Introduction to business Ch. 14 Notes Advertising: The Art of Attracting an Audience I. Advertising Media Advertising- The paid, non-personal form of communication that businesses use to promote their products Mass Media- Means of communication such as television, radio, and newspapers Print Media- Uses writing and pictures to communicate 1. Newspapers Advantages: Main advertising medium in the U.S. More than 50% adults read newspaper Target people in certain area Come out daily Place ads quickly and update easily Fairly cheap Disadvantage: Ad lifetime is short (people throw them away after reading once) Need to compete with news, sports, and comics for attention Many readers ignore the ad Black and white 2. Magazines Advantages: Most magazines are national in scope and appear every week or every month Many magazines offer regional editions Reach target markets on a large scale People take time to read magazines and often save them They see the ad several times In color, much more detailed, attractive Disadvantages: Little use to local advertisers Take longer to prepare Cannot easily be changed 3. Direct-Mail Advertising- Consists of ads sent by mail to people’s homes Advantages: It’s the biggest advertising medium after television and newspaper Allows us to reach specific target market Can use variety of formats Disadvantage: High cost Lists need to be maintained and updated constantly 4. Directory Advertising (Phone Books) Advantages: Useful locally Contact Information with Ad Very cheap Almost in every home Disadvantage Has to compete with similar ads Very brief No way to stand out 5. Outdoor Advertising Most common are billboards Advantages: Highly visible Local businesses and businesses when you travel Disadvantages: Often drive by them Begin to ignore them Many are restricted or banned 6. Transit Advertising (Public Transportation)- Usually consists of posters placed on the sides of buses, in subway stations, inside trains, and at airports Advantages: Good for concerts, public events, and local television Broadcast Media (Primarily television and radio) The most effective means of advertising Over 98% of all homes in the U.S. has at least on TV and almost every American owns a radio Makes it possible to reach a mass audience 1. Television Advantages Combines sounds, images, and motion More informative, entertaining, and creative National, local, or cable stations Show ads during certain types of shows Most are 30-60 seconds Infomercial- A television program, usually 30 minutes long, made to advertise a product Disadvantages: Very expensive 2. Radio Advantages: Can reach a very wide audience Can get audience’s attention with sound , music, and dialogue Good medium for local businesses Can reach people on the move Disadvantages: Cannot use images, not as effective 3. Webcasting Made possible by the internet Webcast- A TV or radio broadcast but it is sent and received over the web Ex: Mike & Mike Cyber Ads Cyber Ads- Ads that appear on the Internet They are displays 3 Main Ads: 1. Pop-up ads- appear for a few seconds when you first log onto the Internet or when you click on a site 2. Banner-ads- Displayed across the top or bottom of the screen and remain there 3. Screen ads- Appear at the left or right of the screen and can be printed for future reference Advantages: Sent directly to people (like direct mail) Look up business easily (like directory ads) Be displayed in public (like billboards) Can use sound effects and animation Fast Review: 1. 2. 3. 4. 5. 6. II. What are some of the differences between newspaper and magazine ads? What are some disadvantages of outdoor ads such as billboards? Name places where you would see transit ads? What are some advantages of advertising on the radio rather than on TV? What are the biggest media for advertisers? What advantages do print and cyber ads share? Advertising Rates Print Media Based on circulation Sold by inch on the page Color Location Broadcast Media Size of Audience Time Packages Internet Size and format Length of time Number of site visitors Fast Review: 1. What factors determine media costs? 2. On what day and what time might a film studio advertise an adult, action movie?