related literature about outdoor advertising
TRANSCRIPT
CHAPTER II
REVIEW OF RELATED LITERATURE AND STUDIES
The following studies and literature lent meaning to what the researchers hoped to
describe and define the effects of billboard advertisements of TM to the buying behavior
of students of Universidad de Manila when it comes to their preferred network provider.
So far, no studies have been made yet on this particular problem.
However, researchers elsewhere had conducted studies which are closely related
to the present study.
RELATED STUDIES
LOCAL STUDIES
According to Branzuela, Cherrylyn P., et.al conduct a study entitled,
Effectiveness of selected male-title magazines as advertising medium as perceived by
senior marketing students of Adamson University for the year 2005. Descriptive method
was used for the research design. The design was intended to produce accurate
descriptions of variables relevant to the study. This technique was conducted for the
purpose of collecting facts and getting additional information about male-title magazines
as an effective advertising medium. The students of Adamson University were their
respondents, located at 900 San Marcelino Street, Ermita Manila. They are 18-23 years of
age taking up Business Administration Major in Marketing.
The researchers use a multiple-choice questionnaire as their main instrument. The
researchers used only one set of questionnaire. This set is used to know the students'
point of view towards the effectiveness selected of male-title magazines such as FHM,
TOYZ and PUMP as an advertising medium.
9
Informal Interview – a useful tool for gathering the accessory data on opinions,
suggestions, activities and comments which are used aside from the observation.
Observation – a data gathering used by the researchers to study the buying behavior of
the consumers giving an analytical approach to point out the effectiveness of male-title
magazines as advertising medium.
The researchers have arrived at the conclusion that these selected male-title
magazines are considered as effective advertising medium. Most of the respondents are
reading these kinds of magazines for the primary reasons of being updated with product
lines advertised and featured events in the magazines. Readers are merely entertained
with the featured constants in the magazines. Readers are affected positively and
negatively. Some viewed these male-title magazines as effective advertising medium and
entertainment because of the contents featured in. however, some readers find it obscene
due to the sexual articles and confessions written. There are different points of views
raised based on our primary and secondary sources of data.
According to Aquino, Louie Angelo S., et. al conduct a study entitled, Effects of
non-class print Advertising in Promoting Philip Morris Products as Perceived by the
Residents of Barangay 369 Zone 47 District 3 in Sta. Cruz, Manila. Descriptive method
was used as research design. This covers design that is intended to produce accurate
description of variables relevant to the study. Their technique was conducted for the
purpose of collecting facts and getting additional information about the said topics.
285 respondents that live in Barangay 369 Zone 47 Blumentritt, Manila to further
the researchers knowledge about the non-class advertising Philip Morris Products. Public
opinion is the very important in order to support the basis for advertising alternative in
10
promoting such products and the respond to 285 individuals is much needed. The
researchers gather data from published studies book, magazines related to the topic, and
from the events that Philip Morris held. Internet sources have also been widely used to
provide current information.
Questionnaires were used as the principal instruments in the study. It help the
researchers to obtain the needed on non-class advertising in promoting Philip Morris
Products. It was prepared by the researchers with the help of their adviser, only relevant
questions are included. Questions were based and objectives of the study and were
personally distributed to the locality of the respondents.
Interview is another instrument used in the research. While the researchers distributed the
questionnaire they were also able to interview them, making some vague points dearer.
The conclusion that can be drawn from the problem on the effects of non-class
print advertising in promoting Philip Morris products, from the summary of Finding.
What is the most effective medium of promotion does Philip Morris Inc. uses? It is non-
class advertising. This is based on the figures indicated by the surveys result. (Posters and
Billboard ranked first and newspaper and magazines ranked second).
The main reason why Philip Morris came-up with non-class print and public
relations is because of the regulations and restrictions implemented by the government
tobacco advertising on TV and Radio.
According to Basilio, April, et. al conduct a study entitled The influence of
BEARBRAND CHOCO TV ADVERTISEMENT FEATURING EUGINE DOMINGO
to the grade schoolers of selected public and private schools in manila.
11
Descriptive method was used in this research. This method is an investigation,
which describe and interprets what it is. It is concerned with conditions an relationships
that exist; practices that prevail; and beliefs and process that are going on; effects that are
being felt are trends that are developing (Best, !963). it involves populations or universes
based on the data gathered from a sample drawn from them (Wilson, 1987).
Since this research aims to gather information about present conditions, the
researchers ought to use the descriptive method of resource. Under this method, the
researchers used questionnaires as our measuring instrument. The questionnaire includes
TV advertisements and its effectiveness towards the consumer buying behavior. It also
consist of the factors like the product awareness, buying behavior product positioning and
product recall that will help to determine how the TV ads affects the viewers.
The researcher will use the survey method, which is under the descriptive method
of research. The survey research will help the researchers to have the knowledge on how
the grade schoolers perceive the TV commercial.
Respondents are composed of 378 students of selected private and public
elementary school in Manila, where in our basis is that these school are considered to
have large population. The researchers believe that the answers of the respondents will
represent the response of the grade schoolers in Manila as a whole. It is important for the
researchers to know the perceptions and opinions of the grade schoolers as their target
market.
Questionnaires will be distributed to 378 grade schoolers which is divided based
on the total population of Grades IV, V and VI is each selected schools as public and
private in Manila. These questionnaires include the product endorser's effectiveness and
12
the children's perception about drinking milk. It consists the four interrelated parts. The
first part aims to have the demographic profile of the occupation of the parents. The
second part will be used to gather relative data concerning the influences if the Bear
Brand Choco TV ad., in terms of product awareness and buying behavior. The third part
is to measure the effectiveness on how the TV ad., influence in terms of product
awareness and buying behavior. The last part is intended to measure the effectiveness of
Eugine Domingo as the new product endorser of Bear Brand Choco in terms of product
awareness and buying.
From the study they have conducted, the ff. Conclusions are produced:
1. Majority of the respondents are female, range from 9 to 10 years of age, family
is composed of 3 to 4 siblings, mother are plain housewife and fathers are office
employees.
2. In terms of product awareness, most respondents prefer chocolate drink, have
already seen the bear brand choco TV advertisement liked and enjoyed the
commercial, are aware of bear brand choco and rated the commercial very good.
In terms of buying behavior, most respondents told their mother to buy bear brand
choco after seeing the commercial and still request to buy and drink bear brand
choco.
3. In terms of product awareness most respondents made them aware most
respondents made them aware f bear brand choco upon seeing the 28 glasses were
influenced by Ms Eugine Domingo to drink bear brand choco.In therms of buying
behavior, most respondents their made to buy bear brand choco after they enjoyed
watching the TV advertisement.
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4. In terms of product awareness, most respondents drink bear brand choco
because of the influence of the advertisement.
In terms of buying switch from their usual chocolate drink to bear brand choco.
According to Arjorado, Abegail Grace P., et. al conduct a study entitled, Effects
of the Nescafe's advertising to the PLM-CME students
Decriptive and qualitative description was used as research design in this study. It
compares the characteristics and opinion of respondents. The descriptive method will
help the researchers to interact the data and formulate generalization, especially in the
buying behavior. The researcher is all about the effects of the Nescafe advertising to the
PLM-CME students, the descriptive method is the most appropriate method to easily
explain the facts.
The main subject of the study is about the effect of advertising to the PLM-CME
4th year students. In this subject, we can formulate the different affects of Nescafe to the
performance of the students academically. The respondents of this study are the PLM-
CME 4th year students. In this limited respondents we can identify the sufficient and
information the researchers need to finish the study.
Researchers made use of the questionnaire as the instrument in data gathering. It
is composed of 15 questions where in most of the questions is to know the effects of the
Nescafe advertising to the PLM-CME students and the benefits that the students gain in
drinking Nescafe. Their questions in classified as closed questions because the answer of
the respondents is limited. Most of the questions are answerable by yes or no and some
have choices that the respondents should check.
14
The researchers conclude that 79.33% of the PLM-CME students were aware of
the health and wellness effects to them by drinking Nescafe.
a. 57. 47% or more than the half of the respondents have experienced physical and
mental benefits after drinking Nescafe that support the health and wellness
campaign of Nescafe.
b. This study therefore concludes that almost 64.45% of the 4th year PLM-CME
student testified that they academically excelled and gave credits to their Nescafe
consumptions.
This study show that 58.10% or more than half of the respondents will not
increase their consumption of Nescafe upon seeing its advertisements.
Finding of the study show 31.40% of 4th year PLM-CME students said that
Nescafe has outstanding facts which leaves the 69.53% of the respondents having only
the satisfactory rates that implies improvement on the part of Nescafe to prevent some
misconception to other rival coffee brands.
After testing the hypothesis of the research they have concluded to accept their
null hypothesis. Furthermore, they have found out that the advertising of Nescafe has no
significant effect to the PLM-CME students even though the table shows favorable result
about the effects of advertising.
According to Magtang, et. al conduct a study entitled Effects of magazine
advertisement as a selected medium of bench clothing co. as perceived by the 4th year
high school students of UST.
The research design refers to a scheme plan of action used to meet the research
objectives of the study. It is detailed plan of how the research will be conducted.
15
In order to ensure the attainment of the specific objectives of their study, the
descriptive method is selected as the appropriate and most effective method in executing
this research. The researchers conducted surveys in order to know the opinions and
perception of the selected respondents towards magazines advertising as a form of
advertising medium of Bench Clothing Company. Through this, the researchers are also
able to gather information that is relevant to the study and which could ascertain the facts
concerning the influence of the magazine advertising to the buyers preference.The
respondents of the study are the 4th year high school students of the UST high school
located at Espana, Manila. Their age range from 15-18 years old.
The questionnaires were prepared by researchers contain relevant questions to
obtain the needed information about the perception of adolescents on magazine
advertising as a medium used by Bench Clothing Company was the questionnaire.
After conducting the research, the researchers concluded that magazines ads of
Bench Clothing Co. have a positive effect on buyers' preference. Since all or our
respondents are magazine readers, a big possibility to reach out to this specific target
market is really feasible. To be entertained being the primary reason for magazine
readership makes magazine a very good advertising medium because one way of another
ads are indeed entertaining. The attractiveness of the magazine ads of Bench, are we may
perceive, is not only because of the celebrity endorser but the image and identity of the
product also matters. They may be aware of the product and attracted to the magazines
ads but is not an assurance that everyone will be motivated to buy and be product users
but the small percentage that these people take part is not alarming as to consider
magazine ads as not an effective medium.
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FOREIGN STUDIES
According to GULMEZ, KARACA, and KITAPCI, was conduct a study entitled,
The Effects of Outdoor Advertisements on Consumers: A Case Study
Has pointed out in their findings that, Advertisement is an instrument of
announcement and presentation, which is designed in order to persuade people
voluntarily to display a certain behavior; to lead people to a certain thought; to draw their
attention to a certain product, service, opinion or enterprise; to inform them about these in
order to change their opinion and attitude towards these products, services, opinions and
enterprises; or to make them to adopt a certain opinion or attitude toward them
Advertisements are exhibited in various communication tools via purchase of time or
space and created against some amount of money. Advertising is feature of various
communication media through the purchase of time or space and advertising campaigns
are created within an overall marketing budget. Advertisement probably occupies the
largest place in the marketing network. It has an important role in the process from
production to introduction of product to the market. Its main purpose is to introduce
products or services and make people use them. Advertisement can also be used to
generate perceived value and position the brand, to create brand awareness and to
contribute to its corporate image and prestige.
Since advertisement is a communication phenomenon, enterprises or institutions
use tools such as television, radio, outdoor advertisements, magazines, newspapers and
internet to convey their message to the target group. Among these instruments, outdoor
advertisement is one of the communication tools by which we are continuously exposed
to messages and information. The importance of outdoor advertisements, which are liable
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to charges and which convey the brand and image of the company to consumers, has not
yet been adequately comprehended by advertisers. The proportion of advertising budgets
allocated for outdoor advertisements confirm this situation. Nonetheless, the
attractiveness of outdoor advertisements increases through the implementation of
technological tools and, in this way; they attract the attention of a great many people. In
time, enterprises will allocate larger budgets for outdoor advertisements.
According to the research results, the most effective outdoor advertisement tool is
billboards and the most high profile sector is the clothing sector. According to the
respondents, we can see that television ranks first among the most effective tools in
purchasing a good or service.
According to the results of the research, people generally have positive opinions about
outdoor advertisements. They think that outdoor advertisements are more eye-catching
and creative when compared to other advertisement types and, their physical size lends
them an effective visual impact. Respondents also stated that outdoor advertisements
contribute to the cityscape in terms of variety and beauty, and they do not pollute the
environment. However, awareness of outdoor advertisement amongst some people is
relatively low. People regard the outdoor advertisements, which they regularly encounter,
as a part of the city and they do not notice that these advertisements are outdoor
advertisements. This situation has been changing as people become more conscious of
outdoor advertisements.
Outdoor medium in terms of advertisement and communication are coming to a
very important stage all over the world. Outdoor advertisements are the only
advertisement tools to which the consumers are exposed without paying any charge and
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which have an important influence on purchasing behavior thanks to their capacity to
inform consumers and their visual size and effectiveness. Considering their direct contact
with the consumer and their large scale, it is necessary for outdoor advertisements to
utilize novel and modern implementations and to be supported with good marketing
ideas. Accordingly, we can state that outdoor advertisement have greater effects on
consumers than they are thought to have. The
important thing is that enterprises should direct their abilities towards innovations and
product differentiation. The results of the study indicate that outdoor advertisements
which create different ideas, which are effective in informing and persuading people and
which are sensitive to the environment can be viewed positively by consumers. In
particular, among consumers with higher educational and income levels, outdoor
advertisements are becoming striking and their visibility is increasing.
According to NIKHIL Singh, et. al was conduct a study entitled, Outdoor
Advertising in India 2009
Conclude that, Generally advertising managers would like to know the role of
advertisements on the overall performance of the business firm i.e., return on investment
and on profitability. A sale is a determining factor of company performance. Generally
communication measures are easy to follow than sales effectiveness measures. If the
measures of advertising are more relevant they will be difficult and costly. If it is less
difficult and cheap the measures will not be more relevant. Therefore, the advertising
manager has to make a balance between these two approaches.
Based on the study of Karan Malvi entitled VES College of Arts, Science &
Commerce Outdoor Advertising – The Future Media Tool, he state that, in today's
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fragmented media world, outdoor advertising is the one answer to target mass audiences
effectively. People of all backgrounds and nationalities are spending more hours each day
out of the home: commuting, working, shopping and socializing. This is particularly true
of young, mobile people who are traditionally hard to reach with other forms of
advertising. With brands fighting for recall advertisers are committing larger budgets to
this medium each year in order to deliver high impact displays in busy town and city
centers throughout the world.
Research has shown that outdoor advertising is one of the most cost effective and
wide-reaching forms of advertising available. Case studies have proven the effectiveness
of this medium, with its high levels of viewer retention and product awareness. Outdoor
advertising offers repetitive impact at a low cost. In comparison to other advertising
media, outdoor advertising delivers a lower cost per thousand of viewers reached.
Outdoor advertising allows customers to target or pinpoint certain areas in which to
promote their products or services. Your prime marketing areas are focused upon or new
markets are cultivated. There is no waste of circulation as in printed media and fringe
areas of radio and TV coverage. As a matter of fact, TV, radio and newspaper companies
have become huge outdoor buyers - it appears the competition has even realized the
benefits of using outdoor. This trend illustrates the effectiveness of the medium in
meeting a variety of communication needs. As a result, outdoor media commands an
ever-growing share of all ads spend.
In the study of Toni Ivanoski Skopje entitled Outdoor Advertising (Master
Thesis) September 2007
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Has pointed out that, The study presents the people who drive a lot of kilometers
or walkthrough the cities, driving bikes, have attractive socioeconomic profiles, higher
education and experience and high presence of children. Those who drive and others are
significant consumers of out-of-home media.
He passionately believes in the unlimited power, advantages and big opportunities
of the outdoor media. The outdoor advertising is so powerful and it is the only truly
public media. The Outdoor Advertising as the oldest form of advertising is dating more
than 5000 ago. Today the “out of home” with the latest trends with new technology is
rapidly evolving in all different kind of media and the future together with the digital and
scrolling technology is indeed bright. All Outdoor advertising continuously generate and
makes the most dangerously powerful media that in the right hands is achieving amazing
100 results. Whatever was advertised it’s important that the message was seen, read,
believed, remembered and action upon by target customers. All researches, analysis,
estimations, evaluations and other methods are important for the management of OA. The
market structure described the state of a market with the market forms of competition.
The five critical communication functions and processes were described: informing,
persuading, reminding, adding value and assisting the company efforts. The expensive
proposition as a need for purchasing the outdoor space is making the budgeting very
important decision. Another important decision is to attain the objectives, to make the
game plan or the advertising plan and strategy. They must determine the target market,
their position, acceptability of the product and etc. The advertising agencies have that
task and responsibility. They must develop the promotion, place the ad, carry and monitor
and finally estimate the efficiency and effectiveness from the campaign. All employees
21
working indifferent departments are obliged for their responsibilities. The outdoor media
speaks, talks on every language, communicate with its hanged picture fully of pleasure.
The people who show interest for the advertised product are potential target people. The
message is communication element and must be strong with more noise or other effects,
but to diminish from the others. The elements of communication process are: sender,
encoder, message, channel, receiver, noise and feedback. It can be used and the other
forms of nonverbal communication: facial expressions, body language, body and eye
contacts, color symbolism, paralanguage and other forms. We described and the
negotiation as the most useful tool in communicating. The information is crucial element
for carrying out all marketing researches and analysis, planning, implementation and
monitoring. Persuasion is the essence of the marketing communication.
Today on the out of home spaces are available and may be seen the street
furniture, transit and alternative outdoor media. Most of them are the stationary or the
mobile billboards, big boards, wall panels, taxi advertising, transit adverting, mall
advertising, mega lights, city lights, digital ads and other creative commercial products
and advertisements. In one of the previous chapters was described and the marketing
research as a form of business research that examined all aspects of business
environment. The focus group is a tool of the qualitative research and may be used as a
method about the customer needs and understanding the market places. How the people
purchase, when they purchased, what products they might purchase and why they are
purchasing is related to the customer behavior. Brain activity is another research based on
the link between the peoples thinking, what they like and what their brains reveal they
like. The Outdoor advertising in Macedonia is rapidly increasing, same as the increase of
22
the brand awareness of the companies. Today the people are more out of home than
staying home. This can be analyzed from the best positioning ad, with frequency level,
where the vehicle movement on the streets today, is more than40% than seven years ago.
Different type of ads emphasis the OA in Macedonia: stationary 12m2 billboards, prizma,
wallscape, rolo board, mega board, big board, mega and city lights, TV Screen, mall ads,
promo people and bikes, bus and taxi advertising and other advertisements. The effects
from OA can be proved when the message is read and remembered. From the pricing
strategies we’ve seen that pricing is an important strategic issue, because it is related to
product positioning. The reference prices are important to be included before setting the
final price in selling the Outdoor space and the price must be adjusted through the price-
adaptation strategies: geographical pricing, price discount and allowances,
Based on the study of Gyandeep Kumar entitled, Study of Advertisement
Effectiveness 2010. Descriptive research design is used in this research. It includes
survey and fact finding inquiries of different kinds. The major purpose of descriptive
research is description of the state of the affairs, as it exists at present.
Stated that, in concluding part of this project it shows that advertisement is very much
important for any business but advertisement alone do not account for company’s
success.
From the above findings, we come to know that life insurance companies have
very good visibility. Most of the time people are able to recall the advertisements. People
notices majority of advertisement on Television followed by Newspapers. The role of
other media such as Internet, Radio, etc. needs be enhanced and groomed along with T.V
23
and Newspaper. Media such as internet, telephone and family/friends can be used with
great deal in the advertisement because it has greater impact on the user due to its i
In television channels, entertainment channels lead in the frequency of life insurance ads.
They have also greater relative visibility in comparison of other channels therefore
advertiser needs to identify the proper slot and timing for their advertisements according
to their budget.
In the content part of ads, people agrees that they understand the advertisement
shown but they don’t find relevancy and somewhat have not been prompted by those ad
to buy the policy. Therefore, efforts should be made to make advertisements more
trustworthy and innovative so that people can be persuaded to buy the policies. Each ad
should speak about how their firm’s offers can help customers instead of telling how
insurance as a whole can help you.
RELATED LITERATURE
LOCAL LITERATURE
In her book entitled “Advertising in the Philippines (its Historical, Cultural, and
Social Dimensions)” De La Torre (1997) provides important facts and information about
Outdoor Advertising.
In her book, she pointed out that Outdoor Advertising, specifically, billboards, is
making a comeback. A report on the outdoor media sector during the advertising
congress in 1985 indicated that the practical, low-cost outdoor or out-of-home media
shall receive more share in the advertising pie.
She also cited that: “Outdoor reaches people in an increasingly segmented media
market with an equaled frequency and at a low-cost per thousand impressions.” Besides,
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those who see the boards are the upscale consumers – independent – minded, mobile,
well educated with good income – who are able to recall the message and remember the
advertisers name twice as often as the closest media competitor. This high recall is
attributed to the billboards precise, brief messages unmatched size and quality of the
reproduction.
Gomez and Arante (1998) stated that people travel. But they still have to be
reached by advertising. And this is done through outdoor advertising. Billboards along
highways and national roads, posters on sari-sari stores and electric posts, electric and
neon signs on top of tall buildings, sky-writing techniques, and large stationary balloons
are all composites of the outdoor media of advertising.
Miranda, (2000) identified the outdoor advertising medium possesses some
marked characteristics that are summed up as follows:
1. Outdoor Advertising is a fast inspection medium. The observers, known as
circulation, walk or ride past the sign. The message must then show in a way that
will insure rapid perception, observation, and recognition.
2. This medium possesses the attention elements of size, color and action.
3. It reaches nearly all of those who go out-of-doors and that are a large audience.
Based on studies made, some 76% of the human population goes out doors daily,
while 60% pass outdoor advertising daily.
4. Outdoor advertising is a good reception medium. In the course of a week, many
observers see a given sign several times. This repeat factor is important since it
does much to drive home the message.
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5. This advertising possesses a high degree of flexibility. Different signs can be used
in different geographic locations changes can be made to suit season, climate,
peculiarities of the market and special sectional merchandising campaigns.
6. Finally, this medium possesses high circulation concentration. The signs are
located where the people are located and where the traffic count is high. In other
words, they are located in the pathway of the crowds.
Pagoso, Dela Cruz, Canoy Jr. and Co (1996) pointed out in their book entitled
“Principles of Marketing” that an adequate marketing plan begins and ends with the
consumer. This is so because it is in satisfying the wants of the consumer that the
marketing man finds justification for his existence. Specifically, he needs to remember
that thee customers wants and needs, preference, beliefs, habits and eccentric constitute
important determinant of the product which he will offer the channels he will use, the
promotional efforts he will employ and the price he will charge to them.
They concluded that it is therefore the responsibility of the businessman to learn
anything possible about the customers and potential customers of goods he markets.
In the book “Business Organization and Management 4 th Edition” of Gutierrez,
Pura, Jr, and Garcia (1981), they stated that advertising is an integral factor in modern
merchandising: Its motive is to create demand for a particular product or service.
Advertising specifically strives to present the item advertised in a favorable light.
Advertising is attributed to have certain specific purposes; the primary purpose is to bring
the company and its products quickly and favorably to the attention of the consumers
who may not be reached by the salesman in a reasonably short time; the second purpose
26
is to pave the way for salesmen, and the third purpose, is to create goodwill toward the
company.
FOREIGN LITERATURE
In thee book of Arens (1999), “Contemporary Advertising 7th Edition” he defined
advertising as the structured and composed non personal communication of information,
usually paid for and usually persuasive in nature , about products (goods, services and
ideas) by identified sponsors through various media.
He then also explained that first; advertising is a type of communication. It is a
very structed form of applied communication, employing both verbal and non verbal
elements that are composed to fill predetermined space and time formats that are
controlled by thee sponsor.
Second, advertising is typically directed to groups of people rather than to
individuals. It is therefore non personal or mass communication. And of course, most
advertising is intended to be persuasive – to win converts to a product, service or idea.
Some ads, such as legal announcements, are intended merely to inform, not to persuade.
According to Berkowitz (1999) Outdoor Advertising consists of couple of
variations, namely billboards. Because of space and time exposure limitations for these
media, outdoor advertising is typically viewed as a supplemental medium to support
exposures in their media. Outdoor advertising is useful for its reminder appealed wherein
the introduction stage of a service to generate brand name or service recognition.
The major advantage of outdoor advertising is the repetition it can provide
through broad exposure of the message yet its limitations are significant in terms of the
degree of selectivity and the message that can be communicated. As a medium, outdoor
27
advertising has a image problem. There are community concerns that billboards, in
particular, are form of visual pollution.
McDaniel (2009) had pointed out that outdoor or out-of-home advertising reaches
a broad and diverse market and is, therefore, ideal for promoting convenience products
and services as well as directing consumers to local businesses. One of outdoors’ main
advantages over other media is that its exposure frequency is very high, yet the amount of
clutter from competing ads is very low.
Outdoor advertising also has the ability to be customized to local marketing
needs. For these reasons, local business establishments, such as local services and
amusement, retailers, public transportation, and hotels and restaurants are the leading
outdoor advertisers.
He also stated that Outdoor is more that just billboards! Most advertisers look to
create product recognition and allegiance in the market as part of their marketing
strategy. The use of a brand icon in outdoor creative has been found to make an ad 40%
more memorable than an ad without a brand icon and if your goal is to turn your product
or service into a brand no other medium can do this as cost effectively as outdoor can
brand, create and maintain awareness, and can reach and impact your target market in a
way that no other medium can.
Wright, Winter Jr. and Zeigler (2001) said that among out-of-home media, the
dominance of subtype is outdoor advertising, sometimes called the largest advertising
medium in existence (in terms of physical structure) only in outdoor ads can be shown
full size or an aspirin tablet 1000 times its actual size. Supposedly, use of the outdoor
28
medium dates back to 3000 B.C. when Egyptians carved the names of kings on their
temples.
Most people think of outdoor advertising as billboards that dot commercially
zoned city streets and appear along highways, advising us of manufacturers’ products and
of the services of many local businesses. Early uses of this advertising were for the
promotion of theatrical performances “bills” were placed where passersby could see them
on boards, fences, or walls. Thus, the word “billboards” came into use with the coming of
automobiles and highway systems, a natural evolutionary process brought outdoor
posters to the roadside.
There are different effects of advertisement according to Bovee and Arens (1992)
in their book, “Contemporary Advertising 6th Edition”. And these are some:
o Effect on the Competition
The compliant is often heard that small companies or new comers to an industry
can’t possibly compete with the immense advertising budgets of big business. The belief
seems to be that advertising restricts competition.
Some say that advertising campaigns by big companies with large advertising
budgets have ruined small companies. It’s possible that intense competition does tend to
reduce the number of businesses in an industry. It also may be that the firms eliminated
through competition were those that served the customer least effectively.
In many cases, advertising by big companies only has a limited affect on small
businesses because no advertiser is large enough to completely dominate the whole
country. In industries characterized by heavy advertising expenditures, though it is
certainly true that advertising may inhibit the entry of new competitors.
29
o Effect on Consumer Demand
The question of advertising’s effect on total consumer demand is extremely
complex. Numerous studies show that promotional activity does some have effect on
aggregate consumption, but there is no agreement as to thee extent. The effects of many
social and economic forces, including technological advances, education levels of general
populace, increases in population and is per capita income and revolutionary changes in
lifestyle are more significant.
At the same time, advertising has done little slow decline in popularity of such
items as men’s and women’s hats, fur coats and manual typewriters. We might conclude,
therefore, that advertising can help to get new products off the ground by stimulating
demand for the product class. But is declaring markets, advertising can only hope to slow
the rate of decline. We can also conclude that in growing markets, advertisers generally
compete for shares of that growth. In static a declining markets, they compete for each
other’s shares.
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