AdvF-01 Advertising Bkgd

Summary

This video script explores the history and evolution of advertising, starting from early barter systems and symbolic signage to modern digital and social media advertising. It highlights key milestones like the invention of the printing press, the rise of TV and radio ads, the impact of the Industrial Revolution, and the emergence of consumer-driven advertising. The script emphasizes the growing importance of market segmentation, positioning, and relationship marketing. It concludes by noting how the rise of the internet and social media has transformed advertising, focusing on authenticity and customer relationships as critical elements in the digital age.

Takeaways

• 😀 Advertising is a paid, mediated form of communication designed to persuade the receiver to take action now or in the future.
• 😀 The primary goal of advertising is to communicate a message to a receiver, typically a consumer, often involving a paid exchange.
• 😀 Advertising is mediated through channels like TV, internet, or billboards, but the rise of social media challenges the traditional concept of mediation.
• 😀 Advertising is always persuasive, aiming to influence consumer behavior by encouraging actions like buying, visiting a website, or sharing on social media.
• 😀 Ads identify the advertiser, though in some cases, such as product placement, the identity of the advertiser may be subtle.
• 😀 Advertising serves seven key functions in marketing: identification, communication, persuasion, distribution stimulation, usage increase, brand loyalty, and cost reduction.
• 😀 Early societies didn’t need advertising as barter systems sufficed, but the rise of money and cities brought about the need for advertising.
• 😀 The invention of the printing press in the 15th century was a pivotal moment in advertising, making it easier to create and distribute messages.
• 😀 The rise of radio in the 1920s expanded advertising reach, and later, TV became a dominant medium in the 1950s, significantly changing advertising strategies.
• 😀 Post-World War II, advertising began emphasizing brand image and product differentiation to align with changing consumer desires and market competition.
• 😀 The internet and digital media in the 1990s led to a new advertising age, focusing on interactive and social media marketing, which now emphasizes building relationships with customers.

Q & A

What is advertising?

Advertising is a paid, mediated form of communication from an identifiable source designed to persuade the receiver to take some action now or in the future.

What is meant by the term 'mediated' in advertising?

Mediated in advertising refers to the use of a communication channel or medium to deliver the ad to an audience, such as the internet, TV, or billboards.

How does advertising help in marketing?

Advertising serves seven functions in marketing: 1) Identifying and differentiating products, 2) Communicating product information, 3) Inducing consumers to try and reuse products, 4) Stimulating distribution, 5) Increasing product use, 6) Building brand loyalty, and 7) Lowering sales costs.

What are some early examples of advertising in pre-industrial societies?

In early societies, advertising often involved symbols or pictures on signboards, as most people couldn't read. This was common during the pre-industrial age, which lasted until the early 19th century.

Why is the invention of the printing press significant to advertising?

The printing press revolutionized advertising by enabling quick and easy production of printed materials, allowing advertisements to spread widely, with the first English ad appearing in 1472.

What role did Benjamin Franklin play in the development of advertising?

Benjamin Franklin is credited with creating advertising art, as he improved the readability of ads, experimented with layouts, and used illustrations in ads, particularly when he bought the Pennsylvania Gazette in 1729.

How did the Industrial Revolution impact advertising?

The Industrial Revolution led to an increase in goods production and transportation, allowing manufacturers to reach more customers. Technological advancements, such as photography, also enabled more visually appealing and effective advertisements.

What is 'product differentiation' in advertising?

Product differentiation is a strategy where advertisers portray their products as different and better than competitors' products, using elements like advertising, packaging, and physical product differences.

How did the Great Depression affect the advertising industry?

During the Great Depression, ad expenditures dropped due to economic hardship, but the advertising industry responded by focusing on improving effectiveness and conducting consumer research to prove advertising's value to businesses.

What is the significance of the internet in modern advertising?

The internet revolutionized advertising by providing a new medium for reaching customers. With the rise of social media, advertising became more interactive, allowing brands to build relationships with consumers and emphasize authenticity in their messages.