The advertising industry has undergone a significant change in the past four decades. In 1960s, the focus was on establishing a place in the market for the product, by highlighting its unique attributes through an advertising proposal. Later, with the globalization of markets, advertising management and sales promotion developed to include value added strategies, to engage the customer constantly by making the act of purchase an enjoyable and satisfying experience.
The launching of new brands in each product category almost every day has increased the competition in the Indian market, making it one of the fastest growing corporate centers of the world. By advertising, the seller aims at captivating his consumers by giving the vital information about the brand to the category of consumers it caters to. Hence every seller in a competitive firm needs to hunt for a catchy and innovative advertising campaign.
Advertising is a tool of marketing that disseminates information about a brand which is aimed at a large number of people at the same time. American Marketing Association in 1948 defined Advertising as “Any paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor”. According to the Drugs and Magical Remedies (Objectionable Advertisements) Act 1954 “An advertisement includes any notice, circular, label, wrapper, or other document and any announcement made orally or by means of producing or transmitting light, sound or smoke”. Advertising aims at informing and influencing buyers to buy products or services, to act or to be inclined favorably towards ideas, persons or institutions featured, with the help of visual or oral messages. Some of the commonly used media for advertising include T.V, radio, newspapers, magazines, posters, internet, and billboards.
Globalization of economies, proliferation of traditional media, entry of new interactive media, growing consumerism, expansion of media markets and rising consumer expectations has led to tremendous growth of advertising industry in recent years. Advertisements have proved to be successful in turning non-users into users of commodities like skin creams, deodorants, medicines etc. The demand for products such as honey, bread, antiseptics etc.has increased as a result of highlighting multiple uses of a single product. Informing the buyer about the availability and special features of a product enables him to identify them and differentiate them from other products, thus building brand preference and loyalty.
An effective strategy of advertising includes creating desire and encouraging demand for a product, service or an idea, by making use of a hired, or paid medium of communication. A good advertisement is one that in the beginning informs, incites, and interests the vision about the product, and later reinforces the message over a period of time either by similar positioning or changed one, keeping in view the strategy of the competitive brands, changing expectations of the consumers, and the environment. In order to be successful, an advertisement must be Seen, Read, Believed, Remembered and Acted Upon. The advertiser performs mainly two functions; increasing the number of customers, and increasing the frequency or rate at which the product is used. He should be able to master the art of scientific salesmanship, that is the ability to understand and observe your client, and persuade him to behave according to your wish. Creativity and enthusiasm to take challenges is a prerequisite for someone looking for a career in advertising. He must be gifted to come up with attractive and original punch lines and jingles.
The Indian Advertising Industry today handles both national and international projects, due to a wide range of services that are offered by the industry to its clients, such as client servicing, media planning, media buying, creative conceptualization, pre and post campaign analysis, market research, marketing, branding, and public relation services. Though inflation has put pressures on companies, leading many sectors to cut down on advertising expenditure, there is still no looking back for the advertising industry.
Group M South Asia COO Vikram Sakhuja says “Yes inflation puts a pressure on companies to cut costs and a lot of companies are looking at topline growth. But I hope we are not facing a slowdown. Our economy is overheated and therefore the inflation, but the industry is not yet facing a slowdown”.