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Generally speaking, advertising is the paid promotion of goods, services, companies and ideas by an identified sponsor. Marketers see advertising as part of an overall promotional strategy. Other components of the promotional mix include publicity, public relations, personal selling, and sales promotion.

History

File:12th street Wellner Motors(enhanced).jpg

Advertisements painted on the side of buildings were common in the early-20th century U.S. This instance, now faded from lack of upkeep, is an example of a ghost ad.

In ancient times the most common form of advertising was 'word of mouth'. However, commercial messages and election campaign displays were found in the ruins of Pompeii. As printing developed in the 15th and 16th century, the first steps towards modern advertising were taken. In the 17th century advertisements started to appear in weekly newspapers in England and within a century; advertising became very popular.

As the economy was expanding during the 19th century, the need for advertising grew at the same pace. In 1843 the first advertising agency was established by Volney Palmer in Philadelphia. At first the agencies were just brokers for ad space in newspapers, but in the 20th century, advertising agencies started to take over responsibility for the content as well.

Media

Some commercial advertising media include billboards, street furniture components, printed flyers, radio, cinema and television ads, web banners, Web Popups, skywriting, bus stop benches, magazines, newspapers, town criers, sides of buses, taxicab doors and roof mounts, musical stage shows, elastic bands on disposable diapers, stickers on apples in supermarkets, the opening section of streaming audio and video, and the backs of event tickets and supermarket receipts. Any place an "identified" sponsor pays to deliver their message through a medium is advertising. Covert advertising embedded in other entertainment media is known as product placement.

The TV commercial is generally considered the most effective mass-market advertising format and this is reflected by the high prices TV networks charge for commercial airtime during popular TV events. The annual US Super Bowl football game is known as much for its commercial advertisements as for the game itself, and the average cost of a single thirty-second TV spot during this game has reached $2.3 million (as of 2004).

Advertising on the World Wide Web is a recent phenomenon. Prices of Web-based advertising space are dependent on the "relevance" of the surrounding Web content. E-mail advertising is another recent phenomenon. Unsolicited E-mail advertising is known as "spam".

Some companies have proposed to place messages or corporate logos on the side of booster rockets and the International Space Station. Controversy exists on the effectiveness of subliminal advertising (see mind control), and the pervasiveness of mass messages (see propaganda).

Unpaid advertising (also called word of mouth advertising), can provide good exposure at minimal cost. Personal recommendations ("bring a friend", "sell it by zealot"), spreading buzz, or achieving the feat of equating a brand with a common noun ("Hoover" = "vacuum cleaner") -- these must provide the stuff of fantasy to the holder of an advertising budget.

Objectives

Where as marketing aims to identify the market that has use for a product, advertising is the communication by which information and ideas about the product are transmitted to potential consumers.

In general, advertising is used to convey availablity of a "product" (which can be a physical product, a service, or an idea) and to provide information regarding the product. This can stimulate demand for the product, one of the main objectives of advertising. In an attempt to stimulate demand, modern advertising additionally and regularily uses propaganda, sometimes even to the exclusion of any product information.

Examples of the ideas, informative or otherwise, that advertising tries to communicate are the product details or benefits and brand information. Advertising usually seeks to find a unique selling proposition (USP) of any product and communicate that to the user. This may take the form of a unique product feature or a perceived benefit. In the face of increased competition within the market due to growing numbers of substitutes there is more branding occurring in advertising. This branding attributes a certain personality or reputation to a brand, termed brand equity, which is distinctive from its competition. Generally, brand equity is a measure of the volume and homogeneity of, as well as positive and negative characteristics of, individual and cultural ideas associated with the product.

Brand franchise is a major way advertising may stimulate demand for a product. When enough brand equity is created that the brand has the ability to draw buyers (even without further advertising), it is said to have brand franchise. The ultimate brand franchise is when the brand is so prevalent in people's mind (called mind share), that it is used to describe the whole category of products. This phenomena is commonly known as "hyperbranding." Kleenex, for example, can distinguish itself as a type of tissue or a label for a category of products. That is, it is frequently used as a generic term. One of the most successful firms to have achieved a brand franchise is Hoover, whose name was for a very long time synonymous with vacuum cleaner (and Dyson has subsequently managed to achieve similar status, having moved into the Hoover market with a more sophisticated model of vacuum cleaner).

A brand franchise can be established to a greater or lesser degree depending on product and market. In Texas, for example, it is common to hear people refer to any soft drink as a Coke, regardless of whether it is actually produced by Coca-Cola or not (more accurate terms would be 'cola' or 'soda').

A legal risk of the brand franchise is that the name can become so widely accepted that it becomes a generic term, and loses trademark protection. Examples include "escalator", "aspirin" and "mimeograph". (See genericized trademark.)

Other objectives include short or long term increases in sales, market share, awareness, product information, and image improvement.

Techniques

File:SpidermanCommercialKyoto.jpg

Remarkable advertisement for the movie Spider-man 2 as seen on the stairs of the Kyoto train station in 2004.

For many advertisers, it is seen as insufficient to let individuals form their own opinions on and associations with products, or allow a natural progression of cultural ideas based on products, or to allow the product to be subject to these ideas. Instead, most modern advertising resorts to propaganda (and even manipulation) in an attempt to pre-empt, and thus have control over, individual and cultural opinions of and associations with products.

Advertisers use several recognizable techniques in order to better convince the public to buy a product. These may include:

Repetition: Some advertisers concentrate on making sure their product is widely recognized. To that end, they simply attempt to make the name remembered through repetition.

Bandwagon: By implying that the product is widely used, advertisers hope to convince potential buyers to "get on the bandwagon."

Testimonials: Advertisers often attempt to promote the superior quality of their product through the testimony of ordinary users, experts, or both. "Three out of four dentists recommend..." This approach often involves an appeal to authority.

Pressure: By attempting to make people choose quickly and without long consideration, some advertisers hope to make rapid sales: "Buy now, before they're all gone!"

Appeal to emotion Various techniques relating to manipulating emotion are used to get people to buy a product. Apart from artistic expression intended to provoke an emotional reaction (which are usually for associative purposes, or to relax or excite the viewer), three common argumentative appeals to emotion in product advertising are wishful thinking, appeal to flattery, and appeal to ridicule. Appeals to pity are often used by charitable organizations and appeals to fear are often used in public service messages and products, such as alarm systems or anti-bacterial spray, which claim protection from an outside source. Finally, appeals to spite are often used in advertising aimed at younger demographics.

Association: Advertisers often attempt to associate their product with desirable imagery to make it seem equally desirable. The use of attractive models, a practice known as sex in advertising, picturesque landscapes and other alluring images is common. Also used are "buzzwords" with desired associations. On a large scale, this is called branding.

Advertising slogans These can employ a variety of techniques; even a short phrase can have extremely heavy-handed technique. For example, Ford's slogan "We want you to think about buying a Ford" is a pressure tactic directed at the viewer, and McDonalds' slogan, "I'm lovin' it" is a combination of many different techniques, including a variety of associative responses ("it" invokes both the brand and product, as well as the slogan already being a popular phrase), and cognitive dissonance: In some people, the first person phrase "I'm" causes dissonance—being unable to associate the pronoun "I" in the context—and the viewer may compensate to reduce dissonance by acceptance of the phrase as one's own idea.

Controversy, as in the Benetton publicity campaign.

Guerilla Advertising: Advertising by association. Done in such a way so the target audience does not know that they have been advertised to, but their impression of the product is increased (or decreased) if that is the intent of the advertiser.

Subliminal messages: It was feared that some advertisements would present hidden messages, for example through brief flashed messages or the soundtrack, that would have a hypnotic effect on viewers ('Must buy car. Must buy car.') The notion that techniques of hypnosis are used by advertisers is now generally discredited, though subliminal sexual messages are extremely common, ranging from car models with SX prefixes to suggestive positioning of objects in magazine ads and billboards.

It is important to note: During the past decade, advertising has increasingly employed the device of irony. Aware that today's media-savvy viewers are familiar with -- and thus cynical about -- the traditional methods listed above, advertisers have turned to poking fun at those very methods. This "wink-wink" approach is intended to tell viewers, "We know that YOU know we're trying to sell you something, so bear with us and let's have fun." The ultimate goal of such advertising is to convey a sense of trust and confidence with viewers, by essentially saying, "We respect your intelligence, and you should respect us because we're not trying to fool you." Common television examples include most beer advertising and the commercials of the Geico insurance company.

Public service advertising

The same advertising techniques used to promote commercial goods and services can be used to inform, educate and motivate the public about serious non-commercial issues, such as AIDS, energy conservation, and deforestation.

Advertising, in its non-commercial guise, is a powerful educational tool capable of reaching and motivating large audiences. "Advertising justifies its existence when used in the public interest - it is much too powerful a tool to use solely for commercial purposes." - Attributed to Howard Gossage by David Ogilvy

Public service advertising, non-commercial advertising, public interest advertising, cause marketing, and social marketing are different terms for (or aspects of) the use of sophisticated advertising and marketing communications techniques (generally associated with commercial enterprise) on behalf of non-commercial, public interest issues and initiatives.

The granting of television and radio licenses by the FCC is contingent upon the station broadcasting a certain amount of public service advertising.

Public service advertising reached its height during World Wars I and II under the direction of several U.S. government agencies.

Social impact

Regulation

There have been increasing efforts to protect the public interest by regulating the content and the reach of advertising. Some examples are the ban on tobacco advertising imposed in the USA, and the total ban on advertising to children under twelve imposed by the Swedish government in 1991. Though that regulation continues in effect for broadcasts originating within the country, it has been weakened by the European Court of Justice, which has found that Sweden was obligated to accept whatever programming was targeted at it from neighboring countries or via satellite. In Europe and elsewhere there is a vigorous debate on whether and how much advertising to children should be regulated. This debate was exacerbated by a report released by the Henry J. Kaiser Family Foundation in February 2004 which suggested that food advertising targeting children was an important factor in the epidemic of childhood obesity raging across the United States.

Critiques of the medium

As advertising and marketing efforts become increasingly ubiquitous in our culture, the industry has come under criticism of groups such as Adbusters via culture jamming which criticizes the media and consumerism using advertising's own techniques. The industry is accused of being one of the engines powering a convoluted economic mass production system which promotes consumption. Some advertising campaigns have also been criticized as inadvertently or even intentionally promoting sexism, racism, and ageism. Such criticisms have raised questions about whether this medium is creating or reflecting cultural trends.

Public interest groups, such as New Ethic and free thinkers [1] are increasingly suggesting that access to the mental space targeted by advertisers should be taxed, in that at the present moment that space is being freely taken advantage of by advertisers with no compensation paid to the members of the public who are thus being intruded upon. This kind of tax would be a Pigovian tax in that it would act to reduce what is now increasingly seen as a public nuissance. Efforts to that end are gathering momentum, with Arkansas and Maine considering bills to implement such taxation. Florida enacted such a tax in 1987 but was forced to repeal it after six months, as a result of a concerted effort by national commercial interests, which withdrew planned conventions, causing major losses to the tourism industry, and cancelled advertising, causing a loss of 12 million dollars to the broadcast industry alone.

Future

With the dawn of the internet has come many new advertising opportunities. Popup ads, Flash ads, Banner ads, and email ads (often a form of SPAM) abound. What the advertising community is just recently beginning to do is making the ads themselves desirable to the public. For example: Cadillac chose to advertise in the movie 'The Matrix: Reloaded' which as a result contained many scenes in which Cadillac cars were used. From some points of view the whole movie could be viewed as an ad, but since it was entertaining, the public desires to view that ad. During the superbowl each year greater sums are paid to get a commercial spot. These commercials are often very entertaining and many members of the public desire to watch them (many people watch the superbowl just for the commercials).

The advertising community has not yet succeeded in making their ads available to the public. Since the dawn of interesting and entertaining (desirable) advertising some people have been so entertained by a particular ad that they might like to watch the ad later or show a friend. The advertising community has not yet made it easy to acquire and watch an ad when and where a member of the public wants to. A few members of the advertising community have and many more may in the future wish to use the internet to widely distribute their ads to anyone who wishes to see or hear them. Possibly by distributing their television advertisements for free from their websites. Considering that in most cases they have to pay to get them seen or heard it could be valuable to allow those who wish to watch them to do so freely and even distribute them to others.

Potentially (and this has not been achieved by the advertising community to any degree) we could see the advertising community releasing quantities of free advertising content (in the form of pictures, sounds and video) to the public for whatever use they wish (perhaps under a creative commons license) which would likely result in widespread viewing and distribution which is desirable for both the advertiser and the public who enjoy using the content in their own creations.

Bibliography

Wernick, Andrew (1991) "Promotional Culture: Advertising, Ideology and Symbolic Expression (Theory, Culture & Society S.)", London: Sage Publications Ltd, ISBN 0803983905

External links

List of Marketing Topics	List of Management Topics
List of Economics Topics	List of Accounting Topics
List of Finance Topics	List of Advertising Slogans

@@ Line 63: / Line 63: @@
 * '''[[Controversy]],''' as in the [[Benetton]] publicity campaign.
-* '''[[Guerilla Advertising]]''': Advertising by association.  Done in such a way so the target audience does not know that they have been advertised to, but their impression of the product is increased (or decreased if that is the intent of the advertiser.
+* '''[[Guerilla Advertising]]''': Advertising by association.  Done in such a way so the target audience does not know that they have been advertised to, but their impression of the product is increased (or decreased) if that is the intent of the advertiser.
 * '''[[Subliminal messages]]''': It was feared that some advertisements would present hidden messages, for example through brief flashed messages or the soundtrack, that would have a hypnotic effect on viewers ('Must buy car. Must buy car.') The notion that techniques of hypnosis are used by advertisers is now generally discredited, though subliminal sexual messages are extremely common, ranging from car models with SX prefixes to suggestive positioning of objects in magazine ads and billboards.