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