Wednesday 16 September 2009

On Advertising


My dad always tries to make a discussion about cigarette advertising. His usual line into this talk is "do the adverts encourage people to start smoking or just to switch brands?".

Well, its an unknown, but generally speaking people tend to ignore adverts on the street. People are generally pretty busy.

So why are adverts put up in locations that people will just walk or drive past. There are several. Firstly, it is to remind people that their product is still available. Secondly, it is to let us know that their product is on the market, demand creation. Thirdly, other companies advertise, so it is the classic follow the leader strategy.

However, there are two forms of advertising that make more of an impact. The first is word of mouth. "OMG, this is a really good product, I genuinely recommend it" and brand loyalty. Brand loyalty works by X is better than Y. Ergo, I am X for this reason and not Y for that reason.

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