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Particulars Executive Summary Meaning of Advertising Role and Importance of Advertising FMCG Sector - An Introduction What does FMCG include/does not include? Characteristics of an FMCG from Consumers' Perspective Characteristics of the FMCG from Marketing point of view Advertising tools used in FMCG industry Advertising components of FMCG industry MASCOT LOGO SLOGAN Role of Advertising in FMCG Products Promotion Advertising for value-addition Comparative advertising Advertising for Health & Hygiene Products Informative advertising Advertising using Life-style as a platform Humor as a part of advertising Advertising based on demography Advertising and Packaging Advertising and Positioning of Brands Advertising for low-priced items Advertising and Celebrity endorsement of FMCG products Growth strategies for FMCG products and Role of advertising as a part of that strategy Multi-brand strategy Product Flanking Brand Extension Building product lines New Product Development Innovations in core products Long term outlook Extending product life-cycle Expanding market by usage Wide distribution network & Mass advertising campaign Monitoring the pulse of the consumer Advertising and Media coverage Conclusion References

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Executive Summary
According to AMA (American Marketing Association), advertising is the paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor. In other words, advertising offers people ideas, goods, and services and persuades them about their benefits, utility, and desirability. More than that, advertising is one of the largest generators of revenue in the world economy. It moves markets and minds as well. It generates employment both directly and indirectly and influences a large section of the people. Advertising interests, entices, intrigues, and entertains. It creates lifestyles. It involves people with products. It aims at building relationships between customers and brands. The FMCG industry in India is the third largest industry after textiles and petroleum. Its participant profile is extensive and includes food and related products such as tea, salt, tobacco, oils, fats and processed foods, personal care products such as soaps, detergents, hair oils, toiletries and dental products. The industry comprises of goods which are mass use goods directly consumable, packaged and branded having significant demand in low to middle income strata and above all are highly price sensitive. This project studies the role of advertising in promotion of products sold in FMCG industry. The project also highlights different sub-categories of Fast Moving Consumer Goods and takes into account the advertising strategies practised in the respective sub-categories. The project also consists of different types advertising and their respective role in promoting FMCG products. This project not only looks at advertising in the past but it also suggests growth strategies for FMCG in future and the role of advertising in making this growth a reality and sustainable.

The Meaning of Advertising


The term Advertising originates from the Latin word 'Adverto', which means to turn round. Advertising thus denotes the means employed to draw attention to any object or purpose. In the marketing context, advertising has been defined ''as a paid and nonpersonal form of presentation and promotion of ideas, goods or services by an identified sponsor". There is not only an identified sponsor, but also an identified media and message behind every advertisement. Through an advertisement, the advertiser intends to spread his ideas about his products/offerings among his customers and prospects. Popularization of the products is the basic aim of the activity.

The Role and Importance of Advertising


The importance of advertising has been summed up in the pithy statement, 'Advertising is telling, and selling'. Though advertising forms one of the four components of the promotion mix of a firm, it has reached the status of an independent discipline in itself. There is a large assortment of studies and literature on the advertising discipline. In the last two decades in particular, its growth has been so tremendous that advertising has evolved into a special field of study. Advertising has been studied extensively and from many different Angles, over the years, an extensive volume of literature has taken shape on the subject of advertising. Research studies indicate that between 1900 and 1980 about 500 books on the subject have been written. They cover the different dimensions of advertising-the social dimension, the economic dimension, the psychological aspects of advertising, the communication task in advertising, and the ethics of

advertising. People engaged in different disciplines wrote on the subject and advertising was becoming a controversial subject. Works on advertising, treating it exclusively as a commercial or management subject, started rather recently, perhaps from the fifties onwards. Authors like Neil Borden, Martin Marshall, Boyd and Newman and Aaker and Myers, dealt with the subject essentially as a management and marketing tool. In this project, we shall also be treating the subject from the same standpoint, as our main concern is with Advertising as a management tool.

Fast Moving Consumer Goods (FMCG) Sector An Introduction


The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of $13.1 billion. It has strong MNC presence and is characterized by a well established distribution network, intense competition between the organised and unorganised cheaper segments labour and costs low and operational cost. Availability of key raw materials, presence across the entire value chain gives India a competitive advantage. The FMCG market is set to treble from $11.6 billion in 2003 to $33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer 'upgrading' in the matured product categories. With 200 million people expected to shift to processed and packaged food by 2010, India needs around $28 billion of investment in the foodprocessing industry. Demand for FMCG products is set to boom by almost 60 per cent by 2007 and more than 100 per cent by 2015. This will be driven by the rise in share of middle class from 67 per cent in 2003 to 88 per cent in 2015. The boom in various consumer categories, further, indicates a latent demand for various product a

segments. For example, the upper end of very rich and a part of the consuming class indicate a small but rapidly growing segment for branded products. The middle segment, on the other hand, indicates a large market for the mass end products. The BRICs report indicates that India's per capita disposable income, currently at $556 per annum, will rise to $1150 by 2015 - another FMCG demand driver. Spurt in the industrial and services sector growth is also likely to boost the urban consumption demand. Principal drivers that influence profitability The principal drivers that influence the underlying profitability of an FMCG business are: Those that drive growth, and Those that drive efficiency thus releasing resources for growth. Growth drivers for any FMCG business would include: Their existing advantaged brands New products New business As well as improved/enhanced presence and availability Initiatives/activities in each of the above area would form the basic plan for any FMCG business. For Driving Efficiency, any FMCG would need to look at manufacturing costs, working capital, costs across the supply chain as well as people and indirect costs. Looking at ways to maintain efficiency while minimizing costs would obviously be the objective of any FMCG business. At the macro level, the evolution of the FMCG industry would continue to be driven by a number of factors. These include economic growth, which would impact large proportions of the population thus leading to more money in the

hands of the consumer. Changes in demographic composition of the population and thus the market would also continue to impact the FMCG industry. For example: In a recent survey conducted by a leading business weekly, approximately 47 per cent of India's one billion people were under the age of 20, and teenagers among them numbered about 160 million. Together, they wielded INR 14000 Cr worth of discretionary income, and their families spent an additional INR 18500 Cr on them every year. By 2015, Indians under 20 are estimated to make up 55% of the population - and wield proportionately higher spending power. Obviously, companies that are able to influence and excite such consumers would be those that win in the market place. At the firm level, companies that are able to spot trends early and those that are committed to continuous innovation and those that endeavour to delight the consumer by meeting her changing needs will lead and prosper in the future. Product superiority married with a favourable price-value equation will form the basis of winning initiatives in the coming years. As the retail environment changes and organised retail takes shape, the second potential opportunity for value creation is in the area of distribution & availability. Exemplar companies that have used distribution and availability differentially will achieve sustainable business growths. With an eye on the future, firms would need to take a leadership stance and invest in upgraded in-store infrastructure; in-shop and market level presence and thereby improve presence and availability. The Indian FMCG market has been divided for a long time between the organised sector and the unorganised sector. While the latter has been crowded by a large number of local players, competing on margins, the former has varied

between a two-player-scenario to a multi-player one. Over the last few years, competition amongst the branded players has been intense due to the emergence of new players as well as free imports. While this has afforded the consumer much greater choice, it has also led to a struggle for survival for some of the existing players. This trend is likely to continue and result in consolidation happening within the industry. Profitability would continue to be boosted by players being able to offer and use new technology resulting in a competitive advantage and thus price premium to the customer. However, this is not likely to be a long term proposition, given the fact that access to technology has substantially eased and the time required to catch up new technology has decreased. Companies with strong advantaged brands would continue to be more profitable.

WHAT DOES FMCG INCLUDE / DOES NOT INCLUDE?


Fast Moving Consumer Goods usually refer to non-durable products. Examples include soft drinks, toiletries, grocery items, etc. A customer usually spends a minimum of effort to procure them. However, much of astute marketing activities have evolved from this class of products, where consumers show low involvement, get wider choice and allured by a host of inducements. Based on the prime factor behind their buying, fast moving consumer goods (henceforth called FMCGs) can be further subdivided into Staples - Goods that consumers purchase on a regular basis. For example, consumer purchases a toilet soap, detergent, sauce, toothpaste and biscuits as and - stocks reach a critical level. Impulse goods - Goods that are purchased without any planning or search. These goods are usually procured due to external stimulus. Thus chocolates, soft drinks and potato chips are displayed in the Kirana store because shoppers do not think of buying them until they spot them. Emergency goods - Emergency goods are purchased when that particular need arises. The requirement for umbrellas arises during the rainy season or with the advent of winter. Manufacturers of emergency goods will place them in many outlets so as to capture the sale when the customer needs these products. The FMCG (fast moving consumer goods) industry comprises of goods which are used by masses. They are directly consumable packaged and branded goods having significant demand in low to middle income strata and above all are highly price sensitive.

The FMCG industry in India is the third largest industry after textiles and petroleum with a turnover of Rs. 80,000 crores. Its participant profile is extensive and includes food and related products such as tea, salt, tobacco, oils, fats and processed foods, personal care products such as soaps, detergents, hair oils, toiletries and dental products. The FMCG value chain is vast covering farmers who manufacture the primary products to the consumers who consume ultimate finished goods. The value chain includes transporters, manufacturers, carrying & forwarding agents, distributors and retailers.

MAIN SEGMENTS OF THE FMCG SECTOR

Personal care includes: Oral care Hair care Skin care Personal wash ( soaps ) Cosmetics and toiletries Deodorants

Perfumes

Paper products ( tissues , diapers , sanitary ); Shoe care Major Players: Hindustan Lever , Godrej Soaps , Colgate Pamolive , Marico , Dabur and Procter & Gamble. Household goods include: Fabric wash (laundry soaps and synthetic detergents) Household cleaners (dish/utensil cleaners, floor cleaners, toilet cleaners, air fresheners, insecticides and mosquito repellants, metal polish and furniture polish). Major Players: Hindustan Lever Limited, Reckitt & Benckiser, Henkel, Jyothy Laboratories, Procter and Gamble Ltd. Branded and packaged food and beverages include Health beverages Soft drinks Staples/cereals Bakery products (biscuits, bread, cakes, doughnuts etc.) Snack food Chocolates Ice-cream Tea, coffee Processed fruits Vegetables and meat

Dairy products Bottled water

Branded flour Branded rice, branded sugar, juices etc. Major Players: Hindustan Lever Ltd., Nestle, Cadburys, Dabur, Coca-cola PepsiCo, Amul, Britannia and Parle Products. Spirits and tobacco major companies active in this segment include ITC Godfrey, Phillips, UB and Shaw Wallace.

Characteristics of an FMCG from Consumers' Perspective


FMCG is characterised by a few distinct factors. By its very name one is able understand the fact that an FMCG has a low shelf life. There are a host of other characteristics which have considerable implications for any marketer. These are briefly described below Frequent purchase As is obvious from the name itself, these goods lend themselves to frequent purchases by the consumers. A product like salt is bought very frequently. It is an inexpensive product, costing anywhere between Rs. 2.00 and Rs. 5.00 a kg and is also available in almost all the corner shops which caters basic need of every customer and neighborhood. It is never stocked at home beyond a kg because it is easily available thus making it all the more attractive to buy at all times even at odd hours! Low involvement FMCG items are by their very nature low involvement goods' When a consumer walks into a shop to purchase a packet of salt or a bottle of tomato ketchup, the consumer rarely makes an effort to choose the item. Even if the consumer is aware of the various brands of that particular product, should the brand he or she ask for not be available, the consumer will, in most cases, take what ever is offered in its place. Another factor which works in this direction is that there is usually a very large variety of options available in these product classes So if the brand asked for is not available, the consumer still has a large choice.

There are a few exceptions to this rule. Products like cigarettes, personal hygiene products, although satisfying all the other criteria of FMCG, are found to command a high level of brand loyalty. Once a consumer gets

used to a particular brand of product, consumers do not easily accept any other brand. In the case of personal hygiene products, like shampoos or sanitary towels, consumers do not like to change brands because it is a matter of prior habit or personal liking and as such those groups of users form a very brand loyal market. They even go to different shops if the preferred brand is not found at the first shop or even delay their purchase if the particular brand is not available. Low price FMCG items are usually low priced. However, a consumer may perceive an option to be high priced when tacitly compared to popular brands. For example, the most expensive toilet soap may cost Rs. 50. Goods like soaps, detergents, tea, potato wafers etc., are high volume products with a wide potential market base. This feature of low price paid per transaction places these products in the low involvement category. This is another reason why consumers show a limited interest in selecting these.

Characteristics of the FMCG from Marketing point of view


High Volumes The market for FMCGs is characterised by high volumes. A medium sized family, for example, may use two to three cakes of soap in a month. If that number is multiplied by the number of such families throughout the country, one arrives at a very large number. The phenomenon is noticed for toothpastes, flakes, biscuits, soaps, chewing gums and so on. These goods are therefore, manufactured in millions of tonnes. As a result, if a marketer cannot ensure large volume sales, the operation may not be viable. Low margins Because of the high volume and as a consequence of intense competition, these products are usually sold at prices which are very close to their production costs and the margins offered to dealers or distributors on these products are rather low. So, a marketer sets prices as low as possible and ensures turnover through large volumes. Similarly, distributors and dealers operate in low margins which they manage with high volume sales and quick disposal of stock. Distribution Consumer preferences in the FMCG industry are not rigid. A consumer may ask for a brand whose advertisement he has seen recently, thanks to easy recall. Usually a buyer will ask for a particular product and accept whatever brand is given by the shopkeeper. Even in the unlikely cases the

consumer does ask for a specific brand-name, in case the brand is, not available, he or she will settle for some other one. In other words, the notion 'the customers loyalty is not very prevalent among a large

section of market. In the case of goods, consumers will generally require the product only on sight. The consumer allows the shopkeeper to decide for him. In view of such customer high and low loyalty on the part of the dealers, it becomes necessary for distributors to make sure that the product is s well distributed. With this in mind, FMCG companies have built up highly extensive distribution networks all over the country. It is because of this reason that a foreign company initially tries to takeover or merges with another Indian company to have access to its distribution network. E.g. Products like Brooke-bond, Colgate-Palmolive, Britannia, Eveready, Parle-G biscuits etc. today have highly extensive distribution networks in India. Moreover, HLL has a very far network in the rural markets. Thats why; Lifebuoy is the largest selling soap in the world. Stock Turnover A characteristic feature of FMCG is that they have high stock turnover. This is a consequence of the fact that these products are purchased frequently and at regular intervals. In other words, these goods have low: shelf life. Shopkeepers, therefore, are willing to trade in these goods more because they find a high stock turnover, which consequently allows them to release his capital a number of times in a month or so. e.g. a pouch retailer can turn his capital over almost daily. He buys his stocks in the morning, and when he shuts his shop at night, he has regained his investment and more commonly the next day, the same money is reinvested.

Advertising tools used in FMCG industry


Advertising is dynamic. It changes with the changing market, changing lifestyle, changing methods of distribution and changing patterns of consumption. In the modern world of advertising, different types of media are being put into use by marketers to communicate about product and service to the customers as well as the prospective buyers. In India, newspapers, magazines, radio, television, hoardings, cable network, outdoor, dealer network etc. constitute the important media put to effective use by the manufactures of consumer durables. Of the various medias television enjoys distinct superiority over the rest because of its audio-visual impact. Newspapers magazines radio outdoor too play the important roles in the advertisement efforts of the marketers. The various promotional tools used are: NEWSPAPER Newspapers are of different types. They are national regional and local as far their coverage is concerned. Newspapers form the most popular advertising medium, due to the versatility of its character. National newspaper can be used for a wider appeal. Local newspapers afford the means for intensive advertising. Newspapers are the vest media for the sale of consumer durables, articles of utilities, beauty and luxury. Examples:

Dainik Bhaskar, Dainik Jagran, Amar Ujala, Deccan Herald, Loksatta, Navbarat times, Lokmat, The Times of India for the masses and The Economic Times for targeting corporates.

MAGAZINES Magazines also play a significant role in advertising . The various types of magazines are consumer magazines, farm magazines, business magazines, trade magazines, industrial magazines and professional magazines. For article of utility, beauty and luxury which the educated masses are likely to demand more, the current newspaper and magazines are more suitable. Examples: Saras Salil, Grihashobhika, Meri Saheli particularly for Hindi speaking target group. India today, Femina, Cosmopolitan, Outlook, Business world for different types of target group like corporates, liberated/career oriented women etc. POSTERS A Poster is a sheet of paper containing a message and is pasted in the face is a panel. The advertisement is printed or painted on cardboard, metallic sheets, hardboard etc. and are exhibited at railway station places of entertainment busy streets etc. Experts advertising agencies are employed for preparing poster and for getting suitable sited rented. PAINTED DISPLAYS Theses are similar in appeal like posters; painted displays on board or walls cannot be as many as posters. Posters may be printed

simultaneously in thousands, whereas the walls or boards painted are limited in number. Posters require replacement from whereas painted displays are permanent.

NEON SIGNS Glass tubes or signs with electric writing are gainfully employed to make the message attract the attention of passers by the colorful lights in the dark background of a night. Neon signs have glamour. They are bright and catchy and they easily attract the attention and educate the prospect even from a distance. Example: Mc Donalds SANDWICH BOARDS Sandwich Boards are one of the popular methods of outdoor advertising in rural areas. Under this method, the messengers are appointed by the advertiser to carry advertising boards on the side of both shoulders. The creation of dramatic effects is one of the special merits of this type of advertising. DIRECT MAIL Direct mail is advertising addressed to individuals through the agency of post. These prospects are selected from among the people in a particular locality on the basis of mailing list. RADIO Radio is the cheapest and the most pervasive of all media of mass communication. Radio publicity takes form of commercial songs, Dramatic

dialogues, opinions of popular figures like cricket players, film stars, etc. Products like soaps, cosmetics, confectionery, films, etc.

TELEVISION The popularity of radio publicity has gradually been taken over by television. T.V. provides a scientific synchronization of features of sound, sight, motion and quickness that no other medium has been able to provide so far. A variety of techniques are available to the advertiser like cartoon, documentary films, etc. FILMS Film publicity means exhibition of films or slides in cinema halls along with a picture or independently. This medium has become more effective due to rapid industrialization and competition. Luxury items, fancy articles, specialty articles, etc. are advertised in such cinemas. INTERNET ADVERTISING Web advertising/Internet advertising incorporates the use of web space allocated in the internet, which is widely used in the modern world. In web advertising, the sponsors of the products pay a nominal amount to the side hosts allocate a particular amount of space in their website to advertise the product. POINT OF PURCHASE ADVERTISING (POP) Point of purchase advertising means the advertising at a place and time when the prospective buyers arrive in the market for purchasing the good

finally. Point of Purchase advertising is the last opportunity to an advertiser to promote a sale.

WINDOW DISPLAYS Window displays are used to attract persons into the shop by arousing their interest sufficiently. This display is a part of the shop which is facing outside for the public for viewing. For example, Saree shops like Kala Niketan, Roop Sangam, Paaneri have window displays, Reebok/Adidas show rooms also have window displays etc. EXHIBITION AND FAIRS Many big manufacturers and businessmen participate in the various exhibition and fairs and arrange shows by opening their stall. Exhibition are useful for the buyers, who can view in one place the different requirements of the industry with which they are connected. Exhibition may be organized at local, national or international level. SKY ADVERTISING Under this form of advertising an aero plane writes name of the product in the sky. Notices and other advertisement material such as printed balloons etc. are dropped from the sky. COUPONS Coupon use has been very popular in recent years. The coupon is an extension or variation of the consumer deal strategy. Each coupon offers a price reduction on a specific item in the manufacturers product line. The

advantage of coupon over special prices is that the product is never marked at a price lower than the established one.

CONTESTS Contests are also sponsored by some firm to attract additional customers. Under contest, the consumer is required to purchase one unit of the sponsors product, and the entrant has equal chances to win prices which carry considerable attraction. The success of a contest depends to great extent on how well consumers are informed of its existence. Advertising can do a great deal to engender interest in a consumer contest. PREMIUMS/ GIFTS/BONUS etc. Premiums are free gifts or bonus items distributed free with the, purchase of another product. For example Buy Three, Get One Free. Premium is tied to current sales. The premium is offered to the customer as a reason for buying the item; the premium comes as a gift. Premiums are used to stimulate industrial and trade buying.

ADVERTISING COMPONENTS OF FMCG INDUSTRY


Advertising consists of various components. These components create a distinct identity for the product. In certain cases, these components themselves have become brands. The various components of advertising are as follows: MASCOT A mascot is a creature which represents a group, such as a sports team, or a company. Mario is the mascot of Nintendo. A mascot is a trade character or figure. The mascot is usually a fictitious character. It stands for the company or the product. It has immense advertising value. When the character becomes popular, it reminds one of the company or the products instantly. It acts as a symbol so unique that no one can imitate or claim it. Some or the well known mascots are the Amul moppet, Gattu ( Asian Paints), MRF man, Ambuja Cement man, Onida Devil, Kelvinator Penguin, Milkmaid Lady, Etc.

ITC SUNFEAST BISCUITS MASCOT

PILSBURY DOUGHBOY

THE FAMOUS AMUL GIRL

LOGO A logo is a picture or drawing that is used by a person, group, or company to mark who they are. A company or group can use a 'logo' on the things that they make, like on the things they sell, on letters, and in advertisements. When another person sees the logo picture, that person knows that the thing they see the logo on came from that company. Logos can have letters and words in them. Many logos have the name of the company or group in them. Most logos are very simple drawings with only a small number of colors. Some logos are only black and white. In many countries, companies and groups should tell their country's government about the logo they are using. If they do this, the government can help stop a different company or group from using the same logo, so that everyone can be sure that the logo is only used by the people who used it first. This is sometimes called a 'trade mark'.

Companies are not the only people who can use a logo. Many schools have logos. Some cities have logos. Clubs can have logos. Even people can have their own logos if they want The display of the company name, seal or trademark is called a logotype and is common part of, most advertisements. These logos have created a distinct identity for the brand. Many reputed companies enjoy recognition among the masses with the aid of their logo. Some examples of logos are given below:

SLOGAN

A slogan is a memorable phrase used in a political or commercial context as a repetitive expression of an idea or purpose.Slogans vary from the written and the visual to the chanted and the vulgar. Often their simple rhetorical nature leaves little room for detail, and as such they serve perhaps more as a social expression of unified purpose, rather than a projection for an intended audience. The word "slogan" comes from sluagh-ghairm (pronounced slogorm), which is Scottish Gaelic for "battle-cry". Most companies have used slogans for several years and the slogans have become a symbol of identification for the company. Most of the consumers identify the product as soon as they hear the slogan. Many companies use the slogan of their well known products in order to advertise their other products and to gain brand recognition. Some wellknown slogans are: PEPSI (WORLD CUP SLOPGAN): Hoo Haa India, Aaya India Coca Cola : Thanda Matlab Coca Cola Britannia: Eat Healthy, Think Better. Amul: The Taste of India. De Beers (DTC): Diamonds are forever/ Heera hai sada ke liye.. Raymond: The Complete Man. Videocon: The Indian Multinational. Philips : Lets Make Things Better Wills Cigarettes: Made for Each Other.

Ceat Tyres: Born Tough. Thumps Up: Taste the Thunder. Nike: Just Do It. Maggi: Just 2 minutes. McDonalds: I am Loving it.

ROLE OF ADVERTISING IN FMCG PRODUCTS PROMOTION

In this world of excessive competition, advertising has become an indispensable means of reaching the consumer. It is more so in the case of Fast Moving Consumer Goods (FMCG). The marketer tries out new, innovative ways to communicate with the consumer. Advertisers should try to recognize the desires influencing people to move in any given direction Advertising for value-addition In addition to providing information about the product, Value-added advertising transforms a product into something more appealing to consumers than the physical object produced in the factory. Therefore, it is a missing link between brand attributes and the customer perception, between product features and need fulfillment, between benefits and values. The three types of Value added advertising are: a) Interactive Advertising The purpose of

Interactional Advertising is that interaction cements the company's relationship with the customer, adding to the latter's sense of receiving value added benefits by offering emotional add-ons. Advertising can achieve this by introducing the element of interaction, e.g., campaign used to launch Hindustan Lever Limited's (HLL's) Surf Excel.

The value that HLL wanted Surf Excel to provide to the customer was superior washing power. The focus was not on specific attributes such as better dirt fighting ability or a white wash, but allround performance that delivers the greatest value among all brands in the market for every paisa spent. So, the company and its advertising agency Lintas concluded that simply making a claim of superior value would not suffice; customers would have to be given a chance to test it for themselves. Hence, the advertising used the interactive format from the very beginning. The first commercial announced the launch of a new detergent brand, accompanied by shots of unbranded cartons and asked viewers to write to an anonymous post-office box number for a free sample. The objective was to kindle interest and create a sense of interaction among potential customers, and to ensure them that their response would be factored into the product formulation. In the second commercial, the company introduced money-back offer for the dissatisfied customers (now the product is revealed as Surf Excel)--once again setting a scene for two-way communication. The third commercial went on to depict the feedback from real-life users, who declared their delight with Surf Excel. This was to capitalize on the initial involvement that the advertising had built. Therefore, the lesson learned from this campaign was to use interactivity to provoke customer participation.

b) Transformational Advertising The fundamental objective of transformational advertising is to weld the experience and the brand so that the value from the former is transferred to the latter in the customer's mental map. Examples are: Titan watches provide the value of the joy of giving gift. The real value of eating Cadbury's chocolates today lies in experiencing "the real taste of life". This objective was targeted to the adult buyer rather than the children. Cadbury and its advertising agency, Ogilvy and Mather (O&M) started out by examining why the adults do not eat chocolates. The findings showed that the adults felt too self-conscious to be seen consuming a product actually meant for children. Therefore, the strategic response was to address the emotional appeal of the brand to the child within the adult, Therefore, it was the job of advertising to communicate to the customer the wonderful feelings that he could experience by rediscovering the carefree, unselfconscious, pleasure-seeking child within himself, and gratify those feelings by adopting the brand Surf Excel, India's largest-selling compact detergent powder, in its new modification, promises to tackle d1.e toughest stains without damaging the color of the fabric. This is because only Surf Excel has smart sensors that can differentiate stains from colors. Nowadays, no person has to worry about tackling the tough stains, especially on the colored clothes. Surf Excel Hai na! This is because by using Surf Excel, the life of the fabric becomes longer; i.e., no shrinkage, no fading of the color, etc. Therefore, the consumer enjoys a greater bondage between Surf Excel and the cloth in the sense that the stain removing value of the washing

powder translates into longevity of the cloth tethered in the minds of the consumer.

The NIKE advertisement starring Michael Jordan is another example of Transformational Advertising. Michael Jordan is considered to be an extraordinary athlete and is shown wearing NIKE shoes. The qualities that he represents, namely greatness and professionalism, are transferred to the shoes. The ad does not say anything about the shoes, but it relates that the shoes have the same qualities as Michael Jordan, as he excels in his game of basketball; similarly, NIKE shoes are superior to any other brand. The Ceat tyre commercial on television portrays the tyres to be "Born Tough!" Here, the innate qualities of a rock (solid, unbreakable) are transferred to the Ceat tyres.

C) Advertising deriving benefit out of human emotions When delivered the by value the

product is tangible, the real differentiator lies in the emotional condition it generates in the customer's mind, But it is hard to judge if an emotional working, ad is because

emotions are internal and personal things that people will not express immediately. Example of this kind of ad is the heart-stopping commercial for Saffola cooking oil, created for the Marico Industries by Ambience Advertising. Marico realized that the benefit of offering protection to the heart could be traced backwards to a feeling of comfort that this protectiveness generates in the mind. The greater the sense of worry, the stronger would be the value of protection Saffola could offer. Realizing that the apprehension was highest among the wives of men over 30 years leading stressful lives, Marico and Ambience decided to fulfill the need of comfort of this particular customer segment. The advertising featured scary, black and white images and the apprehension of the wife; series of shots depicting a middle-aged man being rushed to the hospital and wheeled into the operating room after he has had ~ heart attack while his panicstricken wife waits fearful, drove home the message: "There are many things in your husband's life that you cannot control; Saffola:

It's your life insurance". This advertisement struck up an immediate association with safety and relief. 2. Comparative Advertising

The advertisements of Pepsi and Sprite showing the two products competing with each other. The Pepsi ad shows a boy on a roller-coaster enjoying Pepsi, which is not spilling off from the glass. Afterwards, when a girl comes to ask him the time, the boy looks at his wristwatch with the glass in the same hand. The result is that Pepsi is spilled over the boy's shirt. And the slogan appears: "Be Cool". The fact, which is revealed to the consumers in this advertisement, is that no matter in whatsoever uncomfortable or difficult situation you are, always keep your head cool and you will achieve your targets. On the other hand, the Sprite advertisement is the same, except that when the girl comes to ask the time, the boy (in his good sense) first takes the glass in the other hand and then sees the time. This results in no spilling of the Sprite on the boy's shirt. The punch line appears: "Be Cool, Don't be a Fool". This advertisement is a counter advertisement spoofing the Pepsi ad. The Sprite people want to take away the market share of Pepsi by showing such a kind of comparative advertisement, indirectly telling people that

things could be sensibly done by drinking or going with Sprite, rather than with Pepsi. Another kind of comparative advertisement was taken out by Thumps-Up against Pepsi. During the World Cup Cricket Tournament held in India, Pepsi was nominated as the official sponsor. Therefore, they showed cricketers Mohammed Azharuddin and Ajay Jadeja in the advertisement drinking Pepsi during sleeping, eating and playing. The punch line appeared: "Drink Pepsi, Eat Pepsi, Sleep Pepsi". In the counter-advertisement Thumps-Up showed two monkeys eating bananas and sleeping 'with the cricket bat. The punch line appeared: "Don't be a bunder (bunder is the Hindi version of monkey)taste the thunder". The Pepsi advertisement portrayed that Pepsi is an integral part in a person's life without which life would have no meaning or no vigor. The Thumps-Up advertisement was in retaliation to the Pepsi advertisement, which was making inroads into the consumer's mind. The counteradvertisement suggested that the consumers who were drinking Pepsi were bunder. Another very good example of comparative advertising is the tussle going on between Pepsi and Thumps-Up for acquiring the top slot in the aerated drinks category. The Thumps-Up advertisement shows film actor Salman Khan having two glasses of unknown aerated drinks. He then asks the students to come and check which one is their favorite drink. The girl tastes both the drinks and then says that the stronger one is Thumps-Up,

which is her favorite. Then the punch line comes: "Grow up with ThumpsUp. Have You?" This advertisement assaults Pepsi because everybody knows about the Pepsi-Cola war. (Thumps-Up being a brand of Coca-Cola). This advertisement has portrayed that as children grow, their tastes change from a sweeter one to a slightly stronger one, which makes a person hyperactive by hitting it a little hard in comparison to other aerated drinks. Pepsi, on the other hand, came up with another advertisement showing a mother treating her adult son as a school-going kid. They went to the market to buy aerated drinks. The drink is called Grow-Up. Suddenly a girl came and bumped into the boy. The girl was carrying Pepsi. The boy said, "Sorry, Sister?" The girl got annoyed on being addressed as sister and did not take the Pepsi, which the boy picked up for her after having bumped into each other. The boy then drank the Pepsi, which completely changed his image from a school-going student to that of a lover boy. He got into the car of the other students and went away gallivanting. His mother came running behind screaming, with Grow-Up in her hand "My Baby! When will you grow up?" Immediately /1.mrish Puri, a noted actor, comes with Pepsi in his hand and replies "Never, aunty!" The mother gets a shock of her life as that man looked of her father's age and had always eighteen" written on his T-shirt. This advertisement has portrayed Grow-Up to be Thumps-Up. This advertisement is targeting not only school children, but also college students and above. It says that it is a drink for all age groups and it brings joy to a person's life.

On accrual of this competitiveness of the companies in the market, a lot of money is spent on advertising their products, aiming to prove the superiority of one brand over the other.

3. Advertising for Health and Hygiene products Consumers are getting very much fitness conscious and the advertising agencies are keeping this factor into consideration when making an advertisement. Many new products have entered the market e.g., Cadila Pharmaceutical Company has launched several dietary supplements its Natures range i.e., Ivy rare for migraine headaches, dizziness; Hepasave for liver disorders and alcoholic side-effects; Tourmate for motion sickness, indigestion, etc. Dove Soap is shown for women belonging to upper-middle class and upper class families. The price of the product is also very high, thereby catering to this segment only. It is an advertisement, which shows a woman narrating about the problem of her dry skin, and how, by using this soap, has overcome this problem resulting in the boosting up of selfconfidence and admiration from other people for her beautiful skin. Pantene shampoo showed that in just 14 days, a person's hair would become longer and stronger. This advertisement also showed the use of some chemical compound, thereby also indicating that medicinally this product is of very good use. This advertisement has indicated the problem of hair loss suffered by almost every individual because of lack of nutritious diet or extra-stressful living. In the modern age where the medical profession is dominated by commercial compulsions, the doctor's are mostly involved in out-of-thehospital practices i.e., private practices, and, where concern towards the patient is declining, routine illness like cold and cough, stomachache,

muscular pain, cuts and bruises can be cured at home only. This can be done by having a little knowledge about the medicines. On the other hand, the patient also does not take these

things to be too serious to visit a doctor. This may be because of lack of time or inconvenience caused because of long distances ~o commute. Considering all this, the pharmaceutical companies have started advertising for these day-to-day medicinal compounds so that the consumer is at ease when such a situation arises. Examples of this type of medicines are: Vicks Vaporub for cold D'cold for cold and cough Dettol or Savlon for cuts and bruises, Burnol for burnt,skin Pudin Hara for stomachaches, gas, indigestion Moov, Iodex, Amrutanjan for muscular pain For the nutri-conscious consumer, title emerging trend in advertising is that food is also now being branded and advertised Ahaar Daliya (porridge) and Kissan Annapurna Atta (wheat flour) are a few Examples: Advertisements relating to a good hygienic environment is shown in the advertisement of Harpic Toilet Cleaner, where it is shown that how the germs are killed and the bathroom becomes clean on using this toilet -cleaner. Their tastes change from a sweeter one to a slightly stronger one, which makes a person hyperactive by hitting it a little hard in comparison to other aerated drinks. Pepsi, on the other hand, came up with another advertisement showing a mother treating her adult son as a school-going

kid. They went to the market to buy aerated drinks. The drink is called Grow-Up. Suddenly a girl came and bumped into the boy. The girl was carrying Pepsi. The boy said, "Sorry, Sister?" The girl got annoyed on

being addressed as sister and did not take the Pepsi, which the boy picked up for her after having bumped into each other. The boy then drank the Pepsi, which completely changed his image from a school-going student to that of a lover boy. He got into the car of the other students and went away gallivanting. His mother came running behind screaming, with Grow-Up in her hand "My Baby! When will you grow up?" Immediately Amrish Puri, a noted actor, comes with Pepsi in his hand and replies "N ever, "-iU11ty!" The mother gets a shock of her life as that man looked of her father's age and had Always eighteen" written on his T-shirt. This advertisement has portrayed Grow-Up to be Thumps-Up. This advertisement is targeting not only school children, but also college students and above. It says that it is a drink for all age groups and it brings joy to a person's life. 4. Informative Advertising Advertising is also done based on information that has to be provided to the consumer regarding the products. This is known as Informative advertising. Safal Frozen Vegetables, which inform the consumers that certain vegetables like carrot, cauliflower, pea, ladyfinger, etc., which are available only in a particular season, are now available all through the year. This is done by packing and freezing the packets, which would keep their freshness intact. These packets are made available all through the year, without deteriorating their quality. Therefore, the purpose of such

advertisements is informing the consumers or satisfying their urge to have off-season vegetables.

Triveni Consumer Products had launched Click, a ready-to-use moist tobacco pouch placed between title upper lip and gum that requires no chewing or spitting, but tastes of tobacco. It is convenient for people to use in non-smoking areas such as airports and Cinema halls. Another kind of Informative Advertising projects Hindustan Lever Limited's Fair & Lovely Dark Circle Remover Cream, which eliminates dark circles under the eye. It has a very low-key advertising campaign, which involves only outdoor hoardings and print advertisements. It has 'Dark circles going ------going -----gone' concept accompanied by the usual 'before-after' demonstration format. It also informs the consumers that it is a combination of natural cucumber extracts and a special fairness vitamin that lightens the skin by reducing the spread of melanin. Cease Fire came up with the concept of fire extinguishers in cylinders in India for the first time. The advertisement played a very important role in informing the consumers about the existence of the product in the market. Not only this, the advertisement also made the consumers aware of the benefits of using the product in different fields, and tried to educate them on how they could carry a mini fire brigade with them while traveling or could even have it in their house for safety. The minutest aspects of the human life are also trapped and shown in an advertisement. The things, for which people had not bothered earlier, are being noted very carefully today. Itchguard, helps a person avoid embarrassment in front of people because of scratching. Rexona Body Deodorant for removing body odor. Because of this health-conscious

scenario, people are also keen on the physical attributes of a particular product. And this is the reason why nowadays advertisements are also focusing on the physical attribute of a product.

One example is the advertisement of Colgate Navigator toothbrush, which portrays that this toothbrush has a flexible hinged head, bi-Ievel bt-1stles that would go even in the deepest of comers of our teeth to clean them properly, thereby avoiding tooth decay. Disposable products are also being manufactured these days. They are priced very less, but have a good quality. This is because in this fastmoving world, where traveling has become a very common feature, it is cumbersome to carry too much luggage. One example is the disposable shaving razors or shaving blades. CIBA vision has launched Focus Dailies, one-day and one-wear contact lenses for people who are constantly on the move. We all know that contact lenses have to be kept with utmost care, otherwise it will result into an eye infection. Therefore, this step by CIR\. vision is laudable in today's world. Eno Fruit Salt, launched by SmithKline Beecham is also an antacid ayurvedic medicine, which provides effective relief to the stomach in the case of acidity. The advertisement shows bubbles of Eno affecting the stomach in seconds, and the person getting relief.

5. Advertising using Life-style as an advantage/benefit

Another way to have an impact on the consumer's mind is portraying the life-style of a successful person. Kingfisher Beer is a brand of liquor, which portrays a mood to celebrate victory. The West Indies Cricket Team endorsed this brand, which was considered the best in this game. They were shown excelling on the cricket ground, winning matches after matches and then refreshing them with the Kingfisher Beer. Film Star Akshay Kumar portrayed a macho-man image in Red and White cigarettes, where he rescued a girl falling from the ropeway. Here, Akshay Kumar depicted the life-style of a brave man and related it to the product.

The Red and White cigarettes stimulated the film actor to behave in this manner. The bottom line was consumption of Red and White cigarettes would enable a common person to become a hero.

6. Humor as a part of advertising Humor in the advertisement is normally kept in order to create a light, jovial and lively kind of an atmosphere around the customer's mind. This is done because after a hard day's work, the normal tendency of a human being is to relax. An emotional or an informative kind of an advertisement would be too stressful for a person to imbibe. Therefore, the advertiser's as well as the manufacturer's main aim is to provide an advertisement that is somewhat comic in nature so that the tired person is able to get the right kind of signals from it without disturbing a lasting effect on the consumer's mind. Another comic advertisement is that of Parle G's Krackjack 50-50 biscuits. The advertisement has Krack and Jack, two characters resembling Laurel & Hardy, the famous comic characters. They identified each other as Mack, which is little sweet, and Jack as a little sour character, portraying the Krackjack so-so biscuits-"a little sweet, a little salty" punch line. They depict by performing hilarious roles. The new Maggi's Tomato Ketchup TV commercial featuring Javed jafree also conveys the message Its different by using good humor. himself much. Humorous advertisements are always easy to remember, and have

7. Advertising based on demography Another kind of advertising normally shown is based on demographic segmentation. Based on age, sex, etc. advertisements are made for different kinds of products. Examples: The cosmetic field is largely catering to the women segment, e.g., Lakme, Elle 18, Revlon, L'Oreal, etc. Due to the television reaching all parts of the country, tl1e advertising on the cosmetics is also paying well to tl1e manufacturers.

Similarly, in the chocolate segment, advertising plays a very important role. The emerging trend in advertising the chocolate segment has been pioneered by Cadbury. Here, Cadbury has projected chocolate not only as the prerogative of children, but also for young couples and old people by inserting the punch line: "The Taste Of Life".

The same is the case with Britannia. This company has also completely transformed its presentation of the product as not merely biscuits and cakes but as a product, which has a punch line: "Eat Healthy, Think Better". Britannia has brought a wide range of bakery products aiming at each and every individual, irrespective of the age. 8. Advertising and Packaging

Advertising is trying to lure the customers to buy their products on the basis of the way they are brought in front of the consumer's eyes i.e., packaging. The tinned products have a disadvantage that once opened; they have to be consumed either within a day or two.

Therefore, if the cans are available only in cig packs, then it is a waste of money to be bought by a nuclear family as the big pack will not be consumed and will have to be thrown away. Similarly, if the small packs are only available, then it becomes a tedious job to open them in a big party where they are required in a big amount. Therefore, Dabur and other companies have brought in these different kinds of small, medium and large packs for consumers to buy according to their needs. Dabur has brought in different flavors in the market of fruit juice. E.g., Dabur Real Mango/ Pineapple/ which have Orange/ Mixed Fruit etc. All these are in different in them, these products are without packages, i.e., 500 mI, 1000 mI, etc. They claim that unlike other juices, preservatives preservatives. Hence, the punch line is "Real Fruit Juice". Similarly, as more and more women are working, Dabur has come out with "Dabur Homemade". These are bottles of ready-made paste (masala) used in preparing curry, which are available in the market. Godrej and Kissan's Tomato Puree has hit the market catering to this need in mind. Chennaibased Velvette International Pharma Products introduced the Velvet shampoo in the market. Since it was a new product and there were strong competitors in the market, it designed its packaging in the form of sachets (small pouches for one time wash) in order to make its presence felt in the market by this innovative form of packaging. Not only it was easy to carry during journeys, but it was also priced at Re.1 per pouch, which anybody could buy and use.

9. Advertising for Positioning of Brands

Products are also advertised on the basis of cent-per-cent positioning. Reckitt & Benckiser own Dettol Soap. Dettol's "100% bath" implies a "germ-free bath". Its original form was that of an antiseptic liquid, with toilet soap being a brand extension. The advertising pitch, "germ-free bath", was in line with Dettol's parent positioning as an antiseptic. This eventually led to the brand's success. Tortoise Mosquito Coil used fun positioning for a long time, because the product is seen as somewhat harmful to breathing. Now the brand has moved to 100% positioning platform, probably with the intention of communicating 100% safety. Therefore, we can say that: Firstly, to claim to be "100% strong", "100% safe, or even "100% product", the product should be superlative, otherwise the positioning cannot be sustained in the long run. Therefore, while 100% positioning looks attractive, it cannot be assumed by weaker brands (those that are not perceived as absolutes).

Secondly, less demanding positioning platforms are frequently being built. It is easier to deliver an emotional proposition like Jiyo Mere La! (Long Live, My Son!) in the case of Brooke Bond Red Label Tea, rather than a rational proposition like "100% strong" i.e., positioning is supposed to make the product distinct in the mind of the consumer.

The advertisement of Captain Cook salt portrayed the product as "freeflowing salt". This advertisement gave a unique kind of positioning to the product, which was different from the others, in that it does not stick on to the hands while using. Because of this advertisement, Captain Cook salt was a huge success in the market, and the market share of Tata Salt decreased drastically. Another example which can be cited is that of Pepsodent toothpaste. It has the punch line as "100% germ-free". The main idea of HLL behind advertising the product in this unique fashion was to outsmart Colgate. Pepsodent capitalized on the fact that the teeth would remain germ free for 24 hours, and the kids could have a lot of sweets without any tooth problem. This would obviate kids from brushing after every meal and relieve the parents of constant worry. This is why if one has a new product, it is often better to tell the customer what the product is not, rather than what it is. An example of such a positioning strategy is that of7 -Up--the "Uncola". By linking the product to what was already in the mind of the prospect, the "Uncola" position established 7-Up as an alternative to a cola drink. 10. Advertising for low-priced items Marketers also lure the customers by showing in an advertisement that a product is available at a lesser price without any compromise on the standard. It adheres to Karsanbhai Khodidas Patel's (of Nirma company) credo-"sell high value products at the lowest possible price". Cadbury

India advertised the 5-Star chocolate by offering 30% more chocolate in its 5-Star bar for the same price. Another example of price advertising is of the Rs. 5/-, 200 ml. bottle of Coca-Cola. Coca-Cola came out with the Rs. 5/- bottles as firstly, people

very frequently, without even giving a thought to the disposable money on hand, which could lead to greater consumption of the product, could purchase it. Secondly, people who come under the low-income group could also purchase it i.e., these people also became consumers. Perfetti Van Melle, one of the biggest in sugar the confectionaries

world has a wide range of candies of which most of them are low-priced items. Their product portfolio includes Chupa Chup, Big Babol, CenterFresh, Happident White, Mentos, Protex etc. The company has very cleverly managed to promote and boost the sales of these low-priced items by using humor in their advertisements. 11. Advertising and

Celebrity endorsement Another felt in trend, which is has the

made its remarkable presence advertising, presence of role model Dr

famous personalities or celebrities in their respective fields. They are mainly used in the advertisement either to lure the rural people in buying a particular product or in

forcing the young generation to buy such products, which are endorsed by the celebrities. This is also called endorsement advertising. It is also used in portraying that a particular product is best in quality because a person who is also very well known in his/her field endorses it. The impact of these stars in advertisements enables the company to increase its sale. Saif Ali Khan, Shahrukh Khan, John Abraham, Bipasha Basu, Shahid Kapoor have endoresed the product Clinic All Clear shampoo and its various variants. It means that as they have left their counterparts far behind in the film industry, likewise, this shampoo is also the best in quality and is way ahead of the other brands of shampoo. But, the biggest brand ambassador who had been most successful in recent times is none other than Amitabh Bacchan. He had helped increased the sale of various products such as Reid and Taylor suitings, Dabur Hajmola, Cadbury chocolates, Navratna Tel etc. Sridevi (the famous Indian actress) endorsed Agni Tea where she portrayed the character of a woman who is very strong in the role of a police inspector and at the same time is very much attached to her family~

Here, this advertisement depicted that, as Sridevi is very strong as a police inspector, similarly, the tea is also very strong which gives lot of energy and freshness.

Sachin Tendulkar endorses Boost nutritious milk flavor. It is a competitor of Cadbury's Bournvita. The advertisement shows that after drinking Boost, Sachin Tendulkar plays very good cricket and then comes the punch line: ''Boost is the secret of my energy". The advertisement is mainly aimed at young boys who are aspiring to become like Sachin Tendulkar and lead India to glory. ITC Sunfeast rang of biscuits has launched special range of biscuits endorsed by the master blaster. The name of each biscuits starts with the prefix - Sachin. According to HLL, there were two fundamental reasons for using stars in LUX advertising: Firstly, the icons of beauty and glamour were chosen to represent the brand, such that, the message conveyed was of smoother and beautiful skin like that of Raveena Tandon, Karishma Kapoor, ete. Secondly, it provided escape as well as fantasy for the women from their daily routine This was done by imbibing in them the "feel different, look good" factor. Therefore, we can say that, celebrity advertising focuses on the market image, which has been created by the celebrities for their products and not on the ingredients or the features of the product. E.g., Pepsi and Coke have created many intangible benefits for its products by associating them with film stars. Children and adults want to consume their products to feel some association with these stars.

GROWTH STRATEGIES FOR FMCG & ROLE OF ADVERTISING AS A PART OF THAT STRATEGY The fundamental characteristics of fast moving consumer goods and their markets are already being mentioned. We shall now consider the various growth strategies followed by FMCG companies and role of advertising to be played as a part of that strategy. Typically, the success of an FMCG depends greatly on its marketing strategy. Typically, a marketer pursues a wide combination of strategies. For instance, the prices are competitive that the company would use, an extensive distribution network, design suitable advertising and sales promotion schemes from time to time. However, what is it that can make an FMCG brand sell more than that of its cmpetitors? What makes some outstanding brands? How does a marketer convert one customer from buying a generic washing powder to buying a particular brand? or what makes Lifebuoy a symbol of health for over a century? Thus to get all these questions answered let us discuss various methods thats are employed by the companies in an FMCG market. Multibrand strategy A company often nurtures a number of brands in the FMCG category. There are various motives for doing this. The main rationale motive behind this strategy is to capture as much of the market share as possible by covering as many segments as possible, as it is not possible for one brand to cater to the entire market. This also enables the company to lock up more distributors shelf space.

For example, the strategy adopted by Hindustan Lever Ltd.. They introduced many brands in the soaps and detergents market so that no segment is left untouched. It has Dove in the Ultra-premium segment

Lifebuoy for the economic: segment and brands like Rexona, Liril and Lux for the intervener segments. In the detergents market also, Surf itself is available in different forms Surf Ultra, Surf Easy-wash apart from the generic product. It has the Surf range in the premium segment, and Wheel for the economy segment. It has thus covered itself against any form of attack and captured market shares in every possible segment. Cadbury's has also done something similar to their range of chocolates. It has Eclairs, which is positioned in the economy segment, Perk and Five Star which cost less than Rs. 10 each for popular categories and then it has chocolate, with fruits and nuts, crispies and other exotic combinations which are slightly more expensive than the plain milk chocolates. At the premium end, Cadburys' offers bigger sizes of its "dry fruit filled" range and it also manufactures gif: boxes containing big sized chocolates. In its recent launch Perk was positioned as a snack-food. In this way, they are covering many positions or usages of chocolates. Another reason to adopt multiple brand strategy is to protect its major brand by setting up flanked brands. Sometimes the company inherits different brand names in the process of acquiring other companies and each brand name has a loyal following. An example of this strategy in the Indian context would be that of Coca Cola which acquired Thumbs Up, prior to its entry into the market. Today they have a portfolio of soft drinks, each with a substantial market share.

Here comes the role of advertising which needs to ensure that the consumer must be able to differentiate all the multibrands of the same company. E.g. Ariel and Tide advertising should be such that itll clearly indicate that Tide is for masses and Ariel is for classes. Advertising also needs to ensure that most of the products of the company have top of the mind awareness, recall and recognition. Otherwise, there is a danger of losing a brand image of the products in clutter. Product flanking Product flanking refers to the introduction of different combinations of products at different prices, to cover as many market segments as possible. It is basically offering the same product in different sizes and price combinations to tap diverse market opportunities. The introduction of shampoos in small sachet has, for example, made them affordable to the lower segment of consumers who previously could not afford to spend anywhere between Rs. 30 and Rs. 40 for a standard bottle of a good shampoo. Although the sachets were initially launched to guard the main brand surprisingly they have now become a big success among new and small quantity users. The idea behind this concept is to flank the core product by offering different variations or size and price so that the consumer finds some brand to choose from. Stayfree has introduced so many variations of its product where consumers can now buy Stayfree singles, doubles, compacts, Stayfree Regular, packets of 10 or 20 sanitary towels. Vicks, the cough and cold relieving medicine is now available in small containers and also as inhalers, cough drops and cough syrups. They have offered a whole range of the same product in many sizes and prices to flank their main brand.

The advertisements should clearly convey the benefits of having different packs/SKUs of a product. The storyboard should be such that itll be able to communicate the benefits of using sache of a shampoo. But, while practicing this, the main brand or the mother brand must not get overshadowed. Desire for Volumes must not be sacrificed for brand

image. Hence, the care must be taken while making an advertisement so that the brand-image of a product doesnt get tarnished. Brand extensions Marketers like to have a loyal consumer base so that no particular brands enjoy high brand equity in the market. In such cases, marketers make brand extensions in the hope that the extensions will be able to cater to the equity of the successful brands, and that the new brand will stand in first position right in the course of time. At times, the idea does not work and the result is strong preference for the original brand itself gets diluted in the bargain and if this strategy works, it has been of tremendous value leading to the market strength. Brand extension offers a number of advantages. A well respected brand name gives the product instant recognition and easier acceptance. It enables the company to come up with new product categories more easily. A classic example of this is Lifebuoy Jr. Today this brand has a number of extensions like Lifebuoy Liquid and Lifebuoy Gold apart from the regular Lifebuoy. All these brands have been positioned at different segments. Another example is that of Amul. With the success of its first product, Amul milkpowder, the company came out with Amul ghee, Amul butter, Amul cheese, .Amul chessspread, etc and finally added Amul chocolates

to its portfolio. Amul advertises all its brand extensions in one TV commercial. This has been done deliberately in order to emphasize the brand AMUL and convey to the consumer that everything which bears the name AMUL has to be of superior quality, high nutrition value and 100% Indian.

Building product lines Some companies add related new product lines. It gives the consumer all the products he/she would like to buy under one umbrella. Revlon and Britannia have done precisely this. The former company added related products in the cosmetics range so as to offer their customers a one stop shop for all the cosmetics they could possibly need, ranging from moisturising .:reams to face scrubs and delicately shaded eye colours. Revlon today is associated not just with nail colours and lipsticks, but also with the entire range of make-up and hair-care. The print ads clearly highlight the wide-range of cosmetics provided under the brand Revlon. Britannia has adopted a similar strategy. It has introduced different kinds of biscuits and baked foods in the past few years. By adding a number of flavours in each product line the company grew in the industry. Building related product lines is today the market leader in the biscuits and related baked food products industry. Over the years, they have used advertising quite effectively in order to differentiate one biscuit of Britannia from the other. E.g. Britannia Masti Magic Biscuits Range, Britannia Marie, Britannia Bread, Britannia Milk Biscuits, Britannia GoodDay Biscuits etc. New product development Given the intense competition in most products today, companies that fail to develop new products are exposing themselves to great risk. Their

existing products are vulnerable to changing consumer needs and tastes, new technologies, shortened product life cycles and increased domestic and foreign competition. A company can add new products through the acquisition of other companies or by devoting one's own efforts on new product development. With the hen new products a company can enter a growing market for the first time. supplement its existing product lines. New products could also mean often improved performance like black & white TVs to colour sets or greater price; value and replacing existing products or relaunching old products which are target at new market segments. For instance, transistor sets may be relaunched with a view to attract the rural market or customers who wish to catch FM programme. Dove by HLL is an example of creating entirely new premium segmentation. For the first time in India, a soap with "One-fourth moisturiser" was offered to the consumers. It has been positioned for the super premium segment as a skin care product and not as a soap. Dabur, on the other hand, identified an existing consumer need and developed Dabur Vatika Hair Oil. Consumer research revealed that Indian ladies mixed a variety of herbs with their hair oil before application. By adding henna, lime, and other such ingredients to coconut oil, Dabur created Vatika as a solution to the above need.

HLL came up with PONDS Anti-aging cream called PONDS AGE MIRACLE which is a premium product and which has a unique ability to remove the wrinkles, dark spots of elderly woman and make them look younger. Both TV and print ads emphasized on anti-aging factors and benefits of this cream. The ads also featured middle-edged women sharing their experiences after using Ponds age miracle. Innovations in core products In the FMCG market, the life of a product is short. Marketers, therefore, continually try to introduce new brands to offer some thing new and meet the changing requirements of the customer. A consumer is also open to tryout new options and, on the other hand, brand loyal segment is persuaded to upgrade their choice. Hence it is prudent for a marketer to innovate from time to time both by technological expertise as well as from

the consumer's or dealers feedback. Such innovations are tried out around the core products of a company. Long term outlook Many companies adopt a long term outlook towards growth in an FMCG market. In the process, short term gains which might adversely affect the long term prospects of the company are sacrificed. The historic example of this was the strategy adopted by Kelloggs' in Mexico. The concept of cornflakes for breakfast promoted by Kelloggs' is entirely American in nature. A country like Mexico, which is culturally and ideologically so different from America, could not accept the Kelloggs' offer. However, Kelloggs' with its long term outlook took 28 years before finally breaking even. Today it is the market leader in the breakfast cereals market, enjoying an unparalleled monopoly.

Extending the Product Life-cycle During a product's life, an FMCG company may have to reformulate its marketing strategy because economic conditions change, competitors launch new assaults, and, the product encounters new types of buyers and new requirements. Consequently, an FMCG company tries to extend the PLC and plan successive strategies appropriate in each stage in the new environment. In the mature stage of the PLC, some companies abandon their weaker products. They prefer to concentrate their resources on their more profitable products and quickly develop new products. Yet the main loophole in this is due to ignoring the high potential that many old products still have. For example, existing models in products like automobiles, motorcycles, televisions, watches, and cameras in India have experienced a good demand whenever new options were offered.

Advertising can help in extending the product life-cycle of a product. During the infancy stage, the features of the product must be communicated to the consumers. Also, the company has a task of informing the consumer about this new product which has entered the market. Hence, the advertising should be such that itll inform the consumers, make them aware of the product and its features. In growth stage, the task becomes tougher and complicated. There is a need to differentiate a product from the clutter. Hence, advertising tools must be used carefully and effectively. The ad budgets are also needed to be controlled. In maturity stage, in order to increase the usage of product, there is a need to emphasize of this usage aspect. Many shampoo ads are now telling users of the shampoo to apply it everyday thereby increasing the usage of the shampoo. Thus by increasing the growth and maturity period of the product life-cycle, advertising can help extend the product life-cycle of a product.

Expanding markets by usage A company usually expands the market brand in two ways. That is, either to increase the number of customers or encouraging more consumption per intake. The usage rate of the consumers can be increased in a number of ways. e.g., it may try to educate or persuade customers to use the product more extensively. Archies did this with cards. The concept of sending cards in India was not prevalent and then it let too sending cards during festivals and birthdays. By aggressively promoting cards more as a medium of communication than as a way to send good wishes, Archies has increased the usage of cards to cover just about every occasion and every kind of message. , now a booming business with Archies recently going into

collaboration with landmark cards of the U.S.A. to market its cards in India. Secondly, a company can try to induce users to consume more of the product - each occasion. Say, a shampoo marketer might convince the users that the shampoo is more effective with two rinses rather than one. Thirdly, the company can try to discover new product uses and convincing consumers to use the product in more varied ways. Fevicol and M-Seal were both industrial products till they decided to enter the consumer market. Fevicol came up with consumer friendly small tubes and jars to suit the individual consumer. Consumers would not buy the huge packages which were sold to commercial users. M-Seal also positioned itself as an all purpose fixer which could be used in places where even Fevicol could not be used. By extending their consumer base to the individual consumers and by convincing them of the product benefits, both the companies have greatly increased their market shares. Keo-Karpin

was initially produced as a remedy for falling hair. It was later on extended to cover prevention falling hair also. Finally, it was repositioned as a cosmetic and not just a hair oil. Different ways of styling hair were shown in its advertisements. The usage has increased from that of a pure hair oil, to that of a part of a lady's total styling process. Wide distribution network and mass advertising campaign A very simple way of increasing an FMCG company's market share is by developing a strong distribution network, preferably in terms of more locations. Once the reach of the product has been extended, it is likely to gain in market share because of its deep penetration. An extensive distribution system can be developed over time, or the company may

acquire another company which has an extensive distribution network. As stated earlier Brooke Bond, Asian Paints, Hindustan Lever, Union Carbide have developed a good distribution network. This stands as the prime reason behind their market leadership in respective businesses. Like intensive distribution system, FMCG products need intensive advertising campaign in order to reach every nook and corner of the country. For a country like India who mostly lives in villages, it is very difficult to communicate about your product to the mass consumer base. Ad budgets can go haywire while trying to communicate to each and everyone. So, a clever advertiser needs to pick and put his/her cards and play smart and maximize the impact of ad campaigns. Monitoring the pulse of the consumers Companies spend considerable effort to find out the what, where, how and when of their consumers. They figure out all sorts of things about them that the latter. are not even aware of. Well-known companies frequently undertake marketing research to find more about their consumers and how to satisfy their needs and wants in a better manner. It helps them to monitor the pulse of their buyers so that they are able to identify and/or anticipate the needs of the consumers and be able to satisfy: them in a better manner than the competitors. We may cite here the famous MR study about instant coffee users. When instant coffee was first introduced, housewives complained that it did not taste like real coffee. Yet in blindfold tests, many housewives could not distinguish between cups of instant and decoction coffee. This indicated that much of their resistance was psychological. Researchers decided to design two almost identical shopping lists, the only difference being that regular coffee was on one list and instant coffee on the other. The instant coffee list was given to a different but comparable group. Both groups were asked to guess the

social and personal characteristics of the woman whose shopping list they saw. The comments were pretty much the same with one significant difference, a higher proportion of the housewives whose list contained instant coffee described the subject as "lazy, spendthrift and failing to plan well for her family." These women obviously were imputing the fictional housewife in to their own anxieties and negative images about the use of instant coffee. The instant coffee company now knew the nature of the resistance and could develop a campaign to change the image of the housewife who serves instant coffee. The lesson seems to be that an FMCG marketer must examine the buyers mind regularly. Once again, advertising is the tool which can be used to remove preconceive notions/cognitive dissonance in the minds of consumers. In a country like India where there are people of diverse culture, traditions, customs and etiquettes, it becomes important to adopt to these cultures and successfully convey the message the employer wants to convey and then taking a feedback that the message has been clearly understood by the consumer. The crux of advertising lies in understanding each and every consumer and communicate in language which he/she understands. Advertising and media coverage Advertising is required to build awareness about an FMCG or brand which is available in the market but not many people might know about it. Informative advertising figures heavily in the pioneering stage of a product category, where the objective is to build primary demand. Persuasive advertising becomes important in the competitive stage, where the company's objective is to build a selective demand for a particular brand. Most advertising falls into this category. For example, Pantene shampoo attempts to persuade consumers that it delivers more benefits

than any other brand of shampoo. Marketers try to establish the superiority of its brand through specific comparisons with one or more brands in the product class. Reminder advertising is quite common with mature products. Expensive four color Coca-Cola ads in magazines do not have the objectives of informing or persuading buyers. Perhaps it tries to remind people to purchase Coca-Cola.

Conclusion
Thus, advertising forms an integral part of communication in marketing the product. A non-personal form of communication but has the highest accessibility compared to other promotional activities. In this project, it is being constantly highlighted that advertising is a communication that disseminates information about a product, service or an idea. The FMCG industry consists of products which are consumed by masses. Hence, FMCG advertising is aimed at a large number of people at a time. Thus, one of the most difficult tasks in FMCG advertising lies in getting your products noticed by the consumer. The next task for an advertiser of FMCG products is to gain recognition in the minds of the consumers. Mere awareness about the product would not fetch sales for the product. Recognition in the mind of the consumer places a product with a high preferential value. Because of

recognition, consumer will now prefer to buy that product over its competitors and this holds true in FMCG marketing as well. FMCG advertising must also be aimed at making consumer recall that product from time to time. The memory and the experience of that product must always be fresh and positive. This is very important for an industry like FMCG where there is a huge clutter from which consumer has to choose his/her products for consumption. Finally, there is nothing like positioning of the brand. Any FMCG advertiser should always try to position his product in the mind of the consumer. However, advertising is just tool which can be used for positioning. One must understand that advertising alone cannot position a product in the minds of the consumer. To conclude, FMCG advertising is one of the most challenging tasks involved in marketing. It gets tougher when it comes to promoting in a country like India. FMCG advertising has played its part in the past. For the future, it is the innovation is the key. IBM TV commercial has correctly pointed this out by saying I AM NOT LIKE EVERYBODY ELSE. So, what makes you special will make you a winner, a leader in the market, a success.

References
www.exchange4media.com www.adex.com (AdEx is a division of TAM) www.agencyfaqs.com www.ficci.com Economic Times (Brand Equity Supplement)

Cygnus Industry Database: FMCG Sector Analysis Feb 2007 Report

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