The Oxford Dictionary explains advertisement as a public announcement of goods, etc. for sale. It further says to advertise means to describe and praise (goods etc.) in public medium to promote sales.
Advertisement is, thus, the process of spreading product information among the potential buyers through a public medium in order to maximize sales. Such a public medium includes, among others, newspapers, magazines, television, radio, social media, other Internet tools.
The American Marketing Association defines advertising as any paid form of non-personal presentation and promotion .of goods, services or ideas by an identified sponsor.
According to William J. Stanton, advertising consists of all the activities in presenting to a group a non-personal, oral or visual, openly sponsored message regarding a product, service or idea.
Advertising includes oral, written, or audiovisual message addressed to the people for the purpose of informing and influencing them to buy the products or to act favorably toward idea or institution.
1. To announce the introduction of a new product.
2. To motivate the buyers to buy.
3. To create a demand for the product.
4. To achieve an immediate sale.
5. To announce certain concessions to buyers like a discount, price cut, gift etc.
6. To popularize the brand name and to secure brand loyalty.
7. To support the activities and efforts of the salesmen.
8. To build up image for the business.
9. To achieve a higher market share.
10. To inform product modifications and alterations to the buyers.
11. To explain how the product works.
12. To counter the competitors’ strategies.
13. To promote sale during the off-season.
14. To maximize sale during festival season.
15. To remind the buyers about the company and its product.
Steps to follow when designing an Advertising Campaign
1. Marketing Position Statement: A marketing plan should provide a position statement explaining how a company’s product (or service) is to be differentiated from those of key competitors. This statement is derived from an analysis of market opportunities. The most important assessments are those of customers’ market requirements and competitors’ strengths and weaknesses. The advertiser’s own strengths and weaknesses must also be considered.
2. Complimentary Role of Advertising and Salesmanship
The role of personal selling varies considerably across firms. In a typical industrial organization, personal selling dominates the marketing programme almost to the exclusion of other forms of promotion. At the other extreme, mail order firms (like the Reader’s Digest) rely entirely on advertising and employ no field sales-people at all. Promotion involves a communication process in which prospective customers are made aware of the existence and relatively desirability of a firm’s products and services. The promotional mix is a combination of the promotional tools personal selling, advertising, publicity, sales promotion and public relations designed to sell goods and services.
3. Push Versus Pull
The personal selling technique is often used when an organization believes that a product needs to be pushed through channels of distribution. Salesforce push means that representatives talk to prospective buyers and literally push the product into the hands of potential customers. For example, many small manufacturers rely on the push provided by personal selling and trade fairs and exhibitions to gain and keep customer contacts. The opposite situation occurs when the advertising pull is used to gain customer acceptance. With advertising pull, promotion is directed at the final customer who, in his turn, asks the retailer of the product to pull it through the channel of distribution. Heavy advertising is the common practice among marketers of consumer goods (both durables and non-durables).