ADVERTISING

1. Introduction of Advertising

Advertising is a form of communication that typically attempts to persuade

potential customers to purchase or to consume more of a particular brand of

product or service. Many advertisements are designed to generate increased

consumption of those products and services through the creation and

reinforcement of "brand image" and "brand loyalty". For these purposes,

advertisements sometimes embed their persuasive message with factual

information. Every major medium is used to deliver these messages, including

television, radio, cinema, magazines, newspapers, video games, the Internet and

billboards. Advertising is often placed by an advertising agency on behalf of a

company or other organization.

Advertisements are seen on the seats of shopping carts, on the walls of an

airport walkway, on the sides of buses, and are heard in telephone hold

messages and in-store public address systems. Advertisements are often placed

anywhere an audience can easily or frequently access visual, audio and printed

information.

Organizations that frequently spend large sums of money on advertising that

sells what is not, strictly speaking, a product or service include political parties,

interest groups, religious organizations, and military recruiters. Non-profit

organizations are not typical advertising clients, and may rely on free modes of

persuasion, such as public service announcements.

1
Advertising, it has been suggested, is the world’s second oldest profession. Up

until the mid-nineteenth century the term advertising was used widely to refer to

any and all forms of promotional activity.

1.1 The Growth of Advertising

Advertising was developed in 300 years prior to the 20 century. It is any paid

form of non-personal presentation and promotion of ideas, goods or services by

an identified sponsor is a form of communication that typically attempts to

persuade potential customers to purchase or to consume more of a particular

brand of product or service. Advertising Work as online advertising refers to all

forms of internet advertising, such as banner ads, email marketing, cost-per-click

campaigns, online directory placement, search engine optimization, and pop up

ads. Thru television and radio advertising as usually well make the advertising is

so flexible additional for the brand outcomes information. Reaching the consumer

is the outdoor advertising, like IKEA send their booklet sales thru their customer

door – to – door. Even in this era, the advertising will work just by mail that we

forwarding and direct mail brochures.

2. Theories of Advertising

2.1 Strong Theory

In the Strong theory explanation, there have a hierarchy models are classically

'strong' theory models which is suggest a rational, sequential approach to

2
advertising. On this hierarchy models all the marketing communication with AIDA

Strong 1925, DAGMAR Colley 1961, Lavidge and Steiner 1961 and Wells et al.

1965 a imply for advertising to be successful from one stage to another until the

ultimate goal is achieve.

Other 'strong' models who developed followed a similar linear development it is

cognitive response model - exposure to advertising elicits different types of

response & purports to suggest how these responses relate to attitudes &

purchase intentions. 3 'thoughts';

Product/message thoughts, Source orientated thought and advertising execution

thoughts.

2.2 Weak Theory

The main alternative to the ‘Strong’ theory is Weak theory. Weak theory of

advertising assumes that ‘the advertising cause and the sales effect are far less

directly linked than strong theories. The link is, nevertheless, powerful and

enduring.’ (Hackley, 2005) Ehrenberg (1999) also position the Weak theory as

simply ‘publicity’ which defined as ‘Bringing X to public notice.’ Publicity is to

remind consumers that the brand is around or relevant. Under Weak theory, the

role of advertising is not only to create long-term memory in consumers’ mind but

also recall the memory in consumers’ mind. In other words, advertising develops

or maintains ‘salience’ which is here defined as being in the consideration set of

brands you does or might buy. (Andrew, Neil, Rachel, Helen, 2002) Ehrenberg’s

(1974) awareness---trial---reinforcement (ATR) model is typical of this theory

3
models. Under Ehrenberg’s ATR model, advertising will help consumers to gain

awareness or interest about a product first. Then the consumers might try it. In

other words, advertising facilitate consumers to make a trial purchases. After

trying a different brand, people may go back to their habitual brands if there is no

obvious reason for them to change to the new brand. But if there is satisfaction

after previous usage, a repeat buying habit may be developed and reinforced.

The repetitive advertising of well-established brands is therefore reinforcing

already developed repeat buying habits. This is the crucial determinant of long

term sales.

3. Measuring of Advertising

The measuring of advertising is based on the theories, experiences and the

modeling how the advertising is works. In the strong model of advertising this

followed method and measuring a very useful like; day-after recall the

unprompted recall of previous day’s advertising. With recall surveys respondents

are asked what advertising they remember. Has been use the incorrect measure

is precisely wrong, it is proxy measures such as brand awareness, recall or

recognition, whilst being east to measure precisely are not directly associated

with sales and might be said to be precisely wrong. It is same as the vaguely

right measure, which actual sales directly related to advertising are almost

impossible to gauge accurately but estimation can be said to be vaguely right.

The simulated sales are sales calculated on the basis of no advertising which

can them be used to measure the contribution of advertising. Other method is to

4
use an attitude scales a respondent’s attitude to predefined statements, is like

include the nominal, ordinal, ratio and interval of scales.

4. Advertising Characteristics

To create an advertisement with power the advertiser should to do this requires

like; creativity, the ability to attract and hold the target audience through the

manner and composition of the advertisement. Advertising problem, the

establishing ‘advertising problem’ are, that the reason the company is resorting to

advertising. Much good the advertising is based on creativity of concept, an idea

upon which the campaign is built. Effective creativity means the creativity that

meets the commercial objective of a campaign. The answer lies in what might be

called ‘effective creativity’. Single-minded proposition it is are brand’s unique

selling proposition (USP). The creative idea expresses the brand’s positioning

through the brand proposition it is in order to emphasize its importance in the

advertising process, capture the qualities of the brand and incorporate the right

mix of functional properties and emotional characteristics. Media Strategy is the

decision on which media to use for given the campaign, to design the best

message for the most appropriate medium to reach the maximum number of

people in the target audience. Waterloo effect it is content of good advertising

campaigns, namely uniqueness, frequency and relevance. In uniqueness

advertising is undoubtedly stands out from the rest and gets talked about through

‘word - of - mouth’ and/or using ‘media chatter’. Media chatter is a subject matter

that is discussed by and in the media. About Impressions it is a single instance of

5
an advertisement being display and last nut not least is the Stopping power, in

advertising therefore must aim for stopping power whether through uniqueness,

repetition or relevancy. To do this advertiser must use this followed 14 formats

including, demonstration, testimonials, expert and celebrity endorsement, slice of

life, comparative advertising, the logical and emotional appeals, stereotyping,

humor, erotica, shock tactics, sensory appeal and shape with color.

5. The Advertising Industry

Advertising industry is a rapidly growing industry and determines to a

considerable extent the gross domestic product (GDP) of any country. The

advertising industry besides functioning as an intermediate between the

manufacturers and the customers plays an important role in the economy of the

country. This industry necessitates investment for funding different resources.

One cannot measure the degree of development by interpretation of inputs in the

economy which yields some production. In the event when consumption levels

far exceed than what is reckoned, this is not a means of triggering or bringing

about transformation in the culture, society or development in human resources

or economy. What the time demands is optimum and efficient execution of

advertising projects by involving appropriate technology along scientific lines.

6
Advertising is anywhere…

This piece of bag advertising is for

the Dubai Autism Centre, and its
simplicity is what makes it such a
striking form of advertising.

Taxi is most one of the alternatives

to advertise the advertisements are
anywhere in Malaysia as well.

CLEAR anti-dandruff shampoo. In

Kuala Lumpur, Malaysia they posted
this poster with coupons glued to it. If
you approach it though, you can see
that what seemingly looked like
dandruff flakes on the poster were in In this shock tactics campaign by
fact coupons that said, "Remove to Colenso BBDO, the message to
get 10% off CLEAR anti-dandruff drivers is clear, slow down or you
shampoo." may see this for real. The flyers were
placed face down on the
windscreens of parked cars near
schools in a small town in New
Zealand.

7
SALES PROMOTIONS

6. Definition Sales Promotions

Sales Promotions any initiative undertaken by an organization to promote an

increase in sales, usage or trial of a product or service by offering of an incentive

to make people act, to encourage buyers to act immediately before late. It is a

short term incentives to encourage the purchase or sale of a product or service.

So, company used it to pursue its advertising and marketing objectives. It will

increase the volume of sales by direct influencing the decision-making process

and influencing the speed of decision.

7. Sales Promotions Objective

For consumer, Sales promotions are purposely designed:

1) To increase sales or defend market-share by encouraging repeat or multiple

purchases.

2) To stimulate trial and facilitate the introduction of new products, brands or

brand extensions.

3) Can be done by rewarding the loyal customers or locking customers into

loyalty programs. In Malaysia for example Bonus link Card, Real Rewards and

Jusco Card etc.

While for retailer, Sales promotions are designed;

8
1) To encourage the retailer to facilitate particular goals mainly in introduce

their new products.

2) To encourage distributions penetration and stimulates force motivation.

7.1 Sales Promotions are divided into 4 types, which are;

1) Consumer

2) Trade

3) Retail

4) Sales Force

Consumer and trade promotions is are suppliers initiated pull and push strategies

respectively, which pulling consumers to the brand.

For example: Sudoku Challenge with Sony Play station as prizes. The attraction

is for people to purchase and enter the competition was to the brand and not

specific to the retailer.

Retail sales promotions a use pull strategies to attract people to retailer rather

than the brand.

For an example, the Harvey Norman is the place where consumers can get many

appliances there but not the place itself.

8. The Growth of Sales Promotion

The reasons why Sales promotions has become dominant in marketing

communication is because they are varied and frequently interconnected. One of

the reasons is ‘improvements in technology’. Technology has enabled more

9
variation in the types of promotions offered and further simplified the process. At

the same time, it will improve planning for the retailer and the supplier.

For example, previously album producer promotes their song on air of radio and

television. Nowadays just on the internet. Starting with sending by email, then

follow by creating and publish it thru website, lately blog. So technology give

opportunities to advertiser advertise their products.

9. Sales Promotion Theory

Edward Thorndike (1927) suggested the “Law of Effect” which had to do with

positive and negative consequences of actions, which is also relevant to sales

promotion. The law states that the consequences of behaviors will govern the

consequences of that behavior in the future. In other words, once buying pattern

is achieved it will continue into the future. (Once you try it, you will continuance

buying that thing.)

Other then that the “shaping concept” by Foxall (1998) suggests that a

responsible builds on prior experience and can be explained as appearing after

preceding acts, which taken together, constitute a chain of successive

approximations. Shaping breaks the desired behaviors into a series of stages

and the parts are learnt in sequence. In trialing product, it involves a set of

behaviors mist notably inducement to repeat purchase.

For example, try 3 in 1 drinks (tester) at supermarket, promoter will promote to

buy. At the end, we buy it.

10
While “Chaining Concept” is a concept that suggests behavior emerges from

sequences of actions in which the preceding action becomes the discriminative

stimulus for the final response.

“Priming theory” by De Pelsmacker (2001) is theory where suggest a short

exposure to a particular stimulus can evoke an increased drive to consume more

of a product.

So this all theories offer reasons why you can motivate people to buy more by

offering incentives although the continuation of these behaviors is open to doubt.

10. Sales Promotions Tactics

The promotion planner should take into account the type of market, sales

promotion objectives, competitive conditions and each tools cost an

effectiveness.

There 2 types of Sales promotions tactics that are price promotions and creative

promotions (incentives). The main consumer sales promotions tools used are;

1) Money off (coupons or vouchers)

2) Bonus pack offers (extra 500 gram per packet)

3) Refunds or rebates (by cash or coupons which involved one or more

purchases and submitting proof-of-purchase by mail or through claims)

4) Combined offers (buy product A get product B F.O.C (free of charge))

5) Sampling (tries product in-store F.O.C (free of charge), attached to

another product or sent to doorstep)

6) Premiums or gifts (Merchandise offered with purchase of product)

11
7) Loyalty schemes (Jusco Card, Mesra Card etc)

8) Competitions, games or contests (offer great prizes)

11. Sales Promotions Outcomes

The simplest way to promote your product or service is to cut the price. The best

way to promote the product is by adding value to it. So to add the value, sales

promotions become the strategic tools when its not utilize for immediate

response solution. The actual saving on any promotions is determined by the

original retail price which can vary significantly between retailers. A sales

promotion ‘trap’ develop when the competition start to imitate each other

activities often based upon price reductions.

In general, sales promotions work best when they attract competitors, customers

to try a superior product and the switched customers. So using the Sales

Promotions, the company must establish their objectives and select the strategic

sales promotions tools.

The end

12
12. References

1. John Egan. Marketing Communications. Page 193 – 222 (Chapter

Nine – Advertising and page: 223 – 243 – Chapter Ten - Sales

Promotion) Thomson – www.thomsonlearning.com.uk/egan.

Copyright 2007 Thomson Learning. ISBN-13: 978-1-84480-121-3

2. Philip Kotler, Marketing Management, (Prentice Hall) Pearson

Education Ltd, 2003, 11th Edition, Page 590 - 592 (Chapter

Twenty)

3. Philip Kotler, Marketing Management, (Prentice Hall) Pearson

Education Ltd, 2003, 11th Edition, Page 609 - 615 (Chapter

Twenty)

4. 3rd August 2008, http://en.wikipedia.org/wiki/Advertising

5. 3rd August 2008, http://en.wikipedia.org/wiki/Sales_promotion

6. Google search engine of advertising poster/image -

http://images.google.com.my/images?client=firefox-

a&rls=org.mozilla%3Aen-US

%3Aofficial&hl=en&q=advertising+poster+in+malaysia&btnG=Sear

ch+Images&gbv=2

13