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Team Members

Federico Di Rosa

Joel Forsman

Noora Tolvanen

Taehee Lee

Robert Frankó

Austėja Kibildytė

Edita Jakubova

Schedule

Intro video - 8 min

History (Robert

Frankó) - 10 min

Forms of Advertising (

Joel Forsman

, 

Federico Di Rosa

,

Taehee Lee) - 15min

Group Task - 30min (

10min of Brainstorming, 20min of Presentation)

Break - 15min

The case of Coca-Cola (

Austėja Kibildytė,

Edita Jakubova)

- 15min

Positives & Negatives of Advertising + Conclusion (

Noora Tolvanen) - 10min

Total : 88min

Summary

1. History of advertising

Ancient advertising

Egyptians used papyrus to make sales messages and wall posters. Commercial messages and political campaign displays have been found in the ruins of Pompeii and ancient Arabia. Lost and found advertising on papyrus was common in Ancient Greece and Ancient Rome. Wall or rock painting for commercial advertising is another manifestation of an ancient advertising form, which is present to this day in many parts of Asia, Africa, and South America. The tradition of wall painting can be traced back to Indian rock art paintings that date back to 4000 BC. History tells us that Out-of-home advertising and billboards are the oldest forms of advertising.

Middle Age

As the towns and cities of the Middle Ages began to grow, and the general populace was unable to read, signs that today would say cobbler, miller, tailor or blacksmith would use an image associated with their trade such as a boot, a suit, a hat, a clock, a diamond, a horse shoe, a candle or even a bag of flour. Fruits and vegetables were sold in the city square from the backs of carts and wagons and their proprietors used street callers (town criers) to announce their whereabouts for the convenience of the customers.

Early version of the supermarket noticeboard has been developed, Parisians seeking or offering jobs, or wanting to buy or sell goods, put notices at the office on Île de la Cité. So that the maximum number of people had access to this information, the first French newspaper, La Gazettehas been created in 1631. The personal ad was born.

As education became an apparent need and reading, as well as printing, developed advertising expanded to include handbills. In the 18th century advertisements started to appear in weekly newspapers in England. These early print advertisements were used mainly to promote books and newspapers, which became increasingly affordable with advances in the printing press; and medicines, which were increasingly sought after as disease ravaged Europe. The Great Fire of London in 1666 was a boost to this type of advertisement, as people used newspapers in the aftermath of the fire to advertise lost & found, and changes of address. These early line ads were predominantly informative, containing descriptive, rather than persuasive language. Also, false advertising and so-called "quack" advertisements became a problem, which ushered in the regulation of advertising content.

Coffee is a good example how advertisement also started to spread. Arabians kept coffee as a secret, refused to export or share the method of grinding asnd brewing. The secret go out, and coffee spread to Italy, and throughout Europe, served at coffeehouses. The rapid spread of coffee as both a drink and a pattern of behaviour (coffeehouses became social gathering places) is in no small part due to the advertising of coffee's benefits in newspapers.

The first advertisement in London for coffee appeared in 1657:

In Bartholomew Lane on the back side of the Old Exchange, the drink called Coffee (which is a very wholesome and Physical drink, having many excellent virtues, closes the Orifice of the Stomach, fortifies the heat within, helps Digestion, quickens the Spirits, makes the heart light, is good against Eye-sores, Coughs, or Colds, Rheums, Consumptions, Head-ache, Dropsy, Gout, Scurvy, Kings Evil and many others) is to be sold both in the morning and at three o'clock in the afternoon.

19th century

Packaging and branding were unknown and unnecessary before the Industrial Revolution. However, once technological advances enabled the mass production of soap, china, clothing etc, the close personal links between buyer and seller were broken. Rather than selling out of their back yards to local customers, manufacturers sought markets a long way from their factories, sometimes on the other side of the world. This created a need for advertising. Manufacturers needed to explain and recommend their products to customers whom they would never meet personally.

New technologies were also making newspapers cheaper, more widely available, and more frequently printed. They had more pages, so they could carry more, bigger, ads. Simple descriptions, plus prices, of products served their purpose until the mid nineteenth century, when technological advances meant that illustrations culd be added to advertising, and colour was also an option.

As the economy expanded during the 19th century, advertising grew alongside. In the United States, the success of this advertising format eventually led to the growth of mail-order advertising.

In June 1836, French newspaper La Presse was the first to include paid advertising in its pages, allowing it to lower its price, extend its readership and increase its profitability and the formula was soon copied by all titles. Around 1840, Volney B. Palmer established the roots of the modern day advertising agency in Philadelphia. In 1842 Palmer bought large amounts of space in various newspapers at a discounted rate then resold the space at higher rates to advertisers. The actual ad - the copy, layout, and artwork - was still prepared by the company wishing to advertise; in effect, Palmer was a space broker. The situation changed in the late 19th century when the advertising agency of N.W. Ayer & Son was founded. Ayer and Son offered to plan, create, and execute complete advertising campaigns for its customers. By 1900 the advertising agency had become the focal point of creative planning, and advertising was firmly established as a profession. [6] Around the same time, in France, Charles-Louis Havas extended the services of his news agency, Havas to include advertisement brokerage, making it the first French group to organize. At first, agencies were brokers for advertisement space in newspapers. N. W. Ayer & Son was the first full-service agency to assume responsibility for advertising content. N.W. Ayer opened in 1869, and was located in Philadelphia.

Advertising agencies in the latter part of the nineteenth century that advertising became a fully fledged institution, with its own ways of working, and with its own creative values. These agencies were a response to an increasingly crowded marketplace, where manufacturers were realising that promotion of their products was vital if they were to survive. They sold themselves as experts in communication to their clients - who were then left to get on with the business of manufacturing. Copywriters emerged who – for a fee – would craft a series of promotional statements. They joined forces with professional illustrators who began to produce designs specifically for the purpose of an advertisment.

20th century

At the turn of the century, there were few career choices for women in business; however, advertising was one of the few. Since women were responsible for most of the purchasing done in their household, advertisers and agencies recognized the value of women's insight during the creative process. Modern advertising was created with the innovative techniques used in tobacco advertising beginning in the 1920s, most significantly with the campaigns of Edward Bernays, which is often considered as the founder of modern, Madison Avenue advertising. The tobacco industries was one of the firsts to make use of mass production, with the introduction of the Bonsack machine to roll cigarettes. The Bonsack machine allowed the production of cigarets for a mass markets, and the tobacco industriy needed to match such an increase in supply with the creation of a demand from the masses through advertising.

Poster advertising was much more common in Europe than the US before 1914. When war broke out, all the various governments involved turned to posters as propaganda. Hitler concluded (in Mein Kampf) that Germany lost the war because it lost the propaganda battle: he did not make the same mistake when it was his turn. One of the other consequences of World War I was the increased mechanisation of industry – and increased costs which had to be paid for somehow: hence the desire to create need in the consumer which begins to dominate advertising from the 1920s onward.

After Second World War by the introduction of "hire purchase" agreements, consumers treated themselves to costly new goods such as cars, washing machines, and radiograms, which all needed ads. Advertising quickly took advantage of the new mass media, using cinema, and to a much greater extent, radio, to transmit commercial messages to a widespread audience. The first radio ad appeared in 1922, and, because direct selling was not permitted, broadcast a 'direct indirect' message about the benefits of living in a particular development in Jackson Heights, New York.

Radio

The Wall St. stock market crashed in 1929, and consumers cut back on newspapers and listened to the radio in even greater numbers. Cinema attendance remained buoyant - picture palaces offered the only avenue of escapism in the economic gloom. The tide of advertising dollars that had flowed into print publications stemmed considerably, and then started to turn in other directions.

Advertising spending plummeted by around 60% after the Crash, and didn't return to 1920s levels until the early 1950s - although radio advertising spend did increase significantly in this period. Items were marketed as necessities, rather than luxuries.

One agency that thrived during the Depression was Young & Rubicam. They focused on research and facts, investigating the impact of successful and failed campaigns. In 1932, agency head Raymond Rubicam hired an academic named George Gallup as the first ever market research director in adland. Gallup developed a lot of the techniques still used today to find out which ads work and why - questionnaires, focus groups, listeners' panels - as well as devising audience measurement techniques (the coincidental method for radio, and the impact method for print and TV).

Television

The 1950s not only brought postwar affluence to the average citizen but whole new glut of material goods for which need had to be created. Not least of these was the television set. In America it quickly became the hottest consumer property - no home could be without one. The UK and Europe, with government controlled broadcasting, were a decade or so behind America in allowing commercial TV stations to take to the air, and still have tighter controls on sponsorship and the amount of editorial control advertisers can have in a programme.

Sylvester Weaver came up with the idea of selling not whole shows to advertisers, but separate, small blocks of broadcast time. Several different advertisers could buy time within one show, and therefore the content of the show would move out of the control of a single advertiser - rather like a print magazine. This became known as the magazine concept, or participation advertising, as it allowed a whole variety of advertisers to access the audience of a single TV show. Thus the 'commercial break' as we know it was born.

A lot of new, 20+ storey office buildings were constructed there in the late 1940s and early 1950s, and these prestigious skyrise workspaces attracted agencies who wanted to exude glamour and panache, and take advantage of all the fine restaurants that thronged the street level. By the 1950s, advertising was considered a profession in its own right, not just the remit of failed newspapermen or poets.

Internet

With the advent of the ad server, marketing through the Internet opened new frontiers for advertisers and contributed to the "dot-com" boom of the 1990s. Entire corporations operated solely on advertising revenue, offering everything from coupons to free Internet access. At the turn of the 21st century, a number of websites including the search engine Google, started a change in online advertising by emphasizing contextually relevant, unobtrusive ads intended to help, rather than inundate, users. This has led to a plethora of similar efforts and an increasing trend of interactive advertising.

The share of advertising spending relative to GDP has changed little across large changes in media. For example, in the US in 1925, the main advertising media were newspapers, magazines, signs on streetcars, and outdoor posters. Advertising spending as a share of GDP was about 2.9 percent. By 1998, television and radio had become major advertising media. Nonetheless, advertising spending as a share of GDP was slightly lower—about 2.4 percent.

A recent advertising innovation is "guerrilla marketing", which involves unusual approaches such as staged encounters in public places, giveaways of products such as cars that are covered with brand messages, and interactive advertising where the viewer can respond to become part of the advertising message. Guerrilla advertising is becoming increasingly more popular with a lot of companies. This type of advertising is unpredictable and innovative, which causes consumers to buy the product or idea. This reflects an increasing trend of interactive and "embedded" ads, such as via product placement, having consumers vote through text messages, and various innovations utilizing social network services such as Facebook, Twitter and so on.

2. Forms of advertising

Newspapers

Almost half of a newspaper is made up of ads. Local papers have ads of local companies, but nationwide newspapers also advertise products that are sold all over the country. Most papers are published daily so new ads , like products on sale or movie openings can be placed every day. Newspapers sell advertising space in all sections of their paper. In most cases ads of products will be put in the section they are related to.

Display ads are big ads that can take up from a few cm to a full page . They have illustrations, headlines and lots of information on a certain field.

Classified ads appear in a separate section of a newspaper . Most of them only have a few lines and list homes, cars for sale, furniture or other things that private people want to sell or buy.

Magazines

Magazines mostly appear all over the country and are used by national advertisers. In contrast to newspapers they are read when people have more time. They are kept for a few weeks or even months. Better printing quality and color ads are among the advantages of magazines.

Many special magazines are made for groups of people. The ads that appear there are especially for these groups. A computer magazine, for instance , may have many ads related to computers, printers or scanners.

Direct mail

Direct mail consists of leaflets, brochures , catalogs or letters, that are mailed directly to people. Mail-order companies profit from this kind of advertising. Some mailing lists send information to all the people others only have special lists according to the jobs that people have or their age or income. Direct mail costs a lot of money, but advertising companies can be sure that they will reach the people.

Radio
Local advertisers place about 70 per cent of advertising on the radio. An advantage of radio is that people listen to programs while doing other things. In some cases radios are on the whole day.
Commercials last about 30 seconds. Radio stations are more specialized in what they broadcast. One radio station offers pop music and has a younger listening audience; the other may broadcast classical music with older listeners. The ads can be chosen according to the group of people who listen.

Television
Television combines sound and moving images. It is one of the most expensive forms of advertising, but on the other hand it reaches a very wide audience.

Advertisers buy time from TV stations to broadcast their commercials. This time is cheaper when fewer people watch TV, as in the early morning hours and gets very expensive during prime time evening shows.

Sometimes advertisers pay a lot of money to get their ads on TV during special programmes, like the Olympic Games or Super Bowl in the United States (the average cost of a 30s TV spot during this game has reached 3 million dollars in 2011).

Infomercials have become very popular in the last few years. They are normal TV shows that focus on the sales of certain products. Details on how to buy the product (telephone numbers etc..) are repeated many times during the programme.

Some TV stations also sell advertisers product placements.

Advertising agencies often use humour as a tool in their creative marketing campaigns. In fact, many psychological studies have attempted to demonstrate that the effects of humour can enhance advertising persuasion.

Animation is also very used in ads.

A good examples is the Duracell Bunny advertisement series. it started in 1973 and the point of the story is that the bunny powered by a Duracell can continue working for a longer amount of time before its battery runs down.

Internet

Internet advertising is becoming more and more important. Especially young people spend less time watching TV and more time on the Internet. The Internet has the advantage of being available to people around the world at all times.

Ads range from banners to pop-ups. Companies that spend a lot of money on advertising often create their own Internet site for a certain product. Web users are often asked to fill out a form that asks them about their daily routines, where they live, how old they are, how much they earn etc.. Companies use this information to find out what kind of people visit their websites. Sometimes ads are sent via email. Because a lot of unwanted emails (spam) are sent throughout the world many people don’t like this.

Other forms

Transit signs are small posters placed on trains or buses.Window displays are designed to draw a customer into a store. They highlight certain products and encourage the customer to come into the shop. Some stores have their own department in charge of shop windows.

Large colourful outdoor signs can easily catch the attention of by-passers. But these ads must be short and simple because viewers see them only for a few seconds.
The main signs are posters, billboards and electronic displays. Billboards are owned by local companies that rent them to advertisers. Sometimes ads are painted on buildings. Electronic billboards have large displays where ads change very quickly. They are the most expensive kind of outdoor signs.

Future figure with digital technology

Technology has become an essential part of our daily routine, which we cannot live without. It’s everywhere and accompanies us everywhere we go. People communicate with each other in many ways. Digital technology, in the form of smart phones, web-based television and tablet PCs, is changing the world for advertisers.
A few decades ago advertising was much simpler. Advertising agencies concentrated on print media, television and radio to get their message across to the consumers. This has changed today. People are concentrating on digital media and advertising has to move there.
More and more people do not only watch commercials on TV but also see ads on their smartphone or tablets. Modern television is turning into a powerful computer that has access to the Internet. People can play games or watch interactive videos.
Consumers today can chose to interact with ads in a new way. They can take part in surveys or feedbacks or just switch them off if they want to. They can also promote a brand by suggesting how good a product is to other people. Social media networks like Facebook and Twitter also play a part in a global advertising strategy.
People also want relevant ads on their screens. While browsing the internet for information on washing machines it would be helpful for such ads to pop up. Internet users click on ads more often if they look for information or want to buy something.
Advertisers of the future face a great challenge: using new technology to form new relationships with customers and create new business models.

3. The case of Coca-Cola

Introduction
It is not a secret that every company needs strong advertising strategy or campaign in order to be known & recognized among its customers. As long as adverts are supposed to influence & persuade targeted group to buy or use the products & services, it’s obvious, that the adverts must be easy understood, related to customers lifestyle, needs & appeal to their feelings. So one of the most important tasks for the companies is to get to know their target audience really well & try to become part of their lives.
Right now we are going to present you a case of “Coca-Cola” company – how they create their image from the 19th century until present in printed ads & we will try to show you how the ads of coke are related to the target audience, historic, cultural & social changes.

A little bit about the company
So the coke was born in 1886, in Atlanta, USA, when pharmacist John Pemberton produced brown colored syrup & brought it to Jacob’s pharmacy, where it was mixed with carbonated water. After the sampling it was considered as “Delicious & refreshing” (a theme that continues to echo today), so they started to sell it for 5 cents. Thinking that "the two Cs would look well in advertising," Dr. Pemberton's partner and bookkeeper, Frank M. Robinson, suggested the name Coca-Cola and penned the now famous trademark in his unique script. The recipe & logo was bought by business tycoon Asa Candler & in 1892 the coca-cola company was constituted. Candler was one of the first people to make advertising pay off in a big way for their company.

Coca-Cola marketing strategy aspects
You  probably have noticed, that coca cola has many different ads. In order to stay attractive, interesting  & active in the global market, company keeps on updating by creating new ads, slogans, labels. all of them are extremely close to their customers, their environment & values.
From the first day of companies existance, coca cola relates all of their advertising campaigns with marketing principle, which says „the range cannot be all-embracing & the target group CANNOT be treated as whole“. So this is why the coca cola company decided to show the world, that it cares about every single customer, despite their gender, skin colour, social status or personality. All the ads are really simple, easy understood, & these aspects  create the loyalty of the customers & a need to buy their production.

[Advertising]

Direct marketing
One of the first steps in making the drink well known for a wider range of people, was direct marketing. Pemberton & Robinson  decided to give away coupons in the streets of atlanta, so you could get the drink for free. In addicion, they took the phone book, & started sending coupons to people p.o. boxes . this is how the news about this new drink started to spread from lips to lips (which was considered one of the strongest ways of advertising). After buying the recipe, businessman candler used a little bit improved form of this advertising – the man sent couple of boxes full of coke to several shops & cafes, & he also added 128 coupons, but this time, to buy the drink just for 5 cents. As long as everybody enjoyed the drink & the name of it was starting to become pretty popular, different shops wanted to start collaborating with the company – this is how coke name appeared on calendars, clocks, scales, registers. In order to reduce marketing expences & widen its range, the coca-cola company decided to collaborate with fridge company „Admiral“ – if you buy their frigde, you are getting 288 bottles of coke for free. So step by step, the company was rising & started to establish themselves in the market.

2000 – present
The 20th century is not an exception – coca cola company still tries to be extremely close to the target audience, represent urgent topics & be like a life companion.
In the ads you can notice the rise of IT, because they are so colorful, full of real & created characters. As the topic of global warming is becoming more & more urgent, coca cola reminds people to recycle. As the beauty standarts change – skinny women are the benchmark, so there are more & more ads of coca cola light, diet coke, or zero coke.
In 2006 company launhed a new campaign, called „Live on the Coke side of life“. The company focused on cuople of urgent problems of their customers & decided to help them solve it:

·         promote a healthy lifestyle (as fast food industry grows so fast);

·         focus on individualism & self expression (as the people are becoming as one unit, grey mass);

·         solve cultural disconnection;

·         & create an emotional connection.

As people are experiencing so many stressful situations,  the main theme centers around people drinking Coke and feeling happy and positive. The campaign has optimistic, positive vibes & bright colors.. It encourages people to see the world in full color.
The latest campaign is called „Open happiness“. As long as the world seems to be so stressful & serious these days, Coca-Cola decided to spread some happiness. they placed vending machines which are called „Happiness machines“ in various places including London, India, Germany, Hungary, Hong Kong and more. It looks like an ordinary machine, in the brand’s iconic red and white. But instead of it’s logo, this machine says “Hug Me,” in the logo font. And instead of money, this machine responds only to the currency of hugs. Specifically, you have to squeeze the sides of the soda dispenser in a specific way to make a free Coke come out (the video). so the company continues being close to the client & this time delivers  doses of happiness in an unexpected, innovative ways. they hope it goes viral throughout the world, leading to outbreaks of random hugging, all with the Coca-Cola brand in mind.

Conclusions

·         Because of the strong marketing & advertising, the coca-cola company  is one of the longest surviving brands & thus considered among the most successful companies ever;

·         Coca-Cola has always relied in advertising to promote & market their brand. This is why they are always on top of their game, after having been in the market for more than a century;

·         Coca-Cola advertising has indeed greatly affected American pop culture & became a part of it;

·         The company lives & grows together with its customer.

4. Negative and positive aspects

of advertising

Negative Aspects
When you start thinking of advertising and what kind of effects it has on our everyday life, it’s probably easier to come up with negative aspects than positive things. What kind of negative things would you come up with?
Even if we don’t want to think this way, the media as well as advertisements are able to mold our opinions and feelings about the world and ourselves. The most hurtful group is probably children and adolescents, who are very exposed to others opinions and are easily persuaded to think a certain way.
There has been a lot of discussion, mostly in America, about the effects that fast food advertisement has to children as well as obesity. In the US children get exposed to over 40 000 ads a year. There can be skinny idols and famous people promoting non-nutritive products and giving them a false message. In the other end there are ads and fashion magazines full of photoshopped models giving the impression that everyone should look like them. Children are also easily persuaded to think that they need to have certain toys – also the whole toy series – in order to be popular and able to play with other kids who have them. The kids however aren’t usually the ones actually buying the new toys, but can be very obsessive about them and effecting their parents.

Advertising has also the possibility of giving false promises. We girls are probably more familiar to this, with all the ads of mascaras making the lashes 40 times longer and all the crèmes that take away the proofs of last night’s party. There has been so many clinical studies that prove that there is no way a face cream could have the ability to make wrinkles disappear, but still we choose not to believe them and keep believing what Jennifer Lopez and Penelope Cruz tell us.
False promises are also given in pharmaceutical ads when the side effects are printed in small text or spoken quickly by a voice over. This can be very harmful when it comes to things like dieting pills, where people have not read the instructions, thinking that the product is safe because it’s sold in drugstores, and suffered of terrible side effects.
The negative sides of ads are not a new thing, the tobacco and alcohol ads have been a problem since the first ads were published. Nowadays you can’t even have the tobacco products visible in stores and you need to ask for the product precisely. The ads for alcohol have not yet been banned, but there could become a day in the future when that happens as well. Certain kind of advertisement for promoting alcohol products is already forbidden in Finland, the ad cannot say that drinking is good for you, promote drinking and driving, or promote the alcohol percentage, etc.-video-

Positive Aspects
But what about the positive aspects of advertisement? After all, it is in a way the only way that the company can get their product or service known and get profit. And more there are successful companies, the more there is competition in the field and it benefits also the society. The more people want to consume, the more companies need products or services to be produced, which can provide more jobs etc. This of course happens only if the production isn’t outsourced.
Advertisements give the consumers more knowledge of different options and we are able to compare things easier. And of course, if there weren’t ads at all, we wouldn’t be able to be aware of new innovations – whether good or bad – that could possibly help us or improve our lives.
There is also possibilities to do good by advertising, such as donating certain amount of bought products into charity or promoting charities through co-operative businesses.
Advertising brings also a new way to promote social awareness about big issues that don’t usually cross people’s minds in normal life. –video-
Now that social media and the internet play such a big part of our lives, the investigation of false promises has become easier. Such as the charity campaign Fazer had, where they donated an amount of money for every chocolate bar purchased to build a school in Ivory Coast. This was then ripped apart in social media as well as in the press, that in fact Fazer has sub suppliers in places that might use child labor. And with the cost of the ad Fazer had done, they could have paid for the build of the school already. The new medias force businesses to be more transparent, which helps the consumers to trust them.