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Recently, a working group to assess the volume of regional advertising markets, created as part of the ACAR Commission of Experts, assessed the volume of regional advertising in 13 cities with a population of over a million, excluding Moscow. The group met for the second time and summed up the results for the first half of 2015 in comparison with the same period of the previous year. The examination includes four media segments: television, radio, press and outdoor advertising. This material is a detailed analysis of the results obtained.

The total volume of regional advertising budgets for 13 cities amounted to over 11.6 billion rubles. excluding VAT, which is 25% less than the corresponding figure for last year. For individual cities, the dynamics vary from -18% to -33%.

Region						Dynamics, %
	TV	Radio	Press	Outdoor advertising	Total for 4 media segments
Volgograd	84	43	45	186	359	-23%
Ekaterinburg	330	101	186	394	1012	-29%
Kazan	234	94	229	286	844	-21%
Krasnoyarsk	176	83	99	257	615	-23%
Nizhny Novgorod	238	102	144	227	711	-18%
Novosibirsk	280	105	180	398	963	-21%
Omsk	145	62	65	250	521	-19%
Permian	178	72	94	178	523	-26%
Rostov-on-Don	168	86	82	254	589	-31%
Samara	228	72	129	180	609	-31%
Saint Petersburg	1314	439	518	1451	3723	-27%
Ufa	174	66	59	261	560	-24%
Chelyabinsk	191	75	85	286	636	-25%
Total for 13 cities	3 739	1 402	1 917	4 609	11 666	-25%

In general, the volume of advertising markets in individual cities correlates with population size. But if we recalculate advertising expenses into a specific indicator (per capita), the emphasis shifts slightly (Table 2). For example, the most “valuable” audience is not residents of St. Petersburg, as one might think, but residents of Yekaterinburg, each of whom accounts for 749 rubles in local advertising expenses. Residents of Kazan are in second place, and St. Petersburg residents are in third place.

Region	Population, thousand people 1	Advertising volumes, million rubles. without VAT
		TV	Radio	Press	Outdoor advertising	Total for 4 media segments
Volgrad	1 021	82	43	44	183	352
Ekaterinburg	1350	245	75	138	292	749
Kazan	1 144	205	82	200	250	738
Krasnoyarsk	977	180	85	102	263	630
Nizhny Novgorod	1 251	190	82	115	181	568
Novosibirsk	1 474	190	71	122	270	654
Omsk	1 166	124	53	56	214	447
Permian	991	179	73	95	180	527
Rostov-on-Don	1089	154	79	75	233	541
Samara	1165	195	62	111	154	523
Saint Petersburg	5132	256	86	101	283	725
Ufa	1062	164	62	56	245	528
Chelyabinsk	1130	169	67	75	253	563
Total for 13 cities	18 952	197	74	101	243	616

The shares of media segments in the total volume of regional advertising vary from city to city in a fairly wide range (Table 3). This variability is the result of a combination of a large number of factors: media, socio-cultural, economic, territorial, historical and others. Of course, such an indicator is “the average temperature in the hospital,” and it cannot be interpreted as some kind of “the most common media split in the city.”

The most stable segment in terms of market share is radio, the share of which varies from 10 to 15%, and in 8 out of 13 cities it is at the level of 11-12%. Outdoor advertising, on the contrary, has the largest range (30-52%). It is interesting that the shares of TV and outdoor advertising in different cities are almost always in antiphase: the more budgets are spent on TV, the less on outdoor advertising, and vice versa. In total, these two segments in 9 out of 13 million-plus cities account for 70 to 78% of local advertising budgets.

Shares of media segments in the total volume of regional advertising in individual cities

Region
	TV	Radio	Press	Outdoor advertising	Total for 4 media segments
Volgograd	23%	12%	13%	52%	100%
Ekaterinburg	33%	10%	18%	39%	100%
Kazan	28%	11%	27%	34%	100%
Krasnoyarsk	29%	13%	16%	42%	100%
Nizhny Novgorod	33%	14%	20%	32%	100%
Novosibirsk	29%	11%	19%	41%	100%
Omsk	28%	12%	12%	48%	100%
Permian	34%	14%	18%	34%	100%
Rostov-on-Don	28%	15%	14%	43%	100%
Samara	37%	12%	21%	30%	100%
Saint Petersburg	35%	12%	14%	39%	100%
Ufa	31%	12%	11%	47%	100%
Chelyabinsk	30%	12%	13%	45%	100%
Total for 13 cities	32%	12%	16%	40%	100%

TV

In general, for 13 cities in the first half of 2015, regional television advertising budgets decreased by 21% compared to the corresponding period of the previous year, while the variation from city to city is quite large. Advertising investments on TV fell the least in Kazan, Nizhny Novgorod, Omsk, Samara and Ufa (the average dynamics for these cities is 14%), and the most in Volgograd and Chelyabinsk (on average - 29%).

The deteriorating situation in the economy manifests itself not only as a reduction in market volume, but also indirectly - in trends in individual advertised groups of goods and services. For example, the categories of passenger cars, audio, video and household appliances, financial and insurance services have traditionally been unique indicators of the economic climate and consumer sentiment, and in the first half of 2015 they all reduced not only absolute advertising budgets, but also market share both on TV and in outdoor advertising.

The share of the trade organizations category, which accounts for almost a third of all regional television advertising budgets, and about a quarter of the money spent on outdoor advertising, remained unchanged. The share of pharmaceuticals continues to grow, and this is already beginning to cause slight bewilderment. Let us recall that, for example, in the federal TV segment this category is now in first place and occupies 27%. The share of “pharma” is growing almost everywhere - both in traditional media and in new ones. In the regional segment, for obvious reasons, the category’s share is more modest - it is only third place and about 11% of the segment’s budgets, but this is one of three categories that have increased their market share.

The other two categories are real estate and leisure (entertainment, tourism, recreation). Real estate is the record holder for share growth in the regions. The state is trying to stimulate demand for primary housing by subsidizing and reducing mortgage interest rates, making it more attractive. Developers, faced with a decrease in demand, began to offer discounts. Of course, all this needs to be promoted and conveyed to the consumer.

Total placement volumes compared to 1 sq. 2014 decreased by 8% and amounted to 16.3 million sq. m. m. Along with the fall in demand for inventory, in April 2015 there was also a decrease in average sales prices.

Since the beginning of the year, operators have significantly reduced the average transaction price. Cost of placement per 1 sq. 2015 decreased by 20% (using the example of the “3*6 shield” format). Significant price changes occurred in Moscow and St. Petersburg: a decrease of 19% and 29%, respectively.

Commercial workload decreased on average in the first half of the year from 66% in 2014. up to 60% in 2015

Let's take a closer look at what the first half of 2015 was like in the regions. Nizhny Novgorod reduced advertising by 4% in the first half of 2015. There is a “low base” effect: by the first half of 2014, a large amount of inventory was dismantled in preparation for trading. After the auction, the amount of inventory increased (+14.5% in total for 6 months of 2015 compared to 2014). In total, the number of commercially loaded parties increased by 3.9%.

In Samara the opposite situation is observed. In the process of combating “illegal” advertising, the total amount of inventory in the first half of 2015 decreased by 48.1%. In Volgograd, as well as in Samara, the authorities have been actively engaged in the fight against illegal structures all year. At the end of the first half of the year, there was a decrease in commercial load from 66% in 1 square. 2014 up to 59% in 1 pl. 2015.

In the first half of 2015, there was a significant decrease in advertising in St. Petersburg, Yekaterinburg and Rostov-on-Don. This is largely due to the fact that the administrations of these cities were unable to organize auctions (or did so only partially). This does not add confidence to the markets.

In Novosibirsk, despite a slight reduction in inventory (-12.5%), the level of commercial occupancy practically did not fall (61% in the 1st half of 2015 versus 62% in the 1st half of 2014). The situation in the city is controlled by a strong local player (number one east of the Urals). Prices have increased by about 10% over 12 months.

In connection with the crisis situation in the economy, the Kazan authorities introduced an anti-crisis reduction factor for 4 months (March-June), used when calculating rent, and also clarified the size and location of certain types of advertising structures and allowed the installation of poster stands. According to the head of the outdoor advertising and information department of the Kazan executive committee, Irina Dyabilkina, the introduction of a reduction factor will reduce the fee to the budget by 20%, while support for the industry will amount to 5.5 million rubles. At the end of the first half of 2015, outdoor advertising in Kazan decreased by 22%, while advertising space remained virtually unchanged (the drop was 3%).

More than 1.1 thousand illegal advertising media have been dismantled in Krasnoyarsk since the beginning of the year. In total, by the end of the year, the city authorities plan to demolish over 3 thousand such structures. At the end of the first half of 2015, advertising budgets decreased by 23%, and advertising space by 15%. According to the city administration, in 2013-2014. In Krasnoyarsk, about 7 thousand structures of various formats, installed without the appropriate permits, have already been dismantled.

Against the backdrop of a general decline in both advertising budgets and inventory, we can identify a group of cities in which the area of ​​advertising surfaces has not decreased, and in some cities even increased. In Ufa and Chelyabinsk, advertising space remained virtually unchanged (-1% and 0% by the 1st half of 2014, respectively). In Omsk, an increase in inventory of 1% was recorded, in Perm there was an increase of 5%. However, commercial traffic has decreased significantly. In Chelyabinsk from 68% to 61%, in Ufa from 78% to 67%, in Omsk from 69% to 61%. In Perm, a decrease in commercial load (from 66% to 50%) was accompanied by an increase in space and a decrease in advertising budgets. The reduction in advertising budgets for these cities ranged from 15 to 20%.

RADIO

At the end of the first half of 2015, the volume of the regional radio market decreased by 22%, amounting to 3.1 billion rubles. (excluding VAT). The growth rate of the first quarter of 2015 turned out to be better than the second in comparison with the comparable periods of last year.

The total volume of local radio advertising in the 13 largest cities amounted to 1.4 billion rubles. (excluding VAT), which is 22.2% less than last year’s value. Five cities - Krasnoyarsk, Novosibirsk, Rostov-on-Don, Samara, Chelyabinsk - showed dynamics better than the market average. The lowest rate of decline was observed in Krasnoyarsk (-12.6%), the highest in Yekaterinburg (-32.6%) and Omsk (-31.6%).

The majority of advertising budgets on regional radio continue to be concentrated in six product categories: “Trade services”, “Real estate”, “Transport and transport services”, “Tourism and recreation”, “Medicine”, “Financial and insurance services”. These categories provide about 80-90% of regional budgets. The leading categories (TOP-3) in all cities are still “Trade services”, “Real estate” and “Transport and transport services”. At the same time, the share of the latter category decreased slightly compared to last year’s figures (the most significant decrease was observed in Perm and Kazan - by 8% and 9%, respectively), but the “Real Estate” category continues to confidently increase its share - according to the results of the first half of the year, growth was observed in all cities (this segment grew most noticeably in Krasnoyarsk - by 9%, in St. Petersburg - by 7%, in Kazan - by 6%).

Most of the companies from the TOP 10 advertisers, providing about 15% of advertising volumes in 13 million-plus cities, continue to consistently place advertising on radio. A number of companies have increased the frequency of placements compared to last year.

PRESS

Regional press measurements are especially important for understanding the situation and planning during a crisis. Within the framework of the ACAR press working group, information from leading publishing houses with a developed regional network is analyzed. The basis for constructing expert assessments of the local press in cities is the database of the HirstShkulevMedia Publishing House, which combines data from more than 40 cities in Russia. Such a volume of expert assessments from leading industry experts makes it possible to talk about the objectivity of market assessments.

Among the four main media segments of regional advertising, the share of the press is 18%. Among the 4 main media segments of regional advertising, the share of the press is 18%. For comparison, for the market as a whole, in terms of these 4 media segments, this figure in the 1st half of 2015 was equal to 12%. However, in the wake of the crisis in the economy in general and the media market in particular, the total amount of budgets allocated to regional advertising in print media decreased by 35% compared to the first half of 2014.

The main decrease was due to advertising publications (-38%), which also decreased noticeably within the central press. The newspaper and magazine segments in the first half of 2015 showed a slower rate of decline in regional advertising volumes (-27% and -30%, respectively). There is reason to expect that the 3rd quarter of 2015 will be more successful for the local regional press - and the decline will slow down. Of course, the trend of the regional market is very dependent on macroeconomic factors, and it is extremely difficult to make specific forecasts in the current market situation.

Among the 13 cities under consideration, the lowest rate of decline in press income in the first half of 2014 was observed in Omsk (20%), the highest in Rostov-on-Don (-54%) and Ufa (-58%). In some regions

In the regional market, against the backdrop of the crisis, natural processes are taking place - some publications are closing, others are reducing their coverage and circulation, but local advertisers always find effective publications for advertising. TV guide magazines still have a strong position; in many cities, along with free advertising publications, these magazines are leaders in the local press.

The psychology of consumption among the population during a crisis is simple: many begin to save, look for better deals on the market even for food and household appliances, plan repairs more carefully, and so on. The more active advertising in the press begins to work, especially in the favorite newspaper that is read at home. Local advertisers are also aware of this fact, choosing the best newspapers and magazines in their city to include in their media mix.

Roman Kuznetsov, coordinator of the ACAR working group on assessing regional advertising budgets, AC Vi;
Andryushova Yulia, head of the analytical department of the VKPM;
Ekaterina Bessilina, VKPM analyst;
Sapunkova Natalya, expert of AC Vi;
Yuliya Ionova expert of AC Vi.

There are about 60 advertising firms operating in Rostov. Some of them specialize in outdoor advertising, others in allowing advertising in the media, and others in carrying out promotions. Some agencies have occupied the niche of producing printing and souvenir products. There are also full-cycle agencies in Rostov - that is, those who develop a comprehensive company promotion program and then implement it. There are no more than a dozen such agencies.

According to advertising market operators, in recent years the demand for advertising services has increased by at least 30%, which in monetary terms has translated into an increase in market volume by 50%. At the same time, the main clients of Rostov RAs are medium-sized businesses and small businesses approaching them in terms of turnover. Many large Rostov manufacturers who are interested in promoting their goods in all regions of the country prefer to turn to the capital's advertisers.

A simple observation of the use of advertising space clearly shows that complaints about the lack of creativity in the advertising market are not unfounded. If you take a close look at outdoor advertising and read advertising texts in the media, it becomes surprising and sad. Newspaper advertising has two extremes: either it is a mournful, sweet “song about yourself, your beloved,” overloaded with technical details of the products being sold, or an epoch-making story, after reading it to the end, you no longer remember the beginning and have difficulty understanding what is actually being advertised. It is clear that such advertising does not inspire confidence in the reader to whom such epics are addressed. But their customers begin to puzzle over why the advertising turned out to be ineffective, even if the target audience was chosen correctly.

There are plenty of gems in outdoor advertising as well. Sometimes it’s hard to even figure out what a “silent” advertisement “says”, for example: a huge bird in flight is associated with social advertising, and only after carefully searching the accompanying text with your eyes do you find small lines about the ticket office. You often have to guess what category of goods we are talking about: either sausage, or shoes, or cosmetics. It also happens, on the contrary, that advertising is overly “talky.” This is when a billboard resembles a cut-out page from a magazine, and the number of words literally dazzles your eyes. While in a moving vehicle, you barely have time to read five or six words out of 20 written, and even in capital letters, interspersed with printed ones and of different sizes. Maybe the spelling and discrepancy in fonts in billboard advertising and printed media modules are some kind of challenge from Rostov advertisers to our ancestors, who invented printed letters specifically to make reading easier and faster. And at the same time, psychologists who claim that the capacity of a person’s short-term memory is 7 characters.

Having seen enough of such advertising, you can’t help but think that either you are a dense consumer, since you don’t understand anything in the stream of symbols and words that have collapsed, or the claims to professionalism and creativity in advertising are not unfounded. One gets the impression that advertising is not a “delicious dish” for the consumer, prepared by all interested parties, but a means of their self-expression. Thus, the advertising customer competes with competitors to see who can put up more and more informative billboards on the same street or in the same newspaper, and the designer and copywriter compete to see which of them can fit more words or graphic symbols into one advertising space. It is important to distinguish advertising from information, because advertising is exactly what is designed to sell, it is a call, it is an impetus to action. Creating such advertising is the job of professionals.

The question of the effectiveness of advertising, of course, is of interest to its customers, but, as advertisers say, it often “goes away” by itself as soon as the conversation begins about the conditions that need to be met to determine it. Customers very rarely understand that they need to start “promoting” a company or product with a clear idea of ​​the situation on the market and the company’s position in it. “Advertising is a derivative of marketing, so its effectiveness depends on how correctly the task is formulated by the marketing department; an advertising campaign is developed based on an analysis of the market state, identification of the target group and its needs, and characteristics of the media market. However, often the advertiser either does not have such departments, or their information about the market is very superficial. We lag behind Moscow in terms of market development; advertisers there either order marketing research or conduct it themselves. By and large, Rostov advertisers have to work at the level of intuition. Only large enterprises have marketing departments. There are not many consulting firms that engage in marketing research in Rostov. Only a few advertising agencies have their own marketers. The need for marketing research is dictated by fierce competition, and while there is no competition, there are no financial losses, no one wants to think about marketing.

Rostov advertisers have another interesting feature - the desire for natural farming. There is an ambivalent attitude towards advertising: on the one hand, no one denies it, on the other hand, everyone considers themselves experts in it. We have to deal with the fact that the advertiser dictates to the designer how to do his job, contrary to all professional rules, and suggests using a slogan invented by his wife or friend.

According to the stories of RA representatives, clients are often guided not by an analysis of the situation, but by a competitor whom they want to bypass in similar advertising campaigns, or by the prestige of the street. Thus, in outdoor advertising there is a battle for Bolshaya Sadovaya. Therefore, there are often cases when, for example, a customer who has a warehouse of technical products on the 2nd Ordzhonikidze, does not care that his potential clients do not drive trucks along the main street of the city, the main thing for him is to place an advertisement in a prestigious place, because there is already there is a competitor's advertisement.

Many advertisers are persistent in their desire for methodical, continuous and year-round advertising in multi-page free advertising and reference publications, ignoring professionally motivated print media, although the effectiveness of advertising in them is higher.

Another problem of the advertising market is personnel. We should not forget that an advertising company is a joint product of several specialists: an advertiser, a designer, a copywriter. A designer, for example, must not only draw beautifully, but know how to graphically express the emotional characteristics of the product being sold; a copywriter must come up with a slogan, write such a text, after reading which a person will feel that this particular product will express his image and lifestyle. Without the psychology of advertising, without understanding how it acts on the buyer’s subconscious, advertising turns into a means of self-expression for those who make it.

RA leaders explain the outflow of highly professional personnel to Moscow by the lack of demand for their services. Advertising is an investment in business, but we are not used to taking advertising seriously; often in enterprises the appearance of an advertising manager is associated with the fact that someone needs to be hired. Many people try to save money precisely in those areas of work where high professionalism is needed - after all, it is expensive. Therefore, advertisers try to work with Moscow advertisers, where they understand and know the value of creativity.

Oddly enough, it is creativity, which today is in little demand among mass customers, that is valued by Muscovites and some large Rostov companies.

The regional advertising market has been demonstrating good growth rates for several years in a row - according to Rostov advertisers, from 10% to 20% per year. On the one hand, this process is facilitated by the massive arrival of Moscow and foreign capital in Rostov, on the other hand, the development of local small and medium-sized businesses, primarily the service sector. The growth in the number of advertisers and the increasing targeting of advertising to different audiences should cause changes in both the structure of the local advertising market and the content of advertising messages.

The composition of the largest advertisers both at the Russian and regional levels is relatively stable. In absolute terms, today's leaders in the advertising market are cellular companies, which advertise on all possible media. Following them are sellers of household appliances. In outdoor advertising, the largest advertisers, according to the Rezon agency, are still tobacco companies: Japan Tobacco (Winston, Mild Seven, Camel brands), BritishAmerican Tobacco (Java, Pall Mall, Kent, Vogue, Lucky Strike), Philip Morris (Marlboro, Bond, Chesterfield, L&M, Virginia).

Advertisers consider small and medium-sized businesses to be the most promising direction for market development. Great hopes are placed on the service sector: banking, insurance (the most obvious example is the shot “motor citizen”), entertainment, household services, etc. The pace of their development directly depends on the growth of incomes of the population, and if this growth does not stop, then the share of small and medium-sized businesses in the advertising pie will increase. The advertising budgets of local companies are hardly worth comparing with transnationals or metropolitan retail chains, but their share is regularly increasing. In 2005, compared to 2004, the share of regional television advertising increased from 15% to 21%, outdoor - from 40% to 45%, print - from 24% to 26%, radio - from 18% to 30%. At the end of 2004 - beginning of 2005, advertising budgets of companies were equal to pre-crisis levels. First of all, the number of small budgets has increased, and this is one of the main sources of market growth.

In the structure of a developed advertising market, television advertising usually takes precedence. However, most experts agree that in Rostov the basis of the advertising market is outdoor advertising; the costs for it are estimated at 50-60% of the total market volume. This situation arose due to the fact that almost all large agencies were initially involved in outdoor advertising: Mega, Rezon, ReMark, Cascade, Rome V, Vepoz, etc. As a result, Rostov is simply overloaded with billboards and stretch marks, which naturally reduces their effectiveness.

The share of television advertising in the local market, according to experts from Video International, is currently about 30%, or 185 million rubles per year. If you believe these data, then the total volume of the advertising market in Rostov is approximately 600 million rubles. Of the Rostov companies, the most actively advertised on television are Ecolas, Lege Artis, Yug Rusi, and Poisk.

The low share of TV advertising is explained by an unprofessional approach; work with clients is often at the level of “uncle, give me money for advertising.” If during a youth music program there is a ticker “I sell spare parts for tractors,” this means that the advertising agent did a good job and talked the director of the company into advertising. But when this director realizes that the money is being thrown away, he will tell the next agent that he no longer works with television. However, television has the greatest ability to quickly respond to advertiser requests; with its help, you can quickly bring a new product or service to the market.

The cost of advertising on television depends on the TV channel’s rating as assessed by the international agency Gallup Media; there are no other TV meters in Russia yet. The cost of a game television commercial can reach up to 30 thousand rubles. Placing a billboard in the city center costs about 20 thousand rubles per month; a good option is to make 5 billboards at once - along the road to each residential area. More than half of the print advertising market (10-15% of the total volume of the advertising market) is accounted for by free weeklies such as “Va-bank” and TV guides led by “Antenna” (the cost of a page is 35-50 thousand rubles). A standard radio advertising campaign (about 5% of the market) costs 10-15 thousand per month. Not so long ago, another type of outdoor advertising appeared in Rostov - television boards. The first of them was installed by the Mega agency near Gorky Park, the second (on Teatralnaya Square) by the City Vision - Rostov company. Another Mega shield was installed at the Central City Hospital. The cost of a weekly display (1288 feeds) of a 15-second video on such a scoreboard is about $1000.

A well-developed Rostov advertising channel can be called outdoor 63 (i.e., street billboards). It is difficult to work with video channels, probably because information logistics are not sufficiently developed. In addition, in the Rostov advertising market there are not enough agencies that have technology for working with clients and a convenient interface for interacting with the customer.

The development of services for the premium segment is a significant factor in the maturation of the advertising environment, a kind of indicator of the professionalism of advertisers. It is obvious that Rostov specialists still have to grow in this direction.

Rostov advertising lacks not creativity or financial capabilities, but a conceptual vision of advertising and knowledge of the technology of its creation. The advertising concept includes a portrait of the target audience, a myth about the product, a method of positioning it, etc., hence the advertising production technology. We have a lot of creativity, but the problem is that often there is no concept and technology. Therefore, the effectiveness of advertising should still be in the foreground.

Few commercial enterprises today can successfully conduct business without advertising in one form or another. Many sectors of the national economy have a real need for prompt notification of consumers. And this need is satisfied by a whole network of advertising organizations with different structures and capabilities.

To be able to fulfill serious market objectives, advertising must rely on serious market disciplines, concepts and categories, one of which is marketing. Otherwise, your advertising will only perform design, competition or other tasks that have nothing to do with its main purpose.

It is unlikely that today there is a need to explain to anyone that skillful advertising is a powerful means of increasing sales volumes of an enterprise’s products. It is necessary that the brand of your enterprise is known on the market, and not by experts who use special catalogs and classified information, but by the widest circles of consumers. This can only be done with the help of advertising: in newspapers and on television, on packaging and delivery vehicles, etc.

In any case, advertising costs (and in some countries in some industries they account for over 50% of the cost of products) are a risky investment that may not bring the desired return. The likelihood of such a risk is determined within the framework of marketing. Advertising research includes the selection and preliminary testing of advertising means and methods, as well as the study of the effectiveness of their impact after the use of advertising.

Today, the relevance of advertising is beyond doubt, since it plays a key role in the development of a market economy and is its important element. If the manufacturer is deprived of such an effective connection with the consumer as advertising, then he will stop investing money in improving old and creating new products. The desire for development and competition in business will fade. That is why in countries with a high standard of living and mass production, huge amounts of money are spent on advertising.

The hackneyed phrase “advertising is the engine of trade” quite fully reveals the main function of advertising: transmitting information about a product, introducing potential buyers to it, convincing them of the need to purchase the product. But advertising differs from a regular information message because it is interested in the final result. This is not just a study of information, but a study with a specific, very specific goal - increasing demand for a product.

Firstly, because advertising entered the life of society, people became interested in it, people started talking about it. Secondly, much in our lives is subject to criticism and revision: business, politics, laws, etc. At the same time, advertising is open to criticism. For her, constructive assessment is a stimulus for development, allowing her to keep up with today's needs and moods.

There is reason to assert that advertising is the best guarantee of the quality of a product (service). False, dubious advertising dooms a product to destruction. Only a satisfied buyer allows the manufacturer to stay in the market. No successful entrepreneur will risk his money by advertising a product with poor qualities. Of course, there are “temporary workers”, “fly-by-night businessmen” who make attempts to use advertising for their own purposes, but they can only deceive the buyer once. The second time, a product that does not correspond to advertising claims will remain unclaimed.

Part 1

Marketing concept

The word marketing comes, as we know, from the English Market (market) and implies any type of human activity aimed at studying the market, satisfying the needs and demands of consumers, and everything connected with it.

To ensure the efficient use of resources and maximum satisfaction of consumer requirements, the specifics of modern life require subjects of economic relations to conduct an in-depth analysis of the processes occurring in the market.

The purpose of any market research is to assess the existing market situation (conjuncture) and develop a forecast for market development. The program of such a comprehensive study depends on the characteristics of the goods or services, the nature of the company’s activities, the scale of production, as well as in determining the conditions under which the most complete satisfaction of consumer demand for services of this type is ensured.

With the help of marketing, the company's management receives the necessary information about what goods and services consumers want to buy and why, about the prices that consumers are willing to pay, about in which regions the demand for these goods and services, i.e., market capacity, is the highest, where sales of services or goods can bring the greatest profit.

The practice of marketing has a great influence on people, whether they are buyers, sellers or ordinary citizens. Marketing strives to achieve the maximum possible consumption of goods and services through customer satisfaction, providing them with the widest possible choice and improving the quality of life. The economic meaning of marketing is to accelerate the return on production assets of an enterprise or organization, increase competitiveness in the market, and mobility of production.

It is the competence of marketing that includes the timely creation of new goods and services and their promotion in those markets where the maximum commercial effect can be achieved. That is why marketing, as a set of established methods for studying markets, also directs its efforts to creating effective sales channels and conducting comprehensive advertising campaigns.

Marketing allows you to calculate various cost-effectiveness options for the production and sale of products and services, determine which types of products sold to which consumer have the greatest return on every ruble invested in production, transportation, etc.

One of the largest American marketing specialists, W. Fox, summed up the questions that enterprise management can get answers to based on marketing data: By whom? Where? Products (services) How? Ours are on sale Why? Competitors Buy When? Substitutes Are used In what quantity?

The essence of marketing is that it is not only one of the most important areas for improving the management of production and sales of goods and services, but also a complex socio-economic process, the important goal of which is to ensure the most complete satisfaction of the needs and demands of consumers.

The fundamental principle of marketing: “Don’t try to sell what you managed to produce, but produce what you will certainly be bought from.”

Therefore, marketing can also be defined as a way of identifying and using needs, improving and improving the quality of products and services in accordance with these needs and ensuring on this basis the achievement of the commercial goals of the enterprise.

The purpose of marketing is to ensure the profitability of all production and economic activities, obtain high commercial results, determine profits within given time limits and the limits of available funds and production capabilities, conquer the planned market share, expand operations, etc.

Complexity is the use of marketing as a system as a whole, and not its individual components (needs analysis, research and forecasting of market development, etc.).

The main thing in marketing is target orientation and complexity, that is, the merging into a single technological process of all individual elements of entrepreneurial and economic activity to achieve sustainable profitability within a given time frame.

The main tasks and functions of marketing are:

· Market research and analysis.

· Development of a marketing strategy and orientation of all divisions of the company to meet consumer requirements and achieve goals in the market with maximum profit.

· Research into the consumer properties of manufactured products, studying the requirements placed on them by consumers.

· Assessing the competitiveness of the company's products (services).

· Analysis of the compliance of competitors' products with consumer demands.

· Study of market conditions and demand for products (services), study of factors determining the structure and dynamics of consumer demand for the company's products and services.

· Segmentation of the consumer market into parts with different properties.

· Identifying market needs that are not being satisfied by competing firms.

· Assortment planning, development of production structure.

· Development of an innovation policy.

· Determination of the pricing policy of the enterprise.

· Selection of channels for the movement of products and services.

· Trade turnover planning.

· Sales promotion.

· Development and implementation of employee incentives.

· Development and implementation of consumer incentives.

Analytical function:

· study of the market as such;

· consumer research;

· study of the corporate structure of the market;

· study of the product structure of the market;

· analysis of the internal environment of the company.

Production function:

· organization of production of new goods (services);

· management of quality and competitiveness of products (services).

Sales function:

· implementation of a targeted product policy;

· implementation of a targeted pricing policy;

· service organization.

Control and monitoring function:

· organization of strategic and operational planning;

· information support for marketing management;

· organization of marketing control.

Main directions of marketing research

Marketing research is the collection, processing and analysis of data about the market, competitors, consumers, prices, and the internal potential of the company in order to reduce the uncertainty associated with making marketing decisions. The result of marketing research is specific developments that are used in the selection and implementation of the strategy and tactics of the company's marketing activities.

Market research is the most common direction in marketing research. Without market research, it is impossible to systematically collect, analyze and compare all the information necessary to make important decisions related to market activities, market selection, determining sales volumes, forecasting and planning market activities.

The objects of market research are trends and processes of market development, including analysis of changes in economic, scientific, technical, demographic, environmental and other factors, as well as the structure and geography of the market, its capacity, sales dynamics, the state of competition, the current environment, opportunities and risks.

The main results of the market research are:

· forecasts of its development, assessment of market trends, identification of key success factors;

· determining the most effective ways to conduct competition policy in the market and the possibility of entering new markets;

· implementation of market segmentation, i.e. selection of target markets and market niches.

Information about the market for goods or services, dominant in relation to other types of information, determines the direction of all marketing research. The analysis usually involves the market capacity, its division into segments, the pricing system, information about the activities of competitors, consumers of goods (services), etc.

Sources of such information may be materials from questionnaires, exhibitions, seminars, advertising brochures, periodicals and special publications, statistical collections, commercial reviews, thematic directories, special databases and data banks.

Consumer research allows us to identify and study the entire complex of motivating factors that guide consumers when choosing a product (income, social status, gender and age, education). The objects are individual consumers, families, households, and organizations. The subject of the study is the motivation of consumer behavior in the market and its determining factors; the structure of consumption, the supply of goods, and trends in consumer demand are studied. The purpose of such research is consumer segmentation and selection of target market segments.

The main task of competitor research is to obtain the necessary data to ensure a competitive advantage in the market, as well as to find ways of cooperation and collaboration with possible competitors. For this purpose, the strengths and weaknesses of competitors are analyzed, the market share they occupy is studied, the reaction of consumers to the marketing means of competitors (product improvement, price changes, trademarks, service development, advertising campaigns), the material, financial, labor potential of competitors, organization activity management.

The result of such research is the choice of ways and means to achieve the most advantageous position in the market relative to competitors, the determination of active and passive strategies for providing them with a price advantage or advantage due to the quality of the goods or services offered.

In order to obtain information about possible intermediaries with the help of which the company will be able to “be present” in the selected market, a study of the firm structure of the market is carried out. In addition to commercial trading and other intermediaries, the company must have a correct understanding of its other “assistants”: transport, advertising, insurance, legal, financial and other companies that together create the marketing infrastructure of the market.

The main goal of product research is to determine the compliance of technical and economic indicators and the quality of goods or services traded in markets with the needs and requirements of buyers, as well as to analyze their competitiveness.

The study allows you to obtain the most complete and valuable information from the consumer’s point of view about the consumer parameters of products or services (design, reliability, price, service, functionality).

Objects of research - consumer properties of analogue and competitor products, consumer reaction to new products, product range, packaging, level of service. The results of the study enable the company to develop its own range of products in accordance with customer requirements, increase their competitiveness, develop new products, and develop a corporate identity.

Price research is aimed at determining the level and price ratio that would allow the greatest profit to be obtained at the lowest cost. The objects of research are the costs of development, production and sales of goods and services (costing), the degree of influence of competition, behavior and consumer reaction to product prices (elasticity of demand). As a result of the research, the most effective “cost-price” (internal conditions, production costs) and “price-profit” (external conditions) ratios are selected.

The study of the internal environment of a company aims to determine the real level of competitiveness of the company as a result of comparing the relevant factors of the external and internal environment. This is where you need to get answers to questions about what needs to be done so that the company’s activities are fully adapted to the dynamically developing factors of the external environment.

According to the International Code, marketing research activities consist of the objective collection and analysis of voluntarily obtained information about consumer markets, goods and services and must be conducted in accordance with the principles of fair competition, based on generally accepted scientific methods.

The modern world is saturated with advertising, advertising means are numerous, varied and multifaceted, but advertising is not a creation of our time. The word “advertising” is of Latin origin (reclamare - to shout out). Already in ancient Egypt, Greece and Rome, small peddlers - merchants loudly praised the merits of goods, creating a prototype of oral advertising.

Advertising practice is discussed already in the very first documents of written history. During excavations in Mediterranean countries, archaeologists found signs announcing various events and offers. The Romans painted walls with announcements of gladiator fights, and the Phoenicians painted rocks along the routes of various kinds of processions, extolling their goods in every possible way in these paintings. All these are the predecessors of modern outdoor advertising. One of the wall paintings in Pompeii praised the politician and called on people to vote for him.

Another early type of advertising was the mark that artisans placed on their goods, such as pottery. As word spread about the craftsman's reputation, buyers began to look for goods bearing his mark. Nowadays, trademarks and brand names are used for these purposes. With the centralization of production and the removal of markets, the importance of the stigma constantly grew.

A turning point in the history of advertising was 1450, the year Guttenberg invented the printing press. The advertiser no longer needed to manually produce additional copies of his notices. The first printed advertisements appeared in 1472 in London, and in 1611 the first advertising bureau was opened there, connecting advertisers with printing houses. In 1631, an information office was created in Paris that printed advertisements in the Gazette de France, announcing the wholesale and retail trade in food and livestock.

In 1622, advertising received a powerful boost in the form of the first newspaper in English, called the Weekly News. Later, Edison and Steele began publishing the Tatler newspaper, becoming staunch advocates of advertising. Addison printed the following advice to advertising copywriters: “The great art of advertising writing lies in finding the right approach to capture the reader's attention, without which the good news may go unnoticed or get lost among the bankruptcy notices.”

Advertising reached its greatest prosperity in the USA. Benjamin Franklin is called the father of American advertising; his Gazette, which appeared in 1729, achieved the largest circulation and the largest volume of advertising publications of all newspapers in colonial America. The invention of photography in 1839 greatly improved and enlivened advertisements, adding credibility and truthfulness to them.

Several factors have contributed to America's emergence as the cradle of advertising. First, American industry led the way in introducing mechanization into production, which created a surplus of goods and the need to convince consumers to buy more. Secondly, the creation of an excellent network of waterways, highways and roads made the delivery of goods and advertising media to rural areas feasible. Third, the introduction of compulsory primary education in 1813 increased literacy rates and contributed to the growth of newspapers and magazines.

The development of advertising in Russia went through the same main stages as in the countries of Europe and North America: from barkers and peddlers to advertising materials in 1703 in the first Russian newspaper Vedomosti. Of particular importance for the development of advertising in that period were annual fairs, accompanied by the publication of a large number of advertising posters, posters and commercial information leaflets. By the beginning of the 20th century, special advertising publications “Trade”, “Trade and Life”, “Commission Agent”, “Advertiser” appeared.

The establishment of Soviet power led to the monopolization of advertising by the state. In 1918 – 1925 state advertising offices and agencies “Dvigatel”, “Reklamtrans”, “Svyaz”, “Promreklama”, “Mostorgreklama” were created. During this period of time, such outstanding figures of Soviet culture as V.V. Mayakovsky, D.D. Shostakovich, S.S. Prokofiev worked in domestic advertising.

V.V. Mayakovsky wrote in the article “Propaganda and Advertising”: “Not a single thing, even the most true one, moves without advertising... They usually think that only rubbish should be advertised - a good thing will go that way. This is the most wrong opinion. Advertising is the name of a thing... Advertising should endlessly remind you of every, even wonderful, thing. … Think about advertising!”

The transition to a market economy has significantly changed the situation in the field of domestic advertising. After the collapse of the central planning system, it was advertising that became one of the main links between producers and consumers. Now the Russian advertising market is estimated at about 1.5 billion dollars, and more than 200 thousand people are employed in the advertising business.

There are many definitions of advertising. They differ in the number of words and abstruseness. Albert Lasker, nicknamed the father of modern advertising, said that advertising is “trade in printed form.” The essence of advertising is best and most simply reflected by the following definition: advertising is a sale without the participation of a seller.

Let's imagine for a moment a world in which customers instantly learn about new products, their advantages and differences from competitors' products; These products are quickly sold out - everyone is “dancing and singing.” As you might guess, in this idyllic world there is no place for advertising, it is simply not needed here. Just like there is no need for advertising costs. Was advertising necessary in a society of empty shelves where we only recently had the good fortune to live? Did Xerox need advertising when for 30 years (the patent period) the company was the only supplier of copying machines in the world? Does the only store in the village or the village doctor need advertising? Will an effective cure for AIDS need paid advertising when it finally appears? So when will this advertisement be needed? As soon as you wish to offer your product outside the circle where you are known.

The more similar offers there are on the market, the greater the need for advertising and the higher the requirements for advertising effectiveness. And if you are going to make humanity happy with the 101st type of shampoo or coffee, or the 1001st type of vodka, then your success will depend 90% on the literacy of your marketing and advertising approaches. Of the thousands of new brands launched on the market each year, most die within a few months precisely because of bad advertising.

Advertising is a very subtle market tool. In a developed market, when there is high competition and each seller strives to satisfy the buyer's needs as much as possible, advertising can serve as a decisive factor in competition.

Advertising, in simple terms, serves to notify in various ways (sometimes in all available ways) about new goods or services and their consumer properties, and is aimed at a potential consumer. Advertising does not necessarily force a product on the buyer. Sometimes it simply makes the latter remember a specific brand or name of a product (service) when he makes his choice. First, the consumer decides what to choose from, and only then which brand to give preference to, based on his idea of ​​it, a stereotype or the existing image of a particular brand of product (service).

The demand function in general can be represented as follows: Qd = f (P1, I, Ps, Pc, T, N, W), where:

· Qd - the amount of demand for a certain product;

· P1 - product price;

· I - consumer income;

· Ps - price of substitute goods;

· Pc - prices of complementary goods;

· T - tastes and preferences of consumers;

· N - number of buyers in the market;

· W - consumer expectations.

Most of all, advertising affects element T. Successfully conducted advertising events can cause an increase in consumer expectations, change the tastes and preferences of consumers and ultimately cause an increase in demand.

The advertising structure contains the following points. Firstly, it is the ability to attract attention. It is very important how much the attention of readers is attracted by the headline and TV viewers by the video. Does advertising influence exactly those categories of potential consumers for which it is intended?

Secondly, the power of advertising to influence the emotions of consumers. What feelings arise in them under the influence of advertising, how successful is the advertising argument and whether it is presented correctly.

Thirdly, it is informative. Is the advertising argument clearly stated? How comprehensively the usefulness of the advertised object is shown.

The main purpose of advertising is to stimulate sales of the advertised product. The famous American advertiser Raymond Rubicam said: “Advertising has one main goal - to sell, everything else is from the evil one.” The simple fact is that in some cases advertising may not achieve this in a completely straightforward way - I saw it, read it, went and bought it.

You can make catchy elements of the first level (illustration and headline), but this can all end immediately if further acquaintance with the advertisement does not arouse interest.

An advertisement may arouse interest and may even be read, but the advertised product may not arouse a desire to purchase it. And only when the advertisement aroused the desire to purchase the product and the reader actually purchased it, that is, took an action, can we consider that the advertisement worked.

So, the most important thing is action. Moreover, you don’t need to assume that the reader will run to buy it tomorrow. The desire caused by advertising can be realized in a few days, weeks or months.

Within the framework of the general goal, there are several specific ones:

· attract the attention of a potential buyer;

· formation of consumer knowledge about the company and product;

· create a favorable image (image) of a manufacturer or seller;

· create needs for a given product or service;

· form a positive attitude towards the company;

· stimulate sales;

· remind the consumer about the company and its product or service;

· formation of the image of a reliable partner among other companies.

Some of the goals are related to demand, some are related to image. The goals of advertising activities must be clearly established, expressed quantitatively and defined by deadlines, which will allow monitoring the effectiveness of advertising activities. Advertising goals may change as a product progresses through its life cycle.

At the implementation stage, the main thing is to inform customers about the new product. At the growth stage - the development of demand, at the maturity stage - a reminder about the company, products, discounts, sales. During the recession stage, advertising is largely impractical, excluding the need to inform about sales of goods.

Ogilvy once bitterly said: “Most advertising is shamefully ineffective.” Unfortunately, the advertising industry ranks first in terms of inefficiency: hundreds of billions of dollars are wasted, not bringing advertisers the expected results. If the automobile industry worked this way, half the world's population would die in car accidents.

So, advertising has only one measure of success - sales! Therefore, good advertising is not the one that you like or the one that wins competitions, but the one that wins in the market, that is, the one that sells as efficiently as possible and at minimal cost. This is advertising that makes you money. The word “sell” in advertising is used in the broadest sense. Advertising typically sells goods and services. But it can also “sell” social ideas (the fight against drugs, smoking, the movement for clean streets, etc.); she can “sell” the candidate in the elections.

The first hero of an advertisement is a product/service/election candidate, etc., that is, what you are advertising. Your advertisement should show this item as fully as possible. But this is not enough. The subject of the advertisement should not be presented on its own, but as a solution to the problems of the second hero of the advertisement.

· Informational. Informing customers about goods and services.

· Controlling. Controls processes, creating preferences of consumer groups for goods of various assortments.

Advertising is one of the ways to promote a product to the market. It exists in order to attract as many consumers to a product or service as needed to make this product or service profitable to produce. Advertising makes sense when its costs are more than recouped through increased sales.

· by the method of influencing the buyer;

· by way of expression;

· in terms of main goals and objectives;

· from the point of view of possible feedback from the advertising consumer.

· rational;

· emotional.

Rational (subject) advertising informs by appealing to the mind of a potential buyer. She gives arguments to convince him, puts her arguments into verbal form, uses a drawing or drawing to enhance the impression of what was said in words.

“Hard” advertising is very close in spirit to sales promotion measures and often accompanies them. Such advertising has short-term goals: to influence the object in such a way as to attract him to purchase with the help of flashy advertisements designed for external effect.

“Soft” advertising aims not only to communicate about the product, but also to create a favorable atmosphere around it. Most often this is emotional advertising that plays on symbolism. It gradually changes the mood of a potential buyer in favor of a product, creating an internal readiness to buy.

· company newspaper;

· good relationships between managers and employees;

· numerous social benefits for employees.

Reinforcement advertising is a type of reminder advertising. It is designed to support consumers who have already purchased the product and convince them of the correctness of their choice. It focuses on securing this buyer as a permanent one.

The multiplicity of advertising tasks also gives rise to a significant variety of its types, means of distribution, options for its creation and other elements from which advertising is composed as a system. Accordingly, there are grounds for a conditional classification of advertising:

· according to time parameters (life cycle parameters):

by breadth of product coverage:

by main means of distribution:

· by source of financing costs:

Of course, this list is not complete enough. You can identify other features and expand the classification accordingly.

I would like to dwell in more detail on the classification of advertising by main means of distribution, since this is the most common method of classification.

In advertising, there are dozens, if not hundreds, of ways to convey a message - from advertisements and posters to key chains, labels and adhesive tape. Therefore, attempts to strictly classify them usually encounter serious difficulties, since the same method may belong to different channels or means. Therefore, a detailed classification is not discussed here, but simply lists some of the most common methods of conveying an advertising message.

By mail (“direct mail”);

In newspapers;

In general purpose magazines;

In special (industry) magazines;

In company newsletters (magazines);

In directories, phone books, etc.

Avenues;

Catalogs;

Booklets;

Posters;

Leaflets, postcards, calendars and other types of printed materials.

TV;

Slide projection;

Large-sized posters (glued together from small sheets or drawn by an artist on a large tablet);

Multivision (three or four images on three- or tetrahedral prisms synchronously rotated by an electric motor);

Electrified (or gas-lit) panel with stationary or running inscriptions;

Spatial structures for placing small (regular) size posters in several planes;

Free-standing product displays.

Inscriptions on the external surfaces of vehicles;

Printed advertisements placed in vehicle interiors;

Showcases with goods at train stations, airports and other premises (terminals, stations).

Shop windows (external and internal);

Signs, signs, tablets in the sales area;

Packaging (boxes, cases, paper, adhesive tape, etc. with the names and trademarks of the advertiser printed on them).

The first are mass market media - newspapers, magazines, radio, TV, billboards, posters, bulletin boards, direct correspondence. The second are surveys, personal letters, telephone advertising.

In the process of an advertising campaign, it is important to identify which advertising media will be the main ones and which will be additional. At the same time, it is important to find answers to the questions: how often to advertise and, most importantly, where? And if in several places, then how is compatibility determined?

Familiarity plays an important role in the consumption of newspaper advertising. After all, it has existed for more than 3 centuries. Of course, the advantage of newspaper advertising is its unobtrusiveness. It does not interrupt the information flow, like on radio or TV. People read it solely of their own free will.

What distinguishes newspaper advertising from radio and TV is a greater degree of audience trust. This is apparently connected with the power of the printed word: “what is written with a pen cannot be cut out with an ax.” Unlike the fleeting word of radio or television, the printed word persists, and the ability to appeal to it at any time strengthens the trust of readers.

Newspapers are interesting to readers not only in terms of the content of advertisements, but also in terms of ease of reading. They can be read any number of times. Therefore, newspaper advertising requires less repetition. Newspapers and advertisements in them can be read at any convenient time and anywhere. If a person moves away from the TV or radio, then he is lost. The reader takes the newspaper with him. If an advertisement in a newspaper interests a person, he can more easily save it, show it to someone, discuss it, pass it on, thus greatly enhancing its impact. People sometimes keep an advertisement they are interested in for years.

Newspapers provide the reader with the opportunity to select advertisements. If a person is interested in a certain product or service, then he can choose classified advertisements from different newspapers or issues.

Different categories of advertisers, depending on their advertising goals, use different newspapers, selecting them according to suitable characteristics: geography of distribution, readership, information content, print circulation, method of distribution, etc.

In terms of geographic distribution, newspapers are local, regional, national and transnational.

Local newspapers are distributed within one locality or part of it, for example, quarterly, district, district or city.

In Moscow, this is the city newspaper “Evening Moscow”, the district newspaper “Southern District”.

Regional newspapers are distributed within a certain large population center and its surrounding areas. This could be a region, region, district. In the Novosibirsk region it is “Youth of Siberia”.

National newspapers are distributed throughout the country. In Russia it is Izvestia, Komsomolskaya Pravda.

Transnational newspapers are distributed in some countries around the world. There are many such newspapers. The most famous is the English Financial Times.

· distribution method: subscription, retail sale, free distribution in public places (shops, exhibitions, etc.), direct mailing to companies, free distribution to residential mailboxes;

· distribution zones: district, city, city with suburbs, several cities, Russia, neighboring countries, far abroad;

· quality of distribution, in particular, regularity of delivery.

· rectangular declarations with horizontal rows are usually used;

· colored - 58%;

· with drawings and photos - 57%;

· with images of people - 14%, of which half are photographs and only a small part are close-ups;

· all close-up photographs depict women and are shown in advertisements for intimate services;

· the font is usually regular;

· printing in light letters on a black background is often used;

· headings are usually general in nature with a clear lack of information;

· purely informational announcements - 4%;

· announcements using the imperative mood - 18%;

· advertisements with questions - 5%;

· ads with metaphorical content - 12%;

· with abbreviations - 4%;

· stamp texts - 7% (“only with us”, “unique charm”);

· ads using the contrast effect - 5% (“low price - great opportunities”);

The cost of an advertisement in a newspaper depends not only on the area, but also on its location. Some places are much more profitable than others in terms of attracting attention, and therefore more expensive. These are the front and back pages, places where crossword puzzles and other materials are posted that are likely to be read. The top left corner on the left page of a newspaper and the top right corner on the right page are considered advantageous. But this is not all that needs to be done for advertising to be most effective.

Issues of facilitating the assimilation of information should occupy the minds of all those involved in formatting text and graphic information in magazines and newspapers. Advertising should pay special attention to this, because its reader is an uninterested and often tired person. The advertising creator must do absolutely everything to make this uninterested person interested, start reading and continue reading without experiencing tension or discomfort.

Visual perception

Research has shown, for example, that:

· it is easier for the gaze to slide from top to bottom, it is inconvenient for it to jump up and down

Attracting attention

In order for your advertisement to even be noticed, let alone read, you need to try very hard. Literally everything works against this: a huge number of other advertisements and sources of information that compete for the reader’s attention; the reader’s accumulated negative experience of interacting with hundreds of different advertisements; reader fatigue and much more. First you need to attract attention and then maintain interest.

For example, a photo of a person rubbing his forehead is accompanied by the caption “Draw a conclusion!” What could this mean? This is an advertisement for a company engaged in... printing films.

Readability

How often do we come across completely unreadable texts in advertisements and even in articles. It has long been known, in particular, that there are more readable and less readable fonts, and that the longer the line and the smaller the line spacing, the more difficult the text is to read. Reversal (white text on a dark background) reduces readability by 5–7 times. The currently fashionable torn background reduces readability even further. Research and experience show that cleverness dramatically reduces the readability of advertising.

The radio channel, like television, only on a more modest scale, is characterized by a massive advertising audience. Its undoubted advantage is its significantly low cost, but psychologically it certainly loses to TV due to the lack of an image.

However, good design of a sound clip - the announcer's voice, an entertaining and memorable text, a good sound background, musical accompaniment - make radio advertising quite effective. Here we should add such an important point - almost round-the-clock broadcasting and background impact on the listener. The radio may not be turned off all day in kitchens, offices, and cars. Many, especially music radio stations, only broadcast music and news, news and music, and advertising in between. A person may not even hear it, however, somewhere around the fourth or fifth time, the name of the company and its output data are remembered.

The great advantage of radio is that it is listened to morning, noon and evening.

According to advertising psychologists, the most effective length of a radio commercial is determined to be 30 seconds, although there is another point of view: it is important to use as much time as necessary to convey the message.

Research shows that people listen more actively and attentively if the speaker speaks quickly and says more words per unit of time.

Before you advertise on the radio, you need to decide about the radio station or radio program. It is important to take into account that radio listeners like to press buttons, choosing one radio station or another. This means that it may be advisable to include advertising on several radio channels at once.

One of the most significant characteristics of a radio station is its audience coverage. This characteristic is expressed in thousands of listeners (rating) or in the share of radio station listeners relative to the population (rating%). For example, the most rated FM stations in Moscow this summer were “Russian Radio”, “Europe Plus”, “Echo of Moscow” and some others. Every day the radio station “Russian Radio” is listened to by 1,257,100 people, which is the coverage of the daily audience of this radio station. During the week, the radio station “Europe Plus” is listened to at least once by 2,419,700 people, which is the coverage of the weekly audience of this radio station. The rating is calculated as the ratio of the number of people listening to a radio station to the entire population. So, if the daily audience coverage of “Echo of Moscow” is 617,500 people, then the rating becomes 8.8%.

Most often, advertisers seek to place advertisements on popular radio stations. At first glance, it is much more profitable to place several advertising messages on a radio station with a large audience than to pay for more advertising on a radio station with a relatively small number of listeners.

As can be seen from the graph, the ratio of audience coverage and the cost of advertising on radio stations is not always proportional.

For example, with almost equal audience coverage, placing one advertising spot on the Hit FM radio station costs almost one and a half times more than on the Echo of Moscow radio station.

Television is the most versatile of advertising media. It convinces desired clients through effective demonstrations. Television provides the opportunity to influence the consciousness and subconscious of potential buyers in the greatest number of ways.

A unique feature of television advertising is that it is characterized, firstly, by a combination of sounds and visual influences and, secondly, by a huge audience compared to any other advertising medium, which increases during the demonstration of television series.

Television is not radio with pictures, as it might seem at first glance. Here it is especially important to know the specifics of the viewer’s perception of information coming from the TV screen. Television is a visual medium enhanced by sound. A good TV commercial has a great idea that is presented to the viewer first and then adds sound to enhance the impact on the viewer, sometimes even without sound.

As for the duration of the video, experts who study the effectiveness of advertising say that advertising that lasts either 30 seconds or 2 minutes is better perceived and remembered not with a standard one-minute duration.

Just like on radio, TV advertising only has 3 seconds to grab the viewer's attention. If this time is missed, the advertisement will, as a rule, pass by the addressee. Therefore, it is important to talk at the very beginning about what the speech will be about or what the advertiser wants from the viewer. What was said at the beginning must be repeated in the same words or expressions at the end.

As with all other means of advertising, the use of humor in television advertising is of particular importance. At the same time, it is useful to remember that the main goal of advertising is to encourage a purchase, and ultimately, a sale. The wrong advertising is the one whose form is remembered better than the advertised content itself.

TV advertising is useful mainly for those who intend to create the widest possible fame for their company or its product. It is good for those who want the advertised product or service to be automatically associated with the name of the advertiser. TV advertising services are indispensable for companies that want to quickly saturate the mass market with a new brand of product.

Television advertising can be used by companies that, even without engaging in mass services, seek to create prestige for themselves. The very fact of the appearance of advertising on TV speaks of wealth, and after a dozen runs on air, he can count on an increase in reputation and respect from clients, albeit not so numerous. But even a great TV commercial can produce the opposite of what you want if it is broadcast at the wrong time.

First, commercials. They can be fictional, documentary, or animated. Their advantage is a high level of psychological impact on the consumer. The disadvantage is the high cost of production and even higher cost of airtime. Another drawback is intrusiveness. An advertising video, when inserted into a program at an inopportune moment, irritates the viewer.

Secondly, placement of the advertiser’s logo, emblem, motto on the screen during the display of the screensaver, weather forecast.

Thirdly, sponsorship of popular programs. Sponsorship is most justified psychologically. After all, a sponsor is that good person thanks to whom your favorite program goes on air.

Fourth, participation in specialized programs.

Fifthly, a ticker at the bottom of the screen when a movie is shown. This is considered to be the cheapest option. Psychologically, he clearly loses, on the one hand, because it interferes with watching the film and few people look at the ticker, on the other hand, it is impossible to have time to write down addresses and telephone numbers.

The World Wide Web has managed to create an almost exact copy of the world in a short time. Now, without leaving your desk, you can travel, go to a museum, watch TV programs, play, visit any library, meet residents of any country, do business and much more. Such diversity requires a tour guide, guidebook or something like that.

Internet advertising is the most developing engine of trade. In the USA, for example, where the Internet is actively used, revenue from online advertising in 1998 amounted to $2 billion. According to the most conservative forecasts of experts, by 2003 this figure will increase 5.5 times and amount to 11 billion. They emphasize that this is only income. The volume of transactions is calculated in completely different amounts. In the two weeks before Christmas last year, sales through the Internet amounted to $8 billion.

Russia, of course, is not America - network transactions have not yet reached such rapid development here. Every year the number of network users does not double, as throughout the world as a whole, but almost 4 times. We can already say that those who do not use the network for business are wasting time and potential clients.

GALLUP Media research conducted in the spring of 1999 showed that the World Wide Web is visited by 85–90% of Russian network users per month, that is, 1.2–1.3 million people.

Secondly, the audience on the Russian Internet, for the most part, has above average intelligence and material wealth. In addition, as a rule, the audience of popular sites and pages is already known. This allows you to save money on researching the audience of the advertising medium.

Thirdly, banners are a very mobile and fast way of advertising. At any time, their display can be suspended or transferred to another site.

A banner is a rectangle of a certain size (480 x 60 pixels), which, when clicked with the mouse, sends the user to the advertiser’s page.

Traditionally, WWW advertising assumes that you have a Web site, to which the client comes through a link on an advertising banner. This is where visitors get to know your company, the services it provides, and the products it sells. With image advertising, less attention is paid to the fact of visiting the site. The emphasis is on the content of the banner, a mandatory attribute of which in this case is the company logo or the promoted trademark.

The advertising services market is changing. The ratings of certain types of advertising either rise or fall, but the position of advertising in the metro remains unshakable. If types of advertising were given the title “people's brand,” metro advertising would undoubtedly receive it.

Peculiarities of perception in conditions of information vacuum. When there were no advertisements in the metro, half of the Moscow population knew the “Rules for Using the Metro” by heart. Day after day, passengers reread passages about “hunting rifles, flammable and explosive substances” that they were prohibited from carrying.

In Moscow, a quarter of an hour is the minimum time spent underground, and residents of the outskirts spend from 45 minutes to 1.5 hours in the metro every day. During this time, the passenger, as a rule, learns the sticker hanging in front of him by heart.

Information intensity

Training programs, characteristics of computers and other equipment - the advertising consumer agrees to accept such a description of services only when he has nothing else to do. For example, on the stretch from “Bibirevo” to “Chekhovskaya”. Therefore, stickers can carry a large amount of information, and not just an address - phone number - logo. Only specialized printed publications can compete with metro advertising in terms of information richness.

Using the Metros-Media website, you can obtain operational data on passenger flow of any line, the number of passengers at stations, in order to be able to control and predict the effectiveness of an advertising campaign.

The only relative disadvantage of metro advertising is its strict focus on poor buyers. An advertising campaign for diamonds from De Bris, carried out in the metro, most likely will not have much effect.

But small and medium-sized businesses can expect quick profits from metro advertising. There is a well-known small company selling liquid wallpaper. Using single-color stickers placed on one line, they sold out of all inventory within 9 months. Shields in lobbies cost $300–$400 per month. Placement 500 pcs. stickers on the main lines for a period of 3 months cost about 50 thousand dollars. This is the price of approximately 7 minutes on the capital’s TV channel.

A clear target group of metro passengers, that is, those who are not able to buy a car, allows us to determine what should and should not be advertised in the subway.

For example, for students and schoolchildren this is the main form of transport. Therefore, education advertising has been and will continue to be promising. This is confirmed by the experience of the Tutor center at Natalia Nesterova University.

Table No. 1

Line name	passenger flow thousand people/day	Total number of cars
Ring
Zamoskvoretskaya
Sokolnicheskaya
Tagansko-Krasnopresnenskaya
Kaluzhsko – Rizhskaya
Serpukhovsko – Timiryazevskaya
Arbatsko – Pokrovskaya
Filevskaya
Kalininskaya
Lublinskaya

On the socio-demographic portrait of the advertising recipient passenger. Approximately 57% of passengers are women. More than 32% are Muscovites with an average income, and about 16% are wealthy residents of the capital. Working - 64%.

Outdoor advertising, the oldest form of advertising, remains one of the most common forms of advertising of goods and services to this day. In European countries, spending on advertising accounts for up to 15% of the advertising budget and is second only to spending on advertising in the press and on television.

Most Russian large cities are characterized by almost the entire European recognized set of outdoor advertising media:

· boards of all sizes and shapes;

· so-called “roof installations”;

· electronic boards and newspapers;

· “creeping line”;

· video walls;

· decorative street clocks;

· all kinds of light boxes on poles;

· signs, pointers;

· installations and extensions over the roadway;

· kinematic installations;

· volumetric-spatial installations;

Special studies show that outdoor advertising objects are promising not only as a means of advertising distribution, but also as elements of urban architecture.

· large-format billboards along highways;

Both of these types are traditionally used primarily both within business and shopping centers, and on the outskirts of cities.

It is believed that outdoor and transit advertising media are unique in that, unlike other media, they cannot be used for anything other than distributing advertising.

A characteristic feature of outdoor advertising is that, like television, it has a multimillion-dollar audience, and this simplifies the solution of the tasks assigned to it - relatively inexpensive and at the same time mass contact with advertising consumers.

Manufacturers of outdoor advertising face many challenges related to creating effective short messages that would remain in the memory of pedestrians and vehicle drivers. The fact is that for almost all consumers of outdoor advertising, the time of eye contact required to read the text and look at the image does not exceed a few seconds. These features require carefulness and accuracy when choosing fonts, their readability, imagery, and the effectiveness of color schemes.

Viewpoints must be taken into account when choosing the location of the shield. The best place is considered to be the one with the maximum number of viewpoints.

The angle of view of a person sitting behind the wheel and a pedestrian are different (the angle of view here is understood in the physical sense). The viewing angle of a pedestrian walking in a crowd and a single pedestrian will also be different. The angle of view of the driver and passenger will also be different due to the difference in their location in the car.

The viewing angle must be taken into account when designing the height of the shield supports or the height of the shield.

To attract the attention of buyers, users, and visitors, outdoor advertising elements must be bright, eye-catching and illuminated in the evening and at night.

Design techniques, color, lighting must be related to the intended goods and services and at the same time be combined with surrounding objects, buildings, streets, and other signs.

It is believed that one of the paradoxes of outdoor advertising is that it must simultaneously blend with the surrounding environment and stand out from it. It is also believed that the use of billboard advertising is justified when the company is already well known. When developing texts and sketches of images for billboard advertising, it should be remembered that advertising must create an image that matches the image of the advertised company.

When making billboards, it should be taken into account that visual images and images of goods are perceived by the eye much faster than inscriptions and are better remembered.

Since billboards are installed not only along highways, but also in crowded places, near department stores, local attractions, etc., the advertisement should take into account the possibility of a pedestrian reading the test in a “crowd” and, therefore, should be placed higher ordinary.

The perception of a poster placed on the ground depends not only on how it is designed, but also on its location (road, street, building, side of a vehicle, etc.).

Ultimately, the poster will be perceived not only in itself, but also with the area of ​​the adjacent territory or the general appearance of the vehicle itself. For example, a poster installed in the shade may look better than in the sun, when minor imperfections in texture, small strokes or drips of paint, etc. are clearly visible.

A poster made in green tones and installed in the center of green spaces is more likely to lose in its attractiveness, and a poster made in blue tones and located on the shore of a lake will be perceived in the same way.

The following was established experimentally:

· the viewer's attention is usually attracted to places where elements are more densely concentrated, creating the impression of mass;

· combinations of points forming regular geometric figures or fragments are clearly distinguished at the first stages of perception;

· attention is focused on elements that are closely located and seem to influence each other;

· in the case of a predominance of amorphous placement of elements, attention is drawn primarily to the space by highlighted points, for example, “flying off” to the side, separated from others by small gaps;

· with the help of dots, dynamic and static compositions are easily created, while the first of them seem to lead the viewer’s gaze in the direction of the intended movement.

Of course, these general principles work differently in specific conditions.

For the perception of information posted on billboards, the most favorable places should be considered to be places where the vehicle speed is lower than usual - in places with speed limits, in front of crossings, and traffic lights.

Advertisements and signs remind people of the existence of a particular company. Although they are “work” in themselves, they become most effective in combination with other advertising means. They are performed on shields, fencing stands, on the roofs of buildings, on the sides and in the interiors of vehicles. The main function of these advertising media is to remind potential buyers about a product or service.

When developing such advertising, it is useful to remember some rules for its use. In particular, it is advisable to use no more than 7–9 words in order to increase the efficiency of perception in conditions, as a rule, of movement of either the advertising medium or the reader.

The font should be large, bright, catchy, two or three colors, allowing you to concentrate attention and make it easy to read. It is useful to use fluorescent paints or use artificial lighting in the dark. The text should be short and easy to read on the go, in the dark.

Part 2

The process of developing the outdoor market, increasing demand and supply, is acquiring the character of a steady, smooth expansion. Of course, in terms of the abundance of outdoor advertising, Moscow stands out quite strongly from other cities, but everywhere outdoor advertising is on the rise. It should be noted that development occurs not only in quantitative terms, but also in terms of increasing requirements for the quality and versatility of outdoor advertising.

Of course, billboard advertising 3 x 6 m is unrivaled in terms of the number of installations, but other formats are also appearing (both increasing and decreasing sizes), and building facades and blank walls are being used more and more often for printing firewalls. Historically, there are more than enough such walls in Moscow.

There have been advances in the way visual information is conveyed. Of course, flat geometry prevails over everything else, but something that goes beyond the standards will still slip through.

The first non-standard installations appeared. Bottles and cigarettes that do not fit into the established format. Now advertising canvases are beginning to gravitate toward 3D space and volumetric fragments. Finally, areas such as concert and stage decorations, decorative and design elements for stores, exhibitions and pavilions have found their application in digital large-format printing.

Signage and information spaces

They are used when opening another store, office, branch or anything that requires initial “promotion” and making it easier for a potential client to find this place. It is necessary to identify yourself both immediately before the entrance and on the intended routes of clients: at metro exits, at public transport stops, at intersections and forks. In such cases, outdoor advertising, in addition to its visual nature, also has an important informational meaning.

On these installations you can observe almost all types of advertised products and services - from the most famous brands to small companies conducting an advertising campaign for the first time. Quite often, outdoor advertising is used together with other types of advertising. This includes television, press and radio. In case of a massive attack on a potential consumer, in 99 cases out of 100, after the appearance of another commercial on television screens, within one week, billboards appear on the streets, where the design, slogan and style of advertising products are consistent with what was shown on TV.

Firewalls

Firewalls occupy far from the last place in the spectrum of outdoor advertising, and in terms of their size and degree of perception they are the leaders. This is more than noticeable on the facade of the building.

Concert and theater decorations

Recently, in the design of stage scenery - be it a theatrical performance, a concert or a television show - digital large-format printing technologies have taken their rightful place among other technologies for creating and producing scenery.

POS materials

This type of advertising is not so catchy in appearance, and the formats are small. They are used at points of sale for the very goods that are advertised. As a rule, this is the last part of an advertising campaign. Advertising on transport

The range of materials used here is small, since materials with increased resistance to mechanical and climatic influences are required. The price for producing this type of outdoor advertising is higher than others.

In the modern abundance of information and advertising surrounding the consumer, it has become very difficult for an advertiser to convey his message to him and to achieve effectiveness from an advertising company. After all, a person receives thousands of advertising messages every day through all media and outdoor advertising, as a result of which the impact of each advertising message weakens. In this regard, the three-position advertising installation “Prismatron” recently appeared on the outdoor advertising market. These settings allow you to place not one image, but three at once, in the most popular places of the city, without overloading the city street. Consecutive change of images at specified intervals is an important factor. Any dynamic advertising is more effective than static advertising. It better conveys information to the consumer, since it itself attracts attention.

Analysis of equipment and prices on the Moscow outdoor advertising market (1998 – 2000)

Large format printing

The most unique event in the first months after the 1998 crisis was the simultaneous appearance in Moscow of several ultra-large piezoplotters (3 - 5 meters wide). Until August 1998, there was only one such plotter, in the company “Big Posters” or “Ant Logic”. Their competitors, who had invested in equipment, were unable to retreat - and a price war began. From $50 – 60 per sq. m of banner printing with a resolution of 200 - 300 dpi, prices dropped to $15 - 20, coming very close to cost.

The companies “Vitrina-A”, “Farbis” and “Omis” survived this war, concentrating with enormous efforts several units of printing equipment of different types.

Companies that had electrostatic plotters were primarily affected. This invention of the last decade was never able to evolve. The main products for them were “self-adhesive stickers” and banners. The technology of direct piezo printing on vinyl with acrylic paints has reduced the cost of consumables by 2–3 times and completely replaced electrostatics from this market.

Owners of plotters with 3M technology stand apart. especially the newest Scotch Print 2000. They offer exclusive products to the market with multi-year warranties. Possessing such “know-how”, the companies “Gemma-print”, “Beltrao” can sell their products much more expensive than their competitors. At the same time, using the exceptional speed of their machines (200 - 250 sq. m. per hour), they can reduce the price of conventional non-3M printing.

The largest and most diverse is the community of inkjet plotter owners, a kind of middle class in advertising production. If there are only a few super-large plotters in Moscow, dozens of electrostatic plotters, then hundreds of inkjet plotters.

There is a fairly large segment of advertising and production companies whose plotter loading is ensured by the flow of orders from large advertisers. These companies have a balanced composition of equipment, and a significant part of their turnover is made up of printed products of their own making. They often have other productions, for example, light boxes and signs.

The next type consists of companies specializing specifically in printing. They are well equipped and have several plotters; they can fulfill almost any order using various technologies and consumables. These companies do not reduce the price of printing to cost, but win the battle due to high quality.

According to various estimates, there are 200–250 of them, which is approximately 50–60% of the total number. Their most obvious advantage is the low cost of consumables. If 2 - 3 years ago the cost of printing on photo paper was $15/sq. m., now $3 - 4/sq. m.

Next in number are Display Maker plotters from Color Span. Having emerged 1.5 years ago, they now occupy 10–15% of the market and represent the segment of multicolor plotters. Its popularity is explained by the possibility of using inexpensive printing materials and great flexibility: using heads with a physical resolution of 300 dpi, they can create 1200 dpi quality with 8-color printing or with 4-color printing at double speed. The new Display Maker model, 180 cm wide with twelve 600 dpi heads, can create 1800 dpi quality and works even faster.

The remaining plotters: various models of Calcomp, HP Sammagrafics, Mutoh, PiezoPrint 1000, etc. together make up the remaining 30% of the market and do not make a difference on it. Although each of them certainly has its own advantages and disadvantages.

Separately, I would like to mention high-speed plotters with Xerox XPress piezo heads. Xerox XPress, which appeared a year ago, has not yet gained a large market share in terms of the number of installations, but is very noticeable in terms of print volume. 720 dpi quality, high printing speed, oil-based pigment ink, long-life heads - these are the main advantages of this plotter.

The success or failure of a large format printing firm is determined largely by its ability to find its niche in a large market. To do this, you need not only to imagine what is being ordered now, but to offer solutions that are not yet in demand by the market.

Vinyl fabrics are widely used in advertising production. They are made from polymer vinyl chloride mass with the addition of plasticizers. This mass is applied to a polyester mesh, which provides the material with the necessary strength. There are usually three classes of vinyl fabrics:

· banner;

· awning;

· oning.

Banner fabric is one of the least durable and cheapest. It is usually used in relatively short-lived products - in the manufacture of flags, posters, and the front part of billboards. This fabric does not work for transmission and is not recommended for awning tension structures.

Awning fabric - created for the production of awnings, canopies, awnings and other tension structures. Oning fabric is used for the same purposes. Its main difference from awnings is that it operates through light and is therefore suitable for making signs with internal lighting.

One of the main characteristics of vinyl fabric is its density, which reflects the weight per square meter. Typically this characteristic ranges from 250 – 500 g/sq.m. m. The best manufacturers of vinyl fabrics guarantee the durability of their products in all weather conditions for five and sometimes ten years.

Vinyl fabrics are available in a wide range of colors and shades. The cost of the cheapest banner fabric is from 4 USD. e. for one sq. m. Awning fabric can be about one and a half times more expensive, and covering fabric costs from 8 USD. e. per sq. m. The most expensive is the so-called washable oning fabric, with which special solvents can be used to wash off paint applied to white fabric, at a price of up to 35 USD. e. per sq. m.

Now about vinyl self-adhesive films, which are essential for the production of the vast majority of signs.

Self-adhesive vinyl films were, most likely, the first modern material that began the revolution of sign production in Russia. This happened in the 80s, when advertising factories began to receive ORACAL film imported from the GDR to replace paint. Since then, oracal has become a household name, and many now call any self-adhesive film oracal.

The fact is that in Russia the cheapest film, ORACAL-640, which is not intended for signage, is most popular. And it is intended for printing, where the requirements for film are much lower. Price - 2 – 3 USD. e. sq. m. At the same time, about 20 manufacturers from different countries are now represented on the Russian market to one degree or another.

There are two main types of film, differing in the production method - calendered and cast.

Calendered film is cheaper, but cast film has greater durability and can be used where special reliability and quality are required. For example, when gluing uneven surfaces. There are several other special classes of film: reflective, light-conducting, fluorescent.

In addition, films differ in the method of producing the adhesive layer, which can be made either using solvents or water-based. Water-based adhesives are considered safer from an environmental point of view.

Now about materials that are still little known in our country, but can expand the field of activity of any workshop engaged in the production of outdoor advertising.

Magnetic vinyl is a thin sheet of magnetic material (usually a rubber base mixed with iron powder) laminated with a vinyl film of various colors. Silk-screen inks and self-adhesive films can be easily applied to it.

And another relatively new material that is becoming increasingly popular among sign manufacturers is polyurethane foam. It is used mainly for the production of three-dimensional signs.

Research of competing manufacturers of outdoor advertising

There are two main companies producing large format printing for outdoor use in this market: We R. SIGNS and LBL.

The We R. SIGNS company originated in the USA in 1986, its main activity is outdoor advertising. In the early 90s, the president of the company decided to create this market in Russia, and in 1993 they heard about We R. SIGNS in Moscow. The company successfully developed, not only producing advertising structures, but also supplying equipment and consumables for advertising to Russia. In 1995, the first machines in Russia for large-format printing of advertising images appeared at its production facilities. By the beginning of 1999, We R. SIGNS owned the most powerful fleet of such machines - 4 five-meter Vutek printers, with the ability to print images with a resolution of up to 300 dpi.

LBL Corporation was founded in 1992 in Russia. Its main activity is advertising and large advertising production (printing, pre-press). At the beginning of 1997, LBL Corporation entered the outdoor advertising market by establishing WPT. By the beginning of 1999, LBL was a powerful holding company, which included 8 production companies and an advertising agency.

The beginning of 1999 was marked by an important event in the large format printing market - a new company Group (BIG) was born. The company is the largest in Russia and one of the five largest companies producing large-format images for outdoor advertising in the world.

BIG did not arise out of nowhere, the company was the result of the merger of the large format printing departments of two leading companies on the market, as mentioned above - We R. SIGNS and LBL. This union of two leaders is very powerful and almost indestructible in the outdoor advertising market. In general, business experience shows: the best way to get rid of competitors is to make them your partner and friend.

A very important detail to highlight is the prices. BIG is able to provide offers for intermediaries that no other company can provide individually. Print prices in BIG have already dropped to the lowest levels on the market.

Since BIG is the second largest company in Europe, the problem of large-scale orders does not exist for them. Any order is printed within 6 hours to 3 days.

There are several other manufacturing companies in the Moscow outdoor advertising market: Farbis, Omis, Ant Logic, which offer competitive products in terms of quality and price, but they do not have a large fleet of equipment and therefore often do not meet deadlines.

Let's trace the share of the largest companies - owners of boards in the 3 x 6 m format and CITY format (1.8 x 1.2 m) from the total number of installed structures for 1997 - 2000. (%)

Table No. 2

	Owner company			April 1999	April 2000
Boards format 3 x 6m.
	Safe haven
	FREZI GRANT
	TSAR BELL
	M-GRAFTI
	OVIONT-INFORM
	RIVER SUN
	RIA LUZHNIKI
	B.V. MEDIA
	NTA CORPORATION
	RUSSIAN STYLE
	ACCENT MEDIA
	CONTRACT
	SUNNY CIRCLE
	The largest of all
	The rest are total
	Owner unknown
	Number of surfaces
CITY format settings
	HELVETICA
	CONTRACT
	The largest of all
	The rest are total
	Owner unknown
	Col. surfaces of all

The extensive path is an empty increase in the number of structures, which has been observed since the emergence of the market. The intensive way is to increase the utilization rate (occupancy, load), that is, the ratio of use (rental) to the total duration of the reporting period. This is one of the most important indicators of the state of the market, along with the average rental price of a structure according to price lists and its ratio to the actual rental price (in other words, the level of discounts).

In August 1998, two factors came into play at once:

· Natural increase in the number of surfaces in the summer months, amounting to 5 - 10% of the level of the 1st quarter of 1998. This led to a slight drop in the utilization rate.

· Crisis phenomena in the country's economy, leading to a decrease in effective demand.

The simultaneous impact of these factors determined the depth of the crisis. The utilization rate fell to 0.5 - 0.3 (from 0.7 in the 1st quarter of 1998), the level of discounts reached an average of 50 - 60% with practically unchanged prices according to price lists. This was the state in which the market entered 1999.

In the 1st quarter, the shock passed, and the opportunity arose to make attempts to stabilize the market. Actually, there were two options: reducing the price according to the price list and increasing discounts. Path 2 was chosen. The prices according to the price lists changed slightly, and the main emphasis was placed on discounts. Hence the very slow growth of the fill rate (on average about 0.1 per quarter).

The choice of this way out of the crisis by the majority of market operators predetermined a significant decrease in the volume of the outdoor advertising market in monetary terms. The market volume in Moscow in 1999 was no more than 60% of the 1998 level, or about $60 million (versus $100 million in 1998).

And yet, the market, albeit slowly, began to grow, as evidenced by the dynamics of spending on outdoor advertising. The growth is primarily due to the ban by Russian legislation on the widespread use of other types of advertising other than outdoor advertising.

Advertisers of the “Alcoholic Beverages” and “Tobacco Products” product groups carried out advertising campaigns with extensive use of outdoor advertising. The number of 3 x 6 surfaces used for advertising tobacco products exceeded 1,200 pieces at the beginning of summer. (more than 10% of all surfaces of this type available in Moscow).

At the end of 1999, the outdoor advertising market in Moscow had recovered. The surface utilization rate returned to the level of early 1998 (0.7 and even 0.8 in the 4th quarter).

		Year... budget		advertising comp.	Max. count pov per month	number of turns
	Old Man Hottabych

Part 3

Determining efficiency is a necessary condition for the proper organization and planning of a company’s advertising activities, the rational use of labor and material resources spent on advertising.

Research into the effectiveness of advertising should be aimed at obtaining special information about the essence and interrelation of factors that serve to achieve advertising goals with the least cost and maximum impact, which will eliminate inactive advertising and determine the conditions for its optimal impact.

It is difficult to count on the success of advertising if the advertiser has a vague idea about the product, company, market, competitors, etc. The failure of a significant part of advertising is due precisely to the fact that its creators began to “create” without having the necessary information.

If you turn to a professional advertiser, then you don’t need to expect any specific ideas from him, much less options, until he gets the most complete understanding of the task facing him, until he receives answers to a number of very important questions.

To collect information, the advertiser uses a variety of sources. But the first and main source is the advertiser. Here's what Ogilvy wrote about this: “The more your agency knows about your company and your product, the better it can do its job for you. When General Foods hired our agency to advertise Maxwell House Coffee, they set about teaching us the coffee business. Day after day, their experts taught us about green coffee, blending, roasting and pricing, as well as the complex economics of the industry.”

Typically, an advertising agency develops a questionnaire for a client in an attempt to gain the most complete understanding of the market and its segments, product, competitors, etc. The length of this questionnaire depends on a variety of circumstances. As a rule, this is a document of 10–20 pages in size.

An advertiser must have a maximum understanding of the subject of advertising and everything that surrounds this subject, in order to ultimately come up with a list of selling points for the product/service offered, the terms of sale/service, as well as for the company itself.

For a professional marketer or advertiser, this issue is nothing unusual. Different segments may buy products differently, guided by different selling points and even different prejudices. This is especially noticeable in the example of Russia, with its huge variety of regional, national and other conditions. Here you often come across situations where something that sells well in Moscow does not work in Novosibirsk, and so on.

Who is the consumer of this product in this region or segment? Who is the reader of this magazine? How old is he, what is his income, what interests him, what is his lifestyle, what problems does he have, what is important and prestigious for him, what he reads and watches, how educated he is, how qualified he is (when selling high-tech goods), how language he speaks, does he understand the terminology of the field? If this person purchases goods for his company, then what are his hidden interests (prestige, self-affirmation, kickback, etc.), what powers does a person of his position have in the company? If a member of this segment is obviously not aware of this new product, then to what extent, through what channels and in what language should something be explained to him?

The answers to these questions will influence the selling points, language, illustrations, formats, etc. used.

Only after receiving answers to all these questions can you begin serious work. You need to be guided by the laws of advertising, which help to attract the reader’s attention, facilitate the absorption of advertising and... sell better! Violation of at least one of them can reduce the effectiveness of advertising or completely destroy it. But just knowing the selling points and laws of advertising is not enough. The experience and talent of an advertiser are very important.

The economic efficiency of advertising is the economic result obtained from the use of an advertising medium or the organization of an advertising campaign. It is usually determined by the ratio between gross income from additional turnover as a result of advertising and advertising costs. The general condition for economic results is that gross income must be equal to or greater than the amount of advertising expenses.

Psychological effectiveness - the degree of influence of advertising on a person (attracting the attention of buyers, memorability, impact on the purchase motive, etc.). Both of these concepts are closely interrelated. But the criteria for these two types of effectiveness are naturally different: in the first case, this is the sales volume, in the second, the psychological characteristics of the perception of advertising by its addressee.

Methods for determining the economic and psychological effectiveness of advertising and their practical application

The main material for analyzing the economic efficiency of the results of a company’s advertising activities is statistical and accounting data on the growth of trade turnover. Based on these data, it is possible to study the economic efficiency of one advertising medium, an advertising campaign and all advertising activities of the company as a whole.

Measuring the economic effectiveness of advertising is very difficult, since advertising, as a rule, does not give its full effect immediately. In addition, an increase in trade turnover is often caused by other (non-advertising) factors, for example, a change in the purchasing power of the population due to rising prices, etc. Therefore, it is almost impossible to obtain absolutely accurate data on the economic effectiveness of advertising.

To calculate economic efficiency, advertising experts offer the following formulas.

1. Formula for calculating turnover under the influence of advertising: Td = Ts*P*D / 100, where Td is the additional turnover caused by advertising events (in monetary units); Тс - average daily turnover before the start of the advertising period (in monetary units); D - the number of days of accounting for turnover in the advertising process; P - relative increase in average daily turnover during the advertising period compared to the pre-advertising period (%).

2. The ratio between the profit received from additional turnover caused by advertising events and advertising costs is determined by the formula: E = Td * Nt / 100 - (3 r + Rd), where E is the economic effect of advertising (in monetary units) ; Тд - additional turnover under the influence of advertising (in monetary units); Нт - trade markup per unit of goods (in % of the selling price); Zr - advertising costs (in monetary units); Рд - additional expenses for the increase in trade turnover (in monetary units).

The result of advertising activities can be: positive - advertising costs are less than the effect obtained; negative - advertising costs are higher than the effect achieved; neutral - advertising costs are equal to the resulting effect.

3. The effectiveness of advertising costs can be determined using the advertising profitability indicator: P = P*100/Z, where P is advertising profitability (%); P - profit received from advertising the product (in monetary units); Z - advertising costs (in monetary units).

4. The economic efficiency of advertising can be determined by the method of targeted alternatives, by comparing planned and actual indicators, assessed as a result of investing in an advertising company. Efficiency is determined by the formula: E = Pf - Z/Po - Z * 100, where E is the level of achievement of the advertising goal (%); Pf - actual change in the volume of profit during the advertising period (in monetary units); By - the planned change in the volume of profit for the period of advertising (in monetary units); Z - advertising costs (in monetary units).

In this chapter, based on the experience of the advertising department of AOZT “Alex PLUS-Market”, the economic efficiency of the advertising activities of this company is determined.

The simplest method for determining the economic effectiveness of advertising is the method of comparing turnover before and after the advertising event. According to this method, the economic effectiveness of advertising is determined either by comparing turnover for a certain period of the current year, when the product was exposed to advertising, with data for the same period last year, when the product was not advertised, or by comparing daily turnover before and after the advertising event in the current period time.

The latter method is more acceptable in our conditions, given the constant rise in prices due to inflation, which makes comparison of data over long periods of time very difficult.

The final conclusions about the economic effectiveness of advertising are obtained by comparing the additional profit received as a result of advertising with the costs associated with its implementation.

We will calculate the economic efficiency of advertising using this method on the basis of data on the presentation of products of the BEN company, held in the Alex-PLUS supermarket. Data on the sales of detergents from this company before and after the presentation of products are presented in Table 4.

Table 4

Product name	Implementation before presentation	Implementation after presentation	Change in sales in %
Kop plus yellow
Kop plus green
Rinse aid 500 ml.
CiLit for window cleaning
CiLit cleaning foam
CiLit for rust removal
Washing powder Lanza
Perla washing powder
Basic detergent

From this table it can be seen that the additional turnover after the presentation amounted to 738,900 thousand rubles, the trade margin on these goods was 32%, therefore, the additional profit received as a result of advertising was 236,448 rubles. The costs of the presentation (making and posting advertisements, installing a billboard near the supermarket, etc.) amounted to 83,000 rubles. Thus, the economic effect from advertising amounted to 236,448 - 83,000 = 153,448 rubles. Therefore, this promotional event was effective.

The study of the economic effectiveness of advertising can also be carried out by comparing the turnover for the same period of time of two similar trading enterprises, one of which carried out an advertising event, and the other did not. The growth of turnover in a store where there is no advertising event occurs due to the influence of those factors that operate independently of advertising. The same factors affect turnover in the store where the promotional event is held.

The economic efficiency of advertising in this case is calculated by determining the ratio of the turnover growth index of the store where the advertising event was held to the turnover growth index where the advertising event was not held. The final conclusion about the effectiveness of advertising is made as a result of an analysis of the costs of advertising and the additional profit received as a result of its implementation. The positive thing about this method is that only that part of the turnover that is directly the result of the advertising event is taken into account.

We will calculate the economic efficiency using this method by comparing data on the turnover of the Alex PLUS supermarket in the city of Domodedovo, where an advertising campaign and a lottery were held from February 7 to March 8, 2000, with data on the turnover of the Alex PLUS - Market store. in Moscow, where such an advertising campaign was not carried out. Data on the comparative turnover of these two supermarkets are presented in Table 5.

Table 5

The table shows that turnover in these two stores has increased, so we can calculate the growth index for each store.

The turnover growth index in “Alex PLUS - Market” was: 2,568,827 thousand rubles J 1 = 1.12 (12%) 2,279,083 thousand rubles.

The turnover growth index in the Domodedovo supermarket was: 1,734,739 thousand rubles J 2 = 1.325 (32.5%) 1,308,827 thousand rubles.

Thus, we see that the increase in turnover due to advertising in the Domodedovo supermarket amounted to 20.5%.

The store’s profit for this period of time amounted to 18.4% of the total turnover, therefore, the profit from the additional turnover obtained through the advertising campaign was: 268,309.5 thousand rubles * 18.4% P = 49,369 thousand rubles 100 %.

To now find out the economic effect of an advertising campaign, we need to analyze the costs associated with its implementation.

Table 6

The economic effect was: E = 49,369 thousand rubles. - 41,688 thousand rubles. = 7,681 thousand rubles.

Currently, both in domestic and foreign practice, a method for determining the economic efficiency of advertising has become widespread, based on a comparison of the additional gross income received as a result of advertising and the costs associated with its implementation.

According to this method, at the beginning the additional turnover obtained as a result of promotional activities is determined, then the additional realized overlay is calculated from the amount of the calculated additional turnover. The economic efficiency of advertising is expressed as a difference from the amount of additional realized overlay and advertising costs.

The calculation is made using the following formula: T*P*D N P = (-----) * (-----) - I (1) 100%, where P is the economic efficiency of advertising, rub.; T - average daily turnover in the pre-advertising period, rub.; P - increase in average daily turnover during the advertising and post-advertising period, rub.; D - the number of days of accounting for turnover in the advertising and post-advertising periods; N - trade margin on goods, %; I - advertising expenses, rub.

This technique is usually used to determine the economic efficiency of individual advertising media or a short-term promotional event. If the result obtained is greater than or equal to zero, it means that the advertising was cost-effective.

Let's calculate the economic efficiency of an advertisement by the company “Alex PLUS-Holding”, which includes AOZT “Alex PLUS - Market”, in two newspapers in St. Petersburg.

Since the Alex Plus-Holding company, in addition to a network of retail stores, also has a system of wholesale warehouses from which it trades food products from Finland, Germany, Belgium, Holland and other countries, in mid-January 2000 in the newspapers Advertising-Chance and “Business Petersburg” published an advertisement for several days, in which it was reported that you can purchase products from one of the warehouses of the company “Alex Plus-Holding” of such and such an assortment and at such and such prices. Advertising expenses amounted to 12,400,000 rubles. Data on warehouse turnover before the advertising event and after the advertising are presented in Table 7.

Methods for determining the psychological effectiveness of advertising and their practical application

Among the existing methods for determining psychological effectiveness, the greatest reliability is provided by methods associated with conducting marketing research.

When using the method of expert assessments, members of the expert commission evaluate the degree of perception of the advertising message using points. A more complex technique is associated with consumer testing (advertising memory test, advertising recognition test, association test).

According to experts, the optimal size of groups of people surveyed to determine the effectiveness of advertising is 125 people. With a population of 100 people, the test results are unreliable. Increasing the number to 150 people or more leads to a sharp increase in research costs without affecting the accuracy of the results.

Marketers evaluate the psychological effectiveness of advertising quantitatively. The effectiveness of direct mail is assessed by the number of return calls and letters received by the advertiser. If 4–8% responded to advertising materials, then the advertisement can be considered successful, 15–18% are considered a great success. More than 20% does not occur in real practice.

Attempts to regulate the advertising sector in our country began in 1991 with the adoption of the Russian Federation Law “On Competition and Restriction of Activities in Product Markets,” where in Art. 10 established the liability of business entities for incorrect comparisons of manufactured goods with competitors' products and for misleading consumers regarding the properties of the goods. In December 1991, the Law “On the Mass Media” was adopted, which indicates the inadmissibility of abuse of freedom of speech and establishes liability for the dissemination of false information. In April 1992, the Russian Federation Law “On the Protection of Consumer Rights” came into force, establishing requirements for information that should be communicated to consumers.

The law is devoted to commercial and social advertising. Political advertising is excluded from the scope of regulation of this law.

The law gives the following definition of advertising (Article 2): “Advertising is information distributed in any form, by any means about an individual or legal entity, goods, ideas and initiatives (advertising information), which is intended for an indefinite number of persons and is intended to create and maintain interest in these individuals, legal entities, goods, ideas and initiatives and promote the sale of goods, ideas and initiatives.”

Unethical advertising (Article 8) violates generally accepted norms of morality and humanity, discredits works of art that are national or world cultural heritage, state symbols, as well as individuals or legal entities, any profession, activity or product.

The law establishes rules for advertising certain types of goods: medicines, weapons, tobacco products and alcoholic beverages (Article 16), financial services (Article 17), and goods for children (Article 20), and also puts forward certain requirements for advertising in the press , on radio, television, film and video services, when providing certificates (Articles 10 – 15). A special article is devoted to social advertising (Article 18).

Of particular importance are the legal provisions regarding advertising aimed at minors. Thus, advertising should not inspire minors that the possession of certain goods gives them any advantages over other minors. It should not undermine the authority of parents and educators, or create in children a distorted idea of ​​the price of a product, its availability for any family budget, or ease of use.

For violation of the law, the following liability is provided (Chapter 4 - 5): the need to carry out counter-advertising, warnings or fines (from 200 to 5000 minimum wages established by federal law). Payment of a fine does not relieve participants in the advertising process from fulfilling orders to stop illegal actions and from carrying out counter-advertising.

Counter-advertising is carried out through the same medium of distribution, using the same characteristics of duration, space, place and order as the rebutted inappropriate advertising. Its content is agreed upon with the antimonopoly authority that established the fact of violation of the law (Article 29).

Particularly serious cases involving the use of deliberately false advertising also entail criminal liability.

State control over compliance with the Law of the Russian Federation “On Advertising” is entrusted to the federal antimonopoly body and its territorial bodies (within the limits of their competence).

Legislation puts barriers to inappropriate advertising. Meanwhile, detailed regulation of advertising activities using legal norms is objectively complicated by the peculiarities of the sphere of regulation itself. In Russia, as in many other countries, self-regulation of advertising is becoming very important, which involves the voluntary control of the business community over its own activities in the field of advertising.

Organizations that undertake the functions of self-regulation of advertising are:

· Committee of the Chamber of Commerce and Industry on Advertising Activities;

· Public Relations Association.

· enterprises and organizations located on the territory of the city (district), regardless of the form of ownership and departmental affiliation, having the status of legal entities in accordance with the legislation of the Russian Federation, their branches (having an independent balance sheet and current account) and other similar divisions of enterprises and organizations, as well as foreign legal entities faces;

· individuals registered in the prescribed manner as entrepreneurs operating in the city.

The object of taxation is the cost of services for the production and distribution of advertising of one’s own products (works, services), including work carried out in an economic way.

· information signs placed in premises used for the sale of goods, including shop windows;

· announcements and notices about changes in the location of an enterprise, institution, organization, telephone numbers, faxes, teletype;

· announcements of public authorities containing information related to the performance of the functions assigned to them;

· warning signs containing information about restrictions on work, movement, etc. due to the characteristics of a given territory or site.

The procedure for calculating and deadlines for paying taxes by enterprises

Taxpayers submit to the tax authority a calculation of the amount of advertising tax and pay the tax within the time limits determined by decisions of local government bodies.

Advertisers (legal entities) pay advertising tax by transferring funds to the account of the advertising agency no later than the day the advertisement is placed on advertising media. Individuals can pay the cost of advertising work, including advertising tax, through savings banks or to the cash desk of advertising agencies within the same period. When paying the cost of advertising work, including advertising tax, directly to the advertising agency's cash desk, the individual placing the advertisement is given a receipt slip.

Without presenting a document confirming payment of advertising tax, its placement on advertising media is not allowed. Amounts of advertising tax are credited to the district budgets of districts, city budgets of cities, or by decision of district and city government bodies - to the district budgets of districts (in cities), budgets of towns and rural settlements.

If the government authority establishes a centralized payment of the advertising tax to the budget, through the media or other bodies advertising the products, work, services of enterprises, the tax, together with the cost of services provided for advertising, is transferred to the enterprises to the media, highlighting the tax amount as a separate line . The media body, within the time limits established by the executive body and agreed with the financial and tax authorities, transfers the received amounts of advertising tax to the income of the relevant local budget.

Tax in foreign currency is deposited into the foreign currency account of government bodies of the republic, territory, region, autonomous region or autonomous district.

Responsibility of payers and control of tax authorities

Responsibility for the correctness of calculations, completeness and timeliness of transfer of tax amounts to the budget rests with legal entities and individuals who are payers of advertising tax.

If facts of non-payment of tax, late payment or payment not in full are established, the payer is liable in accordance with the tax legislation in force in the Russian Federation.

Control over the completeness, correctness and timeliness of payment of advertising tax is carried out by tax authorities in accordance with the Law of the RSFSR "On the State Tax Service of the RSFSR".

Conclusion

This thesis was devoted to a marketing analysis of the advertising market in Moscow, mainly the outdoor advertising market.

This analysis allowed us to assess the current state of the market and determine the main directions and dynamics of its development.

Today, the capital clearly sets the tone in shaping advertising policy for other Russian cities, since the main advertising money is located in Moscow.

Large network companies, such as “Quiet Harbor” and “ART-City”, placed a large number of backbone boards (3 x 6 m) in the city center and thereby virtually reduced the CITY format to zero. Naturally, it is difficult to sell a small structure when there is a large one nearby. In this regard, 3 x 6 m boards are now beyond competition.

Today, the large format printing market is represented mainly by vinyl and paper. Printing is divided according to circulation volume: short-run printing - up to 50 copies; average quantity - from 50 to 400 copies; more than 400 posters are already considered a large circulation. Depending on this, one or another printing technology is selected.

In Moscow there are 4 main companies that provide printing for outdoor advertising: Ant-Logic, Omis, Farbis, Big Group. They satisfy 50–60% of the needs of the domestic market.

The main customers of these products are large trading companies, mobile communications, and manufacturers of household appliances and computers.

1998 turned out to be a very difficult year for the outdoor advertising market. The market volume fell by an average of 40%. Many small firms disappeared from the market forever. And only those who managed to sharply reduce costs and offer low prices survived. Prices for the production of outdoor advertising have decreased by 3–4 times.

But by mid-1999, the market began to recover, albeit slowly, as evidenced by the increase in surface utilization rates. These are mainly Western companies - manufacturers of tobacco products and alcoholic beverages. At the beginning of summer, these companies occupied more than 10% of all available 3 x 6 m structures in Moscow.

By the beginning of 2000, we can say that the market had stabilized, since the surface utilization rate no longer had a pronounced dynamic character. New types of structures are increasingly appearing on the market. The attraction of advanced technologies is due to the fact that reputable (mainly Western) advertisers place high demands on advertising media, which also indicates the development of the market.

Bibliography

1. Kotler F. Fundamentals of Marketing. - M.: Progress, 1993.

2. Modern marketing. - M.: Finance and Statistics, 1991.

3. Zavyalov P. S., Demidov V. E. Formula for success - marketing. - M.: International relations, 1991.

6. Deyan Armand, Taxier Anne, Taxier Louise Advertising at the point of sale. - M.: Progress, 1993.

7. Barkan D.I. Marketing for everyone. - L.: Man, 1991.

10. R.O.S. new trends // “Outdoor Advertising of Russia”, 2000, No. 10.

Few commercial enterprises today can successfully conduct business without advertising in one form or another. Many sectors of the national economy have a real need for prompt notification of consumers. And this need is satisfied by a whole network of advertising organizations with different structures and capabilities.

To achieve this goal, we set the following tasks:

• 1. Consider the features of advertising and its characteristics.
• 2. Research the features of the advertising market
• 3. Conduct an analysis of the advertising market.

To be able to fulfill serious market objectives, advertising must rely on serious market disciplines, concepts and categories, one of which is marketing. Otherwise, your advertising will only perform design, competition or other tasks that have nothing to do with its main purpose.

It follows that you cannot be a good advertiser without being a good marketer. Moreover, you cannot be a good advertiser without at least some understanding of marketing, sales theory and advertising itself. advertising marketing psychological

It is unlikely that today there is a need to explain to anyone that skillful advertising is a powerful means of increasing sales volumes of an enterprise’s products. It is necessary that the brand of your enterprise is known on the market, and not by experts who use special catalogs and classified information, but by the widest circles of consumers. This can only be done with the help of advertising: in newspapers and on television, on packaging and delivery vehicles, etc.

In any case, advertising costs (and in some countries in some industries they account for over 50% of the cost of products) are a risky investment that may not bring the desired return. The likelihood of such a risk is determined within the framework of marketing. Advertising research includes the selection and preliminary testing of advertising means and methods, as well as the study of the effectiveness of their impact after the use of advertising.

Today, the relevance of advertising is beyond doubt, since it plays a key role in the development of a market economy and is its important element. If the manufacturer is deprived of such an effective connection with the consumer as advertising, then he will stop investing money in improving old and creating new products. The desire for development and competition in business will fade. That is why in countries with a high standard of living and mass production, huge amounts of money are spent on advertising.

The hackneyed phrase “advertising is the engine of trade” quite fully reveals the main function of advertising: transmitting information about a product, introducing potential buyers to it, convincing them of the need to purchase the product. But advertising differs from a regular information message because it is interested in the final result. This is not just a study of information, but a study with a specific, very specific goal - increasing demand for a product.

Firstly, because advertising entered the life of society, people became interested in it, people started talking about it. Secondly, much in our lives is subject to criticism and revision: business, politics, laws, etc. At the same time, advertising is open to criticism. For her, constructive assessment is a stimulus for development, allowing her to keep up with today's needs and moods.

There is reason to assert that advertising is the best guarantee of the quality of a product (service). False, dubious advertising dooms a product to destruction. Only a satisfied buyer allows the manufacturer to stay in the market. No successful entrepreneur will risk his money by advertising a product with poor qualities. Of course, there are “temporary workers”, “fly-by-night businessmen” who make attempts to use advertising for their own purposes, but they can only deceive the buyer once. The second time, a product that does not correspond to advertising claims will remain unclaimed.

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