The ad is being performed during the breaks of Punch and Judy shows in Weymouth and Portland. The client is the Olympic Delivery Authority.
The puppets act out fun and bizarre methods of getting around Weymouth and Portland throughout the 2012 Games, informing people that travelling around these areas next year will be different.
A poster ad will encourage visitors to Weymouth and Portland to go and see puppeteer Mark Poulton running the Punch and Judy show, four times a day for two weeks.
In addition, a huge sandcastle featuring flags of the world will communicate the message to residents.
A spokesperson from the ODA said: "We're always looking at new and original forms of advertising, so we couldn’t resist approaching Mark to work with him to advertise in his shows, especially seeing as we estimate it will reach over 5,000 people during its run.
"We are encouraging residents and holidaymakers to swap their cars for either walking or cycling next summer around Weymouth and Portland.
"With an extra 60,000 visitors to the area, the roads and transportation will be busier than usual, so we are urging those in the area to plan ahead."