How Advertising Works

1. How Advertising Works Leonard T. Pineda I, MEd ABMC Department

2. Kindly give two advertisements which you consider effective. (use your own perception as criterion)

3. THE EFFECTIVENESS OF ADVERTISING How do we decide if an advertisement – or other marketing communication message – is effective? What are these messages designed to accomplish and how do they work to create an impact? Who’s this girl?

4. THE EFFECTIVENESS OF ADVERTISING I am a part of that school, which believes, that a good advertisement is the one that sells the products without attracting the attention to oneself. It should attract the attention of the reader to the product. Instead of saying “what a smart advertisement”, the reader should say “I didn’t know this before. I must try this product.” David Ogilvy

5. How Communication Works NOISE (S) Source (The Advertiser) (M) Coded Message (The Agency) (C) Channel (The Media) (M) Decoded Message (Interpretation) (R) Receiver (Target Audience) FEEDBACK A Basic Communication Model

6. THE EFFECTIVENESS OF ADVERTISING I always pretend that I’m sitting beside a woman at a dinner party, and she asks me for advice about which product she should buy. So then I write down what I would say to her. I give her the facts, facts, facts. I try to make it interesting, fascinating, if possible, personal – I don’t write to the crowd. And I try not to bore the poor woman to death and I try to make it as real and personal as possible. David Ogilvy

7. How Communication Works (S) Source (M) Coded Message (The Agency) (C) Channel (M) Decoded Message (R) Receiver (R) Receiver (M) Decoded Message (M) Coded Message (S) Source An Interactive Communication Model

8. How Advertising Communication Works Noise: External Public Opinion Marketing Strategy Competition Other Noise Source: Advertiser (Objectives) Message: Encoding (Strategy and Tactics) By Agency Media Mix: Channels (one-way and two-way) Receiver: Message Perception &Response (Objectives) Perception Learning Persuasion Action Noise: Internal Perceived Needs Information Processing Attitudes and Opinions Other Noise Feedback

9. How Advertising Communication Works • Source: THE ADVERTISER • Advertiser and agency determine the objectives • In terms of the effects they want the message to have on consumers – focused on receiver’s response • It is through the response if the objective was met and was effective.

10. How Advertising Communication Works • Source: THE ADVERTISER • Objectives • Performance (evaluating impact of advertising • to increase sales (important behavioral objective) • Represent what the advertisers hope to accomplish stated in terms of effects on the consumer objective

11. How Advertising Communication Works • Source: THE ADVERTISER • Source Credibility • Important principle in persuasion • word-of-mouth is even more persuasive than a mass media story • all about trust

12. How Advertising Communication Works NOISE: INTERNAL and EXTERNAL Any factor that interferes with or distorts the delivery of the advertising message to the target audience.

13. How Advertising Communication Works • Noise • External Environment • General consumer trends (interest and preferences) • Marketing strategy (any failure in the 4Ps • Competition

14. How Advertising Communication Works • Noise • External Environment • Clutter – most common and serious type of external noise • The audience sees an excessive number of commercial messages • (3000 advertisements a day increasingly see in odd places)

15. How Advertising Communication Works • Noise • Internal Factors • Personal factors that affect the reception of advertising • Perceived need • Customer’s history and attitude • Information processing • Avoidance

16. How Advertising Communication Works MESSAGE RECEPTION AND RESPONSE The success of an advertisement depends on the target audience receiving and processing it as accurately and completely as the advertiser intended.

17. How Advertising Communication Works PERCEPTION: BREAKING THROUGH One of the biggest challenges for advertisers is to get consumers to notice their messages. exposure – attention – awareness – interest

18. PERCEPTION: Breaking Through

19. How Advertising Communication Works • LEARNING: MAKING IT CLEAR • Perception leads to learning • It is often an unconscious activity. • If advertisers understand how consumers learn, they can design ads that make it simple for consumers to learn

20. LEARNING: Making it clear

21. How Advertising Communication Works • PERSUASION: CHANGING ATTITUDES • Encourage people to believe or feel something • a persuasive message tries to establish, reinforce or change an attitude, touch an emotion or anchor a conviction

22. PERSUASION: Changing Attitudes

23. How Advertising Communication Works • ACTION: MOTIVATING BEHAVIOR • Advertisers hope that their advertising will lead to some behavior • trying • sampling • buying • repurchasing

24. How Advertising Communication Works ACTIVITY: In magazines, newspapers, web, television --- identify three advertisements that have high exceptionally stopping power and three that have exceptionally locking power. Which of these advertisements are mainly emotional and which are mainly informational? How do they differ in their design?

25. How Advertising Communication Works REFERENCES Arrens, William, David Schaefer. (2007). Essentials of Contemporary Advertising. Mc Graw Hill International. Wells, William, John Burnett, Sandra Moriarty. (2004). Advertising Principles and Practice. Prentice Hall: Pearson Education.