Future of Advertising

The future of advertising and marketing is certainly going to be much more complex and ‘colorful’. The new research and marketing methods will be used. More and more psychology starts to be used in campaigns. As it is now, will be even more developed the consumer notice marketing and technology driven which is constantly improved. According to Winsor (2010) the future advertising will develop the relationship between the brand and the consumer more, the creativity will be the clue because of the lack of ‘ideas which were not already implemented’ and mostly the brands will have to face the Challenge of Innovation and speed in which future world will exist. The major role in the future of advertising will play the social network. Facebook, Tweeter and other social portals are the part of everybody’s life nowadays. According to Clemons (2007) the paid advertising showed on TV or radio will be less persuasive than the PR advertising or social networking. These will be and slowly became already tool to reach the most of the target audience.

Evolution of Advertising - Marketing perspective

(Goodyear, 1999)

Stages of Marketing Evolution:

1. Commodity selling - no competition and almost no choice between goods available.
2. Marketing - beginning of brand itself – product with a name on it. This characterizes with the identification and a reassurance of a particular quality or character of good. In this case the advertising is minimal, focusing mostly on the informative side about the existence of the product and slowly convince the consumer that this is what he/she wants
3. Classic Branding - states that brand started to play a major role. Extra segmentation took place to identify the consumer more precisely and connection with the consumer’s life trying to fit in his/her culture and way of living
4. Consumer driven Marketing - Icon and logo
5. Postmodern Marketing - strong stimulus, this stage the most important speed of research

References:

1. Goodyear, M., 1999. The Evolution of Marketing. ESOMAR

Evolution of Advertising - Consumer perspective

(Valentine & Gordon, 2000)

Major models of thinking about consumer:

1. The marginalized consumer - buys everything what the market offers, no competition and almost no choice between goods available.
2. The statistical - primary beginnings of ‘brands’ and advertising, quantity research.
3. The secretive - ‘(…) It is not what advertising does to consumers but what consumers do with advertising'.
4. The sophisticated - consuming advertising as well as the product itself.
5. The satellite - brand evolved into ‘person’ with its own characteristic and personality.
6. The multi-headed consumer - The time of the consumers' decision the most crucial.

References:

1. Valentine, V. & Gordon, W., 2000. The 21^st Century Consumer: A New Model of Thinking. International Journal of Market Research. 42 (2)

Advertising in PESTEL

'Advertising is any paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor'

(Kotler et all., 2008)

Political: Connected with legal aspects, changes of the advertising the first example could be cigarettes’ market. The government of the United Kingdom according to BBC (2005) ended the TV campaigns of cigarettes in mid 1990s. After that year the advertising and sponsorship was constantly removed from all medias because of the concerns about health and life of the public. The similar reason caused the restriction about the advertising of alcohol where according to Institute of Alcohol Studies (2010) the TV and radio advertising changed. The advertising can appear in time where the audience under 18 years old are not affected. As well as many too sexual or too violent advertising were removed from media after the government’s intervention.

Economical: Advertising started to be the main tool and not-avoidable part of the market. Nowadays it has not only the informative transmission but can lead to the massive success of the brand or the massive failure. According to De Mooij (2003) the old myth about the global advertising usefulness could lead to the losses of consumers. Years ago there was an opinion that for example all young people around the world has similar preferences and personalities. Nowadays it is known that the successful advertising for youth in one country is not necessarily effective in the other.

Social: advertising it became a part of the life of all people around the world. As written in details later, according to Goodyear (1999) the advertising became an entertainment for people as well as the part of their personality.

Technological: advertising changed significantly. Starting from the newspaper ending on every corner. According to Howe (2007) the advertising nowadays hits all medias and channels to reach its target audience. Starting from the press, going to TV, radio, street billboards, internet, tube etc. It changed the channels as well as the way how it shows up in those.

Environmental: advertising evaluated in the much more environmental friendly tool than in the past. Nowadays consumers started to be more aware about the dangerous results of people’s intervention in nature and much more appreciate products which are environmentally friendly. As well in terms of for example organic food which is produced in more natural way makes people think it is more healthy. That matter started to be much more crucial in nowadays consumers life than in the past.

Legal: Mainly the same as in section of Political factors.

References:

1. De Mooij, M., 2003. Convergence And Divergence in Customer Behavior. International Journal of Advertising. 22 (2)
2. Goodyear, M., 1999. The Evolution of Marketing. ESOMAR
3. Howe, C., 2007. The Evolution of Advertising: From Radio to TV to Internet Videos. Seeking Alpha
4. Institute of Alcohol Studies, 2010. Alcohol & Advertisin
5. Kotler, P., Armstrong, G., Wong, V. & Saunders, J., 2008. Principles of Marketing. Pearson Education: England