Advert Sing Agency

 

INSTITUTE OF PROFESSIONAL EDUCATION AND RESEARCH

 

BUSINESS ESTABLISMENT ASSIGNMENT ON

 

SPLASH ADVERTISING AGENCY PRIVATE LIMITED

SUBMITTED TO: Prof Vaibhav Lowlekar

SUBMITTED BY: Gagan Singh Jitendra Agarwal Mamta bhojwani Piyush chunarkar  Shoaib quershi

 

INTRODUCTION OF THE INDUSTRY

Advertising,, generally speaking, is the promotion of goods, services, companies Advertising and ideas, usually performed by an identified sponsor. Marketers see advertising as part of an overall overall promot promotiona ionall strategy strategy.. Other Other compon components ents of the promotio promotional nal mix include publicity, public relations, personal selling, and sales promotion. Adver Ad vertis tising ing involv involves es the the proce process ss where where in a massa massage ge is desig designe ned d so as to promote a product, a thought, an idea or even a service. The concept of advertising has assumed assume d a dynamic form with the use of the various mediums of communication. From the newspaper, magazines, posters, neon and fluorescent fluorescent signboards, billboards to the commercial commerc ial on TV, laser shows to inflated high-rise figures and objects, advertis advertising ing has come a long way. The work is formidable as it spearheads a process intended to attract, modify, change and influences public opinion. From the local business to multinational firm and all need to advertise. While politici poli ticians ans,, social social organiz organizatio ations, ns, governm government ent special special groups groups need need to adverti advertise se their  their  mott mo tto, o, nati nation onal al airl airlin ines es,, auto auto mobi mobile le manu manufa fact ctur ures es,, food food and and cons consum umer er good goods s manufacturers have to reach the consumer. Specialist products and services are often advert adv ertis ised ed throu through gh trade trade maga magazin zines es and ex exhib hibiti itions ons.. Late Lately ly mailmail-sh shots ots,, handb handbill ill circula circ ulation tion,, special special offers have become become very popular. popular. There There are still still othe otherr ways of  advertising. advertis ing. There are window displays, display on telephone telephone directories, transit sign on buses, lamp posters, banners, etc. Advertising through the electronic media has been perhaps the most popular medium. Advertis Adve rtising, ing, as an effectiv effective e medium, medium, uses a variety variety of techniqu techniques es to create create effective advertisements. A basic appeal is at the heart of advertising. Slogans and product characters are created to catch the attention of the viewers. Most winning advertis adve rtisemen ements ts would would encompa encompass ss factual factual informa information tion with emotiona emotionall appeal. appeal. The advertising industry has three major sectors. sectors. •

Business or organization which wishes to advertise,

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Media which provides the medium for advertising and

 

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Ad-agency which creates the ad to suit the need of the firm.

Advertising agencies are primarily responsible for two for  two functions. functions. The first is the production of advertising materials in the form of written copy, art, graphics, audio, and video. The second is the strategic placement of the finished creative product in various media outlets, such as periodicals, newspapers, radio, and television.

NATURE OF THE INDUSTRY Firm Firms s in the the adve advert rtis isin ing g and and publ public ic rela relati tion ons s serv servic ices es indu indust stry ry prep prepar are e advert adv ertis isem ement ents s for other other compa companie nies s and and organ organiza izati tions ons and desig design n campa campaign igns s to promote the interests and image of their clients. This industry also includes media representatives—f represen tatives—firms irms that sell advertising space for publications, publications, radio, television, television, and the Internet; display advertisers—businesses engaged in creating and designing public display ads for use in shopping malls, on billboards, or in similar media; and direct mail advertis adve rtisers. ers. A firm that purchase purchases s adverti advertising sing time (or space) space) from media outlets outlets,, there th ereaf after ter resell reselling ing it to adver advertis tising ing agenc agencies ies or indivi individu dual al compa companie nies s direct directly, ly, is considered a media buying agency. Divisions of companies that produce and place their  own advertising are not considered part of this industry. Most advertising firms specialize in a particular market niche. Some companies produce and solicit outdoor advertising, such as billboards and electric displays. Others place ads in buses, subways, taxis, airports, and bus terminals. A small number of firms produce aerial advertising, while others distribute circulars, handbills, and free samples. Groups Grou ps within within agencie agencies s have have been been created created to serve serve their their clients’ clients’ electronic electronic advertising needs on the Internet. Online advertisements link users to a company’s or  product’s Web site, where information such as new product announcements, contests, and product catalogs appears, and from which purchases may be made. Some firms are not involved in the creation of ads at all; instead, they sell advertising time or space on radio and television stations or in publications. Because these firms do not produce advertising, their staffs are mostly sales workers.

 

In an effort effort to attra attract ct and and maint maintain ain clien clients, ts, advert advertisi ising ng and public public relati relation ons s services agencies are diversifying their services, offering advertising as well as public relation rela tions, s, sales, sales, marketin marketing, g, and interact interactive ive media media service services. s. Adv Adverti ertising sing and public public relations service firms have found that highly creative work is particularly suitable for  their services, resulting in a better product and increasing their clients' profitability.

 

INTRODUCTION TO OUR BUSINESS

 

SPLASH ADVERISING PVT. LIMITED

Your dreams…our dreams…our ideas

Splash advertising private limited is a advertising firm started and set up by 5 partners namely as: Gagan Singh Jitendra Agarwal

 

Mamta Bhojwani Piyush Chunarkar  Shoaib Quershi It is situated in capital of Madhya Pradesh i.e. Bhopal. It is situated in Sahara complex 16-2nd floor Zone-2 Maharana Pratap Nagar. This is all about our advertising company which focuses on different forms of advertisements. We have a strong tag line of   YOUR DREAMS…OUR IDEAS

OUR VISION STATEMENT

“To claim as the best marketing firm in Bhopal, dedicated to serve our  client cli ents s wit with h creat creative ive sol soluti utions ons and inn innova ovativ tive e ideas ideas thr throu ough gh intensi intensity, ty, integrity and intelligence”   MISSION STATEMENT

Our mission is:

….To be Bhopal’s leading marketing firm which provides creative solutions coupled with innovative ideas to the clients. ….To be associated with our clients as their ‘marketing partner’ by helping them achieve their marketing objectives. ….To ob ….To obtai tain n and su susta stain in distin distinct ct compe competen tence ce th throu rough gh ef effic ficacy acy of our  our  customer service and enthusiasm towards our vision.

 

….To be recognized as the firm which inspires creativity, sparks innovation and encourages talent. ….To promote rewarding, encouraging, motivating environment in which we can accomplish our mission.

 

POSITIONING

“To give your vision a route to success with creative solutions and innovative ideas in a cost effective manner”

 

OBJECTIVES

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As no company can survive without financial resources and without enjoying any profit, so we too seek to enjoy a handsome profit out of  our services. To be known to our clients as a firm providing cost effective yet innovative marketing solutions.

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To appear as a market challenger with creative solutions and innovative ideas. To maintain friendly relations with our clients by satisfying them with effective marketing solutions. To reach our clients through effective promotions.

 

SWOT Analysis Strengths • • • • • •

Cost effectiveness Creative staff  Public relations Skilled and efficient labors Location and availability Innovators

Weaknesses • • • •

Capital constraints New entrant Limited resources Less client holdings

Opportunities • • • • •

Marketing boom Flourishing industry New Brands emerging in the market Businesses realizing marketing needs for their products/services Customers becoming more educated and conscious about what they consume.

Threats • •

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Intense competition Multiple market leaders like Atul advertisers etc Government rules & regulations Political instability Natural calamities Religious rigidity

 

SECTORS SERVED BY SPLASH

 

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Print Media: In this prin printt medi media a form our firm would basical basically ly work with the the basis of tie up with daily local newspapers leader of our  city cit y tha thatt are are Dai Daink nk bhask bhaskar, ar, raj exp expres ress, s, Hin Hindus dusta tan n tim times, es, patrik patrika, a, peoples smachar and all leading daily print forms. For this form we also have got a license from Indian newspaper society for worth rupees three lakhs which will serve as our guarantee part and help us also in publishing publishing any advertis advertisement ement through th the e country without without any form of guarantee. Release order are issued by us for the publication of any advertisement. We will work on the basis of 15% commission from the vendor for any particular ad. A credit limit of 60 days will also be provided to us by the vendors.

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Television Media: for this form of advertisement we have full tie up with the local channels like Btv network and digicom network. All the

advertisement provided by us will be on the basis of commission basis. For designing of ads we have tie up with o&m. 

Radio: The radio jingle will be a total in source work and specifically designed by our creative team according to the needs of the client. The Th e pr pric ice e qu quot oted ed by us for for this this radi radio o jing jingle le are are as 55rs 55rs fo forr a 30 second jingle.

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Events & Exhibitions: events and exhibitions will be also provided by us these all areas will be out sourced by us and commission will be enjoyed. As our city is not more into all such things so we are not much focused towards it. Large investment is also required which has tend to shift our focus from it.

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Printing: the printing facilities will be provided by us to our clients on a whole at a much lower price. The whole printing process will be outsourced by us to our vendors with whom we may have tie ups and enjoy the commission. Printing may include flex printing, ecosolvent pr prin inti ting ng (c (cos osti ting ng arou around nd 35 35-4 -40 0 rs rs/s /sq. q.), ), cano canopy py,, st stai aidl dly, y, sunp sunpac ack k (squa (sq uare re pol pole e dis displa play y boa boards rds), ), glo glow w sign sign board board (at (at aro aroun und d 35 35-45 -45 rs/sq.). rs/sq .). These These all tyes of abov above e ment mentione ioned d printing printing facilities facilities will be

 

provided by us. For this printing purpose our firm has a tie up with yash digital printing press in mp nagar. 

Hoarding: these basically includes the display sign boards situates at various corner of our city. We will basically go for the lease of these hoarding and then provide them for the rent purpose. The rent would be decided on the basis of localilty purpose. The hoardings basically are also of two types gove govern rnmen mentt and priv private ate.. Those Those on land land are government and those on the roof tops are private. We have lease of  8 ho hoar ardi ding ngs s that that too too priv privat ate e in the the po posh sh loca locali lite tes. s. Th The e hoar hoardi ding ng di disp spla laye yed d are are of tw two o ty type pes s fi firs rstl tly y plai plain n (6-8 (6-8 rs rs.. Per Per fe feet et sq sq.) .) an and d secondly mutho-shining/corporate (10-12 rs.per feet sq.). the rate of  the hoarding wholly depends upon the location rate. Depending upon the loc locati ation on rat rates es may var vary y from from 50 5000 00 rs-50 rs-5000 000rs 0rs of 20* 20*10 10 siz size. e. Service taxes@10% are also extra liable.

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Designing: the whole designing process will be in the hands of our  creation team. This will be totally in sourced task that will help us in providing an extra edge with our creation and innovation process. For  thes th ese e de desi sign gnin ing g proc proces ess s we ha have ve a desi design gnin ing g te team am he head aded ed by creative head namely Mr.Jitendra Agarwal.

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ATL/Creati ATL/Cr eative: ve: Abo Above ve the lin line e  As ATL involv involves es creati creativit vity y and and designing so we provide fol following lowing kind of solutions fo forr above the line line marketing. For this format we provide with

Flyer  A single page leaflet with graphical designs to reach your brand audience Signboard This includes all the creative form of advertising .

  BTL/Outdoor 

 

Outdoor advertising has always been good medium to convey brand messages to the mass audience. Through outdoor advertising you can reach your brand audience more than any of the medium of advertising, in outdoor advertising we offer;

Billboards No matter if TV channels are changed and radio turned off our outdoor  billboards are here to deliver your brand message and captivating the attention of your brand audience while carrying your campaign. We ensure that your message reaches over three million people per month. •

The billboards are further divided into two main categories ○ ○

Permanent billboards Rotary billboards

In permanent billboard, we offer permanent location of billboard with permanent structure, and in rotary billboards we penetrate different market with same displays. This a very important medium covered by splash advertising also as it helps in good form of advertising.

 

 

 

FUNCTIO FUNC TIONS NS OF SPL SPLASH ASH

ORGANISATIONAL PEOPLE & POSITIONS

 

Gagan Singh - MD & MARKETING INCHARGE Team of 6 people under him

Jitendra Agarwal – MD & CREATIVE HEAD DESIGNER Team of 4 junior designers and 1 copy writer under him

Mamta Bojwani – MD & PUBLIC RELATIONS INCHARGE Team of 3 headed by her 

Piyush Cunarkar – MD & FINANCE HEAD Team of two headed by him

Shoaib Quershi – MD & MANAGEMENT INCHARGE Team of two headed by him

 

 

ORGANISATIONAL HIERACHY/BUSINESS MODEL

M ar ket R e s ear earcc

C reat reatiive D ep ar artt  

ORGANISATIONAL SET UP AND EXPENDITURE

 

All the 5 partners of Splash advertising agen agency cy invested five lakh rupees in an equal proposition towardz the business. That resulted to an amount of  25 lakhs with the finance team. The major sources of expenditure were as follows: OFFICE- The finance department leased out a office in with an area of  1500 square feet at an lease price of 8 lakh rupees for the period of three years. INTERIOR- To make the firm attractive a major share of the pie was contributed towards the interior department. The strong dominance of  interior facilities were noticed with whole centrally air conditioned cabins and full office. This all resulted to a price of seven lakh rupees. Complete form of interior work was done in this amount including every services. TECHNOLOGY- All the work done by the workers are through

technological devices such as computers, printers, scanners. So the management decided to spend on all this heavily and go out for the best technology. The major software subscribed were coral and Photoshop. 10 systems along with other technological devices were arranged by the management for the set up. All this resulted for a price of five lakh rupees. LICENCE- A license cum registration was obtained from Indian newspaper  society worth rupees three lakh rupees. PROMOTIONAL ACTIVITIES- A little bit of promotional activities was done  just to create awareness that to at a reduced price. This costed the

management around fifty thousand rupees. MISCLEENAOUS EXPENDITURES- these are those expenditure which occur commonly. They amounted to around fifty thousand rupess. AUTO/TEMPO - One lakh rupess

 

COST ALLOCATION:

 

FIXED COST:

Lease, interior cost, license cost. Technology

VARIABLE COST: In our business the variable cost only results to the electricity expenditures, expenditures, telephone allowances, phone bills. All the bills are included into variable cost part as it is more of intellectual kind of work where human brain is more required for innovation. Salary of staff is also a part of it. Promotion also.

  EXPECTED SALES FOR THE FIRST YEAR

Projects bagged from: Vodafone, Tata Docomo, Kabuliwala, Fastrack, B.J.P Yuva Morcha, Triplex Drycleaners,, D.K Construction Drycleaners Construction,, HDFC Mutual Funds, Vishal planet fitness, Danish Housing Society, Amer Greens which has resulted to our estimate sales of around 27.70 lakhs which has provided or generated us with an healthy revenue of around 11.48 lakhs.

 

BREAK-EVEN POINT

To determine the break-even point, we should use the following formula: Sales (S) equals Fixed Expenses (FE) plus Variable Expenses (VE). The fixed cost of business is around 24 lakhs and the variable cost is around one lakh rupess and in the first year splash is to do an business of 11.48 lakhs, which is quite healty return as owener view. So the situation where there is no profit no loss will arise after the time period of two years and 4 months when we will achieve our break even point.