1. Advertising Principles MCOM 341

2. Let’s play… Is This An Ad?

3. Is This an Ad?

4. Is This an Ad?

5. Is This an Ad?

6. Is This an Ad?

7. Is This an Ad? http://www.youtube.com/watch?v=UDyLeu7zIZE

8. Is This an Ad?

9. Is This an Ad?

10. Is This an Ad?

11. Is This an Ad?

12. Is This an Ad?

13. Is This an Ad? http://www.youtube.com/watch?v=ZjdpsLGPcvQ

14. What is Advertising? How do you define advertising?

15. What is Advertising? Advertising is the structured and composed nonpersonal communication of information, usually paid for and usually persuasive in nature, about products (goods, services and ideas) by identified sponsors through various media. Note: there are types of marketing communications that are not advertising.

16. What is Advertising? Advertising is a type of communication. It is structured, using specific verbal and nonverbal elements to convey a message. Advertising is also composed to fit within time and space formats of the chosen advertising vehicles.

17. What is Advertising? Advertising is generally aimed at groups of people, making it nonpersonal (mass communication). Those groups can be targeted, however – such as men, women, senior citizens, college students, parents, accountants, etc. Consumers = individuals who buy products for their own use. Professionals = business decision makers who buy products for their company’s use or large quantities for use in stores.

18. What is Advertising? Advertising is paid communication. The sponsor, or advertiser, pays for the message to be communicated to people. An exception is non-profit organizations whose messages are carried free of charge in the form of public service announcements (PSAs). Advertising has identified sponsors.

20. Services: financial, internet, cell phone, insurance, cosmetic

22. Marketing American Marketing Association definition of marketing: Marketing is an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. Marketing generates customers and revenue for the organization.

24. Price

25. Place

26. PromotionExample: Snuggie http://www.youtube.com/watch?v=R-df-ISYkGA&playnext=1&list=PL6C2397B2323F8BFC&index=1br />Advertising is one type of promotion that helps the organization reach its marketing goals.

27. Advertising in a Free Market A free market is one in which the buyers and sellers have multiple alternatives, i.e. competition. Advertising is only needed if there’s a free (or somewhat free) market for that product. Fundamental assumptions of free-market economy: Self-interest Complete information Many buyers and sellers Absence of externalities

29. To communicate information about the product, its features, and its place of sale

30. To induce consumers to try new products and to suggest reuse

31. To stimulate the distribution of the product

32. To increase product use

33. To build value, brand preference, and loyalty

34. To lower the overall cost of sales