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10.2.1 Basics of advertising and promotional activities

Lecture



The market economy, as the experience of many developed countries shows, cannot function without the institution of advertising. Advertising * is an inherent element of the market, one of the most important tools for its development.

To solve the problem of organizing effective management of advertising activity in a commercial enterprise, it is necessary to reveal the essence, role and place of advertising and advertising activity in a market economy.

Advertising in a market economy performs many functions. That is why in the domestic and foreign economic literature there are many of its definitions.

The word "advertisement" comes from the Latin verbs "reclama" (shouting out) and "reclamare" (responding, demanding), which for many centuries have undergone significant semantic changes.

Domestic encyclopedic dictionary gives the following definition of advertising: " Advertising - information about consumer properties of goods and types of services with a view to their implementation and the creation of demand for them; popularization of works of literature, art, etc."

The Federal Law of the Russian Federation "On Advertising" gives the following definition: Advertising, "disseminated in any form, by any means, information about a natural or legal person, goods, ideas and undertakings, which is intended for an indefinite circle of persons and is intended to form or maintain an interest in the physical , legal entity, goods, ideas, undertakings and contribute to the realization of goods, ideas and undertakings. "

The authors of the world-famous textbook "Advertising: Theory and Practice", which has survived eleven publications in the United States from 1935 to 1983, consider that "... advertising can be viewed as a form of communication that attempts to translate the quality of goods and services, as well as ideas on the language of the needs and demands of the consumer. " Such a definition specifies the content orientation of information and unequivocally determines the field of competition - the high quality of products, works and services.

Philip Kotler - one of the well-known marketing experts gave the following interpretation of advertising: "Advertising is a non-personal form of communication, carried out through paid media, with a clearly indicated source of funding." In the definition of an American scientist, advertising is isolated from the general system of product promotion with reference to "non-personal" forms of communication.

In a concentrated form, the essence of advertising is expressed as a special sphere of activity (business) with clearly defined goals, content, forms, subjects and material carriers.

Systematization and analysis of advertising definitions allow us to identify the following main characteristics of advertising , which should be taken into account when developing a management system.

1. Advertising is primarily the process of disseminating traditional and new knowledge, ideas, inventions, etc.

2. Advertising in its essence should not only inform, but also create needs and demand, encouraging to purchase. This is its main purpose.

3. Advertising is a commercial appeal made through the media and other types of communication, agitating in favor of any product, service, brand, company.

4. Advertising is not only a science, but also a product of culture, its mirror, for it reflects its traditions, beliefs, value systems.

5. Advertising is an integral, integral part of marketing. In turn, the methods and techniques of marketing are a mandatory attribute of advertising.

From these characteristics it follows that advertising is a kind of informational outlet for potential customers, customers or business partners.

During the development of the advertising campaign and its management, the advertiser deals with many institutions (Fig. 9.14). An advertising agency, advertising media and research organizations — three agencies supporting or promoting advertising — are external to the advertiser's own organization. Other institutions are controlling; they interact with the advertiser and influence their decisions in different ways. Government agencies and competing organizations are the two most important control factors. Markets and consumers with which the advertiser is trying to establish contact through advertising can be considered as two additional external factors promoting and controlling advertising.

10.2.1 Basics of advertising and promotional activities

Fig. 9.14. The main elements of the market involved in the field of advertising management.

In order to reduce sales costs, advertising is applied to ensure that advertisements are transmitted to a wide range of people — the target audience. Thus, from the point of view of the marketing function, the overall purpose of advertising is to reduce marketing costs.

The main provisions of the code of advertising practice were reflected in the State Duma of the Federal Law on Advertising adopted on June 14, 1995 [76].

The general provisions of the law state that its goal is to protect against unfair competition in the field of advertising, to prevent and suppress improper advertising that can mislead advertising consumers or harm the health of citizens, property of citizens or legal entities, the environment, or harm to honor and dignity. or the business reputation of these persons, as well as encroaching on the public interests, principles of humanity and morality.

It should be noted that under the influence of the development of market economy institutions, the improvement of its infrastructure, as well as the emergence of new public, moral and social priorities and values, advertising has constantly evolved towards the formation of a civilized advertising market.

Advertising is a type of communication carried out with the help of various technical means and methods of disseminating commercial and other information.

Participants in the advertising process are:

  • advertisers;
  • advertising performers (advertisers);
  • advertising distributors (mass and other information).

An advertiser can be an enterprise of any legal form, as well as public organizations, an individual or a group of individuals who have expressed a desire to order and implement an advertising appeal on their own behalf that does not contradict the established principles and rules. Advertisers can also be joint ventures, international associations, foreign customers.

The advertiser of the advertiser’s orders can be a specialized state, cooperative, public and any enterprise based on any other basis of ownership.

Advertising executives carry out the order of the advertiser independently or with the involvement of other enterprises and organizations.

Distributors of advertising are both media and all other means of distribution available for use by the advertiser. Distributors of advertising represent a place in newspapers and magazines, screen and airtime by the order of an advertiser or advertising performer, and also provide services related to bringing advertising messages to target groups of consumers.

Advertising management is carried out through an advertising campaign.

An advertising campaign is a set of promotional events developed in accordance with the marketing program and aimed at consumers of goods, works, services, representing the relevant market segments, with the aim of provoking their reaction, facilitating the solution of their strategic or tactical tasks by the manufacturer.

It is necessary to take into account several factors, first of all, that the advertising campaign is a complex of events distributed in space and time.

An advertising campaign is the result of joint coordinated actions of the advertiser (producer or seller of goods, work, services) as a customer of an advertising campaign, advertising producer — advertising agency as creator, organizer and coordinator of a campaign, advertising distributor — means of advertising distribution, as a channel leading an advertising message to the consumer .

Advertising campaign * - purposeful striving to influence the sale or purchase of goods, works, services.

It should be noted that the advertising campaign is an integral part of the strategic plan of the enterprise. Stages of planning an advertising campaign are presented in Fig. 9.15.

10.2.1 Basics of advertising and promotional activities

Fig. 9.15. Stages of planning promotional activities of the enterprise.

Methods of planning advertising activity (advertising campaign) are determined by the nature of the strategic objectives facing the company.


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