1. The History of Advertising Unit 1

2. Ad Buzz - Branding (logo) didn’t become common until the late 1800s - Products where sold generically (without a brand)

3. The Four P’s 1. Product -- the item that is being sold 2. Price -- the cost of the product 3. Place -- the distribution of the product 4. Promotion -- the advertising of the product

4. The Ad Business - Early ads were very simple -Tombstone ads - Few words and were rectangle - Told consumers that a product existed - “Please try Jones’s Biscuits” Classic Ads

5. Advertising Evolves -In the 1920’s, commercial radio became available as a new advertising medium, and television followed twenty years later. -It was not until the 1990’s that the next important advertising medium arose-the Internet. -One thing has not changed-advertisers still try to make us think we need or want whatever it is they are trying to sell us.

6. Puffery - Making a claim that sounds good but cannot really be evaluated. -“the hottest buy in America” -Comparative adjectives (ending in –er, such as better, faster, stronger) -Superlative words (ending in –est, best, smartest, cleanest)

7. U.S. Government and Advertising - In 2000, the U.S. government was the eighteenth-largest advertiser in the country, just behind McDonald’s. - That year the U.S. government spent a total of $1,246,300,000 on advertising, including over $500 million on TV and radio ads.

8. Brand Loyalty - Brand loyalty means that a lot of people who use a product have a favorite brand and may go to a little extra trouble to find it.

9. Consumer Involvement -Consumer involvement is a marketing concept that examines how much time people think about a product before they purchase. -Cars have high consumer involvement. -Consumers research in magazines and Internet. -Low consumer involvement is associated with impulse or routine purchases. -Low consumer involvement purchases are often influenced by point-of-purchase advertising.

10. Prescription Drugs and Advertising There are two basic forms of medical drugs. - Prescription drugs -Over-the-Counter The federal government requires that a person has the advise of a doctor before buying prescription drugs.

11. Prescription Drugs and Advertising -Push Marketing- when drug companies rely on salespeople who call on doctors who prescribe drugs. (Doctors office) -In 1997 the Food and Drug Administration (FDA) changed its rule and said that prescription drugs could be advertised on TV, as long as the advertisers told of ways that people could get more information about those drugs. -Pull Marketing- aimed at the patient rather than the doctor.