CHAPTER11.1-IntroductionAdvertisinginbusiness is a form ofmarketingcommunicationused to encourage, persuade, or manipulate anaudience(viewers, readers or listeners; sometimes a specific group) to take or continue to take some action. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common. This type of work belongs to a category calledaffective labor.In Latin, ad vertere means "to turn toward". The purpose of advertising may also be to reassure employees or shareholders that a company is viable or successful. Advertising messages are usually paid for bysponsorsand viewed via variousold media; including mass media such as newspaper, magazines, television advertisement, radio advertisement,outdoor advertisingordirect mail; ornew media such as blogs, websites or text messages.Commercial advertisers often seek to generate increasedconsumptionof theirproductsorservicesthrough "branding", which involves associating a product name or image with certain qualities in the minds of consumers.Non-commercialadvertisers who spend money to advertise items other than a consumer product or service include political parties, interest groups, religious organizations and governmental agencies. Nonprofit organizations may rely on free modes ofpersuasion, such as apublic service announcement(PSA).Modern advertising was created with the innovative techniques introduced withtobacco advertisingin the 1920s, most significantly with the campaigns ofEdward Bernays, which is often considered the founder of modern,Madison Avenueadvertising.In 2010, spending on advertising was estimated at $143 billion in the United States and $467 billion worldwide

1.2-Objectives of the study To study the history and origin of Advertising To study the Importance of Advertising in the business world To learn about the origin, History of Pizza Hut and its various partners To study the Advertising strategies of Pizza Hut

1.3-Significance of the studyThis Study is important because it gives us an idea why is advertising so important in today competitive business environment. It shows us that through an advertising how a company can make more customers and earn huge profits. This study also gives us an idea of the various advertising strategies used by Pizza hut which definitely help us to know how Pizza hut is making money through advertising.

1.4-Research MethodologyTo undertake research for the current study secondary information was collected from reference books, Published and unpublished Reports, Financial statement and report of Pizza Hut Company, News papers, Articles and Websites.

1.5-Literature reviewa. Manendra Mohan, attempted to study that majority of industries in today corporate world rely on advertising in order to survive the competive market. Consequently the profession of advertising has gains much importance and recognition in today society. The book gives an idea of a how to evaluate an advertising effectiveness trough pre testing and post testing methods.

b. Laura Ries, attempted to study Today's major brands are born with publicity, not advertising. A closer look at the history of the most successful modern brands shows this to be true. In fact, an astonishing number of brands, including Palm, Starbucks, the Body Shop, Wal-Mart, Red Bull and Zara have been built with virtually no advertising.

c. Meir Liraz attempted to study the different steps which helps to develop effective advertising for your business. According to Dun & Bradstreet, 90% of all business failures analyzed can be traced to poor management. This is backed up by my own experience. The number of guides, worksheets provided makes it easy to apply all knowledge to your business. It gives an idea of the following: How to develop an advertising budget\ How to decide the best advertising media for you How to evaluate your advertising results How to use signs to your advantage How to create effective campaigns

d. Bruce.C.Brown attempted to study of how to build, promote, and make money off of your Web site or brick and mortar store using the Internet, with minute. The internet allows one to promote, advertise, and market one business in a cost efficient manner so that one can spent money in other areas of business. thus there is no other marketing tool than internet at any one disposal where millions of [footnoteRef:2]people have the ability to reach out to directly to one business organization from anywhere in the universe. [2: Manendra Mohan , 2008 ,Tata MC Graw-Hill PublishersLaura Ries ,2009 ,Harper Collins PublishersMier Liraz , July 28 2014 ,Liraz PublishingBruce.Brown ,Dec 9 2011 ,Atlantic Publishing]

CHAPTER 2Conceptual Frame work Advertising- the activity or profession of producing advertisements for commercial products or services P.R-Public Relations Copy writer- writing copyfor the purpose of advertising or marketing. Thecopyis meant to persuade someone to buy a product, or influence their beliefs. Conventional approach: Brand-name , term, design that identifies one seller product distinct from those of seller products Pre-testing methods-Testing the advertisement campaigns before it runs. Post testing methods: Testing the campaigns after their are run

CHAPTER 3ADVERTISINGEgyptians usedpapyrusto make sales messages and wall posters.Commercial messagesand political campaign displays have been found in the ruins ofPompeiiand ancientArabia.Lost and foundadvertising on papyrus was common inAncient GreeceandAncient Rome. Wall or rock painting for commercial advertising is another manifestation of an ancient advertising form, which is present to this day in many parts of Asia, Africa, and South America. The tradition of wall painting can be traced back to Indianrock artpaintings that date back to 4000 BC.In ancient China, the earliest advertising known was oral, as recorded in theClassic of Poetry(11th to 7th centuries BC) of bamboo flutes played to sell candy. Advertisement usually takes in the form of calligraphic signboards and inked papers. A copper printing plate dated back to theSong dynastyused to print posters in the form of a square sheet of paper with a rabbit logo with "JinanLius Fine Needle Shop" and "We buy high quality steel rods and make fine quality needles, to be ready for use at home in no time" written above and belowis considered the world's earliest identified printed advertising medium.In Europe, as the towns and cities of theMiddle Agesbegan to grow, and the general populace was unable to read, instead of signs that read "cobbler", "miller", "tailor", or "blacksmith" would use an image associated with their trade such as a boot, a suit, a hat, a clock, a diamond, a horse shoe, a candle or even a bag of flour. Fruits and vegetables were sold in the city square from the backs of carts and wagons and their proprietors used street callers (town criers) to announce their whereabouts for the convenience of the customers.In the 18th century advertisements started to appear in weekly newspapers in England. These early print advertisements were used mainly to promote books and newspapers, which became increasingly affordable with advances in theprinting press; and medicines, which were increasingly sought after as disease ravaged Europe. However,false advertisingand so-called "quack" advertisements became a problem, which ushered in the regulation of advertising contentFunctions of advertising1. To differentiate the product from their competitorsAn important function of advertising is the identification function, that is, to identify a product and differentiate it from others; this creates an awareness of the product and provides a basis for consumers to choose the advertised product over other products this creates an awareness of the product and provides a basis for consumers to choose the advertised product over other products. The identification function of advertising includes the ability of advertising to differentiate a product so that it has its own unique identity or personality. There are four additional ways to differentiate your offering from the competition and increase your differentiation:leveraging the brand,innovating your productandpackagingin a way that creates an aesthetic beyond the functional. None of these methods are expensive. All are ways that can increase your perceived value to the customer and increase your market share.Example: Garnier frutics (shampoo) the shampoo bottle have the different color from all other shampoo available in the shelf. The bottle of the shampoo is unique from all others.Example:apple laptops make them different from others as the WHITE color and logo of APPLE on back of the screen.2. To communicate product informationAnother function of advertising is to communicate information about the product, its attributes, and its location of sale; this is the information function. Product information communicated to the customers in manner that meets their information needs. Most consumers tend to discount the information in advertising because they understand that the purpose of the advertising is to persuade. Making an advertising message believable is not easy; though often it is sufficient to make the consumer curious enough to try the product. Such curiosity is often referred to as interested disbelief. Advertisers use a variety of devices to increase the believability of their advertising: celebrities or experts who are the spokespersons for the product, user testimonials, product demonstrations, research results, and endorsements.Example: Ponds age miracle, in that ad the celebrity HADIQA KAYANI is informing the consumers about the benefits of it. That how the old women can look younger by using it continuously. It will make you fair cream plus it reduces freckles plus it can be used as a sun block as well it will make you look young.3. To urge product usedThe third function of advertising is to induce consumers to try new products and to suggest reuse of the product as well as new uses; this is the persuasion function. The basic function of advertising is to provide constant reminders and reinforcements to generate the desired behavior the advertiser wants from them. This is a particularly effective function in the long run as reminders and reinforcements register in the consumers' minds, becoming the base on which they shape their future decisions. Sampling in the way to urge the product using.Example: Fair and lovely as we know that it will make a girl look fair and prettier in 4 weeks.4. To expand the product distributionWhen the consumer comes to know about the particular product from the advertisement he/she wants to try that new product. They go to shops to buy the product; if the new product is not available in a shop then the shopkeeper consults the distributor to make that product available in his shop. It is basically to provide the product all over market. It is necessary to make sure that product should be accessible to everyone. Availability of product effect the distribution.Example: Wateen telecom and Motorola Partner to Expand Distribution of Videoconferencing Product Line in Pakistan. So as many people are getting to know about this facility they are running towards the franchises to avail it. So for that Wateen should expand their distribution all around the cities.5. To increase brand preference and loyaltyMarketing is a moving thing. As your needs are changed your preferences are changed. When the product delivers the promised quality, service and value, it creates satisfied customers who become instrumental in spreading a favorable word-of-mouth. Satisfied customers also develop brand preference; each product features and uses are written on the product.Example: 99% girls who are not married will not look at the ad of pampers or any milk powder for children but when they will get married their interest will automatically move towards such ad'Brand loyalty is a long-term customer preference for a particular product or service. Brand loyalty can be produced by factors such as customer satisfaction with the performance or price of a specific product or service, or through identifying with a brand image. It can be encouraged by advertising6. To reduce overall sales costWhen a product is selling you have to teach the people about the product. Like if we would advertise through newspapers, TV, broachers and internet, it would cater huge sum of masses and if you do individually it would be more costly and time consuming.Example:Coke targets their consumers on a very large scale through mass media whereas Makka cola advertise on smaller scale or go door to door to advertise their product.7. Creates new DemandsAdvertising have to create new demands they should educate the people about more and more new things coming up in the market. Each year new products, including line extensions and new brands are introduced into groceries and drugstores.Example:Wateen telecom is offering wireless internet chips, video conferencing and WIMAX services as they are introducing new services in market its creating new demandsAdvertising is the best way to communicate to the customers. Advertising helps informs the customers about the brands available in the market and the variety of products useful to them. Advertising is for everybody including kids, young and old. It is done using various media types, with different techniques and methods most suited.Objectives of AdvertisingFour main Objectives of advertising are: Trial Continuity Brand switch Switching back

Lets take a look on these various types of objectives.Trial:the companies which are in their introduction stage generally work for this objective. The trial objective is the one which involves convincing the customers to buy the new product introduced in the market. Here, the advertisers use flashy and attractive ads to make customers take a look on the products and purchase for trials.Continuity:this objective is concerned about keeping the existing customers to stick on to the product. The advertisers here generally keep on bringing something new in the product and the advertisement so that the existing customers keep buying their products.Brand switch:this objective is basically for those companies who want to attract the customers of the competitors. Here, the advertisers try to convince the customers to switch from the existing brand they are using to their product.Switching back:this objective is for the companies who want their previous customers back, who have switched to their competitors. The advertisers use different ways to attract the customers back like discount sale, new advertise, some reworking done on packaging, etc.Basically, advertising is a very artistic way of communicating with the customers. The main characteristics one should have to get on their objectives are great communication skills and very good convincing power.Advertising plays a very important role in todays age of competition. Advertising is one thing which has become a necessity for everybody in todays day to day life, be it the producer, the traders, or the customer. Advertising is an important part. Lets have a look on how and where is advertising important: Advertising is important for the customersJust imagine television or a newspaper or a radio channel without an advertisement! No, no one can any day imagine this. Advertising plays a very important role in customers life. Customers are the people who buy the product only after they are made aware of the products available in the market. If the product is not advertised, no customer will come to know what products are available and will not buy the product even if the product was for their benefit. One more thing is that advertising helps people find the best products for themselves, their kids, and their family. When they come to know about the range of products, they are able to compare the products and buy so that they get what they desire after spending their valuable money. Thus, advertising is important for the customers. Advertising is important for the seller and companies producing the productsYes, advertising plays very important role for the producers and the sellers of the products, becauseAdvertising helps increasing salesAdvertising helps producers or the companies to know their competitors and plan accordingly to meet up the level of competition.If any company wants to introduce or launch a new product in the market, advertising will make a ground for the product. Advertising helps making people aware of the new product so that the consumers come and try the product.Advertising helps creating goodwill for the company and gains customer loyalty after reaching a mature age.The demand for the product keeps on coming with the help of advertising and demand and supply become a never ending process. Advertising is important for the societyAdvertising helps educating people. There are some social issues also which advertising deals with like child labor, liquor consumption, girl child killing, smoking, family planning education, etc. thus, advertising plays a very important role in society.Disadvantages of advertising(1)Adds to Costs:An organization has to spend large amount on advertising. It increases the cost of the products. To meet this expenditure, price of the product is raised. No manufacturer pays for the advertising expenses out of his pocket. Advertising, therefore, leads to unnecessary rise in prices. In this reference it is said that advertising costs are passed on to the consumers in the form of high prices.(2) Undermines Social Values:Advertisement is a sort of day-dreaming for the people. These days it is taking the people away from reality and into the realm of artificiality. Through its medium people get information about new products.Only very few products are of any use for them. The brilliance of new products really gets on their nerves. They want to buy them but have no resources at their command. Consequently, they start feeling upset with their present status. Taking it as a social evil, it can be said that advertisement undermines social values.(3) Confuses the Buyers:Many a time distorted version of reality is shown in the advertising. Believing in advertising, consumers buy the product. On its use, they feel cheated.They come to realize later that the information given in the advertisement was something else whereas the actual product was quite different from it. Thus, people lose confidence in advertising because of wrong presentation. In this reference it is said that advertising confuses rather than helps.(4) Encourages Sale of Inferior Products:Every manufacturer projects his product as superior one in the advertisement. Therefore, the buyer is unable to decide as to which product is really good.Consequently, it is difficult to get good quality product even after paying a handsome price for it. If a seller gets good price for some inferior product, it becomes a habit with him. It affects other sellers also. Therefore, it is said that advertisement encourages the sale of inferior products.(5) Some Advertisement is in Bad Taste:Many times, foul language and objectionable pictures are used in advertising in order to attract a particular class. They may be insulting to a particular class. It causes decay of social values.Such kinds of advertising are generally opposed by the people as it hurts their feelings. In this reference it is said that some advertisements are in bad tastes.Types of AdvertisingPrint AdvertisingIf an advertisement is printed on paper, be it newspapers, magazines, newsletters, booklets, flyers, direct mail, or anything else that would be considered a portable printed medium, then it comes under the banner of print advertising.Guerrilla AdvertisingAlso known as ambient media, guerrilla advertising (or marketing) has become prominent over the last 20 years. It is a broadly used term for anything unconventional, and usually invites the consumer to participate or interact with the piece in some way. Location is important, as is timing. The driving forces behind guerrilla advertising or marketing areand innovation, not a large budget. Quite often, you will ask for forgiveness rather than permission with these campaigns, and they will spread via word of mouth and soBroadcast AdvertisingA mass-market form of communication including television and radio, broadcast advertising has, until recently, been the most dominant way to reach a large number of consumers.Outdoor AdvertisingAlso known as out-of-home (OOH) advertising, this is a broad term that describes any type of advertising that reaches the consumer when he or she is outside of the home.Public Service AdvertisingUnlike traditional commercials, Public Service Advertisements (PSA) are primarily designed to inform and educate rather than sell a product or service.Product Placement AdvertisingIn a nutshell, product placement is the promotion of branded goods and services within the context of a show or movie, rather than as an explicit advertisement.Cell Phone & Mobile AdvertisingA relatively new form of advertising, but one that's spreading rapidly, uses cell phones, iPads, Kindles, Nooks, and other portable electronic devices with Internet connectivity. Current trends in mobile advertising involve major use of social media such as Twitter and Facebook.Online advertising (aka digital)If you see an advertisement via the Internet (World Wide Web), then it is classified as online advertising.Evaluating the effectiveness of AdvertisingHow effective is an advertising or public relations campaign? What made it work or fail? What can you do to make the next campaign better? Capitol Research Services helps clients answer these questions with advertising effectiveness studies.The combined effect of the creative design and communication channelhelps determinecampaignsuccess. Our experienced researchers will select the best tools to evaluate bothof these factors.Creative testing is ideally conducted before the ad placement, though post launchtesting is also conducted by many companies to identify problems.Pre-testingcan beexecutedin almost every stage of the creative development, from text statements of ad concepts, story board or animation version to the complete version. The higher your production cost, the earlier you should put the idea to test. While qualitative tests are more common for pre-testing, quantitative tests are also used frequently to reach statistically valid conclusions.Post-testingexamines the actual reach and persuasion of the campaign, and is most commonly done quantitatively. Brand and ad awareness, content recall, motivation power and many other measures are used to gauge the overall effectiveness. The findings are an important component in calculating the return on communication investment.Some of the pretesting methods are:Consumer JuryConsumer reaction has greater validity than the reactions of non-consumers. Consumers can provide true information on reaction to an advertising campaign. Others may underestimate or overestimate the reactions. The copy, illustrations, filming techniques, layout, etc. can be properly evaluated by the consumers concerned with the product. The consumer jury technique is adopted for print media, broadcast media and direct mail.

Print Media:The consumers selected may be asked either to evaluate an advertisement or rate two or more advertisements. Each respondent is asked to express his preference for each advertisement. The most common method is to insert a questionnaire in the advertisement and request the readers to indicate their preferences. Copywriters test their creations on consumers. Some newspaper advertisers invite consumers their office and invite their reaction to the advertising copy or copies of magazines are sent to some consumers to find out their reactions. The reactions of consumers are evaluated and any inconsistency in advertising is removed.The major advantage is that they separate out the weak advertisements from the strong at a low cost and high speed. The actual consumers may suggest improvements and modifications. Only conscious ratings are evaluated. Reply to the questions in a very conscious manner may not give a correct impression of advertisements.

Broadcast Media:Consumers are asked to come to the television studio where they are shown different television programmes for final consideration. Sometimes, the television advertisement messages are pre-examined in different localities.

Direct mail test:The direct mail test is used through the mail. The post cards containing copy appeal, each with a reply-paid card, is sent free-of-cost to consumers, who are required to give their evaluation.

Storyboard Tests:The storyboard prepared for television advertising is tested before it is used. The storyboard pictures are transferred to a film strip and the audio section onto a tape. Vision and sound are synchronized and shown to an audience for evaluation. This test uncovers the unnecessary part. The important part of advertising is accepted for telecasting. The anteroom trailer method is used to test the commercial. The anteroom contains magazines, newspapers, distractions and television recorded programmes.

Laboratory Tests:The respondents are placed in laboratory situations and are asked to explain the measurements regarding the effectiveness of the advertisement. Laboratory conditions offer a controlled environment that excludes the variables which may invalidate the test. It is used to measure awareness, attention, desire, retention, etc. For example, the respondents are taken to a theatre, mock-up supermarkets or some other place for experimental purposes.Some of the post testing methods are as follows: Recognition Test: Recognition test involves the ability of viewers to correctly identify ad, brand, or message they previously exposed to. The types of recognition test are: Starch Test - The Starch test is applied only to print ads that have already run. The interviewer shows each respondent a magazine or newspaper containing the ads being tested. For each ad the interviewer asks the respondents to reply to ad related questions. Bruzzone Test - The Bruzzone test is conducted through mail surveys. Questionnaires containing frames and audio scripts from television commercials are sent to respondents and respondents are asked whether they recognise the ad and brand. Recall or Impact Test: The recall test is designed to measure the impression of readers or viewers of the advertisement. If a reader has a favorable impression of the advertisement, he will certainly retain something of the advertisement. The measures of interest would be obtained by interviewing the readers or viewers or listeners, days after the advertisement or commercial is appeared in the newspaper, or on T.V. Interviewer asks the readers or viewers to answer some ad related questions, and in response to the question asked, the reader reveals the accuracy and depth of his impression.Careers in AdvertisingCAREER SCOPE IN ADVERTISING INDUSTRYAdvertising world has led to the emergence of many new roles within the advertising profession. In the new edge of ad world, advertising goes beyond its conventional approach. For the non-conventional and conventional advertising approach, Industry requires well groomed people who can develop innovative and creative new idea. Flexibility and competence is must for the industry as the Ad World is highly creative as well as dynamic.Advertising careers are diverse and can run across a variety of departments, offering positions in the fields of creative departments, production, media, and research. The ultimate goal is to meet the clients goals of increasing sales as much as possible.Public relations servicesare often involved with businesses, governments, and institutions and can help them make effective decisions. Students of an advertising school may choose to pursue a career as a:Advertising MediaPlannerMedia ResearcherCopywriter/IllustratorAccount PlanningCreative DepartmentProduction ManagerDirector of AdvertisingDirector of Public RelationsPublic Relations SpecialistCHAPTER 4:Introduction to Star BucksStarbucks Corporation,doing business asStarbucks Coffee, is an American globalcoffeecompany andcoffeehouse chainbased inSeattle,Washington. Starbucks is the largestcoffeehousecompany in the world ahead of UK rivalCosta Coffee, with 21,536 stores in 64 countries and territories, including 12,218 in theUnited States, 1,716 inChina, 1,330 inCanada, 1,079 inJapanand 808 in theUnited Kingdom.Starbucks locations serve hot and cold beverages, whole-bean coffee, microground instant coffee, full-leafteas,pastries, and snacks. Most stores also sell pre-packaged food items, hot and cold sandwiches, and items such as mugs andtumblers. Starbucks Evenings locations also offer a variety ofbeers,wines, and appetizers after 4pm. Through the Starbucks Entertainment division andHear Musicbrand, the company also markets books, music, and film. Many of the company's products are seasonal or specific to the locality of the store. Starbucks-brand ice cream and coffee are also offered atgrocery stores.From Starbucks' founding in 1971 as a Seattle [coffee bean] roaster andretailer, the company has expanded rapidly. Between 1987 and 2007, Starbucks opened on average two new stores every day. Starbucks had been profitable as a local company in Seattle in the early 1980s[8]but lost money on its late 1980s expansion into the Midwest andBritish Columbia. Its fortunes did not reverse until the fiscal year of 1989-1990,when it registered a small profit of $812,000. By the time it expanded intoCaliforniain 1991 it had become trendy.The first store outside the United States or Canada opened inTokyoin 1996, and overseas stores now constitute almost one third of Starbucks' stores.The company planned to open a net of 900 new stores outside of the United States in 2009,but has announced 300 store closures in the United States since 2008.Historyhe first Starbucks opened in Seattle, Washington, on March 30, 1971, by three partners who met while they were students at theUniversity of San Francisco:English teacherJerry Baldwin, history teacherZev Siegl, and writerGordon Bowker. The three were inspired to sell high-quality coffee beans and equipment by coffee roasting entrepreneurAlfred Peetafter he taught them his style of roasting beans.]Originally the company was to be calledPequod, after awhaling shipfromMoby-Dick, but this name was rejected by some of the co-founders. The company was instead named after thechief mateon thePequod, StarbuckHowever, Bowker has a different recollection of how the company got its name. He recalls that the co-founders were desperately close to naming the company "Cargo House" until Heckler mentioned that he thought words that began with "st" were powerful ones. That led Bowker to make a list of "st" words, and somebody somehow saw the old mining town of Starbo in an old mining mapThe Starbucks store at 1912 Pike Place. This is the second location of the original Starbucks, which was at 2000 Western Avenue from 1971 to 1976.The first Starbucks cafe was located at 2000 Western Avenue from 19711976. This cafe was later moved to 1912 Pike Place Market; never to be relocated again. During this time, the company only sold roasted whole coffee beans and did not yet brew coffee to sell.The only brewed coffee served in the store werefree samples. During their first year of operation, they purchased green coffee beans fromPeet's, then began buying directly from growers. In 1984, the original owners of Starbucks, led byJerry Baldwin, purchased Peet's. During the 1980s, total sales of coffee in the US were falling, but sales ofspecialty coffeeincreased, forming 10% of the market in 1989, compared with 3% in 1983.By 1986 the company operated six stores in Seattleand had only just begun to sellespressocoffee.In 1987, the original owners sold the Starbucks chain to former employeeHoward Schultz, who rebranded his Il Giornale coffee outlets as Starbucks and quickly began to expand. In the same year, Starbucks opened its first locations outside Seattle atWaterfront Stationin Vancouver,British Columbia, Canada andChicago, Illinois, US.By 1989 46 stores existed across the Northwest andMidwestand, annually, Starbucks was roasting over 2,000,000 pounds (907,185kg) of coffee.At the time of itsinitial public offering(IPO) on the stock market in June 1992, Starbucks had grown to 140 outlets, with a revenue ofUS$73.5 million, up from US$1.3 million in 1987. The company's market value was US$271 million by this time. The 12% portion of the company that was sold raised around US$25 million for the company, which would facilitate a doubling of the number of stores over the next two years.By September 1992, Starbucks' share price had risen by 70% to over 100 times theearnings per shareof the previous year.In July 2013, over 10% of instore purchases were made on customer's mobile devices using the Starbucks app. The company once again utilized the mobile platform when it launched the "Tweet-a-Coffee" promotion in October 2013. On this occasion, the promotion also involvedTwitterand customers were able to purchase a US$5 gift card for a friend by entering both "@tweetacoffee" and the friend's handle in atweet. Research firm Keyhole monitored the progress of the campaign and a December 6, 2013 media article reported that the firm had found that 27,000 people had participated and US$180,000 of purchases were made to date.Expansion to new markets and productsThe first Starbucks location outside North America opened inTokyo, Japan, in 1996.]Starbucks entered the U.K. market in 1998 with the $83millionUSD acquisition of the then 56-outlet, UK-based Seattle Coffee Company, re-branding all the stores as Starbucks. In September 2002, Starbucks opened its first store in Latin America, atMexico City. Currently there are over 250 locations inMexico, about 100 of them are located in Mexico City alone.In 1999, Starbucks experimented with eateries in the San Francisco Bay area through a restaurant chain called Circadia.These restaurants were soon "outed" as Starbucks establishments and converted to Starbucks cafes.In October 2002, Starbucks established a coffee trading company inLausanne,Switzerlandto handle purchases ofgreen coffee. All other coffee-related business continued to be managed from Seattle.In April 2003, Starbucks completed the purchase ofSeattle's Best CoffeeandTorrefazione ItaliafromAFC Enterprisesfor $72m. The deal only gained 150 stores for Starbucks, but according to theSeattle Post-Intelligencerthe wholesale business was more significant.]In September 2006, rivalDiedrich Coffeeannounced that it would sell most of its company-owned retail stores to Starbucks. This sale included the company-owned locations of the Oregon-basedCoffee Peoplechain. Starbucks converted the Diedrich Coffee and Coffee People locations to Starbucks, although the Portland airport Coffee People locations were excluded from the sale.In August 2003, Starbucks opened its first store in South America inLima, Peru.In 2007, the company opened its first store in Russia, ten years after first registering a trademark there.In March 2008 they purchased the manufacturer of theClover Brewing System. They began testing the "fresh-pressed" coffee system at several Starbucks locations in Seattle, California, New York and Boston.In early 2008, Starbucks started a community website, My Starbucks Idea, designed to collect suggestions and feedback from customers. Other users comment and vote on suggestions. Journalist Jack Schofield noted that "My Starbucks seems to be all sweetness and light at the moment, which I don't think is possible without quite a lot of censorship". The website is powered by theSalesforcesoftware.In May 2008, aloyalty programwas introduced for registered users of the Starbucks Card (previously simply a gift card) offering perks such as freeWi-FiInternet access, no charge for soy milk & flavored syrups, and free refills on brewed drip coffee or tea.In 2009, Starbucks began beta testing its mobile app for the Starbucks card, a stored value system in which consumers access pre-paid funds to purchase products at Starbucks. Starbucks released its complete mobile platform on January 11, 2011.On November 14, 2012, Starbucks announced the purchase ofTeavanafor US$620 million in cashand the deal was formally closed on December 31, 2012.On February 1, 2013, Starbucks opened its first store inHo Chi Minh City, Vietnam, and this was followed by an announcement in late August 2013 that the retailer will be opening its inaugural store inColombia. The Colombian announcement was delivered at a press conference in Bogota, where the company's CEO explained, "Starbucks has always admired and respected Colombia's distinguished coffee tradition."In August 2014, Starbucks opened their first store in Williamsburg, Brooklyn. This location will be one of 30 Starbucks stores that will serve beer and wine.In September 2014, it was revealed that Starbucks would acquire the remaining 60.5 percent stake in Starbuck Coffee Japan that it does not already own, at a price of $913.5 million.

CHAPTER 5:Advertising of Star BucksAdvertising is the maximum medium used by Pizza Hut for its promotionAdvertising is non personal communication transmitted through mass media as radio, television, print, internet and outdoor media.The main objective behind every campaign is either to increase sales by encouraging potential purchasers or inducing repeat purchases or prompting immediate purchase by offering special schemes or to create awareness about a new product offering by highlighting a new flavor or announcing price changes or demonstrating the product in use by depicting an experience.in the Starbucks Experience post, there are not a whole lot of commercials for Starbucks, and those that are available arent geared towards drinks that are available to customers when they go to an actual Starbuckslocationversus a grocery store. Starbucks is a word of mouth advertiser as well as the walking billboards they have, also known as their coffee cups.

Starbucks appeals to several different demographics and in turn use several different persuasive strategies. They can use the plain folks pitch if for instance a college student has rolled out of bed after a long drinking weekend, and are just getting their morning coffee in their sweatshirt, sweatpants, and Ugg boots. On the other side of the spectrum, Starbucks uses the business demographic to put out the snob appeal.

Many times when there are commercials, they are shown on the companys website. If the customers go and look at the website on a regular basis then I think those advertisements can be very effective, but if they arent being seen, how can they be effective?

Because Starbucks doesn't do a whole lot of billboard advertising or commercials, a lot of their products are purchased because of the word of mouth. The company does not do a whole lot of public advertising. When you walk into the Starbucks, you notice they are promoting specialty drinks or products within the store, but the way most people hear about these products is from friends, family, or just from seeing the product while being out and about. The signs or samples that are promoting new drinks or specials help a lot. So many times, there are people who are stuck on their morning muffin and house coffee that they dont realize there is a new promotion happening. When there are signs, usually with a picture, customers are more likely to try it.

Another way Starbucks advertises is throughTwitterandFacebook, but this is mostly a way for social networking, and a way for the company to receive feedback from their customers including positive and critical feedback. Starbucks also has awebsitewhere all their products are available for sale, and for customers to discover what drinks fit best with their taste buds.

Many other coffee places do advertising similarly to Starbucks.Dutch Bros, for example, has not done many commercials beyond promoting a grand opening for a new location. One thing that Dutch Bros does different is the fact they have several decals for cars, allowing people to get the Dutch Bros' logo in their head.

Chapter 6ConclusionThus it can be concluded that advertisement though have some social, legal, ethical issues plays a very important role in today world. Business without using the medium can barely survive in the competitive business market. Star Bucks has many targets that it has to achieve in a given period of time .As advertising is the main medium used for promotion different advertising strategies are adopted in order to attract customers and earn profits. But these strategies are flexible and can be change as per the market conditions whenever needed.

BIBLIOGRAPHYBooks on advertisementWebsites as on September 2014http://starbuckssuccess.blogspot.in/2010/11/advertising-techniques.htmlhttp://en.wikipedia.org/wiki/Starbucks#Advertisinghttp://starbuckssuccess.blogspot.in/2010/11/advertising-techniques.html

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