The Wonderful World of ADVERTISING

1
The Wonderful World of ADVERTISING

• Chapter 1.5

2
Why advertise?

• Make a profit!

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Where do we see advertising?

• Newspapers
• Magazines
• Commercials
• Movie previews
• Billboards
• Freebies
• Bumper stickers
• T-shirts

• Sporting fields
• US Cellular Field
• Events
• Gillette Million Challenge
• Mail
• Stores
• End caps

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Ads can..

• Inform
• Entertain
• Entice

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Brand Advertising

• If you remember their name, youll buy their
  product!
• Jingles
• Benefit of brands
• If you like one brand, you can depend on the
  rest.
• Costs added to product
• GENERIC

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Informative Advertising

• Inform you about a products features and
  benefits
• Complex items or technical products
• Infomercials ??

7
Comparative Advertising

• Comparing products
• Tooth whitening (strips, paint)
• Shows competitors weaknesses
• Although exaggerated, may help

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Defensive Advertising

• Counter attacks from competitors
• Philip Morris
• Does not provide a complete picture

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Persuasive Advertising

• Appeals to your emotions to buy
• Doesnt provide much useful information
• Owning this product will make you
• Happier
• More successful
• More satisfied
• Ignore these evaluate realistically

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More on Advertising

• Businesses spend 200 billion/year in advertising
• Price reflected in cost of product
• Advertising Higher sales larger volume
  lower costs lower price to consumers

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Deceptive Practices

• Deceptive advertising deliberately misleads
  consumers
• PUFFERY innocent exaggeration (legal)
• FACTUALLY WRONG penalties but hard to prosecute
  (sweepstakes)
• vague but difficult to prove
• Is it really a sale?

12
Deceptive Advertising

• Courts ruled that companies cannot advertise
  free if customers are required to buy something
  to receive it.
• All expenses paid.

13
Remember!

• The producer wants to make money!
• You will only hear the positive side.
• You only hear and see what they WANT you to hear
  and see.
• Evaluate all your options thoroughly