advertising budget setting, pros and cons of
TRANSCRIPT
Advertising budget Advertising budget setting, setting,
Pros and Cons of various Pros and Cons of various mediamedia
Group Members Jinesh Gada -
18Kailash Gaokar -
19Devendra Jadhav -
21Debopam Saha -
45Prasad Kulkarni -
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What is Advertising ?What is Advertising ? any paid form of non-personal
presentation and promotional of ideas, goods, or services by an identified sponsor using mass media.
Who advertises?◦ products◦ Brands◦ celebrities◦ Governments◦ Non-profits
What is Media ?What is Media ?Media are the agencies, means or
instruments used to convey messagesMass media refers collectively to
all media technologies, including the Internet, television, newspapers, and radio, which are used for mass communications, and to the organizations which control these technologies
Media Planning?Media Planning? To Whom?
◦ Demographics? Psychographics? ◦ Where do their emotions lie (intangible benefits)? ◦ What will “pull the trigger”?
Achieve What? (Objectives)◦ Awareness? Trial? Educate? Persuasion? Switching?
What? ◦ What are we trying to convey? (Quality, Price, Place)
Which Channel?◦ TV? Radio? Magazine? Billboard? Internet?◦ Driven by target audiences, objectives and budgets.
Key Advertising DecisionsKey Advertising DecisionsSetting objectivesSetting the budgetDeveloping the advertising
strategyEvaluating advertising
campaigns
Advertising BudgetAdvertising BudgetAdvertising budgets are the
means of determining and controlling this expense and dividing it wisely among departments, lines or services.
Advertising budget will help you choose and assess the amount of advertising and its timing.
It will also serve as the background for next year's plan.
How to Calculate Ad How to Calculate Ad Budget ???Budget ???
Methods
◦Percentage of Sales or Profits
◦Unit of Sales
◦Objective and Task
Advertising MediaAdvertising MediaPrint Media
◦Newspaper◦Magazines
Place Media◦Billboards◦Transit
Broadcast Media◦Television◦Radio
Narrowcast MediaDirect
marketingTelemarketi
ngDirect mailInteractive
media (The Internet)
Newspaper Advertising: Newspaper Advertising: AdvantagesAdvantages High reach. High geographic concentration. Good frequency. Tangibility. Short lead times (flexibility). Relatively low cost. Ability to communicate detailed
information. Ability to place in most appropriate
location. Ability to schedule to exploit day-of-week
factors.
Newspaper Advertising: Newspaper Advertising: DisadvantagesDisadvantages High waste factor and inability to
target. Limitations on creative format. Relatively poor reproduction quality. Clutter. Short life span. High cost of national coverage.
Magazine Advertising: Magazine Advertising: AdvantagesAdvantages Tangibility. High audience selectivity. Good reproduction quality. Long life span and good pass-along
rate. Prestige and credibility. Ability to communicate detailed
information.
Magazine Advertising: Magazine Advertising: DisadvantagesDisadvantages Limitations on creative format. Clutter. Low reach. Low frequency. Long lead times. Relatively expensive. Difficulties in geographic targeting. Inability to schedule to exploit day-of-
week factors.
Advantages of BillboardsAdvantages of BillboardsHigh frequencyGeographic flexibilityLow cost per exposureGood coverage mediumLocalized support mediumLow involvement products
Disadvantages of Disadvantages of BillboardsBillboardsFleeting messageLimited informationLong lead timesLocation unavailabilityVisual pollution
Advantages of TransitAdvantages of TransitCaptive audienceLow costSupports mass transit systems
TransitTransit
Disadvantages of TransitDisadvantages of TransitLack of statusCluttered environmentLimited information potential
Television Advertising: Television Advertising: AdvantagesAdvantages Potentially high reach. High persuasive impact. Availability of uniform national
coverage. Exploits day-of-week and time-of-day
factors. Some geographic and demographic
selectivity.
Television Advertising: Television Advertising: LimitationsLimitations High total cost. Short life span. Inability to transmit detailed
information. Clutter. Relatively high waste factor.
Radio Advertising: Radio Advertising: AdvantagesAdvantages Relatively low cost. Audience selectivity. High frequency. Short lead times (flexibility). Exploits time-of-day and day-of-week factors.
Radio Advertising: Radio Advertising: DisadvantagesDisadvantages No visual communications. Can’t transmit complex messages or
detailed information. Short life span. Clutter. Shared attention.
Direct Marketing : AdvantagesDirect Marketing : Advantages
Audience selectivity. Highly flexible. Relatively uncluttered. High level of personalization. Ability to measure response. Tangibility. Low minimum cost. Short lead times.
Direct Marketing : Direct Marketing : DisadvantagesDisadvantages “Junk mail” syndrome and high
discard rate. Relatively high total cost. Limitations on creative format.
Interactive Media: Interactive Media: AdvantagesAdvantages Cost effectiveness. Easy to modify. Interactive content. International reach. Expanding market. Constant availability. Ease of traffic measurement.
(Internet(Internet))
Interactive Media: Interactive Media: DisadvantagesDisadvantages Privacy concerns. Partial market coverage. Navigation problems. Loss of control.
(Internet(Internet))
Miscellaneous AdvertisingMiscellaneous AdvertisingMOVIE TRAILERS
◦ Controlled by motion picture companies and distributors, not theaters
Blimps and PlanesEvents and SponsorshipsSMS AdvertisingTicket backsOOH media