Mass Communication Ch. 12 Advertising

World War 2

-1941: War Advertising Council

globalization

-U.S agencies increasingly merging with, acquiring or affiliating with agencies from other parts of the world -six of the top 10 U.S agencies owned by foreign companies

Advertising and radio

-advertising seemed a natural way to keep radio "free" -advertising agencies took over broadcasting

even part of the 1800s

-civil war and industrial revolution brought about expansion of advertising -magazines financially supported primarily by advertisers rather than by readers

an advertisement is false if:

-lies outright -does not tell the whole truth -lies by implication, using words, design, production device, sound, or a combination of these

types of advertising

-national consumer -direct market -out-of-home -public service

a number of organizations began at this time

1. Audit Bureau of Circulation 2. Advertising Federation of America 3. American Association of Advertising Agencies 4. Association of National Advertisers 5. Outdoor Advertising Association

Early advertising

1. advertising came to the colonies via England 2. colonial advertising was more straightforward 3. advertising was a small business before the civil war 4. advertising was used by local retailers primarily to encourage area residents to come to their businesses

regulation of advertising

1. cease and desist order 2. corrective advertising

how advertising influences how well a product fares:

1. changes in economy 2. product quality 3. breadth of distribution 4. competitors pricing and promotion strategies

measuring the effectiveness of advertising

1. copy testing 2. consumer juries 3. forced exposure 4. recognition tests 5. recall testing 6. awareness test 7. neuromarketing research

the professionalization of advertising

1. in the years between civil war and ww2, advertising became more creative, more expensive and conducted on a larger scale

8 Values and lifestyles (VALS) segments

1. innovators 2. thinkers 3. achievers 4. experiencer 5. believers 6. strivers 7. makters 8. survivors

specific complaints of advertising

1. is intrusive 2. is deceptive 3. exploits children 4. demeans and corrupts culture

how is advertising different from PR

1. paid placement to the media 2. part of the communication tools 3. has many of the same functions

defenses of advertising

1. support our economic system 2. people use to gather information 3. ad revenues make the free mass media possible 4. increases national productivity and improves the standard of living

three factors combined to move the advertising industry to establish professional standards and to regulate itself

1. the reaction of the public and the medical profession to the abuses of patent medicine advertisers 2. critical examination of most of the countries important institutions 3. the establishment in 1914 of the Federal Trade Commission which has among its duties monitoring and regulating advertising

Ambient Advertising:

Advertising content appearing in nontraditional value, also known as 360 Marketing

Wheeler-Lea Act

Congress passed this in 1939 which grants the FTC extended powers to regulate advertising

The consumers union

Founded in 1936 to protect people from unscrupulous manufacturers and advertisers

War Advertising Council

The council used its expertise to promote numerous governments programs in 1941

consumer culture

a culture in which personal worth and identity reside not in ourselves but in the products with which we surround ourselves -is corrupting because it imposes new definitions that serve the advertiser and not the culture on traditionally important aspects of our lives

corrective advertising

a new set of ads must be produced by the offender that corrects the original misleading effort

VALS

a psychographic segmentation strategy that classifies consumers according to values and lifestyles, is indicative of this lifestyle segmentation

retail advertising

ads are typically local, reaching consumers where they live and shop

increased audience segmentation

advertisers refined their ability to reach and speak to even narrower audiences

parity products

advertisers were often forced to create a products USP

industrial advertising

advertising of products and services directed toward a particular industry is usually found in industry trade publications

search marketing

advertising sold next to or in search results produced by users keyword searches

public service advertising

advertising that does not sell commercial products or services but promotes organizations and themes of importance to the public

return on investment (ROI)

an accountability-based measurement of advertising success

psychographic segmentation

appealing to consumer groups with similar lifestyles, attitudes, values, and behavior patterns

value compensation programs

are when all or part of the payment of an agency's fees is based on meeting pre-established goals

Shopbills:

attractive, artful business cards

programmatic buying

automated, data-driven buying of online advertising

1914: federal trade commission (FTC)

beginning of advertising regulation

neuromarketing research

biometric measures such as brainwaves, facial expressions, eye-tracking, sweating and heart rate monitoring

e-commerce

buying products and services online

out of home advertising

can include ads on billboards, street furniture, and the digital screens we encounter everywhere

national consumer advertising

constitutes majority of what we see in popular magazines and on television

recall testing

consumers are asked to identify which print or broadcast ads they most easily remember

Newsbook

contains ads

Cease and desist order

demanding that the practice be stopped. it can impose fines

Advertising Council

directed its efforts toward a host of public service campaigns on behalf of countless nonprofit organizations when the war ended -the goal was to limit war profiteering and ensure that companies did not benefit too greatly from the death and destruction of the war

promotional retail advertising

focuses not on a product but on a promotion

permission marketing

has led to a rethinking of the relationship between advertiser and consumer, one in which they act like parters sharing information for mutual benefit

achievers

have goal-oriented lifestyles and deep commitment to career and family

unique selling proposition

highlighting the aspect of the product that sets it apart from other brands in the same product category

accountability metrics

how the effectiveness of a specific ad or campaign will be judged

survivors

live narrowly focused lives and have few resources

awareness tests

make this same assumption, but they are not aimed at specific ads. their goal is to measure the cumulative effect of a campaign usually made by telephone

media department

makes the decisions about where and when to place ads and then buys the appropriate time or space

Murketing:

making advertising so pervasive consumers are ignorant of its presence

copy testing

measuring the effectiveness of advertising messages by showing them to consumers- is used for all forms of advertising

trade or professional advertising

messages aimed at retailers do not necessarily push the product or brand but rather promote product issues of importance to the retailer

National Advertising Review Board

monitors potentially deceptive advertising. it investigates consumer complaints as well complaints made by as advertisers competitors

believers

motivated by ideals, conservative, conventional

thinkers

motivated by ideas, mature, satisfied, comfortable

makers

motivated by self-expression, express themselves through works and projects

experiencers

motivated by self-expression, young and compulsive consumers

blinks:

one second commercials between songs on the radio

recognition tests

people who have seen a given publication are asked, in person or by phone, whether they remember seeing specific ads

Siquis:

pinup want ads for all sorts of products and services were common

FTC

primarily federal agency for the regulation of advertising -can issue a cease and desist order

prosumers

proactive consumers who reject most traditional advertising and use multiple sources

direct market advertising

product or service advertising aimed at likely buyers rather than at al consumers. this can be personalized

retainer

production is billed a an agreed-upon priced

institutional or corporate advertising

promoting their names and reputations

performance-based advertising

provides the idea. the websites carrying the ad gets paid only when the consumer takes some specific action, making a purchase or linking to the sponsors site

FCC

regulates the commercial practices of the broadcasting industry

forced exposure

requires advertisers to bring consumers to a theatre or other facility where they see a television program, complete with the new commercials

rich media

sophisticated interactive web advertising, usually employing sound and video; and online classified advertising

banners

static online billboards placed conspicuously somewhere on a web page

innovators

successful, have abundant resources

puffery

that little lie that makes advertising more entertaining than it might otherwise be

advertising

the act of practice of calling public attention to ones product, service, etc. especially by paid announcements in media. the economic backbone of the media system,

administration

the agency's management and accounting operations

cost per thousand (CPM)

the cost of reaching 1,000 audience members

magazine:

the expansion of the railroads, the rise in literacy, and advantageous postal rates fueled the explosive growth of the popular magazine just before the end of the 19th century

experimental marketing:

the melding of brands and experiences

demographic segmentation

the practice of appealing to adueicnes defined by varying personal and social characteristics such as race, ethnicity, gender, and economic level

consumer juries:

these people considered to be a representative of the target market, review a number of approaches or variations of a campaign or ad

AIDA Approach

to persuade consumers, advertising must attract attention, create interest, stimulate desire and promote action

strivers

trendy, fun-loving, motivated by achievement, concerned about opinions and approval of others

commissions

typically 15% of the cost of the time or space

creative department

were the advertising is developed from idea to ad. it involved copywriting, graphic design, and often the actual production of the price