Advertising Chapt 01

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ADVERTISING AND PROMOTION

BYWELLS,BURNET AND MORIARTY

5TH EDITION

Introduction to Advertising

Part 1: FoundationsChapter 1


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Chapter Outline

I. Chapter Key Points

II. What is Advertising?

III. Roles and Functions of Advertising

IV. The Key Players

V. Types of Advertising

VI. What Makes an Ad Effective?

VII. The Evolution of Advertising

VIII.The Current Advertising Scene


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Key Points

Define advertising and explain its key components

Discuss the roles and functions of advertising withinsociety and business

Identify the key players and their roles in creatingadvertising

Explain the different types of advertising

Summarize the characteristics of effective advertising

and explain why it is always goal directed Analyze the changes affecting the advertising

industry


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Defining Modern Advertising

Advertising is paid

persuasive

communication that

uses mass media toreach broad audiences

to connect an identified

sponsor with a target

audience

Five basic

components:

1. Paid communication

2. Sponsor is identified3. Tries to persuade or

influence consumers

4. Reaches a large

audience (potentialcustomers)

5. Conveyed through

mass media


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Key Concepts of Advertising

Strategy

Creative idea

CreativeExecution

Creative Media

The logic and planningbehind the ad

Advertisers develop ads

to meet objectives Advertisers direct ads to

identified audiences

Advertisers create

messages that speak tothe audiences concerns

Advertisers run ads inthe most effective media


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Strategy

Creative idea

Execution

Media

The central idea that

grabs the consumers

attention

Creativity drives theentire field of

advertising


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Strategy

Creative idea

Creative

Execution

Media

Effective ads adhere tothe highest production

values in the industry

Clients demand the

best production the

budget allows


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Strategy

Creative idea

Execution

Creative Media

Communication

channels that reach a

broad audience

How to deliver themessage is just as

important coming up

with the creative idea of

the message


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Roles of Advertising

Marketing

Communication

Economic

Societal

The process a business

uses to satisfy consumer

needs by providing

goods and services Product category

Target market

Marketing mix

Brand


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Marketing

Communication

Economic

Societal

Can reach a mass

audience

Introduces products

Explains importantchanges

Reminds and reinforces

Persuades


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Marketing

Communication

Economic

Societal

Moves from being

informational to

creating demand

Advertising is anobjective means for

providing price-value

information, thereby

creating a more rational

economy


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Marketing

Communication

Economic

Societal

Informs consumers aboutinnovations and issues

Mirrors fashion and designtrends

Teaches consumers aboutnew products

Helps shape consumer self-image (personalities /style)

effect self-expression(thingwe wear and use)


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The Functions of Advertising

Builds awareness of products and brands

Creates a brand image

Provides product and brand information Persuades people

Provides incentives to take action

Provides brand reminders Reinforces past purchases and brand

experiences


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The Key Players

Advertiser(client)

Agency Media

Supplier Audience

Uses advertising to sendout a message about its

products

Initiates the advertisingeffort by identifying amarketing problem

Approves audience,

plan and budget Hires the advertising

agency


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The Key Players

Advertiser

(client)

Agency

Media

Supplier

Audience

Has strategic and

creative expertise,

media knowledge,

workforce talent, andnegotiating abilities

Advertising department

In-house agency


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The Key Players

Advertiser

(client)

Agency

Media

Supplier

Audience

The channels of

communication that carry

the message to the audience

Are also companies or hugeconglomerates

Mass media advertising can

be cost effective because the

costs are spread over thelarge number of people the

ad reaches


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The Key Players

Advertiser

(client)

Agency

Media

Supplier

Audience

Assist advertisers,

agencies, and the media

in creating and placing

the ads

Vendor services are

often cheaper than those

in-house


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The Key Players

Advertiser

(client)

Agency

Media

Supplier

Audience

The desired audience for the

advertising message

Data-gathering technology

improves accuracy of

information about customers

Advertisers must recognize

the various target audiences

they are talking to and know

as much about them aspossible


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Types of Advertising

Brand advertising

Retail or Local advertising

Direct-Response advertising Business-to-Business advertising

Institutional /Corporate advertising

Nonprofit advertising Public Service advertising (PSAs)


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What Makes an Ad Effective?

1. Great ads are effective and effective ads are

ads that work.

2. If it creates an impression for a product or

brand

3. If it influences people to respond in some

way

4. If it separates the product or brand from the

competition in the mind of the consumer


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What Makes an Ad Effective?

Effective advertising

messages will achieve

the desired impact

(objective) on the targetaudience

Award Shows

EFFIES, AME, IPA

Judge effectiveness

CLIOS, One Show,

Cannes

Judge creative ideas

Not all award-winingads are effective


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The Evolution of Advertising

Age of Print (classified format / print media)

Industrial Revolution and Emergence of

Consumer Society ( because of numerous

social and technological developments)

Modern Advertising Era (agency era /

advertising industry grew and professional

advertising developed)

Accountability Era ( focus on effectiveness in

terms of sales)


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The Current Advertising Scene

Expanded view

Integrated

MarketingCommunication

Globalization

Electronic media

(internet / wireless) are

changing the media

landscape New media are more

personal and interactive


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Expanded view

Integrated


Globalization

The practice of unifying

all marketing

communication tools so

they send a consistent,persuasive message


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Expanded view

Integrated


Globalization

Increasing globalization

of marketing programs

Advertisers are moving

into global markets andagencies are forming

huge multinational

operations

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Advertising Chapt 01

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