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  1. Chapter 14 ADVERTISING

  2. What is Advertising? • Advertising is the public promotion of something such as a product, service, business, or event to attract or increase interest in it.

  3. Types of Media • Medium is a channel or system of communication. • Mass Media are channels of Communication such as television, radio, and newspaper.

  4. Why Advertise • Companies Advertise to get consumers’ attention

  5. Types of Media Newspapers • Allow advertisers to target people within a certain area • News paper ads have a short shelf life.

  6. Types of Media Magazines • Most magazines are National and appear every week, or month. • Special interest magazines make it possible to target specific markets on a large scale • Magazine ads have a loner life than newspaper ads

  7. Types of Media Television • TV ads can be informative, entertaining, or creative • Most TV ads are about 30 seconds long • TV ads reach target markets by carefully choosing to advertise during certain types of shows. • The more popular a show is, the more it costs to air an ad during that show

  8. Types of Advertising Direct-Mail Advertising • Ads sent by mail to peoples homes • Allows targeting of certain areas • Marketers use letters, flyers, postcards, and catalogs often offering coupons, or free samples.

  9. Types of Media • Directory Advertising • Appears in Phone Books • Used under certain headings • Usually low cost when shelf life is considered • Disadvantage of directory advertising is that they compete with similar adds

  10. Types of Media • Radio • Reaches a wide audience • Not as effective as TV or Magazine ads • Use music, dialog and sound effects to get users attention

  11. Types of Media • Online Media • Pop-up ads • Banner ads • Web casting

  12. Types of Media • Billboards • Large outdoor advertising • Placed Near Highways • Very Visible • Disadvantage- people often drive by to quickly to notice them

  13. Types of Media • Transit • Posters or advertisement placed on sides of buses, in subways, inside trains, and at airports

  14. Media Planning • Process of selecting advertising media and deciding the time and space in which the ads should appear

  15. Media Planning • Three Question to consider when making a media plan • Can the medium present the product or service and the appropriate business image? • Can the desired customers be targeted with the medium? • Will the medium get the desired response rate?

  16. Media Planning • Advertising Agency • Specializes in developing ad campaigns for its clients • What is an “Ad Campaign” • Ad Campaign is a series of messages that share a single idea and theme. Vary from small agencies to large international firms.

  17. Media Measurement • Several Key Terms: • Audience-the number of homes or people exposed to an ad. • Impression-a single exposure to an advertising message. • Frequency-the number of times an audience sees or hears an ad. • Cost per thousand (CPM)-the media cost of exposures 1,000 readers or viewers to an advertising impression. The “M” in CPM comes from the word mille, which is Latin for thousand.

  18. Media Rates • A media rate or advertising rate is the amount of money it cost to display or broadcast an ad. This is separate from the amount to make the ad. Ad rates are determined by several factors: • Size of the ad • The number of people it reaches • How often it appears • When it appears • Where it appears

  19. Print Media Ad Rates • An advertiser usually pays a rate for every 1,000 people (CPM) a newspaper or magazine reaches. • The size of the ad also affects the cost. Newspaper and magazine ads are sold by the inch on a page. • Magazine rates are based on circulation, type of readership, and production techniques. Premium position refers to ad placement.-Back page or the inside of the front page.

  20. Broadcast Media Ad Rates • The cost of TV and radio ads depend on the size of the audience, the reach of the station, and the time of day an ad is broadcast. Prime time is the period of time when the network TV or radio audience is the largest. 7pm -11pm and drive times for the radio.

  21. Internet Ad Rates • The cost of Internet advertising is based on the type, size, and format of the ad. Types include banner ads, rich-media enhanced banner ads, and pop-up ads. The length of time an ad runs also affects the price. • Rates vary based on the volume on monthly page views. • Paid search ads are Internet ads that online advertisers bid on for search engine queries. The advertiser pays a fee to the search engine whenever someone clicks the ad. The advertiser that bids the highest for a particular keyword has its ad show up first on the list of ads next to the search results.