1. Chapter 16 Be Creative with Advertising 1 Do you stereotype? Let’s look at Newsline: Where’s the Consumer? p. 428 Does it affect advertising?

2. Chapter 16 Be Creative with Advertising 2 Be CREATIVE with Advertising! Chapter 16 What is Advertising? Lesson 16.1

3. Chapter 16 Be Creative with Advertising 3 Advertising Pros and Cons Good for economy –$200+ BILLION a year Informative Low cost per viewer Can target a specific audience One way only Lack of control over who is watching –Do you stick around to watch commercials? Total cost, very high!

4. Chapter 16 Be Creative with Advertising 4 Types of Advertising Organizational –promotes ideas, images, issues associated with a company “Save big money at Menards!” Product –used to sell a specific product Example anyone?

5. Chapter 16 Be Creative with Advertising 5 “ALL” Advertisers are required to follow regulations. Federal, state and local government agencies determine these regulations as well as each company holds their own professional code of ethics.

6. Chapter 16 Be Creative with Advertising 6 Regulating Advertising The FTC (Federal Trade Commission) and the FCC (Federal Communications Commission) create rules to protect consumers and competitors from unfair and inappropriate promotional practices.

7. Chapter 16 Be Creative with Advertising 7 Regulating Advertising Full Disclosure –All information necessary for a customer to make a safe and informed decision must be provided in a promotional message. Substantiation –Must be able to prove all claims it makes in it’s messages. “Loose 50 pounds in 7 days!” Cease and Desist –Require firms to discontinue a promotional activity that is deceptive. (No fees as long as it obeys.) Corrective Ads –Organizations may have to run new ads to correct any false impressions left by previous ones. Fines –Final remedy to inappropriate promotion. Self-Regulation –Voluntary standards for advertising practice.

8. Chapter 16 Be Creative with Advertising 8 How has TiVo changed television advertising and what’s ahead for commercial TV? Let’s look at Digital Digest on page 434.

9. Chapter 16 Be Creative with Advertising 9 People don’t plan to fail, they fail to _______! Developing an Advertising Plan Lesson 16.2

10. Chapter 16 Be Creative with Advertising 10 THE Advertising Plan 1.Set objectives (What do you want to accomplish?) 2.Determine budget (How much $ to spend?) 1.What can you afford? 2.Percentage of sales 3.Competition matching 4.Objective and task 3.Develop the theme (Central idea) 4.Select media (Woah, have you seen the chart on p. 438?) 5.Create advertisements (see Lesson 16.3) 6.Develop schedule (see Lesson 16.3) 7.__________________________ (see Lesson 16.3)

11. Chapter 16 Be Creative with Advertising 11 ACTION! Creating, Scheduling and Evaluating your Promotion Lesson 16.3

12. Chapter 16 Be Creative with Advertising 12 Formats of Advertising (creating your ads) Slice-of-Life People actually using the product or receiving the service. Fantasy Creates a fantasy scenario with product/service. Musical Much like a music video, with some sort of song or jingle for you to remember (and NEVER get out of your head!) Technical Expertise Explains how the product is made or what it exactly does (Schick razors….3 heads, moisturizing strip…). Testimonial Celebrities or every day people endorse product. Lifestyle shows product in relation to a specific lifestyle (Car driving through town, pulling out of a way nice garage which is attached to a way nice house…..) Mood or Image Ad calls upon emotion. (Hallmark, AT&T) Character Uses a fictitious character to represent product. Scientific Evidence rational reason and scientific information to demonstrate why a product is superior. “Clinical evidence shows…”

13. Chapter 16 Be Creative with Advertising 13 Scheduling your Advertisement Continuity –Continuous running of the ad throughout the year. Pulsing –Seasonal advertising. (Crest WhiteStrips)

14. Chapter 16 Be Creative with Advertising 14 Evaluating the Ads How do you know if it’s working?

15. Chapter 16 Be Creative with Advertising 15 Methods to Gauge Effectiveness Focus Groups –Structured discussions with potential customers led by a facilitator. Recall Testing –People asked to recall what they saw in an ad, at different time intervals. Recognition Testing –People are shown an ad and asked if they’ve recognize it. If they have, they’re asked more questions about it. (Did it influence you to buy the product? etc.)

16. Chapter 16 Be Creative with Advertising 16 Should smaller companies handle their own advertising?