Advertising and Sales

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Programme:- BBA

Semester:- 3
Name:- JAIN HARDIK MAYUR
Roll Number:- 2114501175
Course Name and Code:- Advertising and Sales
(DBB2105)
University Mail ID:- jain.2114501175@mujonline.edu.in
SET – 1

Q. 1 Explain the concept of Advertising while having some light on the history of the
Advertising. Also, to detail five basic components of Advertising.
Answer→ The term “Advertising” derived from the latin word, “advertiser” which means “to turn
the mind to”. It is a way of communication. Advertising is a tool of marketing which holds number
of messages about the products, services, price, etc.
“The initiative and an attempt to influence the buying behavior of the targeted market and
consumers through different types of promotional and marketing activities is known as
Advertising”.

History of Advertising:- Advertising has started since the time of civilization. The environment
which gave rise to the advertising was shaped by the three major forces. The first and foremost
was the start of demographic ideals which being realized. Then secondly, the advertising, which
was a component of the industrial revolution swept through the united states in the latter part of
the 19th century. The transition from rural to urban society was the third significant social
development. While all of these factors were important in the evolution of advertising, the efficient
transportation facility and consistent quality of goods sets the stage for advertising in the 20th
century. And the advertising in 21st century involves the usage of internet, computer technologies,
television, etc.
The history of advertising is majorly divided into four parts, which are as follows –
1. Pre-marketing era:- It consist of the prehistoric times until the middle of 18th century. The
communication in this times was primitively best.
2. Mass communication era:- This era starts from 1700s and ends till the early 1900s. In this
era the communication is faster, so the advertisers can reach the larger part of the
population.
3. Research era:- The last 50 years from now are comes under the research era. The research
era closed as perfect campaign as in this era the techniques and technologies improved,
target markets becomes shorter, etc.
4. Interactive era:- Generally the customers use interactive communication in this era. Instead
of mass media sending one-way messages to the audience, the audience decides when and
where the media can reach them. This has significant control implications for the
advertising business.
The five basic components of advertising are as follows –
1. Paid Communication:- It is a type of paid communication, whereas some of the formIs of
advertising such as word of mouth publicity, Public Service Announcements (PSAs), etc.
are unpaid.
2. Identified Sponsor:- The message is not only paid for, but the sponsor is also easily
identified.
3. Influence over Consumers:- In many advertises, the advertiser tries to influence the
customer to do an action. But the end target is to make the targeted audience aware of the
company’s product.
4. Reach:- The main aim of the advertising is to reach a bigger audience of targeted
consumers.
5. Media:- The advertising message conveyed to the audience through different types of mass
media. They are mostly non personal and targeted for larger audience but in modern era
the advertising is being more interactive and personal because of internet.
Q. 2 Write a detailed note on Hierarchy-of-effects Model of advertising in detail.
Answer→ Hierarchy is called as a ladder system. It starts from bottom by making awareness in
consumers mind about the brand/product and ends by making those consumers as loyal consumers
of their product/brand. This whole model is made to demonstrate that how a consumer changes
from being unaware to a particular brand to understanding the brand and finally becoming an end
consumer. This model is explained differently in different books. Generally it suggest that a
consumer passes through six steps while purchasing any product which are as follows –

1. Awareness:- The first and the most important step in this hierarchy-of-effects model is
awareness. It is important to create an awareness about the brand/product/company in
consumers mind. They might not heard about the brand/product so it is important to aware
them by repeating the product name or brand name.
2. Knowledge:- The second step in this model is Knowledge. Now, the consumer is aware of
the brand/product, but he has not that much knowledge about it like “Whether the product
can satisfy his/her needs?”, “What are its pros and cons?”, “How the product is different
from its competitors product?”, “Who are the target audience of the product?”, etc. The
solutions for this types of questions are answered in this step.
3. Liking:- The next step in hierarchy-of-effects model is “liking”. It means the benefits of
the product/brand to the consumer. For ex – “It’s a good product”, “it’s more convenient”,
etc. But it is not necessary that every targeted consumer will like your product. Some of
them might find any problem in it. So the communicator has to find out the problem of the
consumers regarding the product/brand and should try to fix it.
4. Preference:- After the “Liking”, “Preference” step comes into existence. It suggests that,
may the target audience liked the product but they doesn’t want to prefer it to others. So,
in this case the communicator try to make the consumer preference by promoting the
quality of the product, its performance, values, etc. The communicator can also measure
the preferences done by the targeted audience, before and after a campaign to know about
its success or failure.
5. Conviction:- Conviction is that stage of this model in which the target audience might
prefer the product/brand to others but they don’t have that confidence to purchase it. So the
communicator here, should make a conviction among the target market.
6. Purchase:- And finally the last step of this whole model is purchase. Here, the targeted
consumer makes their decision to whether buy the product or wait to buy it in future. So,
the communicator here offers the product at a low cost, gives amazing discounts for first
users, etc. to make a purchase of their product. And after doing this, the most of the
consumers buy the product and few of it goes to search out information
Q. 3 Detailed the Print Advertising. Further to explain the various Characteristics of the
Press, include suitable examples to support your answer.
Answer→ Print advertising means the use of printed media like newspapers, journals,
magazines, posters, outdoor boards, etc. to advertise the product/brand or to convey a
sponsored message to the target audience. It is one of the most oldest form of advertising. Even
it is 21st century and digital era is going on, but still print advertising is an effective way to
reach people. It is found that 92% of 18-23 years age group of people reads print media over
the digital media. So, it is an effective advertising tool for every product/company.
The characteristics of a press are given as follows –
1. Very Deep Coverage and Permanence:- The coverage and permanence of the electronic
media like radio, television, etc. is very short. In television and radio once the
advertisement is gone, it will later come after a long time, so we can’t re-listen or watch
it again immediately. But at the other hand the coverage and permanence of the print
media such as newspapers, magazines, etc. is comparatively longer than the electronic
media, as we can re-read it number of times, cut-out the important page and can keep
it for longer period, etc.
For ex – if a builder wants to sell flats of a new building, then print advertising is more
appropriate for him rather than the electronic advertising.
2. Different Subjects covered:- Many different subjects can be covered through the press,
which cannot be covered through electronic media such as radios and televisions.
For ex – a newspaper contains every type of information from politics, religious, etc.
to sports and entertainment. Also there are different types of magazines for different
target audience like sports magazines, Bollywood magazines, etc. So a press can reach
at right target audience at right time through various different mediums (newspapers,
magazines, journals, etc.)
3. Mobility:- The newspapers, magazines, books and other print medias can be carried
easily at anywhere and can read at any place. While we cannot carry the television or
radio anywhere.
For ex – we can read newspaper in our house, in office, while traveling, out of station.
4. Results assessable:- It is possible to compare the pulling power and cost effectiveness
of various journals by using coupons and the traditional use of keys/codes. It is possible
to evaluate by dividing the cost of space by the total number of responses received.
5. Statistics available:- There is a lot of statistical data about many newspapers and
magazines because the net sales are studied in industrialised nations and increasingly
in others. The media planner can present computer calculations to the media
salesperson to support the media schedule of suggested space and airtime bookings.
6. Improved Printing:- The technology in press and print media has been changed.
Nowadays, offset litho printing is done for the newspapers and magazines. The quality
of a black and white picture is also amazing nowadays just because of this offset litho.
Also the magazines printed in this offset litho are more sharp and have better finishing
than others.
For ex – various colorful and black and white quality pictures are their in the
newspapers, which helps to understand the message easily.
SET – 2

Q. 4 Discuss the Sales Management Strategies in detail, while explaining the suitable example
to support your answer.
Answer→ A strategy which contains a plan that positions the company’s product or brand to get
a competitive advantage is called as Sales Management Strategy. A good strategy always helps to
focus on the target audience and try to communicate with them in different and meaningful ways.
A successful strategy is to spend time on a right targeting audience at right point of time.
There are different types of sales management strategies which are discussed as follows –
1. Direct Strategy:- In Direct strategy, the sales person of company directly attacks to their
competitors while communicating with the customers. They discuss about the various
features in the competitors product and compare it with their own product. This is the most
“negative selling” technique as it sells the product by comparing it with competitors
product.
For ex – salesperson compare about prices with the competitors product for selling his
product.
2. Indirect Strategy:- Indirect strategy is opposite of direct selling and so it is the most
“Positive Strategy” for sales. In this strategy, the salesperson talks about those benefits and
features of their product which are not in the competitors product. Also the salesperson
doesn’t mention the competitors name or their product name while selling their product.
For ex – Bisleri (packaged drinking water company) advertises its bottle by comparing to
an “Ordinary water bottle” rather than “Kinley” or “bailey”. There are many examples who
uses the same strategies such as “washing powder companies”, “Soaps”, etc.
3. Relationship Strategy:- It is a partnership type of strategy where a customer is treated as a
partner of a company. Here a customer gains mutual support, trust and goals that nurtured
by time.
For ex – LIC company helps their customer in providing policies and makes a connection
with them for lifetime.
4. Double-Win Strategy:- This strategy means a win-win situation for both, the salesperson
and also for the consumers. This strategy includes schemes, offers, etc. so a consumer gets
the product in low price whereas the salesperson clears his stock rapidly.
For ex –
• Myntra’s - “End Of Reason Sale (EORS)”, Flipkart’s
• Flipkart’s “Big Billion Days”
• Big bazzar’s “Maha Bachat Offers”
5. Integrated Strategy:- The strategy which is nothing but consolidation of selling and
distribution is called as Integrated Strategy.
6. Client Centered Strategy:- As the name suggests the strategy is based on clients i.e.
customer. The main focus of this strategy is on client’s needs, problems and successes.
This strategy requires full information of a client whether it is based on its personal life or
professional life.
For ex – every hospital has client centered strategy because they requires every information
of their client.
7. Hard Sales Vs Soft Sales Strategy:- It is an important aspect of a sales strategy to find new
and potential customers. While finding, the salesperson generally use two strategies. First
is “Hard strategy” – which involves pushing the product, presenting their features, self-
concerned, talking about the product with consumer, canned presentation, etc. And the
second is “Soft Strategy” – which involves providing the purchasing opportunities,
presenting the benefits of the product, customer-concerned, listening to consumers
regarding their views and opinions, an open discussion with consumers, etc.
8. Territorial Strategy:- This strategy is more efficient when the products are of single line
but their customers are expanded in a larger area. In this strategy, a salesperson/sales
representative has given a particular territory to sell the multiple products from the product
line of the company.
For ex – sales representative of various FMCG companies such as nestle, Hindustan
unilever, etc., plumbing companies such as truflo, kissan, etc., electrical companies such
as anchor, greatwhite, etc., paint companies such as Asian paints, indigo paints, cement
companies such as ACC Cement, Ambuja Cement, etc. have their given territory and they
sale their products only in that particular territory.
9. Product Sales Force Strategy:- This strategy is generally used while selling a long product
line. A sales representative here focusses on selling small group of products. Healthcare
businesses generally comes under this strategy where the salesperson focusses on selling
some products to doctors and other healthcare providers. An effective sales strategy
requires market knowledge, should know about the modern trends and about their
competitors.
Q. 5 Explain the concept of Personal Selling. Detail the objectives of Personal Selling.
Answer→ Personal Selling is an act of convincing the target audience to purchase the company’s
product or service. It is one of the most effective promotional method because there is face -to-
face conversation between both, the buyer and the seller. The main objective of this concept is not
just to sell the product, but to make the buyer a permanent customer.
According to the American Marketing Association, “Personal selling is the oral presentation in a
conversation with one or more prospective buyers for the purpose of making sale, it is the ability
to persuade the people to buy goods and services at a profit to the seller and benefit to the buyer”.
For ex – If a television company wants to sell their new LED TV, then the company send their
sales representative at the prospective buyer’s house. The sales representative then explain its
features and benefits to the prospective buyer. He/she also explains about the price and guarantee
of the product and tries to influence the customer to make a purchase of that product.
The objectives of the Personal Selling are as follows –
1. Building Product Awareness:- The customer will buy the product, only when he/she knows
about it and should be aware about it. It is necessary that the sales representative, educate
and tells the customer about the new product. Also nowadays the salesperson discuss about
the product in different exhibitions and industry trade shows with the people. So Building
Product Awareness is very important in marketing the products and services of the
company.
2. Creating Interest:- Personal Selling is a natural way for getting people to encounter a
product for the first time since it involves interpersonal communication. So it creates
interest along with building the product awareness which helps the salesperson to attain
both the goals with the targeted customers at the same time.
3. Providing Information:- After building the product awareness and creating interest, the
customer requires information about the product before buying it. So the sales people tells
the customers about the benefits of the products, their functions and also provide them the
brochures, research reports, etc. of the product which helps in buying decisions of the
customers.
4. Stimulating Demand:- This is the most important objective of the personal selling. It means
to persuade the customer to buy the product or service of the company. But it is only
achievable if the demand is stimulated and created with diverse selling strategies.
5. Reinforcing Brand:- For some companies, the main objective is not just to sell the product
but to create a long term relationship with their customers. A strong connection with a
consumer demands frequent contact and can only be formed over time. Interacting with
clients on a frequent basis allows salespeople to repeatedly discuss their firm's offerings,
which helps consumers learn more about what the company has to offer.
So this are the objectives of the Personal Selling.
Q. 6 Write a detailed note on types of Sales Organization Structures, include suitable
examples to support your answer.
Answer→ Some of the types of the Sales Organization Structures are as follows –
1) Line Sales Organization:- This is the first, oldest and the most simplest form of Sales
Organization structure. In this structure, the chain of command goes vertical from top level
(Chief Executive Officers, managers, etc.) to the bottom level (salespeople, other
employees, etc.). Every salesperson is guided by one person who is higher than his post
and the salesperson responds to assigned assignments. This is the most important aspect of
this structure because every member of the organization reports only one superior, so it
reduces confusion. This structure is perfect for the small companies but it is very hard for
the big companies.

For ex – ABC company uses line organizational structure. The top management has CEO
of the organization, production manager and marketing manager comes under the CEO,
then the assistant manager (A) and assistant manager (B) comes under the production
manager whereas Sales Officer (A) and Sales Officer (B) comes under the marketing
manager. All the engineers then comes under the Assistant managers (A & B) and the
salesperson comes under Sales Officers (A & B).
2) Line and Staff Sales Organization:- When the company expands its business in terms of
sales, product lines, market coverage, etc. it is difficult to follow the line structure and so
Line and Staff organization structure comes into existence. This structure is nearly similar
to the line organization structure, only the staffs (specialists) are added in the company.
Instead of one person leading the whole organization, the organization appoints qualified
supervisors to manage associates, which maintains the authority of leadership. They also
hires industry experts to complement the work of line managers. This structure of
organization is mostly used in the medium and large companies. However it is more costly
than line organization structure as staffs are increased in this structure.
For ex – XYZ company uses the line and staff organization structure in their organization.
So here, the top management has Chief Executive Officer. The Economist and legal advisor
officer works as specialists (staffs) and helps the top management and other managers of
the organization in their work. Then there are marketing manager, finance managers and
production managers, they have their supervisors and the workers works under them.
3) Functional Sales Organization:- This structure has the principle of specialization of work.
In this structure, every person of the organization such as executives, sales people has given
different duties to perform. This sales organizational structure is ideal for improving the
performance of executives or salespeople since everyone is allocated jobs based on their
capabilities. Yet, conflict might happen due to lack of good cooperation.

For ex – DEF company follows the Functional Sales Organization Structure. There is a
CEO and he/she has given the task to the managers works under him/her such as marketing
manager, production manager, HR manager, IT manager, Customer Service manager, etc.
4) Committee Sales Organization:- A group of people performing some aspects of managerial
functions is called as Committee Sales Organization. This is the structure where there is
not any basic rule exists, however, for the enhancement of the firm’s performance, the
committee is made up, which have the sales executives, salespeople, or mixed. It aids in
the development of better committee cohesion, but at the time of decision-making, conflicts
can happen due to the roles given.
For ex – PQR is a company which follows the Committee sales organization structure.
Here, there are Board of Directors at the top management and various committees are their
under the BOD which are Finance Committee, Executive Committee, the General
Manager, Purchase Committee and the Promotion Committee.
So the above are the four major types of Sales Organization Structure.

--------------------------------------------------Thank You--------------------------------------------------

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