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Class 5 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Attitude and Memory discussion wraps up our coverage of the information processing model…
Information Processing Model of CB Interpretation: Perception Attitudes: Like/Dislike information Memory/Prior Knowledge Individual Consumer: Personality/Demogs  Environmental Characteristics: Culture Stimuli beliefs Selection: Exposure/ attention… Choice
Model tell us how consumers react to any incoming information… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Another major use of the model… Advertisers have used it to create their own model for how advertising works…
Note the similarity with IP model Understanding the ad ( Interpretation ) Brand Attitude If all works out, then you get  purchase/choice… Ad memory Selection EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR STEPS IN ADVERTISING MODEL
Advertising model a good application of information processing model… Puts together the different concepts we’ve talked about… So let’s discuss the advertising model in more detail
Especially, how to measure advertising effectiveness….? There are effectiveness measures for each stage of the advertising model…
EFFECTIVENESS TESTS?? Reach Brand Recognition; Brand recall Ad Beliefs: What do This may not you think the ad is always work! trying to say? EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR STEPS IN ADVERTISING MODEL
“ Every 10 to 15 years advertising gets a disease called entertainment.  It is very bad, because the people who do it have absolutely no interest in selling anything. … In the end the entertainment gets in the way of the message” David Ogilvy
So ad beliefs (comprehension) may not always reflect what the advertiser wants to convey… A more understandable ad…
 
So Message Comprehension does not mean Acceptance  Comprehension = Understanding the Ad… Message Acceptance = whether you accept the ad Coming back to effectiveness tests…
EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR EFFECTIVENESS TESTS STEPS IN ADVERTISING MODEL Reach Brand Recognition; Brand recall Ad Beliefs: What do you think the ad is trying to say? Brand Attitude Delayed Recall of Features Sales
Benetton Case:  Advertising Focus ,[object Object]
 
 
 
 
Benetton:  Advertising Focus ,[object Object],[object Object],[object Object]
 
One Big Point from Case ,[object Object],[object Object]
Biggest Point from Case ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Some Advertising Strategies ,[object Object],[object Object],[object Object]
Sex Appeals….
 
 
Sex Appeals ,[object Object],[object Object]
Sex Appeals… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Moral:  Sex may increase ad attention and brand awareness, but may hurt brand attitude… So use depending on objective
Humor Appeals… What’s one big advantage of humorous ads (in terms of model)? Any disadvantages?? Compare two humorous ads (TAPE) Which is better?
Humor Appeals… ,[object Object],[object Object],[object Object]
Humor usually gets attention! For comprehension: Keep Humor Tied to Message.
Comparative Ads… ,[object Object],[object Object],[object Object]
 
 
Comparative Ads ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Burger King ad…
Burger King ad…
Moral:  Good for Attention; But Use with Care for Comprehension and Attitudes
Advertising Repetition ,[object Object]
Moral:  Repetition = Better Memory But Irritation = Worse Attitude!
In General… ,[object Object],[object Object],[object Object],[object Object]
Break…
Next Class   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Final issue   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR EFFECTIVENESS TESTS STEPS IN ADVERTISING MODEL Reach Brand Recognition; Brand recall Ad Beliefs: What do you think the ad is trying to say? Brand Attitude Delayed Recall of Features SALES
Sales as the measure of advertising effectiveness… ,[object Object],[object Object],[object Object],[object Object],[object Object]
Advertising Agency’s View… ,[object Object],[object Object],[object Object]
So…. Agency’s view… ,[object Object],[object Object],[object Object],[object Object],[object Object]
But, if you ask the manager…
Manager’s view… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
This has always been a problem with advertising!! What is one modern solution to this problem?  (think new media!)
Solution: Internet Advertising…  ,[object Object],[object Object],[object Object],[object Object]
Because of “click-through”, Banner Ads Can Have an Immediate, Direct Effect on Sales  (instead of only having lagged effects) Not only that…
Banner ad effects on customer’s actual behavior (e.g., are they clicking??) are Measurable! How so??
Banner Advertising: Measurability ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Banner Ad Advantage ,[object Object],[object Object],[object Object],[object Object]
Because of promise of click-through … Initial E-Advertising Boom…! (Latter half of 1990’s) BUT THEN: Big decline in e-spending…
Source: IAB/PwC Revenue Report
Why the decline? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Because of falling click-through… Advertisers reluctant to advertise on the web
So… ,[object Object],[object Object],[object Object],[object Object]
That being the case… Let’s try to make banner ads more effective Get higher click-through rate (CTR)!
How to Increase CTR? Why don’t Consumers Click??? What do you folks think?
Why Don’t Consumers Click on Banners? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
So how to Improve Click-through? ,[object Object],[object Object],[object Object]
How to Improve Click-through? ,[object Object],[object Object],[object Object],[object Object],[object Object]
How to Improve Click-through? ,[object Object],[object Object],[object Object]
http://www.doubleclick.net/learning_center/research_findings/banner_burnout.htm
How to Improve Click-through? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
How to Improve Click-through?  Method 1   ,[object Object],[object Object],[object Object],[object Object]
 
So Why Isn’t Everyone Using Rich Media…??? What do you folks think?
Problems with Rich Media… ,[object Object],[object Object],[object Object]
How to Improve Click-Throughs  Method 2   ,[object Object],[object Object],[object Object],[object Object],[object Object]
Which Ad Was Clicked More?
Bright Colors = More Attention Click-through Rate = .8% Click-through Rate = 7.2%
How to Improve Click-Throughs  Method 3   ,[object Object],[object Object],[object Object]
How to Improve Click-Throughs ,[object Object],[object Object],[object Object],[object Object],[object Object]
 
How to Improve Click-throughs ,[object Object],[object Object],[object Object],[object Object],[object Object]
Give them A Reason To Click… ,[object Object],[object Object],[object Object]
 
 
Why did the ads on the second page have better CTR’s?
Reason to click…  Method 1   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Reason to click…  Method 2 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],Targeting Example
 
 
Increases my chances of clicking…
[object Object],Targeting   Example…
 
 
 
How to Improve Click-throughs…Targeting ,[object Object],[object Object],[object Object],[object Object]
In Conclusion: Improve Banner Ad Effectiveness (Click-through Rate) By: Drawing Attention Giving a Reason to Click the Ad
So as these techniques improve… ,[object Object],[object Object],[object Object],[object Object],[object Object]
That’s it for today…. Have a great weekend!

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Class5 Communications

  • 1.
  • 2. Attitude and Memory discussion wraps up our coverage of the information processing model…
  • 3. Information Processing Model of CB Interpretation: Perception Attitudes: Like/Dislike information Memory/Prior Knowledge Individual Consumer: Personality/Demogs Environmental Characteristics: Culture Stimuli beliefs Selection: Exposure/ attention… Choice
  • 4.
  • 5. Another major use of the model… Advertisers have used it to create their own model for how advertising works…
  • 6. Note the similarity with IP model Understanding the ad ( Interpretation ) Brand Attitude If all works out, then you get purchase/choice… Ad memory Selection EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR STEPS IN ADVERTISING MODEL
  • 7. Advertising model a good application of information processing model… Puts together the different concepts we’ve talked about… So let’s discuss the advertising model in more detail
  • 8. Especially, how to measure advertising effectiveness….? There are effectiveness measures for each stage of the advertising model…
  • 9. EFFECTIVENESS TESTS?? Reach Brand Recognition; Brand recall Ad Beliefs: What do This may not you think the ad is always work! trying to say? EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR STEPS IN ADVERTISING MODEL
  • 10. “ Every 10 to 15 years advertising gets a disease called entertainment. It is very bad, because the people who do it have absolutely no interest in selling anything. … In the end the entertainment gets in the way of the message” David Ogilvy
  • 11. So ad beliefs (comprehension) may not always reflect what the advertiser wants to convey… A more understandable ad…
  • 12.  
  • 13. So Message Comprehension does not mean Acceptance Comprehension = Understanding the Ad… Message Acceptance = whether you accept the ad Coming back to effectiveness tests…
  • 14. EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR EFFECTIVENESS TESTS STEPS IN ADVERTISING MODEL Reach Brand Recognition; Brand recall Ad Beliefs: What do you think the ad is trying to say? Brand Attitude Delayed Recall of Features Sales
  • 15.
  • 16.  
  • 17.  
  • 18.  
  • 19.  
  • 20.
  • 21.  
  • 22.
  • 23.
  • 24.
  • 26.  
  • 27.  
  • 28.
  • 29.
  • 30. Moral: Sex may increase ad attention and brand awareness, but may hurt brand attitude… So use depending on objective
  • 31. Humor Appeals… What’s one big advantage of humorous ads (in terms of model)? Any disadvantages?? Compare two humorous ads (TAPE) Which is better?
  • 32.
  • 33. Humor usually gets attention! For comprehension: Keep Humor Tied to Message.
  • 34.
  • 35.  
  • 36.  
  • 37.
  • 40. Moral: Good for Attention; But Use with Care for Comprehension and Attitudes
  • 41.
  • 42. Moral: Repetition = Better Memory But Irritation = Worse Attitude!
  • 43.
  • 45.
  • 46.
  • 47. EXPOSURE ATTENTION COMPREHENSION MESSAGE ACCEPTANCE RETENTION PURCHASE BEHAVIOR EFFECTIVENESS TESTS STEPS IN ADVERTISING MODEL Reach Brand Recognition; Brand recall Ad Beliefs: What do you think the ad is trying to say? Brand Attitude Delayed Recall of Features SALES
  • 48.
  • 49.
  • 50.
  • 51. But, if you ask the manager…
  • 52.
  • 53. This has always been a problem with advertising!! What is one modern solution to this problem? (think new media!)
  • 54.
  • 55. Because of “click-through”, Banner Ads Can Have an Immediate, Direct Effect on Sales (instead of only having lagged effects) Not only that…
  • 56. Banner ad effects on customer’s actual behavior (e.g., are they clicking??) are Measurable! How so??
  • 57.
  • 58.
  • 59. Because of promise of click-through … Initial E-Advertising Boom…! (Latter half of 1990’s) BUT THEN: Big decline in e-spending…
  • 61.
  • 62. Because of falling click-through… Advertisers reluctant to advertise on the web
  • 63.
  • 64. That being the case… Let’s try to make banner ads more effective Get higher click-through rate (CTR)!
  • 65. How to Increase CTR? Why don’t Consumers Click??? What do you folks think?
  • 66.
  • 67.
  • 68.
  • 69.
  • 71.
  • 72.
  • 73.  
  • 74. So Why Isn’t Everyone Using Rich Media…??? What do you folks think?
  • 75.
  • 76.
  • 77. Which Ad Was Clicked More?
  • 78. Bright Colors = More Attention Click-through Rate = .8% Click-through Rate = 7.2%
  • 79.
  • 80.
  • 81.  
  • 82.
  • 83.
  • 84.  
  • 85.  
  • 86. Why did the ads on the second page have better CTR’s?
  • 87.
  • 88.
  • 89.
  • 90.  
  • 91.  
  • 92. Increases my chances of clicking…
  • 93.
  • 94.  
  • 95.  
  • 96.  
  • 97.
  • 98. In Conclusion: Improve Banner Ad Effectiveness (Click-through Rate) By: Drawing Attention Giving a Reason to Click the Ad
  • 99.
  • 100. That’s it for today…. Have a great weekend!

Editor's Notes

  1. Even more in recent years…
  2. Might Omit this slide: ZEE