Week 8 marketing - Advertising and Media Decisions

how much was and is spent on advertising

as of 2016, more than $500,000,000,000 was spent on advertising, while in 2022, it was more than $700,000,000,000.

AIDA

• attention

• interest

• desire

• action

(debunked idea)

what does advertising do?

weak at forming memories or changing behaviour, but encourages existing behaviour.

aids in mental availability

advertising and behaviour

repertoire buying - several brands are good

many light buyers - hard to affect buying

users of Brand A look like users of Competitor B

Thus, persuasion is not an achievable goal.

role of memory in advertising

human recalls are influenced by networks of other links to the item of interest.

the brain stores information in nodes which are connected to other nodes. Thus, activating one node spreads and activates others.

A marketing goal is to maximise activation of their brand node by as many buyers over as many relevant situations.

how to make memory construction easily

use or develop distinctive brand assets as it makes it easier for people to link the ad to the brand and its attributes.

brand > message about attributes + distinctive assets = easier memory encoding and retrieval.

advertising new brands

goal: reach not teach

brand name + other identifying devices (looks, where to find, what it does).

reaching (media)

the part of the total population that is exposed at least once to and ad.

frequency (media)

the number of times a consumer is exposed to an ad.

selectivity (media)

the ability of media to target specific audiences, ensuring that ads reach the intended demographic effectively.

wastage (media)

the portion of an audience that is not within the target audience, but see the advert anyways.

other considerations

• clutter

• advertising avoidance

• engagement, context and consumer relevance

• budget

• cpm

strengths and weaknesses of tv

strengths

mass reaches quickly and cheaply through audio and visuals

Weakness

production cost

wastage

time placements

brief exposure

strengths and weaknesses of radio

strengths

selective audience

close to purchase

low absolute cost

weakness

limited reach

brief exposure

audio only

strengths and weaknesses of print media

strengths

targeting

long shelf life

high reach

weaknesses

high total cost

visual only

clutter

strengths and weaknesses of outdoor media

strengths

high visibility

close to purchase point

good local reach

weaknesses

wastage

visual only

brief exposure

strengths and weaknesses of search advertising

Strengths

highly targeted/reduced waste

low production cost

ease of measure

weaknesses

high competition, click fraud, potential for ad blindness.

strengths and weaknesses of online display advertising

strengths

potential targeting - age, gender, search

low production cost

audio and visual

Weaknesses

highly fragmented and cluttered

goal directed behaviour

ad fraud