Thursday, August 22, 2013

Advertising 101: The difference between marketing and branding is this: 

Marketing is a management discipline -- when Marketers advertise they become advertisers. 

Branding is a communication discipline best delivered by advertising agencies. 
Advertisers are Manufacturers and Service Firms. Large national manufacturers of consumer products and services are the most prominent users of advertising, often spending hundreds of millions of dollars annually. Proctor & Gamble, MCI, Chrysler, Ford, etc. are examples. These firms operate in global, national, regional, or local markets -- they are MARKETERS. They can target either household consumers or businesses as their primary audience and use advertising agencies to create advertising and branding messages for these audiences. 

Trade Resellers. The term trade reseller is simply a general description for all organizations in the channel of distribution that buy products to resell to customers. Resellers can be retailers, wholesalers, or distributors. Retailers can sell in global markets (The Gap), national markets (Sears), or regional markets (Dillard’s) but focus primarily on household consumers. Wholesalers and distributors, like American Lock & Supply (which supplies contractors with door locks and hardware), are a completely different type of reseller. They focus on business buyers—either business end users or retailers—and have little need for mass media. Instead, they focus their advertising on direct mail contact or highly targeted trade publications -- they do this by hiring advertising agencies. 

Federal, State and Local Governments. The U.S. government was the 18th largest spender on advertising in the US, with expenditures exceeding $1.2 billion in 2000. The most visible government campaigns are U.S. government advertising for the armed forces recruiting and social issues. The government also spends a great deal on direct marketing by mailing government publications to businesses and consumers. The government has used integrated brand promotions when they teamed with Wal-Mart to introduce the Sacagawea golden dollar. The government is an advertiser that hires advertising agencies. 

Social organizations. Advertising by social organizations at the national, state, and local level is common. This advertising is used to stimulate demand for services and to disseminate information -- they are advertisers who hire advertising agencies. 

Advertisers have a full complement of agencies that specialize in advertising and promotion. 

Advertising agencies provide expertise to help advertisers prepare advertising programs and provide "branding" services as well as advertising services. An advertising agency is an independent organization of professionals who provide creative and business services to clients related to planning, preparing, and placing advertisements -- an agency derives the majority of its billings (revenue) from media. 

Public relations firms. Public relations firms manage an organization’s relationships with the media, the local community, competitors, industry associations, and government organizations. 

Integrated Brand Promotion is when Advertising Agencies use Advertising, Promotions, and Public Relations together to create a synergy otherwise not possible. 

An entirely new communication paradigm has emerged with the advent of digital and social mediums with two-way communication compared with traditional media's one-way communication. The difference is likened to a poster on a wall (traditional media) and a poster on a social media website where people comment on it, pass it on to others, engage in conversations about it. The difference is a sea-change in how advertising can affect two-way communication. Movie companies have discovered digital and are using it effectively - take a look for yourself.

Several movies cite their opening weekend success on social and digital media.

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