Advertising Theories PDF

ADVERTISING THEORIES ABCOM | Prepared by Anj De Castro Game Time! Let’s have some fun. Group yourselves into 6. In this activity, a unique text will be assigned to each group. The first member of your group will memorize the text within 2 minutes and shall whisper it to the next member. The f...

ADVERTISING THEORIES ABCOM | Prepared by Anj De Castro Game Time! Let’s have some fun. Group yourselves into 6. In this activity, a unique text will be assigned to each group. The first member of your group will memorize the text within 2 minutes and shall whisper it to the next member. The following members will continue to pass on the message until it reaches the last person in your group. The final member of your group will then write down the message they received on a piece of paper. The goal is to have the written message match the original text as closely as possible. The group with the closest match wins! Great communication begins with connection. – Oprah Winfrey Shannon-Weaver Model of Communication (1949) Image source: Mortezaei  Channel: Audio Conversation Encoder Decoder Will transmit Will receive signals signals Signals Received Signals Message Message Noises: Power interruption Line interruption Noisy environment Static noise Language barrier Sender/Source Destination/Receiver  Channel: Interactions Mes sag e Si gnals /Mi xed ge/ Signa e s sa M ls Noises: She’s not only kind to you She messages you every day but doesn’t hang out with you Reacts to some of your posts She’s inconsistent Sender/Source/Encoder You have your own assumptions Destination/Receiver/Decoder Your Crush You  Shannon-Weaver Model of Communication (New Model) Feedback Image source: Mortezaei  Channel: Audio Conversation Encoder Decoder Will transmit Will receive signals signals Signals Received Signals “Hi, how are you?” “Hi, how are you?” Noises: Loss of signal Noisy background Data restrictions Language barrier Sender/Source Destination/Receiver “I’m great. How about you?”  Channel: Interactions Mes sage nals /Mi ge /Sig xed S essa igna M ls Noises: She’s not only kind to you She messages you every day but doesn’t hang out with you Reacts to some of your posts She’s inconsistent Sender/Source/Encoder Your assumptions Destination/Receiver/Decoder Your Crush You Your behavior towards your crush might get affected THE COMMUNICATION PROCESS AND ADVERTISING MODELS  THE COMMUNICATION PROCESS AND ADVERTISING MODELS Source Message Channel (medium) Receiver (Audience) Feedback/Response Familiarity Argument Modality Demographics Purchase Credibility Conviction Context Niche Obey Power Awareness Personalities Avoid Control Threats Identities Vote Trust Submit Expertise Concern McGuire, 1999 Advertising models can be connected to the communication process model since they are built on the base of communication (Karlsson, 2007). By understanding the different behavioural levels that customers pass through, the advertiser can create a message that will meet all requirements and thereby be effective (Ciadvertising.com, 2007)  Motive of Advertisements Communication Audience Behavior ADVERTISING THEORIES  1 AIDA AIDA (AWARENESS-INTEREST-DESIRE-ACTION) ➔ Created by Edward Strong in 1925, is a behavioural model that has as purpose to make sure that a single advertisement raises awareness, stimulates interest, and leads the customer to desire and eventually action (Hackley, 2005) ➔ The model is seen as highly persuasive and is said to often unconsciously affect our thinking. AWARENESS INTEREST DESIRE ACTION And thence to Commands Leads to Interest in Desire to own or finally leads to Attention the product use the product Action/purchase ➔ For the advertisement to contribute to success it has to be designed so that the customer passes through all these four phases, with all being equally important. ➔ This model implies that advertising should inject memorable and believable messages that will make customers triggered to act in a certain way. AIDA (NEW MODEL) ➔ One of the most used advertising models today as it also fits small and medium enterprises (SMEs) ➔ It's no longer a relationship purely between the buyer and the company since social media has extended it to achieving the different goals of AIDA. ➔ The AIDA funnel could be referred to as a communications model rather than a decision-making model. ➔ Can be used to identify how and when to communicate during each stage of their customer journey ➔ Consumers will be using different platforms, engaging at different touchpoints, and requiring different information throughout the stages from various sources. AWARENESS INTEREST DESIRE ACTION RETENTION Brand awareness Content Strategy; Emotional Call-to-action (CTA); Maintain brand campaigns; outreach rep building; connection; customer booking pages; shop loyalty online and strategies spreading info service; perks pages offline AIDA as observed in TIRTIR ➔ AWARENESS: creating online content announcing worldwide availability of the product ➔ INTEREST: booking famous beauty influencers all around the world to try their foundation products and create online content out of them ➔ DESIRE: as it initially had shades favoring fair complexions, Tirtir started adding darker shades catering to a wider, global audience; diverse models and influencers were included in the ad campaigns too ➔ ACTION: CTA features are seen all over different platforms and content of Tirtir online, from their website to their socials TIRTIR foundation is an iconic cushion ➔ RETENTION: Tirtir always listens to brand reviews to improve foundation brand in South Korea which taken the global beauty trend by storm in 2024 due their products. Online feedbacks are seriously taken into to its on-the-spot formulation for different skin types. consideration  2 DAGMAR DAGMAR (Defining Advertising Goals for Measured Advertising Results) ➔ Created by Russell Colley in 1969 to encourage measurable objectives for each stage of communication (Smith & Taylor, 2002) and does not deal purely with the message; Often used by major brands as it involves a systemic and creative (and more expensive) approach to achieve their goals. ➔ Focuses on the levels of understanding that a customer must have for the organisation and on how to measure the results of an advertising campaign. ➔ The DAGMAR meaning implies a marketing model that helps set advertising goals and measure effectiveness. Its primary objective lies in building customer relations rather than sales. MEASURED ADVERTISING RESULTS 2 PHASES DEFINING THE ADVERTISING GOALS Refers to systematically analyzing and involves setting clear objectives and evaluating a particular advertisement. First, targets that align with your overall it helps the company to understand the marketing objectives. By defining your effectiveness of its advertisement. Then, it advertising goals, you can effectively plan answers questions like how many customers and execute your native advertising saw their ads, the number of leads and sales campaigns to achieve desired outcomes. generated, and other similar questions. DAGMAR Model Objectives 1. Awareness: Before buying a product, the customer should know the brand, new product launch, and new offers. Good brand awareness often makes customers feel connected to the company’s objectives. Therefore, the companies should build such an ad that reaches their target audience. 2. Comprehension: Awareness alone cannot result in effective advertisement results. The company needs to comprehend (detail) the product information, what it can offer, and how it differs from any other product. Additionally, it needs to supply relevant information about the product features. 3. Conviction: Here, the customers will decide whether they should buy the product or not. They often make choices through comparison with similar products. Then, if the customer finds the product interesting and worthy, they might try it. At this stage, the advertisement tries to convey its message to the target audience. 4. Action: The final step is to enact the buying decision. This step motivates the customers to buy the product. DAGMAR and Nature’s Spring ➔ Nature’s Spring released a new bottle design that has tethered caps that stay attached to the bottle even after opening it. This is to address plastic waste problems in the Philippines and to lessen bacterial scare whenever you drop your cap on the ground or on dirty surfaces. ➔ This demonstrates the company's commitment to reducing plastic waste and maintaining safety and health among its consumers. This was specifically advertised in their official pages which may lead to an improved brand image that resonates with environmentally conscious consumers. ➔ In this manner, the company hit its advertising objective of encouraging water bottle sales by encouraging eco-friendly initiatives and addressing specific health concerns. As a result, they were successful in achieving their campaign goals.  3 Lavidge & Steiners Hierarchy-of-effects model Lavidge & Steiners Hierarchy-of-Effects Model ➔ Raised by Robert J. Lavidge and Gary. Steine in 1962, the hierarchy of effects theory describes how advertising affects consumers’ behavior and leads to the transition from not knowing a product or brand to liking it and finally making the action to purchase. ➔ The hierarchy of effects model consists of three major stages: the cognitive stage (awareness, knowledge); the affective stage (liking, preference, conviction); and the behavioral stage (purchase). 3 STAGES Cognitive Stage Affective Stage Behavioral Stage Process of knowing/ “Feeling” process; Final process; purchase acknowledging an idea/ impact/appeal on the stage object target audience 3. LIKING 6. PURCHASE 1. AWARENESS 2. KNOWLEDGE 4. PREFERENCE 5. CONVICTION Hierarchy-of-Effects Stages 1. Awareness: Close to purchasing, but still a long way from the cash register, are those who are merely aware of its existence; the consumer notices the brand but with very limited knowledge about it. 2. Knowledge: Up a step are prospects who know what the product has to offer; It is essential to ensure that sufficient information is available to consumers for them to know the brand well so that they can move to the next stage. 3. Liking: Still closer to purchasing are those who have favourable attitudes toward the product or those who like the product; at this stage, the process moves from cognitive to affective behavior. A brand brings emotional comfort to consumers, and consumers form positive perspectives on the brand. 4. Preference: Those whose favourable attitudes have developed to the point of preference over all other possibilities are up still another step; at this stage, the brand needs to differentiate itself from other products and gain consumer preference over its competitors. 5. Conviction: Customers would have a desire to buy and the conviction that the purchase would be wise; Consumers settle their doubts and stop moving back and forth between brands at this point. 6. Purchase: The step which translates this attitude into actual purchase; it is essential to provide a positive purchasing experience to consumers as it may encourage them to purchase in larger amounts or cause brand loyalty Hierarchy-of-Effects in Apple ➔ Apple Inc. has mastered the Hierarchy of Effects Model for their product launches. ➔ Apple creates awareness and anticipation by generating buzz leading up to the announcement of a new product (Attention). By incorporating innovative features and sleek designs, Apple piques consumers’ interests and desires to own the latest technology (Interest & Desire). ➔ During the launch events, Apple highlights the benefits and upgrades of the new product, leading consumers to take action and make the purchase (Action). ➔ Apple’s strong brand loyalty and positive user experience lead customers to purchase Apple products (Retention) and recommend them to friends and family (Advocacy). Theories Outcomes REFERENCES 1. Karlsson, L. (2007). Advertising Theories and Models ñ how well can these be transferred from text into reality? Strategisk Marknadsfˆring, 850719. https://www.diva-portal.org/smash/get/diva2:238064/FULLTEXT01.pdf&sa=U&ei=zRtfU43hCYjl8AGfjYHQBg&ved=0CDIQFjAE&usg =AFQjCNF3PMOPwWiXxp9BwLZX-bxkKuqPtQ 2. Hanlon, A. (2023, March 20). The AIDA model and how to apply it in the real world - examples and tips. Smart Insights. https://www.smartinsights.com/traffic-building-strategy/offer-and-message-development/aida-model/ 3. Mortezaei, Vahid. (2020). Is Food a (Cross-cultural/Interpersonal) Communication Medium?. 10.13140/RG.2.2.17545.67687. 4. Suthar, J. (2024, July 23). DAGMAR. WallStreetMojo. Retrieved August 14, 2024, from https://www.wallstreetmojo.com/dagmar/ 5. Team, C. (2024, June 6). Hierarchy of effects. Corporate Finance Institute. https://corporatefinanceinstitute.com/resources/management/hierarchy-of-effects/