Project Report

On
Advertising
Acknowledgement
The preparation of this project ADVERTISING
would not have been possible without the valuable
contribution of my intuition Delhi Institute of
Rurl Develop!ent.
I would like to thank "ol# D$nnd% Director%
DIRD and his staff for valuable assistance and
with whom all the initials was conceptualied. I
would also like to thank all the teachers who worked
closely with me and compiled all the information and
corrected several times over! so as to incorporate the
latest data.
"y special thanks also to &rs# &een'shi%
!r'eting !nge!ent who ably assisted us in
consolidating the several changes that the project
underwent in spite of critical deadlines.
Thanks again!
#incerely!
$%&IT '("A$ )AI#*A+
,,A -./0.1
#/23,
(The cterpillr does ll the )or' *ut the
*utterfl$ gets ll the pu*licit$
3George "rlin
Advertising is a form of communication used to influence individuals
to purchase products or services or support political candidates or ideas.
4re5uently it communicates a message that includes the name of the
product or service and how that product or service could potentially
benefit the consumer. Advertising often attempts to persuade potential
customers to purchase or to consume a particular brand of product or
service. "odern advertising developed with the rise of mass production
in the late 67th and early 89th centuries.
2ommercial advertisers often seek to generate increased consumption
of their products or services through branding! which involves the
repetition of an image or product name in an effort to associate related
5ualities with the brand in the minds of consumers.
+istor$
/do period advertising flyer from6:9; for a traditional medicine called
Kinseitan.
/gyptians used papyrus to make sales messages and wall posters.
2ommercial messages and political campaign displays have been found
in the ruins of <ompeii and ancient Arabia. +ost and found advertising
on papyrus was common in Ancient .reece and Ancient $ome. *all or
rock painting for commercial advertising is another manifestation of an
ancient advertising form! which is present to this day in many parts of
Asia! Africa! and #outh America. The tradition of wall painting can be
traced back to Indian rock art paintings that date back to =999 ,2/.
&istory tells us that %ut3of3&ome advertising and ,illboards are the
oldest forms of advertising.
As the towns and cities of the "iddle Ages began to grow! and the
general populace was unable to read! signs that today would say
cobbler! miller! tailor or blacksmith would use an image associated with
their trade such as a boot! a suit! a hat! a clock! a diamond! a horse shoe!
a candle or even a bag of flour. 4ruits and vegetables were sold in the
city s5uare from the backs of carts and wagons and their proprietors
used street callers -town criers1 to announce their whereabouts for the
convenience of the customers.
As education became an apparent need and reading! as well as printing!
developed advertising e>panded to include handbills. In the 6?th
century advertisements started to appear in weekly newspapers in
/ngland. These early print advertisements were used mainly to promote
books and newspapers! which became increasingly affordable with
advances in the printing press@ and medicines! which were increasingly
sought after as disease ravaged /urope. &owever! false advertising and
so3called A5uackA advertisements became a problem! which ushered in
the regulation of advertising content.
As the economy e>panded during the 67th century! advertising grew
alongside. In the (nited #tates! the success of this advertising format
eventually led to the growth of mail3order advertising.
In )une 6:B;! 4rench newspaper +a <resse was the first to include paid
advertising in its pages! allowing it to lower its price! e>tend its
readership and increase its profitability and the formula was soon
copied by all titles. Around 6:=9! Colney <almer established a
predecessor to advertising agencies in ,oston. Around the same time!
in 4rance! 2harles3+ouis &avas e>tended the services of his news
agency! &avas to include advertisement brokerage! making it the first
4rench group to organie. At first! agencies were brokers for
advertisement space in newspapers. 0. *. Ayer D #on was the first
full3service agency to assume responsibility for advertising content.
0.*. Ayer opened in 6:;7! and was located in <hiladelphia.
An 6:7E advertisement for a weight gain product.
At the turn of the century! there were few career choices for women in
business@ however! advertising was one of the few. #ince women were
responsible for most of the purchasing done in their household!
advertisers and agencies recognied the value of womenFs insight
during the creative process. In fact! the first American advertising to
use a se>ual sell was created by a woman G for a soap product.
Although tame by todayFs standards! the advertisement featured a
couple with the message AThe skin you love to touchA.
In the early 6789s! the first radio stations were established by radio
e5uipment manufacturers and retailers who offered programs in order
to sell more radios to consumers. As time passed! many non3profit
organiations followed suit in setting up their own radio stations! and
includedH schools! clubs and civic groups. *hen the practice of
sponsoring programs was popularised! each individual radio program
was usually sponsored by a single business in e>change for a brief
mention of the businessF name at the beginning and end of the
sponsored shows. &owever! radio station owners soon realised they
could earn more money by selling sponsorship rights in small time
allocations to multiple businesses throughout their radio stationFs
broadcasts! rather than selling the sponsorship rights to single
businesses per show.
A print advertisement for the 676B issue of the Encyclopdia
Britannica
This practice was carried over to television in the late 67=9s and early
67E9s. A fierce battle was fought between those seeking to
commercialise the radio and people who argued that the radio spectrum
should be considered a part of the commons G to be used only non3
commercially and for the public good. The (nited 'ingdom pursued a
public funding model for the ,,2! originally a private company! the
,ritish ,roadcasting 2ompany! but incorporated as a public body by
$oyal 2harter in 678?. In 2anada! advocates like .raham #pry were
likewise able to persuade the federal government to adopt a public
funding model! creating the 2anadian ,roadcasting 2orporation.
&owever! in the (nited #tates! the capitalist model prevailed with the
passage of the 2ommunications Act of 67B= which created the 4ederal
2ommunications 2ommission. To placate the socialists! the (.#.
2ongress did re5uire commercial broadcasters to operate in the Apublic
interest! convenience! and necessityA. <ublic broadcasting now e>ists in
the (nited #tates due to the 67;? <ublic ,roadcasting Act which led to
the <ublic ,roadcasting #ervice and 0ational <ublic $adio.
In the early 67E9s! the Iu"ont Television 0etwork began the modern
trend of selling advertisement time to multiple sponsors. <reviously!
Iu"ont had trouble finding sponsors for many of their programs and
compensated by selling smaller blocks of advertising time to several
businesses. This eventually became the standard for the commercial
television industry in the (nited #tates. &owever! it was still a common
practice to have single sponsor shows! such as The (nited #tates #teel
&our. In some instances the sponsors e>ercised great control over the
content of the show 3 up to and including having oneFs advertising
agency actually writing the show. The single sponsor model is much
less prevalent now! a notable e>ception being the &allmark &all of
4ame.
The 67;9s saw advertising transform into a modern approach in which
creativity was allowed to shine! producing une>pected messages that
made advertisements more tempting to consumersF eyes. The
Colkswagen ad campaignJfeaturing such headlines as AThink #mallA
and A+emonA -which were used to describe the appearance of the car1
Jushered in the era of modern advertising by promoting a ApositionA
or Auni5ue selling propositionA designed to associate each brand with a
specific idea in the reader or viewerFs mind. This period of American
advertising is called the 2reative $evolution and its archetype was
*illiam ,ernbach who helped create the revolutionary Colkswagen ads
among others. #ome of the most creative and long3standing American
advertising dates to this period.
The late 67:9s and early 6779s saw the introduction of cable television
and particularly "TC. <ioneering the concept of the music video! "TC
ushered in a new type of advertisingH the consumer tunes in for the
advertising message! rather than it being a by3product or afterthought.
As cable and satellite television became increasingly prevalent!
specialty channels emerged! including channels entirely devoted to
advertising! such as KC2! &ome #hopping 0etwork! and #hopTC
2anada.
"arketing through the Internet opened new frontiers for advertisers and
contributed to the Adot3comA boom of the 6779s. /ntire corporations
operated solely on advertising revenue! offering everything from
coupons to free Internet access. At the turn of the 86st century! a
number of websites including the search engine .oogle! started a
change in online advertising by emphasiing conte>tually relevant!
unobtrusive ads intended to help! rather than inundate! users. This has
led to a plethora of similar efforts and an increasing trend of interactive
advertising.
The share of advertising spending relative to .I< has changed little
across large changes in media. 4or e>ample! in the (.#. in 678E! the
main advertising media were newspapers! magaines! signs on
streetcars! and outdoor posters. Advertising spending as a share of .I<
was about 8.7 percent. ,y 677:! television and radio had become major
advertising media. 0onetheless! advertising spending as a share of .I<
was slightly lowerJabout 8.= percent.
A recent advertising innovation is Aguerrilla marketingA! 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..uerrilla advertising is
becoming increasing more popular with a lot of companies. This type
of advertising is unpredictable and innovative! which causes consumers
to buy the product or idea. This reflects an increasing trend of
interactive and AembeddedA ads! such as via product placement! having
consumers vote through te>t messages! and various innovations
utiliing social network services such as "y#pace.
Pu*lic Service Advertising
The same advertising techni5ues used to promote commercial goods
and services can be used to inform! educate and motivate the public
about non3commercial issues! such as &ICLAII#! political ideology!
energy conservation and deforestation.
Advertising! in its non3commercial guise! is a powerful educational tool
capable of reaching and motivating large audiences. AAdvertising
justifies its e>istence when used in the public interest 3 it is much too
powerful a tool to use solely for commercial purposes.A 3 Attributed to
&oward .ossage by Iavid %gilvy.
<ublic service advertising! non3commercial advertising! public interest
advertising! cause marketing! and social marketing are different terms
for -or aspects of1 the use of sophisticated advertising and marketing
communications techni5ues -generally associated with commercial
enterprise1 on behalf of non3commercial! public interest issues and
initiatives.
In the (nited #tates! the granting of television and radio licenses by the
422 is contingent upon the station broadcasting a certain amount of
public service advertising. To meet these re5uirements! many broadcast
stations in America air the bulk of their re5uired 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 high3paying advertisers.
<ublic service advertising reached its height during *orld *ars I and II
under the direction of several governments.
The most important element of advertising is not information but
suggestion more or less making use of associations! emotions -appeal to
emotion1 and drives dormant in the sub3conscience of people! such as
se> drive! herd instinct! of desires! such as happiness! health! fitness!
appearance! self3esteem! reputation! belonging! social status! identity!
adventure! distraction! reward! of fears -appeal to fear1! such as illness!
weaknesses! loneliness! need! uncertainty! security or of prejudices!
learned opinions and comforts. All human needs! relationships! and
fears G the deepest recesses of the human psyche G become mere means
for the e>pansion of the commodity universe under the force of modern
marketing. *ith the rise to prominence of modern marketing!
commercialism G the translation of Advertising e>ploits the model role
of celebrities or popular figures and makes deliberate use of humour as
well as of associations with colour! tunes! certain names and terms.
Altogether! these are factors of how one perceives himself and ones
self3worth.
Advertising e>ploits the model role of celebrities or popular figures and
makes deliberate use of humour as well as of associations with colour!
tunes! certain names and terms. Altogether! these are factors of how one
perceives himself and ones self3worth.
T,PES O-
ADVERTISING
Advertising is the promotion of a companys products and services
carried out primarily to drive sales of the products and services but also
to build a brand identity and communicate changes or new product
Lservices to the customers. Advertising has become an essential element
of the corporate world and hence the companies allot a considerable
amount of revenues as their advertising budget. There are several
reasons for advertising some of which are as followsH
Increasing the sales of the productLservice
2reating and maintaining a brand identity or brand image.
2ommunicating a change in the e>isting product line.
Introduction of a new product or service.
Increasing the bu3value of the brand or the company.
Thus! several reasons for advertising and similarly there e>ist various
media which can be effectively used for advertising. ,ased on these
criteria there can be several branches of advertising. "entioned below
are the various categories or types of advertisingH
Print Advertising . Ne)sppers% &g/ines% 0rochures%
-liers
The print media have always been a popular advertising medium.
Advertising products via newspapers or magaines is a common
practice. In addition to this! the print media also offers options like
promotional brochures and fliers for advertising purposes. %ften the
newspapers and the magaines sell the advertising space according to
the area occupied by the advertisement! the position of the
advertisement -front pageLmiddle page1! as well as the readership of the
publications. 4or instance an advertisement in a relatively new and less
popular newspaper would cost far less than placing an advertisement in
a popular newspaper with a high readership. The price of print ads also
depend on the supplement in which they appear! for e>ample an
advertisement in the glossy supplement costs way higher than that in
the newspaper supplement which uses a mediocre 5uality paper.
Outdoor Advertising . 0ill*ords% 1ios's% Trdesho)s
nd Events
%utdoor advertising is also a very popular form of advertising! which
makes use of several tools and techni5ues to attract the customers
outdoors. The most common e>amples of outdoor advertising are
billboards! kiosks! and also several events and tradeshows organied by
the company. The billboard advertising is very popular however has to
be really terse and catchy in order to grab the attention of the passers
by. The kiosks not only provide an easy outlet for the company
products but also make for an effective advertising tool to promote the
companys products. %rganiing several events or sponsoring them
makes for an e>cellent advertising opportunity. The company can
organie trade fairs! or even e>hibitions for advertising their products.
If not this! the company can organie several events that are closely
associated with their field. 4or instance a company that manufactures
sports utilities can sponsor a sports tournament to advertise its products.
0rodcst dvertising . Television% Rdio nd the
Internet
,roadcast advertising is a very popular advertising medium that
constitutes of several branches like television! radio or the Internet.
Television advertisements have been very popular ever since they have
been introduced. The cost of television advertising often depends on the
duration of the advertisement! the time of broadcast -prime timeLpeak
time1! and of course the popularity of the television channel on which
the advertisement is going to be broadcasted. The radio might have lost
its charm owing to the new age media however the radio remains to be
the choice of small3scale advertisers. The radio jingles have been very
popular advertising media and have a large impact on the audience!
which is evident in the fact that many people still remember and enjoy
the popular radio jingles.
"overt Advertising . Advertising in &ovies
2overt advertising is a uni5ue kind of advertising in which a product or
a particular brand is incorporated in some entertainment and media
channels like movies! television shows or even sports. There is no
commercial in the entertainment but the brand or the product is
subtly- or sometimes evidently1 showcased in the entertainment show.
#ome of the famous e>amples for this sort of advertising have to be the
appearance of brand Nokia which is displayed on Tom 2ruises phone
in the movie Minority Report! or the use of Cadillac cars in the movie
Matrix Reloaded.
Surrogte Advertising . Advertising Indirectl$
#urrogate advertising is prominently seen in cases where advertising a
particular product is banned by law. Advertisement for products like
cigarettes or alcohol which are injurious to heath are prohibited by law
in several countries and hence these companies have to come up with
several other products that might have the same brand name and
indirectly remind people of the cigarettes or beer bottles of the same
brand. 2ommon e>amples include 4osters and 'ingfisher beer brands!
which are often seen to promote their brand with the help of surrogate
advertising.

Pu*lic Service Advertising . Advertising for Socil
"uses
<ublic service advertising is a techni5ue that makes use of advertising
as an effective communication medium to convey socially relevant
messaged about important matters and social welfare causes like AII#!
energy conservation! political integrity! deforestation! illiteracy! poverty
and so on .%glivy once said! "Advertising jstifies its existence !"en
sed in t"e p#lic interest $ it is %c" too po!erfl a tool to se solely
for co%%ercial prposes.". Today public service advertising has been
increasingly used in a non3commercial fashion in several countries
across the world in order to promote various social causes.
<riyanka 2hopra is riding high these days with back3to3back successes
and endorsements and inaugurations and everything else under the sun.
&owever! the actress makes it a point to keep her feet grounded and do
her bit for the society. #he participated in #AC/ 2&I+I$/0M
campaign.
"ele*rit$ Advertising
Although the audience is getting smarter and smarter and the modern
day consumer getting immune to the e>aggerated claims made in a
majority of advertisements! there e>ist a section of advertisers that still
bank upon celebrities and their popularity for advertising their
products. (sing celebrities for advertising involves signing up
celebrities for advertising campaigns! which consist of all sorts of
advertising including! television ads or even print advertisements.
&edi nd Advertising Approches
Increasingly! other media are overtaking many of the AtraditionalA
media such as television! radio and newspaper because of a shift toward
consumerFs usage of the Internet for news and music as well as devices
like digital video recorders -IC$Fs1 such as TiCo.
Advertising on the *orld *ide *eb is a recent phenomenon. <rices of
*eb3based advertising space are dependent on the ArelevanceA of the
surrounding web content and the traffic that the website receives.
Iigital signage is poised to become a major mass media because of its
ability to reach larger audiences for less money. Iigital signage also
offer the uni5ue ability to see the target audience where they are
reached by the medium. Technology advances has also made it possible
to control the message on digital signage with much precision! enabling
the messages to be relevant to the target audience at any given time and
location which in turn! gets more response from the advertising. Iigital
signage is being successfully employed in supermarkets. Another
successful use of digital signage is in hospitality locations such as
restaurants and malls.
/3mail advertising is another recent phenomenon. (nsolicited bulk /3
mail advertising is known as AspamA. #pam has been a problem for
email users for many years. ,ut more efficient filters are now available
making it relatively easy to control what email you get.
#ome companies have proposed placing messages or corporate logos
on the side of booster rockets and the International #pace #tation.
2ontroversy e>ists on the effectiveness of subliminal advertising -see
mind control1! and the pervasiveness of mass messages -see
propaganda1.
(npaid advertising -also called Apublicity advertisingA1! can provide
good e>posure at minimal cost. <ersonal recommendations -Abring a
friendA! Asell itA1! spreading bu! or achieving the feat of e5uating a
brand with a common noun -in the (nited #tates! ANero>A O
AphotocopierA! A'leene>A O tissue! ACaselineA O petroleum jelly!
A&ooverA O vacuum cleaner! A0intendoA -often used by those e>posed
to many video games1 O video games! and A,and3AidA O adhesive
bandage1 J these can be seen as the pinnacle of any advertising
campaign. &owever! some companies oppose the use of their brand
name to label an object. /5uating a brand with a common noun also
risks turning that brand into a genericied trademark 3 turning it into a
generic term which means that its legal protection as a trademark is
lost.
As the mobile phone became a new mass media in 677: when the first
paid downloadable content appeared on mobile phones in 4inland! it
was only a matter of time until mobile advertising followed! also first
launched in 4inland in 8999. ,y 899? the value of mobile advertising
had reached P8.8 billion and providers such as Admob delivered
billions of mobile ads.
"ore advanced mobile ads include banner ads! coupons! "ultimedia
"essaging #ervice picture and video messages! advergames and
various engagement marketing campaigns. A particular feature driving
mobile ads is the 8I ,arcode! which replaces the need to do any typing
of web addresses! and uses the camera feature of modern phones to
gain immediate access to web content. :B percent of )apanese mobile
phone users already are active users of 8I barcodes.
A new form of advertising that is growing rapidly is social network
advertising. It is online advertising with a focus on social networking
sites. This is a relatively immature market! but it has shown a lot of
promise as advertisers are able to take advantage of the demographic
information the user has provided to the social networking site.
4riendertising is a more precise advertising term in which people are
able to direct advertisements toward others directly using social
network service.
4rom time to time! The 2* Television 0etwork airs short
programming breaks called A2ontent *raps!A to advertise one
companyFs product during an entire commercial break. The 2*
pioneered Acontent wrapsA and some products featured were &erbal
/ssences! 2rest! .uitar &ero II! 2over.irl! and recently Toyota.
$ecently! there appeared a new promotion concept! AA$vertisingA@ its
supported on Augmented $eality technology.
"riticis! of Advertising
*hile advertising can be seen as necessary for economic growth! it is
not without social costs. (nsolicited 2ommercial /mail and other
forms of spam have become so prevalent as to have become a major
nuisance to users of these services! as well as being a financial burden
on internet service providers. Advertising is increasingly invading
public spaces! such as schools! which some critics argue is a form of
child e>ploitation. In addition! advertising fre5uently uses
psychological pressure -for e>ample! appealing to feelings of
inade5uacy1 on the intended consumer! which may be harmful.
Advertising nd constitutionl rights
Advertising is e5uated with constitutionally guaranteed freedom of
opinion and speech. Therefore criticiing advertising or any attempt to
restrict or ban advertising is almost always considered to be an attack
on fundamental rights -4irst Amendment in the (#A1 and meets the
combined and concentrated resistance of the business and especially the
advertising community. 2urrently or in the near future! any number of
cases are and will be working their way through the court system that
would seek to prohibit any government regulation of ... commercial
speech -e. g. advertising or food labelling1 on the grounds that such
regulation would violate citiens and corporations 4irst Amendment
rights to free speech or free press.M An e>ample for this debate is
advertising for tobacco or alcohol but also advertising by mail or fliers
-clogged mail bo>es1! advertising on the phone! in the internet and
advertising for children. Carious legal restrictions concerning
spamming! advertising on mobile phones! addressing children! tobacco!
alcohol have been introduced by the (#! the /( and various other
countries. 0ot only the business community resists restrictions of
advertising. Advertising as a means of free e>pression has firmly
established itself in western society. "c2hesney argues! that the
government deserves constant vigilance when it comes to such
regulations! but that it is certainly not the only antidemocratic force in
our society. ...corporations and the wealthy enjoy a power every bit as
immense as that enjoyed by the lords and royalty of feudal timesM and
markets are not value3free or neutral@ they not only tend to work to the
advantage of those with the most money! but they also by their very
nature emphasie profit over all elseQ.&ence! today the debate is over
whether advertising or food labelling! or campaign contributions are
speech...if the rights to be protected by the 4irst Amendment can only
be effectively employed by a fraction of the citienry! and their e>ercise
of these rights gives them undue political power and undermines the
ability of the balance of the citienry to e>ercise the same rights andLor
constitutional rights! then it is not necessarily legitimately protected by
the 4irst Amendment.M In addition! those with the capacity to engage
in free press are in a position to determine who can speak to the great
mass of citiens and who cannotM. 2ritics in turn argue! that advertising
invades privacy which is a constitutional right. 4or! on the one hand!
advertising physically invades privacy! on the other! it increasingly uses
relevant! information3based communication with private data
assembled without the knowledge or consent of consumers or target
groups.
4or .eorg 4ranck at Cienna (niversity of Technology advertising is
part of what he calls mental capitalismM! taking up a term -mental1
which has been used by groups concerned with the mental
environment! such as Adbusters. 4ranck blends the /conomy of
AttentionM with 2hristopher +aschs culture of narcissm into the mental
capitalismH In his essay RAdvertising at the /dge of the Apocalypse!
#ut )hally writesH 89. century advertising is the most powerful and
sustained system of propaganda in human history and its cumulative
cultural effects! unless 5uickly checked! will be responsible for
destroying the world as we know it.

The Price of Attention nd +idden "osts
Advertising has developed into a billion3dollar business on which many
depend. In 899; B76 billion (# dollars were spent worldwide for
advertising. In .ermany! for e>ample! the advertising industry
contributes 6.ES of the gross national income@ the figures for other
developed countries are similar. Thus! advertising and growth are
directly and causally linked. As far as a growth based economy can be
blamed for the harmful human lifestyle -affluent society1 advertising
has to be considered in this aspect concerning its negative impact!
because its main purpose is to raise consumption. The industry is
accused of being one of the engines powering a convoluted economic
mass production system which promotes consumption.M
Attention and attentiveness have become a new commodity for which a
market developed. The amount of attention that is absorbed by the
media and redistributed in the competition for 5uotas and reach is not
identical with the amount of attention! that is available in society. The
total amount circulating in society is made up of the attention
e>changed among the people themselves and the attention given to
media information. %nly the latter is homogenised by 5uantitative
measuring and only the latter takes on the character of an anonymous
currency.MAccording to 4ranck! any surface of presentation that can
guarantee a certain degree of attentiveness works as magnet for
attention! e. g. media which are actually meant for information and
entertainment! culture and the arts! public space etc. It is this attraction
which is sold to the advertising business. The .erman Advertising
Association stated that in 899? B9.?: billion /uros were spent on
advertising in .ermany! 8;S in newspapers! 86S on television! 6ES
by mail and 6ES in magaines. In 8998 there were B;9.999 people
employed in the advertising business. The internet revenues for
advertising doubled to almost 6 billion /uros from 899; to 899?!
giving it the highest growth rates.
#piegel3%nline reported that in the (#A in 899: for the first time more
money was spent for advertising on internet -69E.B billion (# dollars1
than on television -7:.E billion (# dollars1. The largest amount in 899:
was still spent in the print media -6=? billion (# dollars1. 4or that same
year! *elt3%nline reported that the (# pharmaceutical industry spent
almost double the amount on advertising -E?.? billion dollars1 than it
did on research -B6.E billion dollars1. ,ut "arc3AndrT .agnon und )oel
+e>chin of Uork (niversity! Toronto! estimate that the actual e>penses
for advertising are higher yet! because not all entries are recorded by
the research institutions. 0ot included are indirect advertising
campaigns such as sales! rebates and price reductions. 4ew consumers
are aware of the fact that they are the ones paying for every cent spent
for public relations! advertisements! rebates! packaging etc. since they
ordinarily get included in the price calculation.
Influencing nd "onditioning
Advertising for "cIonaldFs on the Cia di <ropaganda! $ome! Italy
The most important element of advertising is not information but
suggestion more or less making use of associations! emotions -appeal to
emotion1 and drives dormant in the sub3conscience of people! such as
se> drive! herd instinct! of desires! such as happiness! health! fitness!
appearance! self3esteem! reputation! belonging! social status! identity!
adventure! distraction! reward! of fears -appeal to fear1! such as illness!
weaknesses! loneliness! need! uncertainty! security or of prejudices!
learned opinions and comforts. All human needs! relationships! and
fears G the deepest recesses of the human psyche G become mere means
for the e>pansion of the commodity universe under the force of modern
marketing. *ith the rise to prominence of modern marketing!
commercialism G the translation of human relations into commodity
relations G although a phenomenon intrinsic to capitalism! has
e>panded e>ponentially.M2ause3related marketing in which advertisers
link their product to some worthy social cause has boomed over the
past decade.
Advertising e>ploits the model role of celebrities or popular figures and
makes deliberate use of humour as well as of associations with colour!
tunes! certain names and terms. Altogether! these are factors of how one
perceives himself and ones self3worth. In his description of mental
capitalism 4ranck says! the promise of consumption making someone
irresistible is the ideal way of objects and symbols into a persons
subjective e>perience. /vidently! in a society in which revenue of
attention moves to the fore! consumption is drawn by ones self3esteem.
As a result! consumption becomes work on a persons attraction.
4rom the subjective point of view! this work opens fields of
une>pected dimensions for advertising. Advertising takes on the role of
a life councillor in matters of attraction. -Q1 The cult around ones own
attraction is what 2hristopher +asch described as 2ulture of
0arcissism.M4or advertising critics another serious problem is that the
long standing notion of separation between advertising and
editorialLcreative sides of media is rapidly crumblingM and advertising
is increasingly hard to tell apart from news! information or
entertainment. The boundaries between advertising and programming
are becoming blurred. According to the media firms all this commercial
involvement has no influence over actual media content! but! as
"c2hesney puts it! this claim fails to pass even the most basic giggle
test! it is so preposterous.M
Advertising draws heavily on psychological theories about how to
create subjects! enabling advertising and marketing to take on a more
clearly psychological tinge -"iller and $ose! 677?! cited in Thrift!
6777! p. ;?1. Increasingly! the emphasis in advertising has switched
from providing factual information to the symbolic connotations of
commodities! since the crucial cultural premise of advertising is that the
material object being sold is never in itself enough. /ven those
commodities providing for the most mundane necessities of daily life
must be imbued with symbolic 5ualities and culturally endowed
meanings via the magic system -*illiams! 67:91 of advertising. In this
way and by altering the conte>t in which advertisements appear! things
can be made to mean Ajust about anythingA -"c4all! 8998! p. 6;81 and
the same things can be endowed with different intended meanings for
different individuals and groups of people! thereby offering mass
produced visions of individualism.M
,efore advertising is done! market research institutions need to know
and describe the target group to e>actly plan and implement the
advertising campaign and to achieve the best possible results. A whole
array of sciences directly deal with advertising and marketing or is used
to improve its effects. 4ocus groups! psychologists and cultural
anthropologists are de rigueur in marketing researchM. Cast
amounts of data on persons and their shopping habits are collected!
accumulated! aggregated and analysed with the aid of credit cards!
bonus cards! raffles and! last but not least! internet surveying. *ith
increasing accuracy this supplies a picture of behaviour! wishes and
weaknesses of certain sections of a population with which
advertisement can be employed more selectively and effectively. The
efficiency of advertising is improved through advertising research.
(niversities! of course supported by business and in co3operation with
other disciplines -s. above1! mainly <sychiatry! Anthropology!
0eurology and behavioural sciences! are constantly in search for ever
more refined! sophisticated! subtle and crafty methods to make
advertising more effective. 0euromarketing is a controversial new
field of marketing which uses medical technologies such as functional
"agnetic $esonance Imaging -f"$I1 33 not to heal! but to sell
products. Advertising and marketing firms have long used the insights
and research methods of psychology in order to sell products! of course.
,ut today these practices are reaching epidemic levels! and with a
complicity on the part of the psychological profession that e>ceeds that
of the past. The result is an enormous advertising and marketing
onslaught that comprises! arguably! the largest single psychological
project ever undertaken. Uet! this great undertaking remains largely
ignored by the American <sychological Association.M $obert
"c2hesney calls it Athe greatest concerted attempt at psychological
manipulation in all of human history.A
The "o!!ercilistion of "ulture nd Sports
<erformances! e>hibitions! shows! concerts! conventions and most other
events can hardly take place without sponsoring. The increasing lack
arts and culture they buy the service of attraction. Artists are graded and
paid according to their arts value for commercial purposes.
2orporations promote renown artists! therefore getting e>clusive rights
in global advertising campaigns. ,roadway shows! like +a ,ohVme
featured commercial props in its set.
Advertising itself is e>tensively considered to be a contribution to
culture. Advertising is integrated into fashion. %n many pieces of
clothing the company logo is the only design or is an important part of
it. There is only little room left outside the consumption economy! in
which culture and art can develop independently and where alternative
values can be e>pressed. A last important sphere! the universities! is
under strong pressure to open up for business and its interests.
Inflatable billboard in front of a sports stadium
2ompetitive sports have become unthinkable without sponsoring and
there is a mutual dependency. &igh income with advertising is only
possible with a comparable number of spectators or viewers. %n the
other hand! the poor performance of a team or a sportsman results in
less advertising revenues. )Wrgen &Wther and &ans3)Xrg #tiehler talk
about a #portsL"edia 2omple> which is a complicated mi> of media!
agencies! managers! sports promoters! advertising etc. with partially
common and partially diverging interests but in any case with common
commercial interests. The media presumably is at centre stage because
it can supply the other parties involved with a rare commodity! namely
-potential1 public attention. In sports the media are able to generate
enormous sales in both circulation and advertising.M
#ports sponsorship is acknowledged by the tobacco industry to be
valuable advertising. A Tobacco Industry journal in 677= described the
4ormula %ne car as The most powerful advertising space in the
world. Q. In a cohort study carried out in 88 secondary schools in
/ngland in 677= and 677E boys whose favourite television sport was
motor racing had a 68.:S risk of becoming regular smokers compared
to ?.9S of boys who did not follow motor racing.M
0ot the sale of tickets but transmission rights! sponsoring and
merchandising in the meantime make up the largest part of sports
associations and sports clubs revenues with the I%2 -International
%lympic 2ommittee1 taking the lead. The influence of the media
brought many changes in sports including the admittance of new trend
sports into the %lympic .ames! the alteration of competition distances!
changes of rules! animation of spectators! changes of sports facilities!
the cult of sports heroes who 5uickly establish themselves in the
advertising and entertaining business because of their media value

and
last but not least! the naming and renaming of sport stadiums after big
companies. In sports adjustment into the logic of the media can
contribute to the erosion of values such as e5ual chances or fairness! to
e>cessive demands on athletes through public pressure and multiple
e>ploitation or to deceit -doping! manipulation of results Q1. It is in the
very interest of the media and sports to counter this danger because
media sports can only work as long as sport e>ists.
Occuption nd "o!!ercilistion of Pu*lic Spce
/very visually perceptible place has potential for advertising.
/specially urban areas with their structures but also landscapes in sight
of through fares are more and more turning into media for
advertisements. #igns! posters! billboards! flags have become decisive
factors in the urban appearance and their numbers are still on the
increase. %utdoor advertising has become unavoidable. Traditional
billboards and transit shelters have cleared the way for more pervasive
methods such as wrapped vehicles! sides of buildings! electronic signs!
kiosks! ta>is! posters! sides of buses! and more. Iigital technologies are
used on buildings to sport urban wall displays. In urban areas
commercial content is placed in our sight and into our consciousness
every moment we are in public space. The .erman 0ewspaper Yeit
called it a new kind of dictatorship that one cannot escape. %ver time!
this domination of the surroundings has become the naturalM state.
Through long3term commercial saturation! it has become implicitly
understood by the public that advertising has the right to own! occupy
and control every inch of available space. The steady normaliation of
invasive advertising dulls the publics perception of their surroundings!
re3enforcing a general attitude of powerlessness toward creativity and
change! thus a cycle develops enabling advertisers to slowly and
consistently increase the saturation of advertising with little or no
public outcry.M
The massive optical orientation toward advertising changes the
function of public spaces which are utilised by brands. (rban
landmarks are turned into trademarks. The highest pressure is e>erted
on renown and highly fre5uented public spaces which are also
important for the identity of a city -e. g. <iccadilly 2ircus! Times
#5uare! Ale>anderplat1. (rban spaces are public commodities and in
this capacity they are subject to aesthetical environment protectionM!
mainly through building regulations! heritage protection and landscape
protection. It is in this capacity that these spaces are now being
privatised. They are peppered with billboards and signs! they are
remodelled into media for advertising.M
Socio2culturl spects3 Se4is!% Discri!intion nd
Stereot$ping
Advertising has an agenda setting functionM which is the ability! with
huge sums of money! to put consumption as the only item on the
agenda. In the battle for a share of the public conscience this amounts
to non3treatment -ignorance1 of whatever is not commercial and
whatever is not advertised for. Advertising should be reflection of
society norms and give clear picture of target market. #pheres without
commerce and advertising serving the muses and rela>ation remain
without respect. *ith increasing force advertising makes itself
comfortable in the private sphere so that the voice of commerce
becomes the dominant way of e>pression in society.M Advertising
critics see advertising as the leading light in our culture. #ut )hally and
)ames Twitchell go beyond considering advertising as kind of religion
and that advertising even replaces religion as a key institution.
A2orporate advertising -or is it commercial mediaZ1 is the largest single
psychological project ever undertaken by the human race. Uet for all of
that! its impact on us remains unknown and largely ignored. *hen I
think of the medias influence over years! over decades! I think of those
brainwashing e>periments conducted by Ir. /wen 2ameron in a
"ontreal psychiatric hospital in the 67E9s -see "'(+T$A1. The idea
of the 2IA3sponsored AdepatterningA e>periments was to outfit
conscious! unconscious or semiconscious subjects with headphones!
and flood their brains with thousands of repetitive AdrivingA messages
that would alter their behaviour over timeQ.Advertising aims to do the
same thing.A Advertising is especially aimed at young people and
children and it increasingly reduces young people to consumers. 4or
#ut )hally it is not surprising that something this central and with so
much being e>pended on it should become an important presence in
social life. Indeed! commercial interests intent on ma>imiing the
consumption of the immense collection of commodities have colonied
more and more of the spaces of our culture. 4or instance! almost the
entire media system -television and print1 has been developed as a
delivery system for marketers its prime function is to produce
audiences for sale to advertisers. ,oth the advertisements it carries! as
well as the editorial matter that acts as a support for it! celebrate the
consumer society. The movie system! at one time outside the direct
influence of the broader marketing system! is now fully integrated into
it through the strategies of licensing! tie3ins and product placements.
The prime function of many &ollywood films today is to aid in the
selling of the immense collection of commodities. As public funds are
drained from the non3commercial cultural sector! art galleries!
museums and symphonies bid for corporate sponsorship. In the same
way effected is the education system and advertising is increasingly
penetrating schools and universities. 2ities! such as 0ew Uork! accept
sponsors for public playgrounds. /ven the pope has been
commercialied Q The popes =3day visit to "e>ico in Q6777 was
sponsored by 4rito3+ay and <epsi2o. The industry is accused of being
one of the engines powering a convoluted economic mass production
system which promotes consumption. As far as social effects are
concerned it does not matter whether advertising fuels consumption but
which values! patterns of behaviour and assignments of meaning it
propagates. Advertising is accused of hijacking the language and means
of pop culture! of protest movements and even of subversive criticism
and does not shy away from scandaliing and breaking taboos -e. g.
,enneton1. This in turn incites counter action! what 'alle +asn in 8996
called )amming the )am of the )ammers. Anything goes. It is a
central social3scientific 5uestion what people can be made to do by
suitable design of conditions and of great practical importance. 4or
e>ample! from a great number of e>perimental psychological
e>periments it can be assumed! that people can be made to do anything
they are capable of! when the according social condition can be
created.M
Advertising often uses stereotype gender specific roles of men and
women reinforcing e>isting clichTs and it has been criticied as
inadvertently or even intentionally promoting se>ism! racism! and
ageismQ At very least! advertising often reinforces stereotypes by
drawing on recogniable AtypesA in order to tell stories in a single
image or B9 second time frame.M Activities are depicted as typical male
or female -stereotyping1. In addition people are reduced to their
se>uality or e5uated with commodities and gender specific 5ualities are
e>aggerated. #e>ualied female bodies! but increasingly also males!
serve as eye3catchers. In advertising it is usually a woman being
depicted as
servants of men and children that react to the demands and
complaints of their loved ones with a bad conscience and the
promise for immediate improvement -wash! food1
a se>ual or emotional play toy for the self3affirmation of men
a technically totally clueless being that can only manage a
childproof operation
female e>pert! but stereotype from the fields of fashion! cosmetics!
food or at the most! medicine
as ultra thin! slim! and very skinny.
doing ground3work for others! e. g. serving coffee while a journalist
interviews a politician.
A large portion of advertising deals with promotion of products that
pertain to the Aideal body image.A This is mainly targeted toward
women! and! in the past! this type of advertising was aimed nearly
e>clusively at women. *omen in advertisements are generally
portrayed as good3looking women who are in good health. This!
however! is not the case of the average woman. 2onse5uently! they give
a negative message of body image to the average woman. ,ecause of
the media! girls and women who are overweight! and otherwise
AnormalA feel almost obligated to take care of themselves and stay fit.
They feel under high pressure to maintain an acceptable bodyweight
and take care of their health. 2onse5uences of this are low self3
esteem!eating disorders! self mutilations! and beauty operations for
those women that just cannot bring themselves eat right or get the
motivation to go to the gym. The /( parliament passed a resolution in
899: that advertising may not be discriminating and degrading. This
shows that politicians are increasingly concerned about the negative
impacts of advertising. &owever! the benefits of promoting overall
health and fitness are often overlooked.
"hildren nd Adolescents s Trget Groups
The childrens market! where resistance to advertising is weakest! is the
pioneer for ad creepM. 'ids are among the most sophisticated
observers of ads. They can sing the jingles and identify the logos! and
they often have strong feelings about products. *hat they generally
donFt understand! however! are the issues that underlie how advertising
works. "ass media are used not only to sell goods but also ideasH how
we should behave! what rules are important! who we should respect and
what we should value.M Uouth is increasingly reduced to the role of a
consumer. 0ot only the makers of toys! sweets! ice cream! breakfast
food and sport articles prefer to aim their promotion at children and
adolescents. 4or e>ample! an ad for a breakfast cereal on a channel
aimed at adults will have music that is a soft ballad! whereas on a
channel aimed at children! the same ad will use a catchy rock jingle of
the same song to aim at kids. Advertising for other products preferably
uses media with which they can also reach the ne>t generation of
consumers. 'ey advertising messages e>ploit the emerging
independence of young peopleM. 2igarettes! for e>ample! are used as a
fashion accessory and appeal to young women. %ther influences on
young people include the linking of sporting heroes and smoking
through sports sponsorship! the use of cigarettes by popular characters
in television programmes and cigarette promotions. $esearch suggests
that young people are aware of the most heavily advertised cigarette
brands.M
<roduct placements show up everywhere! and children arenFt e>empt.
4ar from it. The animated film! 4oodfight! had thousands of products
and character icons from the familiar -items1 in a grocery store.
2hildrenFs books also feature branded items and characters! and
millions of them have snack foods as lead characters. ,usiness is
interested in children and adolescents because of their buying power
and because of their influence on the shopping habits of their parents.
As they are easier to influence they are especially targeted by the
advertising business. The marketing industry is facing increased
pressure over claimed links between e>posure to food advertising and a
range of social problems! especially growing obesity levels.M In 8996!
childrens programming accounted for over 89S of all (.#. television
watching. The global market for childrens licensed products was some
6B8 billion (.#. dollars in 8998. Advertisers target children because! e.
g. in 2anada! they represent three distinct marketsH
6. <rimary <urchasers -P8.7 billion annually1
8. 4uture 2onsumers -,rand3loyal adults1
B. <urchase Influencers -P89 billion annually1
'ids will carry forward brand e>pectations! whether positive! negative
or indifferent 'ids are already accustomed to being catered to as
consumers. The long term prieH +oyalty of the kid translates into a
brand loyal adult customerM
The average 2anadian child sees BE9!999 TC commercials before
graduating from high school! spends nearly as much time watching TC
as attending classes. In 67:9 the 2anadian province of KuTbec banned
advertising for children under age 6B. In upholding the consititutional
validity of the Kuebec 2onsumer <rotection Act restrictions on
advertising to children under age 6B -in the case of a challenge by a toy
company1 the 2ourt heldH ...advertising directed at young children is
per se manipulative. #uch advertising aims to promote products by
convincing those who will always believe. 0orway -ads directed at
children under age 681! and #weden -television ads aimed at children
under age 681 also have legislated broad bans on advertising to
children! during child programmes any kind of advertising is forbidden
in #weden! Ienmark! Austria and 4lemish ,elgium. In .reece there is
no advertising for kids products from ? to 88 h. An attempt to restrict
advertising directed at children in the (#A failed with reference to the
4irst Amendment. In #pain bans are also considered undemocratic.
T4tion s Revenue nd "ontrol
<ublic interest groups suggest that access to the mental space targeted
by advertisers should be ta>ed! 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.
This kind of ta> would be a <igovian ta> in that it would act to reduce
what is now increasingly seen as a public nuisance. /fforts to that end
are gathering more momentum! with Arkansas and "aine considering
bills to implement such a ta>ation. 4lorida enacted such a ta> in 67:?
but was forced to repeal it after si> 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 68 million dollars to the
broadcast industry aloneM.
In the (. #.! for e>ample! advertising is ta> deductible and suggestions
for possible limits to the advertising ta> deduction are met with fierce
opposition from the business sector! not to mention suggestions for a
special ta>ation. In other countries! advertising at least is ta>ed in the
same manner services are ta>ed and in some advertising is subject to
special ta>ation although on a very low level. In many cases the
ta>ation refers especially to media with advertising -e. g. Austria! Italy!
.reece! 0etherlands! Turkey! /stonia1. Ta> on advertising in /uropean
countriesH
,elgiumH Advertising or billboard ta> -ta>e dFaffichage or
aanplakkingstaks1 on public posters depending on sie and kind
of paper as well as on neon signs
4ranceH Ta> on television commercials -ta>e sur la publicitT
tTlTvisTe1 based on the cost of the advertising unit
ItalyH "unicipal ta> on acoustic and visual kinds of
advertisements within the municipality -imposta communale sulla
publicit[1 and municipal ta> on signs! posters and other kinds of
advertisements -diritti sulle pubbliche offisioni1! the tariffs of
which are under the jurisdiction of the municipalities
0etherlandsH Advertising ta> -reclamebelastingen1 with varying
tariffs on certain advertising measures -e>cluding ads in
newspapers and magaines1 which can be levied by
municipalities depending on the kind of advertising -billboards!
neon signs etc.1
AustriaH "unicipal announcement levies on advertising through
writing! pictures or lights in public areas or publicly accessible
areas with varying tariffs depending on the fee! the surface or the
duration of the advertising measure as well as advertising tariffs
on paid ads in printed media of usually 69S of the fee.
#wedenH Advertising ta> -reklamskatt1 on ads and other kinds of
advertising -billboards! film! television! advertising at fairs and
e>hibitions! flyers1 in the range of =S for ads in newspapers and
66S in all other cases. In the case of flyers the tariffs are based
on the production costs! else on the fee
#painH "unicipalities can ta> advertising measures in their
territory with a rather unimportant ta>es and fees of various
kinds.
In his book *hen 2orporations $ule the *orldM (.#. author and
globaliation critic Iavid 'orten even advocates a E9S ta> on
advertising to counter attack what he calls Aan active propaganda
machinery controlled by the worldFs largest corporationsM which
constantly reassures us that consumerism is the path to happiness!
governmental restraint of market e>cess is the cause of our distress! and
economic globaliation is both a historical inevitability and a boon to
the human species.A
5ht Is
ADVERTISING

Advertising is a form of communication used to influence individuals
to purchase products or services or support political candidates or ideas.
4re5uently it communicates a message that includes the name of the
product or service and how that product or service could potentially
benefit the consumer. Advertising often attempts to persuade potential
customers to purchase or to consume a particular brand of product or
service. "odern advertising developed with the rise of mass production
in the late 67th and early 89th centuries.
2ommercial advertisers often seek to generate increased consumption
of their products or services through branding! which involves the
repetition of an image or product name in an effort to associate related
5ualities with the brand in the minds of consumers. Iifferent types of
media can be used to deliver these messages! including traditional
media such as newspapers! magaines! television! radio! billboards or
direct mail. Advertising may be placed by an advertising agency on
behalf of a company or other organiation.
%rganiations that spend money on advertising promoting items other
than a consumer product or service include political parties! interest
groups! religious organiations and governmental agencies. 0on3profit
organiations may rely on free modes of persuasion! such as a public
service announcement.
"oney spent on advertising has increased in recent years. In 899?!
spending on advertising was estimated at more than P6E9 billion in the
(nited #tates and PB:E billion worldwide! and the latter to e>ceed P=E9
billion by 8969. "any people are now looking for less costly forms of
advertising! as well as more effective forms of advertising. A couple of
very effective forms of advertising that are relatively low in cost are
direct marketing and promotional products. Iirect marketing involves
face3to3face interaction with people! whereas promotional products can
be given out to people at an event! or even involved as part of a direct
marketing campaign. <romotional products are less costly because they
are most commonly purchased in bulk. ,usiness promotional products
3\combined with direct marketing produce a very effective marketing
campaign for little money.
Advertising is communication used to influence individuals to purchase
products or services or support political candidates or ideas.
Advertising can be displaced on billboards! newspapers! T.C.! websites!
movies and more.
Inde4
Introduction.
&istory.
*hat is Advertising.
Types of Advertising.
"edia and Advertising
Approaches.
2riticism of Advertising.