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Advertising 1.2.3.g1 2

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  • 1. Advertising… Do you know what you want? “ Take Charge of Your Finances”
  • 2. Why do we buy what we buy?
    • Who or what influences our spending habits?
      • Family
      • Friends
      • Media
        • Advertising
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 3. Advertising
    • Advertise
      • To call public attention to a product or service
    • Advertiser
      • A person or company that has a product they want to sell
    • Advertisement
      • Focuses attention to a product and grabs the attention of the consumer
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 4. How do companies create advertisements?
    • Step One: Determine and research a target audience
      • Perception of needs and wants
      • Problems consumers may encounter
      • Emotions experienced
      • Current or desired lifestyle
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 5. Who is the target audience?
    • Advertisements for female clothing
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 6. How do companies create advertisements?
    • Step Two: Grab the attention of the target audience
      • Use emotions that focus on love, belonging, prestige and self-esteem
      • Show how the consumer can save money
      • Make promises of a better life
      • Solve consumer problems
      • Use creative and appealing layouts
        • Z form
        • Color
        • Advertisement placement
        • Other techniques
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 7. Creative and Appealing Layouts
    • The Perfect Hamburger
      • Sesame seeds are arranged with tweezers and glue
      • A waterproof sealant is sprayed on the bun so it doesn’t get soggy
      • The outside of the hamburger is cooked, but the inside is left raw so it looks plump and then painted with a brown paint
      • Grill marks are put on with a hot metal skewer
      • Paper towels are used to create a sponge below the hamburger so no juices leak onto the bun
      • A perfect lettuce leaf and slice from the center of the tomato are carefully selected
      • Entire hamburger is sprayed with glycerin to keep it fresh looking
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 8. How do companies create advertisements?
    • Step Three: Differentiate the advertised brand from others
      • Describe the product benefits
      • Showcase unique qualities
      • Illustrate the value and quality of the product
      • Create an advertisement consumers will remember
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 9. How do companies create advertisements?
    • Step Four: Change brand the consumers’ brand preference or habits
      • If a consumer changes their preference and begins using the advertised product or service, the advertiser has met his goal!
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 10. Analyze this Ad
    • Target audience
      • Desired lifestyle
    • Gain Attention
      • Prestige
      • Layout
    • Persuasion
      • 5 star ratings
      • Picture
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 11. Advertising Techniques
    • Incentives/Promotions
    • Slogans
    • Logos
    • Beauty Appeal
    • Testimonial/Celebrity Endorsement
    • Escape
    • Lifestyle
    • Peer approval/Bandwagon
    • Rebel
    • Unfinished Comparison
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 12. Incentives/Promotions
    • Incentives/Promotions
      • Add value to the purchase
        • Examples: price savings, product samples, gifts and contests
        • Clearance, White Sale, Going-out-of-Business
      • Consumers often purchase full price items when shopping for the promoted items
      • Need to read the details carefully to ensure money is actually saved
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 13. Slogans
    • Slogans
      • Short phrases
      • Contain the entire advertising message
      • Use rhythms, puns and alliteration
        • Quickly attract the attention of consumers and make the messages easy to remember
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 14. Slogans
    • “ Think Outside the Bun”
      • Taco Bell
    • “ Go Brown”
      • UPS
    • “ Be All You Can Be”
      • US Army
    • “ Breakfast of Champions”
      • Wheaties
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 15. Logos
    • Logos
      • Pictures or symbols that represent a company
      • Consumers identify a product or company with the logo
    • Do you recognize these logos?
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 16. Beauty Appeal
    • Beauty Appeal
      • Beauty attracts people
        • Examples: beautiful people, places and things
      • Companies often use models to make consumers feel like they will experience the same benefits if they use the specific product
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 17. Beauty Appeal © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 18. Testimonial/Celebrity Endorsement
    • Testimonial/Celebrity Endorsement
      • Use celebrities or “professional” individuals to sell products
      • Consumers are led to believe they will attain characteristics similar to the individual trying to sell them
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 19. Testimonial/Celebrity Endorsement
    • Revlon
    • Nike
    • National Milk Processor Board
      • Got Milk?
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 20. Escape
    • Escape
      • The idea of escape is a dream that consumers desire
        • Example: car companies use beautiful setting and scenery in advertisements creating a feeling of escape
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 21. © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 22. Lifestyle
    • Lifestyle
      • Associates the product with a particular style of living
        • Example: a daily vitamin or supplement
        • If consumers purchase the vitamin they will gain the same active and healthy lifestyle the individual in the advertisement portrays
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 23. Lifestyle © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 24. Peer Approval/Bandwagon
    • Peer Approval/Bandwagon
      • Associates product use with friendship and acceptance
      • Advertisements make consumers feel like they will not be well-liked if they don’t use a certain product
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 25. © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 26. Rebel
    • Rebel
      • Associates a product with behaviors or lifestyles that oppose society’s norms
      • Marlboro Man
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 27. Unfinished Comparison
    • Unfinished Comparison
      • The statements in the advertisements may be true, but are not clear or “finished”
        • Example: Works better in poor driving conditions.
        • Question? Works better than what?
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 28. Advertising Regulations
    • Federal Trade Commission (FTC)
      • Regulates marketing activities
      • Protects consumers from:
        • False advertising
        • Misleading pricing
        • Deceptive packaging and labeling
      • If a consumer feels an advertisement is false they can report it to the FTC
      • The FTC then issues a complaint
      • If the company continues false advertising they can be fined $10,000/day for every day they continue the advertisement
      • The company is also required to provide corrective advertising for any misleading claim
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 29. Review
    • Advertisement
    • How do companies create advertisements?
    • Advertising techniques
    • Regulations - FTC
    © Family Economics & Financial Education – March 2007 – Consumer Decisions Unit – The Impact of Advertising on Purchasing Decisions Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
  • 30. Questions?