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The developments in the
global economy during the
last two decades are indeed startling and there is no doubt
that advertising of products and services has also been influenced by
these trends. What were initially local economies confined to a few
places have now become global. The technological marvels in
recent times have been instrumental in knitting different countries
together and making industries assume a global perspective.
Advertising strategies have changed significantly in almost all the product ranges.
The two main objectives of informing and persuading consumers,
which advertising primarily seeks to accomplish, have taken
new dimensions. In effect, the creation of a favorable impression leading
to the purchase of a product is the sine qua non of advertising and marketing today. Several strands
deserve attention here. From the overall perspective, promotion of a
product assumes importance and this hinges on greater awareness about
brands, brand recall and recognition. In these days of intense
competition, external incentives seem to play a more pivotal role than
inherent product qualities.
Promotional activities with incentives like rebates,
discounts, giveaways, etc., may result in a rise in sales, but this could be only for
a short-term. According to some advertising experts,
incentive-based promotions are akin to a
`dangerous narcotic' and "it feels good in
the short run, but, in the long run, it is addictive and ultimately
highly destructive. Also, such promotions undermine
the image-building investments in advertising and erode brand loyalty by
encouraging consumers to make purchase decisions on the basis of
price, rather than brand attributes."Eventually, they could lead to a decline in profits.
Turning to the electronic media (especially, television) almost
all advertisements related to consumer durables and other goods use
women and children for promoting their products. There are
several examples of these: Lion Dates Syrup, wherein a small girl gives
her brother the product and tells him that he can build his strength
and become a cricket captain only by using it. The mother chips in
and gets another bottle for her hair fall. Lifebuoy Soap and MTR
Gulab Jamun are also in this category. In the latter ad, the boy hoodwinks
the mother that he came second in the race but the father finds out
that only two had participated in the race. The various components of
services marketing like price, product, physical evidence, process
and people are all brought into play by today's companies in their
products and services. |
