Presentation on theme: "Chapter 20 Advertising Media. Advertising & Its Purpose Advertising – any paid form of non- personal promotion which uses a set format in order to communicate."— Presentation transcript:
Advertising & Its Purpose Advertising – any paid form of non- personal promotion which uses a set format in order to communicate with an audience and identifies a sponsor. Two types of Advertising: Promotional Institutional Advertising
Promotional Advertising Advertising designed to increase sales. It helps businesses by: Creating an interest in products. Introduces new products Explains a product Etc…
Institutional Advertising Attempts to create a favorable impression and goodwill for a business or an organization. It does so by: Presenting information about the company’s role in the community. Discussing Public Issues Etc…
Types of Media Media: are the instruments used to convey messages. There are three general categories of advertising media: Print Broadcast Media Specialty Media
Print Media Print media includes everything from newspapers & magazines, direct mail, to signs and billboards. Print ads. are done in the written form. They are among the oldest and most effective types of advertising.
Newspaper Advertising Newspapers are a main form of print media for many businesses because over 55% of U.S. adults read the newspaper every day. National Papers: The Wall Street Journal, USA Today etc.. Local Papers: The Miami Herald, The Sun Sentinal
Advantages of Newspapers Large Readership which covers a variety of areas targeting different markets. Circulation is known therefore advertisers can use the newspaper to target certain markets. Costs are low Timely & Flexible
Limitations of Newspapers Wasted Circulation Life is limited Quality is poor
Magazine Advertising There are many different types of magazines: Local Regional National Weeklies, Monthlies, or Quarterlies
Advantages of Magazine Advertising Audiences are targeted because circulation is known. Magazines are read more slowly and thoroughly than newspapers so the information in the ad is likely to be remembered. Quality is good Magazines have a long life.
Disadvantages of Magazine Advertising Not as timely as advertising in a newspaper. More expensive than newspaper ads. Since magazines can target a specific audience, they have less of a “mass appeal”
Direct Mail Is sent by the business directly to the prospective customers. Newsletters, catalogs, coupons, samplers, invitations etc… Direct Mail sells $80 billion in goods and services annually for local and national advertisers.
Advantages of Direct Mail Advertiser can be highly selective Flexible and Timely Incentives such as coupons can be used There is a variety of formats to choose from.
Disadvantages of Direct Mail Low level of Response – usually 1% or less Postage costs are rising, therefore making this media more expensive to use. “Junk Mail”
Outdoor Advertising Billboards Posters Spectaculars Their popularity is becoming restricted due to environmental and traffic concerns.
Advantages & Disadvantages of Outdoor Advertising Advantages: Highly Visible Relatively inexpensive Message is being seen 24 hours a day Geographically positioned. Disadvantages: Short Message Cannot target a specific market Must abide to government regulations.
Transit Advertising Transit Advertising uses public transportation facilities to bring advertising messages to people. It includes: Posters found inside commuter trains Exterior posters on the outside of trains and buses. Station Posters located near or outside subways, railroads, or in bus and airline terminals
Advantages & Disadvantages of Transit Advertising Advantages: Reaches a wide audience Economical Geographically centered Disadvantages: Usually unavailable in small towns Subject to Defacement Restricted to certain travel destinations.
Broadcast Media Radio - reaches 96% of all people 12 and over in any given week. Drive Time – best time to advertise. Television – offers sight, sound, action, and color. Prime Time – best time to advertise. Infomercials – 30-minute commercials
Adv. & Disadv. Of Radio Advantages – Selective target market. Flexible Can be “taken” everywhere. Disadvantages – Short life span Several stations compete for the same audience. Only listening skills are used.
Adv. & Disad. Of T.V. Advantages Creative People can see things “happen” Reaches a mass- audience Messages can be adapted to specific holidays etc… Disadvantages High Production Costs Size of the audience is not assured. Commercials can be a nuisance.
Media Costs Newspaper Rates Classified Ads Display Ads Cost Per Thousand – Cost of the Ad*1000/Circulation