to ability to integrate a common feel from the
awareness stage to the stage purchase and satisfactions the massage
formulation involves following.

• Message content (what to say),


• Message structure (how to put the massage),
• Message format (how to say it symbolically)
• Message source (who should say it)
Message content
• It is the key element as it constitutes
• Appeal
• Rational appeal
• Emotional appeal
• Moral appeal
• Theme
• Unique selling proposition (USP)
• Extra value proposition
Message structures

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Message need to be structured in different orders depending on the
types of audience and level of perceptual bias with the targeted audience.
Message can be structured as

• One sided
• Two sided
• Conclusion drawing massages
Message format
Massage format covers the do ability of the message in the form of
copy visuals, heads lines, slogans and illustration for a print medium in the
case of an audio visual medium the characters’ the voice flying over, the
locations and visuals are part of the message format. The message format
can be black and white or color and can be with visual or without visuals.

Massage source

Message from attractive sources are able to break the clutter and catch
attention of the audience. There are three key factors that influence the
massage source factor

• Source credibility
• Trust worthiness of message
• Believability of claim
Copy
Copy writing in print in the activity of actually putting words on
paper, particularly those contained in the main body at the text, but also
including attended by lines and headlines. In broad cast the copy writer is,
infect a script writer who develops the scenario or script to be used in
Radio or TV medium, writing a jingle or the lyrics for music may also be
involved.

Jhon caples has developed a check list of important guide lines for
copy writing

• Cash in personal experience


• Organize experience
• Write from the heart
• Lear from the experience of others
• Talk with the manufacturer
• Study the products
• Review previous advertising for the products
• Study competitors advertisement
• Solve the prospect problem
• Put sub conscious mind to work
• Ring the changes on a successful idea

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General copy principles
• It should be simple
• Containing only one two key ideas
• Contain a benefit or idea unique to brand being advertised
• Extendable
• Flows naturally and smoothly from beginning to end
Head lines
The head line in an advertisement is the leading sentence or
sentences usually at the top or bottom of the advertisement that attract
attention, communicates a key selling point or achieves brand
identification.

Purpose of headline

• Give news about the brand


• Emphasis a brand claim
• Give advise to the reader
• Select prospects
• Stimulate the readers’ curiosity
• Set a tone or establish an emotion
• Identify the brand
Slogan
There are two types of slogans

• Short rage type


• Long range type
Bothe types of slogan are well turned phrase or sentences intended to be
repeated worbatim.
Illustrations

These consists of photographs, drawings, graphs, chart, painting and other


pictorial devises.

Uses of illustrations

• To gain attentions
• Comprehension
• Attitude change
• Behavior change
• They can tell a story
• Make a point quickly and clearly
Lay out
Its overall structure, or the way in which the various elements are
positioned with regard to one another.

23
Unique selling propositions (USP)

An advertising message strategy proposed by Roser Reeves that


focuses on a product or service attributes that is distractive to a certain
brand and offers a persuasive benefit to the consumers and not claimed by
any other brand.

Campaign planning

Advertising campaigns includes a series of ads, placed in various


media that designed to meet objective and are based on an analysis of
marketing and communications situations.

Steps

• Appraisal of advertising opportunities


• Market analysis and defining target market
• Setting advertising objectives
• Setting budgets and necessary control systems
• Determining media and creative strategy
• Create ads
• Pretest
• Release ads
• Evaluate final result
Objectives of campaign planning
• To determine the market for the products
• How large is this markets
• Target market
• Who buys the product who influence the products
• When it brought trough the year of seasonality
• How the products is brought
• To decide the channel of distribution of the products
• Are the established trade channels satisfactory
• To determine the scope of the strategy
• To prepare advertising copy
• To determine amount space to be brought in various news papers
Basic principles of campaign
• Defining – getting to campaign objective into clear focus
• Concentration – avoiding dispersal of resources over too many
different or media
• Domination – ensuring is that in some part of the market the
campaign dominate its compotators, and takes control of the mind
and interest of potential customer.

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• Repetition – providing for the continuation of the massage in
remainder form regularly or a period of time
Media planning

Important steps in development of media planning

Market Set the media Media strategy Evaluation and


development and
Analysis objectives implementation follow up

Media

Adverting media are the means to transmit the message of the


advertiser to the desired people.

The words Bravnan the term media emprises each and every method
that the advertiser has at his command to carry t his massage to the
public.

It is a carrier of vehicle of advertising message.

It is the means or ways to convey the advertisement message to the


public.

Advertisement media should satisfied the following advertisement


objectives

• It has to reach maximum prospects


• It must gain the attention of readers
• It must has wide coverage at less cost.
The selection of medias is made with reference to not only above objective
but also the following factors
• Objectives of advertising
• Media circulation
• The class of people
• Business unit\
• Massage to be sent
• Extent of competition
• Cost of space
Additional factors
• Characteristics of product and demand
• Fund availability
• Nature of the market
• Nature and extent of competition prevailing
• Medium to be adopted
• Coverage of the media
• Product nature

23
• Sales of the advertisement

Types of media
• Indoor advertising media

o Print
 New paper
 Magazines
 Trade journals
 Periodical
o Broad cast
 Radio
 TV
 Film
 Screen slide
• Outdoor advertising media
o Outdoor or mural
 Poster
 Hoarding
 Electrical display
 Electric sign
 Wall painting
o Transit media /inside and outside
 Railway
 Bus
 Car
 Aero plane
 Auto
• Direct and mail
o Post card
o Envelope enclosures
o Booklet
o Catalogue
o Price list
o Sales letter
o Gift novelty
o Other direct mails
Folk media
o Magic show
o Puppet show

23
o Mobile stationary theater group
Advertisement and Ethics
Advertising is more than advertisement alone it is an institutional
part of our society a social force affecting and affected to our stale of life.

The central issue of advertising and society can be divided into three
categories

• The nature and content of advertising to which people are exposed


• Effect on society’s values and life style
• Operation of the economic system
Economic issues
• Effect on the value of goods and service
• Effect on prices
• Effect on consumer demand and consumer choice
• Effect on competition
Social issues
• Social and cultural issues
• Materialism
• Stereotyping in advertising
Ethical issues
• Sex appeals and or nudity used simply to gain consumers attention
• Misleading
• Puffery – superlative, exaggeration, deception

Evaluating Advertising

• It is difficult to measure the sales effectiveness of advertising


because:
• Ads have different objectives.
• Ads can have an effect over time period.
• Measurement problems.
• Effectiveness can be tested:
• Before an ad is presented.
• While it is being presented.
• After it has completed its run.
Organizing for Advertising
• Develop an internal advertising department.
• Many large retailers do this.
• Use an outside advertising agency.
• Specialized, skilled professionals.
• Experienced, many services offered
• Do both.

23
Regulations on Advertising.

Advertising puts across messages and their presentation may be


against the accepted values of society. Moral and ethical values have been
discarded by several advertisers. These unsocial, immoral and unethical
values are controlled by government and by consumers. With the growing
criticisms of advertising, advertisers have been considering the idea of self-
regulation. Self- regulation would result in true and accurate messages.
Many advertisers were sceptical of the success of self regulation. Yet many
advertisers have declared that they should exercise control over, and
restraint on, their activities. Therefore, they opted for self-regulation in
1970 in USA. Consequently, the Council of Better Business Bureaus and
National
Advertising Review Board were established.
The first self-regulatory organization was established by the
Advertising
Club of Cleveland. It was known as Better Business Bureau. The Better
Business Bureau (BBB) operated at local levels. In 1976, there were about
240 Better Business Bureaus throughout the USA. They were fighting
immoral and unethical advertising to raise its standards. Advertising
agencies, advertising media and other agencies were determined to stamp
out deceptive advertising. Each Better Business Bureau was assigned the
job of spearheading a movement for improvements in advertising in its
locality. The BBB persuades advertisers to discard questionable modes and
practices of advertising. It maintains a register of consumer complaints.
The Better Business Bureaus are interested in people operating
advertising agencies. These Better Business Bureaus were reorganized
under the Council of Better Business Bureaus (CBBB) in 1970. The CBBB
achieved prominence for national advertising regulation. This council
performs nation-wide activities. It consists of eight members drawn from
leading advertising agencies. The local Better Business Bureau has three
divisions,-merchandise division, financial division and solicitation division.
They see to it that no false or misleading copy, layout, etc. is employed in
advertising.
The CBBB has a wing known as National Advertising Division (NAD)
composed of knowledgeable individuals from the local bureaus. The NAD
evaluates the reports of the CBBB. The reports of CBBB are prepared in the
light of the recommendations of the local people. The NAD asks the
advertiser to submit the logic and rationale of his challenged
advertisements. After evaluating the reports of the CBBB and the claims of
the advertiser, the NAD may dismiss the complaint on the ground that the
advertiser’s claims are correct and substantial. The complaints may be
accepted by the NAD, and it may direct the advertiser to modify the
challenged advertising. If the advertiser does not comply with the direction
of the CBBB, its point of view and the complaints of the public are
forwarded to the National Advertising Review Board. If the advertiser does
not accept the verdict of the NARB, his case is forwarded to the Federation
of Trade Commissions or to the Federal Communication Commission.

23
The National Advertising Review Board started its functions in 1971
in the USA. It has 50 member-forty representing advertising agencies and
ten representing the public Complaints about any advertisement are made
to this Board through the National Advertising Division (NAD) which
receives complains from the public, the industry, business and other
sources. The NAD suggests appropriate changes in the advertisement. If
the advertiser does not change the message and continues to advertise,
the complaint is forwarded to the National Advertising Review Board. The
NARB appoints a five-member panel composed of three representatives of
advertisers, one agency person and one public representative to review the
complains forwarded by the NAD and the stand taken by the advertiser. If
the panel upholds the decision of the NAD, it calls upon the advertiser to
modify or withdraw the advertisement. The NARB publishes the complaints
if the advertiser does not accept the suggestion of the NARB. As a final
step, the case be referred to a government authority for appropriate action
against the defaulting advertiser. The local Better Business Bureaus, too,
have been approaching the NARB for the settlement of the complaints filed
by the public, The NARB has special cells to hear the complains of
children, women, minorities and other sections of society. The NARB bas
reported many cases to the Federal Trade Commission (FTC) for final
settlement. The FTC can call for suitable correction of misleading or
incorrect advertisements.

Self-Regulation by Media
The media people can reject any advertisement if they consider that
it is misleading and incorrect. The objectionable advertisements are not
published or viewed or advertised by the media. Television in India and
France is quite selective in accepting a particular message or mode of
advertising. Television and radio are more concerned about the content of
advertisements than the print media.
Television does not accept bait advertising, advertisement bearing on
sexual themes and representations of certain professions. The time allotted
to advertisers is restricted by television and radio. Many newspapers do not
accept objectionable advertisements. They are famous for refusing to
publish such advertisements. Sex selling, patent medicines with high
alcohol content, etc., are frowned upon; advertisements bearing on these
are not accepted by newspapers. Many magazines also impose restrictions
on advertisement content.
CONTROL BY CONSUMERS
Consumers have started exercising control over misleading
advertisements since the latter part of the nineteenth century. They exert
control in different forms: direct and indirect, formal and informal, short as
well as long-range. They have devastating power to accept or boycott the
product, which they do through consumer groups, through businessmen
and through a law-enforcing authority. We have discussed the control by
businessmen.
CONTROL BY GOVERNMENT
Control by the government is felt to be necessary to check deceptive,
misleading, highly competitive and immoral advertising. The government is
after all responsible to see to it that there is no undesirable advertising. It
has the power to control it. It should exercise this power to protect the

23
interests of consumers, small businesses and other sections of society and
to ensure that there is no deceptive and misleading advertising. The
content of advertisements has to be regulated by the Government. In India,
regulations concerning advertising are limited. Only the public laws and
Sale of Goods Act are employed to control advertising. The Penal Code and
the Criminal Procedure Code have been used against deceivers and
lawbreakers. The Consumers' Protection Act and other relevant laws
have been enacted to control objectionable advertising. Advertising has
become an integral part of life and has lasting effects on society. It has to
demonstrate greater social responsibility. Its manipulative and undesirable
activities have to be controlled.
Truthful advertising leads to consumer satisfaction. It is true that
very few advertisers resort to deceptive advertising. They compete with
others on the basis of dishonest presentation. Therefore, the government
has enacted several laws. The USA has been very active in this field.
The Indian Government too has enacted some laws to protect the
interests of consumers, honest advertisers, producers and traders. In the
USA such legislation has been enacted by the federal government, state
governments, and municipalities.
Growth of Consumerism:
The term "consumerism" refers to the resistance of consumers to
misleading advertising, sales techniques and products. The development of
consumer power took place in the USA between 1889 and 1925 when
consumers developed their strength and realized the need for resisting
misleading and unrealistic advertising.
Women's organizations developed to resist “black" sales. In India,
consumer power developed during the Swadeshi Andolan in 1922, which
continued till 1950. The second period of growth of consumerism was
between l926 and 1959 in the USA" Many books, articles and seminars
were held on consumerism. Consumers' Union, Drug Control, etc., came
into being during this period. In India, the growth of consumerism took
place between 1951 and 1985. The third period, i.e. the surge of modern
consumerism, started in India in 1986 when various organizations
developed to protect the interests of the consumer. The consumers' Safety
Act was enacted in 1989. In America, consumers insisted on the right to
safety, the right to be informed, the right to choose and the right to be
heard. Many books on consumerism were written, which brought pressure
to bear on manufacturers and traders so that there might be the right type
of packaging, true labeling, truth in credit and substantiation of claims of
deceptive products. In India, many voluntary organizations were formed to
protect the interests of consumers. The misleading activities of advertisers
were brought to the notice of the public. The government was apprised of
the widespread practice of adulteration. Consumerism in India developed
rapidly. Women's organizations have become very active in India to
educate people about misleading advertising and products. There has been
a great pressure on the government to enact suitable legislation to protect
the interests of consumers. Advertising is criticized vehemently. The
present laws in India may not be very useful unless consumers are
educated and motivated to protect their interests. Consumerism in India
has to be developed rapidly.

23
The present state of consumerism in India is worse than it is in the
USA. In America a tax was levied on advertising, to restrict the putting up
of billboards along highways and to create a sense of purpose among
consumers. The reasons for the growth of consumerism are technological
development, water and air pollution, soaring prices, heavy taxes and
other economic factors. Education and social consciousness have
motivated people to safeguard their interests. In the Indian context,
consumer protests have to be developed on a large scale. Consumerism
has a direct as well as indirect impact on advertising. If advertisers get the
feedback that their presentation and announcements have been resisted
by people, they would avoid misleading advertising. If they do not, their
image would be tarnished. Advertisers have to evaluate the end results of
their advertisements. Pre-assessment and evaluation will avoid
unnecessary expenses on advertising. Therefore, advertisers should not
feel that consumers are adversaries.
They are, in fact, true guides for the success of advertising.
Consumerism gives a boost to government control. The advertising
research will not be required if consumer organizations provided adequate
information and feedback on advertising. There-fore, consumers now
receive the cooperation and assistance ofmany sound advertising
agencies. Advertisers look upon their reactions as clues to the need for
further development.

23
Module IV

SALES PROMOTION
• Demand-stimulating devices designed to supplement advertising and
facilitate personal selling.

• Sales promotions include such things as coupons, in-store displays,


premiums, trade shows, in-store demonstrations, and contests.

• The target for these activities may be middlemen, end users, or the
producer’s own sales force.

• Short-term incentives to encourage the purchase or sale of a product


or service.
According to American Marketing Association ‘sales promotion
refers to those activities other than persons selling advertising and
publicity, that stimulate consumer purchasing and dealer
effectiveness, such as displays show and exhibitions demonstrations
and various other non recurrent selling effort not in ordinary routine’

Objectives

• Speeding the sales process and increasing the sales volume.


• Building product awareness.
• Creating interest.
• Providing information.

23
• Reinforcing the brand.
Uses of sales promotion
• Immediate purchases
• Increase trial
• Boost consumer inventory
• Encourage repurchase
• Encourage brand switching
• Encourage brand loyalty

Types of Sales Promotion

• Trade promotions, directed to members of the distribution channel.


• Consumer promotions, aimed at consumers.
Advantages of Sales Promotion

• It can produce short-term results.


• Competitors are using sales promotions.
• Sales promotions are attractive to price-conscious consumers.
• Can enhance/facilitate retail salesmanship which is often of low
quality.

Key Reasons for Sales Promotion

• Stimulating end-user demand.


• Sampling program for new/improved product
• Improving the marketing performance of middlemen and
salespeople.
• Sell more, win a holiday trip.
• Supplementing advertising and facilitating personal selling.
• Displays, promotional giveaways
Managing Sales Promotion
• Select from wide range of techniques, depending on objectives
• Select promotional devices based on:
• Nature of target audience
• Promotional objectives: Push vs. Pull.
• Cost of device-- sampling can get costly.
• Current economic conditions-- coupons, rebates work best in
recessionary period.
• Evaluating Sales Promotion:
• Much easier than with advertising.
• Usually clear start, finish, goal.
Sales Promotions
 Can be targeted at final buyers, retailers and wholesalers,
business customers, and members of the sales force.
 The use of sales promotions has been growing rapidly.

23
• Objectives -- Consumer Promotions:
 Increase short-term sales
 Generate product trial
• Objectives -- Trade Promotions:
 Obtaining distribution and shelf space
 Encouraging retailers to advertise the brand
• Objectives -- Sales Force Promotions:
 Signing up new accounts
Consumer Promotion Tools
• Coupon
• Samples
• Cash Refunds (Rebates)
• Price packs (cents-off deals)
• Advertising Specialties
• Premiums
• Patronage Rewards
• Point-of-Purchase Communications
• Contests, Games, and Sweepstakes
Coupon
certificate that gives buyers a saving when they purchase a specified
product.

Sample

A small amount of a product offer to customers for trial.

Cash refund offer (rebate)

Offer to refund the part of the purchase price of the product to


consume send a “ proof of purchase “ to the manufacturer.

Price pack (cents – off - deal)

Reduced price that is marked by the producer directly on the label


or package.

Advertising capacity

Useful article imprinted with an advertiser’s name, given as a gift to


consumers.

Patronage reward

Cash or other award for the regular use of certain company’s


products or services.

Point – of – purchase (POP) promotion

23
Display and the demonstration that takes place at the point of
purchase or sale.

Contents, Sweepstakes, Games

Promotional events that give the consumer the chance to win


something – such as cash, trips or goods – by luck or through extra effort.

Premium

Good offered either free or at low cost as an incentive to buy a


product.

Trade Promotion Tools

a. Discounts ( also called price-off, off-list, and off-invoice)


b. Allowances
i. Advertising allowances
ii. Display allowances
c. Free goods
d. Push money
e. Specialty advertising items
Discount
A straight reduction in price on purchases during a stated period of
time.

Allowance

Promotional money paid by manufacturers to retails in return for an


agreement to feature the manufacturer’s product in some way.

Business Promotion Tools


• Companies spend billions of dollars each year on promotion to
customers.

• This tool is used to generate business leads, stimulate purchases,


reward customers and motivate sales people.

• Many companies and trade associations organize the conventions


and trade shows to promote their product.

• Includes many of the same tools used in consumer and trade


promotions
• Two additional tools:
• Conventions and trade shows
• Sales contests
Key Decisions When Developing the Sales Promotion Program:
• Size of the incentive

23
• Conditions for participation
• Promotion and distribution of the actual sales promotion
program
• Length of the promotional program
• Evaluation
• Surveys and experiments can be used
Advantages of sales promotions
• Motivation method for special efforts
• Short-term sales increase
• Defined target audience
• Defined role/objectives
• Indirect roles (e.g., wider distribution)
Disadvantages of sales promotions
• Only short-term
• Hidden costs
• Confusion
• Price cutting -Brand image
• Postponement effect
• Significant government regulation
• Lack of effectiveness sometimes (learning effect)
Promotion at different stages of the PLC
• Introduction – wise to use heavy promotion to induce trials and
promote brand franchise

• Growth – promotion should be limited ,if any

• Maturity – Higher promotions required since the brand is under


attack from competitors or product quality or advertising
effectiveness is tapering off

• Decline – Heavy promotions. Used only to retain a set of loyal


customers. Prior to withdrawal of the product, it could be used as a
one time stock clearance from the trade

Essential elements for an effective SP programme

• Significant value before promotion is effective


• Promotions must be part of an overall plan
• Every brand must have a promotion objective and a strategy
statement
• A written tactical plan – time frame, costs, evaluation yardsticks
• Factual knowledge must be gathered to plan
• Specialized professional skill and knowledge must be applied to every
promotion operations

23
Module V
PUBLICITY & PUBLIC RELATIONS
Public relation

Public Relations Involves Building Good Relations With the


Company’s Various Publics by Obtaining Favorable Publicity, Building Up a
Good Corporate Image, and Handling or Heading Off Unfavorable Rumors,
Stories, and Events.

• A tool designed to influence favourably attitudes towards an


organization, its products and policies.

• Public relations is often overlooked by management because of:

• Organization structure; not in marketing.


• Inadequate definitions; loosely defined.
• Unrecognized benefits; many non-believers.
• “The planned and sustained effort to establish and maintain goodwill
and mutual understanding between an organization and its publics”.
• Highly credible

23
• Many forms: news stories, news features, events and sponsorships,
etc.
• Reaches many prospects missed via other forms of promotion
 The UK’s Institute of Public Relations (IPR) has defined this
communication role as ‘the planned and sustained effort to establish
and maintain goodwill and mutual understanding between an
organisation and its publics’ (IPR 2003).
A

Share holders

Campaign
Bank
group

Government
Media department
organizations agencies
Organizati
ons

Local
Consumer communities

Employee
Suppliers
s

n organisation’s dialogue with its stakeholders


Successful PR

PR can only be successful if it addresses the following key principles:

 Senior management commitment is essential


 PR activity must be linked to strategic aims
 Organisations must understand and engage with its
publics
 PR strategies require plans, budgets and resources
 Feedback from PR activity should inform strategic
change

Reasons for Growth of Public Relations:

The growing popularity of the PR as a profession can be attributed to


several reasons:

23
Growth in corporates :

Businesses are growing bigger today. Big corporates are in the


forefront. Thus arise many complexities. With it comes, the need to tackle
several problems, manage reputation and effective communication,
managing target audiences at all levels including employees. The need for
PR thus arises.

Internal communication:

Regular communication with employees is important today. In fact is


a must. Keeping employees informed, abreast of what is happening in an
organisation is important in order to keep them motivated, give them a
sense of belonging and consequently ensuring greater productivity. This is
a need fulfilled by PR.

Globalisation:
Globalisation is a process of integration and unification of the world
into one giant market. Globalisation is often used to refer to economic
globalization, that is, integration of national economies into the
international economy through trade, foreign direct investment, capital
flows, migration, and the spread of technology. To achieve this,
communication and Public Relations plays a vital part.

Growth of media:

With the burgeoning growth of media in the last decade or so, the
number of tools or mediums available to express or communicate has
increased tenfold. Public Relations thus finds effective means to
communicate through the growth of new media.

Benefits & Scope of Public Relations:

No matter how good you are, if you don’t communicate with your
target audiences, you will lose out to competitors who are using public
relations more aggressively and effectively to ensure communication.

23
Every organisation can benefit from PR. If you don’t manage the
information by which people form their opinions, their views of your
company will be based solely on what they hear from other sources. You
cannot quantify what you lose if you don’t use PR, but companies which
use it can see the benefits.
Quite simply, PR can help in building a positive image and thus helps
to minimise damage when something goes wrong. It helps to manage the
information by which people form their opinions.
There can be no quicker way of reaching your target audience than
through PR. PR helps to maintain communications with your most
important business audiences. It is cost-effective and credible. Please
remember, PR takes time. It is not an overnight process. It is an on-going
endeavour.
The scope of PR today is far - reaching and encompasses several
industries and sectors. Social and religious leaders, politicians,
entrepreneurs, industrialists are all closely associated with the PR process
at some point or the other.

Public Relations Functions


• Press Relations
• Product Publicity
• Public Affairs
• Lobbying
• Investor Relations
• Development

PR activities and communication channels

 Corporate brochures
 Sponsorship
 Lobbying
 Internal communication
 News releases
 Exhibitions and events
Public Relations Tools
• News

23
• Speeches
• Corporate Identity Materials
• Mobile Marketing
• Special Events
• Written Materials
• Audiovisual Materials
• Public Service Activities
Public
1. Financial Community
2. Suppliers
3. Citizen Action Group
4. Customers
5. Government
6. Media
7. Local Publics - Community
a. Local Area Marketing
8. General Public
a. Corporate Citizen
9. Internal Publics
a. Employees
b. Board of Directors
c. Stockholders

Major Activities of PR Departments


• Press Relations
• Product Publicity
• Corporate Communication
• Lobbying
• Counseling

Role and Impact of Public Relations

 Advantages:
• Strong impact on public awareness at lower cost than
advertising
• Greater credibility than advertising
 Publicity is often underused
 Good public relations can be a powerful brand-building tool
Public Relations Involves Building Good Relations With the Company’s
Various Publics by Obtaining Favorable Publicity, Building Up a Good
Corporate Image, and Handling or Heading Off Unfavorable Rumors,
Stories, and Events.
Publicity

23
It is a form of public relations that includes any communication about
an organization or its products that is presented by the media but is not
paid for by the organization.

Basic Principles of Publicity


1. CREATIVITY.
Put creativity into your publicity! You can generate more enthusiasm
and interest by using unique, fresh, and clever methods of promotion.
Developing gimmicks or logos, utilizing pictures and unusual shapes are
all ways in which publicity can be made more attractive.

2. VARIETY.
If no one type of publicity reaches the entire audience, you must use
more than one. More than one medium can also reinforce and intensify
your message. Use a variety of techniques that work well together and
complement each other.
3. QUANTITY.
An advertisement must be seen or heard several times before it has
any impact. The more often it is seen or heard, the greater the
retention of your message. Thus, you can magnify the impact of your
publicity by increasing the frequency with which it is seen or heard.
4. VISIBILITY.
Since the frequency with which publicity is seen or heard is crucial to
its effectiveness, it makes sense to place your publicity in locations that
have high visibility. Areas with the greatest traffic patterns usually have
the highest visibility. Good locations include: mailbox areas, cafeteria
walls, bathrooms and bathroom stalls, under or on room doors, bulletin
boards, etc.

5. LEGIBILITY.
How often an advertisement is seen will have little impact if what is
seen is not legible. The greater the legibility, the greater the chances
that an individual will read all of the information. Greater legibility is
ensured by using lower case lettering rather than uppercase. Capitals
may be used for emphasis; but to be effective, emphasis must be used
sparingly.

6. UNDERSTANDABILITY.
Even if your message is readable or can be heard well, it must be
understandable to get the message across. You can make your publicity
more understandable and more effective by incorporating the following
points:
 Be concise and clear.
 Avoid excess verbiage.
 Use terminology that the target audience would understand.

7. ADVANCE NOTICE.

23
Publicize well enough in advance. If publicity goes out too late, it
does not give people enough time to plan to attend an activity. For
optimum exposure, publicity should be out at least one week before
your activity is scheduled to take place; however, you may want to issue
additional publicity pieces as the event approaches.

Types of Publicity
• Inexpensive Publicity Techniques

POSTERS: The essential purpose of a poster is the rapid telling of a single


message using a limited number of elements. Posters are viewed more
rapidly than are other methods of advertisement; hence, their message
must be strong, simple, and brief.

FLYERS: A smaller version of the poster is the flyer. They are usually made
on 8 ½” x 11 or 8 ½” x 14 paper. An advantage is that they can be
reproduced easily at minimal cost.

TABLE: Table tents should be made of a thick or heavy grade of paper


that will stand firm.

TENTS: Table tents can be placed in visible locations including the lounge,
lobby, dining hall, and on desk tops.

TICKETS & You can purchase printed tickets or make your own. Free
tickets, like invitations, COUPONS can be placed in mailboxes, handed out
or slipped under doors. The coupon might entitle the person to a discount
admission price or a free drink. Coupons can be included on flyers or on
printed schedules, and this may prevent your advertisement from falling
victim to the trash can.

CALENDAR: A large calendar of activities located in a central location is a


particularly effective technique. Students will have at least one
consistently identifiable source for information on activities. Also, smaller
calendars of activities can be copied or mimeographed and put into
mailboxes.

BALLOONS: You can write a message on the balloon or put the message
on a piece of paper inside the balloon. Balloons can be tied with string to
student’s door knobs, handed out at the entrance of the building, or
handed out in dining hall lines.

TELEPHONE PYRAMID:: A quick way to get word out on activities or


meetings is to identify a number of people, five for example, who would
call five other people. The five people would then be responsible for calling
five other people, and so on, and so on.

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BANNERS: A large extension of the poster, these can be hung outside
your residence hall or in your main lobby. A bed sheet or old shower
curtain will make a good size banner.

WORD OF MOUTH: And of course, there is the time-honored word-of-mouth


technique. This is perhaps the oldest, yet most effective way to get the
word out. Go door to door and personally inform people of the activity; and
remind them frequently, so that they don’t forget.

OTHER PUBLICITY TECHNIQUES


• Networking sites
• Mass e-mails
• Bags
• Bookmarks
• Bull Horns
• Bumper Stickers
• Computer Letters
• Door Hanger
• Door Prizes
• Footprints Fortune
• Cookies Free
• Tickets to events
• Lawn Signs
• Logos
• Painted Windows
• Audix Message
• Puzzle Pieces
• Sidewalk Chalk Writing
• Sneak Previews
• Stickers
• Teasers
• Bathroom stalls
• T-shirts
• Visors
• Mirror Signs
• Lollipops with messages
• Balloons

• Post Cards

Strengths of Publicity

• Can announce new products, recognize employees, report good


results, breakthroughs.

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• Key Benefits:

• Lower cost than advertising or personal selling.


• Increased readership; advertising ignored often.
• More information.
• Timeliness.

Weaknesses of Publicity
• Some loss of control over message.
• Limited exposure; only happens once.
• Not free; preparation costs.

Planning a news release

A news release:

A statement, often about the launch of a new product, service or event


used by an organisation to brief media journalists and encourage them to
write articles on the subject.

Unlike news articles, press releases are biased towards the perspective of
the organisation.

Typical format for a news release

The message content demonstrates a number of ‘good practice’ features,


including:

 the provision of relevant facts, addressing the six


fundamental news questions (i.e. who? what? when? where? why?
how?);

 placing the most important facts at the beginning;

 presenting the information in a clear and simple format;

 providing relevant contact details

PERSONAL SELLING

Scope And Significance Of Personal Selling

Personal selling is a useful vehicle for communicating with present


and

Potential buyers.

A. Nature of personal selling and sales management

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Personal selling involves the two-way flow of communication
between a buyer and seller, often in a face to face encounter,
designed to influence a person’s or group’s purchase decision.

• personal selling occurs by telephone, through video


teleconferencing,
and the internet between buyers and sellers

• Sales management involves planning the selling program and


implementing and controlling the personal selling effort of the firm.

• The tasks involved in managing personal selling include:


1) setting objectives;
2) organizing the salesforce;
3) recruiting, selecting, training and compensating salespeople; and
4) evaluating the performance of individual salespeople.

B. Selling Happens Almost Everywhere

Almost 16 million people hold sales positions in the U.S. according to


the Bureau of Labor Statistics.

• Virtually every occupation that involves customer contact has an


element of personal selling
• About 20 percent of the chief executive officers for the largest
U.S. corporations have significant sales and marketing experience in
their work history.
C. Personal Selling in Marketing

Salespeople match company interests with customer needs to satisfy


both parties in the exchange process

• Salespeople represent what the company is or attempts to be and


are
often the only personal contact a customer has with the firm
• Personal selling may play a dominant role in a firm’s marketing
program
D. Creating Customer Value through Salespeople: Relationship
Selling

Salespeople can create customer value in many ways:

a. identifying creative solutions to customer problems


b. easing the customer buying process
c. following through after the sale
Relationship selling is the practice of building ties to customers
a. Involves mutual respect and trust among buyers and sellers
b. Focuses on creating long-term customers, not one-time sales
c. Emphasizes the importance of learning about customer needs and
wants.

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The Many Forms of Personal selling

Personal selling assumes many forms based on the amount of selling


done and the amount of creativity required to perform the sales task.

A. Order taking
An order taker processes routine orders or reorders for products that
were already sold by the company and is responsible for preserving the
ongoing relationship with existing customers. Two types exist:

1. Outside order taker - visits customers and replenishes inventory

2. Inside order takers - salesclerks - answer questions, take orders


and complete transactions with customers.

B. Order getting
An order getter sells in a conventional sense and identifies
prospective customers, provides customers with information, persuades
customers to buy, closes sales, and follows up on customers use of a
product or service.

• Order getters can be inside or outside


• Order getting is time consuming - most reps work 50 + hours a
week
• Order getting is expensive. A single field sales call costs about
$350, factoring in salespeople’s compensation, benefits, and travel
Expenses.

Personal Selling Process


The personal selling process consists of six stages:

1) prospecting;
2) preapproach;
3) approach;
4) presentation;
5)close and
6) follow-up.
1. Prospecting - the search for and qualification of potential customers
2. Preapproach -the stage that involves obtaining further information on
the prospect and deciding the best method of approach.

3. Approach - the initial meeting between the salesperson and the


prospect

4. Presentation - its objective is to convert a prospect into customer by


creating a desire for the product or service

5. Close - obtain a purchase commitment from the prospect

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6. Follow-up - includes making certain the customer’s purchase has been
properly delivered and installed and any difficulties are addressed.

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