1. Advertising: The Art of Attracting an Audience
Introduction to Business

2. Confronting Issues with Images
A corporation just might be watching you. What you buy. How you act. Anything that pushes your buttons is of interest to corporations that have something to sell.
What they sell you is a product through an image. Buying a product when there’s an image attached—that something that makes you look better or cooler—is exactly what the company wants you to do. This way you help their profits.

3. Advertising Media
Advertisements are everywhere you look. You see them on TV, in movie theaters, on the streets, at checkout counters, in magazines, on the Internet and on T-shirts!
The average person sees hundreds of ads each week. In a world with so many choices for essential the same product, advertisers use their wit, wisdom, and originality to get consumers’ attention.

4. Advertising
Often companies with deep pockets gobble up the market share by spending the most on advertising campaigns.
Advertising is the paid, nonpersonal form of communication that businesses use to promote their products. Creating and using a catchy advertising slogan over and over again is one way a company sells a product.

5. Mass Media
Most ads consist of short messages designed to attract your attention, identify a product, and tell you something about it. They are sent using one or more types of mass media.
Mass media are means of communication such as TV, radio, newspaper, Internet. The type of medium an advertiser uses depends on the market it wants to reach.

6. Print Media
Print media uses writing and pictures to communicate. It includes, newspapers, magazines, signs, and billboards. In fact, the age of advertising began with the invention of the printing press in the fifteenth century. Fliers could be mass produced and put in newspapers or posted in public places.

7. Print Media
Newspapers
Magazines

8. Direct-Mail Advertising
Consists of ads sent by mail to people’s homes. It is the biggest advertising medium after TV and newspapers. Direct mail allows advertisers to reach a specific target market. A business can put together a mailing list of customers according to a certain demographic.

9. Direct Advertising Formats
Letters, fliers, postcards, and catalogs, coupons, samples.
Direct mail can also be used to make sales by including order forms.
The cost of sending ads through the mail can be very high. Mailing lists have to be constantly updated. Direct mail is often referred to as “junk mail” because people who receive direct-mail ads often throw it away.

10. Broadcast Media
Broadcast media (primarily TV and radio) are the most effective means of advertising.
The popularity of broadcast media makes it possible for advertisers to read a mass audience.
Forms of broadcast media: TV
Radio
Webcasting

11. Television
Television has an advantage over any other media because it combines sounds, images, and motion. Advertisers can be more informative, entertaining, or creative with TV ads. Some ads are so effective that they become part of our everyday language.
TV ads can be shown on national or local stations to reach any kind of market. Advertisers can also reach target markets by showing ads during certain types of shows. Ads for an animated movie are shown during Saturday morning cartoons.

12. TV used as Advertising
Most TV ads are 30- or 60-second “spots” Another type of TV ad is the infomerical.
An infomerical is a TV program, usually 30 minutes long, made to advertise a product. It is often set up like a talk show with a live studio audience and a celebrity guest who demonstrates the product.

13. Radio
Radio ads can reach a very wide audience. Radio ads may not be as effective as TV or even magazine ads, because they can’t use images.
Radio uses music, dialogue, and sound effect creatively to get an audience’s attention.

14. CONSUMERISM SHOPPING SMART!

15. Consumer Person who buys and uses good or services.
A wise consumer is an informed consumer.
Customer is a person who purchases a product or service, but may not be the final user.

16. Advertising Widely available and popular
Main purpose is to convince you to buy a product or service.
Used carefully—it is a source of information.

17. Labels Attached to or printed on a product.
Provides useful written information about a product.
Label can include:
Content of a product
Care and use

18. Opportunity Cost
The value of any alternative that you give up when you buy something else or make another choice.

19. Comparison Shopping
Comparing the price, quality, and services of products.
Studying ads to determine of what is being offered on sale is a real value.
Smart consumers are comparison shoppers.

20. Unit Price
A price per unit of measure

21. Calculate Unit Price
Divide the price of the item by the number of units per measure.

22. Promotional Sales
Sales in which businesses promote the sale of regular merchandise by reducing prices
Retailers do this when:
Opening a new store
Introducing an new item
Introducing a new store

23. Clearance Sales
Used to clear merchandise that stores no longer want to carry.
End of season items, discontinued items, or out-of-date items.

24. Deciding How to Buy Business’s Reputation
Brand Names or National Brands
Types of Businesses

25. Business Reputation—it’s important
Most valuable business asset is a good reputation.
Good reputation means
Knowledgeable sales people
Excellent customer service
Wants to satisfy customers
Ethical business practices

26. Brand Names
Name of a product or service that is intended to distinguish it from competitors products.
Designed to build customer loyalty.

27. Generic Brands Store brands
Lower cost because don’t require advertising and fancy packaging.
Saves manufacturer money.

28. Types of Retailers Full-service stores Discount stores
Specialty stores
Factory outlet stores
Supermarket
Warehouse market
Convenience stores

29. Full-Service Stores
Offer a wide variety of goods and emphasize customer service.
Often called department stores
Usually have higher prices.
Service likely provided:
Delivery
Gift wrapping
Personal shopper

30. Discount stores Focus is on lower prices
Base success on high volume of sales and low prices.
Limited services for customers

31. Specialty Stores Stores that have a special line of products.
Wide variety in a narrow line
Sporting goods
Jewelry
Women’s shoes

32. Factory Outlet Stores
Have a reputation for selling high quality items at low prices.
Direct from factory
May have minor flaws

33. Food Retailing Categories
Supermarket
Warehouse market
Convenience stores

34. Supermarket Large Full-service
Carries a wide variety of national, store and generic brands
Moderately priced

35. Warehouse market NO FRILLS Food outlet
Emphasizing the sale of large quantities

36. Convenience Stores Small Emphasize the sale of food items
Accessible location
Long operating hours
Stock popular items at higher prices

37. Factors that influence consumers
Peer pressure
Impulse buying
Desire for status
Advertising techniques

38. Impulse buying
Buying too rapidly without giving much thought to whether you can do without a purchase.

39. Desire for status
Appealing to people’s desire for success, wealth, status, beauty, success.

40. Advertising

41. Advertising—A need to sell
Make a statement; sell a product
Colorful and attractive
It needs to crab attention
Appealing to the consumer

42. Purpose of advertising
To attract consumers,
Inform consumers about products and services.
Persuade consumers to buy.

43. Advertising Techniques
Endorsement
Testimonial
Bandwagon
Snob appeal
Emotional appeal

44. Endorsement
A well-known person uses a product and suggests that other buy it.

45. Testimonial
Spokesperson talks about their personal experience with the product.

46. Bandwagon Everyone else has an iPod.
Personal buys because associates it with friendship and acceptance.

47. Snob appeal
Buy things because they make you look successful and rich!

48. Summary--Advertising
To attract
To inform
To persuade
Testimonial
Endorsement
Bandwagon
Snob Appeal

49. Questions!