Source : Wikepedia
Advertising is paid communication through a non-personal
medium in which the sponsor is identified and the message is controlled.
Variations include publicity, public
placement, sponsorship, Time
promotion. Every major medium is used to deliver these messages:
television, radio, movies, magazines, newspapers, the internet, and billboards.
Advertisements can also be seen on the seats of grocery carts, on the
walls of an airport walkway, and the sides of buses, or heard in telephone
hold messages or in-store PA systems – nearly anywhere a visual
or audible communication can be placed.
Advertising clients are predominantly, but not exclusively, for-profit corporations
seeking to increase demand for their products or services. Other organizations
that frequently spend large sums of money on advertising include political
organizations, and the military
of the United States. Other non-profit
organizations are not typical advertising clients, and rely upon free channels,
such as public
In 1997, in the U.S. alone, over $175 billion USD was spent on advertising.
While advertising can be seen as necessary for economic growth, it is not without
social costs. Unsolicited
Commercial Email and other forms of spam have
become so prevalent as to have become a major nuisance of users of these services,
as well as being a financial burden on internet
service providers. Advertising
is increasingly invading public spaces, such as schools, which some critics argue
is a form of child exploitation.One
scholar has argued that advertising is a toxic by-product of industrial society
which may bring about the end of life on earth.
messages and political
campaign displays have been found in the ruins of ancient Pompeii.
Egyptians used papyrus to
create sales messages and wall posters, while lost-and-found advertising
on papyrus was common in Greece and Rome.
Wall or rock painting for commercial advertising is another manifestation
of an ancient media advertising form, which is present to this day in
many parts of Asia, Africa,
America. For instance, the tradition of wall painting can be traced
back to Indian rock-art paintings
that goes back to 4000 BC.
As printing developed in the 15th and 16th century, advertising expanded
to include handbills. In the 17th century advertisements started to appear
in weekly newspapers in England.
These early print ads were used mainly to promote books,and newspapers
which became increasingly affordable thanks to the printing
press, and medicines, which were increasingly sought after as disease
ravaged Europe. However, false
advertising and so-called "quack" ads
became a problem, which ushered in regulation of advertising content.
A print advertisement for the 1913 issue of the Encyclopædia
Edo period advertising flier from 1806 for a traditional medicine called Kinseitan
Although advertising has existed for a long time, explicit "branding" is
a product of the late 1800s. Due to the prevalence of dangerous products
and unregulated industries of the Industrial Revolution, brands were introduced
to increase the reputation and value of a particular manufacturer. An identified
brand often meant safety and quality. Quaker Oats is among the oldest modern
brand in continual use.
Lydia Pinkham was one of the true success stories of personality
branding. Her family used her name and image to promote their patent
medicine in the 1800s. The product was incredibly successful. Women
wrote Lydia for advice - often the company would reply (Lydia herself was
uninvolved). Even after her death, the company kept up appearances, continuing
to answer letters addressed to her by consumers.
As the economy was expanding during the 19th century, advertising
grew alongside. In the United
States, classified ads became even more popular, filling pages of newspapers
with small print messages promoting all kinds of goods. The success of
this advertising format led to the growth of mail-order advertising such
as the Sears
Catalog, at one time referred to as the "Farmer's Bible".
In 1843, the first advertising
agency was established by Volney
Palmer in Philadelphia.
At first, agencies were brokers for ad space in newspapers. N.W.
Ayer & Son was the first full-service agency to assume responsibility
for advertising content. It was also the first agency to charge a commission
At the turn on the century there were few career choices for women
in business; however, advertising was one. Since women were responsible
for most of the purchasing in their household, advertisers and agencies
recognized the value of women's insights during the creative process. In
fact, the first American advertising to use a sexual sell was created by
a woman for a soap. Although tame by today's standards, it featured a couple
and said "The skin you love to touch".
When radio stations began broadcasting in the early 1920s, the programs
were aired without advertising. The first radio stations were established
by radio equipment manufacturers and retailers offering programming to
sell radios. However many non-profit operators followed suit, such as schools,
clubs, and civic groups.
The radio station owners soon realized they could earn more money
by selling sponsorship rights to other businesses. In those days, each
show was usually sponsored by a single business, in exchange for a brief
mention of the sponsor at the beginning and end of the show. This practice
was carried over to television in the late 1940s and early 1950s.
However, a fierce battle was fought between those seeking to commercialize
this new medium and the people who argued that the radio spectrum should
be considered the commons, to be used only non-commercially and for the
public good. In Canada, advocates like Graham
Spry were able to convince the government to adopt a socialist funding
model. England followed suit with the development of the BBC.
However in the United States, the capitalist model prevailed with the passage
of the 1934
Communications Act which created the Federal
To placate the socialists, the U.S. Congress did require that commercial
broadcasters operate in the "public interest, convenience, and necessity".However
public radio certainly exists in the United States.
In the early 1950s, the Dumont television network began the modern
trend of selling advertisement time to multiple sponsors. Dumont had trouble
finding sponsors for many of their programs and compensated by selling
smaller blocks of advertising time to several businesses. This eventually
became the norm for the commercial television industry in the United States.
However, it was still a common practice to have single sponsor shows, such
as the U.S. Steel Hour. In some instances the sponsors exercised great
control over the content of the show - up to and including having one's
advertising agency actually writing the show. The single sponsor model
is much less prevalent now, a notable exception being the Hallmark Hall
The 1960s saw advertising transform into a modern, more scientific
approach in which creativity was allowed to shine, producing unexpected
messages that made advertisements more tempting to consumers' eyes. The Volkswagen ad
campaign featuring such headlines as "Think Small" and "Lemon" ushered
in the era of modern advertising by promoting a "position" or "unique
selling proposition" designed to associate each brand with a specific
idea in the reader or viewer's mind. This period of American advertising
is called the Creative Revolution and its poster boy was Bill
Bernbach who helped create the revolutionary Volkswagen ads among others.
Some of the most creative and long-standing American advertising dates
to this incredibly creative period.
The late 1980s and early 1990s saw the introduction of cable
television and particularly MTV.
Pioneering the concept of the music
video, MTV ushered in a new type of advertising: the consumer tunes
in for the advertising message, rather than it being a byproduct
or afterthought. As cable (and
television became increasingly prevalent, "specialty" channels
began to emerge, and eventually entire channels, such as QVC and Home
Shopping Network and ShopTV,
devoted to advertising merchandise, where again the consumer tuned in for the
Marketing through the Internet opened
new frontiers for advertisers and contributed to the "dot-com" boom
of the 1990s. Entire corporations operated solely on advertising revenue,
offering everything from coupons to free Internet access. At the turn of
the 21st century, the search
engine Google revolutionized
online advertising by emphasizing contextually relevant, unobtrusive ads
intended to help, rather than inundate, users. This has led to a plethora
of similar efforts and an increasing trend of interactive
The share of advertising spending relative to total economic output
(GDP) has changed
little across large changes in media.
For example, in the U.S. in 1925,
the main advertising media were newspapers, magazines,
signs on streetcars,
and outdoor posters.
Advertising spending as a share of U.S. GDP was
about 2.6% in 1925.
By 1998, television and radio had
become major advertising media. Nonetheless, advertising spending as a
share of GDP was
slightly lower -- about 2.4%.
A recent advertising innovation is "guerrilla
promotions", which involve unusual approaches such as staged encounters
in public places, giveaways of products such as cars that are covered with
brand messages, and interactive advertising where the viewer can respond
to become part of the advertising message. This reflects an increasing
trend of interactive and "embedded" ads, such as via product
placement, having consumers vote through text
messages, and various innovations utilizing social
networking sites (e.g. Myspace).
Mobile Billboard Advertising
Truck with Mobile Billboard
Mobile Billboards are flat-panel campaign units dedicated to only
carry advertisements along dedicated routes selected by clients prior to
the start of a campaign. Mobile Billboard companies employ dedicated drivers
and do not typically carry third-party cargo or freight. Mobile displays
are an ideal advertising option for:
- Target advertising
- One day, one week, and long term campaigns
- Convention coverage
- Sporting events coverage
- Store grand openings or other similar promotional events
Certain products use a specific form of advertising known as "Custom
publishing". This form of advertising is usually targeted
at a specific segment of society, but may also "draw" the
attention of others. The lists are presented in the following box:
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 non-commercial
issues, such as AIDS, political ideology, energy conservation, religious
recruitment, 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
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.
'''''''In the United States, the granting of television and
radio licenses by the FCC is contingent upon the station broadcasting a
certain amount of public service advertising. To meet these requirements,
many broadcast stations in America air the bulk of their required Public
Service Announcements during the late night or early morning when the smallest
percentage of viewers are watching, leaving more day and prime time commercial
slots available for high-paying advertisers.'''''''
Public service advertising reached its height during World Wars I
and II under the direction of several governments.
Famous comments on advertising include: "Don't tell my mother I work
in an advertising agency - she thinks I play piano in a whorehouse." ~
Paying people to hold signs in public places is one of the oldest
forms of advertising such as the Human
directional pictured above
A bus with an
advertisement for GAP in Singapore.
Buses and other vehicles are popular mediums for advertisers.
Transit advertising is combined with experiential marketing using pedapods in Australia
Commercial advertising media can
include wall paintings, 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, subway platforms and trains, elastic bands on disposable diapers,
stickers on apples in supermarkets,
the opening section of streaming audio
and video, posters,
chicken niblets, 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
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 Super
Bowl football game
in the United States 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 $2.5 million (as of 2006).
Virtual advertisements may be inserted into regular television programming
through computer graphics. It is typically inserted into otherwise blank
used to replace local billboards that are not relevant to the remote broadcast
More controversially, virtual billboards may be inserted into the background where
none existing in real-life. Virtual product placement is also possible.
Increasingly, other mediums such as those discussed below are overtaking
television due to a shift towards consumer's usage of the Internet as well
as devices such as TiVo.
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
and the traffic that the website receives.
is another recent phenomenon. Unsolicited bulk E-mail advertising is known
Some companies have
proposed to place messages or corporate
logos on the side of booster rockets and
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"), spreading
buzz, or achieving the feat of equating a brand with
a common noun ("Xerox" = "photocopier", "Kleenex" = tissue, "Vaseline" = petroleum
jelly, and "Band-Aid" = adhesive bandage.) -- these are the
pinnacles of any advertising campaign. However, some companies oppose the
use of their brand name to label an object.
The most common method for measuring the impact of mass media advertising
is the use of the rating point (rp) or the more accurate target rating
point (trp). These two measures refer to the percentage of the universe
of the existing base of audience members that can be reached by the
use of each media outlet in a particular moment in time. The difference
between the two is that the rating point refers to the percentage to the
entire universe while the target rating point refers to the percentage
to a particular segment or target. This becomes very useful when focusing
advertising efforts on a particular group of people.For example, think
of an advertising campaign targeting a female audience aged 25 to 45. While
the overall rating of a TV show might be well over 10 rating points it
might very well happen that the same show in the same moment of time is
generating only 2.5 trps (being the target: women 25-45). This would mean
that while the show has a large universe of viewers it is not necessarily
reaching a large universe of women in the ages of 25 to 45 making it a
less desirable location to place an ad for an advertiser looking for
this particular demographic. Conversely, a TV show with a low overall
rating point may be more successful at selling ads when its target
rating points are high. In the United
States, networks like the WB and FOX have
had success with shows based on this premise; the shows had low
overall ratings points, but delivered strong target rating points
in the desired demographic.
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"Half the money I spend on advertising is wasted; the trouble is,
I don't know which half." - John
Wanamaker, father of modern advertising.
The impact of advertising has been a matter of considerable debate
and many different claims have been made in different contexts. During
debates about the banning of cigarette advertising, a common claim from
cigarette manufacturers was that cigarette advertising does not encourage
people to smoke who would not otherwise. The (eventually successful) opponents
of advertising, on the other hand, claim that advertising does in fact
According to many sources, the past experience and state of mind
of the person subjected to advertising may determine the impact that advertising
has. Children under the age of four may be unable to distinguish advertising
from other television programs, whilst the ability to determine the truthfulness
of the message may not be developed until the age of 8.
Over the past fifteen years a whole science of marketing analytics
effectiveness has been developed to determine the impact of marketing
actions on consumers, sales, profit and market
share. Marketing Mix Modeling, direct response measurement and other
techniques are included in this science.
Public perception of the medium
As advertising and marketing efforts become increasingly ubiquitous in
modern Western societies, 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.
Recognizing the social impact of advertising, Mediawatch-uk,
a British special interest group, works to educate consumers about how
they can register their concerns with advertisers and regulators. It has
developed educational materials for use in schools. The award-winning book,
Made You Look How Advertising Works and Why You Should Know, by
former Mediawatch (a feminist organisation founded by Ann
Simonton not linked to mediawatch-uk) president Shari Graydon, provides
context for these issues for young readers.
wrapped around a train. Minneapolis, Minnesota, US, (2005).
Public interest groups 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 nuisance. 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
Negative effects on communication media
An extensively documented effect is the control and vetoing of free information
by the advertisers. Any negative information on a company or its products
or operations often results in pressures from the company to withdraw such
information lines, threatening to cut their ads. This behavior makes the
editors of the media self-censor content that might upset their ad payers.
The bigger both companies are, the bigger their relation gets, maximizing
control over a single information.
Advertisers may try to minimize information about or from consumer
groups, or consumer controlled purchasing initiatives (as joint purchase
systems), or consumer controlled quality information systems.
Another indirect effect of advertising is to modify the very nature
of the communication media where it is shown. Media that get most of their
revenues from publicity try to make their medium a good place for communicating
ads before anything else. The most clear example is television, where this
means trying to make the public stay for a long time and in a mental state
that encourages spectators not to switch the channel through the ads. Programs
that are low in mental stimulus and require light concentration and are
varied are best for long sitting times. These make for much easier emotional jumps
to ads, which can become more entertaining than regular shows. A simple
way to understand the objectives in television programming is to compare
contents from channels paid and chosen by the viewer with channels that
get their income mainly from advertisements.
Main article: Advertising
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 television tobacco advertising imposed in many countries, 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 obliged to accept
whatever programming was targeted at it from neighboring countries or via
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 Kaiser
Family Foundation in February 2004 which suggested that food advertising
targeting children was an important factor in the epidemic of childhood
obesity in the United States.
In many countries - namely New Zealand, South Africa, Canada, and
many European countries - the advertising industry operates a system of
self-regulation. Advertisers, advertising agencies and the media agree
on a code of advertising standards that they attempt to uphold. The general
aim of such codes is to ensure that any advertising is 'legal, decent,
honest and truthful'. Some self-regulatory organizations are funded by
the industry, but remain independent, with the intent of upholding the
standards or codes (like the Advertising
Standards Authority in the UK).
Naturally, many advertisers view governmental regulation or even
self-regulation as intrusion of their freedom of speech or a necessary
evil. Therefore, they employ a wide-variety of linguistic devices to bypass
regulatory laws (e.g. giving English words in bold and French translations
in fine print to deal with the Article 12 of the 1994 Toubon
Law limiting the use of English in French advertising); see Bhatia
and Ritchie 2006:542. The advertising of controversial products such as
cigarettes and condoms is subject to government regulation in many countries.
For instance, the tobacco industry is required by law in India and Pakistan
to display warnings cautioning consumers about the health hazards of their
products. Linguistic variation is often used by advertising as a creative
device to reduce the impact of such requirement.
With the dawn of the Internet have come many new advertising opportunities. Popup, Flash, banner, advergaming,
and email advertisements (the last often being a form of spam) abound.
Each year, greater sums are paid to obtain a commercial spot during
Bowl, which is by most measures considered to be the most important
football game of the year. Companies attempt to make these commercials
sufficiently entertaining that members of the public will actually want
to watch them.
Another phenomenon is people recording shows on DVRs . These devices allow users to record the programs for later viewing enabling
them to fast forward through commercials. Additionally, as more seasons
or “Boxed Sets” come out of Television
shows; fewer people are watching their shows on TV. However, the fact
that these sets are sold, means that the company will
additionally receive profits from the sales of these sets. To counter this
effect, many advertisers have opted for product
placement on TV shows like Survivor.
Particularly since the rise of "entertaining" advertising, some
people may like an advert enough that they wish to watch it later or show
a friend. In general, the advertising community has not yet made this easy,
although some have used the Internet to widely distribute their adverts
to anyone wishing to see or hear them.
Another significant trend to note for the future of advertising is
the growing importance of niche or targeted ads. Also brought about by
the Internet and the theory of The
Long Tail, advertisers will have an increasing ability to reach narrow
audiences. In the past, the most efficient way to deliver a message was
to blanket the largest mass market audience possible. However, usage tracking,
customer profiles and the growing popularity of niche content brought about
by everything from blogs to social networking sites, provides advertisers
with audiences that are smaller but much better defined, leading to ads
that are more relevant to viewers and more effective for companies marketing
products. Among others, Comcast
Spotlight is one such advertiser employing this method in their video
on demand menus. These advertisements are targeted to a specific group
and can be viewed by anyone wishing to find out more about a particular
business or practice at any time, right from their home. This causes the
viewer to become proactive and actually choose what advertisements they
want to view.
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