Unit 18 Advertising and Promotion in Business Assignment - UB

Introduction

The present study is going to research about advertising and promotion activities. Advertising and promotion basically include improving awareness between people so that they get idea about the products and services offered by the organisation. The unit 18 advertising and promotion in business assignment UB is analysing advertising and promotion strategies for “United biscuits” company which is located in UK. The present study is going to find out  communication process  that are required for marketing purpose and the role of advertising industry to achieve goal of company. Further, it will also research about legislation and regulation rules set by UK government for under control promotions. Moreover, it will also find out latest trends of advertising and marketing like- website, mobile app and many more. The report also include role of advertising integrated with promotional activities. Branding concept will be research out because it strengthens the business. A brand is uniquely defined by its logo and brand name. The logo of ‘united biscuit’ company is shown in figure. The creativeness requirement among promotion and advertisement strategy is also included in report. In addition to this, the study would also evaluate below the line techniques used for promotion of business. It would include estimation of budget to undertake advertising activity and SWOT analysis of company.

Task 1

1.1 The communication process that applies to advertising and promotion

The communication process is very important for advertising and promotion of products to influence people. The communication technique and tools provide a media for sharing information to people. It majorly focuses on such processes that are easy to understand and helps to attract customer.  It has been noticed that ‘United Biscuits’ company which is related to food industry is looking to enhance their business by using innovative marketing techniques. Therefore, various communication processes are used for marketing purpose and improve relation between customers and other stakeholders (Shimp, 2010). This would increase sales activity of organization. The company is presently using following communicational process for marketing:

• Television ads: In present scenario, television is one of the most used electronic devices. Therefore, it is the best platform of advertisement. The ‘United Biscuits’ organization is using advertisement that direct promotes their products in detail and expresses quality of products. The advertisement are defining key feature in attractive manner to influence people for using products of company (Shimp, 2010).
• Official website: The management of company is presently using online media to communicate and the information of products and services offered by company. The official website of ‘United Biscuit’ represents complete details including their price, adding preservative details with pictures and videos  so that visitors get complete knowledge of product and they are also encouraged to use them. Apart from this, other stakeholders could easily contact on website and communicate with company. Therefore, this communication process is more fast and reliable (McQuail and Windahl, 2015).
• The Company is presently using newsletter which are written by top management of organization. They are allowed to frequently spread to relevant stakeholders of company. It contains information about change in services, details of new services and also present new responsibility and roles of employees. It also promotes latest operational details which are held under organization.
• Road side Posters and billboards: Posters and Bill board are highly used for advertising and promotion. Road side posters include pictures about products of company. The organisation is also focus on marketing over billboard. The most popular markets of UK are advertised by bill board. It is most famous communication process due to greatest visibility as compare to other communication process. It highly influences people to look at video clips running on billboards.

             Figure 2: Billboards for advertising and promotion

• This is the traditional method of advertising and promoting. The management of company organise meetings with stakeholders where a representative explains their latest product by using presentations. This would explain details of new offers with appropriate images that define how the product will look like (Hawkes and Lobstein, 2011). This would improve communication with shareholders and maintain their trust with company.
• This is the wonderful method included in communication process. The ‘United Biscuits’ company is using e-mail software which include signature line at each message send by company. This would be used for sending bulk message like mail ID on thousands of customers so that they would gain idea of products. The Company is maintaining e-mail id of customers and contact number while they shop their product. Contact with customers is made by sending mail to these e-mail ids.

1.2 The organisation of the advertising and promotions industry

There are many organisations that are offering advertising and promotion services.  In order to promote and advertise the business of ‘United Biscuits’, the organisation can opt for an advertising agency “Grey marketing agency”. This agency provides latest tools and techniques to create advertisement according to client needs. The company has launched its business in 2001 and becomes famous for their creative advertising plans. Their advertising includes fresh idea that highly attract customer. In order to design plan of advertisement, the company first research about new market trends.  It includes data by some past activity and then design marketing plan for organization (Moeran, 2013). This agency has delivered almost 300 projects of advertising and promotions to popular brands of UK. Their marketing plans and creative ideas were appreciated by audience.

It has been analyzed that Grey marketing agency is able to explore business of ‘United Biscuits’. The agency is presently working at international level and developing advertising plan with innovative ideas. The company also consider rules and regulation while designing marketing plans of clients. It does not present such advertisement which badly affect community and against any government rules. Their plans and advertisements comes under law so that they are able to deliver to audience (Halinen, 2012). Therefore, Grey marketing agency is best suitable for ‘United Biscuits’ to promote its products in ethical and lawful manner.

1.3 How promotion is regulated in United Kingdom

Promotion and advertising strategies are required to follow rules and regulation which are set by government of UK. According to UK government defined rules are compulsory to be followed by every brands of nation. The organisations are being allowed to represent only legal and ethical advertisement. They are not allowed for such marketing concept that defines false and fake information to customer and against the moral values of society. Therefore, it has restricted to each organisation to follow rules and regulations in  marketing planning . In this way, leading brands are using such creative and innovative plans that develop positive image of organisation (Kistner.et.al.2010). The ‘United Biscuit’ company is also using techniques and tools to develop such advertisement that influence the decision of customer. It does not generate false information to the customer, it only present product actual information.

The Advertisings Standard Authority (ASA) of UK mainly monitors the marketing strategies and advertisement strategies of organisations. It tracks such activities which are against rules and regulations. Therefore, management of ‘United Biscuit’ considers each and every aspect while implementing advertising plan for business. The top management commit close observation at marketing ethics and consider social culture of UK. They are also collecting feedback from stakeholders about marketing approach of company.

Moreover, organization produce such process that maintain advertising standard and comes under norms of UK. The management of company is providing clear guidelines for marketing in which advertising agencies are creating fair or ethical advertisement only and does not include false information. In addition to this, rules and regulations are developed by taking care of customer’s social belief. Therefore, organisations are being allowed to show importance of product only but represent them under norms (Nakagawa.et.al.2010). It has been cleared that this kinds of regulations and approaches comes under increasing values of human being and does not affect belief of customers.

1.4 Current trends in advertising and promotion, including the impact of ICT

The present scenario includes various types advertising and promoting services which are highly influenced by Information and Communication Technology (ICT). Currents trends are used to improve awareness about latest products. There are some following currents trends of advertising and promotion which are used by ‘united biscuit’:

Social media: This is highly rated advertising trends that support to reach to millions of people in few minutes. Large audience may get aware about promoted product and services of organisation. There are millions of customers who belong from national and international regions and are available at social medial like- Twitter, Facebook and some other common social sites. It increases interest of audience and more customers are added with organisation (ABUBAKAR.et.al.2012). In past few years, it has been analysed that impact of social media is high on users and best advertising platform.

Website: It is the most important and latest advertising tools that reflects brand image. This would increase complete details of product and it would be easily accessed by national as well as international customers. It is helpful to expand business of company. It provides in gaining quick orders from customers whether they are local/ national or international. It represents attractive images of offered products.

                                 Figure 3: Website of United Biscuits using as ICT

Smart phone application: According to present scenario, smart phone application are considered top most advertising platform in which organisation  collects data about customer interest and expectations so that they are able to offer customer loving services. The ‘united biscuit’ is using smart phone app to reach highly to young generations. The product offers are also accessed by App (Accordino, 2013).

Figure 4: Mobile App used for advertising

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Task 2

 2.1 The role of advertising in an integrated promotional strategy for a business or product

Advertisement is the key of success for organisation. Without advertisement, the company is  not able to make the people aware about product and services effectively.. Therefore, a business is expanding by using right advertising methodologies. Advertisement pays a vital role for making business popular among audience. It has been recommended that ‘United Biscuit’ company should undertake proper advertisement strategy in order to improve sales of its products. Hence, this would add more and more customer who will start to use products of company (Hanna.et.al.2011).

The advertising platform helps to attract wide range of customers belong from different regions to use their product. The promotion and advertisement are not limited to local city but it would include television, social media, billboards, smart phone app etc. in order to include national and international consumers. Apart from this, business should include offline as well as online promotion and also advertise in popular events like- national and international sports. This would be helpful to reach large number of customers. The company is also using social media as advertising platform because there are millions of people connected with Facebook like social sites. This is one of the most common strategies which are used by organisation to attract large number of customers. Management of ‘United Biscuits’ is carrying out their advertisement on Facebook and Twitter. Therefore, this would expand the business in all over the world (Keller.et.al.2011). This would encourage more and more people to use organisation services and products.

Moreover, advertising is basic tool which is integrated with promotion and enhances the publicity of business. The promotional activity can be held at one region but it gets spread in different region due to advertising methodologies. The advertisement is a promotional tool also because it offers complete information that can be easily understood by users. The company is presently using latest technical tools so that it reaches to user within few seconds.

2.2 What is Branding and use of branding to strengthen a business or product of ‘United Biscuits’

Branding:Branding is a unique name and image of business and product. The aim of branding is to make significant and differentiated image in mind of customers. The main target of branding is to attract loyal customers. Branding defines what exactly services and products are provided by organisation.

Use of branding to strengthen a business or product of ‘United Biscuits’: Branding include total values for company like its product, services, advertising, positioning, people and culture of regions. It has been notice that Branding would also increase the business of ‘United Biscuits’ by improving awareness and define positive image in customer mind. It would also increase trust of customers and stakeholders related to business (De Chernatony, 2010). Consider an example- The people are mostly attracted towards their preferred brands where they have complete belief about what they are purchasing. The people are trusting about quality of standard among each products of company. In this way, a strong brand depicts their value among consumers because they know that clients are most important entity and it is necessary to influence them.Branding is used to motivate trust and belief for products and services. Branding is being utilised by ‘United Biscuits’ in such a way to influence both customer and employees as well shareholders. It would improve relationship with other parties who are involved in  business organisation . With the help of branding the company maintain its goodwill among people. Sometime it may happen that price of products increases but due to branding it does not lay down the preferences of using products. Branding mainly represents the company by its unique name and logo   People identify the organisation with its name and logo only (Douglas and Craig, 2013). Therefore, ‘united biscuits’ also define a distinct image by using its unique logo to attract customers and brand name improves trust between consumers.

2.3 Review the creative aspects of advertising of United Biscuits

It has been analysed that creativity is most important for advertising and marketing. Creativity would highly influence the audience and increase the life of the message give in advertisement. Advertisements of United Biscuits are creative as much as possible so that it may attract audience to use their products and services (Roger, 2010). A creative and innovative message will get more attention of the people. The creativeness of the United Biscuits is shown into their website and advertisement. Their advertisement include clear picture with good representation that the people are tempting when look out on products. This would inspire people to visit again and again their stores and website for placing online order also.

It has been analysed that if a person is influenced by advertisement then he/she will definitely purchase and use that products. It imply positive attitude towards company product and people also recommend to other one to use such impressive products. According to the present scenario, competition is increased in every industry. Each company wants their growth as soon as possible. With increase in competition it has become tough to convince people to use products of underlying company (Rodgers and Thorson, 2012). Therefore, ‘United Biscuits’ company also wants to gain attention so that it enhances the business. It includes creative process and respect creative ideas come from work environment or from advertising agency. The company is finding more creative approaches so that it will enforce people to listen, watch and read advertisement carefully. In this way company is required to deal with such people who have creative ideas that would improve sale of product.

Creative process would attract the attention of the people and force them to read or watch the advertisement(Ashley and Tuten, 2015).

                              Figure 5: Product of United Biscuits

2.4 Ways of working with advertising agencies

The ‘United Biscuits’ company consider it most important to represent a clear description about what they really offer. Therefore, effective advertisements are created by including advertising agency and it is recommended that management should maintain healthy relationship while making deal with them. Healthy relationship would be proving beneficial for not only company but also advertising agency. Some of the ways are as follows in order to work with such agency:

• Maintain relationship with on link: It has been analysed that people have different ideas and views in order to define what they want. Therefore, it has been recommended that within the company there must be a single person who should deal with agency. The hired person should represent clear ideas about what the company wants. The company does not allow involving more than one person because it is generally seen that their ideas are clash in such cases (Chan.et.al.2012). This would unnecessary spread ambiguity. In this way an individual clear mind set is required to be included in advertising activity.
• Improve flexibility to work with advertising agency: The team of ‘United Biscuits’ must be flexible enough to communicate with assistance of advertising agency. The assistance of such agencies is generally examined by few things which include team members also to set clear goals. Therefore, team must be flexible enough to provide all the information about what they want.
• Knowing the customer: The advertising agency also provides latest market research about real facts about customers’ requirements.  Such stage is very expensive because it requires market analysis but it is considered as most beneficial for ‘United Biscuits’. It would be helpful to set an idea about target audience and useful for create an approach to influence them with advertising strategies.

Task 3

3.1 Primary techniques of below-the-line promotion and how they are used in an integrated promotional strategy for a business or product

The management of ‘United Biscuit’ company is using following below the line promotion techniques that would increase understandably of market:

• Promotional campaign:This one is the most traditional method of below the line promotional activity. This would include demo programs to one to one or a group of people. It  also include discount on selected product and set some offers with product of company. The main aim of this technique is directly reach to customers. This approach mainly includes door to door selling in which sale men sell their product by directly reaching to customers. This activity includes demonstration of product, testing of product (Dhar and Varshney, 2011). The sales men define complete details and quality of products as compare to other products comes under same category. Many times ‘United Biscuits’ choose public places where salesmen are describing their product with number of people at a time. 
• Events:This technique is used for below the line marketing and promoting ’united biscuits’. It organise some events and takes some sponsorship of popular events like- sports and university events. Apart from this it is also participating in popular concert where they are able to enhance their product information large area. This would allow reaching large number of end users and they are able to serve knowledge of retail products. The organisation should be including this technique as integrated promotion tools (Hanna.et.al.2011).

3.2 Other below the line techniques of marketing and promotion

There is some other below the line techniques that can be integrated in promotion plan of ‘united biscuits’:

Internet Marketing:In the present scenario organisation mostly used this technique for marketing and advertising. Therefore, the organisation should maintain link with popular e-commerce site, mobile apps and connect with social media. It will increase footfall of customer towards offered product and services. The internet is more effective in terms of marketing purpose and it would increase sell of products. This technique is used to improve sell of product and also improve awareness of company offers like- discounts etc (Hutter and Hoffmann, 2011). The internet platform is more attractive and creative platform. However, some other techniques are use for marketing but this one is the cheapest tool to reach millions of people. This technique is enriched with multiple marketing tools and provides best result for the organisation.

            Figure 6: Internet marketing

Rebates: Rebates mainly lower down the value of final cost of products. Rebates are provided to the customer after purchase something. It includes identification of buyer like- his/her name and unique ID codes. Rebates are used for next time shopping and it immediately low down the price of product. Therefore, organisation may use rebates to provide discount on next time shopping. This would encourage customers to shop their products (Peck.et.al.2013). This is also below the line technique and highly used because customers are more attract with discounts and gift coupons.

Loyalty programs: The promotion activity also includes loyalty programs and provides free products to the customers and offers them high discount to sale products frequently. Loyalty programs are currently followed by many industries. The free products are offered to customer so that they are able to check quality of product and start to use them (Hutter and Hoffmann, 2011). ‘United Biscuits’ belongs to food industry which is used in such programs to enhance its business.

Task 4

4.1 An appropriate process for the formulation of a budget for an integrated promotional strategy

The promotion activity should include budget planning stage so that ‘united biscuits’ company is able to use optimum resources and all the activities must be under control as per the set budget. The company budget includes expenditure on all the strategy which is used in marketing and advertising.  Therefore, it first finds out requirement of resources to generate door to door activity to advertise products and services. The organisation also include online marketing process which include maintenance of official website, expenditure include for maintenance of e-commerce websites, update advertisement on blogs and social media. This is a wide platform which includes many activities which must be included to reach at international and national customers (Christopher and Peck, 2012). Apart from this, it is recommended that organisation also includes advertisement on television therefore, it require contacting with advertising agency. It would create complete advertising video clips for company. This activity must be added into budget.

The foremost activity is market research, which would require budget for reaching out to the customers to get the response. This phase is considered important for other phases. This would increase cost by including  marketing research  methodologies and research tools are required to find latest trends which highly influence customers. Apart from this, company can promote their products by using billboards, hoardings and sponsors, events also. All such activity is considered into budgets. It has been recommended that company should include all such activity to enhance their market all over the world but it would associate some cost with each activity (Yeshin, 2012). The present report analyse expenditure required to execute advertising phases. The below table indicate budget estimation for integrated promotion activities:

Table 1: Budget plan

The above table depicts that ‘United Biscuits’ required investing approx £12300 for executing each marketing and advertising phase in order to expand their business.

4.2 Promotional plan for United Biscuits

Promotion is the best and easy way to increase the sale of any product in the market. United biscuit may adopt different techniques to educate the customers about the products of the company. Promotional plan facilitates company create a brand in the market and introduces company in front of the customers. Following are the promotional technique which the company should apply to promote the product:

• Social Media: Company should promote the product through social media which assists the company to raise the followers of the product. Social media is the effective tool to create the good image in front of the customers and increase the brand value of the company (Wang.et.al.2013). Different platforms of the promotion on the social media are Facebook, Twitter, Watsapp etc. Every social media platform has their unique functions which serve best services to the customer to promote the brand.
• Advertising: It is best and cost efficient way of promoting the product in the market. Adverting is an excellent way to interact with customers and easy mode to inform them about the product. Advertising can be done through television, newspapers, hoardings etc. Advertisement assists United Biscuits to interact with large number of buyers and increase the sales of the product (Ramanathan.et.al.2014).
• Sales Promotion: Another mode of promotion is sales promotion in the market by which large number of buyer can buy the product and increase the revenue of the company. This kind of technique adopted by the company is to increase the customers by providing cash discount, increase the percentage of commission for the distributors, special discount on holidays etc (Shimp and Andrews, 2013). Sales Promotion is a short term promotion technique which is related to providing incentive and other benefits to the customers.

4.3 Integration plan for promotional technique into promotional strategy for the organization

The promotion technique which company should opt is social media by which company can reach to the large number of customers in easiest way. Company can promote brand with different promotional strategies to reach the customers:

• United Biscuits can organize the contest on the online platforms to attract more customers for the company. Organization will provide effective gift vouchers to the winners by which more and more customers are attracted towards the company and it will create a positive image of the company in front of the customers. Company may provide free products to the first 100 customers who like the online page of the company for first time or customers who refer the product to 100 consumers will get the extra benefits or discounted products (Mullin.et.al.2014). Company may organize daily contest for the customers to make them aware about the new flavours of the product. Company may provide sponsorship to the contest organizers by which company may promote the brand.
• Mail Order Marketing: Company can promote brand through mail which is the most easy and cost effective method for the United Biscuits. Through email company can easily convey the message to the customers. Email can be the easy mode to inform customers about price, features and benefits of the product. Organization may take the orders of the product from the customers (Chaffey.et.al.2012). Company may describe the features of the product to customers like what are the flavours, what are the prices of product and delivery date of the product. Mail order marketing facilities company to collect feedback from the existing customers which are using the product from longer time. Company may send the bill to the customers in the digital form by which customers can easily pay the bill amount. Company may have the proof that customer has ordered the product. Customer can easily cancel the order through mail system (Percy, 2014).

4.4 Technique to measure the performance of campaign

The technique assists United Biscuits to measure the effectiveness of the promotional strategy by which company may improve the performance. Company may evaluate the performance through various ways like profit comparison, sales comparison by which company get to know the sales of current year and ratio of increment in current and previous year. Following points facilitates company to measure the effectiveness of promotional strategy:

• United Biscuits can easily analyze the effectiveness of promotional strategy through comparison of sales between current year and previous year. The collected data may help company to evaluate the performance of promotional strategy (Frew and Frew, 2015). Organization compare the data of different years and if it shows the positive result then company continue the policy if it depicts negative response then company try the another plan. The technique assists company to indentify the followers of the company. If policy is attracting more customers and increasing the sales then company may continue the policy for the upcoming years and adopt that policy before launching the new products in the market.
• United Biscuits is operating their business for the sake of profits on which company is able to meet its debts. Profit ratio depends on sale of products if sales is consistently increased then company grows (Neiger.et.al.2012). To evaluate the performance campaign through profit the company may compare the profit ratio of the different years and identify the performance of the campaign in the company. Company can evaluate the profits of every week if they are increasing weekly then company may spend more money on the plan. Profit comparison depicts the overall performance of the campaign and identifies the loopholes in plan (Schniederjans.et.al.2013). Profit evaluation helps company to recognize the future benefits of the campaign.

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Conclusion

The present report concluded about various communication process are involve in advertising and promotion like- website, newsletter, billboards, e-mail, television advertisement and meetings. The report is recommended to include Grey marketing agency for set advertising strategy by analysing its performance graph. Apart from this, Government of UK is defining rules and regulation that are strictly followed by ‘United biscuits’ company. The report has been found that it is necessary to maintain unambiguous link in order to describe clear requirements of company. Moreover, company should use latest trends like- social media, smart phone app and maintain website that present innovative ideas. The study described that advertisement is key of enhance business at national and international level. In spite of this, branding is very essential for organisation that create positive image between customers. Therefore, ‘Unite Biscuits’ is also maintaining healthy relationship with advertising agency in order to improve brand image. The report successfully concluded budget estimation and SWOT analyses.