EXERCISE 1 Put in the words to build compound nouns related to marketing and merchandising.

Use CAPITALS at the beginning of the sentences.: ,

brand loyalty, carriage forward, cash register , chain store, confusion marketing , down payment ,loss leader, market analyst ,market leader, market price, marketing mix, niche market , pawn shop, price-sensitive, seller's market, shelf life, soft sell, unique selling point, white knight, window dressing

1 window dressing is the skill of decorating shop windows and arranging goods in them. 2 A white knight is a person or organisation that saves a company by putting money into it or buying it. 3. A unique selling point is a feature of a product which will persuade people to buy it. 4. If someone uses soft sell, they try to sell something by being gently persuasive. 5. The shelf life of a product is the length of time it can be kept in a shop before it becomes too old to be sold. 6. A sellers market is a market where there are more buyers than suppliers. 7. If a market is price- sensitive , buyers look for the best deal they can get, comparing prices. 8. A pawn shop is where you get some money for a possession which you get back if you return the money. 9. A niche market is a small area of trade within the economy involving specialised products.

10. The marketing mix is the combination of selling factors that a company can influence such as price and place.

11. The market price is the price of a product that most companies charge in a free market. 12. A market leader is a company that sells more of a particular product than others. 13. A market analyst is someone who has specialist knowledge of a specific market. 14. A loss leader is an article that is sold cheaply in order to attract the public and make them buy other things.

15. A down payment is an amount of money which is only part of the total cost. 16. Confusion marketing is selling in a way that makes it very difficult to decide which products are cheapest. 17. A chain store is one of a group of shops which belong to a single company and sells similar goods. 18. A cash register is a machine in a shop or other business that records sales and into which money is put. 19. Carriage forward means that the person receiving them will pay for the cost of sending them. 20. Brand loyalty is the tendency to buy the same named product.

Exercise 2
Answer the following questions:

Question 1:

What is marketing?

Setting up a market stall Buying as many products as you can Selling as many products as possible Identifying and satisfying consumer needs and wants.

Question 2: Sections Bits Bytes

What is a market broken down into?

Segments

Question 3:

What is disposable income?

Waste money The money left for spending after essential bills have been paid Use once and throw away Income you don't need

Question 4:

Socio-economic groups break the population down by:

occupation and income occupation and gender occupation and taste income and education

Question 5: Height

Which of the following is a market segment?

Education Shoe size Weight

Question 6:

What would be the likely profile of someone buying hair spray

Female 36-70 Female Male Male 36-70

Question 7:

What is a niche market?

A nice market A market specializing in niches A market based in the town of Niche A specialist market

Matcing exercise 3: Match the most appropriate headline for the following excerpts. One is extra Five Basic Marketing Rules It's a simple formula: if your company closes sales faster, you'll ramp up your revenues without spending as much time doing marketing or making sales calls. Turning a lead into a sale is the critical purpose of marketing. And although techniques differ for various types of businesses, basic marketing rules apply to everyone. Here are five of the most important basic rules of Marketing: 1. First, be sure you are staying in touch with prospective clients or customers on a frequent, consistent basis. Don't spam them every week, or even every month. But if you want to keep their mindshare, it is critical to stay in touch monthly or quarterly - on a regular schedule with clear, concise communications. STAY IN TOUCH Studies show we are subjected to 10-20,000 promotional messages each and every day. From toothpaste that guarantees "whiter teeth" in the morning to TV spots that tell you how to lower your cholesterol during the late-night newscast, we're all barraged with messages. Thus, if yours doesn't stay in front of those you want as clients (called "prospects" in market-speak), you're very likely to lose the business you would have had if you'd kept the lines of communication open.

2. One of the most common mistakes I find is that business owners simply do not believe that they have any competition. Sure, no one provides the exact service or sells the exact product that you do. But I've yet to find a business that doesn't have a competitor that your target market perceives to be pretty much just like you. Face it: your competitors probably have their information in front of your prospects already. Worse still, the prospects you thought really wanted and needed what you have could easily have forgotten your name, misplaced your phone or email address, or otherwise can't find you when they need you. Consider what happened the last time your roof was leaking: you'd met a great roofer five months before, but had lost his card, you had no idea how to reach him, nor could you remember his name (even though you were quite impressed with him when you'd first met). Just like the roofer, you'd be doing people a favor by periodically reminding them youre still available to help them out. STAY A STEP AHEAD OF YOUR COMPETITORS 3. If you plan the messages you need to deliver to your prospects over the next year, know exactly how to write marketing materials that bring response, and know which form of communications works best to get their attention, it will be very easy to stay in touch with every one of them. This process is called planning an "editorial calendar". You can try this yourself, or you can hire a marketing expert to help you understand how many calls to make, what messages work at different times of the year, and how to avoid the most common marketing mistakes. CREATE AN EDITORIAL CALENDAR

4. Many companies don't have a large sales force that can meet with prospects, or call them on a regular basis to close a sale. Entrepreneurial owners usually have great intentions of making these calls. But, due to the countless distractions inherent in running a business, they often don't stay on top of following up with their leads. Keep this rule in mind: "The follow-up is what gets you the sale." The most successful companies keep their sales pipeline active by staying in touch via email, advertising, articles, brochures, or other promotional pieces. And yes, it is important to pick up the phone to check in with prospects. You must ask for the sale in order to close it! MARKETING SUPPORTS SALES 5. Hiring a marketing firm can save you spending needless hours or dollars. (In fact, seeing so many businesses doing it wrong is what motivated us to start our business!) A good firm will offer the right strategy for you, as well as a talented staff of award-winning writers, designers, web teams, publicists, and even film, event, or television production professionals to communicate your message. BEFORE YOU WASTE TIME OR MONEY, ASK FOR HELP! CREATE AN EDITORIAL CALENDAR WHITE KNIGHT STAY IN TOUCH STAY A STEP AHEAD OF YOUR COMPETITORS MARKETING SUPPORTS SALES

BEFORE YOU WASTE TIME OR MONEY, ASK FOR HELP!

Exercise 4 Suggest the most appropriate headline for the following excerpt, then make a summary of it, by giving an answer to the following question: What should we know before our company goes after a niche market?

A: Most companies, whether big or small, direct their marketing to select niche audiences. Even the country's largest manufacturers target carefully pinpointed market segments to maximize the effectiveness of their programs and often tackle different niches for each product group. Hewlett-Packard, for example, markets all-inone machines that print, fax and scan to segments of the home office market, while targeting larger businesses for higher-priced, single-function units. Niche marketing can be extremely cost-effective. For instance, imagine you offer a product or service that's just right for a select demographic or ethnic group in your area, such as Hispanics or Asians. You could advertise on ethnic radio stations, which have considerably lower rates than stations that program for broader audiences. So your marketing budget would go a lot further, allowing you to advertise with greater frequency or to use a more comprehensive media mix. Taking on a new niche can be a low-risk way to grow your business, as long as you keep in mind several important rules: 1. Meet their unique needs. The benefits you promise must have special appeal to the market niche. What can you provide that's new and compelling? Identify the unique needs of your potential audience, and look for ways to tailor your product or service to meet them. Start by considering all the product or service variations you might offer. When it comes to marketing soap, for example, not much has changed over the years. But suppose you were a soap maker and you invented a new brand to gently remove chlorine from swimmers' hair. You'd have something uniquely compelling to offer a niche market--from members of your neighborhood pool to the Olympic swim team. 2. Say the right thing. When approaching a new market niche, it's imperative to speak their language. In other words, you should understand the market's "hot buttons" and be prepared to communicate with the target group as an understanding member--not an outsider. In addition to launching a unique campaign for the new niche, you may need to alter other, more basic elements, such as your company slogan if it translates poorly to another language, for example.

In instances where taking on a new niche market is not impacted by a change in language or customs, it's still vital to understand its members' key issues and how they prefer to communicate with companies like yours. For example, suppose a business that markets leather goods primarily to men through a Web site decides to target working women. Like men, working women appreciate the convenience of shopping on the Web, but they expect more content so that they can comprehensively evaluate the products and the company behind them. To successfully increase sales from the new niche, the Web marketer would need to change the way it communicates with them by expanding its site along with revising its marketing message. 3. Always test-market. Before moving ahead, assess the direct competitors you'll find in the new market niche and determine how you will position against them. For an overview, it's best to conduct a competitive analysis by reviewing competitors' ads, brochures and Web sites, looking for their key selling points, along with pricing, delivery and other service characteristics. But what if there is no existing competition? Believe it or not, this isn't always a good sign. True, it may mean that other companies haven't found the key to providing a product or service this niche will want to buy. However, it's also possible that many companies have tried and failed to penetrate this group. Always test-market carefully to gauge the market's receptiveness to your product or service and message. And move cautiously to keep your risks manageable.

Exercise 5- Summarize the main ideas of Debra Ellis article: The Best Marketing Tools are the Ones that Work for Your Company and Customers. Use synonims and talk around ideas.
If you are searching for a marketing tool that integrates channels, databases, and processes, you need to stop. It doesnt exist. The magical solution that puts everything you need at your fingertips is a myth. The salesperson describing his or her turnkey solution that allows you to integrate all of your marketing is selling you smoke and mirrors. A tool that eliminates the need for all others doesnt exist. Marketing requires different tools for different activities. Finding the best ones for your business is a process. You have to test them to see what works. Investing any time in a one-stop shop is a waste of time. The better option is to optimize the tools that work. Here are some steps to help you along the way:

Learn how to use all of the functionality in the tools you are currently using. Identify the tools that work best for each marketing activity.

If they need integration with other processes, find the hooks that allow it. Use the hooks to connect multiple tools. Identify necessary functions that arent currently available. Look for tools to provide the missing functionality. Test new tools until you find what you need. If the new tools have redundant functionality, compare the old with the new. Choose the one that fits your business best. Repeat as needed

Four traps to avoid: 1. 2. 3. 4. Choosing a tool without testing because it works for another company. Creating so much ownership that no one wants to give up a tool. Long-term financial commitments to resolve short-term problems. Expecting a tool to provide a fully automated experience.

Exercise 6: Make up a marketing plan after having read the following article. Present your views to the group and explain which ideas have influenced you when making your decisions. Positioning Your Company for Growth in 2012 by Debra Ellis

Where will your company be this time next year? Will you be celebrating record profits or planning a bankruptcy strategy? The answer depends on what you do now to prepare for tomorrow. Business as usual doesnt exist anymore. Our marketplace has changed from a multichannel environment to a maze of channels and platforms that distract buyers and stretch limited resources. Maintaining a presence on all of the relevant networks is impossible for small businesses and fiscally irresponsible for large ones. The economic downturn combined with an influx of new opportunities to connect with customers is overwhelming to even the most seasoned marketing teams. When faced with so many choices and dangers, running seems to be the only answer. Some dart from platform to platform hoping to catch a viral wave that will rain a revenue stream. Others run away from everything new seeking comfort in the tried and true tactics that have delivered past successes. Both strategies are fear driven

paths to failure. When everything is said and done, a divided house cannot stand and those rooted in the past will be left behind. Change is hard. People naturally resist it until the pain of remaining in the status quo exceeds the fear of the unknown. Vision of a better tomorrow shared with the passion of a believer is the only way to move some from the comfort of days gone by. The team responsible for the future of the company has to share the vision. They dont have to agree on the path, but the final outcome is dependent on their ability to see a better tomorrow. Maybe the real question is where do you stand? Are you so rooted in the past that the future will pass you by? Or, are you waiting with an open mind, willing to walk through the door of opportunity and do the heavy lifting? The tactics that got your business where it is today wont take it to the next level. Change like youve never seen before is required. Positioning your company for growth requires a solid plan that encompasses every corporate function, department, and person. The business has to work like a welloiled machine where every gear provides leverage to the one next to it. The process wont be easy but nothing worth doing is ever easy. Here are some steps to get you started on moving your organization to the next level: Assemble Start with an open mind, blank paper, and the people you need to make it happen. It is helpful if you do this at another location but if that isnt in the budget, clear your conference room of everything that reminds you of the status quo. List your corporate strengths and weaknesses and then do the same for your competitors. Analyze Dig deep into your customer file so you have the best possible understanding of their behavior, buying patterns, and preferences. Keeping customers active longer is the best thing you can do for your bottom line. It increases the return on acquisition costs exponentially. Brainstorm Where can you improve service and satisfaction without significantly increasing costs? What do you need to do to offset weaknesses? How can you be more accessible to your customers? What channels are you missing that can make a difference in your business? What customer needs are unfilled? Eliminate There are always more ideas and opportunities than there are resources. Select the best and prioritize them by commitment and return. This will help you choose when and what to do based on available resources and potential return. Strategize

Effective action requires planning. The survival rate of companies managed by kneejerk reactions and seat of the pants methodology is extremely low. Having a plan provides vision and direction. There may be detours and rerouting along the way, but mapping out the strategy is the best way to keep your business moving forward. Implement The best laid plans are worthless without implementation. Executing your strategy inspires confidence and provides feedback that can be leveraged into growth and profitability. Dont finish the year with a list of things we could have done. Finish it with a compilation of this worked, that didnt. This is the foundation that supports sustainable growth. Revise Perfection is impossible. The very best strategy will have components that dont work. Continuously monitor the progress, eliminating the things that dont work and expanding the ones that do. In the end, everything may be completely different from the plan but it will be tested and successful. Celebrate People need wins to remain motivated. If you are constantly pushing your team to move forward without celebrating the progress, they will burn out. Youll be left with a failed strategy because it didnt reward the people who make it happen. Celebrations must be inclusive, crossing departments and divisions. It is only when everything and everyone works together for the greater good that your company will reach its full potential. Remember Moving a company to the next level is a process. Trying to plan it in a few days wont deliver the results you want. Give it time to gestate and expand in your mind so you and your team have full ownership of the process and results. And here are some clues for successful marketing plan writing, together with a sample plan. How to write a marketing plan Starting a marketing plan is easy. Getting it finished, though, may mean getting some practical help. That is where our how-to articles come in. Marketing plan outline Not sure what belongs in your marketing plan? This outline shows the best things to include for your plan to get results. Conducting market research

Who are your best potential customers and where can you find them? The search starts with effective market research. Understanding your competition Who are you competing with for your customers' time and money? The more you know, the better you can craft your approach! THE SAMPLE MARKETING PLAN This is the marketing plan of_____________________________________ I. MARKET ANALYSIS A. Target Market - Who are the customers? 1. We will be selling primarily to (check all that apply): Market Segment a. Private sector b. Wholesalers c. Retailers d. Government e. Other 2. We will be targeting customers by: a. Product line We will target specific lines _________________ b. Geographic area? Which areas? _________________ c. Sales? We will target sales of _________________ d. Industry? Our target industry is _________________ e. Other? _________________ 3. How much will our selected market spend on our type of product or service this coming year? $_______________ B. Business Competition Total Percent of Business % % % % %

1. Who are our business competitors? NAME _____________________________________ ADDRESS _____________________________________ _____________________________________ Years in business ___________________ Market share ___________________ Price/Strategy ___________________ Product/Service Features ___________________ NAME ______________________________________ ADDRESS ______________________________________ ______________________________________ Years in business ___________________ Market share ___________________ Price/Strategy ___________________ Product/Service Features ___________________ 2. How competitive is the market? High Competitive Market ____________________ Medium Competitive Market ____________________ Low Competitive Market ____________________ 3. List below your strengths and weaknesses compared to your business competition (consider such areas as location, size of resources, reputation, services, personnel, etc.):

Strengths Weaknesses 1.________________________ 1._______________________ 2.________________________ 2._______________________ 3.________________________ 3._______________________ 4.________________________ 4._______________________ C. Market Environment 1. The following are some important economic factors that will affect our product (such as country growth, industry health, economic trends, taxes, rising energy prices, etc.): ______________________________________________________ ______________________________________________________ ______________________________________________________ 2. The following are some important legal factors that will affect our market: _____________________________________________________ _____________________________________________________ _____________________________________________________ 3. The following are some important government factors: ______________________________________________________ ______________________________________________________ ______________________________________________________ 4. The following are other environmental factors that will affect our market, but over which we have no control: ______________________________________________________

______________________________________________________ ______________________________________________________ II. PRODUCT OR SERVICE ANALYSIS A. Description 1. Describe here what the product/service is and what it does: ______________________________________________________ ______________________________________________________ ______________________________________________________ B. Comparison 1. What advantages does our product/service have over those of the competition (consider such things as unique features, patents, expertise, special training, etc.)? ______________________________________________________ ______________________________________________________ ______________________________________________________ 2. What disadvantages does it have? ______________________________________________________ ______________________________________________________ ______________________________________________________ C. Some Considerations 1. Where will you get your materials and supplies? ______________________________________________________ 2. List other considerations:

______________________________________________________ ______________________________________________________ III. MARKETING STRATEGIES - MARKET MIX A. Image 1. First, what kind of image do we want to have (such as cheap but good, or exclusiveness, or customer-oriented, or highest quality, or convenience, or speed, or ...)? ______________________________________________________ B. Features 1. List the features we will emphasize: a.___________________________________________________ b.___________________________________________________ c.___________________________________________________ C. Pricing 1. We will be using the following pricing strategy: a. Markup on cost ____ What % markup? ______ b. Suggested price ____ c. Competitive ____ d. Below competition ____ e. Premium price ____ f. Other ____ 2. Are our prices in line with our image? YES___ NO___

3. Do our prices cover costs and leave a margin of profit? YES___ NO___ D. Customer Services 1. List the customer services we provide: a. ____________________________________________ b. ____________________________________________ c. ____________________________________________ 2. These are our sales/credit terms: a. _____________________________________________ b. _____________________________________________ c. _____________________________________________ 3. The competition offers the following services: a. ______________________________________________ b. ______________________________________________ c. ______________________________________________ E. Advertising/Promotion 1. These are the things we wish to say about the business: ______________________________________________________ ______________________________________________________ ______________________________________________________ 2. We will use the following advertising/promotion sources:

1. Television ________ 2. Radio ________ 3. Direct mail ________ 4. Personal contacts ________ 5. Trade associations ________ 6. Newspaper ________ 7. Magazines ________ 8. Yellow Pages ________ 9. Billboard ________ 10. Other___________ ________ 3. The following are the reasons why we consider the media we have chosen to be the most effective: _______________________________________________________ _______________________________________________________ _______________________________________________________

Exercise 7: To cut a long story short, here are some essentials of marketing: The Essentials of Marketing

In articles and forums around the web, there is an obvious, common misconception of exactly what 'Marketing' actually is. Often people use the word marketing as though it were just another word for advertising. Some seem to think that Marketing is just another word for Promotion. Neither is true. Marketing is a far broader topic that holds promotion as a sub-function of marketing, and advertising as a subfunction of promotion. Whatever your current understanding of marketing, from none to major, this essential primer should provide some interesting reading and should ensure that you have a good grasp of what marketing is, and how to use marketing to massively improve your business. This won't be a quick post, so make yourself a drink, get comfortable, and prepare for a darned good read that may even change your business life.

So What Is Marketing?

In the broadest sense, marketing incorporates everything about understanding markets (both yours and the ones you have not yet made yours), bringing your product/service to a market, and even developing new markets. To get to the real essence of marketing, as I've mentioned once or twice before, marketing is about producing what you can sell, rather than just selling what you can produce. Marketing is basically the strategic part of business. Marketing incorporates or impacts heavily upon all of the following activities: Business Development Product Development Market Development Market Research Competitor Analysis Pricing Strategy Public Relations Customer Service Promotions Brand Development Company/Corporate Identity So, now that you see how big and broad marketing truly is, I've probably just scared the heck out of you. Well, sip that drink and we'll start on how to get a handle on it.

Start at the beginning

The foundation of all good marketing is to know your market. That means your customers. The well marketed business is completely customer focused. They identify what the customer wants or needs, and then supply it at a price the customer is prepared to pay. The customer is always right. That is the classic saying which has fallen from favour

in recent years. However it is true. The customer is always right, provided that they are the right customer. Henry Ford supplied his model T Ford in any colour that customers wanted providing it was black. That was important. By having just one colour, the single production line worked, and so the cost of the final car was a fraction of what other cars cost. He was selling cheap cars, not colourful cars. The right customer was the one who wanted a cheap car, and was prepared to accept the fact that it would be black. They could always pay for their own respray. Placing the customer foremost does not always mean having excellent customer service. It means knowing what the customer's priorities are, and making them your own. With that said, providing value, the values that the customer values most, is where the whole secret lies. To paraphrase Henry Ford: "Whoever focuses on how much they can give for a dollar, rather than how little, is bound to succeed". Knowing your customers

The tricky part to this is that you really need to know who your customers are and what they want even before you can make them your customers. Bigger businesses literally do this by carrying out extensive market research to find the best balance of the 4 P's of marketing before they go any further. I'll come back to the 4 P's in a moment if you are not already familiar with them. First however, I want to discuss ways that the small business, even the Sole-Owner business, can do market research. In fact, you probably did some of this yourselves. You ask people you know. "What do you think of this...?", "Would you pay $50 for a service that...", etc. Do what market research you can, and if that means carrying your own clipboard in the streets, or means trying to find people in your target market to interview, then so be it. Every scrap you glean will stand you in good stead later on. It is the data you get from knowing your customers, combined with the data from studying your competition in the market, that helps you to find a good mixture of the 4 P's

The Four P's of Marketing

The four P's of marketing are: Product Price Place Promotion Product is what you are selling. Not just the physical product or the actual service, but all the customer benefits and values that the product represents. It is usually not important to have the best possible product. Cutting edge and feature packed products cost more. The key is to have the most valuable product in its price range. Price is the amount that the customer must pay. This is the acid test of whether the features you added to the product were really valuable, or whether you might have been better to cut a few low-value features out and so be able to offer a lower price. Place is sometimes thought unimportant to online business. However, many deals still go best with a handshake. Services can only be cost-effectively provided within a fixed travel-radius. Shipping costs matter. Place is still a vital concern. With the internet, all online shops are on the super-highway and equidistant to any customer, and yet people still look for local and regional suppliers. Financial and legal issues are still mostly set by place too. Where will you place your distribution centers? Would better placement of your business let you ship faster or more cost-efficiently? Promotion is the P that everyone knows Marketing is about. Of course, we are not only talking about advertising in promotions, but also sponsorships, public relations, special offers, viral marketing, and so much more. Every business, and every product or service, will need its own special blend of those four elements. The cheaper the product and the better your place, the lower the price you can offer. The more attractive a product is for the price, the further people will travel or the longer they'll wait, and the less promotion the product will need. The 4 P's of marketing all inter-relate to create an overall mix that you can control, and in doing so, can find the optimum blend for your customers and market conditions.

Let's illustrate this with something you'll all know - a computer. I am going to create a great computer to sell. Using marketing for strategic business, I know I need to research my customers' values, and look at what my competition are supplying. I find a gap in the market in two respects - first I see that almost all computer 'packages' are far too low on memory by default. Second, most computers are still pretty ugly, though great improvements have been made. I'm locating this business in the city, so I know there are plenty of people and businesses that can buy my machines, and that delivery costs will be cheaper because of that. Okay, so offering at least 1Gb of memory in every PC is my first product development decision. (You do know that Windows XP won't run at full speed if you have less than 1Gb of memory, right?). Now, that means my machines are either going to be more expensive than my competitors, or I am going to have to cut out some other feature that offers less value. I could go for a cheaper Graphics card for example, and so develop the computer for the no-nonsense user who wants reliability and performance for serious work, and isn't going to be playing many if any games. Or I could save some on the processor, and offer a slower but more stable machine that my competitors. The thing is not to just guess, but to know what features customers assign the most value to. In actual fact, this is why most computers you buy in the shops are given inadequate memory - people value other things more highly, and have suffered all the increased likelihood of windows crashing and freezing up for all these years because they were more concerned with a big graphics card and surround-sound speakers, than in supplying Windows with the memory it actually needs (1Gb, remember). Okay, I decide on a mix of components, some brand name, others generic, and create a PC that will be valued pretty well by customers. I find that I can offer really beautiful cases and matching keyboards in unusual colours (because my brother is a real artist with an airbrush) so I add that too. I now have a unique product that is as valuable as I can get it while not being far above the price of what else is available. I've done the market research to confirm that people will pay that little bit more for the truly beautiful colours and individual look that our custom cases and keyboards offer.

Now I put the price on it. I'd been considering price all along the design process as you noticed, but now is when I decide whether I can cut my margins a little to sell more, or whether I increase my margins so that I'm covered if my brother decides that painting all those cases is hard work and he wants more money. What I'm actually doing here is betting my business on my belief that the value of the product to my customers is greater than the price tag I'm putting on it. I have now got the mix of product, price and place sorted and now need to add enough promotion to make it work. A lot of that promotion may include educating my customers so that they realise how important it is for a PC to have enough memory. I can run an education campaign to help them learn that the vast majority of crashes on Windows are due to memory handling errors, and that by having 1Gb of memory, they will be a full 90% less likely to suffer a crash than a user with 256Mb of memory - (All pretty accurate, btw). The rest of the promotion is to have some advertising that shows of the attractive cases and beautiful colours, inspiring some of the desire that I know the artistic work by my brother will arouse. I go for a couple of big posters at the railway station, some flyers on the high street where my shop is, and place some posters in the windows of some cafes where I know lots of office workers buy their lunch. I spend quite a bit on some stunning pictures to use in the posters and on my website of course, and pay for some user testing (I know a guy at Site-Report.com) to ensure that the 'extra reliability' I am branding on is going to be supported and reflected by my website. I definitely don't want any unforeseen irony of an unreliable website. There's the basis of my Promotion in place. I'll also use SEO and SEM too, because they offer unbeatable value. In fact, I decide to sort out shipping for orders from outside the city and oversees. That way I don't have to be so careful to exclude non-local surfers and shoppers. The shipping costs will push up the price massively for those orders of course, but though I'll have a lower conversion rate on shipped orders, I'll have a wider customer base to compensate. I still have superb value on the local business, so my thought for Place is going to pay off. If the product really does appeal massively to customers, I may find that ongoing promotion isn't needed as the viral marketing effect of customer telling lead takes over. Of course, I may decide that means I'm under-charging, and raise my prices, so

that I need to spend a little more on promotion, but not as much more as the higher margins are giving me. Now that, dear friends, is the essential beginnings of marketing. There's a lot more to say, but I'm all typed out for now, and there are others who can contribute more and different perspectives and information to this explanation of marketing and how to use it. I'll gladly hand over to them.

Exercise 8: Match the following descriptions to the most appropriate advertising technique: What are the seven common advertising techniques?
AVANTE GARDE The suggestion that using this product puts the user ahead of the times e.g. a toy manufacturer encourages kids to be the first on their block to have a new toy. FACTS AND FIGURES Statistics and objective factual information is used to prove the superiority of the product e.g. a car manufacturer quotes the amount of time it takes their car to get from 0 to 100 k.p.h. WEASEL WORDS Weasel words" are used to suggest a positive meaning without actually really making any guarantee e.g. a scientist says that a diet product might help you to lose weight the way it helped him to lose weight. MAGIC INGREDIENTS The suggestion that some almost miraculous discovery makes the product exceptionally effective e.g. a pharmaceutical manufacturer describes a special coating that makes their pain reliever less irritating to the stomach than a competitor`s. PATRIOTISM The suggestion that purchasing this product shows your love of your country e.g. a company brags about its product being made in America and employing American workers. DIVERSION Diversion seems to tackle a problem or issue, but then throws in an emotional non-sequitor or distraction. e.g. a tobacco company talks about health and smoking, but then shows a cowboy smoking a rugged cigarette after a long day of hard work. TRANSFER Words and ideas with positive connotations are used to suggest that the positive qualities should be associated with the product and the user e.g. a textile manufacturer wanting people to wear their product to stay cool during the summer shows people wearing fashions made from their cloth at a sunny seaside setting where there is a cool breeze. PLAIN FOLKS The suggestion that the product is a practical product of good value for ordinary people e.g. a cereal manufacturer shows an ordinary family sitting down to breakfast and enjoying their product.

SNOB APPEAL The suggestion that the use of the product makes the customer part of an elite group with a luxurious and glamorous life style e.g. a coffee manufacturer shows people dressed in formal gowns and tuxedos drinking their brand at an art gallery. BRIBERY Bribery seems to give a desirable extra something. We humans tend to be greedy. e.g. Buy a burger; get free fries. TESTIMONIAL A famous personality is used to endorse the product e.g. a famous basketball player (Michael Jordan) recommends a particular brand of skates. WIT AND HUMOR Customers are attracted to products that divert the audience by giving viewers a reason to laugh or to be entertained by clever use of visuals or language. SIMPLE SOLUTIONS Avoid complexities, and attack many problems to one solutions. e.g. Buy this makeup and you will be attractive, popular, and happy. CARD STACKING The propaganda technique of Card-Stacking is so widespread that we may not always be aware of its presence in a commercial. Basically, Card-Stacking means stacking the cards in favor of the product; advertisers stress is positive qualities and ignore negative. For example, if a brand of snack food is loaded with sugar (and calories), the commercial may boast that the product is low in fat, which implies that it is also low in calories. Card-Stacking is such a prevalent rational propaganda technique that gives us only part of the picture. GLITTERING GENERALITIES The glittering generalities technique uses appealing words and images to sell the product. The message this commercial gives, through indirectly, is that if you buy the item, you will be using a wonderful product, and it will change your life. This cosmetic will make you look younger, this car will give you status, this magazine will make you a leader-all these commercials are using Glittering Generalities to enhance product appeal. BANDWAGON Bandwagon is a form of propaganda that exploits the desire of most people to join the crowd or be on the winning side, and avoid winding up the losing side. Few of us would want to wear nerdy cloths, smell differently from everyone else, or be unpopular. The popularity of a product is important to many people. Even if most of us say we make out own choice when buying something we often choose well-advertised items- the popular ones. Advertising copywriters must be careful with the bandwagon propaganda technique because most of us see ourselves as individuals who think for themselves. If Bandwagon commercial is to obvious, viewers may reject the product outright.

Advertising

A Coca-Cola advertisement from the 1890s

Advertising is a form of communication used to encourage or persuade an audience (viewers, readers or listeners) to continue or take some new action. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common. The purpose of advertising may also be to reassure employees or shareholders that a company is viable or successful. Advertising messages are usually paid for by sponsors and viewed via various traditional media; including mass media

such as newspaper, magazines, television commercial, radio advertisement, outdoor advertising or direct mail; or new media such as websites and text messages. Commercial 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 certain qualities with the brand in the minds of consumers. Noncommercial advertisers who spend money to advertise items other than a consumer product or service include political parties, interest groups, religious organizations and governmental agencies. Nonprofit organizations may rely on free modes of persuasion, such as a public service announcement (PSA). Modern advertising developed with the rise of mass production in the late 19th and early 20th centuries. In 2010, spending on advertising was estimated at more than $300 billion in the United States[1] and $500 billion worldwide[citation needed]. Internationally, the largest ("big four") advertising conglomerates are Interpublic, Omnicom, Publicis, and WPP.[citation needed]

Contents
o o o o o o o o o

1 Definition 2 History 2.1 Public service advertising 3 Marketing mix 4 Advertising theory 5 Types of advertising 6 Sales promotions 7 Media and advertising approaches 7.1 Rise in new media 7.2 Niche marketing 7.3 Crowdsourcing 7.4 Global advertising 7.5 Foreign public messaging 7.6 Diversification 7.7 New technology 7.8 Advertising education 8 Criticisms 9 Regulation 10 Advertising research 11 Semiotics 12 See also 13 References 14 Bibliography 15 External links

[edit] Definition
1. The non-personal communication of information usually paid for & usually persuasive in nature, about products (goods & services) or ideas by identified sponsor through various media. (Arens, Wei gold, Arens 2010) 2. Any paid form of non-personal communication about an organization, product,service, or idea from an identified sponsor. (Blech & Blech 1998) 3. Paid non-personal communication from an identified sponsor using mass media to persuade or influence an audience. (Wells, Burnett, & Moriaty 1998) 4. The element of the marketing communication mix that is non personal paid for an identified sponsor, & disseminated through channels of mass communication to promote the adoption of goods, services, person or ideas. (Bearden, Ingram, & Laforge 1998) 5. An informative or persuasive message carried by a non personal medium & paid for by an identified sponsor whose organization or product is identified in some way. (Zikmund & D'amico 1999) 6. Impersonal; one way communication about a product or organization that is paid by a marketer. (Lamb, Hair & Mc.Daniel 2000) 7. Any paid form of non-personal presentation and promotion of ideas,goods or services by an identified sponsor. (Kotler et al., 2006) The Principle of Advertisement

Advertisement is an encapsulated communication about a product (good/services), a clearly designed, concise, aesthetically appealing and content-wise accurate communiqu intended to effectively persuade the target audience(viewers/listeners/readers) to arrive at a decision as desired by the advertiser often concerning the product (goods/service). Usually the aim of an advertisement is to increase the sales of a product introduced into the market. The advertisement will speak about the salient features of the product on offer and the benefit the customer/consumer can derive out of the product. It can also educate the target audience about the various other details such as the products cost, availability, usage modalities, problems that may arise whiles using it and the probable solutions to those problems etc. Advertisement also is used to inform a mass of audience about various socially relevant factors such as employment, upcoming events, contests or elections or a host of other such events. Now newer media of advertisements are emerging and growing. Internet based media like social networks, web portals, trade portals etc. are some of those. Marketing managers conceptualise special event simply to coercively communicate product related sales communications. Normally the advertisement s are prepared in such a way that it attracts the attention of the intended parties easily. Thoughtfully constructed copy (words/diction of an advertisement), interesting visual or pictures, attractive colours and designs, and a uniquely arrived at theme, the central steam of thought, etc. arouse interest of the customers, and help to retain the interest. Persuasive elements of the advertisement drive the customers towards a strong desire to possess the product. This finally leads them toward buying or possessing the product. Professional managers dont construe this as the final point in advertising. They proceed for an extra mile to ensure the initial trial becomes a success and ensures repeated clientele.

[edit] History

Edo period advertising flyer from 1806 for a traditional medicine called Kinseitan Egyptians used papyrus to make sales messages and wall posters. Commercial messages and political campaign displays have been found in the ruins of Pompeii and ancient Arabia. Lost and found advertising on papyrus was common in Ancient Greece and Ancient Rome. Wall 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 South America. The tradition of wall painting can be traced back to Indian rock art paintings that date back to 4000

BC.[2] History tells us that Out-of-home advertising and billboards are the oldest forms of advertising. As the towns and cities of the Middle 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. Fruits and vegetables were sold in the city square from the backs of carts and wagons and their proprietors used street callers (town criers) to announce their whereabouts for the convenience of the customers. As education became an apparent need and reading, as well as printing, developed advertising expanded to include handbills. In the 17th century advertisements started to appear in weekly newspapers in England. 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 Europe. However, false advertising and so-called "quack" advertisements became a problem, which ushered in the regulation of advertising content. As the economy expanded during the 19th century, advertising grew alongside. In the United States, the success of this advertising format eventually led to the growth of mail-order advertising. In June 1836, French newspaper La Presse was the first to include paid advertising in its pages, allowing it to lower its price, extend its readership and increase its profitability and the formula was soon copied by all titles. Around 1840, Volney B. Palmer established the roots of the modern day advertising agency in Philadelphia. In 1842 Palmer bought large amounts of space in various newspapers at a discounted rate then resold the space at higher rates to advertisers. The actual ad - the copy, layout, and artwork - was still prepared by the company wishing to advertise; in effect, Palmer was a space broker. The situation changed in the late 19th century when the advertising agency of N.W. Ayer & Son was founded. Ayer and Son offered to plan, create, and execute complete advertising campaigns for its customers. By 1900 the advertising agency had become the focal point of creative planning, and advertising was firmly established as a profession. [3] Around the same time, in France, Charles-Louis Havas extended the services of his news agency, Havas to include advertisement brokerage, making it the first French group to organize. At first, agencies were brokers for advertisement space in newspapers. N. W. Ayer & Son was the first full-service agency to assume responsibility for advertising content. N.W. Ayer opened in 1869, and was located in Philadelphia.[3]

An 1895 advertisement for a weight gain product.

A print advertisement for the 1913 issue of the Encyclopdia Britannica

Advertisement for a live radio broadcast, sponsored by a milk company and published in the Los Angeles Times on May 6, 1930 At the turn of the century, there were few career choices for women in business; however, advertising was one of the few. Since women were responsible for most of the purchasing done in their household, advertisers and agencies recognized the value of women's insight during the creative process. In fact, the first American advertising to use a sexual sell was created by a woman for a soap product. Although tame by today's standards, the advertisement featured a couple with the message "The skin you love to touch".[4]

Advertisements of hotels in Pichilemu, Chile from 1935. In the early 1920s, the first radio stations were established by radio equipment manufacturers and retailers who offered programs in order to sell more radios to consumers. As time passed, many non-profit organizations followed suit in setting up their own radio stations, and included: schools, clubs and civic groups.[5] When the practice of sponsoring programs was

popularised, each individual radio program was usually sponsored by a single business in exchange for a brief mention of the business' name at the beginning and end of the sponsored shows. However, radio station owners soon realised they could earn more money by selling sponsorship rights in small time allocations to multiple businesses throughout their radio station's broadcasts, rather than selling the sponsorship rights to single businesses per show. This practice was carried over to commercial television in the late 1940s and early 1950s. 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 to be used only non-commercially and for the public good. The United Kingdom pursued a public funding model for the BBC, originally a private company, the British Broadcasting Company, but incorporated as a public body by Royal Charter in 1927. In Canada, advocates like Graham Spry were likewise able to persuade the federal government to adopt a public funding model, creating the Canadian Broadcasting Corporation. However, in the United States, the capitalist model prevailed with the passage of the Communications Act of 1934 which created the Federal Communications Commission (FCC).[5] However, the U.S. Congress did require commercial broadcasting companies to operate in the "public interest, convenience, and necessity".[6] Public broadcasting now exists in the United States due to the 1967 Public Broadcasting Act which led to the Public Broadcasting Service (PBS) and National Public Radio (NPR). In the early 1950s, the DuMont Television Network began the modern practice of selling advertisement time to multiple sponsors. Previously, DuMont 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 United States. However, it was still a common practice to have single sponsor shows, such as The United States Steel Hour. In some instances the sponsors exercised great control over the content of the showup to and including having one's advertising agency actually writing the show. The single sponsor model is much less prevalent now, a notable exception being the Hallmark Hall of Fame. In the 1960s, campaigns featuring heavy spending in different mass media channels became more prominent. For example, the Esso gasoline company spent hundreds of millions of dollars on an brand awareness campaign built around the simple and alliterative[7] theme Put a Tiger in Your Tank.[8] Psychologist Ernest Dichter[9] and DDB Worldwide copywriter Sandy Sulcer[10] learned that motorists desired both power and play while driving, and chose the tiger as an easytoremember symbol to communicate those feelings. The North American and later European campaign featured extensive television and radio and magazine ads, including photos with tiger tails supposedly emerging from car gas tanks, promotional events featuring real tigers, billboards, and in Europe station pump hoses "wrapped in tiger stripes" as well as pop music songs.[8] Tiger imagery can still be seen on the pumps of successor firm ExxonMobil. The late 1980s and early 1990s saw the introduction of cable television and particularly MTV. Pioneering the concept of the music video, MTV ushered in a new type of advertising: the consumer tunes in for the advertising message, rather than it being a by-product or afterthought. As cable and satellite television became increasingly prevalent, specialty channels emerged, including channels entirely devoted to advertising, such as QVC, Home Shopping Network, and ShopTV Canada.

With the advent of the ad server, marketing through the Internet opened new frontiers for advertisers and contributed to the "dot-com" boom of the 1990s. Entire corporations operated solely on advertising revenue, offering everything from coupons to free Internet access. At the turn of the 21st century, a number of websites including the search engine Google, started a change in online advertising by emphasizing contextually 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 GDP has changed little across large changes in media. For example, in the US in 1925, the main advertising media were newspapers, magazines, signs on streetcars, and outdoor posters. Advertising spending as a share of GDP was about 2.9 percent. By 1998, television and radio had become major advertising media. Nonetheless, advertising spending as a share of GDP was slightly lowerabout 2.4 percent.
[11]

A recent advertising innovation is "guerrilla marketing", 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.Guerrilla 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 "embedded" ads, such as via product placement, having consumers vote through text messages, and various innovations utilizing social network services such as Facebook.

Public service advertising

The 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 HIV/AIDS, political ideology, energy conservation 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 interestit 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. 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 highpaying advertisers. Public service advertising reached its height during World Wars I and II under the direction of more than one government. During WWII President Roosevelt commissioned the creation of

The War Advertising Council (now known as the Ad Council) which is the nation's largest developer of PSA campaigns on behalf of government agencies and non-profit organizations, including the longest-running PSA campaign, Smokey Bear.

Marketing mix
Main article: Marketing mix The marketing mix has been the key concept to advertising. The marketing mix was suggested by professor E. Jerome McCarthy in the 1960s. The marketing mix consists of four basic elements called the four Ps. Product is the first P representing the actual product. Price represents the process of determining the value of a product. Place represents the variables of getting the product to the consumer like distribution channels, market coverage and movement organization. The last P stands for Promotion which is the process of reaching the target market and convincing them to go out and buy the product.

Advertising theory

Hierarchy of effects model[12]

It clarifies the objectives of an advertising campaign and for each individual advertisement. The model suggests that there are six steps a consumer or a business buyer moves through when making a purchase. The steps are: 1. 2. 3. 4. 5. 6.

Awareness Knowledge Liking Preference Conviction Purchase Means-End Theory

This approach suggests that an advertisement should contain a message or means that leads the consumer to a desired end state.

Leverage Points

It is designed to move the consumer from understanding a product's benefits to linking those benefits with personal values.

Verbal and Visual Images

Types of advertising

An advertisement for a diner. Such signs are common on storefronts.

Paying people to hold signs is one of the oldest forms of advertising, as with this Human billboard pictured above

A bus with an advertisement for GAP in Singapore. Buses and other vehicles are popular media for advertisers.

A DBAG Class 101 with UNICEF ads at Ingolstadt main railway station Virtually any medium can be used for advertising. Commercial advertising media can include wall paintings, billboards, street furniture components, printed flyers and rack cards, radio, cinema and television adverts, web banners, mobile telephone screens, shopping carts, web popups, skywriting, bus stop benches, human billboards, magazines, newspapers, town criers, sides of buses, banners attached to or sides of airplanes ("logojets"), in-flight advertisements on seatback tray tables or overhead storage bins, taxicab doors, roof mounts and passenger screens, musical stage shows, subway platforms and trains, elastic bands on disposable diapers,doors of bathroom stalls,stickers on apples in supermarkets, shopping cart handles (grabertising), the opening section of streaming audio and video, posters, and the backs of event tickets and supermarket receipts. Any place an "identified" sponsor pays to deliver their message through a medium is advertising. Television advertising / Music in advertising The TV commercial is generally considered the most effective mass-market advertising format, as is reflected by the high prices TV networks charge for commercial airtime during popular TV events. The annual Super Bowl football game in the United States is known as the most prominent advertising event on television. The average cost of a single thirty-second TV spot during this game has reached US$3 million (as of 2009). The majority of television commercials feature a song or jingle that listeners soon relate to the product. Virtual advertisements may be inserted into regular television programming through computer graphics. It is typically inserted into otherwise blank backdrops[13] or used to replace local billboards that are not relevant to the remote broadcast audience.[14] More controversially, virtual billboards may be inserted into the background[15] where none exist in real-life. This technique is especially used in televised sporting events.[16][17] Virtual product placement is also possible.[18][19] Infomercials An infomercial is a long-format television commercial, typically five minutes or longer. The word "infomercial" combining the words "information" & "commercial". The main objective in an infomercial is to create an impulse purchase, so that the consumer sees the presentation and then immediately buys the product through the advertised toll-free telephone number or website. Infomercials describe, display, and often demonstrate products and their features, and commonly have testimonials from consumers and industry professionals. Radio advertising Radio advertising is a form of advertising via the medium of radio. Radio advertisements are broadcast as radio waves to the air from a transmitter to an antenna and a thus to a receiving device. Airtime is purchased from a station or network in exchange for airing the commercials. While radio has the limitation of being restricted to sound, proponents of radio advertising often cite this as an advantage. Radio is an expanding medium that can be found not only on air, but also online. According to

Arbitron, radio has approximately 241.6 million weekly listeners, or more than 93 percent of the U.S. population. Online advertising Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Online ads are delivered by an ad server. Examples of online advertising include contextual ads that appear on search engine results pages, banner ads, in text ads, Rich Media Ads, Social network advertising, online classified advertising, advertising networks and e-mail marketing, including e-mail spam. Product placements Covert advertising, also known as guerrilla advertising, is when a product or brand is embedded in entertainment and media. For example, in a film, the main character can use an item or other of a definite brand, as in the movie Minority Report, where Tom Cruise's character John Anderton owns a phone 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. I, Robot and Spaceballs also showcase futuristic cars with the Audi and Mercedes-Benz logos clearly displayed on the front of the vehicles. Cadillac chose to advertise in the movie The Matrix Reloaded, which as a result contained many scenes in which Cadillac cars were used. Similarly, product placement for Omega Watches, Ford, VAIO, BMW and Aston Martin cars are featured in recent James Bond films, most notably Casino Royale. In "Fantastic Four: Rise of the Silver Surfer", the main transport vehicle shows a large Dodge logo on the front. Blade Runner includes some of the most obvious product placement; the whole film stops to show a Coca-Cola billboard. Press advertising Press advertising describes advertising in a printed medium such as a newspaper, magazine, or trade journal. This encompasses everything from media with a very broad readership base, such as a major national newspaper or magazine, to more narrowly targeted media such as local newspapers and trade journals on very specialized topics. A form of press advertising is classified advertising, which allows private individuals or companies to purchase a small, narrowly targeted ad for a low fee advertising a product or service. Another form of press advertising is the Display Ad, which is a larger ad (can include art) that typically run in an article section of a newspaper. Billboard advertising Billboards are large structures located in public places which display advertisements to passing pedestrians and motorists. Most often, they are located on main roads with a large amount of passing motor and pedestrian traffic; however, they can be placed in any location with large amounts of viewers, such as on mass transit vehicles and in stations, in shopping malls or office buildings, and in stadiums.

The RedEye newspaper advertised to its target market at North Avenue Beach with a sailboat billboard on Lake Michigan. Mobile billboard advertising Mobile billboards are generally vehicle mounted billboards or digital screens. These can be on dedicated vehicles built solely for carrying advertisements along routes preselected by clients, they can also be specially equipped cargo trucks or, in some cases, large banners strewn from planes. The billboards are often lighted; some being backlit, and others employing spotlights. Some billboard displays are static, while others change; for example, continuously or periodically rotating among a set of advertisements. Mobile displays are used for various situations in metropolitan areas throughout the world, including: Target advertising, One-day, and long-term campaigns, Conventions, Sporting events, Store openings and similar promotional events, and Big advertisements from smaller companies. In-store advertising In-store advertising is any advertisement placed in a retail store. It includes placement of a product in visible locations in a store, such as at eye level, at the ends of aisles and near checkout counters (aka POPPoint Of Purchase display), eye-catching displays promoting a specific product, and advertisements in such places as shopping carts and in-store video displays. Coffee cup advertising Coffee cup advertising is any advertisement placed upon a coffee cup that is distributed out of an office, caf, or drive-through coffee shop. This form of advertising was first popularized in Australia, and has begun growing in popularity in the United States, India, and parts of the Middle East.[citation needed] Street advertising This type of advertising first came to prominence in the UK by Street Advertising Services to create outdoor advertising on street furniture and pavements. Working with products such as Reverse Graffiti, air dancer's and 3D pavement advertising, the media became an affordable and effective tool for getting brand messages out into public spaces. Celebrity branding This type of advertising focuses upon using celebrity power, fame, money, popularity to gain recognition for their products and promote specific stores or products. Advertisers often advertise their products, for example, when celebrities share their

favorite products or wear clothes by specific brands or designers. Celebrities are often involved in advertising campaigns such as television or print adverts to advertise specific or general products. The use of celebrities to endorse a brand can have its downsides, however. One mistake by a celebrity can be detrimental to the public relations of a brand. For example, following his performance of eight gold medals at the 2008 Olympic Games in Beijing, China, swimmer Michael Phelps' contract with Kellogg's was terminated, as Kellogg's did not want to associate with him after he was photographed smoking marijuana. Online advertising Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Examples of online advertising include contextual ads that appear on search engine results pages, banner ads, in text ads, Rich Media Ads, Social network advertising, online classified advertising, advertising networks and e-mail marketing, including email spam.

Sales promotions
Sales promotions are another way to advertise, Sales promotions are double purposed because they are used to gather information about what type of customers you draw in and where they are, and to jumpstart sales. Sales promotions include things like contests and games, sweepstakes, product giveaways, samples coupons, loyalty programs, and discounts. The ultimate goal of sales promotions is to stimulate potential customers to action.
[20]

Media and advertising approaches

Increasingly, other media are overtaking many of the "traditional" media such as television, radio and newspaper because of a shift toward consumer's usage of the Internet for news and music as well as devices like digital video recorders (DVRs) such as TiVo. Digital signage is poised to become a major mass media because of its ability to reach larger audiences for less money. Digital signage also offer the unique ability to see the target audience where they are reached by the medium. Technological advances have 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. Digital signage is being successfully employed in supermarkets.[21] Another successful use of digital signage is in hospitality locations such as restaurants.[22] and malls.[23] Advertising on the World Wide Web is a recent phenomenon. Prices of Web-based advertising space are dependent on the "relevance" of the surrounding web content and the traffic that the website receives. Reasons for online display advertising: Display ads generate awareness quickly. Unlike search, which requires someone to be aware of a need, display advertising can drive awareness of something new and without previous knowledge. Display works well for direct response. Display is not only used for generating awareness, its used for direct response campaigns that link to a landing page with a clear call to action. E-mail advertising is another recent phenomenon. Unsolicited bulk E-mail advertising is known as "e-mail spam". Spam has been a problem for e-mail users for many years. 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. Friendertising is a more precise advertising term in which people are able to direct advertisements toward others directly using social network service.

As the mobile phone became a new mass media in 1998 when the first paid downloadable content appeared on mobile phones in Finland, it was only a matter of time until mobile advertising followed, also first launched in Finland in 2000. By 2007 the value of mobile advertising had reached $2.2 billion and providers such as Admob delivered billions of mobile ads. More advanced mobile ads include banner ads, coupons, Multimedia Messaging Service picture and video messages, advergames and various engagement marketing campaigns. A particular feature driving mobile ads is the 2D Barcode, 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. 83 percent of Japanese mobile phone users already are active users of 2D barcodes. Some companies have proposed placing messages or corporate logos on the side of booster rockets and the International Space Station. Unpaid advertising (also called "publicity advertising"), can provide good exposure at minimal cost. Personal recommendations ("bring a friend", "sell it"), spreading buzz, or achieving the feat of equating a brand with a common noun (in the United States, "Xerox" = "photocopier", "Kleenex" = tissue, "Vaseline" = petroleum jelly, "Hoover" = vacuum cleaner, and "Band-Aid" = adhesive bandage) these can be seen as the pinnacle of any advertising campaign. However, some companies oppose the use of their brand name to label an object. Equating a brand with a common noun also risks turning that brand into a genericized trademark - turning it into a generic term which means that its legal protection as a trademark is lost. From time to time, The CW Television Network airs short programming breaks

called "Content Wraps," to advertise one company's product during an entire commercial break. The CW pioneered "content wraps" and some products featured were Herbal Essences, Crest, Guitar Hero II, CoverGirl, and recently Toyota. Recently, there appeared a new promotion concept, "ARvertising", advertising on Augmented Reality technology. Controversy exists on the effectiveness of subliminal advertising (see mind control), and the pervasiveness of mass messages (see propaganda).

Rise in new media

With the dawn of the Internet came many new advertising opportunities. Popup, Flash, banner, Popunder, advergaming, and email advertisements (the last often being a form of spam) are now commonplace. Particularly since the rise of "entertaining" advertising, some people may like an advertisement enough to wish to watch it later or show a friend. In general, the advertising community has not yet made this easy, although some have used the Internet to widely distribute their ads to anyone willing to see or hear them. In the last three quarters of 2009 mobile and internet advertising grew by 18.1% and 9.2% respectively. Older media advertising saw declines: 10.1% (TV), 11.7% (radio), 14.8% (magazines) and 18.7% (newspapers ).
[citation needed]

Niche marketing
Another significant trend regarding future of advertising is the growing importance of the niche market using niche or targeted ads. Also brought about by the Internet and the theory of The Long Tail, advertisers will have an increasing ability to reach specific audiences. In the past, the most efficient way to deliver a

message was to blanket the largest mass market audience possible. However, usage tracking, customer profiles and the growing popularity of niche content brought about by everything from blogs to social networking sites, provide 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. Among others, Comcast Spotlight is one such advertiser employing this method in their video on demand menus. These advertisements are targeted to a specific group and can be viewed by anyone wishing to find out more about a particular business or practice at any time, right from their home. This causes the viewer to become proactive and actually choose what advertisements they want to view.[24]

Crowdsourcing
Main article: Crowdsourcing The concept of crowdsourcing has given way to the trend of user-generated advertisements. User-generated ads are created by consumers as opposed to an advertising agency or the company themselves, most often they are a result of brand sponsored advertising competitions. For the 2007 Super Bowl, the Frito-Lays division of PepsiCo held the Crash the Super Bowl contest, allowing consumers to create their own Doritos commercial.[25] Chevrolet held a similar competition for their Tahoe line of SUVs.[25] Due to the success of the Doritos user-generated ads in the 2007 Super Bowl, Frito-Lays relaunched the competition for the 2009 and 2010 Super Bowl. The resulting ads were among the most-watched and mostliked Super Bowl ads. In fact, the winning ad that aired in the 2009 Super Bowl was ranked by the USA Today Super Bowl Ad Meter as the top ad for the year while the winning ads that aired in the 2010 Super Bowl were found by Nielsen's

BuzzMetrics to be the "most buzzedabout".[26][27] This trend has given rise to several online platforms that host user-generated advertising competitions on behalf of a company. Founded in 2007, Zooppa has launched ad competitions for brands such as Google, Nike, Hersheys, General Mills, Microsoft, NBC Universal, Zinio, and Mini Cooper. Crowdsourced advertisements have gained popularity in part to its cost effective nature, high consumer engagement, and ability to generate word-of-mouth. However, it remains controversial, as the long-term impact on the advertising industry is still unclear.[28]

Global advertising
Advertising has gone through five major stages of development: domestic, export, international, multi-national, and global. For global advertisers, there are four, potentially competing, business objectives that must be balanced when developing worldwide advertising: building a brand while speaking with one voice, developing economies of scale in the creative process, maximising local effectiveness of ads, and increasing the companys speed of implementation. Born from the evolutionary stages of global marketing are the three primary and fundamentally different approaches to the development of global advertising executions: exporting executions, producing local executions, and importing ideas that travel.[29] Advertising research is key to determining the success of an ad in any country or region. The ability to identify which elements and/or moments of an ad contribute to its success is how economies of scale are maximised. Once one knows what works in an ad, that idea or ideas can be imported by any other market. Market research measures, such as Flow of

Attention, Flow of Emotion and branding moments provide insight into what is working in an ad in any country or region because the measures are based on the visual, not verbal, elements of the ad.[30]

Foreign public messaging

Foreign governments, particularly those that own marketable commercial products or services, often promote their interests and positions through the advertising of those goods because the target audience is not only largely unaware of the forum as vehicle for foreign messaging but also willing to receive the message while in a mental state of absorbing information from advertisements during television commercial breaks, while reading a periodical, or while passing by billboards in public spaces. A prime example of this messaging technique is advertising campaigns to promote international travel. While advertising foreign destinations and services may stem from the typical goal of increasing revenue by drawing more tourism, some travel campaigns carry the additional or alternative intended purpose of promoting good sentiments or improving existing ones among the target audience towards a given nation or region. It is common for advertising promoting foreign countries to be produced and distributed by the tourism ministries of those countries, so these ads often carry political statements and/or depictions of the foreign government's desired international public perception. Additionally, a wide range of foreign airlines and travel-related services which advertise separately from the destinations, themselves, are owned by their respective governments; examples include, though are not limited to, the Emirates airline (Dubai), Singapore Airlines (Singapore), Qatar Airways (Qatar), China Airlines (Taiwan/Republic of China), and Air China (People's Republic of China). By depicting their destinations, airlines, and other services in a favorable and pleasant

light, countries market themselves to populations abroad in a manner that could mitigate prior public impressions. See: Soft Power

See also: International Tourism Advertising

Diversification
In the realm of advertising agencies, continued industry diversification has seen observers note that big global clients don't need big global agencies any more.[31] This is reflected by the growth of non-traditional agencies in various global markets, such as Canadian business TAXI and SMART in Australia and has been referred to as "a revolution in the ad world".[32]

New technology
The ability to record shows on digital video recorders (such as TiVo) allow users to record the programs for later viewing, enabling them to fast forward through commercials. Additionally, as more seasons of pre-recorded box sets are offered for sale of television programs; fewer people watch the shows on TV. However, the fact that these sets are sold, means the company will receive additional profits from the sales of these sets. To counter this effect, a variety of strategies have been employed. Many advertisers have opted for product placement on TV shows like Survivor. Other strategies include integrating advertising with internet-connected EPGs, advertising on companion devices (like smartphones and tablets) during the show, and creating TV apps. Additionally, some like brands have opted for social television sponsorship.

Advertising education

Advertising education has become widely popular with bachelor, master and doctorate degrees becoming available in the emphasis. A surge in advertising interest is typically attributed to the strong relationship advertising plays in cultural and technological changes, such as the advance of online social networking. A unique model for teaching advertising is the student-run advertising agency, where advertising students create campaigns for real companies.[33] Organizations such as American Advertising Federation and AdU Network partner established companies with students to create these campaigns.

Criticisms
Main article: Criticism of advertising While advertising can be seen as necessary for economic growth, it is not without social costs. Unsolicited commercial e-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.[34] Advertising is increasingly invading public spaces, such as schools, which some critics argue is a form of child exploitation.[35] In addition, advertising frequently uses psychological pressure (for example, appealing to feelings of inadequacy) on the intended consumer, which may be harmful.Many even feel that often, advertisements exploit the desires of a consumer, by making a particular product more appealing, by playing with the consumers needs and wants.

Regulation
Main article: Advertising regulation There have been increasing efforts to protect the public interest by regulating the content and the influence of advertising. Some examples are: the ban

on television tobacco advertising imposed in many countries, and the total ban of advertising to children under 12 imposed by the Swedish government in 1991. Though that regulation continues in effect for broadcasts originating within the country, it has been weakened by the European Court of Justice, which had found that Sweden was obliged to accept foreign programming, including those from neighboring countries or via satellite. Greeces regulations are of a similar nature, banning advertisements for children's toys between 7 am and 10 pm and a total ban on advertisement for war toys".[36] In Europe and elsewhere, there is a vigorous debate on whether (or 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 fast food advertising that targets children was an important factor in the epidemic of childhood obesity in the United States. In 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. The general aim of such codes is to ensure that any advertising is 'legal, decent, honest and truthful'. Some selfregulatory organizations are funded by the industry, but remain independent, with the intent of upholding the standards or codes like the Advertising Standards Authority in the UK. In the UK most forms of outdoor advertising such as the display of billboards is regulated by the UK Town and County Planning system. Currently the display of an advertisement without consent from the Planning Authority is a criminal offense liable to a fine of 2,500

per offence. All of the major outdoor billboard companies in the UK have convictions of this nature. In the US many communities believe that many forms of outdoor advertising blight the public realm.[37] As long ago as the 1960s in the US there were attempts to ban billboard advertising in the open countryside.[38] Cities such as So Paulo have introduced an outright ban[39] with London also having specific legislation to control unlawful displays. Many advertisers employ a wide-variety of linguistic devices to bypass regulatory laws (e.g. In France, printing English words in bold and French translations in fine print to deal with the Article 120 of the 1994 Toubon Law limiting the use of English).[40] The advertisement of controversial products such as cigarettes and condoms are subject to government regulation in many countries. For instance, the tobacco industry is required by law in most countries to display warnings cautioning consumers about the health hazards of their products. Linguistic variation is often used by advertisers as a creative device to reduce the impact of such requirements.

Advertising research
Main article: Advertising research Advertising research is a specialized form of research that works to improve the effectiveness and efficiency of advertising. It entails numerous forms of research which employ different methodologies. Advertising research includes pre-testing (also known as copy testing) and post-testing of ads and/or campaignspre-testing is done before an ad airs to gauge how well it will perform and post-testing is done after an ad airs to determine the in-market impact of the ad or campaign on the consumer. Continuous ad tracking and the Communicus System

are competing examples of post-testing advertising research types.

Semiotics
Main article: Advertising research Todays culture is made up of meanings between consumers and marketers. These meanings depict signs and symbols that are encoded in everyday objects. [41] Semiotics is the study of signs and how they are interpreted. Advertising has many hidden signs and meanings within brand names, logos, package designs, print advertisements, and television advertisements. The purpose of semiotics is to study and interpret the message being conveyed in advertisements. Logos and advertisements can be interpreted at two levels known as the surface level and the underlying level. The surface level uses signs creatively to create an image or personality for their product. These signs can be images, words, fonts, colors, or slogan. The underlying level is made up of hidden meanings. The combination of images, words, colors, and slogan must be interpreted by the audience or consumer. [42] The key to advertising analysis is the signifier and the signified. The signifier is the object and the signified is the mental concept.[43] A product has a signifier and a signified. The signifier is the color, brand name, logo design, and technology. The signified has two meanings known as denotative and connotative. The denotative meaning is the meaning of the product. A televisions denotative meaning would be that it is high definition. The connotative meaning is the products deep and hidden meaning. A connotative meaning of a television would be that it is top of the line.[44] Apple is an excellent example of using semiotics in their advertising campaign. Apples commercials used a black silhouette of a person that was the age of Apple's target market. They placed the silhouette in front of a blue screen so that

the picture behind the silhouette could be constantly changing. However, the one thing that stays the same in these ads is that there is music in the background and the silhouette is listening to that music on a white iPod through white headphones. Through advertising, the white color on a set of earphones now signifies that the music device is an iPod. The white color signifies almost all of Apples products.[45] The semiotics of gender plays a key influence on the way in which signs are interpreted. When considering gender roles in advertising, individuals are influenced by three categories. Certain characteristics of stumuli may enhance or decrease the elaboration of the message (if the product is perceived as feminine or masculine). Second, the characteristics of individuals can affect attention and elaboration of the message (traditional or non-traditional gender role orientation). Lastly, situational factors may be important to influence the elaboration of the message.[46] There are two types of marketing communication claims-objective and subjective.[47] Objective claims stem from the extent to which the claim associates the brand with a tangible product or service feature. For instance, the camera has auto focus features. Subjective claims convey emotional, subjective, impressions of intangible aspects of a product or service. They are non-physical features of a product or service that cannot be directly perceived, as they have no physical reality. For instance the brochure has a beautiful design.[48] Males tend to respond better to objective marketing communications claims while females tend to respond better to subjective marketing communications claims.[49] When advertising to different genders it is important to remember how men and women process information. Females process information comprehensively.

Males process information through heuristic devices such as procedures, methods or strategies for solving problems.[50] Men prefer to have available and apparent cues to interpret the message where females engage in more creative, associative, imagery-laced interpretation. In advertisements, men are represented as independent. They are shown in more occupations than women. Women are represented mainly as housewives and mothers. Men are more likely to be shown advertising cars or business products, while women advertise domestic products. Men are more likely to be shown outdoors or in business settings. Women are depicted in domestic settings. Men are more often portrayed as authorities. As far as ads go, with age men seem to gain wisdom and authority. On the other hand women seem to disappear with age. Voiceovers are commonly used in advertising. Most voiceovers are men (figures of up to 94% have been reported). There have been more female voiceovers in recent years but mainly for food, household products, and feminine care products.[51]