Gingoog City Colleges, Inc.

Paz Village, Brgy. 24-A, Gingoog City

BSBA Department
Prof4 – ADVERTISING
1st Semester of A.Y. 2020-2021

Introduction

IN THIS MODULE, you shall be introduced to ADVERTISING AND SALES PROMOTION.

Advertising and Sales Promotion has become an important factor in the campaigns to
achieve such societal-oriented objective. Advertising and sales promotion helps to
develop brand loyalty, which results to repeat purchases and favourable
recommendations to others by existing customers.
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Rationale

In this module, you will be introduced to advertising; its definition, its role in marketing
communication which will lead to business’ success, and its basic functions. It will also
highlight the historical context of advertising and its common types.

Intended Learning Outcomes

A. Define advertising and its role in marketing communication.

B. Know the basic functions of advertising.
C. Know the common types of advertising.
D. Be familiar with its historical concept.

Activity

INTRODUCTORY TASK
Directions: In your own understanding, explain the statement below.

Advertising creates cost efficiencies by increasing demand among large groups of

people resulting in higher levels of sales and ultimately, lower prices.

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 Discussion

UNIT 1: PRINCIPLE: BACK TO BASICS

LESSON 1. Introduction to Advertising

Marketing is a total system of business activities designed to plan, price, promote and
distribute want-satisfying goods and services to present and potential market.

Elements of Sales Hexagon

1. Advertising – it is one marketing tools to direct flow of goods or services to the

right target market.
2. Personal Selling – it is a direct, face to face contact among buyer, seller, and
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product, intended to convince the buyer to purchase the product offered for
sale.
3. Publicity – a non-paid, non-personal communication of information about
products and services also uses the mass media.
4. Sales Promotion – includes activities that will promote increases in sales for
the product or service, by planning for freebies or samples, premiums, price-
off, and contests.
5. Public Relations – is another element which initiate an activities to create
goodwill and build good image to the product or company.
6. Merchandising – planning for the right product or service at the right time, for
the right market and price.

WHAT IS ADVERTISING?

It is a paid form of persuasive communication that uses mass and interactive media to
reach broad audiences in order to connect an identified sponsor with buyers (target
audience), provide information about the products and interpret the product features in
terms of the customer needs and wants.

Advertising is a paid form of non-personal communication of information about goods,

services, ideas, or institutions using the mass media of communication with the intention
to sell or secure favorable consideration.

Advertising is usually paid by the advertiser who has a product to sell, although some
forms of advertising such as public service announcements, use donated space and time.

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 Advertising generally reaches a broad audience of potential customers, either as a mass
audience or in smaller targeted groups.

Most advertising has a defined strategy and seeks to inform consumers and/or make
them aware of a brand, company, or organization. In many cases, it also tries to persuade
or influence consumers to do something such as to buy a product or check out a brand’s
website. Persuasion may involve emotional messages as well as information.
Keep in mind that, as we said, a product can be a good, a service, or an idea and etc.

WHAT ARE THE BASIC FUNCTIONS OF ADVERTISING?

Three critical functions:

 Identification – advertising identifies a product and/or the store where it’s sold.
 Information – advertising provides information about a product.
 Persuasion – advertising may persuade people to buy things.
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Over the years, these functions – identification, information, and persuasion – have been
the basic objectives of marketing communication and the focus of most advertising
messages.

WHAT ARE THE KEY COMPONENTS OF ADVERTISING?

 Strategy – the logic or strategy behind an advertisement or any type of marketing
communication message is stated in measurable objectives that focus on such
areas as sales, news, psychological appeals, emotion, branding, and brand
reputation as well as the position and differentiation of the product from the
competition and segmenting and targeting the best prospects.
 Message – the concept behind a message and how that message is expressed is
based on research and consumer insights with an emphasis on creativity and
artistry.
 Media – various media have been used by advertisers including print, newspaper,
outdoor, broadcast and digital media. Targeting ads to prospective buyers is done
by matching their profiles to media audiences.
 Evaluation – effectiveness means meeting the stated objectives, and in order to
determine if that has happened, there must be evaluation methods planned into the
strategy.

COMMON TYPES OF ADVERTISING

 Brand Advertising – the most visible type of advertising, is referred to as national

or consumer advertising. Brand advertising focuses on the development of a long-
term brand identity and image.

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  Retail Advertising or Local Advertising – focuses on retailers, distributors, or
dealers who sell their merchandise in a certain geographical area; retail
advertising has information about the products that are available in local stores.
The objective focus on stimulating store traffic and creating a distinctive image for
the retailer.
 Direct-response Advertising - tries to stimulate an immediate response by the
customer to the seller. It can use any advertising medium, particularly direct mail
and the Internet. The consumer can respond by telephone, by mail, or over the
Internet, and the product is delivered directly to the consumer by mail or some
other carrier.
 Business-to-Business (B2B) Advertising – also called Trade Advertising, is sent
from one other. It includes message directed at companies at companies
distributing products as well as industrial purchaser and professionals, such as
lawyers and physicians. Advertisers place most business advertising in
professional publication that reach these audiences.
 Institutional Advertising – also called Corporate Advertising, focuses on
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establishing a corporate identity or winning the public over to the organizations

point of view. Example, tobacco companies runs ads that focus on the positive
things they are doing.
 Non-profit Advertising – is used by not-for-profit organizations, such as charities,
foundations, associations, hospitals, orchestras and volunteers (Red Cross). It is
also used to solicit donations and other forms of program participation.
 Public Service Advertising – provides messages on behalf of a good cause, such as
stopping drunk driving or preventing child abuse. Also called Public Service
Announcements, advertising and public relations professionals usually create
them Pro Bono (Free of Charge) and the media donate the space and time.
 Special Advertising areas such as health care, green marketing, agribusiness and
international address specific situations or issues and developed specialized
advertising techniques and agencies.

WHAT ROLES DOES ADVERTISING PERFORM

Advertising obviously plays a role in both communication and marketing. In addition to

marketing communication, advertising also has a role in the functioning of the economy
and society.
 Marketing and Communication Roles – advertising provides information about a
product. It can also transform a product into a distinctive brand by creating a
Brand Image that goes beyond straightforward information about product features.
 Economic and Societal Roles – Advertising flourishes in societies that enjoy
economic abundance, in which supply exceeds demand. In these societies,

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 advertising extends beyond a primarily information role to create a demand for a
particular brand. It invite people to ask questions in order to generate BUZZ as well
as reinforce a high level of demand for the brand. Creating Buzz – getting people to
talk about the brand – has become an important goal of marketing communication
in this era of social media.

HOW DID THE CURRENT PRACTICES AND CONCEPTS EVOLVE

The advertising industry is dynamic and is affected by changes in technology, media, and
economic and social environment. But this history is far more than names and dates. The
timeline reflects how the principles and practices of a multi-billion-dollar industry have
evolved.

ERAS AND AGES

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The Early Age of Print – Industrialization and mechanized printing spurred literacy, which
encouraged businesses to advertise beyond just their local place of business. Ads of the
early years look like what we call “Classified Advertising” today. Their objective was to
identify products and deliver information about them, including where they are being sold.
The primary medium of this age was print. Particularly newspaper, although handbills and
posters were also important as were hand-painted signs. The first newspaper ad
appeared in 1704 for Long island Real Estate, ad Benjamin Franklin’s Pennsylvania
Gazette ran the first advertising section in 1792. The first magazine ads appeared in 1742
in Franklin’s General Magazine.

The Early Age of Agencies – in 19th century brought the beginning of what we now
recognize as the advertising industry. Volney Palmer opened the first ad agency in 1848 in
Philadelphia. The J. Walter Thompson agency formed in 1864, the oldest advertising
agency still in existence.

The Scientific Era – In the early 1900s. Professionalism in advertising was reflected in the
beginning of a professional organization of large agencies, which was officially named the
American Association of Advertising Agencies in 1917. In 20th century, modern professional
adopted scientific research technology. Advertising experts believed they could improve
advertising by blending science and art. Media changes print by radio advertising in 1922.
Television commercials came on the scene in the early 1950s and brought a huge new
revenue stream to the advertising industry. In 1952, the Nielsen rating system for
television advertising became way to measure the reach of television commercials.

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 The Creative Era – the creative power of agencies exploded in the 1960s and 1970s, a
period marked by the resurgence of art, inspiration and intuition. Three creative geniuses.
Internet beginning.
 Leo Burnett was the leader of what came to be known as the Chicago school of
Advertising. He believed in finding the “inherent drama” in every product. He also
believed in using cultural archetypes to create mythical characters who
represented American values such as the Jolly Green Giant, Tony the Tiger, the
Pillsbury Doughboy and his most famous campaign character the Marlboro man.
(www.leoburnett.com)
 David Ogilvy, founder of Ogilvy & Mather Agency, He created enduring symbols. He
develops research-based image advertising and storytelling. (www.ogilvy.com)
 William Bernbach – focuses on the art of persuasion. (www.ddb.com)

The Era of Accountability and Integration – starting in the 1970s, the industry-wide focus
was on effectiveness. To be accountable, advertising and other marketing communication
agencies recognized that their work had to prove its value. Social responsibility is another
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aspect of accountability. Email begins. Integrated marketing communication and web is

born. Until the recession began in December 2007 and subsequent headlines about bad
business practices such as “Ponzi scheme “and bank lending practices.

The Social Media Era – Advertising and marketing communication practices have been
turned upside down in the years since 2008. Digital and online communication became
important in brand communication even earlier in the new century with most brands and
companies setting up websites and experimenting online advertising worldwide.

Exercise

Advertising Exercise:

1. List down products with specified brand which uses or have used the common
types of advertising. Give three in each type.

Discussion Questions:

Directions: Directions: Read carefully and comprehend the topics above. Answer in a
clear, concise, and organized manner. Provide example(s) if necessary. Consider the
rubric below.

1. In class, Mark tells the instructor that all this “history of advertising” stuff is
irrelevant. The instructor asks the class to consider why it is important to
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 understand the historical review of advertising definitions and practices. What
would you say in support of Mark’s view or change his mind?

Rubric
Content/Ideas 10 points
Error Free (grammar/spelling) 3 points
Timeliness (submission) 2 points
TOTAL 15 points

Assessment

Directions: Using wordpress.com, create a Blog and write an awesome Blog Post which
will emphasize your full understanding on the definition of advertising, its role and its
basic functions. You can have free access upon registration in wordpress; you don’t need
to pay any amount. Once done, you may upload your output to our LMS Account and post it
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in your facebook account. Consider the rubric below.

W
E
I
G
H
CATEGORY 4 3 2 1 T

Writing Student devotes a lot Student devotes Student devotes Student X2

Process of time and effort to sufficient time and some time and devotes little
the writing process effort to the writing effort to the time and
(prewriting, drafting, process (prewriting, writing process effort to the
reviewing, and drafting, reviewing, but was not very writing
editing). Works hard and editing). Works thorough. Does process.
to make the blog post and gets the job done. enough to get by. Doesn\'t seem
wonderful. to care.
Introduction First paragraph has a First paragraph has a A catchy No attempt X2
\"grabber\" or catchy weak \"grabber\". beginning was was made to
beginning. attempted but catch the
was confusing reader\'s
rather than attention in
catchy. the first
paragraph.

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 Focus on The entire story is Most of the story is Some of the No attempt X2
Assigned related to the related to the story is related has been
Topic assigned topic and assigned topic. The to the assigned made to relate
allows the reader to story wanders off at topic, but a the story to
understand much one point, but the reader does not the assigned
more about the topic. reader can still learn learn much topic.
something about the about the topic.
topic.
Spelling and There are no spelling There is one spelling There are 2-3 The final draft X1
Punctuation or punctuation errors or punctuation error spelling and has more than
in the final draft. in the final draft. punctuation 3 spelling and
Character and place errors in the punctuation
names that the author final draft. errors.
invented are spelled
consistently
throughout.
Creativity The blog post contains The blog post The blog post There is little X3
many creative details contains a few contains a few evidence of
and/or descriptions creative details creative details creativity in
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that contribute to the and/or descriptions and/or the blog post.

reader\'s enjoyment. that contribute to the descriptions, but The author
The author has really reader\'s enjoyment. they distract does not
used his imagination. The author has used from the story. seem to have
his imagination. The author has used much
tried to use his imagination
imagination.

Reflection

Reflective Task: Final Countdown

Purpose: To engage students in reflecting, evaluating, and integrating their learning.

Description: This activity emphasized the important role that reflection plays in the
learning process. Final Countdown provides learners with a framework for reflection,
evaluation, and integration of new knowledge into previously learned material.
Procedure:
1. Reflect over what you have learned about the topics being reviewed.
2. Using the Final Countdown worksheet, write the three most important things you have
learned about the topic on the bottom tier.
3. On the second tier of the Final Countdown, write two questions you still have about the
topic. These should be questions that you expect to get answers to; likewise, questions
you will get answers to.
4. Finally, on the top tier of the Final Countdown, write one way in which what you have
learned relates or connects to the topic(s) previously learned.

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 5. Draw this image in a short bond paper to serve as your Final Countdown Worksheet,
and fill-in your answers.

Rubric
;
Content/Relevance 8 points
Error Free (grammar/spelling) 4 points
Timeliness (submission) 3 points
TOTAL 15 points

Resources and Additional Resources

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Moriarty, S., Mitchell, N., Wells, W. (2015). Advertising and IMC: Principles & Practices. 10th
Edition. Pearson Education Limited.

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