ADVER

TISING
BUDGE
T
 INTRODUCTION OF
ADVERTISING
BUDGET
 BUDGET
&
BUDGET
PROCESSING
Steps in Advertising Budget- Making
process:

•Collection of data & preparation of budget

• Presentation &approval of budget

• Budget execution

• Budgetary control
Collection of data & Preparation of
Budget
Presentation & Approval
Budget
 io n
c u t
x e
e t E
dg
B u
Budgetary Control
 Features of
dvertising
Budget
 Acts as planning & controlling device

 Regulates advertising expenditure

 Set limits to Ad expenditure

 Fixes maximum amount on Ad

 Ad plans.
 Factors
Determing
Advertising
Budget:
Organizational Objectives
Type of Product to be
Marketed
Frequency of Ad Expenditure of
Previous Year
Size of the Media Used
Company
Avaibility of Finance Size of Market
Quality of Ad Importance of

Campaign middlemen
 Advantages of Ad
Budgeting
 Facilitates evaluation of Ad
expenditure
 Introduces rational approach
 Keeps ad expenditure within limits
 Provides proper direction to Ad exp.
 Facilitates Ad planning & execution
 Acts as controlling devices
 Facilitates selection of suitable Media
 Methods of Preparing Ad Budget
 Percentage of sales method (sm)
 Limits of sales Method
 Completion's expenditure method
 Market share method
 Objective method
 Brand history method
 All you can afford method
 The break even method
 The quantitative method
 Share of voice method