This document discusses key themes in advertising such as understanding audiences through demographics and psychographics. It notes how digital platforms offer new ways to engage consumers and that market research can help understand consumers. The document outlines looking at online advertising, how it generates revenue, and viral advertising. It will specifically look at David Beckham's underwear and how celebrity endorsements can be used by media organizations. The document discusses positioning in marketing and considering advertising's ability to create cultural resonance and raise awareness for charities. It stresses the importance of conversion and establishing return on investment from advertising. Next week will involve investigating how news websites make money from digital ads and social media, as well as ways they generate revenue without advertising.

1. ADVERTISING: KEY THEMES
JN2702 – David Beckham’s pants

2. recap

Considered how to understand an audience:
demographics and segmentation

Psychographics can help you understand your
market’s values and interest areas

Old marketing structures put in place a range of
gatekeepers

Digital platforms offer a new way to engage with
people/audience/consumers/prosumers

Market research can be employed to help you get to
know your consumers

Marketers need to know the capacity of their
company

Ps and ABCDEs can offer a good structure to generate
a marketing plan

Marketing plans need to be considered over a short,
medium and long term strategy

Constant vigilance is required within competitive and
changing marketplaces

3. Today and next week’s plan
 Look at advertising
 Look at online advertising
 Look at how online advertising generates cash
 Look at viral advertising
 Look at viral sustainability and new
opportunities
 Look at David Beckham’s underpants

4. Key reading

Powell et al: Celebrity can be a useful tool when
positioning a product or service

Powel et al: A range of research methodologies can be
used to establish what your consumers and audience
want, require and are content with

Powell et al: Advertisers work within specific markets
and segmentations. Ultimately, they see
fragmentation

Powell et al: highlight the concept of ‘glocal’ and some
of the issues arising from it, in terms of geographic
recognition

Powell et al, Zyman and Tapscott: Social networks
should be seen as places for conversations, and herald
the concept of user-engagement

Powell et al, Zyman and Tapscott: The web allows us to
choose who, what and how we interact with

5. Remember: Media as dual
product (Picard, 2010)


Advertising
Subscription/purchase
Organisations may need to keep
both ‘customers’ and advertisers’
happy
Or figure out how a new media
product will pay for itself down
the line without relying on
advertising or subscription
revenue.
Either way, eyeballs are key

6. The Advertising Conundrum
“Half the money I spend
on advertising is
wasted, the trouble is I
don’t know which
half.”
John Wannamaker

7. Marketing Ps: Positioning

Positioning is open to a number of interpretations

Generally, positioning can be understood to
create an impression of a product within the mind
of a target audience, and within the market as a
whole

Advertisements can assist in positioning a brand
in the minds of consumers, or re-align a brand
that marketers feel is not occupying the correct
market ground
Don’t worry, the next two slides feature David Beckham

8. Celebrity

9. Brainstorm: Why David’s underpants?

10. Things to consider when
‚brainstorming David
Beckham’s underpants‛
 Market demographics
 Market segmentation
 Brand identity
 Aspirationalqualities

11. Brainstorm: How could media organisations use
‘celebrity endorsements’?

12. But, it’s all about ‘conversion’
Isn’t it?

Advertising can play a key
role in the ultimate aim of
most marketing activity:
selling stuff

How can media
organisations monitor the
success of advertising?




Establish ROI
Sales data can set a
benchmark
Monitor impact/progress
from that benchmark
Beyond sales: Are there any
alternative ‘value metrics’
that advertising can offer?

13. Advertising: cultural
resonance
Cadbury Schweppes reported 5%
revenue growth in 2007

14. Charity: awareness

15. Added value: social capital
Music sales: Just over 100,000 copies sold to date.
iTunes charts: 28 countries. Peaking at No. 3 in Hong Kong.
Free downloads: 250,000
Pirate downloads: Plenty
Youtubeviews: 59.9 Million
Social shares: 3.94 Million
Game: 15.1 Million players
Current daily players: 1 million
App Store ranks: No. 1 free app
in 18 countries
Earned Media: $60 million in six weeks.
REDUCED ACCIDENTS BY
21%

16. Multimedia Dumb Ways to Die

17. Next week: More digital ads, more
social
 Investigate how a news website can make money
from advertising (including ad rates, if possible)
 Investigate how social media platforms are turning
advertising into revenue
 Investigate ways news sites are making money
without using advertising
 Check out our web 2.0 learning resources (P.S. they
don’t exist yet)