Unit 1 – QBA

Course Name: Advertising & Sales Promotion

Module I: ADVERTISING

Q 1. Explain in brief Nature Advertising

Ans: Advertising is the dispersal of information related to an idea, product or service to

induce, motivate action according to the intention of the advertiser. It is a type of non- personal
communication, paid by the sponsor, very often a manufacturer or a trader, to inform the
present and prospective customers about its product. Sometimes the sponsor can be a
Government agency who advertises for the public to look after the public interest and welfare.
The entire presentation made verbally or visually in print or broadcast through a demo in one or
more mediums is called an ―Advertisement‖. Advertisement is inclusive of all, the message,
slogan, and all those activities that enhance the image of message (for example: action, copy
design, color and contrast used) that reaches and is well understood by the target group. Such
an advertisement creates and builds an image so that the viewer or listener gets interested in it,
his interest gets transformed into a desire, and then finally, his interest changes into
action,sales/consumption.

NATURE OF ADVERTISING

The various definitions of advertising given reveal the following nature of advertising:

Communication: The main purpose of advertising is communication, with the target audience-
existing and prospective customers together with the society at large. Thisis

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 achieved by dissemination of information in the form of message(s) through various mediums
to the target audience in an effectiveway.

Paid form of communication: Advertiser purchases space and time on various Advertising
mediums such as in newspapers, magazines, television, and Internet websites to
communicate information to the prospectiveusers.

Non-personal form of information: There is an absence of personal contact between the

advertiser and the target user as there is no direct face-to-face contact. It complements the job
of a personal seller as it creates awareness in the minds of potential customers. It is not for a
specific user but common for all.

Identified sponsor: The advertisement is created, in the modern times not by an individual
person or department in the same company that manufactures the product or service for sale.
It is a company rather as ad-agency who creates an advertisement for an identified individual
or a firm who pays for the advertisement referred to as sponsor. The product so advertised
gets a good market when it is associated with a reputed company. It also makes an
advertisement authentic.

Objective of promotion: The advertisement is done with an objective of promotion of ideas,

goods and/or services.

One or more mediums: One or more mediums can be used simultaneously for the same
advertisement. It can appear at the same point of time in the print media like books, brochures,
newspapers and magazines; it can also be broadcasted in T.V., radio cinema and using other
promotional tools as well. And as a result it can be in the form of visuals or oral messages.

Variety to consumers: Advertising provides the customer a wide range of products to choose
from and make an informed choice. It increases the knowledge group of user relating to
various products available in a specific product line.

Increase in sales and profitability: Advertisement has a wide reach at relatively lower cost to
the producer, resulting in high sales and profitability to the seller.

Q. 2. What is a scope of Advertising

Ans : The scope of Advertising has increased many-fold in past decade due to the
intensified competition from both domestic and international sellers. In the age of technology,
products are launched at fast pace and providing information to users at such a speed has
further increased the importance ofadvertising.

Introducing new products: Advertising helps business units to introduce itself and its
products to the potential customers easily and in less time. People have more trust on firm

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who advertise their products as it increase authenticity of the firm in eyes of public.

Increase Demand for products: It helps to increase the demand for the existing product in
current market and attracting new markets. It also helps in attracting new customers in
international markets

Competition:Helps business enterprises to fight competition from domestic as well as to

international companies. Continuous innovative advertising by firms helps in keeping the
product in the minds of the customers and increase sale of the product.

Economies of Scale: Heavy advertising increases the demand of product that leads to large-
scale production and thus decreases per unit of cost of production. This leads to economies of
scale for the firm.

Good public image: Advertising enables a firm to create a good public image by
communicating its achievements through advertisements. This satisfies the uncertainty in
minds of the people and increases the goodwill and reputation of firm in market.

Increase standard of living: Advertising increases the knowledge of people about variety and
quality of goods available in market, which increases the standard of living ofpeople.

Research and Development: Advertising makes it necessary for the firm to indulge in
research and development of products to provide better quality products to consumers.
Research helps firm to continuously differentiate its products from other manufacturer‘s
product and helps in fighting competition.

Educates People: It educates people about the new products available in the market and the
various uses of the existing product. It helps widening the knowledge of people about a
product utility. Advertising has helped people to adopt environment friendly habits and give up
old habits. It, thus, helps to increase the standard of living of people.

Develops the Society: Advertisements bring in social and cultural change and help the
society to rejuvenate it, adopt new norms and thinking.

Sustains Press and Media: Advertising support press and media houses by being an
important source of revenue for them. Advertisements appear in daily newspapers and
magazines that provide revenue to the publishing house and in turn people get the newspaper
and magazines at cheaper rates. It is also provides a source of revenue for television network
by running advertisements in between and after programs.

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Q. 3. Discuss Classification of Advertising

Advertising is the promotion of a company‘s products and services though different mediums
to increase the sales of the product and services. It works by making the customer aware of
the product and by focusing on customer‘s need to buy the product. Globally, advertising has
become an essential part of the corporate world. Therefore, companies allot a huge part of
their revenues to the advertising budget. Advertising also serves to build a brand of the
product which goes a long way to make effective sales.

CLASSIFICATION OF ADVERTISING

There are several classifications of advertising which can be used by the companies.
Let us discuss them in detail. It is classified under nine heads.

1. Productadvertising

A normal characteristic of advertising is to create primary demand for a product

category rather than for a specific brand. It is wrongly believed that product advertising must
stress on brand name. This is based on the feeling that a good image often enhances the
effectiveness of product advertising. However, in practice, most companies are successful in
building the product image by using the brand names (e.g., Dettol, Horlicks). In short, when
the company tries to sell its product or services through advertising it is referred to as product
advertising.

2. Institutionaladvertising

These advertisements are not always directed to consumers. Instead, it is aimed at

many of the various types of public (shareholders, creditors, etc.). It is not product oriented but
is rather designed to enhance the image of the company.

3. Primary demandadvertising

It is intended to stimulate primary demand for a new product or product category. It is

heavily utilized during the introduction stages of the life cycle of the product.

4. Selective or competitiveadvertising

When a product enters the growth stage of its life cycle, and when competition begins,
advertising emerges and becomes selective. Here, the goal of advertising is to increase the
demand for a specific product or service. Advertising may begin to stress subtle difference in
brands, with heavy emphasis on 'brand name recall'. Pricing also will be used as a key

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 promotional weapon as products become verysimilar.

5. Comparativeadvertising

This is a highly controversial trend in today's competitive market. Such types of

advertising play a decisive role on comparative features of two or more specific brands in
terms of product / service attributes. This method is adopted in the maturity stage when similar
products fast appear in the market causing stiff competition.

6. Co-operativeadvertising

When manufacturers, wholesalers and retailers jointly sponsor and share the
expenditure on advertising, it takes the form of co-operative advertising. Such advertising carry
the names of all the parties involved. From the customers' point of view this is beneficial, as
they can get the articles directly from the authorized outlets.

7. Commercialadvertising
It is also termed as business advertising. As the name suggests such advertising is
solely meant for effective increase in sales.

8. Non-commercialadvertising

These are usually published by charitable institutions preferably to solicit general and
financial help (such as collection of donation or sale of tickets).

9. Direct Action advertising

Advertising that stresses and persuades immediate buying of the product is known as
direct action advertising. Direct mail advertising is capable of achieving immediate action to a
large extent.

Q. 4. What are the types of Advertising

Ans : The various types of adverting are discussed bellow.

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Print Advertising

` The print media has been used for advertising since long. The newspapers and
magazines are quite popular modes of advertising for different companies all over the world.
Using the print media, the companies can also promote their products through brochures and
fliers. The newspaper and magazines sell the advertising space and the cost depends on
severalfactors.The quantity ofspace,thepageofthepublication,andthetypeofpaper

decide the cost of the advertisement. So advertising on the front page would be costlier than
on inside pages. Similarly advertising in the glossy supplement of the paper would be more
expensive than in a mediocre quality paper.

BroadcastAdvertising

This type of advertising is very popular all around the world. It consists of television,
radio, or Internet advertising. Advertising on the televisions have large audience and are very
popular. The cost of the advertisement depends on the length of the advertisement and the
time at which the advertisement would be appearing. For example, the prime time ads would
be more costly than the regular ones. Radio advertising is not what it used to be after the
advent of television and Internet, but still there is specific audience for the radio ads too. The
radio jingles are quite popular in sections of society and help to sell the products.

OutdoorAdvertising

Outdoor advertising makes use of different tools to gain customer‘s attention. The

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billboards, kiosks, and events and tradeshows are an effective way to convey the message of
the company. The billboards are present all around the city but the content should be such that
it attracts the attention of the customer. The kiosks are an easy outlet of the products and
serve as information outlets for the people too. Organizing events such as trade fairs and
exhibitions for promotion of the product or service also in a way advertises the product.
Therefore, outdoor advertising is an effective advertisingtool.

CovertAdvertising

This is a unique way of advertising in which the product or the message is subtly
included in a movie or TV serial. There is no actual Advertising, just the mention of the product
in the movie. For example, Tom Cruise used the Nokia phone in the movie Minority Report.

PublicServiceAdvertising

As evident from the title itself, such advertising is for the public causes. There are a
host of important matters such as AIDS, political integrity, energy conservation, illiteracy,
poverty and so on all of which need more awareness as far as general public is
concerned.This type of advertising has gained much importance in recent times and is an
effective tool to convey the message.

Q, 5. What is a Role of Advertising in India’s Economic Development

Ans :

Advertising is an expression and part of an economic system. Each economic system has an
interesting relationship with the social system, political system and cultural value. Whatever be
the character of the economic system, there are three basic features which are common to all
are

 Determination of goods and services and the quantities to be produced oroffered.

 Allocation of resources according to priorities of production-mainly land,
laborandcapital;
 Distribution of goods and services among individuals andgroups.

We are not concerned here about the relative importance of state intervention and
market determination of these three processes.

ROLE OF ADVERTISING IN ECONOMIC AND SOCIAL DEVELOPMENT

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 A peculiarity of the mass communication system is that advertising pays most of the
bills. All advertising contains both information and persuasion. It influence in the mass media
market place. The classified advertisements in the daily newspaper are almost pure
information. Their primary intention is to advise the readers of the availability of a product
telling where, when, and for how much. The audience either wants it or they don't. Actually
advertising is omnipresent and is basically persuasive in nature. It pays most of the bills. It
accounts for around two thirds of the revenue of the print-media and nearly all the revenue for
electronic media (Television and Radio). It has both marketing and communication. Advertising
is a message industry that plays a major role in shaping the content and operation of the mass
media. It plays an important role in our popular culture because it shapes and reflects our life
styles. It is one step ahead of other elements in our culture and is usually the first to reflect
social trends. Now the scenario is that the average adult is exposed to uncounted number of
advertisements each day. Advertising plays two following broad roles in the socio-economic
landscape of acountry:

 Economicroles
 Socialroles

Economic Role of Advertising

 Advertising performs an economic function for an advertiser, affect economic decision

of the audience and is an integral part of the whole economicsystem.
 Advertising stimulates demand, educate consumer about new product, policies,
programme services and organizations, increase competition and improve standard of
life-style by helping to bring new product to theconsumer.
 Advertising boosts the economy by helping to introduce new products faster and more
effectively to consumer by supporting to achieve the economies of scale faster and by
helping to remove the monopoly of theproduct.

Social Role of Advertising

 Advertising reflects society and society reflects advertising. At social level advertising
plays upon, derives from and contributes to the social texture of acountry.
 Various social changes are brought about or helped by advertising. Adult education,
family planning and pulse polio campaign are the examples of few successful social
advertising campaigns. It makes role models who can create societalchange.
 Advertising are efficient source of information for product quality, new material or

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 merchandise, new technology andcost.
 It reduces distribution costs, encourage competition and increases product quality
through brandidentity.
 It supports mass media to maintain independence from government, political parties
and other special interestgroups.

Q. 6. How Advertising play a negative role in the society

Ans:

Objectionable and in bad taste – Some critics feel that advertising is objectionable because
the creative effort behind it is not in good taste. Intrusive, repetitive, unreal, offensive and
depressing are some of its unpleasant features.

Excessive fear appeal – The fear appeal in advertising creates anxiety that is supposed to be
subsidized by an available product. Such appeals may create emotional disturbances in some
audience members. Products like fairness cream, insurance or a germ killing toothpaste all
tries to play with the fear factor.

Intrusiveness – An advertisement campaign moves with repetition from a period of

effectiveness to acceptance, to a period of irritation.

Manipulation – Advertisements have the raw power to manipulate consumers. Many

companies have the capacity to obtain large numbers of advertisement exposures, which is
not good for healthy competition.

Effects on Values and Life-Style

Advertising receives wide exposure as it is disseminated through mass media. It has

an effects on what people buy and thus on their activities. It is a persuasive vehicle which has
an impact on the values and life-style of society. The impact of advertising has its negative as
well as positive side.

The relationship of advertising to materialism – Advertising creates or fosters materialism.

Materialism is defined as the tendency to give undue importance to material interests. People
buy high-end luxury products for social status. It reflects changing values and attitudes that are
created by more significant sociologicalforces.

Advertising plays role in creating harmful stereotypes of women and ethnic minorities.

Contribution of advertising in promoting harmful products – The harmful products like

tobacco, alcohol are promoted through surrogate advertising.

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Q 7. Explain in brief about Industrial Advertising

Ans : The most popular terminology used for industrial advertising is Business to Business
advertising. This type of advertising generally includes a company advertising its products or
services for the companies which actually uses same or similar products or services or we can
say that the advertising company should produce the products which the other company
needs for its productions or functions. For e.g. some mineral water companies which work on
a smaller scale outsource the packaging bottles, the caps for bottles, the cover with name
printed on it, etc. So for this, the advertisements of the manufacturers of bottles, caps and
outer packaging paper can work.

A smaller to smaller and largest of all, every company has to do industrial advertising.
For e.g. if a company is making coffee powder, it will sell its powder to the distributors who in
turn will sale it to the retailers and wholesalers and also to the big companies who has a coffee
machine for their employees. Thus companies manufacturing any products can be advertised
to the other companies, like raw materials, the machineries used by other companies, spare
parts of the machines which makes it work,anything.

Role of Industrial Advertising

 It minimizes the hunt forbuyers.

 It helps in increasing sales of thecompany.
 It helps in making more and more distributionchannels.
 It makes company work more efficiently to produce the desired product orservice.
 It creates awareness among the customers or other companies about the products and
services.

Process of Industrial Advertising:

` The strategies used in industrial advertising differ from company to company, as different
companies have different products to be advertised. So, a single rule cannot work for all the
companies‘advertisements.

The basic process which can lead to a successful advertisement is:

 Knowing the objective foradvertising
 Identifying the targetcompanies
 Researching about the market conditions and thecompetitors

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  Creating the ad to bedelivered
 Selecting media to beused
 What should be the budget allotted- execution of theadvertisement
 Getting the feedbacks from thecustomers

Media types in Industrial Advertising

` The media generally used in the industrial advertising is print media and direct
marketing.

Print Media

Print Media includes business magazines, trade publications, newspapers, technical

journals, etc. To make print media work efficiently, there are some do‘s and don‘ts to be kept
in mind:

 Visual image of the ad should be very sharp andprominent

 The ad should be so impressive that readers get attracted towards readingit
 The highlight should be on the service or product offered and not the source by which it
is beingoffered
 The ad be simple to be read (with no difficultfonts)
 The picture shown should not be irrelevant with theproduct.
 The ad should reflect the company‘simage.
 The ad should to be in logical sequence if it is of two or morepages.
 Headlines should be catchy and suiting the productimage.
 And lastly, at the bottom of the page, the company name, address and phone number
of the respected office should be mentioned clearly withoutfail.

Direct Marketing:

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 Direct Marketing includes

1. Direct Mail – here, the newsletters, data sheets, and the brochures of the company
are directly mailed to the customers‘ postaladdress.
2. Telephonic Advertising - the advertising is done by calling up the customers on their
telephones, giving messages on mobile phones,etc.
3. Online Advertising - includes companies sending e-mails to the customers or other
companies enclosing information about their products and services, putting online
banners, providing e-shopping options,etc.

The advertisers also use other ways for promoting their products like participating in
trade shows, trade expos, and fairs. Thus, the companies can use any or every type of
advertising, the important motto being increase in sales, producing best quality products,
maintaining good relations with the customers, and achieving the desired goal.

Q. 8 What is Rural Advertising

Ans : Come with us to the fields, or go with our brothers to the sea and cast your net. Forthe
land and the sea would be bountiful to you even as to us‖- Kahlil Gibran. The footfalls inthe
villages are getting louder and louder as companies scramble to woo the rural
consumers.Villages are no longer an abstraction, but fashionable in marketing terms.
Fromtalkingendlessly about potential growth, companies are now actively cultivating the rural
markets.Consider the market; out of five lakhs villages in India only onelakh have
beentappedsofar. What has made the rural consumers so attractive to companies now? After
all,the122-million village households were not created overnight. The answer is simple.
Theurban market is getting saturated while villagers are flush with 'disposable income' thanks
tobountiful harvests in the last four years. It is this income that the companies are raring to
cash in on. The estimate speaks of the potential volume of business that can be generated in
rural Indian markets.

Rural Advertising Analysis shows that advertising is used for numerous purposes. It
also shows that many companies have not given adequate thought to the question of exactly
what they are trying to accomplish with their advertising. Retail stores frequently use
advertising to bringing customers to the place where goods are sold.

The main objective of this Rural and Village advertising campaign was to help local
distributors generate leads and to increase incoming presence at their showroom. The

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attractive display of merchandise ensured that attention was drawn towards the brand. Further
to this display, promoting staff provided relevant information about the brand to interested
consumers. Leaflets carrying main information about the brand were distributedand played a
role in creating awareness about thebrand

The store usually hopes to sell substantial quantities of the merchandise advertised;
but more important, it hopes to get customers into the stores so that they will buy other types
of merchandise and will develop habit of coming to that establishment for their subsequent
requirements. Department stores use advertising in a similar manner. Those stores that
feature price appeal undertake extensive advertising of "economy day", "president's birthday",
and pre-season or post-season sales. Stores desiring to use a prestige appeal may have the
author of a popular book give a lecture or secure designers of furniture, dinnerware, or clothing
to talk about these particular products. A number of stores provide space for local art exhibits
or a showing of crown jewels; a pair of unusual and very expensive fur pelts or the elaborate
doll houses of a well-known T. V. actress may be featured for the purpose of attracting
customers to the store. The point is well illustrated by a story told of two keen partners
operating a store located in very low-income neighborhood. Upon observing that large number
of customers was patronizing their near- by competitors, they set up a table filled with small
articles, such as pickle forks, saltshakers, and cigarette holders. This table was placed near
the front door where everyone entering or going out of the store would pass it.

Nogreatmarketingdecisionshaveeverbeenmadeonquantitativedata‖-JohnScully. In India,
rural advertising is increasingly evident throughout the countryside. The majority of
advertisements and hoardings are for fertilizers, hybrid seeds, diesel pumps and pesticides,
not to mention the message of family planning. Therefore advertising in the Indian rural
context must be seen as consisting of techniques for improving economic mobility within the
country. The emergence of an active cash economy is bound to create a strong rural demand
and promote rural consumption. The traditional growth and dominance of urban industrial
centers is undergoing rapid changes. A more equitable distribution in rural areas would also
help in slowing down the rapidly increasing influx of people from rural into urban centers.

Q 9. Explain feature of rural marketing

1. Large and scattered market: The rural consumer market consists of over 63 crores
consumers. The rural consumers are scattered over 576000 villages. The consumer market of
non- foods market is over Rs 20000crores

2. Demand related to agriculture: Rural demand is linked to agriculture. Most of the

purchases are made after harvest season. If there is a good harvest purchases will be more

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 and vice versa.

3. Low Standard of Living: Consumes in rural areas do have a low standards of living; this is
because of low literacy, social backwardness, low per capita income, low savings and low
purchasing power.

4. Great Diversity: India is a land of great diversity with multi language, multi religious and
multicultural.

5. Traditional outlook: An average rural consumer is traditional in outlook. They value old
customs and traditions. However, a slow change is beginning to take place in their outlook,
maybe because of the growth in literacy rate and the on slot of TV and other mass media in
rural areas.

6. Steady growth rate: The growth rate for consumer goods is steady and infact increasing at
a rapid pace. This is because of number of factors contributing to the change in outlook and
purchasing power of rural consumers.

In a country of over one billion people, where more than 70 per cent of its population
resides in rural areas, the sheer number has necessitated the marketers to reach out to them
for marketing various goods and services. Despite the fact that more than 40 per cent of the
Indian population is impoverished, there is still a great scope for necessity items in the rural
hinterland. Over the years there has also been demand for various products that were
considered ‗urban‘ perse.

At a partnership summit organized by the Confederation of Indian Industries (CII) in

2001, celebrated management thinker Prof. C K Prahlad exhorted the Indian corporate Inc. to
wake up and help create a consumer market out of the poor. Prahlad, Professor of Business
Administration and Corporate Strategy at the University of Michigan took most of audience by
surprise when he almost gave them a clarion call to retain their grip over the vast
domesticmarket.―Thebottomofthepyramid,‖saidPrahlad,‖isverylargeanduncovered and
represents a very counter-intuitive opportunity. It is a transformative challenge‖. Many analysts
feel that there is a need to reinvent the mass market, in the face of global multinational
companies setting up manufacturing units in India and the influx of cheap goods from some
Asian countries, primarily China.

Q 10 what will be scope of the rural advertising

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 Ans : The new generation is no longer shying away from agriculture as a career. Many
government initiatives like MNREGS and minimum support prices for various agriculture
products have also given rural people a healthy income. There is no scarcity of job opportunities
for the urban youth as well. In sectors like FMCG, automobile, retail, research and advertising,
there are numerous prospects which are available at various levels in major companies having
their operations in the rural sector.

Rural BPOs are one of the emerging sectors for rural masses. These ITEs (IT enabled
services) are setting up their bases in the hinterlands as the cost of setting up a BPO unit is

somewhat lower in these areas. Another reason that has made these companies set up their
establishments there is the easy accessibility of workforce in villages.

Q 11 Differentiate between economic and social role of Advertising

Economic Role of Advertising

 Advertising performs an economic function for an advertiser, affect economic decision

of the audience and is an integral part of the whole economic system.
 Advertising stimulates demand, educate consumer about new product, policies,
programme services and organizations, increase competition and improve standard of
life-style by helping to bring new product to the consumer.
 Advertising boosts the economy by helping to introduce new products faster and more
effectively to consumer by supporting to achieve the economies of scale faster and by
helping to remove the monopoly of the product.

Social Role of Advertising

 Advertising reflects society and society reflects advertising. At social level advertising
plays upon, derives from and contributes to the social texture of country.
 Various social changes are brought about or helped by advertising. Adult education,
family planning and pulse polio campaign are the examples of few successful social
advertising campaigns. It makes role models who can create societal change.
 Advertising are efficient source of information for product quality, new material or
merchandise, new technology and cost.
 It reduces distribution costs, encourage competition and increases product quality
through brand identity.
 It supports mass media to maintain independence from government, political parties
and other special interest groups.

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Q. 12 Differentiate between Print and Broadcast Advertising

Print Advertising

` The print media has been used for advertising since long. The newspapers and
magazines are quite popular modes of advertising for different companies all over the world.
Using the print media, the companies can also promote their products through brochures and
fliers. The newspaper and magazines sell the advertising space and the cost depends on
several factors. The quantity of space, the page of the publication, and the type of paper

decide the cost of the advertisement. So advertising on the front page would be costlier than
on inside pages. Similarly advertising in the glossy supplement of the paper would be more
expensive than in a mediocre quality paper.

Broadcast Advertising

This type of advertising is very popular all around the world. It consists of television,
radio, or Internet advertising. Advertising on the televisions have large audience and are very
popular. The cost of the advertisement depends on the length of the advertisement and the
time at which the advertisement would be appearing. For example, the prime time ads would
be more costly than the regular ones. Radio advertising is not what it used to be after the
advent of television and Internet, but still there is specific audience for the radio ads too. The
radio jingles are quite popular in sections of society and help to sell the products.

Q. 13expalinimpoerance of media types in industrial advertising

`Ans : The media generally used in the industrial advertising is print media and direct
marketing.

Print Media

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 Print Media includes business magazines, trade publications, newspapers, technical
journals, etc. To make print media work efficiently, there are some do‘s and don‘ts to be kept
in mind:

 Visual image of the ad should be very sharp and prominent

 The ad should be so impressive that readers get attracted towards reading it
 The highlight should be on the service or product offered and not the source by which it
is being offered
 The ad be simple to be read (with no difficult fonts)
 The picture shown should not be irrelevant with the product.
 The ad should reflect the company’s image.
 The ad should to be in logical sequence if it is of two or more pages.
 Headlines should be catchy and suiting the product image.
 And lastly, at the bottom of the page, the company name, address and phone number
of the respected office should be mentioned clearly without fail.

Direct Marketing:

Direct Marketing includes

4. Direct Mail – here, the newsletters, data sheets, and the brochures of the company
are directly mailed to the customers‘ postal address.
5. Telephonic Advertising - the advertising is done by calling up the customers on their
telephones, giving messages on mobile phones, etc.
6. Online Advertising - includes companies sending e-mails to the customers or other
companies enclosing information about their products and services, putting online
banners, providing e-shopping options, etc.

The advertisers also use other ways for promoting their products like participating in
trade shows, trade expos, and fairs. Thus, the companies can use any or every type of
advertising, the important motto being increase in sales, producing best quality products,
maintaining good relations with the customers, and achieving the desired goal.

Q. 14 Define role and process of industrial advertising

Ans : Role of Industrial Advertising

 It minimizes the hunt for buyers.

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  It helps in increasing sales of the company.
 It helps in making more and more distribution channels.
 It makes company work more efficiently to produce the desired product or service.
 It creates awareness among the customers or other companies about the products and
services.

Process of Industrial Advertising:

` The strategies used in industrial advertising differ from company to company, as different
companies have different products to be advertised. So, a single rule cannot work for all the
companies ‘advertisements.

The basic process which can lead to a successful advertisement is:

 Knowing the objective for advertising
 Identifying the target companies
 Researching about the market conditions and the competitors
 Creating the ad to be delivered
 Selecting media to be used
 What should be the budget allotted- execution of the advertisement
 Getting the feedbacks from the customers

Q. 15 Differentiate between economic role and social rile of advertising

Ans : Advertising performs an economic function for an advertiser, affect economic decision
of the audience and is an integral part of the whole economic system.
 Advertising stimulates demand, educate consumer about new product, policies,
programme services and organizations, increase competition and improve standard of
life-style by helping to bring new product to the consumer.
 Advertising boosts the economy by helping to introduce new products faster and more
effectively to consumer by supporting to achieve the economies of scale faster and by
helping to remove the monopoly of the product.

Social Role of Advertising

 Advertising reflects society and society reflects advertising. At social level advertising
plays upon, derives from and contributes to the social texture of acountry.
 Various social changes are brought about or helped by advertising. Adult education,
family planning and pulse polio campaign are the examples of few successful social

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 advertising campaigns. It makes role models who can create societal change.
 Advertising are efficient source of information for product quality, new material or
merchandise, new technology and cost.
 It reduces distribution costs, encourage competition and increases product quality
through brand identity.
 It supports mass media to maintain independence from government, political parties
and other special interest groups.

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