Wednesday, 26 August 2020

Kinds of advertising (A&BM 19Aug2020)

Kinds of advertising

1. Product advertising

Most business houses try to sell their products and services through advertising. The need for product advertising arises mainly because the business has to create demand for its products. This is being done through a public medium like newspapers, television or radio by means of an advertisement.

The advertisement may appear in a visual form with the picture of the product together with its features explained (in the case of newspapers and magazines). It may also appear in the form of oral presentation of the product idea (in the case of radio advertisement) or in both visual and oral forms (as in the case of television advertisement) and Digital.

Such advertisements speak not only about the product but also stress the brand. Examples are Vicco Turmeric Cream, Cock brand crackers, Double-Deer Basmati rice, etc.

2. Institutional advertising

Here, the focus is on the company and its services. Such an advertisement is not intended for the consumers alone. It may also be meant for various other groups like the shareholders, creditors, suppliers and so on. The goal of such an advertisement is mainly to boost the image of the concern. It may also be used to make an offer or an announcement

Example: There may be an offer to the suppliers of materials to submit price-quotations. The advertisement may also announce the date and time of the Annual General Meeting of the company.

3. Competitive advertising

In this case, the goal of advertisement is to show the superiority of one product over the competing products. Such an approach is resorted to when there is cut-throat competition in the market. The advertisement stresses on brand name, product quality, price and the company image. Eg. Different tooth paste ads and different hair oil ads.

4. Comparative Advertising

Here, the marketer highlights the comparative features of the competing products. Such advertisements are quite common these days and also have become a matter of controversy. Car, motorcycle and television manufacturers adopt such an approach.

Example: The comparative features of different car models are often advertised by the manufacturers. In the same way, the comparative advantage of two-wheeler are advertised. The advertiser invariably claims that his product alone is superior.

5. Collective or Cooperative advertising

Certain products are jointly advertised by the manufacturers and dealers together. Such an advertising is what is known as collective or co-operative advertising. The manufacturers of car, motorcycle and TV also use such an approach. Eg. Premson Motors, Ranchi

6. Non-commercial advertising

Advertisements for non commercial purpose are brought out by charitable organizations mainly to secure financial help from philanthropists. Organizations like NGOs solicit financial help from generous people, particularly during festival times, for the benefit of the inmates.

7. Primary Demand Advertising:

It is intended to stimulate primary demand for a new product. It is heavily utilised during the introduction stage of the product life cycle.

8. Shortage Advertising:

When there is short-supply of products shortage advertising is resorted to. Example- oil crisis. In such kind of advertising, new promotional objectives may be incorporated such as-

(a) Educating the people about the most economic use of the product.

(b) Making appeal to save resources.

(c) To reduce customer pressure on the sales force.

9. Co-Operative Advertising:

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

10. Commercial Advertising:

It is also termed as business advertising. Such advertising is only meant for affecting increase in sales.

Usually the following forms of commercial advertising are recognised:

(a) Industrial advertising — this is exclusively meant for selling industrial products.

(b) Trade advertising — advertising relating to a trade.

(c) Professional advertising — undertaken by professionals like doctors, accountants, etc.

(d) Farm advertising — exclusively used for selling farm products such as fertilisers, insecticides, farm implements etc.

11. 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 greater extent. 

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