The document discusses different types of advertising. It begins by defining advertising and its aims, which include informing customers, persuading consumers, and differentiating products from competitors. It then covers factors that impact advertising effectiveness, such as informativeness, credibility, entertainment, and incentives. The document also discusses whether advertising should be persuasive or informative. It provides examples of different advertising mediums, including print (newspapers, magazines, direct mail), broadcast (television, radio), and online (mobile, paid search, social media, native advertising).

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Advertising is a marketing communication method that attempts to inform and/or influence the opinions and
buying behaviour of potential users of a product or service. Also called an "ad" or advert for short, it is a one-
way message to promote an identified organisation/brand, product, service or an idea.
Businesses buy advertising space or time, and it is openly sponsored, controlled and non-personal message
(designed for mass media).
The world is saturated with advertising, wherever we go. Advertising is almost always present, though we might
not be consciously aware of it. Advertising’s ability to deliver a specific message to many people has given it a
significant role in most businesses’ marketing.
WHAT IS ADVERTISING?

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All advertising is trying to capture the attention of their target audience, but advertising strategies will differ
across industries and situations. Some of the aims of advertising are as follows:
AIMS OF ADVERTISING
• inform customers of a company or brand’s offering,
• persuade and convince consumers their offering fits
their needs or wants,
• stimulate a decision to purchase,
• create a brand image by associating an offering with
certain qualities,
• differentiate an offering from competitors in a
crowded market,
• to be informative and trustworthy,
• launch a new product from an established brand,
• increase consumption, sales and market share,
• promote causes,
• market political candidates,
• increase awareness of social issues such as drink
driving.

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FACTORS THAT IMPACT ADVERTISING PERFORMANCE
Informativeness, credibility, entertainment, and incentives positively influence advertising. Irritation has a
negative influence on advertising effectiveness.
• Informativeness is the ability of advertising to advise consumers of product and brand information
• Entertainment is the perception of enjoyable or likeable advertising. Humour for example.
• Credibility of the brand influences the credibility of their advertising and how much consumers trust them.
• Incentives are monetary gains to consumers such as discounts and gifts.
• Irritation reflects unwanted advertising techniques that annoy, offend, insult, or manipulate consumers.
Consumers will often avoid these brands and ignore their advertising in the future.

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The persuasive approach views advertising as a tool to alter consumers’ tastes, creates product differentiation
and brand loyalty. Market share becomes more stable, and advertising leads to higher prices and profits. A tool
for established firms to increase the barrier to entry to that market. Advertising can lead to anti-competitive
effects, resulting in concentrated markets characterized by unreasonable prices and profits.
The informative view of advertising is based on the fact many markets have inequal amounts of information,
and the time and effort required to learn about alternatives can deter customers.
Because of these market inefficiencies, advertising becomes a solution – consumers receive information. In this
view, the demand increases elasticity, advertising promoting competition between established brands.
Advertising facilitates entry to the marketplace and therefore advertising has pro-competitive effects.
SHOULD ADVERTISING BE PERSUASIVE OR INFORMATIVE?

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Newspaper reaches a wide range of people, usually in one location. Display advertising is throughout
newspapers, and classified advertising is all in one specific section. Display advertising is far more expensive, as
the ads can blend in with the articles.
Magazines serve a much wider geographic area than newspapers, so tends to work best for larger businesses
with a national market. They also have a much longer shelf life than newspapers, which people might quickly
throw away – magazines often sit on coffee tables for months on end.
Direct mail distribution is straight to peoples’ mail, in a specific geographic area. This technique is effective for
a localised market – for example, it is a popular strategy for real estate agents to distribute ‘just sold’ and ‘for
sale’ flyers in the local area.
TYPES OF ADVERTISING (PRINT)

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Broadcast advertising is promotional material via television or radio. It is a comparatively expensive form of
advertising, but the audience potential is large.
Radio is more targeted than Television. For example, it is easier to target a specific geographic area and certain
demographics. For example, if you are a store selling tools, you could advertise on a radio station that plays
classic rock music, where you know the audience is predominantly men over the age of 30. Sound can have its
limitations, as people do not get a visual of your brand, they can quickly forget.
Television advertising usually has reach at a national level (unless you are a local station of course), so generally
works best for businesses with a large national or international market. Because TV advertising has visuals and
sound, movement and colour being more engaging than sound alone. Can be very expensive.
TYPES OF ADVERTISING (BROADCAST)

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A mobile phone in virtually everybody’s hand or pocket means advertising no-longer must be to a mass-market
place – it can become hyper-targeted based on almost any demographic.
Paid search advertising put advertisements at the top of search results (E.g. Google Ads). Businesses bid on
certain keywords, so their ad shows under searches for that keyword. Advertisers pay-per-click (PPC).
Social media advertising has become immensely popular with small businesses and large brands alike. Ads are
placed in the social media feed, along with posts from friends or family. The advertisements can be very
targeted, meaning you do not waste money marketing to people unlikely to be customers
Native advertising hides its marketing intent by matching the look and feel of the content of the website.
Articles, infographics or videos are advertised on websites hosting similar material.
TYPES OF ADVERTISING (ONLINE)

9. Daniel Hopper
Marketing Specialist - BYB MARKETING
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