Advertising History: 5 Components & 6 Phases PDF

5 COMPONENTS OF ADVERTISING  Advertising is a paid form of communication,  Not only the message is paid for, but the sponsor is identified,  Advertising tries to persuade, influence or remind the consumer to do something,  Advertising reaches a large audience of potential c...

5 COMPONENTS OF ADVERTISING  Advertising is a paid form of communication,  Not only the message is paid for, but the sponsor is identified,  Advertising tries to persuade, influence or remind the consumer to do something,  Advertising reaches a large audience of potential consumers,  The message is conveyed through many kinds of mass media, which are largely non-personal. BASIC FUNCTIONS OF ADVERTISING  Builds awareness of products and brands  Creates a brand image  Provides product and brand information  Persuades people  Provides motives (incentives) to take action  Provides brand reminders  Reinforces past purchases and brand experiences 6 PHASES OF ADVERTISING HISTORY 1. Pre-Printing Period 2. Early Printing Period (15th century to 1840) 3. Period of Expansion (1840-1900) 4. Period of Consolidation (1900-1925) 5. Period of Scientific Development (1925-1945) 6. Period of Business and Social Integration (1945-) https://www.youtube.com/watch?v=SVX69hZV-Hk PRE-PRINTING PERIOD  Advertising in ancient times focused on promises of gold to acquire slaves, highlighting the use of written messages as an early advertising method.  During the 5th century BC in Naples, Pompeii, wall inscriptions for political and commercial reasons were considered among the first examples of advertising. PRE-PRINTING PERIOD The first phase in the history of advertising corresponds to the pre-printing period preceding the 15th century. During this phase, criers played a pivotal role as complementary symbols of advertising, and advertisements were conveyed by individuals known as town criers or bellmen. Advertisements of this period were primarily executed through oral communication, relying on the vocal and auditory elements of bell-ringing or town criers.  EARLY PRINTING PERIOD (15th century to 1840)  Advertising underwent significant developments with the invention of the printing press, attributed to Johannes Gutenberg in 1447.  Théophraste Renaudot, a 17th-century French doctor, journalist, and adman, played a notable role in early advertising history. He established a "bureau des adresses et des rencontres", serving as a recruitment office. It became a hub for information exchange, including job seeking, goods trading, and public announcements.  In 1631, Renaudot founded the first French newspaper, La Gazette, making him the first French journalist and inventor of the personal advertising.  In 1472, the first written advertisements were hung on church doors in England by William Caxton, an English entrepreneur, diplomat, and writer, pioneered the concept of printed advertisements.  By 1704, in Boston Newsletter, the first newspaper advertisements appeared offering a reward for 12 stolen horses.  In 1786, the first advertising agent William Tayler opened an office known as Tayler & Newton in UK. Advertisement for the Sarum Ordinal or Pye, 1472 PERIOD OF EXPANSION (1840-1900)  The third phase in the history of advertising, spanning from the 1840s to the 1900s, witnessed significant expansion in America.  The construction of railroad systems during this period greatly enhanced transportation efficiency, leading to the expansion of markets.  This expansion was facilitated by the presence of magazines and newspapers, which featured advertisements that reached consumer groups over long distances quickly.  A common characteristic of advertisements during this era was their commercial nature, emphasizing the promotion of goods and services.  In 1841, Volney B. Palmer established the first advertising agency in America.  In 1844, the first magazine advertisements were published.  In 1876, the concept of "commission-based advertising" contracts was first applied.  In 1879, the first-ever market research for advertising was conducted.  In 1888, the first national trade magazine for advertising ‘Printers’ Ink’ published George P. Rowell.  In 1893, more than half of the top 100 companies allocated a significant portion of their annual budgets. Magazine advertisement, 1844 Magazine advertisement, 1880 Building wrap, 1898 The initial emergence of creative individuals in the advertising realm gave rise to freelance copywriters. Charles Austin Bates, an influential figure in the realm of advertising, eventually established his own advertising agency. Bates's role as a critic led to the creation of a weekly column in the trade journal Printer's Ink, where he openly evaluated and critiqued advertising practices. Earnest Elmo Calkins, established his own agency in collaboration with Ralph Holden. Calkins & Holden differentiated themselves by not only placing ads for clients but also designing them, marking the emergence of the advertising industry's first creative hot shop. One of the most influential figures among them was John E. Powers, 'the father of creative advertising’. He was a prominent figure in the early days of advertising, embodied principles of honesty and straightforward communication and had a strong belief in the value of plain speaking and famously asserted that fine writing is offensive. "If the truth isn't tellable fix it so it is." Powers style magazine ads for Murphy Varnish Co. J. Walter Thompson, often referred to as 'The Commodore,’ has revolutionized the agency structure by hiring staff, expanding the agency's services to encompass a 'full service' which involved both the design and placement of advertisements. He established offices in major cities such as Chicago, Boston, Cincinnati, and even London. This made J. Walter Thompson the first U.S. agency to venture into international markets and the foundation for the creation of the first modern advertising agency. PERIOD OF CONSOLIDATION (1900-1925)  The fourth phase, known as the period of consolidation, spanning from 1900 to 1925, witnessed intensified efforts to promote ethical and realistic advertising practices while combating dishonest and unethical aspects in advertising.  With the outbreak of the First World War, advertising was used to attract volunteers.  In 1914, Lord Kitchener, the Minister of War, was featured on a poster urging young men to "Join your country's army" characterized by his resolute gaze and a commanding pointing finger.  In 1917, the United States military adopted an almost identical approach, featuring a stern Uncle Sam with an outstretched pointing finger proclaiming, "I want you for US army ".  After the First World War, society on both sides of the Atlantic had undergone profound transformations.  The dominant agency in the United States during this era was JWT. In 1916, after 48 years in the business, J. Walter Thompson handed over the agency to Stanley Resor, who would later lead the agency to greater heights.  Helen Lansdowne Resor was a trailblazer as the first woman to make a significant impact in a predominantly male-dominated profession. She had the audacity to present advertising campaigns to major clients, notably Procter & Gamble. Working for an agency whose clients produced a wide range of products aimed at women, she possessed a unique combination of market insight and natural copywriting talent. Helen Lansdowne Resor’s work for Woodbury’s Soap, which came under J. Walter Thompson's purview in 1910, is particularly noteworthy. These advertisements were among the early examples to allude indirectly to themes of sexuality, promising to deliver "A skin that you love to touch" alongside images of young couples.  Kodak’s advertising department,1910, 1915, 1919 Kodak knew who they should advertise. Around the turn of the last century, women were becoming more self-sufficient and began to enjoy more freedom, engaging more often in work outside the home; from beach vacations to snowy winter outings to tennis matches, the modern woman was fun-loving and independent. PERIOD OF SCIENTIFIC DEVELOPMENT (1925-1945)  The fifth phase, occurring between 1925 and 1945, marked a period of advancement driven by scientific developments in advertising.  During this era, there was a growing emphasis on applying scientific methodologies to address advertising challenges.  Information became more systematically organized and was presented in a more extensive manner compared to previous periods.  Advertising strategies incorporated various methods, particularly for measuring sales effectiveness, within the framework of this era's focus on scientific precision.  Claude Hopkins openly asserted that the primary objective of advertising was sales, and believed that effective advertising required a comprehensive understanding of the product, its advantages, and the potential customer base.  For each product Hopkins identified the unique factor that distinguished it from its competitors, recognizing that a simple appeal of "buy my brand" was unappealing to consumers. He advocated the necessity of offering exceptional service or value to incentivize people to switch from their preferred brands to the advertised one.  The fundamental goal for Hopkins, was to have a better understanding of the market than competitors. For this notion, he recruited an academic with a strong research background: George Gallup.  Albert D. Lasker, often regarded as the progenitor of modern advertising, collaborated with Claude C. Hopkins and they introduced "reason why" approach, emphasizing that advertising must provide customers with a specific rationale or rational-sounding excuse for purchasing a product.  George Gallup, a professor of advertising and journalism at Northwestern University and gained prominence in the advertising world through his research.  Gallup discovered that while many ads highlighted the economy and efficiency of products, the most effective ones tapped into readers' concerns about quality, vanity, and sex appeal.  After joining Young & Rubicam, Gallup established an exceptional marketing research department, about 400 individuals nationwide contributed to Young & Rubicam's field research efforts, providing insights into which ads were effective and why.  In 1935, while still at Young & Rubicam, George Gallup founded the American Institute of Public Opinion, which later evolved into the Gallup Organization in 1958. The Wall Street Crash of October 1929 had devastated the US economy, sending shockwaves through the Western world, especially impacting Germany. In 1931, during the harsh economic conditions of the Great Depression, D'Arcy, an ad agency, presented a Santa Claus image dressed in Coca-Cola's iconic red and white attire. Robert Woodruff was president of the company from 1923 to 1954. Under his leadership, Coke moved from away from selling a soft drink to selling an idea. That concept seems to have driven Coca-Cola’s culture of “happiness” ever since. Coca-Cola, 1930,1931 The "It's toasted" tagline for Lucky Strike cigarettes was created by Lasker’s advertising agency Lord & Thomas in Chicago. Albert Lasker is famous for building Lucky Strike sales to women by promoting the brand as a slimming aid.  HARD SELL  During the Great Depression, advertisers resorted to aggressive hard-sell strategies as they struggled to persuade consumers to make purchases.  The foundational principles of hard sell advertising were established by Claude Hopkins and Albert Lasker during this period.  Hard sell advertising was based on certain assumptions about consumers, primarily the belief that consumers needed repeated exposure to the message and focused on rational appeals, highlighting product features and benefits rather than addressing users' emotional or psychological aspects.  The hard sell approach avoided elements like humor or entertainment in advertisements, as they were believed to distract from the core message.  This approach was also reflected in radio commercials of the era, characterized by lengthy, repetitive, and sometimes overly factual messages.. Rosser Reeves’ Unique Selling Proposition  Unique Selling Proposition (USP) concept was introduced into marketing theory and practice in 1940 by Rosser Reeves as a unique “sales promise” in the context of product and service advertising.  Reeves held the belief that product attributes alone were insufficient and argued that a fundamental selling promise should be a core element of any product.  Reeves emphasized the presence of hidden motivational factors in consumers' comprehension of their consumption behaviors and highlighted the influential role of triggers in driving consumer actions.  He pointed out that inundating consumers with numerous messages about a product could lead to specific issues and contended that the challenge for advertisers was to create a single memorable message that consumers could easily grasp.  https://www.youtube.com/watch?v=G0_NAWMJL8Q  Despite the challenges, a couple of renowned agencies emerged during this period. One such agency was Leo Burnett, established in 1935, symbolizing its optimism with a bowl of apples on its reception desk.  Another notable agency was Young & Rubicam, founded in 1923 but thriving during the Depression. Y&R developed enduring advertising techniques during this era and would later play a significant role in the industry. Y&R embodied a more liberated agency style, foreshadowing the creative revolution of the 1950s.  SOFT SELL  Soft sell advertising, in contrast to hard sell, emphasizes emotional connections and positive associations with a product rather than focusing solely on product attributes.  Before Y&R, Rubicam worked as a copywriter and created slogans for Steinway pianos and Squibb drugs that emphasized the integrity and emotional value of the products.  Soft sell advertising focuses on building emotional connections with users, avoiding aggressive tactics, and using aesthetic principles to engage readers. It also incorporates humor to attract and disarm readers, in contrast to the hard sell's avoidance of humor.  Y&R openly disregarded the predominant advertising theory of the hard sell, and as a proponent of the soft sell, believed that entertainment and humor could be effective selling strategies. Raymond Rubicam’s Differentiation  The two paramount concepts introduced by Rubicam to the advertising realm are 'Research' and 'Differentiation.’  According to Rubicam, one of the most crucial elements that demonstrates a brand's competitiveness and ensures its longevity is differentiation.  Differentiation is a fundamental component for a brand's survival, setting the primary direction for communication strategies. Consumers tend to disregard advertising and brands unless a genuine distinctiveness is presented to them. "Resist the usual" The Creative-Pragmatic Divide in Advertising History A prominent recurring theme in the history of advertising revolves around a persistent conflict between two schools of thought: the creatives and the pragmatists. The creatives advocate that art and creative content have the power to inspire consumers and drive purchases. The pragmatists rely on factual information and comprehensive research to influence consumer behavior. In the 1950s, a pivotal figure in this debate was Bill Bernbach, whose bold approach through the establishment of Doyle Dane Bernbach marked the beginning of the creative revolution in advertising. Evolution of ad  https://www.youtube.com/watch?v=uusOvwW WRPA  TedX: https://www.youtube.com/watch?v=ZK3c9GCj Sx8