Introduction to Advertising

Introduction to Advertising
Five Basic Components of Advertising
Advertising is a paid form of communication.
The sponsor is identified.
Advertising tries to persuade or influence the consumer to do something.
Advertising reaches a large audience of potential consumers.
The message is conveyed through many different kinds of mass media, which are largely nonpersonal.
Four Fundamental Elements of Effective Advertising
Advertising strategy
The logic and planning behind the advertisement that gives it direction and focus.
Develop the ad to meet specific objectives.
Creative idea
The ad’s central idea that grabs your attention and sticks in your memory.
E.g. 愛之味分解茶 vs. 古道油切 vs. 黑松茶花
Four Fundamental Elements of Effective Advertising
Creative execution
The details, the photography, the writing, the acting, the setting, the printing, and the way the product is depicted all reflect the highest production values available to the industry.
E.g. 曼仕德咖啡, 奇美廣色域 – 1, 2, Corona.
Creative media use
Every message has to be delivered somehow.
E.g. traditional media, outdoor and transportation media, and the Internet.

Two Techniques to Persuade Consumers
Hard-sell approach – use reasons to persuade consumers, e.g. NOW Magazine.
Soft-sell approach – build image for a brand and touch consumers’ emotions, e.g. Aqualis.
Four Roles of Advertising – Marketing
The process a business uses to satisfy consumer needs by providing goods and services
Product category
Target market
Marketing mix
Brand
Four Roles of Advertising – Communication
Can reach a mass audience
Introduces products
Explains important changes
Reminds and reinforces
Persuades
Four Roles of Advertising – Economic
Moves from being informational to creating demand
Advertising is an objective means for providing price-value information, thereby creating a more rational economy
Signaling high quality
Four Roles of Advertising – Societal
Informs consumers about innovations and issues
Mirrors fashion and design trends
Teaches consumers about new products
Helps shape consumer self-image
Perpetuates self-expression
The Functions of Advertising
Building awareness of products and brands
Creating a brand image
Providing product and brand information
Persuading people
Providing incentives to take action
Providing brand reminders
Reinforcing past purchases and brand experiences
The Key Players
Advertiser
Advertising agency
Media
Supplier
Target audience
廣告產業架構
Advertiser
Uses advertising to send out a message about its products
Initiates the advertising effort by identifying a marketing problem
Approves audience, plan and budget
Hires the advertising agency
Advertising Agency
Has strategic and creative expertise, media knowledge, workforce talent, and negotiating abilities
In 2002-2003 ad agency gross income was $10.6 billion worldwide. (Advertising Age)
Advertising Age – Agency Family Trees
廣告傳播集團在國內的狀況
廣告傳播集團在國內的狀況

Advertising Agency
Advertising department
Act as a liaison between the marketing department and the advertising agencies and other vendors.
Agency-of-record
In-house agency
Perform most, and sometimes all, of the functions of an outside advertising agency.

2013年台灣媒體代理商之最

Media
The channels of communication that carry the message to the audience
Are also companies or huge conglomerates
Mass media advertising can be cost effective because the costs are spread over the large number of people the ad reaches

Supplier
Assist advertisers, agencies, and the media in creating and placing the ads
Vendor services are often cheaper than those in-house.

The Target 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 as possible
Purchasers are not always the product users.
Interactive technology has created a new world of targeting and ads can now be customized to individual consumers to some extent.
Types of Advertising
Brand advertising
The most visible type of advertising
Focusing on the development of a long-term brand identity and image.
Institutional advertising
It is also called corporation advertising or image advertising.
Focusing on establishing a corporate identity or winning the public over to the organization’s point of view.
Types of Advertising
Retail or local advertising
Focusing on retailers or manufacturers that sell their merchandise in a certain geographic area.
Objectives: stimulating store traffic and creating a distinctive image for the retailer.
Direct-response advertising
Trying to stimulate a sale directly.
The consumer can respond by telephone, mail or the Internet, and the product is delivered directly to the consumer by mail or some other carrier.

Types of Advertising
Business-to-business advertising
B2B advertising is sent from one business to another.
Advertisers place most business advertising in professional publications or journals.

Types of Advertising
Nonprofit advertising
Not-for-profit organizations advertise for customers, members, and volunteers, as well as for donations and other forms of program participation.
Public service advertising
Communicating a message on behalf of some good cause, e.g. stopping drunk driving or preventing child abuse.
These advertisements are usually created by advertising professionals free of charge and the media often donate the necessary space and time.

The Evolution of Advertising
Age of print (1441~1850)
Industrial revolution and emergence of consumer society (1851~1900)
Modern advertising era (1901~1915)
Agency era (1916~1960)
Creative era (1961~1980)
Accountability era (1981~)

明代萬曆版《繡像金瓶梅詞話》插圖中的廣告
Age of Print (1441~1850)
Ads were primarily like classified advertising in format and print media carried them.
Objective: delivering information.
Primary medium: newspaper.
第一個報紙廣告 – 懸賞尋找失竊的十二匹馬的「懸賞告示廣告」
廣告藝術之父 – Benjamin Franklin
Industrial Revolution and Emergence of Consumer Society (1851~1900)
Advertising grew in importance and size because of numerous social and technological developments.
Purpose: devising an effective, efficient communication system that could sell products to a widely marketplace.
National media developed as the country’s transportation system grew.
Modern Advertising Era (1901~1915)
The format of advertisement was getting to be similar to the modern one.
The emergence of advertising agency with simple service
Agency Era (1916~1960) & Creative Era (1961~1980)
Agency era: the advertising industry grew and organizations specializing in modern professional advertising developed.
Creative era: showcasing an emphasis on new creative practices to compete in a crowded marketplace and build demand for brands.
Accountability Era (1981~)
The beginning of the industry-wide focus on effectiveness
Clients wanted ads that produced sales so the emphasis was on research and measurement.
The Development of Advertising
The Development of Advertising
The Development of Advertising
The Current Advertising Scene
Interaction
Integrated marketing communication (IMC)
Globalization
Interaction
Electronic media, such as the Internet and wireless communication, are changing the media landscape
New media are more personal and interactive
Integrated Marketing Communication
IMC is the practice of unifying all marketing communication tools so they send a consistent, persuasive message promoting company goals.
Globalization
In the early 1990s the trade barriers throughout much of Europe came down, making it the largest contiguous market in the world.
Eastern Europe, India, Russia, and China have at least partially opened their markets to international marketing.
The advertising question is whether to practice global or local advertising.

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