Advertising Amanda Petrilli and Amanda Sobers. Do companies make more money if they spend more on advertising? Advertisement persuasiveness What the consumer.

Slides:



Advertisements
Similar presentations
What is the stock market? I prefer it There is more to eat! It tastes nicer It looks better It costs more It is advertised and I would like to try.
Advertisements

Persuasion Is All Around You!
Marketing Basics Marketing-the creation and maintenance of satisfying exchange relationships Creation-product development Maintenance-continues even after.
Multi-Channel Retailing. Multi-channel Retailing in 2005, U.S. online consumers will spend in excess of $632 billion (US$) in offline channels as a direct.
The Expenditure Report Executive Summary of adspend survey data for Q and forecasts to Q
Advertising Ch. 19 ME. Advertising Media Section 19.1.
Copyright © 2010 Pearson Education, Inc. publishing as Prentice Hall Chapter Seven Advertising Design Message Strategies and Executional Frameworks.
Stock Market BasicsBasics. 1. Proxy Allows you to have your vote at shareholder meetings without being present. Allows you to have your vote at shareholder.
Advertisements Advertising is designed: To make people buy what the advertiser has for sale. Advertisements have a common goal: to influence people’s opinion.
Be a Healthy Consumer.  Advertising is a form of selling products and services.  An advertisement (ad) is a paid announcement about a product or service.
ADVERTISING WITHIN DIGITAL MEDIA DAVID LILLEY
 To see if there is any correlation between the childhood obesity epidemic, and the roles that television advertisements play on influencing food choices.
Resisting Pressure Unit 2.3. Key Terms What is peer pressure? What is peer pressure? What is direct pressure? What is direct pressure? What is indirect.
CHAPTER 8 Media Selection in Advertising. What kinds of ads get your attention? Are they found in “traditional” media like television or unusual places?
Unit 7 Review Topics Most Misunderstood Concepts.
Consumer Culture Are we being bought? Website Link –
Introduction Mobile apps have become a major part of the smart phone users daily lives There has been a large increase in app usage Mobile advertising.
Unit 6 - Promotion.  There are many forms of advertising to fit all kinds of budgets.  A large company such as Procter & Gamble typically spends 25.
THE ROLE OF AVERTISING IN MONOPOLISTC COMPETITION 1.
 Once a company has decided on the product, price, place and promotion it needs to make sure that there is enough demand for whatever it is marketing.
Sports & Entertainment Industries and the 4 P’s Mrs. Wilson Sports & Entertainment Marketing.
13 Chapter Marketing in Today’s World pp
For use only with Duncan texts. © 2005 McGraw-Hill Companies, Inc. McGraw-Hill/Irwin Direct Marketing: The Dialogue Builder.
Market Planning Unit 4.2 The Marketing Mix.
E-Commerce Course 4 Internet and advertising. 1- Is internet just a media like others?
Marketing Is All Around Us. Quick Think How would you define Marketing? Activities that fall under its umbrella.
Happiness and the Economy. Our economy is largely driven by consumer spending.
MILLIONAIRE SCOREBOARD $100 $200 $300 $500 $1,000 $2,000 $4,000 $8,000 $16,000 $32,000 $64,000 $125,000 $250,000 $500,000 $1 MILLION Click the $ for.
Use Mackinvia or Google to research:
Marketing Chapter 1 Review for TEST PLEASE PAY ATTENTION.
The Congress, the President, and the Budget: The Politics of Taxing and Spending Chapter 14.
Make a list Name as many specific brands Gym Shoes Soda Fast Food Restaurants Cars Candy.
Define promotion. What does promotion do? Promotion is communication techniques aimed at informing, influencing and persuading customers to buy or use.
Chapter 8: Marketing The Role and Impact of Marketing
For use only with Perreault and McCarthy texts. © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill Chapter 16: Advertising and Sales Promotion.
Food Marketing. Family Influence on Food Choices Family is the major influence on the food choices and habits of its members. Starting as children due.
The Circular Flow Model describes and shows how the economy interacts.
ADVERTISING. Advertising aims to create subjective image differences and hence product differentiation. Product differentiation is a tool to increase.
OBESITY – PART 2. Film  s_reporting_how_to_get_fat_without_really_trying /
Chart 1: Social-Media Ad Spending The auto industry will spend approximately $1.2 billion this year on some form of “social media” advertising, or about.
Needs vs Wants.
Elasticity- Week Four. Objectives Explore examples of elastic/ inelastic situations Determine how consumers respond to price changes Examine the current.
How does media influence your decisions? 1. Open your book to page Number each line from on page 3.No homework tonight! If you were absent.
Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
On a scratch piece of paper… Answer the following questions: 1.How much money did you spend yesterday? 2.How much money do you think you spent during last.
The Fashion Business.
Electronic Device Ads in NYC Do They Effect What People Want to Buy? By Mathew Matthison.
The Power of Tweens Tara Armatas Tara Armatas Chase Duran Chase Duran George Yerkovich George Yerkovich.
Chapter 15 Promotion Means Effective Communication 1 Newsline: Influencing What You Eat Did you know that suppliers pay more for the bottom rows of shelf.
© Thomson/South-Western ECONOMIC EDUCATION FOR CONSUMERS Slide 1 Advertising and Consumer Decisions Objectives: By the end of class, students will be able.
Lesson 8.2 – Sponsorship Growth Copyright © 2013 by Sports Career Consulting, LLC.
Marketing versus advertising, what is the difference?
The role of Business Lesson 2. What is Business? The term ‘business’ can mean many things to many people. It can be: A person’s occupation A type of occupation.
Salman Ahmed Qurraishi.  Advertising mean “to Communicate”  Advertising is defined as any “paid-for method of promotion”. Advertising is the main form.
children Look at these advertisements. Who are they aimed at?
Chapter 8 Marketing Your Product. Marketing Presenting your business to customers to communicate the value of your product or service.
Chapter 4 Developing and Managing an Promotion Program.
Advertising SS.4.FL.2.5 Explain that costs are things that a decision maker gives up; benefits are things that a decision maker gains. Make an informed.
Educating Producers and Consumers Unit 9 NS430 Whole Foods.
Chapter 3: Your Role as a Consumer. Consumers A Consumer is an person or group that buys or uses goods and services to satisfy personal needs and wants.
Chapter 20 – Nature and Scope of Marketing 1. Importance of Marketing For the economy to work well, producers and consumers need information to help them.
Winter Holidays and Back to School 88 Percent of Holiday Spending
The World of Advertising and Integrated Brand Promotion
Magazine Media – Market overview The basics
What is Marketing? Branding Branding Branding.
Facts about advertising
سعيد أعداد : المستشارة / رباب محجوب
Advertising and Public Relations
Internet and advertising
50 “Active” DR Brands: TV Spend as a % of Their Media Mix
Presentation transcript:

Advertising Amanda Petrilli and Amanda Sobers

Do companies make more money if they spend more on advertising? Advertisement persuasiveness What the consumer ends up spending their money on Most popular ads Where ads are seen the most

Where did your data come from? Primary Data: Forty students from grades 9 to12 were surveyed and we wanted to find out: What advertisements were seen most Where advertisements are seen How frequently certain advertisements are viewed Effectiveness of different types of ads Where the majority of the survey taker spends their money

Where did your data come from? Secondary Data: We researched companies in our four different categories of ads; fast food, electronics, cosmetics and clothing. McDonald’s Apple Inc. L’Oréal Nike Researched in order to find out how much money the companies spend on advertising and if increased spending results in increased profits.

Which advertisements do you hear/see the most? Seen most: Fast food Second: Electronics Third: Cosmetics Last: Clothing McDonald’s Annual Revenue: $22.8 billion Annual advertising budget: 15% of revenue (roughly $3.3 billion)

Are advertisements with celebrities more effective than ones without? Results were almost evenly distributed; 57% said yes, 43% said no. McDonald’s vs. Nike Advertising budget: $3.3 billion $2.5 billion Revenues: $22.8 billion $ 19.2 billion

Where do you see/hear the most advertisements? Majority see ads from television Internet ads are seen second most Magazine/billboard and Radio ads are tied for third

Do you tend to pay attention to lower budget ads? As expected, the majority said no. Lower budget ads have lower picture quality, mediocre actors Possibly unreliable

Are infomercials effective or annoying?/ Do you or your parents buy products from infomercials? The majority agreed that infomercials are annoying and many do not buy products from Infomercials Infomercials are typically Loud Repetitive Long Misleading Have hidden costs

Conclusion Advertisements play a major role in a company’s ability to make money Each researched company’s revenue in the billions, advertising about 10-15% of this More advertising does result in higher profits Company Info: L’Oréal McDonald’s Annual revenue: $23 billion Annual revenue: $22.8 billion Advertising expenditures: $6.29 billion Advertising expenditures: $3.3 billion Apple Inc. Nike Annual revenue: $32.5 billion Annual revenue: $19.2 billion Advertising expenditures: $500 million Advertising expenditures: $2.5 billion