Topic1:Introduction,HistoryofAdvertising

Ibelieveitisimportanttounderstandadvertisinginanevolutionaryperspectivesoasto
appreciatethereasonsforadvertisingsuseinamodernindustrializedsociety.
Advertisingwasspawnedbyamarketdrivensystemanddevelopedinacapitalistic,free
enterprisemarketeconomyinwhichmassproductionutilizedadvertisingasanessential
tool.Urbanization,transportationexpansionandcommunicationadvancementsall
facilitatedtheuseandgrowthofadvertising,theresultofwhichisthatadvertisingis
firmlyentrenchedasabusinessfunctioninoursocietywithdeeplyrootedeconomicand
culturalfoundations.
Modernadvertisingexistsasamassmediacommunicationandisaresultoffourmajor
developments:
1. theriseofcapitalism:oursocietyreliesonaspectsofcapitalisminitseconomic
system.Organizationscompeteforresources,calledcapital,inafreemarket.
Competingforresourcesinvolvesstimulatingademandforgoods.Ifsuccessful,
thecapital(ormoneyorothergoods)becomespayment.
2. theIndustrialRevolution.Thisbeganabout1750inEnglandandspreadtothe
UnitedStateswheretheWarof1812boosteddomesticproduction.The
emergenceoftheprincipleofinterchangeablepartsandtheperfectionofthe
sewingmachine,bothin1850,coupledwiththeCivilWar,laidthefoundationfor
widespreadindustrialization.TheIndustrialRevolutionchangedAmerican
societyfromhouseholdselfsufficiencytoamarketplacedependence.Whatthat
meansisthattheindividualcouldnolongerproduceallgoodsathome(i.e.farm
cowformilk,chickensforeggs,weavetheirowncloth,growtheirown
vegetables).Movingtothecityforemploymentinafactoryguaranteedasteady
incomewithwhichtobuyneededgoods.Otherdevelopmentssuchasthe
revolutionintransportation(i.e.HenryFordsassemblylinebeltforproductionof
theModelTFord)allowedforthemassproductionofgoodswhichinturn
requiresmasssellingtomovethosegoods.In1869theeastwestconnectionof
theUnitedStateswasachievedbytheconnectionoftherailroadandthis
representedthebeginningofadistributionnetwork.Movingmassquantitiesof
goodswasnecessarytosatisfytheconsumerdemandswhichadvertisinghad
created.Therapidgrowthofthepopulationaswellasthegrowthofcities
providedmarketplacesessentialtoadvertising.
3. themanufacturerspursuitofpowerwithinthechannelofdistribution.
Manufacturersrecognizedtheadvantageofpackagingproductswithtrademarks
sothattheconsumerwouldrequesttheirproductratherthanacceptthegeneric
productfromtheretailer.Theretailerselectedstockbasedonpricepoint,
allowingforthemostprofit.Bybrandingproduct,themanufacturerhas
identifiedtheirproductandgiventheconsumerchoice.Forbrandingtosucceed,
aneconomicsystemhastobeadvancedenoughtofeatureanationalmarketand

haveasufficientcommunicationanddistributioninfrastructure.Amongthefirst
companiestobrandtheirproductsincludedLevis(1873),MaxwellHouseCoffee
(1873),Budweiser(1876),CocaCola(1876),Ivory(1879
4. theriseofmasscommunication.Theadventofthetelegraphin1844setabouta
communicationrevolution.Rapidcommunicationengenderedasenseofnational
communityinthateachportionofthecountrycouldsimultaneouslyshare
momentousevents(wars,discoveries,deathsetc.).Alsotheriseofmass
circulationmagazinesnowdistributednationwidethroughtherailroadsallowed
foratypeofdemocratizationofinformationinthatproductspreviously
unavailabletothemasseswerenowavailableacrossthesocialspectrum.Mass
mediaintheUSforthemostpartwasadvertisingsupported(i.e.TVnetworks,
radios,newspapersandmagazines)andthesemediadidnotexistsolelyto
entertainorinform,butrathertomakeaprofitfromthesaleofadvertising.
TheLooseperiodsofadvertisingdevelopment:
1. PremarketingEra
Thoughadvertisingdidnotflourishbeforeindustrializationandthecreationof
concentratedurbanmarkets,itstillexistedinavarietyofforms.Babylonianclay
tabletsfrom3000B.C.wereinscribedwithmessagesfromanointmentdealer,a
scribeandashoemaker.AnancientpapyrusfromThebesrepresentedEgyptian
advertising.TheGreeksusedtowncrierstochantthearrivalofshipsandoften
accompaniedthemwithmusicians.Pompeianruinsrevealedpaintedwallsigns,
anearlyformofoutdooradvertising.
Animportantdevelopmentinthe1700swastheappearanceoftheprinted
handbillfordistribution.Thesewereprintedonengravedwoodorcopperand
wereusedtoannouncetheavailabilityofproducts.
Gutenbergsprintingpress(1438)reallybegantheeraofmasscommunicationin
thatnowprintedmaterialscouldbemassproducedwhereaspriortotheprinting
press,booksandotherprintedmaterialshadtobemadeindividually.ALondoner
printedthefirstEnglishnewspaperin1622andthefirstadappearedin1625.
Earlyadvertisingmessagestendedtobeinformationalinnatureandappearedon
thelastpagesofthetabloid.TheBostonNewsLetterissaidtobethefirst
Americannewspaperwithadvertising.Twonoticeswereprintedin1704offering
rewardsforthereturnofmerchandisestolenfromanapparelshopandwharf.
2. TheMassCommunicationEra
Fromthe1700sthroughtheearly1900s,thiseratracesthegrowthof
industrializationinAmericaduringwhichtheeconomyboomedandadvertising
helpedtoestablishamarketingsystem.Withtherailroadsconnectingthe
country,thecirculationofdailies,asnewspaperswerecalled,wasestimatedat
onemillioncopiesperday.Thepopulationdoubledfrom1870through1900
providinganexpandedlaborforceandanewconsumermarketthemiddleclass.

Thisgrowingclasswasspawnedbytheeconomicwindfallofregularwagesfrom
factoryjobs.Newmodesofcommunicationtechnology(i.e.telegraph,
typewriter,Mergenthalerlinotype[automatedtypesetting]andfasterprinting
presses)increasedcommunicationcapabilities.Modernmagazinesdeveloped
duringtheendofthenineteenthcenturyaidedbyrailroaddistributionand
illiteracywasreduced.Finally,thedevelopmentofradio,televisionandthe
internetalsofallwithinthisperiod.
Oneproblematicproductcategory,thatofcurativeorpatentmedicine,developed
followingtheCivilWarandwerethefirstproductsheavilyadvertisedona
nationalscale.Fulloffraudulentclaims,theseadspromisedacurefor
everything.Forthesoldiersreturningfromthewarwithlostlimbsandwounds
littleruralmedicalcareavailable,salesofthesedrugsflourished.Althoughthe
Congresshadbeenhesitanttoregulatethefledgingadvertisingmarket,theydid
passthefirstlegislationtocontroladvertisingclaims,thePureFoodandDrugAct
of1906.Stilladvertiserscouldsayjustaboutanything.Mostadstookthestyle
ofasalespitchandwerefilledwithdensecopyandlackedanykindof
surroundingsocialspaceorcontextinwhichtheproductwastobeused.
Duringtheyearsfrom1875through1928,advertisingusheredinwhatisnow
referredtoasaconsumerculture,orawayoflifecenteredaroundconsumption.
Advertisingbecameafullfledgedindustryandagenciesdeveloped.Itis
importanttocontextualizetheseadsastheywerecreatedduringaperiodofrapid
urbanization,massiveimmigration,laborunrest,concernsovertheabusesof
capitalism,thefirstfeministmovement(suffrage),motionpicturesandmass
culture.
By1914theFederalTradeCommissionwasenactedtopreventdeceptionin
advertisingaswellasprotectingonebusinessownerfromtheunscrupulous
behaviorofanother.Unfairmethodsofdoingbusinessareillegal.Alsoin
1914theAuditBureauofCirculations(ABC)wasestablishedtoverify
circulationclaims.PriortotheABC,publicationscalculatedtheirowncirculation
ratesobviouslycreatingcirculationfigurestosuittheirownneeds.Oncethe
ABCwasestablishedasanindependentagent,thesefiguresbecamestandardized
andaccurate.Infact,theABCcanestimatefiguressuchaspassalongreadersfor
print.
In1916,theadvertisersthemselvesestablishedtheBetterBusinessBureauasa
selfregulatorycommittee.
Advertisersformedotherorganizationstoimprovetheeffectivenessof
advertisingsuchastheAmericanAssociationofAdvertisingAgenciesin1917.
The4Asremainsthemostcomprehensiveorganizationwiththemajorityof
agenciesasmembers.

DuringWorldWarIadvertisingbecameaninstrumentofdirectsocialinteraction
andwasutilizedtoarousethepublicregardingwarrelatedissuesandthesaleof
warbonds.Thepowertopersuadethroughthiselectronicmassmediumwas
realized.
Followingthewar,theroaring20swereprosperous.TheVictorianagewas
overandthegreatsocialexperimentinthejoysofconsumptionbegan.Modesty
gavewaytosexualityandtheloveofthemodern.Advertisingencouragedthe
consumertoenjoylifeandconsumptionwasnotonlyrespectable,butexpected.
Thecitizenbecametheconsumerandadvertisinginstructedtheconsumerasto
howtobemodernandavoidthepitfallsofthisnewage(i.e.,Listerinemouthwash
taughtcustomersabouthalitosisandLifebuoysoapinstructedaboutavoiding
bodyodor).Productsweredevelopedtocurealmosteverysocialanxietyand
personalfailure.Otheradsemphasizedthemesofmodernity(i.e.publicwork
spacewasthedomainofthemalewhiletheprivatespaceofhomebecame
female).Adsbecamemorevisualwithlesscopyandshowedsociallessonsina
socialtableau(sliceoflife)thatinstructedonhowtofitin,howtobemodern.
Truckbuildingfactoriesfromthewarwereretooledfrommilitarytocommercial
andtheagesoftransportingbytruckwasborn.Truckingallowedfordoorto
doordeliverywhichinturnspurredthegrowthofchainstoresandsupermarkets.
BruceBarton,oneofthefoundersofthelargeagencyBBDO,wastheauthorofa
bestselling1924bookTheManNobodyKnowsthatportrayedJesusasthe
archetypaladman.HeblendedChristianandcapitalistprincipleswhichwasa
veryattractivemixtoapeoplestrugglingtoreconcilethetraditionalreligious
dogma,whichpreachedagainstexcess,withthenewreligionofconsumption.
3. TheResearchEra
Overthelast50yearsadvertisershavedevelopedtechniquestoidentifyandreach
narrowlytargetedaudienceswithspecificmessages.Moreover,withinthese
yearsasenseofsocialresponsibilitydevelopedwhereadvertisersrecognizedthat
publictrustwasakeytosuccess.
Theemergenceofradioasasignificantadvertisingmedium,remaineddominant
untilthe1950s.Thiscreatedanewsenseofcommunityaspeopleseparatedby
thousandsofmilesexperiencedthesameprogramming(i.e.,thefirstpresidential
addresswasbroadcastin1923byPresidentCoolidgeandthefirstfootball
broadcastin1927).In1927theFederalRadioCommission(nowtheFederal
CommunicationCommission)wascreated.
Duringthe1920sadvertisinghadbeenheroic,butbythe1930sithadbecome
villainousasthepublicbelieveditwasbigbusinessandgreed/lustthathadcaused
thecrash.Adsbecamemoretoughandthestylishadsfromthe1920schangedto
theharsher,clutteredandattentiongrabbingstyleofthetabloids.Duringthis

economiccatastrophe,advertiserswereconcernedabouttheirbusinessandsought
theadviseofadvertisingagencies.Badbusinessconditionsaregoodonesasfar
asweareconcerned,wroteBillBentonin1930ofthenewlyformedBenton&
Bowles.Howeveranangryconsumermovementencouragedmuchreformduring
thisperiod,reformwhichremainsinplacetoday.
WorldWarIIturnedtheeconomyaroundwiththeproductionofwargoods.The
CongressestablishedtheWarAdvertisingCounciltomobilizethenationforwar,
juxtaposingadvertisingwiththewareffortandthispositioningtosomedegree
rehabilitatedthetarnishedimageofadvertising.
Thoughtheeconomyimprovedfollowingthewarandconsumptionincreased,
advertisingwasstillviewedwithsuspect.Concernsabouttheriseofcommunism
andmindcontrol(i.e.,exposuretosuchphenomenonastheJapaneseKamikaze
pilots,theHitlerYouthandtheancientyeteffectiveKoreanmethodsofmind
control)aswellassuspicionsnurturedbyMcCarthyism,nuclearthreatsofthe
coldwarandpossiblealiensfromouterspace(Roswell)allleadtothecirculation
ofstoriesthatadvertisingwasusingapsychologicalsellutilizingsubliminal
advertising(subconscious).Thepublicfearedbeingseducedbyadvertisinginto
buyingthingstheydidnotwantorneed.Thebestselling1957bookTheHidden
PersuadersbyVancePackard,suggestedthispsychologicalapproach.Duringthis
periodadvertisementswerecharacterizedbyscenesofmodernity,socialpromise
andtheattributesofscienceandtechnology.
Televisiondevelopedandviewersbeganstayinghome.Politicaladvertisingand
programmingbegantogrow(i.e.theKennedy/Nixondebatesfromthe1960
electioninwhichthosewhowatchedTVthoughtthatKennedyhadwonashehad
presentedsuchacoolandattractiveimagewhereasthosewholistenedonthe
radiothoughtthatNixonhadwonashisargumentswerefarmoresubstantial).
Disposablepersonalincometripledfromthe1950sthroughthe1970s.New
homesalesincreased,collegeattendance,TVusageandairlinetravelallgrew
withadvertisingcontributingtotheeconomicgrowthofindustry.
Itisinterestingtonotethatduring1960sadvertisingwasslowtoreflectthesocial
revolutioninprogress(theeraofthehippies).Theindustrywaspredominately
whiteandmalewithminoritiesandwomeninsubservientroles.Visually
however,therewasacreativerevolutioninthatadsbecameminimalistand
graphic.
Bythe1970sandtheendoftheVietNamwar,thereelectionofRichardNixon,
andKentStateadvertisementsbegantorepresentminoritiesandwomenwere
presentedinprofessionalroles.Concernbegantobevoicedastotheeffectof
advertisingonchildren.Newer,tougherregulatorofficesweredevelopedto

demandhigherstandards.AdvertisingjudgedtobemisleadingincludedListerine
mouthwashwhichclaimeditcouldpreventandcurecolds,Campbellsoupsfor
puttingmarblesinthebottomofthebowltobolsterthelookoftheingredients,
andAnacinforclaimingitcouldrelievetension.Controlwithintheagencies
shiftedfromthecreativedepartmenttotheaccountmanagers,achangeindicating
theemphasisfromcreativeexecutionstomoreeffectivebusinesspractices.
CompaniesconsolidatedandcompaniessuchasProctor&GambleandPhillip
Morrisbecameumbrellasfordozensofseparatebrands.Themediaalso
consolidatedaswiththeTurnerempireofnetworksandGannetpapers.
Fromthe1970sthroughthe1980safragmentationoccurredwithintheeconomy.
Thiswasduetonumerousfactorsincluding:a.thegrowthincommunication
technologieswithcableofferingoptionssuchasESPN,CNN,andNickelodeon,
andtechnologiessuchastheVCR,laserdisks,specializedmagazinesanddirect
mail;b.audiencefragmentationwheretherewasnolongeratraditionalmass
market.Advertisersbegantoidentifymarketsbydemographicsandusersof
products.Televisionsplitintohundredsofchannelswhereasoncetherehadonly
been3networks.Magazinesbegantobepublishedthattailoredtospecial
interestsandnewspapersaddedfreestandinginsertssoreaderscouldchoosewhat
theywantedtoread;andc.directresponseadvertisinggrewwhiledataprocessing
systemsdeveloped.
Thebeginningofmergermaniaintheearly1980ssawmostmajorUSagencies
mergewithoneanotheraswellasforeignagenciesenteringtheUSmarket.The
impactonthecreativewasthatofdepartmentalizingaccounts(tokeepclientsthat
maybeinthesameproductcategory,officesweredesignatedashandlingoneor
theotherbutneverbothsoasnottocompromisethesecurityoftheclientswork)
andaddinganinternationalflavortothecreative.
The1980swerealsoatimeofconservatismwiththeelectionofRonaldReagan
andthereaffirmationoffamilyandcountry.Itwasalsotheageoftheinfomercial
thatwasmadepossiblein1984whentheFCCrescindedregulationslimiting
advertisingto16minutesperhouse.Aninfomercialwasalongadvertisement
thatlookedlikeatalkshowordemoandinitiallyairedinlatenightslotswith
smallaudience.Theylaterspreadtoothertimeslotswithlargeraudiencesand
creatednewethicalissuesduetothefactthattheyappearedtobenews
programmingversespaidadvertising.
Todaytheeraofadsupportedtelevisionprogrammingisoverandthereisaneed
foradvertiserstoreinventtheprocesstofitthenewwaysofreachingaudience
members.WithVCRs,TiVoandcablesystemstheviewerhastheoptionof
deletingadvertisingmessages.Viewersarealsoabletoutilizecablesystemsfor
onlineservicessuchasshoppingoneitherTVorthenet.Changesinadvertising
willeffectthewayinwhichitispreparedanddeliveredtotargetaudiences

(interactively)andmajoradvertisersareparticipatinginintegratedprogramming
tobettercontrolthecontentofnewmediawhereviewerscaninteractwith
programmingtogetfurtherinformation.
Otherchangesincludeachangeintheconceptofpowerinthedistribution
channelwithmegaretailerssuchasWalMartgainingpowerawayfromthe
manufacturers.Valuepricingisattractivetocustomersandretailersarenow
wrestingpowerfromthemanufacturerswhohaveadifficulttimegetting
consumerstodemandtheirproductswhentheretailerhasthepowerbase.Private
labelbrandsarealsodevelopingtocompetewithnationalbrandsandofferlower
prices.