How Creativity enhanced Integrated Marketing Communication IMC / Creativity :

 Creativity:

Creativity means to create, to originate or to generate a unique ideas that does not exist or present in previous add in order to attracts customers , grasp their attention for the purpose of increasing  their audience, clients and customers. It means to combining two or more previously unconnected objects or ideas and generate new idea or something new. Creativity is very important in advertising . For creativity we needed art director and creative directors.

Creativity enhances IMC :

 It will inform the people.

 It will persuade the people.

 It will keep reminding the people.

Creativity help Message Inform:

Creativity has ability to inform. It will make a campaign more clear and researchers believed that this clearness attract attention of customers ,maintains interest and stimulates thinking. We can used different words, verbal, non-verbal , visual metaphor, color , illustrations,

designs and themes.

Creativity helps Message Persuade :

It will help to motivate people to some actions or attitudes, copy writers have created new myths and heroes. It will create a unique and distinctive image in the minds of clients and customers.it will makes you to think, it will change your perceptions . it will rises the value of product.

Creativity helps IMC Remind :

It will help to keep reminding . but the repetitions of the add make you boring and diminishing marginal return . Only creativity can make the add entertaining.

Creativity puts boom in campaign:

 We can use funny appeal to make add creative.

 But not always funny , we can also used others appeals as well.

 Good push lines are also required for creative add.

 We can also use unique and different meanings in our add and it must have better

understanding .

Styles of thinking :

There are two styles of thinking . first one is faced based style . In this style, people prefer reasons, logic ,structure and technical explanation. Second one is value based style, this style of people make decision on intuitions, values and ethical judgement , emotional and metaphorical. Both of styles are used but fact based style is more used because it will provides us information about the product.

Example of Creative add:

1. Google Search Add :

In this add , creativity is used. It is a fact based style add. In this add, it is providing information that how can we make a proper use of google .In this add, emotional appeal is also used when two friends meet with each other and they starting crying. This add is promoting values etc.

2. Fast food of Mc Donald’s Add :

In this add, creativity is used in color because color has a psychological impact on audience. They will exaggerate the size of burgers, used red, yellow, green color to attract the attention of customers. Offering different deals and discounts to grab the attention of customers.

Impact of Media on 4 Ps of Marketing:

Impact of Media on 4 Ps of Marketing:

Media has a very great impact on 4 PS of marketing. Through these 4 PS , media can communicate with their audience , provide awareness about their product , ideas, goods and services. Maximum number of people become aware of their product. In this way , more profit can be generated . it can also create competition among their competitors . When maximum number of people become aware of their product , so demand starting increasing so they will be able to capture value from customer which is in the form of price. The standard of living can also upgraded. Through these 4 PS , organization can decide about the distribution of their product. They can decide in which area our product can be available and how can be promote our product. The impact of media on 4 PS is that the image of product can be enhanced, people become aware about the offer, sales . they become aware about the availability of product etc. .It can be explained further with the help of advertisement of head and shoulders , clear shampoo and RIO biscuit.

4 PS of Marketing :

This includes product, price, place and promotion .

PRODUCT :

The organization can decide that which product they want to launch and advertised . what is the design, features, varieties , flavors and packaging does our product have . We have to make our Product unique and different from competitors so that customers can be attracted towards our product.

Product of Clear Shampoo:

Clear Shampoo is a brand of Unilever . They have different sizes of bottle . the quality of clear shampoo is that it has less price . , Clear shampoo is more effective for dandruff , itching  ,dryness, burning, and irritation. The varieties of clear included shiny , herbal fusion , soft ,lemon fresh , complete clean , hair fall and black and shine etc.

Product of Head and Shoulders Shampoo. Head and Shoulders focus on beauty of hair and fighting with dandruff. It has different varieties, different sizes of bottle and it is an American brand. The varieties of head and shoulders included anti- hair fall , cool menthol, silky black , lemon fresh , dry scalp and smooth and silky etc.

Product of RIO Biscuit :

Rio is a brand of peek freaks. It has different size of packets. Its packing is good. It is also available in different flavors such as strawberry , Chocolate And Vanilla..

PRICE :

After the selection of our product , the next step is to collect price from customer . we can provided them different offers, discounts or sales to attract their attention towards the product. Price is the most thing which attract the customer. In this , we compare our prices with our competitors. These products have different prices on he basis of the size of packets and bottles .

Advertisement of Clear Shampoo:

For instance the price of 200 ml bottle of clear shampoo is RS/- 198. The competitor of clear shampoo is head and shoulders with a price of RS /- 199.

Advertisement of Head and Shoulders Shampoo:

Head and shoulders has a price of RS /- 199 . The competitor of head and shoulders is Pantene. It has a price of 200 ml RS /- 199 .

Advertisement of RIO Biscuit :

The price is one packet is RS/- 37. It has different prices on the basis of flavors and packets.

PLACE:

Now we have to aware the people about the availability of our product . distribution of product . in place we have to decide the location , area or which type of people will buy the product etc. .

Advertisement of Clear and Head and Shoulders Shampoo:

 For instance the clear shampoo and head and shoulders is available in utility stores, shops, markets or online stores. We can buy it from any where in Pakistan.

Advertisement of RIO Biscuit :

Rio biscuits is available in markets, shops, utility stores . we can buy it from any where.

PROMOTION:

After these 3 PS , the last and final step is to decide that how can we will promote our product . select which media is suitable for our product , what is the frequency of our add, how can we make it creative , in which channels our add can be displayed, in which time . which celebrity,  which type of message we communicate through our add . it can be rational, emotional, social etc. we can also see our budget and also select cost for promotion.

Advertisement of Clear Shampoo:

The add of clear shampoo is promoted by Fahad Mustafa and Mehwish Hayat . and it is promoted by TV advertisement , social media , electronic media, bill boards etc.

Advertisement of Head and Shoulders Shampoo:

 Head & Shoulders is  promoted through TV advertisements, social media ,sales promotion  print advertisements, bill boards, sponsorship and through Shahid Afridi.

Advertisement of RIO Biscuit :

Rio biscuit is prompted through TV advertisement, social media. Bill boards etc. Rio add is very creative because they used cartoon character in this add.

 

How to do Journal Entries/ How to make Journal :

 How to do Journal Entries/ How to make Journal :

Firstly, we should know the Journal format then we should have a knowledge about the Debit and Credit rules of Accounting. In Journal , we will have date columns, description or particular column , References column and debit and credit column. Now, we are going to see that how can we record the business transactions in Journal :

1.    Aqsa started Business with Cash on 2021, 1 January  with RS/-10,000.

So, in this entry , you will have two accounts cash and capital account. Cash is an assets and whenever assets increases it will be debited and  whenever capital increases, it will be credited.

 

 

2.    Purchased Goods of RS/-6,000 on January 2.

For goods purchases we will used purchases account so, purchases is our expenses and when expenses is increased it will be debited and we are paying cash so it means that we will do payment and whenever assets decreased it will be credited.

 

3.     Ali  buy goods  on January 3 for 6,000 in which he paid 3,000 in cash and remaining amount is billed for the next week.

            So, it is a compound entry in which Sales  account , cash and  Ali account is involved.         We will receive a cash and it will be debited because it is increasing and Sales  are credited because it is also increased and whenever it increased , it will be credited and Ali account is also debited because Ali is our debtor and debtor is Account receivable is asset so, it will be debited.

4.     Nadeem purchased goods from Aqsa on January 5, of RS/-8,000 in which she give him a discount allowed  of 2% .

Discount :

So, 8,000*2/100= 160.

Cash which Nadeem will pay :

Now, Subtract 8,000 from 160

 8,000-160=7,840.

 

5.    Aqsa pay rent in advance for Factory on Jan 9 of RS/-7,000.

In this entry, paid rent in advance is our prepaid assets because she does not utilize it so in this way , it is our assets . if you  don’t know about prepaid , I have explained it in detail in my previous blog of  types of Journal entries. Cash will be credit because it is decreasing.

 

6.    Aqsa take loan for four year  from bank of RS/-20,000 on Feb 1.

In this case, long term loan is liability and it is increasing so it will be credited and cash will be debited.

 

7.    Paid Salaries to employees on Feb 1 for RS/-3,000.

Salaries is expenses . expenses is increases so, debit the salaries account and cash will be credited.

 

8.    Withdraw cash of RS/-2,000 on Feb 2 for personal use.

Drawings is our expense so it is increasing so drawings will be debited and cash will be credited because it is decreasing from business.

 

9.    Aqsa purchases inventory on Feb 3 of RS/- 7,000 from Ayesha.

            Inventory is asset and it is increasing so debit the inventory account and credit the Ayesha account because  Ayesha is our creditor she has to pay them for inventory and creditor is our liability and it is increasing.

10. Ali paid RS/- 3,000 on Feb 6 which he had billed on January 3.

   So, Ali will be credited because he is our debtor and debtor is decreased because he paid. Cash will be credited.

 

11. Aqsa purchased furniture on Feb 7 for RS/-2,000 and received a discount of 8%.

Furniture is asset and it is increasing so debit furniture account and credit the cash account because she paid cash and discount received will be credited.

Discount Received :

2,000*8/100 = 160

Cash :

2,000-160 = 1840 because 160 is our discount and we don’t need to pay 160 that is why we will subtract 160 from original amount .

 

12. Aqsa paid RS/- 7,000 to Ayesha on Feb 9 which she  had billed previously

Ayesha account will be debited because she paid her liability and whenever lability decreased , it will be  debited and cash will be credit.

 

Top 5 Types of Journal Entries / Types of Rectifying Entries

Top 5  Journal Entries Types :

1.   Opening Entries :

In opening entries,  we will record only those business transactions  which balances are carry forward to the next accounting year. Assets, liabilities  and capital balances are carry forward to the next year  for the purpose of knowing the total assets and total debts and obligations etc.

 

 

For writing credit entry it is depends upon your willing that whether you want to write TO with credit entries or you want to intend it as I did in above picture.

 

 

2.  

  Closing Entries :

In this type of entry, the expenses and revenues balances are closed and we transferred their balances in Trading or profit and Loss Account  for closing them .

 

 

    Adjusting Entries:

3. These entries are made at the end of the accounting period . In this entries assets and liabilities are recorded with their real or true values and revenues are recorded by following the matching principle concept. According to this Matching Principle Concept, we will record only those expenses which are followed by revenues. In adjusting entries, we will have all of these :

1.    Deferral :

It means that you will received or paid an advance amount but yet we  have not delivered services and we have not used that assets for which you will pay in advance. So, basically deferrals is your prepaid means advance payment .

There are further two types of Deferrals :

·       Prepaid or deferral Expenses

For instance we will pay fee first, then we will studied and we will pay rent in advance then we are utilizing that assets in the form of house. So, payment in advance is our assets until we don’t utilize it completely.

·       Deferral revenues or Unearned revenues

For instance we will take an advance salary for our installation of machinery but we have not delivered our services yet so this revenue is unearned so  now  it is our responsibility to provide them services . In this way , unearned revenue is our liability till we have not delivered services. 

2.    Accruals

It means that we will received any goods or  services or used   but yet not paid it means that it is payable and outstanding.

There are further two types of accruals:

·       Accrual expenses

For instance we will purchase goods on credit so it is accrual expense.

·       Accrual revenues

For instance we will give goods on credit  to customers but  yet not received any revenue so it is our accrual revenue.

4.       Transfer Entries :

Transfer entries are important for transferring the correct or right account name and amount from one account to another.

For instance Aqsa purchased a furniture for RS/-2,000 and table for RS/-3,000 . Accountant had recorded total amount of 5,000 to furniture account. So in this case, we will pass an transfer entry :

             Table Account                        Debit with RS/-3,000

   To Furniture Account         Credit with RS/-3,000

    (Being an amount of Furniture overwritten now it is posted to table account )

5.      Rectifying Entries : 

th  entries are passed for the purpose of removing a mistake and make it correct. Sometimes, there is also a mistake in amounts as well. For instance in  given below  example it might be possible that it would be overstated or understated. We will make the entry correct by passing an rectified entry. If Ali Account is wrongly debited than we will credited Ali Account for correction in rectified entry and add the correct account in it. There are many types of rectifying entries:

1.    Error  of Commission:

In this error, it is posted to wrong account instead of right account.

Cash received from Abdullah  RS/- 7,000 posted to Ali .  So, rectified entry will be :

Ali Account                           Debit with  RS/-7,000
To Abdullah Account             Credit with RS/-7,000
(Being cash received from Abdullah was  wrongly posted to Ali  account now it is rectified)

2.    Error of Omission:

In this errors, we will completely omit or forget to record the business transaction. It is corrected by simply passing the entry.

3.    Error of Compensation:

This type of error is very difficult to find out because it is not a single error ,it is a  group or two error. In which one error  is offset against the another  error or account.  For instance  if fee charges paid RS/-1,000 is debited in the fee account as RS/-1,500 and the Rent  received RS/-2,000 is credited in the  Rent account as RS/-2,500, then the excess debit of RS/-500 in Fee account is set off against the excess credit in the Rent  account.

4.    Error of Original Entry:

   In this type, there is a mistake in the  recording of the amounts of accounts whether it will be overstated or understated. If the amount is recorded more than its original amount then it is called overstated and if the amount is recorded less than its original amount  then it is understated. For instance if rent received from Ali was wrongly credited with RS/-5,000 instead of RS/- 50,000. Then we will simply subtract the amount because it is overstated 50,000- 5,000 = 45,000 . So, 45,000 will be recorded in rectified entry.

 

Cash Account                             Debit with 45,000

  To Rent  Account                     Credit with 45,000

5.    Error of Principle:

In this accounts are posted to the correct side but  of the wrong type of account, For instance

In this principle, the names of accounts are wrongly passed. Such as Ali account is wrongly debited instead of Sim account.

For instance   RS/-4,000  paid to Sim was recorded in Ali Account so in this case we will pass an rectifying entry:

 

Sim Account                             Debit with RS/-4,000

 To Ali Account                        Credit with RS/- 4,000

     (Being amount paid to Sim was wrongly debited to Ali account but now it is rectified)

6.     Errors of Reversal:

When the entry is  wrongly debited instead of being credited and when it is wrongly credit instead of being debited is called error of reversal.

7.    Error of Transposition :

When two digits or numbers  are reversed  is called transposition error.  For example 8907 instead of 9807.

8.    Error of Duplication:

It is occur  when  we will recorded an entry two times or it is duplicated, it's debited or credited twice for the same entry. For example, an  Salaries Expense  was debited twice .