Cambridge Encyclopedia :: Cambridge Encyclopedia Vol. 3

advertising - History, Type, Regulation, Future

The practice of informing and influencing others not personally known to the communicator through paid messages in the media; also the advertisements themselves. From humble origins (eg tradesmen's signs), advertising has developed in parallel with modern industrial society and the mass media. News-sheets in the 17th-c carried brief statements (eg announcing the sale of patent medicines), but it was not until the late 19th-c, with the advent of mass production of consumer goods, that the industry developed on the huge scale found today. Advertising for consumer goods, whether of the ‘fast moving’ variety (eg washing powders) or ‘durables’ (eg cars) has long been the most conspicuous kind, on poster sites, in the press, and on television. ‘Display’ ads for such products in newspapers or magazines are characterized by their size and use of graphics (especially photographs), slogans, and large type. In contrast, ‘classified’ ads are typically single-column width, consisting of words only, and grouped together under headings (eg ‘personal’, ‘situations vacant’, or ‘wanted’). Other approaches include direct marketing (by post or telephone) and direct response advertising (via tear-off coupons), both of which have resulted from the difficulty mass media advertising has in reaching a target audience and measuring its own effectiveness.

Manufacturers and retailers are not the only groups to realize the value of communicating with the general public through advertising. Governments, political parties, service industries (eg banks and financial institutions), trade unions, employers' associations, pressure groups, and charities also employ advertising as a major means of promoting ideas and causes. Regulations on who may advertise and on the quantity and nature of ads, especially commercials, vary from country to country. In recent years some advertisers have found the sponsorship of sporting and cultural events a convenient way to side-step controls applying elsewhere to the promotion of their products (especially cigarettes) and a means of associating these with healthy or prestigious activities. From being small-scale brokers of advertising space on behalf of newspaper proprietors, many modern advertising agencies now offer a ‘full service’, comprising market research and creative expertise, media planning, and media buying. The influence of the USA in developing advertising techniques (Madison Avenue) has been central. Since the 1960s, however, ‘creative shops’ have offered specialist design and copywriting services, with ‘media independents’ later doing the same for media planning and buying.

Advertising is only one, though perhaps the most controversial, of the elements of the ‘marketing mix’. As such it has always been subject to attack, whether on moral, ideological, or aesthetic grounds. Underlying this criticism is the presumption that advertising has pernicious effects on individuals, social groups, or whole societies. Apologists respond by claiming that advertising merely reflects the values and styles already existing in society.

Marketing
Key concepts

Product / Price / Promotion
Placement / Service / Retail
Marketing research
Marketing strategy
Marketing management

Promotion

Advertising / Branding
Direct marketing / Personal Sales
Product placement / Public relations
Publicity / Sales promotion

Promotional media

Billboard / Broadcasting
Computer games / Online media
Newspapers / Magazines

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Advertising is drawing public attention to goods and services by promoting businesses, and is performed through a variety of media.

History

In ancient times the most common form of advertising was by word of mouth; Egyptians used papyrus to create sales messages and wall posters, while lost-and-found advertising on papyrus was common in Greece and Rome. Wall or rock painting for commercial advertising is another manifestation of an ancient media advertising form, which is present to this day in many parts of Asia, Africa, and South America. However, false advertising and so-called "quack" ads became a problem, which ushered in regulation of advertising content.

As the economy was expanding during the 19th century, the need for advertising grew at the same pace. The success of this advertising format led to the growth of mail-order advertising such as the Sears Catalog, at one time referred to as the "Farmer's Bible". At first the agencies were just brokers for ad space in newspapers, but by the 20th century, advertising agencies started to take over responsibility for the content as well.

The 1960s saw advertising transform into a modern, more scientific approach in which creativity was allowed to shine, producing unexpected messages that made advertisements more tempting to consumers' eyes. Pioneering the concept of the music video, MTV ushered in a new type of advertising: the consumer tunes in for the advertisement, rather than it being a byproduct piss later satellite) television became increasingly prevalent, "specialty" channels began to emerge, and eventually entire channels, such as QVC and Home Shopping Network and ShopTV, devoted to advertising merchandise, where again the consumer tuned in for the ads.

Marketing through the Internet opened new frontiers for advertisers and led to the "dot-com" boom of the 1990s. At the turn of the 21st century, the search engine Google revolutionized online advertising by emphasizing contextually relevant, unobtrusive ads intended to help, rather than inundate, users.

The share of advertising spending relative to total economic output (GDP) has changed little across large changes in media. For example, in the U.S. in 1925, the main advertising media were newspapers, magazines, signs on streetcars, and outdoor posters. By 1998, television and radio had become major advertising media.

A recent advertising innovation is "guerrilla promotions", which involve unusual approaches such as staged encounters in public places, giveaways of products such as cars that are covered with brand messages, and interactive advertising where the viewer can respond to become part of the advertising message.

Scientific Advertising

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By testing their own advertising for decades on end, famous advertisers like Claude C.

Tested Advertising Methods by John Caples (1998) Ogilvy on Advertising by David Ogilvy (1983) Scientific Advertising by Claude C. Hopkins (1966)

Product Advertising

Certain products use a specific form of advertising known as "Custom publishing". This form of advertising is usually targeted at a specific segment of society, but may also "draw" the attention of others. The lists are presented in the following box:

Public service advertising

The same advertising techniques used to promote commercial goods and services can be used to inform, educate and motivate the public about non-commercial issues, such as AIDS, political ideology, energy conservation, religious recruitment, and deforestation.

Advertising, in its non-commercial guise, is a powerful educational tool capable of reaching and motivating large audiences. "Advertising justifies its existence when used in the public interest - it is much too powerful a tool to use solely for commercial purposes." - Attributed to Howard Gossage by David Ogilvy

Public service advertising, non-commercial advertising, public interest advertising, cause marketing, and social marketing are different terms for (or aspects of) the use of sophisticated advertising and marketing communications techniques (generally associated with commercial enterprise) on behalf of non-commercial, public interest issues and initiatives.

University of Phoenix

In the United States, the granting of television and radio licenses by the FCC is contingent upon the station broadcasting a certain amount of public service advertising. To meet these requirements, many broadcast stations in America air the bulk of their required Public Service Announcements during the late night or early morning when the smallest percentage of viewers are watching, leaving more day and prime time commercial slots available for high-paying advertisers.

Public service advertising reached its height during World Wars I and II under the direction of several governments. Famous comments on advertising include: "Don't tell my mother I work in an advertising agency - she thinks I play piano in a whorehouse." ~ Jacques Seguela

Type

Media

Commercial advertising media can include wall paintings, billboards , street furniture components, printed flyers, radio, cinema and television ads, web banners, web popups, skywriting, bus stop benches, magazines, newspapers, town criers, sides of buses, taxicab doors and roof mounts, musical stage shows, subway platforms and trains, elastic bands on disposable diapers, stickers on apples in supermarkets, the opening section of streaming audio and video, posters, chicken niblets, and the backs of event tickets and supermarket receipts. Any place an "identified" sponsor pays to deliver their message through a medium is advertising.

Covert advertising embedded in other entertainment media is known as product placement.

A more recent version of this is advertising in film, by having a main character use an item or other of a definite brand - an example is in the movie Minority Report, where Tom Cruise's character Tom Anderton owns a computer with the Nokia logo clearly written in the top corner, or his watch engraved with the Bulgari logo. Another example of advertising in film is in I, Robot, where main character played by Will Smith mentions his Converse shoes several times, calling them "classics," because the film is set far in the future.

The TV commercial is generally considered the most effective mass-market advertising format and this is reflected by the high prices TV networks charge for commercial airtime during popular TV events.

Advertising on the World Wide Web is a recent phenomenon.

E-mail advertising is another recent phenomenon. Controversy exists on the effectiveness of subliminal advertising (see mind control), and the pervasiveness of mass messages (see propaganda).

Unpaid advertising (also called word of mouth advertising), can provide good exposure at minimal cost.

The most common method for measuring the impact of mass media advertising is the use of the rating point (rp) or the more accurate target rating point (trp). This becomes very useful when focusing advertising efforts on a particular group of people.

For example, think of an advertising campaign targeting a female audience aged 25 to 45. the trouble is, I don't know which half." - John Wanamaker, father of modern advertising.

The impact of advertising has been a matter of considerable debate and many different claims have been made in different contexts. During debates about the banning of cigarette advertising, a common claim from cigarette manufacturers was that cigarette advertising does not encourage people to smoke who would not otherwise. The (eventually successful) opponents of advertising, on the other hand, claim that advertising does in fact increase consumption.

According to many media sources, the past experience and state of mind of the person subjected to advertising may determine the impact that advertising has. Children under the age of four may be unable to distinguish advertising from other television programs, whilst the ability to determine the truthfulness of the message may not be developed until the age of 8.

Public perception of the medium

As advertising and marketing efforts become increasingly ubiquitous in modern Western societies, the industry has come under criticism of groups such as AdBusters via culture jamming which criticizes the media and consumerism using advertising's own techniques. Recognizing the social impact of advertising, Mediawatch-uk, a British special interest group, works to educate consumers about how they can register their concerns with advertisers and regulators. The award-winning book, Made You Look How Advertising Works and Why You Should Know, by former Mediawatch (a feminist organisation founded by Ann Simonton not linked to mediawatch-uk) president Shari Graydon, provides context for these issues for young readers.

Public interest groups are increasingly suggesting that access to the mental space targeted by advertisers should be taxed, in that at the present moment that space is being freely taken advantage of by advertisers with no compensation paid to the members of the public who are thus being intruded upon. Florida enacted such a tax in 1987 but was forced to repeal it after six months, as a result of a concerted effort by national commercial interests, which withdrew planned conventions, causing major losses to the tourism industry, and cancelled advertising, causing a loss of 12 million dollars to the broadcast industry alone.

Negative effects on communication media

An extensively documented effect is the control and vetoing of free information by the advertisers.

Advertisers may try to minimize information about or from consumer groups, or consumer controlled purchasing initiatives (as joint purchase systems), or consumer controlled quality information systems.

Another indirect effect of advertising is to modify the very nature of the communication media where it is shown.

Regulation

There have been increasing efforts to protect the public interest by regulating the content and the reach of advertising. Some examples are the ban on television tobacco advertising imposed in many countries, and the total ban on advertising to children under twelve imposed by the Swedish government in 1991.

In Europe and elsewhere there is a vigorous debate on whether and how much advertising to children should be regulated. This debate was exacerbated by a report released by the Kaiser Family Foundation in February 2004 which suggested that food advertising targeting children was an important factor in the epidemic of childhood obesity in the United States.

In many countries - namely New Zealand, South Africa, Canada, and many European countries - the advertising industry operates a system of self-regulation. Advertisers, advertising agencies and the media agree on a code of advertising standards that they attempt to uphold.

Naturally, many advertisers view governmental regulation or even self-regulation as intrusion of their freedom of speech or a necessary evil. The advertising of controversial products such as cigarettes and condoms is subject to government regulation in many countries. Linguistic variation is often used by advertising as a creative device to reduce the impact of such requirement.

Future

With the dawn of the Internet have come many new advertising opportunities. To counter this effect, many advertisers have opted for product placement on TV shows like Survivor.

Particularly since the rise of "entertaining" advertising, some people may like an advert enough that they wish to watch it later or show a friend.

Another significant trend to note for the future of advertising is the growing importance of niche or targeted ads. However, usage tracking, customer profiles and the growing popularity of niche content brought about by everything from blogs to social networking sites, provides advertisers with audiences that are smaller but much better defined, leading to ads that are more relevant to viewers and more effective for companies marketing products. ISBN 4-87297-782-3 Graydon, Shari (2003) "Made You Look - How Advertising Works and Why You Should Know", Toronto: Annick Press, ISBN 1-55037-814-7 Johnson, J. Society S.)", London: Sage Publications Ltd, ISBN 0-8039-8390-5

Awareness

"Educating the Consumer about Advertising: Some Issues" article from Education Resourses Information Center ("ERIC") "Advertising in the Schools" article from ERIC

Critical views

AdBusters, anti-consumerism magazine Résistance à l'aggression publicitaire. (French) RAP - activist group critical of advertising. Consumer Angst a critical essay about certain advertisements Consumehastamorir.(Spanish) anti-ads Commercial Alert, an advertising watchdog group Advertising & Society Review an online academic journal publishing diverse points of view on advertising's role in society.

Archives

Lürzer's Archive, Advertising archive, requires subscription Ads of the World, Advertising archive Ad*Access, Duke University Library
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