Advertising and Society Exam 1 Review Definition of advertising To give notice to inform to notify to make known A paid non personal message from an identifiable source delivered through a mass mediated channel that us designed to persuade Successful Advertising Information Reasoning Emphasis Ambient Advertising Ad Creep Non Traditional Media Placements ad it can be found anywhere Placing ads on unusual items or unusual places you wouldn t normally see an o When ad s are strategically placed so you can t tell its advertising Ex Ads on a a scoreboard at baseball game o Naming rights When stadiums are named after companies Ex Nationwide Arena Coca Cola field etc o Putting Coca Cola infront of American Idol judge apple computers in Product Placement movies Goals of Advertising Intended Effects o Awareness Breaking through the clutter o Influence Attitudes Behavior Opinion creation Canalization channel exisiting needs to the product Opinion conversion Action But immunization can occur too o Product Differentiation Distinguish from competition Relevant differences Perception of difference cause of brand etc o Branding Product vs Brand Crutial to product s success o Positioning and identity o Recognition and loyalty Does it work Cornflakes all the same but one is better than the other Preference for advertised brands 80 of consumers buy the brand name Main Point of the video The Persuaders Clutter breaking through the clutter Paradox for advertisers o Vicious cycle Emotional Connection Branding how to set apart your product Criticisms o Advertising makes people materialistic Strive for more buy buy buy o Advertising is deceptive Better world Puffery The best of its kind The most beautiful Linguistic devices used by true but deceptive advertising Hedges Elliptical comparatives Implied causation Implied slur on competition o All State youre in good hands Pseudo Science than any other cigarette Criticisms o Advertising is manipulative Subliminal advertising o Advertising invades our privacy Tracking products selling names Kroger Card o Advertising is a poor source of information Bias Inefficiency Survey Advertising Literacy Awareness of exposure Building knowledge structures What is the ad really selling What are your needs o Where did they originate o 80 of americans believe TV advertising offers primarily deceptive persuasion Only 17 say it s a good source of information o Scientific evidence on effects of smoking more doctors smoke camels Influence of Industrial Revolution on Advertising and Branding US population doubled o Labor force o Consumer market From rural to urban society o Less self sufficient individuals Mass production Mass communication Era o Printing press Industrial Revoultion Branding o Manufacturers begin to focus on branding o Brand Identity Consumers ask for it by name Move beyond price competition Distinguish o Perhaps the single largest triumph of advertising o Quaker Oats The first cereal company to register a TM Culture of consumption the role of income and how advertising jumped in including strategies advertising used as described in the slides on The Consumer vs The Product A consumer society developed o Enormous assortment of goods o Constant change in goods themselves o Rise in income discretionary spending and leisure time o Advertising efforts devoted to human desires that are not directly tied to basic necessities Became the lifestyle images we have today The Culture of Consumption o Advertising began to address consumers as individuals o Criteria for success varied over time No longer measured against strict behavioral codes No longer measured against fixed standards of achievement and moral worth o Income became most important status indicator in US An individual achievement Provides access to tokens of success that are prized at any given moment o Creating and maintaining the self became a lifetime task Self improvement personal development selling oneself self assertion A response to uncertainties introduced by urbanization Erosion of older cultures created a void in personal life Advertisers jumped in o Linked products with imaginary states of well being o Advertising provided guideposts for social personal identity o The Consumer vs The Product 1920s new approach focusing on the consumer Individuals needed help learning how to find satisfaction amid so many new products Cultural traditions socialization used to do this The marketplace began to instruct people about how to match their needs with products Ads focused not only on the product but with individual s lives including social roles Ads provide cues about new styles of personal behavior Ads link new goods with traditional images o Consumers find comfort in this o Tranfers positive feelings to the product Influence Of Radio On Advertising The 1920s and Radio o Radio Literacy Music jingles Drama o Programs were branded Kraft Music Hall Colgate Comedy Hour Radio stars delivered the commercial messages during the shows The 1950s and Advertising Including single sponsorship and participation advertising Postwar marketplace surge TV took over o Emotion o Imagery o Demonstrating the product in action Early days single sponsorship model o TV programs produced by advertising agencies o Paid for by a single sponsor Shift to Participation Advertising o Single sponsorship struggled o Don t sell whole shows to advertisers but small blocks of time o Enter the commercial break The Research Era of Advertising From 1950 to present Cost of advertising o Understand what works o Target more precisely Parallel industry develops o Marketing research The 1960s and Avertising The 1960s Creative Revolution o The tone of advertising was changing Less direct and repetitive Focus on humor irony storytelling image The 1980s and Beyond New technology o Cable home video recorders Audience fragmentation o End of the traditional mass market o Cable o Broadcasting became narrowcasting The Interactive Era o Fewer one way messages o Permission marketing Consumer targeting Brand loyalty Two schools of thought o Advertising market power o Adverising market competition Market Power Market Power and Market Information Models including problems with each o Advertising persuades consumer to select brand differentiation o Advertising leads to brand loyalty o Higher prices o Increased profits o Higher barriers to entry and more market power o Less competition o Fewer available products higher price Market Information o Advertising