Anything in red will be on the test Journalism 2000 Principles of Strategic Communications Dr Broyles March 18 2014 Introduction to Advertising Class Notes What does advertising include o Brands Everything has a brand Cars phones backpacks computers etc o Packaged goods big stuff services carpet cleaning services media television social media magazines etc o Agencies who build these things o Basically advertising is everything Definition of Advertising A paid message for a product or service put into the media by a sponsor o Differences between advertising and PR Advertising the most fun you can have with your clothes on Advertising will always run and will always be obvious What is the benefit of Advertising o The benefit of advertising is what is in it for you o Generally consumers buy benefits but the manufacturer wants to buy attributes Consumers don t want to know the technical stuff they want to know how it will benefit THEM Chi Straightener o Benefit doesn t burn your hair has ceramic plates smaller plates Who cares if it has ceramic plates What do I get out of it o It doesn t burn your hair Who cares if there are smaller plates o We have to get passed the ceramic plates and focus on what it will do for the CONSUMER Porsche o What are you selling if you buy a Porsche Swag image ego power and car power dominance Three kinds of needs o Need for achievement o Need for power These needs are more of psychology terms but still have to with what advertising does for people o Need for affiliation friendship intimacy Example o Makeup it s not about selling the makeup it s about selling the confidence of a woman Book Notes These notes covers the Introduction of Advertising The Business of Brands pages 2 36 Scott Bedbury relish and sauerkraut His first job was for a small company in Portland where he marketed pickles His next job was a small shoe company named Nike He eventually became the Marketing Director of Starbucks Scott worked to turn this brand into a superbrand and eventually left the company to write a book entitled It s a New Brand World This book discusses what he learned and about the Brands that he had helped build during his advertising career Roy Spence Robert L Johnson Formed an Ad agency with five other people called GSD M This company grew over thirty five years into a company that serves several national brands such as Soutwest Airlines MasterCard and BMW Graduated from the University of Illinois in 1970 In 1976 he began working for the National Cable Television Association and quickly realized that cable was going to drastically change media He created a business plan for a BET Black Entertainment Television and eventually was about to make this a network BET has grown substantially since Johnson thought of it He developed additional cable channels a website a couple of magazine and a line of romantic novels He eventually sold BET to Viacom for 2 3 billion What is a brand Brand originates from the Old English word biernan which means to burn This version of the word brand was used to brand cattle and criminals As the word became a noun a brand become an identifier 1 A brand has become an idea a service a business plan products and several other things It has grown a lot since the original definition was put into play Brand Equity brands need to market and that involves adding equity in several ways o Increasing sales o Great profit margins o Improving the quality 1 Pg 9 of Advertising and the Business of Brands o Advertising and sponsoring events There is also a thing referred to as Negative Brand equity If a brand has too much negative equity it may be necessary for that brand to re do itself and sometimes it involves that brand being sold to other companies What does a brand mean A brand means different things to different people It can be a business unit a client a customer or a language This depends on the audience you are looking at There are four business groupings within the Business of Brands Marketers o Organizations that are in charge of promoting Brands o They can have one brand or have multiple brands The McDonald s Corporation is operating not only McDonald s but also other restaurants like Chipotle o They can be in charges of manufacturing brands Kellogg s Special K Etc o Super brands brands that can thrive outside its initial product Types of marketers category 2 o Marketers May be Groups of Companies VISA and MasterCard o Field Marketing o Service Providers Involves placing programs in local markets Airlines banks wirless carriers It s a service not a tangible item o Organizations The National Pork Council The other white meat Industry and agriculture groups Countries states and regions can all have brands especially o Government Bureaus for tourism o Non profit Groups o Politicians o YOU are a brand Advertising Agencies o Advertising is still one of the most important ways people get information on products o Advertising is able to add value to a brand because it shows people o Most media is supported by the income brought in by advertising why they need it Media Companies Marketing Services 2 pg 14 o These services are in charge of providing for marketers ad agencies and media companies