Advertising industry assignment

Regional markets remain key centers for growth Consumption from key regional markets continues to have a high growth. Key media players are focusing on acquisitions and expansion opportunities in regional markets based on higher rates of advertising revenue growth and better insulation from the slowdown than in metros. Revenue models still advertising dependent The revenue models are still advertising dependent therefore, it remains sensitive to the impact of the economic slowdown. Regulatory and policy support There is a dire need for measures to aid curtailment of piracy and encourage investments to support growth.

Regulatory interventions have been a key enabler of growth. Gaps in availability of skilled media and entertainment professionals With potential growth of TV and radio broadcast channels, skill intensive film sectors, animation etc, the need of skilled personnel would increase. In a talent driven media sector, companies could potentially differentiate based on ability to attract and retain the right people Size and Growth of the Market The total advertising annual spending is estimated to USED 5 billion, primarily on television and radio alone.

Digitization: Digitization is a engagement that has changed, and continues to change the global media industry and plays a key role in the media field. In Finland, for example, the Internet has already surpassed television as the most important media. Advertising, marketing, buying and selling also increasingly take place in the online realm. Digitization has also facilitated many other development trends that have a significant impact on the media industry, such as the popularity of social media and the rise of citizen Journalism. The way consumers use media is also undergoing a major shift.

As people feel busier and busier, their use of time becomes more fragmented and so do their media needs. Many people now seek media content to fill passing idle moments in fragmented daily life by using quick and location-independent platforms such as various mobile devices. The nature of media consumption and consumer expectations regarding the media they use can also change from one moment to the next: sometimes people Just want to access information quickly and efficiently, at other times they look for more experience-oriented and thought-provoking content, characterized by a slower consumption speed.

Important statistics to support the above are: Indian advertising industry with an estimated value of estimated 13, 200-core. It grew by 17% in 2011 and added about 890$ MN to the existing Ad. Pie worth US$ 5248 MN. Indian Ad spend as a percentage of GAP is 0. 34% India is 3rd in the growth rate of the advertising industry: The advertising industry is growing at a rate of 8-9% per annum Market share of different media in India: Leading advertisement channels are newspapers and television with a combined market share of 75%.

Online spending on advertisement is expected to grow at 25% per annum with online advertisement budget crossed USED $Mann by 2012. The Competitive Scenario: Competition in the media industry has intensified greatly in the 21st century, with the battle over consumer and advertiser customers becoming tighter and more international. Advertisers can now choose from a broad variety of digital alternatives with a global reach to build and strengthen customer relationships. We have come a long way from the time when domestic newspapers were competing only against other domestic media for the euros spent on advertising.

Cygnus PR, Lodestar Brand Experience, FCC Alkali Interactive , Cogitator Consulting, Orion Promo Cash, FCC Alkali Healthcare, Proctor Graphics Data Motors, Data Televises, Whirlpool, Maul, Hero Honda, CHIC Bank, Wiper, Zee Tilefish , TIC Foods, Data Consultancy Services 9. Contract Advertising Creative: 94, Servicing : 81, Production: 5, Account planning: 10 ‘ Contract, Designator : HASH, UNIT, Catbird , Dabber, Data Group, Shoppers’ Stop, J Industries, Modular Garments , Wiper, Asian Paints 10. Redefinitions DRY Creative: 83, Servicing : 102, Production: 25, Account planning: 9, Media planning: 65

Redefinitions PR, Showdown Worldwide, Wunderkind India, POP, TEM Birth, Colgate, loch, Oneida, Citibank, Digging Media, Data Motors, Franklin Templeton, INS Life Insurance, Tax Group Market implications for existing player’s and new entrants: Indian economy is on a boom and the market is on a continuous trail of expansion. With the market gaining grounds Indian advertising has every reason to celebrate. Businesses are looking up to advertising as a tool to cash in on lucrative business opportunities. Growth in business has led to a consecutive boom in the advertising industry as well.

From the customer’s perspective, this is a high involvement purchase. Once the customer gives his requirements, the team from JET which handles the project does a thorough research of the market and incorporates all the important findings in the concept of the ad. This forms a very crucial step because the ad is a medium through which the company want to position itself or its product. An improper ad or an ad which is not in tune to the current markets tastes might lead to wrong positioning or ineffective ad campaign. There are two ways in which they carry out their business 1.

They approach a customer. E. G. Political parties, inactive clients etc. ) 2. The customer approaches them In either case they have to present the customer the proposal for the ad. If they like it they go ahead with the project. Sometimes they themselves approach an old client whose is inactive and present him with the market research the conducted three to four alternatives and leave the final decision to the customer. The new clients get information about JET from their past clients, projects, websites and WHOM. Target Segment and Positioning JET has positioned itself as a premium service provider.

Processes: The process of service delivery is crucial since it ensures that the same standard of service is repeatedly delivered to the customers. They have a recess blueprint which they follow for every project that comes their way. Physical Evidence: They have studios where they carry out the ad-project. They try to make the ambiance of the office in such a way that it would pleasing to the customer who walks in. Service Process and Blueprint: JET has a predefined sequence of activities which they adopt each and every time they get a project. They have a two process which they follow depending on the type of project they get I. . Either small project or a large one. For a large project: 1 . The client’s first interaction will be with the Account planner’s team. They plan the whole campaign for the client’s which includes which media platform to be targeted and other details. Sometimes they rope in other companies to do the media planning for them. 2. The information is then passed on to the Client servicing team. This team requirements in detail. They then create a story line which forms the Jest of the ad film. 3. This is then passed to the creative team who actually make the ad. 4.

Once an initial version of the ad is made it is shown to the clients in presence of all the teams involved. 5. Any suggestions or feedback given by the client is noted and necessary hangers are made to the ad. This is repeated till the client is satisfied with the output. 6. Once the ad is released many a time a review is done to find out how the ad performed with respect to their expectations. A large project basically includes new ad campaigns of large companies like PepsiCo, Retailer, election campaign for political parties like Congress etc. For a small project: 1 .

There would be less street color. There would be less to talk about. “ Life would be simpler but it would be boring…. Everybody would have what they’ve got and then that’s it. You’d end up buying the same thing week in week out” – a shopper at the Nikkei Store, Stake 4. Advertising is an indicator of the vitality of a brand r business Advertising is inevitably perceived as a selling tool but it is also for consumers a barometer of the economy. For those not involved in business, the advertising is the key indicator of a company or brand’s health.

As one customer points out: “ A brand that has a great deal of good quality advertising must ‘ be doing well’. ” 5. Advertising size matters The perceived scale of any advertising is important to the way consumers receive it. If advertising is thought to have a lot of money behind it or to have significant presence then this adds credence to the message and adds stature to the brand. So large spaces, mainstream media, sustains presence, the use of color, a clever or ‘ big idea’ all add weight to the advertising and positive perceptions of the brand. 6.