Deepak Jain (20048)

INDUSTRIAL ADVERTISING Saurab Mehtani (20055)

Saurya Malhotra (20059)
 INDUSTRIAL ADVERTISING
•Also known as ‘Business-to-Business Advertising’
•Form of advertising to other businesses
•Can include the advertising of parts or raw materials for
their products or equipment used in their manufacturing process
•E.g. some mineral water companies which work on a smaller scale
outsource the packaging bottles, the caps for bottles, the cover with
name printed on it, etc. so for this, the advertisements of the
manufacturers of bottles, caps and outer packaging paper can
work.
 OBJECTIVES
Create Awareness

Reach Inaccessible Places

Improve Sales

Reduce Cost

Support Distribution Channel Members

MEDIA TYPES

Industrial
Advertising
Media

Direct
Print Media Marketing
PRINT MEDIA
•Includes business magazines, trade publications, newspapers, technical journals, etc.
Do’s and Don’ts to be kept in mind
•Visual image of the ad should be very sharp and prominent
•The ad should be so impressive that readers get attracted towards reading it
•The highlight should be on the service or product offered and not the source by which
it is being offered
•Let the ad be simple to be read (with no difficult fonts)
•The picture shown should not be irrelevant with the product.
•The ad should reflect the company’s image.
DIRECT MARKETING
A. Direct Mail - here, the newsletters, data sheets, and the brochures of the
company are directly mailed to the customers’ postal address.

B. Telephonic Advertising - the advertising is done by calling up the

customers on there telephones, giving messages on mobile phones, etc.

C. Online Advertising - includes companies sending e-mails to the customers

or other companies enclosing information about their products ant services,
putting online banners, providing e-shopping options, etc.
CATEGORIES OF INDUSTRIAL ADVERTISING
MESSAGES
Testimonials
User Experiences
Straight Exposition
Short Stories
Negative Ads
Comparative Ads
Social Responsibility Ads
Quality Initiative
1. TESTIMONIALS
•This feature is highly credible, likeable as on expert source endorsing the
product.
•It could be a celebrity, a known personality in that industry talking about the
benefits of the product according to them.
•In Industrial marketing, testimonials are provided by existing customers who
are well known.
2. USER EXPERIENCES
•Case histories of users and the benefits they got by purchasing
from the supplier are also used to draw the inferences.
•Credibility factor is high when a user shares his experiences.
 3. STRAIGHT EXPOSITION
•A straightforward advertisement expressing the product features and the
benefits that can be desired by the user is called a straight exposition.
•This ad has a lot of facts and figures and most commonly used in industrial
advertising.
4. SHORT STORIES
•Though rarely used, it can be effective when the company wants to
build a case and involve the customer so as to derive in the
benefits of using the product.
5. NEGATIVE ADS
•Emotional appeals are rare in industrial advertising, but some negative
advertising seen where in the ill effects of not using the company’s products or
not utilizing the company’s services are expressed.
•Schneider Electric Company, already serving customers like Ford India, ITC,
Fiat India, MRF, Hero Group etc., using negative ads.
•It says, if the managers don’t use the services of Schneider, they shall not have
peaceful lives but ones filled with tension, since they are the only ones who can
supply uninterrupted power to the industrial houses.
6. COMPARATIVE ADS
•Some persuasive advertising has moved into the category of comparative
advertising, which seeks to establish superiority of one brand through specific
comparison of one or more attributes with one or more brands in the product
class.
• For example, in JK Tyre claims itself to be the No. 1 type manufacturing firm
and gives a comparison of the market share details with others in the industry
like MRF, Ceat, Apollo, Good Year and others.
7. SOCIAL RESPONSIBILITY ADS
•Some advertisers use this as a medium to bring into focus the activities that
they perform for the well being of the society and environment.
•This is to bring about a good company image in the minds of the consumer
and the general public. These are called social responsibility ads.
•An example of this is provided in Hindalco Aluminum, which has adopted
villages and given them water, hygiene and schools etc.
8. QUALITY INITIATIVE
•In industrial companies, quality standards like TQM, ISO 9000 series SEI CMM
of software industry plays an important role and such advertisements form a
major chunk of visibility of the company.
INDUSTRIAL ADVERTISING IS NOT CONSUMER
ADVERTISING
•Product complexity-First and foremost industrial products are very
complicated and require a lot of technical knowledge to sell. Industrial and
technical products range from off-the-shelf bearings to custom-engineered
machines of incredible complexity.
•Industrial buyers-Consumer marketing presupposes powerful sellers and
passive, inexpert buyers who can be influenced to purchase by a variety of
advertising techniques. In contrast, industrial markets consist of very
knowledgeable buyers (and often buyer teams) who analyze products and
purchases in terms of user benefits often measured in dollars or as return on
investment. In the case of capital equipment the sales people do not get to
talk to the final decision makers – the board of directors.
•Bids and quotations- Consumers either buy or don’t buy from listed prices. On the
other hand, industrial products are often sold by request for quotes (RFQs) that may
require a quotation with elaborate specifications to define the product.
•Market information. There is a lot of database information available on consumer
products and an enormous amount of consumer demographic information that can
identify the customer profile and market segment. On the other hand, information on
industrial market niches is very difficult to acquire and is generally qualitative and
requires considerable industrial experience to gather.
•Industrial Market Research –Consumer market research methods generally do not
work for industrial products, because the samples are too small and the buyers are
not a homogeneous group that can be considered a valid sample. Because of these
two problems statistical techniques for projecting the sample cannot be used as a
representative of a larger market.
 EFFECTIVENESS OF INDUSTRIAL ADVERTISING
•All advertising efforts are directed mainly towards the achievement of business,
marketing and advertising objectives i.e., to increase the sales turnover and thus to
market the maximum profit.
•The advertiser spends millions in to this advertising activity. As soon as the advertising
campaign is over, a need is generally arisen to measure the effectiveness of the
campaign.
•It can be measured as whether it has achieved the desired results i.e. desired sales
profitability or results in terms the change in customer behavior in favor of the
company’s product which will naturally, affect the future sale of the product.
In order to measure the effectiveness of advertising copy, two types of tests pre-
tests and post-tests can be undertaken. Pre-tests are generally conducted in the
beginning of the creation process or at the end of creation process or production
stage. There are several pre and post tests techniques to measure the
effectiveness of the advertising copy.
The effectiveness of advertising in a particular media may also be measured in the
following ways;
•By giving different addresses to different media,
•Different newspapers may be selected for advertisements of different departments,
•Coupon blank etc. May be provided with the advertisement or
•Enquiry from consumers should mention the name of the source of information.
•The technique is known as keying the advertising. Thus in measuring advertising
effectiveness we include measuring of the effectiveness of advertising campaign,
advertising copy and the effectiveness of individual media.
 IMPORTANCE OF MEASURING THE ADVERTISING
EFFECTIVENESS
•It acts as a Safety measure: It facilitates timely adjustments in advertising to make
advertising consumer oriented and result oriented. Thus waste of money in faulty
advertising can be avoided.
•Provides feedback for remedial measures: Measuring advertising
effectiveness provides useful information to the advertisers to take remedial steps
against ineffective advertisements.
•Avoids possible failure: Evaluating advertising effectiveness helps in estimating the
results in order to avoid complete loss.
To justify the Investment in Advertising: The expenditure on advertisement is
considered to be an investment. If the expected rate of return is achieved in terms of
additional profits, the advertisement can be considered as effective one.
To know the communication Effect: It is desirable to seek post measurements of
advertising in order to determine whether advertisement have been seen or heard or in
other words whether they have communicated the theme, message or appeal of the
advertising.
Compare two markets: Under this procedure, advertising is published in test markets and
results are contrasted with other.
LIMITATIONS
1. Can’t substitute personal selling
2. Should only be used to create awareness
3. Requires live demonstration
4. Cannot achieve the task of creating conviction and purchase
THANKYOU!