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Transcript
Advertising Media Advertising & Its Purpose Advertising uses a set format that is defined in terms of time or space. Main purpose-to present its message so well that the customer will buy the product or accept the idea presented Two types: promotional and institutional Promotional vs. Institutional Promotional – designed to increase sales Purposes Institutional – attempts to create a favorable impression and goodwill for a business or organization – creating an interest in products Purposes – introducing new – presenting information products & businesses about a company’s – explaining a product role in the community – supporting personal – important public issues selling – topics of general – creating new markets interest(environment) Promotional Institutional Media- means, agencies, or instruments used to convey messages 3 general categories: – print, broadcast, and specialty Print Media (everything from newspapers & magazines to direct mail) – done in written form – oldest and most effective type of advertising – 6 types • Newspaper • Magazine • Direct-Mail Outdoor Directory Transit Newspaper Advertising Main form of print media 4 advantages – large readership & high level of involvement – Known circulation – Low cost – Timely & changed up to 24 hrs. prior to print 3 limitations – Wasted circulation – Limited life of advertisements – Poor quality of reproduction Magazine Advertising Divided into local, regional, and national weeklies, monthlies, and quarterlies. 4 Advantages – Able to target audience-known circulation – Often read more slowly & thoroughly – Higher print quality – Kept for longer period of time 3 Limitations – Less mass appeal within a geographical area – More expensive – Deadline is usually months prior to printing Direct Mail Advertising Sent by businesses directly through mail to prospective customers 5 advantages – Highly selective – Flexible timing, limited viewing by competition – Wide choices of sizes and formats – Can use incentives--coupons, etc. – Can actually use it to make the sale 3 limitations – Low level of response – Increasing costs(postage, mailing lists) – Considered junk mail & discarded Outdoor Advertising Two types of outdoor signs 1. nonstandardized-used at place of business 2. standardized-purchased from outdoor advertising companies, placed near highly traveled roads Three types of standardized – Posters-preprinted sheets put up like wallpaper-changed 3-4 times a year – Painted bulletins-changed 1-2 a year – Spectaculars-use lights or moving parts More restrictions being put on recently Outdoor Advertising 4 Advantages – Highly visible – relatively inexpensive – easy repetition of a message that works 24 hrs. – can be geographically tailored to reach market 3 limitations – Short viewing time=short message – Make-up of audience largely unknown – Increasing government regulations Directory Advertising Placed in alphabetical listings of households & businesses(Yellow Pages) 3 Advantages – relatively inexpensive – Found in 98% of all households – Usually kept for 1 year or longer 2 Limitations – printed yearly, unable to adjust prices, message – Waste if not reaching intended market Transit Advertising Uses public transportation facilities-inside & outside of vehicles & stations or stops 3 Advantages – Reaches wide & captive audience – economical – defined market (usually urban) 3 Limitations – Often unavailable in smaller towns – Subject to defacement – Restricted to certain travel destinations Broadcast Media Includes radio & television Not only for entertainment but also information Approximately 10,000 radio stations, 1200 commercial television stations, & 11600 cable stations High availability & popularity, but high cost Radio Advertising Ability to reach 96% of people over age 12 in any given week makes it extremely popular Best times for radio advertising are mornings and early afternoon or evening when people are driving to and from work(prime time) Radio advertisements are presented in 15-, 30-, & 60-second time slots Radio Advertisements 3 Advantages – Can select audience by advertising on stations targeting that market – More flexible than print b/c ads can be easily changed – Mobile medium 3 Limitations – Short life span – Several stations often compete for the same audience – Lack of visual involvement--easily distracted Television Advertising Can communicate message with sound, action, and color. Prime time is 7-11pm when millions of viewers are watching Infomercial-30 minute commercial, viewers order merchandise through mail or phone Television Advertising 5 Advantages – Can pull together all elements need to create a creative message – More inclined to believe what we see than read – Seems more personal and effective b/c it is in your home – Mass audience--targeted programming – Can be adapted to take advantage of holidays, sporting events, etc. Television Advertising 3 Limitations – Highest production costs of any media & high $ cost for time used, keeps many smaller companies from advertising – Audience size not assured – Many viewers consider television ads to be a nuisance--channel surfing Online Advertising Uses either email or www Still smallest form of media spending 2003 1.09 trillion impressions-single appearance of an ad on a computer user’s screen – Electronic direct-mail advertising • • • • Pre-qualified groups Enables companies to track customers Cost-effective Easy to update and personalize Online Advertising Banners – Most used – Rectangular and found in top, bottom or sides of webpage. Button Ad Pop-up ads – TV-like spots that popup between Web pages and stream video and sound. – Viewer must click through ad to navigate site Bold colors, top of page placement, animation, calls to action, and limited frequency of exposure help increase the number of click-throughs. Response rate of 1%, for every 100 banner ads, only 1 in 100 users click on ad. Specialty Media Relatively useful, inexpensive, items with the advertiser’s name printed on them No obligation to receiving and keeping items To be successful they must be practical & likely to be placed in places where they will be seen Usually carry name, address, and message of business 2 Limitations – distribution limited – items given to non-target audience members Other Advertising Media Sports arena billboards, movie theater & home video commercials, hot air balloons and blimps, skywriting, & airplane pulled advertising banners In-store techniques-electronic shelf ads, cart advertising, instant coupon machines, infomercial displays Media Costs Costs vary not only among different media but also among geographic location Look up rates in the publications of the Standard Rate and Data Service Also use Audit Bureau of Circulation(ABC) to verify circulation figures Newspaper Rates Classified Ad or a Display Ad Classified-grouped together, pay by the word Display-creative, use headline, copy, etc., cost based on amount of space used Quoted based on column inch (1 column wide, 1 inch deep) Run-of-paper rate-newspaper chooses where ad is run--higher rate if advertiser chooses where it is run Newspaper Rates Color more expensive than black and white Frequency of advertising lowers rate charged--cheaper rates the more frequently advertised Open rate(noncontract rate) charged to businesses who advertise infrequently, basic charge for a minimum amount of space Newspaper Rates Contract rates-given to those businesses who advertise more often, discounted rate, agree to advertise for a certain period of time with a guaranteed number of column inches CPM-cost per thousand rate-media cost of exposing 1,000 readers to an ad – CPM=cost of ad x 1000/circulation Magazine Rates Based on circulation, quality of readership, production technique bleed-ads printed to edge of page leaving no white border(15-20% extra for bleeds) black-and-white rates-lowest rates color rates-ever color added increases cost, four color ads most expensive premium position-first page, etc. more expensive frequency discounts-rate per issue decreases as frequency increases Magazine Rates Commission-percentage paid to advertising agency who placed the ad (15%) cash discount-given if bill paid earlier than due (2/10 net 30) Look at page 267, what is the cost to an advertising agency of a 1/2 page full color ad with bleed, they charge a 15% commission and will get a 2/10 net 30 cash discount? Radio Rates Network radio advertising-a broadcast from a studio to all affiliated radio stations throughout the country National spot radio advertising-used by national firms to advertise on a local station-by-station basis Local radio advertising-done by a local business for its target market Television Rates Prime-time hours(7-11pm) known as Class AA time Rates charged depend on time slotClass A, B, C and D Can also arrange package deal with television media representative