Marketers have used the concept of expansion advertising to increase the sales of a mature product in developed markets. The concept has not been studied in terms of applicability in the developing markets. The Indian FMCG (Fast moving consumer goods) market in particular, offers a unique situation of a fragmented market share and high advertising clutter. The study attempts to draw a linkage between brand loyalty, expansion advertising and advertising appeals in the context of the Indian market. A comprehensive literature survey is used to enable a flow of concepts. Through use of qualitative and quantitative research has been made to elicit customer preferences and motivations. Implications for practicing marketers have been drawn from the study. The National Council for Applied Economic Research (NCAER) in a study on consumer behaviour and purchasing power classified Indian consumers by their propensity to consume. Thus expansion advertising stresses on the increasing the usage of a brand through the product comparison, situation comparison and non-comparison routes.
Keywords: consumer behavior, loyalty programs, qualitative marketing, Expansion advertising, a potential customer etc.