The structure of the market

THE Rich
VERYclass
RICH A huge base
1.2 million HHs
6 mn people THE CONSUMING CLASS

The dire ction of change

32.5 million HHs
150 mn people THE CLIMBERS

54.1 million HHs

275 mn people
THE ASPIRANTS

44 million HHs
275 mn people
THE DESTITUTE

33 million HHs
Source:
210 mnNCAER
people
 Relationships: - The
Communications Objective
Marketing Loyalty Consumption
Activity Building Building

Marketing Repeat
Objective (1) Consumption
Purchase

Marketing Frequency Frequency

Objective (2) Purchase Purchase

Brand Key
Communication
Values Benefit
Objective (1)

Key Brand
Communication Benefit Values
Objective (2)
 Relationships: - The
Communications Objective
Marketing Major Active
Launch
Activity Relaunch Defense

Marketing Penetration+ Repeat

Objective (1) Penetration
(Trial) Purchase

Marketing Repeat Repeat

Consumption
Objective (2) Purchase Purchase

Communication Brand Brand Key

Objective (1) Awareness Awareness Benefit

Communication Key Key Brand

Objective (2) Benefit Benefit Values
 Strategic Media Planning

Target Audience

Scheduling
Target Market

Media Strategy

Media Plan
Development Media Weight
Media
Environment
Consideration
TRADITIONAL ADVERTISING
VS
MODERN ADVERTISING
 TRADITONAL

ASSUMES THE TEMPERAMENT OF

THE TARGET
AUDIENCE
.AD CAMPAIGN & LAUNCH IS PURELY
DONE ON THESE ASSUMPTIONS.
whole motive of presenting the audience
with an ad comes from the hypothesis
based on preceding data.
• MODERN
The new media Interactive advertising, on the
other hand, as the term quite aptly suggests is
interactive.
the method employed to promote the
product/service is via communicating with the
concerned audience

Customers feel appreciated as their issues are

addressed personally and they can opine their
views as well
Strategic Media Planning

right people
right place
right time
often enough
under suitable environment

to create the desired response

 Types of Advertisements

Consumer advertising
Emotional advertising
Business &
professional
advertising.
Non-product
advertising.
Consumer Advertisement

Such kind of advertisements use

rational appeal .
These are basically directed
towards consumers.
 kawasaki, bajaj caliber vim bar
etc. are examples of consumer
advertising.
Video for ref
 Emotional Advertising

Focus on emotionally
motivating the consumers.

They emotionally appeal the

consumers.

Examples : LIC policies,

Cadbury celebrations etc.
Advertisement to business or
profession
This type advertisement is
aimed at reseller and professionals.
The objective of the corporate or
institutional ads may be to
establish or boost corporate
identity or image.
The recent aditya birla group
campaign would fit into this cateogry.
Non product advertisement
This type of advertisement
depicts an idea primarily a
social cause

Example : advertisements
pertaining to child marriage,
indirect taxes etc.

.
 Media windows
(% reach-Rural, Urban)

Television (79)
Television(79)
Terrestrial Satellite
(58)
Print(58)
Print (35) (70) (20) (57)

Radio(19) AIR Foreign

Outdoor
Outdoor(10)
PC VB FM (4) (1)
Cinema (18) Cable Direct Internet

others
Others Cassettes Rural CD ROM
 Radio ~ Strengths
 Does not require  Good complement to TV
lengthy lead time and because it reaches
allows quick copy lighter TV viewers and
changes. maintains usage levels
during summer months.
 Plethora of local
 Local personalities can
station merchandising
be used to enhance
opportunities.
credibility and break
 Flexible scheduling. through clutter.
 Low production costs.

5
 Television ~ Strengths
 Strong impact through
combined elements for sight,
sound, motion, color, ability to
demonstrate. Unsurpassed
for building high, fast
awareness.
 Reach mass audience at
efficient cost.
 Can deliver enormous reach at
any given moment. Average
tune-in levels range from 23%
of households at 9:00 AM to
peak of 63% at 9:00 PM.
 Very merchandisable to
sales force and trade.
 Can use cable or lower-rated
day parts as frequency
medium.
 Immediate audience
feedback (overnight ratings
for network and metered
local markets).
 Flexible - can be bought
nationally or in individual
markets. Also flexible in
scheduling (time and day).
2
 Magazines ~ Strengths
Some magazines deliver Possible to select
large audiences with a magazines with editorial
single insertion. content to provide
complementary and/or
Other magazines provide
prestigious environment for
demographic selectivity. product’s ads.
Good cost efficiencies, Geographic flexibility
especially for upscale and through regional or
female targets. metropolitan editions and
demographic targeting
through demographic
editions (at premium costs).
7
 Newspaper ~ Strengths
 High degree of local household
penetration. 60% of adults
read newspaper each day.
 Geographic flexibility, can be
purchased market by market.
Some papers allow purchase
of geographic segments of
market.
 Fast reach, immediacy.
 Merchandise to local trade, co-
op opportunities, local retail
support.
 Can convey long or
detailed copy.
 “Shopping” environment,
due to retail advertising.
 Natural medium for
newsworthy advertising.
 Good frequency medium.
 Special interest targeting
through sections (e.g.
women’s sports) and
papers (e.g. college,
ethnic).
11
 In-Store ~ Strengths
 Provide point-of-  Very efficient.
purchase product  Location specific.
awareness, with
potential to distribute
coupons/ recipes
and/or to create
linkage with related
products.

16
Place-based Media ~ Strengths
 Enhanced selectivity  Potential to ad value
on the basis of with merchandising,
demographic, sampling, etc.
activities or interests -relationship
(e.g., health clubs, marketing.
veterinarian’s offices,  Copy can be
doctor’s offices, ski designed to speak to
slopes). specific consumers.

18
 Outdoor/Transit ~ Strengths
 Large, colorful billboards  Good opportunity for
with striking images and product/package ID.
brief slogans get noticed,
 Excellent reminder
can be illuminated or
animated. medium supporting other
 Strong local market vehicles.
presence with broad  24-hour exposure.
reach and high frequency  Point of purchase
potential. capability.
 Geographically  Good cost efficiencies.
targetable. Market to
market flexibility.

13
Marketers response:
increased a:s
Corp a:s 9899 a:s9697 % Change
HLL 6.5 3.8 71.1
ITC 2.6 2.9 -10.3
CP 16.4 10.8 51.9
V'con 4.3 6.3 -31.7
Nestle 6.8 5.5 23.6
BPL 3 3.8 -21.1
Bajaj 1.7 1.6 6.2
GPI 6.2 5.7 8.8
Indexport 19.9 30.5 -34.8
Dabur 12.4 7.4 67.6
BIL 5.6 3.5 60.0
WP 4.9 3 63.3
Marico 7.1 5.9 20.3
P&G 6.4 6.4 0.0
Avg 7.4 6.9 6.9
Top advertised categories
1999 2000
Cosmetics/toiletries 3186 3597
consumer elec 2651 2675
Tobacco 2333 3143
Drugs 1597 2012
2/3 wheelers 1314 1868
Acs/ref 1173
Trading 1153
4 wheelers 937 1059
Vegetable oils 751
Dairy products 1440
Tea/coffee 1110
tyre/tube 1106
Clutter on staple channels-1 minute out of
every 4 minutes of TV time is an ad break
16 7
Star Starbr Zee Zeebr Sonybr Sony
14 6
12
5

Adbreak TVR
10
Prog TVR

4
8
3
6
2
4

2 1

0 0
Min 13

Min 17

Min 21

Min 25

Min 29

Min 33

Min 37

Min 41

Min 45

Min 49

Min 53

Min 57
Min 1

Min 5

Min 9
Media consumerism
• Dedicated sub brands in mainline
newspapers on fashion, films, shopping
– drivers of circulation
– drivers of audience loyalty programmers
• Growth of tabloid journalism
– beauty pea gent is a FrontPage headline vs
national calamities in leading newspapers
• Dedicated fashion channel on TV
• VJs are role models & not academicians

“Advertising is a known career option”