Дипломная работа: Efficiency of development of advertising
Дипломная работа: Efficiency of development of advertising
Table of contents
Introduction
1. Theoretical aspects of efficiency of development of
advertising activity
1.1 The place and the role of advertising activity in
marketing system
1.2 Development of advertising activity and its value for
manufacturers and consumers
1.3 The economic indicators characterizing importance of
advertising activity
2. Research of the advertising campaign of the new goods in
open company nataly
2.1 The program of investment maintenance of the
advertising campaign
2.2 The estimation and the
analysis of indicators of efficiency of the advertising campaign
3. Ways of increase of efficiency of advertising activity
to open company nataly
3.1 Methods of rational use of possibilities of advertising
agencies
3.2 Methods of increase of efficiency of advertising
activity
3.3 Use of methods of optimization
in advertising activity
The conclusion
The bibliographic list
Now the economy
of Russia is in a transition state from planned system to the market. And if
earlier the enterprises had not to reflect especially on production sale, the
state now in the conditions of the market each enterprise at own risk
independently solves was engaged in it what exactly it will make and how to
market, what will be thus used means. As in present conditions any businessman
can make that considers it necessary also possible the number of manufacturers
of similar production becomes very big. And everyone them them to aspire to win
the market. It also induces the organisations to undertake the various actions
promoting realisation of production. To these actions carry improvement of
quality of production and efficiency of advertising activity. Advertising is a
significant part of marketing communications and serves as the tool of creation
of external competitive advantage. It is impossible to present work of the
modern enterprise without advertising activity. The company should declare the
existence in the market, about the goods, involve the potential buyer and
create an image of the reliable partner. The control system base the modern
enterprise is the marketing transforming the purposes of firm in strategy of
its behaviour in the market. A visual embodiment in direct continuation of
marketing strategy? It also is advertising activity of the enterprise which is
turned directly on the consumer and is a basis of a complex of marketing
communications. Thus advertising activity, as well as any another, should
develop continuously within the limits of strategic planning of the enterprise.
As practice shows, frequently planning of advertising activity of the
enterprise is conducted without marketing strategy, in a separation from
marketing activity of the enterprise. It leads to that publicity expenses
increase, and its efficiency decreases. Considering all aforesaid, it is
obvious, what a diploma theme? Efficiency of development of advertising activity?
It is rather actual. Besides, in the course of performance of degree work
recommendations which allow to raise essentially efficiency of advertising
activity in modern conditions of managing have been developed. As a whole the
advertising efficiency estimation allows to receive the information on
expediency of advertising and productivity of its separate means, to define
conditions of optimum influence of advertising on potential buyers, to make the
decision on change of advertising strategy, flexibly to react to actions of
competitors. Especially sharply there is an advertising question at release of
the new goods. After all there is a danger that the product will not be
accepted by the market. Therefore it is very important in advance even prior to
the beginning of manufacture process to find out, whether the market requires a
similar product. And later, during an advertising campaign to stimulate sale of
production by influence on potential buyers, showing utility of the goods, its
best characteristics. In the given work the advertising campaign on advancement
of the new goods which is for today is developed faster the goods of industrial
appointment, than consumer goods. Owing to what, the emphasis at advertising of
these goods is made on the businessmen who are engaged in business (mainly
heads). It causes the advertising campaign maintenance (from the channel of
placing to the maintenance of the advertising message). Object of researches is
the industrial enterprise of Open Company Nataly, engaged in manufacturing of
an aluminium profile and products. A subject of researches? Advertising
activity of the enterprise. The purpose of degree work is research of an
advertising campaign of the new goods in Open Company Nataly and definition of
ways of increase of efficiency of advertising activity for the enterprise as a
whole. The primary goals of degree work are:
1) research of
theoretical aspects of efficiency of development of advertising activity; ordering
of a theoretical material according to efficiency of the advertising activity,
available in the scientific literature;
2) a
substantiation of an advertising campaign of the new goods in Open Company Nataly,
including: planning, investment maintenance and an estimation quantitative and
quality indicators of efficiency of an advertising campaign;
3) definition
of ways of increase of efficiency of advertising activity in Open Company Nataly.
Structurally
work is presented by three heads. In chapter 1 of degree work the theoretical
material on research of efficiency of development of advertising activity is
presented and systematised. Here the place and a role of advertising activity
in marketing system, development of advertising activity and its value for
manufacturers and consumers are considered. And also the economic indicators,
characterising the important advertising activity are resulted. In the second
chapter of work research of an advertising campaign of the new goods is carried
out Open Company Nataly in which its planning and a substantiation of
investment maintenance is carried out. Here the estimation quantitative and
quality indicators of efficiency of an advertising campaign is made. In the
final, third chapter of work ways of increase of efficiency of advertising
activity to Open Company are defined Nataly.
In particular
methods of rational use of possibilities of advertising agencies, methods of
increase of efficiency of advertising activity are considered, and also
optimisation methods in advertising activity are considered.
Last years the
attention has increased in Russia to advertising. This results from the fact
that economic conditions have changed, and absence of accurate planning has
forced the enterprises to depart from habitual stereotypes in business
relations and to search for new nonconventional ways of attraction of attention
to itself, the activity from outside consumers. Skilfully made advertising
allows to overcome faster barriers between the manufacturer and the consumer. The
manufacturer is the advertiser. And the consumer? This on whom the advertising
message on purpose is directed to induce it to make certain action in which the
advertiser is interested. The product does not become the goods while it will
not sell. That it has occurred, the consumer is necessary for interesting and
preparing for purchase fulfilment, to give it the sufficient information which
would induce it to action. This role is carried out by advertising. Besides, in
the conditions of saturation of the market by the goods advertising acts as
struggle means between competitors for the share of the market, as a way of
formation of demand, its developments, deduction or expansion of a share of the
market, maintenance of effective work of the enterprise [3, с.142]. There are
many definitions of the advertising which essence depends on the approach to
the given concept. Advertising? The paid form of representation and advancement
of the goods and services with accurately specified source of financing [3, с.142].
Advertising? The impersonal forms of communications which are carried out by
means of paid means of distribution of the information, with accurately
specified source of financing [13, с.473]. Advertising? Attention attraction to
the goods, service of the concrete manufacturer, the dealer, the intermediary
and the distributor at their expense and under their mark of offers, appeals,
councils, recommendations to buy these goods or services [30, with.331]. In the
Federal law "About advertising" following definition of advertising
activity is made. Advertising? Specific area of a mass communication in the
conditions of a market competition between advertisers and various audiences
for the purpose of active influence on these audiences which should promote the
decision of certain marketing problems of the advertiser. It is a component of
marketing communications [17, с.22]. Hence, an advertising subject? It that is
advertised, and a vehicle for advertising - a channel of information on which
the advertising message reaches consumers. Thus the system of marketing
communications is the uniform complex uniting participants of advertising,
channels and the communications receptions, directed on an establishment and
maintenance of the mutual relations planned by the given organisation with
addressees within the limits of achievement of the marketing purposes (fig.1.1
see) [22, s.11-12]. Advertising is only a part of advancement of the goods at
which the firm can carry out contacts to the consumer through the trading
personnel (direct sales), popularisation or public relations, and also to use
various receptions of stimulation of sale. Advertising as a communication
medium allows to transfer the message to potential buyers direct contact with
which is not established. Therefore advertising is the cash form of
communications. But there is also a direct marketing which includes a direct
mail advertising (direct a mail), telemarketing, advertising of the direct
response (direct response) on TV, radio, in other mass-media. This kind of
marketing communications apply, when the advertising message is aimed at
generation of reciprocal action. Direct marketing has two basic advantages,
distinguishing it from usual mass advertising:
1) possibility
of the individual reference to the concrete consumer with offer specially
prepared for it;
2) direct
registration of its answer.
The role of
advertising activity reveals in its functions [18, с.33]:
1. Economic
function. Advertising stimulates sale of the goods and promotes growth of
profit of the enterprise.
2. Information
function. Advertising forms an information field about the goods, services,
their basic characteristics and features. About the new goods consumers learn
mainly from advertising messages.
3.communicative
function. Advertising creates image of commodity producers, forming activity of
consumers to the certain goods (services).
4. Supervising
function. Advertising supervises processes of creation of preferences of groups
of consumers to the goods of regular assortment.
5. Correcting
function. Advertising changes stereotypes of perception of these or those goods.
6. Demand
management function. The volume of the advertising information and a drawing of
its giving can change demand in the necessary direction. The essence of
advertising consists in the following its basic functions and properties: the
impersonal form of communications; It is characterised by uncertainty of target
audience; creates an information field about the goods and services and
promotes observance of interests of the advertiser. Advertising acts as one of
levers in a complex of marketing communications (fig.1.2) [18, с.44].
Advertising is
a specific kind of communications. It is possible to allocate three its basic
distinctive features:
1) advertising
always has a unilateral orientation: from the seller to the buyer;
2) the result
of advertising is not defined, as the feedback from buyers practically is
absent;
3) the result
of advertising communications comes not at once, and after certain time.
Thus,
advertising has public character, promotes distribution of the information on
the goods and services, is depersonalized and экспрессивна. It not only the
tool, but also considerable sector of economy. Economic function is reduced
basically to informing of the consumer on the goods or services, their
popularisation, demand and goods turnover increase. Advertising itself is
business sphere where are occupied hundred thousand professional experts, and
brings in the big incomes to the manufacturers. Advertising? A source of
economic well-being of commercial mass media. It provides with it financial
support and mutually advantageous communications with trade and economic and
other spheres of a public life. Advertising develops economy, influences increase
of a standard of living of people and promotes effectiveness of a market
mechanism.
The commodity
market formed in Russia and services all demands attraction and advertising use
more persistently. Its roots leave in deep olden time and are connected by that
manufacturers always needed to inform people on the goods sold by them, about
spent fairs [25, с.4].
Except
informative function, advertising acts and as the communications form between
sphere of the reference and manufacture sphere as formation of new requirements
of the buyers, stimulated advertising, gives a new impulse to manufacture,
defines directions and rates of its development. That is, advertising will
organise dialogue between manufacture and consumption. It finds the expression
in orientation of manufacture to the market [25, с.11].
For 550 years
advertising has passed a way of development from the labour-consuming print
advertising (publishing) limited to region, before interactive global
advertising. The first handbill has appeared in 1472, printed by William
Kokstonom and containing the information on prayer book sale. The first weekly
newspaper has started to be published in Strasbourg in 1609. In 1920 the first
commercial radio station KDKA in Pittsburgh, the State of Pennsylvania starts
to work. Now advertising is applied not only in trade, but also such spheres of
a public life, as: the finance (for advertising of services), a policy (persons,
parties, the unions), religion (spiritual culture), ecology (at occurrence of
any natural and social situations), culture (persons, events), a science (workings
out, technologies, innovations), services (medicine, tourism, etc).
From this it is
possible to draw a conclusion that advertising is the special form of
communications. It realises the most general problems, such, for example, how to
inform on events and the facts of a public life, to develop contacts between
people, to operate dialogue process. Besides it, advertising solves also the
private problems: creates the set images, convinces the consumer of necessity
and possibilities to get these or those goods, forms at it desire to buy the
advertised goods, unostentatiously and effectively, thereby turning to the tool
of the organisation of sale of production of the enterprises and the
organisations.
As
communication channels between the advertiser and consumers various audiovisual
means which represent advertising media act. Advertising media classify on the
basic and additional. All mass media and the outdoor advertising concern the
basic means.
Advertising in
(newspaper) press possesses such advantages, as: timeliness, frequent
periodicity, the big coverage of the local market. She allows to make changes
to an advertising appeal operatively. At the same time it has such lacks, as: short
duration of existence, poor quality of reproduction, a small audience? The
secondary? Readers, thus advertising of one firm is in a direct environment of
advertising of competitors. Advertising on TV unlike advertising in newspapers
possesses high degree of attraction of attention at the expense of a combination
of the image, a sound, movement. However it has high cost, fugacity of
advertising contact, thus perception of the information of an advertising
appeal is imposed on irritation from an advertising overabundance on TV. Radio
is presented only by sound means, advertising contact thus also is very short
on time. However at the given advertising medium coverage of an audience and
smaller cost. Unlike advertising in newspapers, advertising in magazines has
sharp selectivity, prestigiousness, better quality of reproduction and the big
coverage of a secondary audience.
Also
advertising here differs duration of existence. At the same time at the
advertising publication in magazine there can be a big rupture in time between
representation of materials in edition and its exit to the public, i. e. effect?
Advertising obsolescence?. The outdoor advertising has powerful emotional
influence, high frequency of repeated contacts, however at its application
there is no selectivity of an audience.
Exhibitions and
fairs thus that demand heavy expenses and preliminary preparation of stands,
give the chance personal contacts to consumers and partners, and also
possibility to show the goods in operation.
But what
advertising medium would not be chosen, it is necessary to note following
general negative aspects of advertising [18, с. 20]:
1) the
advertising message is standard, nonflexible, limited in time (advertising on
radio, TV) and on the area (advertising in newspapers and magazines);
2) in the
advertising message there is no possibility to emphasise individual
requirements of the client;
3) the
advertising message often is in an environment of advertising of competitors;
4) all kinds of
advertising demand the big investments;
5) advertising
lays down heavy burden on consumers, increasing the prices for the goods and
services;
6) quotations
from year to year increase by advertising placing in a press that leads to
reduction of the advertising areas and advertising efficiency decrease;
7) advertising
causes irritation that too often interrupts translation of telecasts. Nevertheless,
at all its lacks, advertising helps to achieve decrease in time spent by
trading workers on purchase and sale of the goods, partially releases them from
personal participation in advancement of the advertised goods that also
conducts to decrease in distribution costs. [19, с.91].
Advertising
promotes constant perfection of let out production. It use as the competition
tool. Without advertising there is no possibility actively to influence the
market, to fix the position on it [25, с.12]. Advertising as the communication
medium, gives the chance large attendance attraction, thus to use the various
mass media most suitable to the chosen target segment of the market. Thus it is
possible to supervise the maintenance of advertising messages, its registration
and exit time, to correct or change the message depending on reaction of a
target segment. Advertising creates additional workplaces for managers,
designers, artists, experts. Besides, advertising positively influences a
consumer society as a whole, forming a powerful information field about the new
goods and services.
There are the
aspects explaining the negative relation to advertising:
1.russia it is
not generated the positive relation to commercial activity. In consciousness of
many people business Fraud.
2. Advertising
is directed till now on the limited circle of people? An average? The consumer
is left indifferent by messages on computers, cars, trips abroad. The reason - in
low level of incomes.
3. An
insufficient social orientation of advertisements at which there is a problem
of protection of environment, love, sports.
4. Many
announcements are given a little reason, persuasive and do not represent the
facts.
5. Preview
trailers are inexpressive, suffer bad aesthetic taste, in them there are no
elements of a corporate style of the enterprise.
Advertising is
favourable to any enterprise And, many cases when the manufacturer of
advertising specially gave negative advertising by means of which became known
almost more than those who used only an advertising positive side are known. Nevertheless,
the author considers, what finally similar advertising does not bring advantage
to anybody?
To the
manufacturer as on subconsciousness there is an opinion on its firm as about
something pushing away; to the consumer, owing to that after similar
advertising there is an unpleasant deposit. With assistance of advertising the
market becomes clearer and accessible to buyers with different tastes and
requirements, with different level of monetary incomes, with unequal traditions
concerning consumption. Carrying out contacts to the consumer, the advertising
message at first forms awareness at the person - the consumer remembers mark. The
positive relation to the goods is then formed, that is the consumer remembers
the goods as one of the best in the given category.
The next
portion of contacts moves it to the first purchase [9, s. 20-22]. Unfortunately,
not any advertising is perceived positively and consequently not any goods are
got. But advertising is necessary for the consumer, as about existence of many
goods we never would learn, if not advertising activity of manufacturers. That
is advertising is necessary to all: and that who advertises the goods, wishing
it to advance, and that who looks advertising and thus receives the information
on the goods.
Advertising not
only the tool, but also considerable sector of economy. Advertising itself is
business sphere where are occupied hundred thousand professional experts, and
brings in the big incomes to the manufacturers. Advertising? A source of
economic well-being of commercial mass media. It provides with it financial
support and mutually advantageous communications with trade and economic and
other spheres of a public life. Thus, advertising develops economy, influences
increase of a standard of living of people and promotes competition development.
Expenses on
advertising? A powerful part of the budget of foreign industrial firms. They
show the tendency of development of advertising activity. In the USA on
advertising in mass media 5% from total expenses on manufacture and realisation
of the goods leave approximately. At manufacturers of consumer goods this share
still above: medicines? 20%; spirits, cosmetics? 13,8%; kitchen accessories? 12,8%;
spirits? 11,9% and so on [30, с.332].
According to
the Russian legislation expenses on advertising include following positions [15,
s.13-23]:? On working out, manufacturing and distribution of ad publications;? On
working out, manufacturing and distribution of sketches, labels, samples of
original and firm packages, packings, acquisition, manufacturing and
distribution of advertising souvenirs, samples;? On publicity through mass
media;? On illuminated signs;? Manufacturing of stands, models, publicity
boards, indexes;? Storage and экспедирование advertising materials;? Participation
in exhibitions, fairs, window dressing;? On уценку the goods which in full or
in part have lost the quality at exhibiting in show-windows. Expenses join in
the actual cost price of production in full. The limiting sizes of expenses on
advertising are estimated according to the rates from goods turnover volume,
including the value-added tax. The account of expenses on advertising helps to
estimate productivity of advertising activity of the enterprise.
The general
estimate of expenses for carrying out of marketing researches of the market and
carrying out of the advertising company includes the following articles [1, с.86]:
cost of
marketing researches;
cost of working
out of a page in the Internet;
cost
information not advertising article; - cost of placing of advertising messages
in mass media.
Absolutely precisely
to define efficiency of separate advertising media, in most cases it is not
obviously possible to an advertising campaign. There are two approaches to an
estimation of efficiency of advertising activity of the enterprise [28, с.41]: and
#61607; quantitative (economic efficiency) which shows degree of increase in
sales volumes under the influence of advertising; and #61607; qualitative (efficiency
of psychological influence) which allows to estimate degree of popularity,
trust and adherence of consumers to the goods or the company. In practice use
both quantitative, and qualitative approaches which allow to obtain the
objective given estimations of advertising activity of the enterprise. Experts
define also some kinds of an advertising efficiency, to be exact social,
psychological and economic efficiency [19, с.118].
Social
efficiency is defined by degree of satisfaction of inquiries and needs of
consumers, its ability to formulate certain skills, requirements, tastes to
raise the general level of culture, culture of a life, a food. Psychological
influence of advertising is shown in change of public opinion concerning any
subject, the phenomenon, concept. To define the given influence it is possible
only by means of supervision, interrogation or experiment. Economic efficiency
of advertising is estimated on degree of its influence on goods turnover volume.
It shows additional profit as a result of advertising influence. There is no
uniform approach to advertising efficiency definition. The most simple way? This
comparison of goods turnover before advertising campaign carrying out. Thus
compare goods turnovers for the periods (months, quarters), equal to the period
during which the goods [19, с.118] were advertised. Some experts offer methods
of an estimation of economic efficiency of advertising. Following methods
concern them [23, с.402]:
1) Robinsona,
2)? Hiding
places?, which consists that the present advertisements from which marks, names
of firms-manufacturers are withdrawn are used; the interrogated should specify
goods mark, having read the announcement text.
Besides, there
are also other methods of definition of efficiency of advertisements. To them
carry:
1) a method of
supervision, experiment (is applied on the published announcement the coupon
which it is required to fill and send to the specified address, or the coupon
at which presentation at goods purchase, the discount is given; by calculation
of the sent or shown coupons it is defined, сколькими the given announcement
has been noticed by people),
2) an
interrogation or questioning method. Economic efficiency is better to judge by
result which has been reached by means of advertising.
The economic
result is defined by a parity between profit on the additional goods turnover
received under the influence of advertising, and expenses on it. In this case
from carrying out of publicity the effect is compared with expenses for its
realisation.
Following
variants are possible: - the effect from publicity is equal to expenses for its
carrying out; - the effect from publicity is more than expenses; - the effect
from publicity is less than expenses. However still it is not enough received
data for comparison of economic efficiency of expenses for carrying out of
various publicity. More precisely efficiency of publicity expenses
characterises its profitability. Profitability? This relation of the received
profit to expenses (in percentage).
In the present
work we will consider that the concept of an advertising efficiency comprises
two components: communicative and economic efficiency.communicative efficiency
concerns quality indicators of an estimation of efficiency of advertising
activity, economic efficiency? To quantity indicators. Such indicators concern
quantity indicators, as an advertising rating, a share of coverage of a
potential audience also.
Efficiency of psychological
influence of advertising means is characterised by number of coverage of
consumers, brightness and depth of the impression, which these means leave in
memory of the person, degree of attraction of attention. For definition of
degree of attraction of attention of consumers to advertising the number of the
people who have paid attention to advertising is necessary and remembered it
during the certain period to divide into total number of people which have seen
advertising during this period. In mass media it is possible to estimate degree
of effectiveness of the publication of advertisements with some degree of
convention, having divided number of purchases during the defined period of
time for total of visitors during the defined period of time.
That it is
correct to estimate efficiency of the created advertising, it is necessary to
spend accurately border between the communication and commercial (trading) purposes
of firm (fig.1.6). Advertising as it was marked earlier, is aimed not only at
achievement of competitive advantages (a share of the market, profit, a sales
volume), but on achievement of certain results of communications with a target
segment of the market.
In advertising
practice distinguish four cores of an indicator of a communicative advertising
efficiency: recognizability; запоминаемость; attractiveness; propaganda force. Recognizability
of advertising? It is criterion on which recognition symbols or external
attributes of the trade mark are estimated first of all? A trade mark, a logo,
the firm name. More highly on this parametre those recognition symbols, which
are estimated: demand less time for recognition; are perceived in wider spatial
range.
By this
criterion are estimated not only recognition symbols, but also the advertisement
as a whole memory. One of the basic criteria both communicative, and a trading
advertising efficiency. At the heart of use of this criterion the hypothesis
formulated by classics of an advertising of R. Rivsom and A. Polittsem and
divided by a number of modern writers lies: the person will choose that mark,
which name and data about which it has better remembered. This feature of human
behaviour of A. Politts (1990) has formulated in the form of a principle? Familiar
mark?. He has established that expansion of knowledge of mark increases trust
to it and raises its rank of quality in perception of consumers. Even the
simple knowledge of the name of mark raises trust to it in comparison with
absolutely unfamiliar mark [22, с.72].
Attractiveness
of advertising in many respects depends on togas, how much successfully and in
an original way creative decision embodied in a real advertising product. But
the creative decision, more truly, its efficiency, it is the most difficult to
estimate. The preference of mark seldom is based only on a rationale. That mark
which advertising causes emotional participation will be seductive. Propaganda
force? It is ability of advertising to force consumer to wish to get the goods.
As indicators of propaganda force (on A. Polittsu) the following complex of
properties can serve: The subjective importance of a theme, plausibility of the
basic statement about the goods, uniqueness of the statement. Not in any
advertising possessing propaganda force, all three properties, but presence at
least two are presented it is necessary. Thus, it is possible to allocate four
basic properties, defining propaganda force of an advertising appeal (properties
are presented in decreasing order of the importance): the subjective importance;
plausibility; uniqueness; integrity.
The primary
goal of an estimation of a communicative advertising efficiency consists in
indirectly to predict its influence on sale. And though outright to judge a
trading advertising efficiency by its communicative efficiency it is difficult,
nevertheless correlation between these concepts exists. The modern advertising
and marketing companies aspire to find special formulas (using different
combinations of indicators of communicative influence) on which it would be
possible to predict a trading advertising efficiency.
The advertising
efficiency is expressed in studying of degree of acquaintance of target
audience with the information on investigated firm and its goods, and also what
about them is known, what image of firm and the goods was generated also what
relation to them. To create representation about the goods and firm, and
furthermore to generate the good relation to them not always easily. It demands
time and certain strategy. Relations in the market? It, first of all, human
relations. Advertising allows to form the necessary representations about
investigated firm at a wide audience on which basis it is easier to build
relations. So, in conclusion of the head we will tell the following.
Now the economy
of Russia is in a transition state from planned system to the market. And if
earlier the industrial enterprises had not to reflect on production sale, the
state now in the conditions of the market each enterprise at own risk
independently solves was engaged in it what exactly it will make and how to
market, what will be thus used means. As in present conditions any businessman
can make that considers it necessary also possible the number of manufacturers
of similar production becomes very big. And everyone them them to aspire to win
the market. It also induces the organisations to undertake the various actions
promoting realisation of production. To these actions carry improvement of
quality of production and use of various advertising receptions: appeal of
packing, послепродажное service, the offer of the accompanying goods and
services.
It is necessary
to approach to research and an estimation of efficiency of advertising activity
in a complex, thus to use both quantitative, and quality indicators to estimate
both trading, and a communicative advertising efficiency. In conclusion of
chapter 1 we will draw following conclusions.1. Advertising? It is any paid
form of impersonal representation and stimulation of sale of ideas, the goods
and services by the certain sponsor.
2. Advertising
is the most significant making system of marketing communications which allows
the enterprises to achieve long-term competitive advantage, and also serves as
the basic tool of positioning of the enterprise in consciousness of a target
segment of the market.
3. The essence
of advertising consists in an ohm that it hands over by means of mass media the
information on consumer properties of the goods for the purpose of creation of
demand for it.
4. The
advertising purpose consists in systematic influence on mentality of the person
to cause in it desire to get the known blessings.
5. Advertising
became the integral and active part of a communication complex of marketing. And
its level of development defines quality and efficiency advertising-information
work the manufacturer and its conformity to new requirements of the world
market.
Let's consider
development of advertising activity in Open Company "Nataly". Assortment
of production which is let out by Open Company Nataly, constantly extends. After
the formation the enterprise made only an aluminium profile. This profile was a
different configuration, that is the assortment of made production was rather
wide, nevertheless anything except a profile in manufacture was not. Now only a
building profile it is made over two tens names. Later, having risen on feet,
the enterprise has decided to expand assortment of production, and, hence, and
commodity markets. By this time it let out an aluminium profile not only a
different configuration, but also with a different covering. The enterprise at
will of the customer makes a profile with the anodized covering, with a
polymeric covering or without a covering. Then heads have paid attention that
the profile with a polymeric covering can be used as eaves for curtains. Then
the enterprise began to let out eaves for curtains. The novelty has involved
not only manufacturers of building branch, but also wholesale buyers who got
eaves for sale to retail shops. Sometimes in firm the private persons
addressed, wishing to get eaves for a private use. Such expansion of assortment
of production has helped firm to enter the market of the private consumer. Though
still the basic share in gain volume occupied and wholesale consumers, owners
of various manufactures occupy. Then from this an aluminium profile began to
collect the trading-exhibition equipment. It did different colour at will of
the customer and a different configuration. Now Open Company Nataly. Makes for
shops counters, racks, show-windows. Considering that recently there is a set
of small little shops and shops where a variety of the goods demands use of the
trading equipment of a various configuration, the sizes and colours, Open
Company "Nataly" firm has been compelled to develop set of kinds of
an aluminium profile for manufacturing from it the necessary equipment. Further
the enterprise assortment has extended at the expense of manufacture of office
partitions and aluminium doors. It has allowed to win one more segment of the
market? Small private businessmen whom, beginning the enterprise activity, the
offices aspire to equip. For today firm Nataly. Makes the certificated
aluminium profile for trading, trading-exhibition and a refrigerating machinery;
a building profile for stained-glass windows, doors, office partitions, facing;
profiles for manufacturing protective, eaves for curtains and vertical jalousie;
For manufacturing of cases-compartments, a special purpose profile. Recently
the company has developed special designs of a profile for manufacturing of
balcony and sliding). Besides the company makes installation of the finished
articles executed at the enterprise. Aluminium windows became the next novelty.
To prove an advertising campaign on advancement of these goods, at first it is
necessary to describe the goods. It is necessary to distinguish the goods of
industrial appointment and consumer goods. The first are intended for
industrial needs or resale, and the second? For individual consumption. Between
these kinds of the goods there is a big difference. It is impossible to
advertise the goods of industrial appointment, as the goods of individual
consumption. Business not only in the name, but also in an essence, in that
audience to which the advertising action will be turned. If advertising for the
goods of individual consumption can be based on feelings, emotional perception
in advertising of the goods of industrial appointment of emotional factors can
and not to be. Certainly, there are goods which can be used both private
consumers, and manufacturers. Aluminium windows can be carried as to the goods
of industrial appointment, and the goods of individual consumption. But while
for apartment they the expensive. Therefore aluminium windows are used by a
management of the enterprises. Hence, it is necessary to emphasise in
advertising one segment of the market, on a commodity market of industrial
appointment. The competition to aluminium windows is made by plastic windows. Any
production has certain merits and demerits. The basic advantage of aluminium
windows which draws attention of buyers, their ecological compatibility is. On
the contrary, the relation of many production workers to plastic windows the
negative. This results from the fact that under the influence of the big
differences of ambient temperatures of plastic arts starts to evaporate harmful
substances. At the same time, the basic lack of aluminium windows in comparison
with plastic is their price. It a little above, as limits a circle of consumers.
But this temporary phenomenon. In the near future the price for aluminium
windows becomes same, as well as on plastic. For an advertising campaign of
aluminium windows money resources be required on following actions: on placing
of advertising messages in printing editions, for creation and outdoor
advertising placing, for fee of the photographer. The volume of necessary
investments is defined in our case by calculation of the estimate on the basis
of quotations on marketing researches, services of the photographer,
advertising agencies and duration of advertising of the goods. Before to start
working out and release of the new goods, it is desirable to find out, whether
has sense it to do. For any industrial enterprise manufacturing something is
understood as reception of profit on realisation of the given product. And the
profit at realisation will be received in the event that the obtained sum of
means will exceed expenses for manufacture and realisation of this production. To
get prospective profit and in general to sell a product to the enterprise it
will be possible only if consumers in the market are ready to buy the goods
that is if these goods are necessary for them. Therefore, in the beginning it
is necessary to find out, whether exists in the market so-called? A niche?,
which could? To fill? These goods. Marketing researches are for this purpose
carried out. In rare instances the enterprise is engaged in it? The
manufacturer. Usually for it address in specialised agencies.
In our case
such agency is? Media Soft?. The estimate of the basic expenses on marketing
researches is resulted in tab.2.3.9547 rbl. will be necessary For agency fee
These means расходованы on the writing goods: pens, a paper, paper clips; on
communication payment (from calculation of 450 roubles for communication on a
city and 1077 roubles for 5 hours of conversations with other cities); attraction
for research of five persons which will be engaged in audience interrogation (potential
consumers) and miscellaneous costs.
Interrogation
of potential consumers? It is a method of gathering of the information. There
is a version of interrogation which is called deep interrogation. It is applied
to professional consumers, that is to experts of certain area. It consists in
long conversation interrogated and the interviewer in which course it is found
out, the requirement for what goods for today is available at interrogated, and
also the information on knowledge, preferences and belief of people, on degree
of their satisfaction [27, с.150] turns out. But this method, unfortunately, in
our case is not present possibility to use. It speaks too a large attendance (presumably,
Siberian region, is more exact heads of the various enterprises in Siberian
region) and complexity of carrying out (duration of conversation is supposed
till two o'clock). Naturally, to lead such discussion by phone it is rather
difficult, and to provide personal meeting of the interviewer and interrogated
it is almost impossible because of their big number. At an advertising campaign
estimation simple interrogation of potential consumers will be used. For this
purpose employees of Open Company "Натали" develop the questionnaire
which questions it is offered to answer consumers at "the Siberian Fair"
during an exhibition and in specialised shops on sale of window, door blocks,
building materials, and also in halls of the trading equipment. Services of the
photographer will manage in the following sum. Cost of one photo in the size 10
and #61620; 15см. It is equal 50 roubles,20 and #61620; 30 see - 200 roubles. Departure
of the photographer costs 300 roubles. To be necessary 3 photos in the size 10
and #61620; 15 see Hence, expenses on services of the photographer make 3 * 50
+ 300 = 450 roubles. Advertising messages in printing editions will be executed
in colour. Printing editions give quotations on the publication of the
advertising information or counting on one square centimetre, or for one module
which comprises some square centimetres. Thus modules happen a different
configuration: extended on width (for example, 8 see and #61620; 4 see or 12,8
and #61620; 8,1 sm), extended on height (12,8 and #61620; 37,7 see). Each
edition independently defines the size of modules. Magazine? Supply and sale? For
the colour advertisement offers the module equal of the one eighth strip that
will make 58,5 sq. This module see there are 1980 rbl. for one exit. Hence,
considering, what the magazine leaves twice a month, expenses will make 2* 1980
= 3960 rbl. the Newspaper? Offers? Suggests to print the colour advertising
message in the form of the module which dimension 33 sq. see, and its cost 920
rbl. There is a newspaper four times a month. Thus, on the announcement
publication in the newspaper? Offers? It is necessary to spend 920 rbl. * 4 =
3680 rbl. a month. A weekly journal? The Siberian advertising? Suggests to
print the colour announcement of any size. Cost of square centimetre of its
area / sq. see the second colour page 39 of rbl.; 26 rbl. / sq. see the third
colour page (it is penultimate page); 23 rbl. / sq. see the fourth colour page
(it is last page) the area of the advertisement and in that, and other edition
it is supposed 7*7 = 49 sq. see Hence, for the edition? The Siberian
advertising? In a month 49* 39* 4 =7644 rbl. (on 2 page) are required; 26 *49
*4 = 5096 rbl. (on 3 page); 23 *49 *4 = 4508 rbl. (on 4 page). Considering that
new, it is necessary to force to turn the advertised goods on it as much as
possible potential consumers, that is it is expedient to place the advertising
message on the second page.
For
manufacturing of one separate poster with the metal basis in the size of 1,2 m
and #61620; 1,8 m are necessary 6000 rbl. It is supposed to use such two
posters. Hence, Except manufacturing, posters it is necessary to place 6000*2
=12000 rbl. on city streets. For this purpose it is necessary to conclude the
contract, to issue rent and to obtain the permit in city administration. It the
advertising agency is engaged in all, and these services will cost about 7000
rbl. in the first month. The next months it will be necessary to pay only rent
of the earth which will make about 200 roubles a month depending on a city
district.
The total sum
which needs to be spent for goods advancement makes more than 45 thousand rbl. the
Russian legislation provides reference of advertising expenses on production
cost price, but within certain specifications. For the given enterprise with
volume of goods turnover to 30 million roubles this specification is equal 7,5%
that in money terms makes 741,8 thousand roubles. Expenses on our advertising
campaign do not exceed the given specification.
Speaking about
an advertising efficiency, assume, what profit will be brought by this action,
how much a gain will exceed the means spent for its carrying out. In the given
paragraph the question of efficiency of an advertising campaign on advancement
of the new goods (aluminium windows) Open Company companies is considered
Nataly. Are thus analyzed quantitative and quality indicators of efficiency of
an advertising campaign. How it was already marked, quality indicators
characterise mainly communicative advertising efficiency, quantitative? Mainly
economic (trading) efficiency.
Calculation of
requirement for investments for realisation of this advertising campaign is
spent for 12 months during which it should pay off. Calculation is made
according to technique ЮНИДО. Since 1999 operate? Methodical recommendations
about estimations of efficiency of investment projects?, confirmed by the
Ministry of Finance and Gosstroy of Russia. Some advertising agencies believe
that placing of the advertising message can bring to the enterprise increase in
a gain at 50%. In our opinion from realisation of publicity the enterprise
expects gain increase approximately for 20 percent. By the current moment time
level the gain without the tax to the added cost makes 8242569 roubles. Hence,
expected level of a gain will be equal 9891082,8 roubles. The increase in a
gain from production realisation will make 1648513,8 roubles a year. Proceeding
from former level of industrial expenses, it is supposed that the new volume of
expenses will be equal 7938067,2 rbl. That is expenses will increase for
1323011,2 rbl. a year. For calculation of norm of discount the percent of
inflation at a rate of 14%, bank percent - 15%, a risk level for the new goods
- 13% is accepted. As a result of calculation the norm of discount will make 42%
a year. In the given technique concepts of capital investments are used, which
will make for the zero period of 44681 roubles (is the requirement for money
for contract and rent registration on the earth; creation of a poster and
photos; carrying out of marketing researches) and 15684 roubles for the
following period. Methodical recommendations is provided to estimate efficiency
of the project as a whole and efficiency of participation in the project. The
estimation of efficiency of the project is assumed as a whole by definition of
potential appeal of the project for possible participants and searches of
sources of financing. Efficiency of participation in the project is defined for
check of a realizability of the project and interest in it of all its
participants. The choice of the investment project is based on calculation of
economic indicators of efficiency in which quality it is recommended to define:
1) the net
profit;
2) the pure
discounted income;
3) internal
norm of profitableness;
4) requirement
for additional financing;
5) indexes of
profitableness of expenses and investments;
6) a time of
recovery of outlay; group of the indicators characterising a financial
condition of the enterprise? The participant of the project. The indicators of
efficiency set forth above pay off on the basis of definition of a monetary
stream of the project. Any project represents the operation connected with
reception of incomes and of expenses, that is it generates monetary streams. As
monetary streams understand dependence on time of monetary receipts and
payments at realisation of the project generating it, defined for all
settlement period. The settlement period covers an interval from the beginning
of the project before its end. At a project estimation use also the saved up
monetary stream. Its characteristics? The saved up inflow, the saved up outflow
and the saved up balance are defined on each step of the settlement period as
the sum for flowing and all previous steps. At definition of efficiency of the
given project capital investments concern outflows (the expense of money
resources); expenses for working capital increase. And as inflows receipts of
money resources act. We will define the basic indicators of efficiency of
advertising activity.1. The net profit (ЧД)? It is the saved up effect (balance
of a monetary stream) for all settlement period: ЧД = and #931; фт, (2.1) where
фт? A monetary stream, thousand rbl.2. The pure discounted stream (ЧДД)? The
saved up discounted effect for the settlement period: ЧДД = and #931; фт * and
# 945; т * (), (2.2) where and #945; т? Discounting factor (reduction of
monetary values of monetary streams occurring at different times to value for
the certain moment of time? The reduction moment), it pays off under the
formula 2.3 Е? Norm of discount; it is set by investors or participants of the
project for a year. In this case it includes the amendment on the risk, 13%
equal for a new product, also it includes bank percent (15%) and inflation
percent (13%); Е = 41%; and #913; т = 1/[ (1+Е) ^tt-t0], (2.3) where tт? The
moment of the termination or the beginning of t that step; t0? The reduction
moment, gets out any way. ЧД and ЧДД characterise excess of total monetary
receipts over total expenses for the project. Difference (CHD-CHDD) name
project discount. For a project recognition effective it is necessary, that ЧДД
was positive.3. Internal to profitableness holes (ВНД)? Eve's this such
positive number at which equality to norm of discount (Е=Ев) ЧДД it is equal to
zero. At Е and #61502; Eves ЧДД it is negative, at Е and # 61500; Eves? It is
positive. Hence, for an estimation of efficiency of the project it is necessary
to compare Eves with norm of discount Е. If Eves> Е, we have positive ЧДД
and consequently the project is effective.4. A time of recovery of outlay? It
is duration of the period from the initial moment till the recoupment moment. The
recoupment moment considers that moment of time after which the current net
profit becomes and further remains non-negative.5. A time of recovery of outlay
taking into account discounting? It is duration of the period from the initial
moment till the moment of a recoupment taking into account discounting which is
defined as time moment after which the current net profit becomes and further
remains non-negative.6. Requirement for additional financing (ПФ)? This maximum
value of absolute size of negative memory balance from investment activity. Size
ПФ shows the minimum volume of external financing of the project, necessary for
maintenance of its financial realizability.7. Requirement for additional
financing taking into account discount (ДПФ)? The maximum value of absolute
size of the negative memory discounted balance from investment activity. Size
ДПФ shows the minimum discounted volume of external financing of the project,
necessary for maintenance of its financial realizability.8. Profitableness
indexes characterise? Project return? On the means enclosed in it. At an
efficiency estimation are often used:? An index of profitableness of expenses? The
relation of the sum of monetary inflows to the sum of monetary outflows;? An
index of profitableness of the discounted expenses? The relation of the sum of
the discounted monetary streams to the sum of the discounted monetary outflows;?
An index of profitableness of investments (ИД)? The relation of the sum of elements
of a monetary stream from operational activity to absolute size of the sum of
elements of a monetary stream from investment activity. ИД it is equal to
relation ЧД increased by unit to memory volume of investments;? An index of
profitableness of the discounted investments (ИДД)? The relation of the sum of
the discounted elements of a monetary stream from operational activity to
absolute size of the discounted sum of elements of a monetary stream from
investment activity. ИДД it is equal increased by unit relation ЧДД to the
memory discounted volume of investments. At calculation ИД and ИДД can be
considered or all capital investments for the settlement period, or only
initial capital investments.
Calculations
show that the project pays off for three months both taking into account
discounting and without it. So small time of recovery of outlay is received
because the volume of financial investments was not great. Project discount is
equal to 45,9 thousand rbl. project Discount? It is time aspect. He says that
during realisation of the project cost of means of the investor has decreased
on this size that in percentage terms from initial cost makes 20%. Indexes of
profitableness of expenses and profitableness of the discounted expenses there
is more than unit. It speaks about excess of the sums of monetary inflows over
the sums of monetary outflows (taking into account discounting and without it).
But their value not much more unit that speaks high norm of discount (42%). Positive
value of the net profit says what the investment project? The advertising
campaign - is capable to make profit, but this fact does not answer a question?
Whether the project in time taking into account inflation and risk factors is
effective. The answer to this question can give value of the pure discounted
income. Efficiency of the project from the point of view of the investor
according to a technique is defined, proceeding from positivity of value of the
pure discounted income. In this case ЧДД> 0. Hence, the project is economically
effective. Estimate communicative efficiency we can only after release of an
advertising campaign of the new goods and after certain time. Thus the primary
information on which basis the efficiency analysis will be made is required to
us. There are three basic methods of gathering of the primary information: supervision,
experiment, interrogation. The supervision method is used, when researchers
directly trace actions of the studied person. The experimental method serves
for measurement of cause and effect relations. It is used at trial marketing of
new production in geographically isolated area and for trial carrying out of
advertising campaigns more often. The most widespread way of gathering of the
primary information is? Interrogation. By interrogation of real or potential
buyers the researcher receives the information on their relation to purchase,
learns their opinion on the goods and motives of carrying out. Specific methods
are applied to an estimation of a communicative advertising efficiency: - studying
the relation of consumers to the goods; - tests for storing; - psychophysical
methods; - feedback methods. We will estimate indicators of the communicative
advertising efficiency which maintenance will be published in printing editions.
Developed by employees of Open Company "Натали" advertising also is
presented in the appendix 4. The primary information for the advertising
analysis is necessary for receiving from results of the spent trial advertising
campaign with use of psychometric methods. The trial advertising campaign is
informative enough method of advertising researches, does not require unlike
other methods extrapolation on a real life. Its lack consists that it does not
establish the reason of tearing away of advertising by the buyer. For
liquidation of this lack, results of a trial advertising campaign are necessary
for combining with psychometric research. Psychometric research is one of the
most widespread and effective ways of testing of static advertising when the
total impression of the seen advertising material is exposed to the analysis. It
is based on drawing up of "perception cards". Answering special
questionnaires, people estimate the seen message. Such testing of advertising
is spent to two stages: to its exit on the market and after (in the course of
carrying out of an advertising campaign and on its results). At the first stage
tentative estimations of quality of advertising and its ability to execute
tasks in view are given. By results of the first stage of testing it is
possible to predict efficiency of influence of advertising on the consumer, to
reveal its strong and weak places and if it is necessary, to correct the
advertising message. At the second stage when the advertising message is let
already out on the market and has passed certain time, sufficient for
acquaintance with target audience advertising, testing allows to bring
intermediate or an adjusted total. Testing held by us is aimed at forecasting
of efficiency of influence of advertising for the consumer. It is the first
stage of testing of advertising. In the third chapter we will define ways of
increase of efficiency of an advertising campaign. They will be necessary for
us to raise indicators of economic and communicative efficiency in the present
paragraph. At carrying out of a trial advertising campaign in Open Company
"Натали" the special advertising leaflets containing various
advertisements, and also the questionnaire for an advertising estimation have
been prepared. The questionnaire developed by employees of Open Company "Натали"
for interrogations, is presented in the appendix 5. Interrogation was made: - at
"the Siberian Fair" during exhibitions; - in specialised shops on
sale of window, door blocks, building materials, and also in halls of the
trading equipment. In total 350 respondents have been interrogated. From them
nearby 300? Employees of the various companies of Novosibirsk, the others? Visitors
of shops of the building materials, getting production for a private use. Interrogation
was made as follows. The interrogated person was offered to see the booklet,
and then to answer questionnaire questions.
The answer of
respondents to the first question has shown that they in the majority
positively concern a print advertising if the advertiser bears a maintenance
responsibility of advertising and if it is executed qualitatively. Answers to
questions 2, 3 show level of awareness the consumer about Open Company "Натали"
firm. The answer to a question 4 characterises Open Company "Натали" advertisement.
As we see, 28% (98 of 350 persons) have remembered advertising of aluminium
windows. This indicator is at high enough level, i. e. advertising of new
production of the enterprise is remembered. On the basis of it it is already
possible to tell that advertising possesses certain level of efficiency as even
the simple knowledge of mark of a product raises trust to it in comparison with
absolutely unfamiliar mark. The answer to a question 5 characterises
attractiveness of advertising of Open Company "Натали", and the
answer to a question 6? Its recognizability. More than 40% of respondents have
paid attention to advertising of aluminium windows, have noticed in it some
unique lines. It once again proves, what Open Company advertising? Натали? Is
attractive for consumers. However from paid attention to the given advertising,
only 15% have remembered a firm trade mark. It means, what Open Company
advertising? Натали? Has low level of recognizability. Low level of
recognizability means, in turn, that the advertisement demands considerable
time for recognition and is perceived in less wide spatial range. Answers to
the remained questions of 7-11 questionnaires characterise propaganda force of
the advertisement of Open Company "Натали". We have received
following results on components of the given indicator:
1) the
subjective importance of production? Have positively answered 154 of 350
persons (44%);
2) uniqueness
of advertising? 35 from 98 persons (35,7%);
3) integrity? 28
from 98 persons (28,6%);
4) plausibility?
25 from 98 persons (25,5%). By these results of interrogation it is possible to
draw a conclusion what though Open Company production? Натали? Has the high
subjective importance for consumers and it is unique enough, it is not for them
enough complete and plausible. Nevertheless, at 12% of the interrogated,
aluminium windows which have paid attention to advertising of Open Company? Натали?,
there was a desire get given production. On this indicator it is possible to
judge enough high communicative advertising efficiency of Open Company? Натали?.
Thus, it is possible to predict a high economic and communicative advertising
efficiency of Open Company? Натали?. However she demands some completions in communicative
sphere for increase of its efficiency. In conclusion of the second chapter we
will draw following conclusions.1. In carrying out of an advertising campaign
of the new goods in Open Company "Натали" is engaged has dressed sale.
For advertising of the new goods it has been decided to use printing and the
outdoor advertising.2. For outdoor advertising placing advertising agency
"Agama", for a print advertising has been chosen? Agency "Duet"
and "Region a press", for marketing researches? Agency "Media
Soft".3. For an estimation of economic efficiency of an advertising
campaign the comparison method at which the effect from publicity carrying out
has been compared with expenses for its realisation was used. The estimation
has shown that expenses for goods advancement will pay off within three months
and as a whole the project is economically effective, that is is profitable.4. The
estimation of communicative efficiency of an advertising campaign, that is an
estimation of its quality indicators, was made on an example of a print
advertising of the new goods with use of a method of testing. Advertising
leaflets, and also the questionnaire for an estimation of advertising have been
prepared by consumers. Results of testing of advertising have shown that
advertising is remembered and attractive for consumers, however it is
insufficiently distinguished. Advertising has the high subjective importance
for consumers and is unique enough, but it is not for them enough complete and
plausible.5. At 12% of the interrogated respondents who have paid attention to
advertising of aluminium windows of Open Company? Натали?, there was a desire
get given production. Therefore it is possible to predict high economic and
communicative efficiency of the given advertising campaign.
Advertising can
be developed for clients or the people who are not employees of agency, or
clients. The space and time in mass media are usually got through the special
companies by directly clients, and market research is carried out by the
special research companies. So advertising agencies what for are necessary? Agencies
are necessary for planning and carrying out in a life of advertising efforts of
the client [29, with.127]. The world of advertising agencies is so wide that,
most likely not any advertiser (especially beginning) knows what kinds of
advertising agencies there are also what services they give. Therefore rational
use of possibilities of advertising agencies acts on the foreground.
In advertising?
Agency of a full cycle? Is the organisation which is carrying out four basic
functions:
1) management
of the account;
2) creative
services;
3) planning and
area acquisition in mass media;
4) researches. Such
advertising agency usually has own service on conducting the account of the
client, the department of movement performing work on internal tracing of
realisation of projects, division for working out broadcasting both a printed
matter and a staff department. As a rule, the contract between? Agency of a
full cycle? And the client defines that the agency for commission fee or other
co-ordinated fee makes the analysis of the data of the market, offers strategy,
prepares recommendations, develops advertising, places it in in advance
co-ordinated mass media, checks advertising on conformity to requirements of
the customer, exposes the invoice to the client within the limits of the voted
budget, receives money resources of the client into the accounts and pays
services of mass-media and suppliers. Besides, the agency can incur the
functions which are not included in the contract and not paid separately: it is
work on public relations, research projects, direct marketing, marketing of
actions and stimulation of sales. Some agencies offer specific services through
the divisions or branches. Clients can use specialised agencies also.? Agencies
of a full cycle? In Novosibirsk while is not present. It most likely is
connected with that, for the effective organisation of works of such agency the
big material inputs and coverage of great volume of manufacture and the
information are required. Work of specialised agencies differs works of "agency
of a full cycle". They specialise or in performance of certain functions,
or in certain branches (public health services, computers, agriculture), or in
a certain kind of works (for example, marketing researches, placing of
advertising messages in mass-media, TV advertising placing, outdoor advertising
placing and so on). Specialised agencies work in different areas of marketing: direct
marketing, stimulation of sale, public relation, marketing through public and
sports actions, design of packing, design of corporate symbolics and so on. Exist
such business of agency which specialise in trading communications. Along with
business? Such agencies are engaged in advertising in trade advancement,
trading exhibitions and presentations. Such agencies in Novosibirsk the set and
appears every day more and more. Specialised agencies need to be used in all
cases when the enterprise has no possibility to take advantage of services of
"agency of a full cycle" and independently spends an advertising
campaign. In the present state of affairs services various specialised agencies
will be necessary for it: for carrying out of marketing researches, for
creation external, a print advertising, advertising on radio and TV. In our
case of Open Company "Натали" addresses in specialised agencies
("Media the Software", "Agama", "Duet", "Region
a press"). But when there is a choice? To address in "agency of a
full cycle" or in specialised agency, it is more rational to address in
the last when the advertised goods or service demand the special approach, and
"the agency of a full cycle" cannot provide such approach. In
specialised agency it is necessary to address and when the enterprise cannot
take advantage of services of "agency of a full cycle" owing to
limitation of incomes. Virtual agencies? It is recently arisen phenomenon of
the agency working like group of people of liberal professions. The tendency of
occurrence of virtual agencies sees as well that there is no necessity for
habitual office. Many managing directors of advertising agencies assert that
from third to half of offices of any agency are empty, as experts work on a
call of clients or are on office affairs. In virtual agency employees have no
constant office, they work at home, in cars or offices of the clients. Modern
computer technologies provide members of such command with all necessary for
work out of office. Their meetings will be organised by a principle of
videoconferences or by means of an exchange of e-mail. When it is necessary for
members of team to gather at office, they can to include the computer in a
suitable place.compact multipurpose racks with things necessary for work can be
resulted on a current workplace. Within the limits of the virtual concept the
space divided into parts, is replaced with free space for employees, computers,
faxes, phones and all that members of team bring with themselves. Now virtual
agencies are the most rational for using for carrying out of marketing
researches, the analysis of the market, carrying out of interrogations, that is
for reception of information services, and also for advertising placing in the
Internet. Agencies take the incomes from two main sources? Commission fee and
fees [29, с.163].commission system. Right at the beginning advertising agents
operated more likely on behalf of mass-media, instead of in interests of the
client. In the nineteenth century advertising agents represented itself as
representatives of newspapers, magazines and printers of posters. If the agent
brought advertising to the publisher, that paid to it commission fee which were
defined, proceeding from volume of the work executed by the agent for the
blessing of business of the publisher and by preparation of advertising to the
publication. The agent could write the advertising text, think up a breadboard
model, type the text and mark a place for drawings and the photos which were a
part of advertising. These efforts of the agent saved to the publisher time and
reduced volume of its basic work. In process of growth of the importance of
advertising advertisers aspired to employ as less as possible people. In 1901
Klarens Kurtis from Curtis Publishing has established 15% of commission fee for
advertising agencies? 10% for preparation of materials and 5% for maintenance
of immediate payment [29, с.163]. Introduction of such practice has changed all
advertising industry. Instead of granting one mass-media to many advertisers
now the agent operated in interests of one client, placing its advertising in
many mass-media. However the commission system remained hardly probable not the
unique form of compensation.commission fee at a rate of 15% long time were
considered as a certain absolute standard though the great number of exceptions
of this practice is already observed.
The note: the
sum of figures can be below 100 percent as answers of some advertisers do not
get under one of these systems of compensation or answers have not been
received. The rate is defined in the course of negotiations between the client
and agency. As a result of these negotiations it is established, what work will
be carried out by agency under the contractual rate of commission fee and that
should be paid separately. The alternative form of commission fee is гонорарная
the system. This system is equivalent that for which advertisers pay work of
the lawyers. Clients of agency agree on the hourly fee or the tariff. This fee
can change depending on employed divisions and level of wages in each division.
The uniform hourly fee for all work, irrespective of level of actual earnings
of executors is in certain cases co-ordinated. These payments also join expense
accounts, payment of moving and all articles which are usually paid at
commission system. Payment is made in the pure state without any extra charges
or commission percent. Mass-media also expose accounts to clients in the pure
state without increase at the size of commission fee. A solving element in
гонорарной to system is the trust. The client should be assured that each
employee of agency conducts the strict account of working hours and correctly
distributes its expenses on concrete commodity marks or projects. Besides, the
client should know that the hourly tariff of agency fairly reflects wages, an
overhead charge and the established rate of return [29, with.169]. How the
agency estimates the fee? It defines expenses on a wages, rent, telephone
conversations, mail, internal operations, equipment rent, taxes and other
costs, and then establishes, what hour tariff in a condition to cover all these
costs, and also to provide to agency profit. Widespread practice is the fee
establishment as private from division of the trebled mid-annual wages of the
worker of agency into average quantity of working hours in a year [29, with.169].
In any case for the enterprise which spends an advertising campaign and
addresses to advertising agency services, it is more rational to use commission
system of payment. The matter is that at use of commission system, reducing
expenses on advertising, the client really achieves economy, in whatever volume
the advertising budget was reduced. In case of application гонорарной systems
the same client will receive economy on reduction of schedules of an
advertising campaign, but will continue to pay to agency the working hours connected
with contact to mass-media, revision of plans of use of mass-media and
alteration of exposed accounts? Invoices [29, с.170]. From the aforesaid the
conclusion arises what easier to deal with the advertising agency using
commission system of payment. As to an advertising agency kind the advertiser
solves this question independently. Arguments in favour of this or that kind of
advertising agency should develop depending on what amount of works should be
executed to the agency, what advertising purposes are pursued by the
advertiser, it has what volume of means. It is obvious that services of "agency
of a full cycle" will manage to the client expensively. In our case we
advertise the new goods, therefore it is more expedient to employ agency of a
full cycle that it has carried out market research, has offered strategy, has
executed advertising and has placed it in mass media. But, considering
impossibility of use of that kind of agency (in the absence of them in the
market of advertising services of Novosibirsk), it is necessary to address to
services of specialised agency, is more true even to several. They are already
listed: - "Media the Software" (for carrying out of marketing
researches); - "Agama" (for outdoor advertising working out); -
"Duet", "Region a press" (for print advertising working out).
Thus, the given agencies have been chosen because "agencies of a full
cycle" in Novosibirsk while are not present. Besides, advertised
production of Open Company "Натали"? The goods-novelty, - demand the
special approach at advertising campaign carrying out. As payment system the
commission system of fee of agency as it is to more flexible and adequate
results from an advertising campaign is chosen.
Advertising not
only gives the information on the goods, but also forms its image, gives it the
socially-psychological importance, defines its position among the competing
goods. At the heart of any competent advertising two components lie: the
thought over concept (strategy) of advertising and the interesting creative
decision. The most difficult in advertising? To find the base concept of
advertising inducing to purchase, allocating the goods from a number of the
competing goods or a commodity category. The creative decision should be
inseparable from the chosen concept. Any creative decision which strengthens
the concept, helps to apprehend it, does more evident, clear or more convincing,
strengthens effect of advertising. Therefore it is necessary to develop
advertising idea and strategy of advertising of the goods (service) for
increase of efficiency of an advertising campaign. Advertising strategy answers
a question how to construct an advertising campaign, to realise marketing
problems. In wider plan value of advertising strategy consists in, that: - to
define, what sense advertising should give to the given goods that the
potential buyer has given it preference; - to inform to the consumer concrete
benefit, the permission of a problem or other advantage of material or
psychological property which gives goods acquisition. Thus it is necessary to
take into consideration that there are only two base reasons on which people
buy the goods:
1) the goods
can solve any existing problem or a problem which can arise;
2) the
possession the goods allows the person to join psychologically something that
it is pleasant to it or he considers for itself (himself) important. At a
choice of strategy of advertising a number of factors should be considered:
1. Specificity
of a commodity category (there are such commodity categories where the consumer
gives a great attention to utilitarian properties, and such where for it the
emotional background is more important).2. Specificity of the goods and
possibility to allocate and inform on its significant properties for the
consumer.3. Actions (advertising) of competitors. Often the market is
overflowed by advertising of one type and it irritates people. Then it is
necessary for it to oppose advertising of other type.4. Moods of target
audience.
1. Specificity
of a commodity category (there are such commodity categories where the consumer
gives a great attention to utilitarian properties, and such where for it the
emotional background is more important).2. Specificity of the goods and
possibility to allocate and inform on its significant properties for the
consumer.3. Actions (advertising) of competitors. Often the market is
overflowed by advertising of one type and it irritates people. Then it is
necessary for it to oppose advertising of other type.4. Moods of target
audience.
Advertising
idea? An art way of an embodiment of advertising strategy. It can be a
successful image, the character, a slogan, helping to present the advertising
information which has been generated at a stage of development of creative
strategy. Creative advertising strategy sets an essence of the advertising
message, and the advertising idea invests it with the interesting, attractive
form. So, result of marketing researches and communication diagnostics is
formation of idea of an advertising campaign, the media plan working out, which
components? The initial and additional data.
The media plan
finally should contain the following data:
1) the list of
carriers of the advertising information;
2) the list of
parametres of each kind of carriers: for the press? The areas occupied with
advertising, for rollers? Activity, for a dummy? Type of graphic or text
editors etc.;
3) the calendar
plan-schedule of an exit of advertising messages (the table with instructions
of general time of hire, quantity of rollers, the transfer name, day, time, for
the press? Quantity of exhibitions etc);
4) the
plan-estimate on everyone рекламоносителю and the general budget of the media
plan;
5) quantity
indicators of efficiency of an advertising campaign;
6) analytical
comments to results of each stage of campaign;
7) alternative
variants of media plans.
Thus, a basis
of an effective advertising campaign make: the interesting creative decision (advertising
idea) and the thought over strategy of advertising. Thus it cannot be effective
if there is no one of these elements: whatever was successful the advertising
idea, it will not give results without realisation of competent strategy of
advertising, and at the same time, whatever was thought over the strategy of
advertising without the successful creative decision, i. e. without its basic
maintenance, advertising too will be inefficient. In our case as has shown research
of an advertising campaign of aluminium windows of Open Company "Натали",
the project is effective. The advertising idea is defined. Advertising strategy
is however insufficiently clearly stated. We will take advantage of the given
reserve for increase of efficiency of an advertising campaign of Open Company
"Натали", i. e. we will develop advertising strategy.
One of
optimisation methods in advertising activity is use of various channels for
mass communications, information transfers and advertising distributions. Information
transmission media, or carriers, the TV, radio, newspapers, magazines, cinema,
the Internet, the outdoor advertising are. The list of means of media shows
that it is the powerful tool of an advertising campaign. Media channels differ
from each other duration of contact, periodicity, in circulations, geography of
distribution and popularity, and cost of one advertising message in the
concrete media channel depends on a format, colour, a place, the program, time
and other factors. But in any case it will be the price not for a picture or a
film hank, and for contact to an audience, more precisely, with target group (target
group) [1, с.69]. In an advertising campaign some carriers are used, as a rule.
It allows to optimise quantity indicators of efficiency of the reference. Estimations
of audiences concern efficiency quantity indicators. Estimations of audiences
of edition Audience? An estimation of number of readers of the target group
reading given release of the given edition. Rating? The relation of an audience
of the edition to the target audience aggregate number, expressed in%. Conversion?
This relation of the sum of ratings in target group to the sum of ratings of
control group or in all general totality of readers. Reach frequency
distribution? Distribution of achievements on frequency, that is distribution
of an audience of the edition on number of the read releases of the edition. Estimations
of an audience of advertising campaign GRP? A cumulative rating, that is the
sum of ratings of all editions making the given advertising campaign. Effective
reach? Effective achievement, that is the coverage of the target group counted
with application of weighing on number of read editions. Cover? Coverage or
estimation of number of the general totality, satisfying to selection
conditions in target group and reading at least one edition during advertising
campaign passage. Average frequency? Average frequency (repeatability), that is
an average on an audience of campaign number of the read editions or average
possibility to see the advertising message. Reach frequency distribution? Distribution
of an audience of an advertising campaign on number of the read editions (disorder).
Affinity? An index of coincidence on reach? This relation of coverage of target
group to coverage of control group of the general totality, increased by
hundred. Estimation of cost of advertising campaign CPRP (cost-per-rating-point)?
Cost of point of a rating: / where Cost? Cost of one advertising area of the
edition or one roller. CPT (Cost-per-tausend)? Cost of 1000 captured recipients
(those who has received advertising) in target group (plan-forecast):
CPT Reach? Cost
of 1000 reached recipients in target group (postanalysis):
Estimations of
audiences and advertising campaign cost allow to pick up an optimum variant of
a parity of quantity of editions and publications for target groups. Other
method of optimisation of advertising activity at the enterprise is definition
of the budget of an advertising campaign. Budget working out promotes the most
favourable distribution of resources, and it helps to hold expenses in in
advance certain frameworks. The complex budget on the advancement program
assumes decision-making on two questions [28, с.116]: - total of the means
allocated for all complex of advancement, including advertising, sale
stimulation, паблик рилейшинз, personal sales; - definition of a share of each
element of a complex of marketing communications in the general program of
advancement. Budget size on advancement define in several ways. In practice
usually do not rely entirely on any one, and use a combination of several
methods:? In percentage to a sales volume (last period or assumed);? Taking
into account the purposes and problems;? On the basis of dependence modelling
between level of communications and behaviour of the consumer;? On the basis of
costs planning;? On the basis of expenses of competitors. Most often use an
indicator of a percentage parity of the sum of expenses for advancement to a
total cost of sales: where And? Assignments for the general program of
advancement, rbl.; Оп? The total cost of sales, rbl. Preservation invariable
the same indicator assumes that the optimum parity between the sum of expenses
and total cost of sales is found. After the statement of the given indicator
the most important thing? To give the forecast of sale of the goods for
forthcoming year. Also the forecast of sales on branch as a whole for this
purpose is required. For coordination in uniform indicators of expenses of
competitors, expenses for advancement and a total cost of sales use size of
expenses for unit of a share of the market. This indicator is useful at
comparison of an advertising efficiency of separate firms. It is considered
that the firm which spends for advertising counting on unit of one share of the
market the smaller sum, achieves efficiency. However the support on these
indicators can prevent to see dynamics of the market, those changes which occur
from year to year in the different markets to different marks. At the approach taking
into account the purposes and problems the attention is focused on the purposes
which are necessary for reaching at realisation of the program of advancement:
- what sales volumes and profit it is necessary to reach; - what share of the
market which should be won; - what groups and market areas should be processed;
- what should be response of consumers. Then problems are formulated, that is
define strategy and tactics of marketing communications of the enterprise which
are capable to lead to achievement of objects in view. And after that deduce an
estimated cost of the full program of advancement which becomes a basis for
definition of the size of the budget. Some companies establish the budget on
advancement, being guided by expenses of competitors. Thus the basic accent
becomes on advertising expenses in mass media, after all advertising in
mass-media serves as the basic means of positioning of the company in creation
of a target segment of the market. Thus it is important to remember that budget
orientation should correspond to the strategic group of the companies operating
in branch if the company aspires to keep the share of the market. For
optimisation of advertising activity of Open Company? Натали? It is necessary
to recommend use of various channels of distribution of advertising: except a
print advertising in newspapers and the outdoor advertising to use various
magazines, the Internet, radio. For definition of the budget of advertising of
aluminium windows for Open Company? Натали? In the first year it is necessary
to use a method on the basis of costs planning as goods deducing on the market
demands the big initial expenses for advancement. In the first months strong
enough push is necessary whenever possible quickly to reach a sales volume providing
profitability. For formation of awareness and prompting to test the goods it is
required much more efforts in sphere of advertising and sale stimulation, than
for maintenance of a high break-even sales level to constants of consumers. The
big initial expenses when sale starts to grow with zero, can turn back in the
first year losses following the results of primary activity. Similar intensive
expenses? In the advance payment? Are called as investment expenses. However
they assume that like capital investments in means of production will bring in
the income the next years. The next years for drawing up of the budget of
advertising for Open Company? Натали? It is recommended to use the approach
uniting a method, a method on the basis of expenses of competitors and a method?
Percent to a sales volume?. By this moment the certain size will be generated? Rather
invariable indicator? Advancement / sale? Also it will be possible to consider
that the optimal parity between the sum of expenses and total cost of sales on
which to be guided further at drawing up of the budget of advertising activity
is found.
The purpose of
the given degree work consisted in research of an advertising campaign of the
new goods in Open Company Nataly. And definition of ways of increase of
efficiency of advertising activity for the enterprise as a whole. By the
received results it is possible to tell that the work purpose is reached. In
work a number of problems which have been solved as follows also has been
planned. The first problem - research of theoretical aspects of efficiency of
development of advertising activity. The decision of the given problem has
allowed to draw following conclusions. Advertising? It is any paid form of
impersonal representation and stimulation of sale of ideas, the goods and
services by the certain sponsor. Advertising is the most significant making
system of marketing communications which allows the enterprises to achieve
long-term competitive advantage, and also serves as the basic tool of
positioning of the enterprise in consciousness of a target segment of the
market. The essence of advertising consists that it hands over by means of mass
media the information on consumer properties of the goods for the purpose of
creation of demand for it. The advertising purpose consists in systematic
influence on mentality of the person to cause in it desire to get the known
blessings. Advertising became the integral and active part of a communication
complex of marketing. And its level of development defines quality and
efficiency advertising-information work the manufacturer and its conformity to
new requirements of the world market. The second problem - a substantiation of
an advertising campaign of the new goods in Open Company Nataly. We have
received following results. In carrying out of an advertising campaign of the
new goods in Open Company "Nataly" is engaged has dressed sale. For
advertising of the new goods it has been decided to use printing and the
outdoor advertising. For outdoor advertising placing advertising agency "Agama",
for a print advertising has been chosen? Agency "Duet" and "Region
a press", for marketing researches? Agency "Media Soft". For an
estimation of economic efficiency of an advertising campaign the comparison
method at which the effect from publicity carrying out has been compared with
expenses for its realisation was used. The estimation has shown that expenses
for goods advancement will pay off within three months and as a whole the
project is economically effective, that is is profitable. The estimation of
communicative efficiency of an advertising campaign, that is an estimation of
its quality indicators, was made on an example of a print advertising of the
new goods with use of a method of testing. Advertising leaflets, and also the
questionnaire for an estimation of advertising have been prepared by consumers.
Results of testing of advertising have shown that advertising is remembered and
attractive for consumers, however it is insufficiently distinguished. Advertising
has the high subjective importance for consumers and is unique enough, but it
is not for them enough complete and plausible. At 12% of the interrogated
respondents who have paid attention to advertising of aluminium windows of Open
Company Nataly, there was a desire get given production. Therefore it is
possible to predict high economic and communicative efficiency of the given
advertising campaign. The third problem - definition of ways of increase of
efficiency of advertising activity. As has shown research of an advertising
campaign of aluminium windows of Open Company "Nataly", the project
is effective. The advertising idea is defined. Advertising strategy has been
however insufficiently clearly stated. Advertising strategy has been developed
for increase of efficiency of an advertising campaign of Open Company "Nataly".
For optimisation of advertising activity of Open Company Nataly. It was
recommended: First, use of various channels of distribution of advertising (except
a print advertising in newspapers and the outdoor advertising to use various
magazines, the Internet, radio); secondly, to practise planning of the budget
of advertising activity. For definition of the budget of advertising of
aluminium windows for Open Company Nataly. In the first year it is necessary to
use a method on the basis of costs planning as goods deducing on the market
demands the big initial expenses for advancement. In the first months strong
enough push is necessary whenever possible quickly to reach a sales volume
providing profitability. For formation of awareness and prompting to test the
goods it is required much more efforts in sphere of advertising and sale
stimulation, than for maintenance of a high break-even sales level to constants
of consumers. The big initial expenses when sale starts to grow with zero, can
turn back in the first year losses following the results of primary activity. Similar
intensive expenses? In the advance payment? Are called as investment expenses. However
they assume that like capital investments in means of production will bring in
the income the next years. The next years for drawing up of the budget of
advertising for Open Company? Натали? It is recommended to use the approach
uniting a method целеполагания, a method on the basis of expenses of
competitors and a method? Percent to a sales volume?. By this moment the
optimum parity between the sum of expenses and total cost of sales by which it
will be possible to be guided further at drawing up of the budget of
advertising activity will be found.
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