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INTRODUCTION
by sponsors and viewed via various old media; including mass media
messages.
Ingredient facts
The Coca-Cola Company (KO) and PepsiCo, Inc. (PEP)
are the leading soft drink manufacturers. A 12-fluid
ounce can of Coca-Cola contains 39 grams of sugar and
around 34 milligrams of caffeine. A 12-fluid ounce can
of Pepsi contains 41 grams of sugar and 38 milligrams
of caffeine. A 12-fluid ounce can of Dr Pepper, made by
Dr Pepper Snapple Group (DPS), contains 40 grams of
sugar and 41 milligrams of caffeine. Energy drinks
made by leading companies such as Monster Beverage
Corporation (MNST) contain higher amounts of caffeine.
Despite the considerable demand for soft drinks across
the globe, these drinks are facing severe criticism for
the ill-effects of high sugar content.
Advertising theory
Hierarchy-of-effects model
Various competing models of hierarchies of effects attempt to
provide a theoretical underpinning to advertising practice.
Knowledge
Liking
Preference
Conviction
Purchase
Marketing mix
The marketing mix was proposed by professor E. Jerome
McCarthy in the 1960s.]It consists of four basic elements called
the "four Ps". Product is the first P representing the actual
product. Price represents the process of determining the value
of a product. Place represents the variables of getting the
product to the consumer such as distribution channels, market
coverage and movement organization. The last P stands
for Promotion which is the process of reaching the target
market and convincing them to buy the product
Purpose of advertising:
Advertising is at the front of delivering the proper message to
customers and prospective customers. The purpose of
advertising is to convince customers that a company's services
or products are the best, enhance the image of the company,
point out and create a need for products or services,
demonstrate new uses for established products, announce new
products and programs, reinforce the salespeople's individual
messages, draw customers to the business, and to hold
existing customers
.
Niche marketing
Another significant trend regarding future of advertising is the
growing importance of the niche market using niche or targeted
ads. Also brought about by the Internet and the theory of The
Long Tail, advertisers will have an increasing ability to reach
specific audiences. In the past, the most efficient way to deliver
a message was to blanket the largest mass market audience
possible However, usage tracking, customer profiles and the
growing popularity of niche content brought about by everything
from blogs to social networking sites, provide advertisers with
audiences that are smaller but much better definedleading to
ads that are more relevant to viewers and more effective for
companies' marketing products. Among others, Comcast
Spotlight is one such advertiser employing this method in
their video on demand menus. These advertisements are
targeted to a specific group and can be viewed by anyone
wishing to find out more about a particular business or practice,
from their home. This causes the viewer to become proactive
and actually choose what advertisements they want to view.
Crowdsourcing
The concept of crowdsourcing has given way to the trend
of user-generated advertisements. User-generated ads are
created by people, as opposed to an advertising agency or the
company themselves, often resulting from brand sponsored
advertising competitions. For the 2007 Super Bowl, the Frito-
Lays division of PepsiCo held the Crash the Super
Bowl contest, allowing people to create their
own Doritos commercial Chevrolet held a similar competition
for their Tahoe line of SUVs.Jones Soda that This trend has
given rise to several online platforms that host user-generated
advertising competitions on behalf of a company. Founded in
2007, Zooppa has launched ad competitions for brands such as
Google.
Global advertising
Advertising research
Advertising research is a specialized form of research that
works to improve the effectiveness and efficiency of advertising.
It entails numerous forms of research which employ different
methodologies. Advertising research includes pre-testing (also
known as copy testing) and post-testing of ads and/or
campaigns pre-testing is done before an ad airs to gauge
how well it will perform and post-testing is done after an ad airs
to determine the in-market impact of the ad or campaign.
Continuous ad tracking and the Communicus System are
competing examples of post-testing advertising research types.
2. It is a matter of record.
FUNCTIONS OF ADVERTISING
TYPES OF ADVERTISING
*Consumer advertising
*Comparative advertising
*Reminder advertising
*Reinforcement advertising
WHY & WHEN TO ADVERTISE
Media Form
8. Internet
Today, Internet is a big
spot for advertising.
Methodology
MARKET PROFILE
(Coca Cola)
i) Coca Cola
ii) Thums-up
iii) Limca
iv) Fanta
v) Maaza
i) Cola
ii) Lemon
iii) Soda
iv) Orange
v) Mango
(Primary data)
There is more consumption of Coca Cola and has 70% market share in
the Yamunanagar city and Coca Cola is having maximum consumption
and after that Thumps-up and after it Limca cold drink in the market and all
the products has good sale but less than these.
Brands of Pepsi
i) Pepsi Cola
v) Pepsi Apple
i) Cola
ii) Lemon
iii) Orange
iv) Soda
v) Apple
(Primary Data)
TABLE 4.1
11-20 22 44
21-40 25 50
41-60 3 6
Total 50 100
Table 4.1 shows that 44% of the respondents are in the age group of
11-20, 50% are in the age group of 21-40 and 6% are in the age group of
41-60.
TABLE 4.2
Male 30 60
Female 20 40
Total 50 100
Table 4.2 shows that 60% of the respondents are males and 40% of
them are females
TABLE 4.3
Illiterate - -
Below Matric - -
Matric 5 10
Graduate 29 58
Post graduate 16 32
Total 50 100
Yes 50 100
No - -
Total 50 100
Table 4.4 reveals that all the respondents are drinking cold drinks.
TABLE 4.5
Once a day 15 30
Twice a day 2 4
Total 50 100
Table 4.5 reveals that 30% of the respondents drink it once a day,
4% twice a day, 2% more than twice and 32% drink it no regularly.
TABLE 4.6
NAME OF THE COLD DRINKS AVAILABLE IN MARKET
Coca cola - -
Pepsi - -
Fanta - -
Limca - -
Mirinda - -
Thums-up - -
Canada dry - -
Maaza - -
Dew - -
Total 50 100
Table 4.6 reveals that all of the respondents are of the view that all
the above mentioned cold drinks are available in the market.
TABLE 4.7
Coca cola 12 24
Pepsi 12 24
Fanta 1 2
Limca 7 14
Mirinda 1 2
Thums-up 10 20
Canada dry 4 8
Maaza 3 6
Dew - -
Total 50 100
TABLE 4.8
Cola 30 60
Lemon 7 14
Orange 7 14
Mango 2 4
Others 4 8
Total 50 100
Table 4.8 shows that out of 60% of the respondents like the cola
flavour of cold drink, 14% like the Lemon flavour and same percentage of
respondents like the orange flavour of cold drink.
TABLE 4.9
Yes 48 96
No 2 4
Total 50 100
Table 4.9 indicate that 96% of the respondents are of the view that
they have been the advertisement of the cold drink they like most while 4%
shows that they dont have seen the advertisement they like most .
TABLE 4.10
MEDIA OF ADVERTISEMENT
Newspaper 2 4
Magazine 1 2
Other 1 2
Total 50 100
Table 4.10 reveals that 92% of the respondents are of opinion that
they have seen the advertisement on TV while 4% are of the opinion that
they have seen the advertisement through newspaper.
TABLE 4.11
NO. OF ADVERTISEMENT
2 14 28
3 11 22
4 14 28
Total 50 100
Table 4.11 shows that out of the 50 respondents 11 are of view that
there is 1 type of advertisement and other says that there are more than
one type.
TABLE 4.12
Yara Da tashan 14 28
Table 4.12 shows that out of 50 respondents 12 like the slogan 'taste
the thunder' ,14 like 'Yara da tashan', 16 like 'yeh dil mange more' and 8
like the slogan 'Jo chahe ho jaye coca cola enjoy'.
TABLE 4.13
Other reasons 6 12
Total 50 100
Table 4.13 shows that majority of the respondents like the advertisement
due to its theme while majority of the respondents like the advertisement
due to its film stars and good music.
TABLE 4.14
Yes 23 46
No 17 354
Cann't say 10 20
Total 50 100
Table 4.14 shows that 46% of the respondents are of the view that
advertisement forced them to consume product more 34% of them has
view that advertisement dont force them to consume the product while
20% of them cannot say anything about it.
TABLE 4.15
TV 50 100
Newspaper - -
Magazine - -
Others - -
Total 50 100
Table 4.15 reveals that 100% of the respondents are of the view that
presently the TV is most effective media of advertisement.
TABLE 4.16
NECESSITY OF ADVERTISEMENT
Necessary 14 28
Very necessary 34 68
Cant say 2 4
Total 50 100
Table 4.16 shows that highest number of respondents are of the view
that advertisement is very necessary for cold drinks while few respondents
are of the view that advertisement is necessary.
TABLE 4.17
EFFECTIVENESS OF EXPENDITURE INCURRED ON
ADVERTISEMENT
Yes 43 86
No 2 4
Cant say 5 10
Total 50 100
Table 4.17 shows that 86% of the respondents are of the view that
the expenditure incurred on advertisement is effective in adding the profit
while 4% denied the same and 10% did not reply.
TABLE 4.18
Education 20 40
Liking 10 20
Standard of Living 10 20
Level of Development 10 20
Total 50 100
Table 4.18 shows that 40% of the respondents say education is one
of the main reason of Advertisement effectiveness while equal % of the
respondents are in the favour of likings, standars of living and level of
development
TABLE 4.19
No 1 2
Cannot say 4 10
Total 50 100
Table 4.19 shows that the majority of the respondents are of the view that
the study of effectiveness contributes the improvement in present
advertisement.
TABLE 4.20
Yes 48 96
No 1 2
Cant say 1 2
Total 50 100
Table 4.20 reveals that majority of the respondents say that the
advertisement effectiveness is necessary while same did not replied.
TABLE 4.21
USERS OF ADVERTISEMENT EFFECTIVENESS
For company 34 68
For employees 1 2
For customers 15 30
None of these - -
Total 50 100
Table 4.21 indicates that 68% of the respondents are of the view that the
study of effectiveness is meant for company while 30% say that it is meant
for customers.
Consumption expenditure
The Bureau of Economic Analysis (or BEA) releases the
personal income and outlays monthly
reports that indicate changes in individuals personal
incomes, savings, and expenditures.
OBJECTIVES OF CAMPAIGN
The advertising campaign, especially those connected with the consumers aims
at achieving these objectives :
Such interviews are often quite essential to find out the appeal of advertising
message for a product that would be most effective with consumers.
David Ogilvy describes a consumers survey to find out the most meaningful
benefit in which women are interested when they buy a face cream. The largest
preference as given to "Cleans deep into pores" followed in order of importance by
prevent dryness, "is a complete beauty treatment, recommended by skin doctors"
makes skin look younger' contains estrogenic hormones, pasteurized for purity,
prevent skin form aging, smooth our wrinkles ogilvy concludes, form this voting
come one of Helena Rubinstein's most successful face creams. We christened it
deep cleanser, thus, building the winning form into name of the product.
After getting the data the account executive puts together the essential
elements of his clients brief, interprets the research findings and draws up what he
calls the "advertising strategy".
Cost
One strong objection to advertising is that it is a costly function.
The high cost of advertising is covered by increasing the selling
price of the advertised goods. Advertisement is an indirect cost
which is added into distribution expenses. When expenses
increase, the selling price of the products will also increase.
Advertising is a significant part of cost; large advertisers spend
thousand of Rupees a week for advertising. One study found
that advertising cost exceeded 6% of sales. Advertising means
that consumers will have to pay higher prices for advertised
products. But if the goods are not advertised, the cost of
advertising cannot become a burden on the consumer.
Because unbalanced advertising causes certain goods to cost
the consumers more than they should, it is an economic waste.
Misleading claims
Some advertisers cleverly create misleading impressions of
their goods. They present a very rosy picture of their products
to consumers with the object of increasing their sales.
Encouragement of monopoly
Advertisement restricts competition among the products. Big
industrialists and manufacturers can use advertising to increase
their monopolistic control over the market, control that is always
against the public interest.
High prices
It is undoubtedly true that effective advertising increase the
sales volume. This increased sale will require more products.
Thus the large scale production brings down the cost of goods
per unit due to economies in various sectors which reduces the
consumes selling prices. But the producers do not lower the
prices and the burden of advertising remains on the shoulders
of consumers.
Restricted access by small business
Small firms cannot properly advertise their products due to
limited resources. On the other hand, the entire market for
many goods and services is almost dictated by large
advertisers. It becomes impossible for small firms to continue
their business in fields like this, so small firms disappear form
the market.
Misdirection of purchasing power
The advertising of high-priced luxury goods influences the
purchasing power of consumers. So some people use
unscrupulous means to increase their income for the purpose
of getting things they perceive as necessities of life. Thus
unnecessary advertising creates corruption in the society.
Distractions caused by advertising
Hoardings (billboards), posters and electronic moving pictures
are placed around important intersections, distracting drivers.
Glaring red neon lights have actually been hazards at certain
crossroads.
Unfulfilled desire
Another objection is that advertising influences the mind of
public, creating the desire and taste for new products that are
not actually necessities of life and that the income of
consumers will not let them enjoy. Advertising may thus be
regarded as the cause of unrequited desire which may result in
unhappiness.
Promotion of social evils
Some firms support immoral and sensational programs and
crime stories in television and radio, by choosing them as
vehicles for their advertising. These programs corrupt the
values of young people, promoting social evils.
Confusion about characteristics of products
Numerous similar types of products are advertised in the
market. But producers lay great emphasis on minor differences
in the formula or technique of advertised goods. For example.
there are many brands of advertised shaving creams which
perform the same function. Due to all the misinformation and
irrelevant information disseminated by advertising, it has
become impossible for the average buyer to judge with any
certainly the quality of the hundreds of articles he buys.
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