Ad ready webinar history of advertising

The History of “Good” Advertising.

. . . as I know it

Randy Wootton

© 2011 AdReady, Inc. Confidential 1

© 2011 AdReady, Inc. Confidential 2

I Love Good Advertising.

© 2011 AdReady, Inc. Confidential 3

My Focus Group

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I Love Good Advertising.

© 2011 AdReady, Inc. Confidential 5

What we’ll cover today

�6000 years of Advertising

history in 5 slides

�Why smoking, drinking

and advertising used to go

together well

�Why small is sometimes

better

�Why Van Halen still rocks

Quick History of Advertising

© 2011 AdReady, Inc. Confidential 6

Print

Outdoors

Internet

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What is the oldest form of advertising?

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What is the oldest form of Advertising?

1704

The first newspaper advertisement,

an announcement seeking a buyer for

an Oyster Bay, Long Island, estate, is

published in the Boston News-Letter.

1843

Volney Palmer opens the first

advertising agency in Philadelphia.

A Quick History of American Advertising

1732

Benjamin Franklin invents art

direction! Publisher of Poor Richard's

Almanac was the first to put pictures

in advertisements, adding eye candy

for copy relief.

1880

Department store founder John

Wanamaker is the first retailer to hire

a full-time advertising copywriter,

John E. Powers.

“Half the money I spend on

advertising is wasted; the trouble

is I don't know which half”

A Quick History of Advertising

1882

Procter & Gamble Co. begins

advertising Ivory soap with an

unprecedented budget of $11,000.

1924

Goodrich Tires sponsors the first

hour-long show over a network of

nine radio stations.

1938

Radio surpasses magazines as a

source of advertising revenue, 25

years after the first radio

advertisement.

A Quick History of Advertising

1960

Doyle Dane Bernbach introduces the

"creative team" approach of combining a

copywriter with an art director to create its

"Think small" campaign for Volkswagen.

1960

McCann restructures its agencies under

the banner of Interpublic Group of Cos.,

allowing it to handle competing accounts

under one corporate roof.

1995

Internet advertising breaks the $55 million

in revenues, approximately 2 years after

‘birth.’

A Quick History of Advertising

The ‘Golden Age’

1960’s

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Wow, we are witnessing something special

Source: Morgan Stanley 2010 (Mary Meeker)

1995 (e) 2009 (e)

Global Internet Ad Revenue $55 MM $54 B

Ad Revenue per User $9 $46

Global Internet Users 6 MM 1.2 B

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Closer to home, the growth continues

$22.7

$25.8 $28.5

$32.6

$36.0

$40.5

$0.0

$5.0

$10.0

$15.0

$20.0

$25.0

$30.0

$35.0

$40.0

$45.0

2009 2010 2011 2012 2013 2014

US Ad Spending, 2009 – 2014 ($billions)

Source: eMarketer, 2010

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Put in perspective…

Good Advertising…

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Who These Guys Are?

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Any Ideas Who These Guys Are?

David OlgivyFounder, Olgivy & Mather

‘The Father of Advertising’

Leo BurnettFounder, Leo Burnett Company

‘Creator of Icons’

William ‘Bill’ BernbachFounder, Doyle Dane Bernback (DDB)

‘Creative Genius’

What Makes Advertising Work?

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Homework

Study the

Product

Know the

Competitors

Understand

the Consumer

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Doing your Homework

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Homework

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Homework

INTRODUCING THE OLD SPICE GUY

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4.8 M

6 MILLIONHITS IN 1 DAY

4.4 M

3 M

HUGE RESULTS:• Old Spice rose to #1 spot in category in U.S.

• #1 All-Time Most Viewed Brand Channel on YouTube

Homework

What Makes Advertising Work?

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Do your

Homework

Understand

Positioning

Speak to an

Audience

Creativity

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Think small

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Got Milk for 20 year?

What Makes Advertising Good?

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Creativity

Analytics

Service

Homework

Top Campaigns of the Century

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1. Volkswagen, "Think Small", Doyle Dane Bernbach, 1959

2. Coca-Cola, "The pause that refreshes", D'Arcy Co., 1929

3. Marlboro, The Marlboro Man, Leo Burnett Co., 1955

4. Nike, "Just do it", Wieden & Kennedy, 1988

5. McD's, "You deserve a break today", Needham, Harper & Steers

6. DeBeers, "A diamond is forever", N.W. Ayer & Son, 1948

7. Absolut Vodka, The Absolut Bottle, TBWA, 1981

8. Miller Lite beer, "Tastes great, less filling", McCann-Erickson, 1974

9. Clairol, Does she...or doesn't she?", Foote, Cone & Belding, 1957

10. Avis, "We try harder", Doyle Dane Bernbach, 1963

11. Federal Express, "Fast talker", Ally & Gargano, 1982

12. Apple Computer, "1984", Chiat/Day, 1984

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Top 12 campaigns of the century

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#2 Coca-Cola

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#3 Marlboro Man

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#4 Just Do It

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#5 McDonalds

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McDonalds – 10 years later

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#6 DeBeers

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#7 Absolut

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Absolut

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# 8 Miller Lite

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#10 Avis

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# 12 Apple 1984

# 12 on the scorecard but number #1 in my heart

Online

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Remember these…?

The Very First Banner Ad• October 27, 1994

• Sold by HotWired.com to AT&T

• CTR of 78%

The Very First Rich Media Ad• January 1997

• Sold to Hewlett Packard

• Pong-Embedded Game

• 4-8% CTR, double industry average of 1.5 – 2%

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Prius, Webby Nominee this year

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New Golden Age?

Ad agencies in control Audiences in control

Limited mediums &

platforms

Tons of outlets and

platforms

Broad audience targeting Sophisticated targeting

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What will not change?

Creativity

Analytics

Service

Homework

The magic formula. . .