1. Advertising and Consumer Decisions 1.5

2. Advertising What is the purpose of advertising? Think of brands that you know. Write down the first 3 you thought of. Why?

3. Types of Advertising 1. Brand 2. Informative 3. Comparative 4. Defensive 5. Persuasive

4. Brand Advertising Buy by brand Associate product w/brand Jingles, catchy tunes

5. Brand Benefits Dependable Consistent quality Simplifies decision making

6. Brand Drawbacks Cost of advertising Increase price of product

7. Informative Advertising Influence the buyer Educates the buyer

8. Informational Advertising Product characteristics More Complex More Technical Computers, Cars, Exercise equipment

9. Comparative Advertising Compares one product’s quality to the competition’s

10. Comparative Advertising Slanted information Promotes products qualities Exaggerates competitor’s weaknesses

11. Defensive Advertising Response to Comparative Ads Highlights qualities of brand Not balanced or complete info

12. Persuasive Ads Appeals to your emotions Happier, more successful, more satisfied Characteristics: Attractive, happy, popular people Which type of product would use Persuasive Ads?

13. Persuasive Ads Cosmetics Colognes

14. Deceptive Ads vs. Puffery Puffery– innocent exaggeration Legal Deceptive Ads—factually wrong Illegal, fines imposed Intentionally misleads consumer “FREE” can be deceptive Free with purchase is NOT free

15. Deceptive ads http://www.albionmonitor.com/9801b/lemonawards.html FTC http://www.ftc.gov/bcp/conline/pubs/buspubs/ruleroad.shtm http://www.lpconline.com/fraudulent_and_deceptive_ads.html http://video.google.com/videosearch?hl=en&rlz=1T4ADBS_enU S283US287&q=you+tube+videos&oe=UTF-8&um=1&ie=UTF- 8&sa=N&tab=wv&oi=property_suggestions&resnum=0&ct=pro perty-revision&cd=2#q=deceptive%20ads&hl=en&emb=1 http://video.google.com/videosearch?hl=en&rlz=1T4ADBS_enU S283US287&q=you+tube+videos&oe=UTF-8&um=1&ie=UTF- 8&sa=N&tab=wv&oi=property_suggestions&resnum=0&ct=pro perty-revision&cd=2#q=deceptive%20ads&hl=en&emb=1