Маркетинг и менеджмент.

Студентка  Пересада Я.Д.

Донецкий национальный университет экономики и торговли имени Михаила Туган-Барановского, Украина.

Научный руководитель: ассистент кафедры иностранных языков Анисимова С.А.

Донецкий национальный университет экономики и торговли имени Михаила Туган-Барановского, Украина.

Place of advertising in modern society.

 

Advertising is a means of spreading information. Advertising is a form of communication whose purpose is to inform potential customers about products and services and how to obtain and use them. Many advertisements are also designed to generate increased consumption of those products and services through the creation and reinforcement of brand image and brand loyalty. For these purposes advertisements often contain both factual information and persuasive messages. Advertising is often placed by an advertising agency on behalf of a company.

The specific objectives of advertising are as follows:

1)         To build primary demand.

2)         To introduce a price deal.

3)         To inform about a product.

4)         To build proud recognition.

5)         To increase market share.

6)         To build the company image.

7)         To develop home and overseas markets etc.

There are two types of advertising: product and corporate.

Product advertising is telling people publicity about a product in order to permit them to buy it. Advertising is an important part of the marketing function. It is used to increase sales by making a product or service known to a wider audience and by emphasizing its positive qualities.

Corporate advertising – is not directly concerned with increasing sales of a particular product or service, but more with the brand image, a company wants to present to the public. A company can advertise in a variety of ways, depending of how much it wishes to spend and the size and type of the target audience (the United Kingdom spends 6 bln of pounds each year for advertising).

Commercial advertising media can include wall paintings, billboards, street furniture components, printed flyers and rack cards, radio, cinema and television ads, web banners, mobile telephone screens, shopping carts, web popup, skywriting, bus stop benches, magazines, newspapers, town criers, sides of buses or airplanes, taxicab doors, musical stage shows, subway platforms and trains, elastic bands on disposable diapers, stickers on apples in supermarkets, the opening section of streaming audio and video, posters, and the backs of event tickets. Any place an "identified" sponsor pays to deliver their message through a medium is advertising. Covert advertising is when a product or brand is embedded in entertainment and media. For example, in a film, the main character can use an item or other of a definite brand, as in the movie Minority Report, where Tom Cruise's character John Anderton owns a phone with the Nokia logo clearly written in the top corner, or his watch engraved with the Bulgari logo. Another example of advertising in film is in I, Robot, where main character played by Will Smith mentions his Converse shoes several times, calling them "classics," because the film is set far in the future. I, Robot and Spaceballs also showcase futuristic cars with the Audi and Mercedes-Benz logos clearly displayed on the front of the vehicles. Cadillac chose to advertise in the movie The Matrix Reloaded, which as a result contained many scenes in which Cadillac cars were used. Similarly, product placement for Omega Watches, Ford, Vaio, BMW and Aston-Martin cars are featured in recent James Bond films, most notably Casino Royale.

Organizations which frequently spend large sums of money on advertising but do not strictly sell a product or service to the general public include: political parties, interest groups, religion - supporting organizations, and militaries looking for new recruits. Additionally, some non-profit organizations are not typical advertising clients and rely upon free channels, such as public service announcements.

Advertising spending has increased dramatically in recent years. In the United States alone in 2006, spending on advertising reached $155 billion, reported TNS Media Intelligence. That same year, according to a report titled Global Entertainment and Media Outlook: 2006-2010 issued by global accounting firm PricewaterhouseCoopers, worldwide advertising spending was $385 billion. The accounting firm's report projected worldwide advertisement spending to exceed half-a-trillion dollars by 2010.

While advertising can be seen as necessary for economic growth, it is not without social costs. Unsolicited Commercial Email and other forms of spam have become so prevalent as to have become a major nuisance to users of these services, as well as being a financial burden on internet service providers. Advertising is increasingly invading public spaces, such as schools, which some critics argue is a form of child exploitation.

The impact of advertising has been a matter of considerable debate and many different claims have been made in different contexts. During debates about the banning of cigarette advertising, a common claim from cigarette manufacturers was that cigarette advertising does not encourage people to smoke who would not otherwise. The (eventually successful) opponents of advertising, on the other hand, claim that advertising does in fact increase consumption. According to many sources, the past experience and state of mind of the person subjected to advertising may determine the impact that advertising has. Children under the age of four may be unable to distinguish advertising from other television programs, while the ability to determine the truthfulness of the message may not be developed until the age of 8.

Over the past fifteen years a whole science of marketing analytics and marketing effectiveness has been developed to determine the impact of marketing actions on consumers, sales, profit and market share.

Literature:

1.     Балабанова Л.В. Економіка по-англійськи: навч. посіб. Донецьк,2005.- 135с.

2.     Шпак В.К. Англійська для економістів і бізнесменів. – К.: Вища шк., 2000

3.     http//en.wikipedia.org/wiki/Advertising

4.     Сучасний маркетинг: навч. посіб. для студ. 2 етапу навч.,спец. «Маркетинг» Донецьк, 2005.-191с.