ADVERTISING & PUBLIC RELATIONS

Advertising is one of the most important tools of PR. Advertising communicates its messages in paid or space or time in newspapers, magazines, or electronic media. The word advertising is originated from Latin word ‘advertere’ that means to turn attention or turn mind to. In other words, it turns attention of public or buyers to service or goods provided by marketer or producer or manufacturer. In advertising all efforts are employed to turn or to guide attention towards desired objectives of informing or selling of product. Advertising is a paid form or non-personal presentation of goods or services.

Some of the definitions are

Advertising is any paid form of non-personal presentation of ideas, goods and service by an identified sponsor. This definition has been prepared by American marking decision 

Advertising is means of communicating information pertaining to products, services, or ideas by other that direct personal contact on openly paid basis with objectives to sell or obtain valuable consideration

Advertising is the means by which we make what we have to sell or what we want to buy.

Objective of advertising

The objective of advertising is to make quick sale and build primary demand and to inform the audience about the availability of goods, ideas and services.

The objective of advertising is also to create a restricted and reputation for services and to build a corporate image. Its objective is also to reach new areas of population. The purpose of advertising is consumer of goods and services must be informed about which firm manufactures what kind of goods and which company offers what kind of services as well as potential buyers who must be motivated to buy them. Motivation is a psychological function. It is a function of creating influence on the minds of people. This psychological function helps advertisers to gain attention, create interest, influence desire, inspire confidence to satisfy and take decision and action. 

Advertising broadens knowledge of consumer of goods and services,

 

Purpose of advertising

Consumer goods and services must be informed about which companies offer what kind of services in future these bias must be motivated. Motivation is a psychological function. It is a function of influencing the minds of people. This helps advertisers to

-         Gain attention

-         Create interest

-         Influence desire

-         Inspire confidence

-         Decision and action

-         Satisfaction

After prospective buyer is motivated i.e., will say yes to the following questions

Do I really need to make purchase?

If so is this the product I should buy?

Is firm who sells the product reliable source from which to buy?  

Is the price reasonable?

Should I buy now at this time itself?

 

ROLE OF ADVERTISING

Advertising broadens the knowledge of consumers of goods and services. It informs public about the new products, new thoughts or ideas. It helps to communicate information from government. The object and importance of advertising is

-         to make an immediate sale

-         to build primary demand

-         to inform of availability of product, service or ideas

-         To create reputation for service

-         To build on overall corporate image

-         To which new areas or new segment of population within existing areas

 

Function of advertising

There are two main functions – economic and social.

Economic function

–        advertising gives information about various products and services for which consumers make demands.

–        It increases number of consumers and with it volume of sale

–        It helps to create a good image i.e. reputation not only of product but also of advertiser

–        It helps to keep prices of goods and services offered among firms well balanced

–        It helps to establish a direct contact between manufacturers and consumers

Social function

-         Advertising brings greatest number of people actual knowledge concerning useful things

-         It is essentially a form of education. The process of civilization depends upon education

-         It leads to large scale production creating more employment chance

-         It nourishes consuming power of human beings. It creates wants for better standard of living

-         Newspapers and journals would not have been so popular and cheap if there had not been advertisements

-         It assures employment opportunities for professional artists and writers

 

CLASSES OF ADVERTISING

There are seen classes of adverting

-         Primary demand advertising – it relates to newly developed programs

-         Product or institutional advertising

-         Cooperative advertising

-         Commercial advertising – aimed at increasing sales

-         Noncommercial advertising – usually by nonprofit organizations or charitable organizations

-         Public cause and public service advertising

COUNCIL FOR FAIR BUSINESS PRACTICES (CFBP)

Council for Fair Business Practices (CFBP)

On October 2, 1966, the Late Mr. J R D Tata, the Late Mr. Ramakrishna Bajaj, Mr. Arvind Mafatlal and Mr. F. T. Khorakiwala, inspired by Mahatma Gandhi’s message came together and formulated a Code of Conduct for Businessmen. Out of this desire to build bridges of understanding between manufacturers and consumer, the Fair Trade Practices Association was born and later renamed as Council for Fair Business Practices (CFBP). It represented the coming together of a section of like-minded businessmen who felt the need to safeguard consumer interests in an organized manner through a forum of Self Regulation and thereby help elevate the public image of business.

Today this organization is the only of its kind in India and has as its member in some of the Country’s leading business houses and Trade Associations. Since its inception the Council has been propagating the code of Fair Business Practices which codifies the norms of business activities that ensure justice and a fair deal to the consumer.

CFBP was set up because doubts arise sometimes in the mind of the consumer about the business community due to some elements whose dealing with the consumer has not been devoid of unfair trade practices. There is a great need for better communication, understanding and rapport between the Consumer and Business. CFBP tries to bridge this gap. It insists on not only prescribing the code, but exhorts its members to steadfastly follow the code of fair business practices.

Though the council is a body of Businessmen, its main objective is to protect the consumer’s interest. The council has remained committed to the philosophy of self – regulation and has brought about awareness that the consumer’s right must be safeguarded and protected which will ultimately promote better business. The image of the business community needs to be improved to gain greater goodwill with the consumer. A satisfied consumer is the best insurance for a businessman. A customer would prefer to deal with a member of CFBP rather than with someone outside the discipline of CFBP

 

 

CENTRAL CONSUMER PROTECTION COUNCILS

 

Central Consumer Protection Councils

1.      The central council consists of:

·         The chairperson who is the minister in charge of the consumers’ affairs in the central Government.

·         Other official & non-official members representing such interest.

2.      They meet as and when necessary. At least one meeting has to be held every year.

3.      The chairperson decides where the meeting could be held.

4.      The objective of the central council is to promote & protect the consumers.

·         To stop marketing of goods hazardous to like property.

·         To be informed about the quality, quantity, potency, purity, standard & price of goods.

·         The right to be assured and have access to a variety of goods at competitive prices.

·         The right to be heard & be assured that consumers interest will receive due consideration.

·         The right to seek redressal against unfair trade practices or exploitation.

·         The right to consumer education.

The State Consumer Protection Council

Same as Central Consumer Protection Disputes redressal, agencies also known as District forums are set up by the state government.

Consumer Forum – Consumer Disputes redressal agencies also known as District forums are set up by the state government in each district. There may be more than one area district council in a district if the government thinks it is necessary. The central government can set up national consumer redressal commission.

Each District forum consists of:

1.      The president will be a person who has the qualifications to be a district judge.

2.      Two other members are persons of ability, integrity and standing with adequate knowledge or experience or capacity to deal with problem relating to economics, low, consumer accountancy industry, public affairs’ administration, one will be a woman member.

3.      Every appointment will be made by the state government on the recommendation of a select committee consulting of –

a)      President of the state commission

b)      Secretary, Law department of the state

c)      Secretary in-charge of the department dealing with consumers affairs

Every member will hold office for a test of five years or up to the age of 65 years. They cannot be reappointed. The salary or honorarium, other terms & conditions as may be prescreened by the state government.

They can entertain complaints where the value does not exceed Rs. 5 lakhs. The complaint will be within the local limits with the opposite party resides or carries on business with the permission of the district forum.

The commission has the power to award compensation not only for loss or damage but also for injustice, harassment & agony suffered by consumers. A complaint has to be filed by:

ü  The consumer to whom such goods are sold.

ü  Any recognized consumer association even if the consumer is not a member of the said association.

ü  Group of consumers.

ü  Central or state government.

Procedure on the receipt of complaint

·         A copy of complaint is sent to the opposite party asking him to give his version of the case within 30 days.

·         The opposition can proceed to settle the consumers’ dispute in a manner specified.

·         If a test or analysis of the product is to be made, the sample is taken from the consumers, & sent for the necessary lest. The reports of these tests are then sent to the district forum within 55 days. An extended period may be granted if necessary.

·         The complainant has to deposit such fees as may be specified to the laboratory to carry out the analysis. The report will be given to the district forum who will send it to the opposite party with appropriate remarks.

·         If the opposite party objects to the method of testing or the correctness of the finding, the opponent has to submit in writing the objection.

 

 

 

CONSUMER GUIDANCE SOCIETY OF INDIA (CGSI)

                     Consumer Guidance Society of India (CGSI)

The Consumer Guidance Society of India (CGSI) was formed to fight consumer exploitation of all forms. The consumers have often been given substandard products & services, adulterated foods, short weights & measures, spurious drugs, exorbitant prices & many other outrageous crimes.

The CGSI has many achievements:

1.      It is the earliest consumers’ organization founded in 1966.

2.      CGSI was the first to demand a Consumer Protection Act.

3.      70% of the complaints have been redressed.

4.      CGSI established a formal Product Testing in India in 1977.

5.      “Keemat” was the first magazine published by CGSI imparting important information to consumer.

6.      CGSI promotes consumer education, undertakes training project in rural areas & represents consumer interests with government & other bodies.

7.      CGSI received the National Award for Consumer Protection in 1991.

8.      CGSI is the only Indian consumer organization to be council member of consumer International for 25 years.

9.      CGSI is a member of the Master State Consumer Protection Council.

10.  CGSI participates in large number of technical Committees & government decision making bodies.

In 1975 CGSI pressed for a Consumer Protection Act & Consumer Court. The CGSI deals with consumer complaints & gives guidance to those who wish to go to the consumer court. The CGSI also brings both parties together to resolve issues. It has covered many issues relating to medical malpractice & negligence, insurance non-payment, substandard drugs, defective household appliances, etc.

Due to the efforts of CGSI, ISI certification for pressure stove became mandatory. CGSI has managed to have consumer education introduced in schools at the 9^th standard & being covered progressively from 4^th standard. The subjects taught are Consumer Movement, Right & Responsibilities of Consumers Food Adulteration, Weights & Measures, the Environment, etc.

CGSI have standard a rural project in villages in Thana & Raigad districts in 1997. CGSI launched the Pedestrian wing in June 1999. The activities include regular & continuous interaction with Traffic Police, Transport Commissioner & RTO at all levels for redressal of grievances of pedestrians & improvement in facilities. The pedestrian wing works closely with likeminded NGO’s & other is in contact with the Pedestrian Association of UK.

CGSI was the first consumer organization to demand special consumer guidance for redressal of consumer complaints. The delegation of five consumer organization from different parts of India pressed for a comprehensive Consumer Protection Act, Special consumer court & directorate of the Act.

CGSI handles consumer complaints & offers legal advice. If there are a number of complaints against a particular party both are brought together to resolve the issue.

The CGSI complaints committee meets twice a week 70% success in forward complaints were medical surgical malpractice & negligence, insurance, non-payment, sub-standard drugs, medicines, home remedies, defective household appliances, poor quality, food & drink, misleading advertising claims, etc.

CGSI education committee has been working to introduce consumer education in school. The Maharashtra Education board has now introduced consume education at the 9^th standard. They are taught consumer movement, food adulteration, weights & measure, environment, etc.

CGSI have also started rural projects. CGSI is the first NGO to start a forum for the pedestrian.

How to complain:

·         Be sure the complaint is sound.

·         Present it politely.

·         Preserve cash memos & warranty card.

·         First approach the retailer. He may have a valid explanation.

·         If he is unresponsive write to the manufacturer quoting No & date of warranty card.

·         Retain all originals keep copies of your letter.

·         In case of suspected food & drug adulteration write to the State health authorities retain samples where possible.

·         If CGSI products perform pearly write to the respective agencies.

·         If there is no response write to the consumer guidance society of India.

AGMARK

AGMARK

The sale of produce in a primary market takes place on the basis of the visual inspection of the goods, and in the secondary and terminal markets on the inspection of the samples. The buyer and the seller decide upon the terms either orally or through written contracts. The contract terms specify the quality and quantity of the produce, the time and place of delivery, the price and terms of payment, handling and incidental charges, the procedure for settlement of disputes and penalties. The terms of contract were not standardized and thus varied for every individual transaction, and were more favorable to the buyer.

With a view to improving trade practices, All India standard contract terms have been drawn up for a number of commodities. In standard contract terms the definition of quality and allowances in respect of refraction, damaged goods have been specifically standardized. These standard contract terms by traders is voluntary they have to large extent strengthened the position of the producer-seller and have improved the quality of the product marketed.

Standardization and Grading

In order to gain the confidence and establish a rational relationship between the quality of a produce and its price, it is necessary to devote some attention to the proper preparation, sitting and sorting of a material. This is achieved by grading the produce in conformity with certain accepted quality standards via shape, size, form, weight and other physical and technical characteristics. The produce brought to the market is very often contaminated with dust, stones and other foreign matter added either deliberately or by accident. Such a produce brings a lower price to the farmers. Care should be exercised while assembling the produce of different farms so that the good material is not mixed the inferior material brought in by some farmers.

The Government of India had recognized the need to introduce the standardization of agricultural produce. The act empowers the central government to prescribe grade standards indicating the quality of articles included in the schedule and specify grade designation marks to represent particular grades or qualities. The act provides for the grading and marketing of agricultural produce. The grade standards prescribed under this act are based on both physical and chemical characteristics and are formulated after analyzing representative samples of each commodity collected from different regions and different seasons. Besides the international standards and special requirements of overseas consumers are also taken into account while formulating these standards for the commodities which are exported. The grade standards are reviewed and amended from time to time in the light of the shift of the pattern of production and trade and changes in the consumers’ preferences. The grades are designated as the “AGMARK” grades.

 

Grading at Farmer’s Level

The grading of agricultural commodities under “AGMARK” has been consumer oriented. Generally the grading was done at the level of the traders. At this stage the producer was not a direct beneficiary of the grading scheme. It was felt the need to introduce grading at the produces level. Thus the directorate of marketing and inspection introduced a scheme for setting up commercial grading units.

Grading a fruits and vegetable products

With a view to exercising quality control over fruits and vegetables the government promulgated the fruits product order under the essential commodities Act. The preservatives and colors to be used are also clearly laid down.

ADVERTISING AND ETHICAL ISSUES

Ethical Issues

Advertising is a dynamic social form where business interests, creativity, consumer needs and government regulations meet. The high visibility of advertising makes it particularly vulnerable to criticism. E.g.: Benetton is both a vehicle to sell clothing as well as a platform to express opinions on social issues. As a consequence of these mixed perspectives, it has had to pay a heavy price – number of stores dropped as well as lost out in 1991.

Another aspect is that people feel that advertising plays the role of the “Hidden Persuader” and that consumers are its victims as they are manipulated to buy products they neither need nor can afford.

Also findings indicate that while ad executives are fed up with bad ads produced by their trade, consumers do not care much one way or the other because of the overdrive of advertising products.

However, it is worthwhile to be aware of the social issues facing advertising, as social responsibility requires a balance between public welfare and freedom of speech.

Ethical Criteria

In spite of regulation, every issue is not covered by a clear, written rule. Many issues are left to the discretion of the advertiser and these decisions may be based on a variety of considerations – objective of ad campaign, attitudes of target audience and the legal precedent. Many decisions are also based on ethical concerns.

Issues central to an ethical discussion on advertising are:

·         Advocacy

·         Accuracy

·         Acquisitiveness

Advocacy

By its very nature, advertising tries to persuade the audience that they need new products and to buy it, since it persuades it is not objective or neutral. This fact disturbs critics who think ads should be objective, informative and neutral. They want ads to provide info and then stop there.

Accuracy

Beyond the easily ascertainable claims in an ad message are matters of perception. Will buying the automobile make an envy of my neighbor? Will wearing a perfume make me more attractive? Such messages may be implied by the situations pictured in the ads. In spite of being aware that these messages will not essentially change our lifestyle, ad critics raise concern when these messages are directed to particular groups with limited experience such as children and teenagers.

Acquisitiveness

Some critics believe that advertising is a symbol of our society’s preoccupation with accumulation of material goods. We are constantly exposed to gods that are bigger, better, changing, newer, etc. and into thinking that we must have these products.

·         We do have free choice of what we buy

·         Advertising offers choice and incentives

·         Advertising informs consumers about goods and services they demand

·         Ultimately, consumers make the final decision

The Problem of being Ethical

Advertising can seek help in making decisions about questionable situations with the help of code of ethic that help provide general guidance. When advertising decisions are not covered by a code, rule or regulation, someone must make an ethical decision. This person must weigh the pros and cons and make value judgment about an unfamiliar situation. These decisions are complex because there exists no clear consensus about what is ethical behavior.

The complexity of ethical issues requires us to make conscious effort to deal with each situation. After all it is people who create the ethical atmosphere of an organization.

ü  Who should and should not be advertised to?

ü  What should and should not be advertised?

ü  What should and should not be the content of the advertising message?

ü  What should and should not be the symbolic tone of the advertising message?

ü  What should and should not be the relationship between advertising and the mass media?

ü  What should and should not be advertising conscious obligation to society?

Therefore:

·         There is no clear consensus on what defines ethical behavior.

·         There is potential conflict between personal ethics and what might be good for business.

·         Just because it is legal doesn’t mean that it’s right.

Related Factors in Ethical Decision Making

·         Nature of the company

·         Marketing objectives

·         Reputation of the company

·         Available resources

·         Competition

Puffery

It literally means ‘puffing’ up a product or exaggerating its qualities. Since this does not fall under the legal purview, it has become an ethical issue.

 

Rules of Advertising

1.       Advertising should be designed as to conform not only to the laws but not also to the moral and aesthetic sentiments of the country in which it is published.

2.       No advertisement likely to bring advertising into contempt or disrepute should be permitted. Advertising should not take advantage of the superstition or credulity of the general public.

3.       Advertising should tell the truth and avoid distorting facts and misleading by means of implication and omissions. For instance it should not mislead the consumer by false statements as to:

·         The character of the merchandise – i.e.: its utility, material, ingredients, origin.

·         The price of the merchandise or its value, its suitable or the terms of the purchase.

·         The service, accompanying purchase, including delivery exchange, return, repair, upkeep.

·         Personal recommendations of the article or service. Testimonials which are fictitious or the originals of which cannot be produced must not be used. Anyone using testimonials in advertisements is as responsible for the statements made in them as he would be if he had made them himself.

·         The equality of the value of competing goods or the trustworthiness of statements made by others.

4.       No advertisement should be permitted to contain any claim so exaggerated as to lead inevitably to disappoint in the mind of the consumer. Special care is called for in the case of:

·         Advertisement addressed to those suffering from illness.

·         No such advertisements should hold out the promise of cure for serious disease nor contain any statement calculated to injure the health of the sufferer by dissuading him or her from seeking a medical advice or otherwise.

·         Advertisements inviting the public to invest money should not contain statements which may mislead the public in respect of the security offered, rates of return or terms of amortization.

·         Advertisements inviting the public to take part in lotteries or competitions with prize or which hold out the prospect of gifts.

Such advertisements should state clearly all the conditions for the lottery or competition or the conditions for the distribution of the gifts.

Virtually every product is puffed up. Terms like “The Best” or “The Greatest” were sales talk. Everyone knows that “Wonder Bread” is not really a wonder, and “The Greatest show on Earth” is not what everyone considers the greatest. Puffery, therefore, was a form of opinion statement and not regulated. Some observers have expressed concern that the “Puffery defense” was a loophole through which many deceptive claims fell. The commission has been criticized for allowing deceptive claims to clip through under the guise of puffery.

Puffery can be defined as:

1.       Reasonable people do not believe to be true product qualities and

2.       Incapable of being proved either true or false

Consequently, if deception is the creation of a false belief about the product in the mind of a consumer, claims that fall into the definition of puffery cannot be deceptive. By definition such claims can be neither false nor can they create belief.

Puffery has generally viewed as a form of poetic license. Consumers are aware of the exaggeration and do not believe it. Some argue that puffery has a detrimental effect on consumers’ purchase decisions and that should be illegal.

Taste in Advertising

We all have our own ideas as to what constitutes good taste. Hence different things offend different people. What is in good taste to some is objectionable to another. E.g.: Calvin Klein jeans which showed a young man rubbing his crotch with a soaking wet pair. Though the 16-24 age groups found this ad exciting, the older consumers were dismayed.

One dimension of taste is the product itself. E.g.: underwear, laxatives, hygiene, AIDS, etc. have higher levels of distaste then do other ads. Also the fast that TV can bring this into out rooms and talk about it embarrasses many.

Another dimension is the matching of certain ads with the program of media. E.g.: ads targeted to adults on Cartoon Network, etc.

A third dimension is that taste changes over time. What is offensive today may not be considered so in the future. E.g.: a deodorant ad in 1919 that led to cancellation of subscription would be considered pretty tame by today’s standards.

Stereotyping

Advertising is often accused of creating and perpetuating stereotypes through its portrayal of women, ethnic minorities, elderly and other groups.

The portrayal of women in advertising is an issue that has received a great deal of attention through the years. Women are often depicted as preoccupied with household duties, motherhood, or they are shown as decorative objects are sexually provocative figures.

Advertising shows a consistent picture of gender stereotyping. Women are shown as passive, lack of intelligence and credibility. In contrast men have been portrayed as constructive, powerful, autonomous and achieving. Even stereotyping exists in ads target to children. Boys are usually shown as more knowledgeable, active and aggressive than girls. Non-verbal behavior involving dominance and control are associated more with boys than girls.

While sexism and stereotyping still exist, advertising’s portrayal of women is improving in many ways. Women are portrayed more realistically. Women have crossed the boundary from the domestic sphere to the professional arena. Many advertisers are now depicting women in a diversity of roles that reflect their changing place in society. In many ads, the stereotypic character traits attributed to women have shifted from weak and dependent to strong and autonomous.

Some advertisers have been criticized for portraying senior citizens as feeble, foolish, inept or in desperate need of help.

ADVERTISING AND WOMEN IN INDIA - ETHICAL ISSUES

Women in India

The role of women in our society has changed in the last few decades. The traditional role of women cannot be accepted now. Women are playing a diversified role on the socio-economic context in our society. Women are emerging as a powerful influence group.

Women are shown as objects of sexuality. The idea of the male gaze becomes the universal advertising strategy. Since men are the main purchasing power of India today the image of a sanctity lad woman will make them buy anything.

1.      Women are being portrayed as sex objects. Women were shown as the weaker sex always by her man’s side. Not only are women being used as sex objects they are being used in relation to negative products as alcohol & drugs.

2.      Ads show that women’s place is in the home, women are dependent on men, and women do not make independent and important decisions. The household image of women is truly exploitive showing woman as an unattractive housewife who slaves for her family without any ambition is enslaving.

The “Axe” ad shows a man in an elevator applying Axe body spray as he leaves the elevator. A less attractive man enters the elevator along with a beautiful woman. With the smell of the body spray still lingering it becomes a very powerful aphrodisiac and the woman becomes aroused. The next scene shows them coming out of the lift insinuating some kind of sexual experience. The ad implies that a body spray can make the sexual availability of women easy.

Then came the category of women at work but even these were in romantic settings. These ads conversed that working women receive more masculine attention and have a better time. Ads showed how to become more appealing to men to gain popularity and who to become more sexually active, all to sell a product. The idea of the male gaze becomes significant.

The upper middle or middle Hindu patriarchal morality is seen as normal. Any deviation from this is frowned upon. Some critics say that men say they are redefining women’s liberty and modernity but end up highlighting & reinforcing the prejudices of upper caste males.

The upper caste or class Hinduism is repeatedly represented as “The only good” and powerful way of living in order to be a decent and patriotic Indian citizen.

Woman in earlier ads was docile with an expression of down turned face fully dad in sari with big vermillion and flowers or a vamp in short indecent attire with a sensuous gaze, a pouting smile without vermillion and flowers.

The modern woman is now shown without vermillion affirming her sensuality, no longer wearing a sari. But her societal status has not changed in any drastic way as her roles are defined even now by men. Washing machine microwave ovens liberate Indian women by moulding them into perfect homemakers. (e.g.: you and Videocon – the perfect homemaker).

Portrayal of women in media has changed in some ways and not in others. The old stereotypes (housewife, girlfriend, sex object, decorative object) are still with is modified and diluted.

The emerging new stereotypes are due to changes in the social, economic, political, scenario, trends in liberalization / globalization and the rise of consumerism can be seen as the emerging new Indian women the beauty queens, models, VJ & women’s entrepreneurs.

Besides these there are a great number of serial which stress on women in roles of the perfect housewife dominated by her husband and a vamp. These shows portray old time values & morals trying to bring back the trend of the male dominated society.