Advertising

1
Advertising

• Selling a Message

2
The Development of the Advertising Industry

• Advertisingany paid form of non-personal
  communication about an organization, product,
  service, or idea by an identified sponsor
• makes inexpensive media possible
• provides a diverse amount of product information

3

• The Birth of Consumer Culture
• Boston News-Letter selling ads as early as 1704
• individual shops and businesses placed ads no
  brand promotion
• Industrialization and the Growth of Advertising
• mass production of low-cost, standardized
  products
• prevalence of messages (ads) grew alongside the
  availability of products
• people could now buy items that fit their style

4

• The Growth of Brand Names
• economy of abundancethere are as many goods
  available as people want to buy

5

• brand nameword or phrase attached to
  pre-packaged good that allows for promotion
• helped consumer distinguish products from one
  another
• Quaker Oats pioneered use of branding
• Pears Soap (Thomas J. Barratt)
• Famous slogan Have you had your Pears today?

6

• Advertising-Supported Media
• Advertising helped penny papers flourish.
• Initially limited in magazines
• The Ladies Home Journal
• Advertisers sponsored entire early radio
  programs.
• Television specialized in selling audiences to
  advertisers.

7

• Consumer Advertising
• local advertising
• direct action messagedesigned to get consumers
  to purchase a product or engage in a behavior

8

• national advertising
• indirect action messagedesigned to build the
  image of and demand for a product

9

• advocacy advertising
• promote a particular point of view rather than a
  product

10

• trade advertising
• promote products directly to other businesses
  rather than to the consumer market

11
The Advertising Business

• clientthe person or company that has a product
  or idea to promote
• advertising used to
• build awareness of a new product
• build a positive image of the product
• convince users to switch brands
• promote a benefit of the product

12

• Research and planning
• starts with identifying clients objectives
• identifying the characteristics of the target
  audience
• ads tested internally and externally
• Creative activity
• big ideawill grab peoples attention and make
  them take notice, remember, and take action
• All good advertising consists of both idea and
  execution. All bad advertising consists of just
  execution.

13

• the agencyresearches the market, creates the
  advertising, and places it in the media
• George Rowell (1860s)
• first to buy space in papers, then sell it to
  clients
• first to publish circulation numbers
• Francis W. Ayer opened N.W. Ayer and Son (1868)
• wrote copy, developed artwork, planned campaigns
• pioneered use of open contractenabled the agency
  to provide advertising space in any publication

14

• David Ogilvy Ads should be created to sell a
  product or promote a message.
• Advertising does not exist to be innovative,
  exciting, creative, or entertaining.
• Most powerful ad headline words are free and
  new.

15

• Media planning
• figuring out which media to use
• buying the media at the best rates
• evaluating how effective the purchase was
• trying to reach largest percentage of target
  audience with lowest CPMcost per thousand views

16

• Agency size and income
• U.S. agencies generated 11.2 billion in revenue
  for 2004
• Advertisers spent 263.77 billion in 2004 in
  United States
• 38 billion in Japan, 18.4 billion in the U.K.,
  and 18.3 billion in Germany
• Trends in agencies include
• large agencies buying multiple, smaller ones
• specialization

17

• The media
• newspapers
• original advertising medium
• allow advertisers to present detailed information
• space can be purchased last minute
• magazines
• higher print quality
• longer lead time for preparation

18
outdoorbillboards, blimps, barns, posters, etc.
19

• radio
• drive timemorning and afternoon commute
• short lead time and relatively low costs
• television
• offers sound, motion, and visuals
• best time slots sold a year in advance
• the Internet
• companies that do a lot of their business on the
  Net
• pop-ups, banners, buttons

20

• The Audience
• targetingmaking a particular product appeal to a
  narrowly defined group
• audience members are often defined by the
  graphics
• demographics
• geographics
• psychographics

21
Advertising in
Contemporary Culture

• Four common misconceptions about advertising
• Advertising makes you buy things you dont want.
• Advertising makes things cost more.
• Advertising helps sell bad products.
• Advertising is a waste of money.

22

• clutterthe huge number of commercials and other
  messages that compete for consumer attention
  between programs
• viewers more likely to remember first ad in a
  group
• average Britain exposed to 311 ads per week
  (2005)
• average American exposed to 789 ads per week
  (2005)
• fight clutter with celebrities and
  non-traditional ads (Goodyear blimp)

23

• http//www.artistmike.com/Temp/SubliminalAd.html

• Subliminal advertisingmessages that are
  allegedly embedded so deeply in an ad that they
  cannot be consciously perceived
• no supporting research, only speculation

24

• http//www.youtube.com/watch?vOYecfV3ubP8

• When advertisements are more important than the
  program
• 1984 Super BowlApple Macintosh commercial
• directed by Ridley Scott
• showed Orwellian Big Brother situation

25

• Advertising to children
• In 2006, industry spent 15 billion on ads to
  kids.
• Federal Trade Commission study published in 1978
  
• children from the ages of 211 see 20,000 ads per
  year
• Food advertising to children has been
  scrutinized
• health effects
• obesity epidemic

26
Targeted Children

• http//www.youtube.com/watch?vWMDPql6rweo

27
The Future of Advertising

• Technology allows viewers to skip commercials
• In 2006, 10 percent of Americans had DVRs.
• Survey of 133 national advertisers found that 78
  percent thought television advertising was less
  effective.
• CBS is selling Web ads as a package with
  broadcast ads.
• mobisodesmobile phone delivered video episodes.

28

• Product Placement
• product integrationwhen product or service being
  promoted is not only seen, but is spoken of as a
  central part of the story
• challenge is making them seem natural rather than
  intrusive
• unpopular with television and movie writers

29

• The Long Tail of Advertising
• Internet advertising still relatively small
  (2.55 percent)
• search engine uses
• difficult to measure consumer exposure to online
  ads

30
wassup

• http//www.youtube.com/watch?vJJmqCKtJnxM

31
Axe shower girls

• http//www.youtube.com/watch?vMTlBYfyOYPg

32
Crying indian

• http//www.youtube.com/watch?v_R-FZsysQNw

33
School House Rock

• http//www.youtube.com/watch?vmEJL2Uuv-oQ

34
Drunk driving

• http//www.youtube.com/watch?vMN5BzH0X97s