Corporate advertising can be defined as paid use of media that seeks to benefit the image of the corporation as a whole rather then its products or services alone. A company’s marketing department typically is responsible for all product-related advertising and pays for such ads out of its own budget. Corporate advertising on the other hand, falls within the corporate communication area and either comes out of that budget or, in some cases, is Paid for by the CEO’s office.
The corporate advertisement can be classified into three categories:
· Image advertising – to reinforce identity or enhance reputation.
· Financial advertising- to attract investments
· Issue advocacy- to influence opinion
· Financial advertising- to attract investments
· Issue advocacy- to influence opinion
The larger corporations are more likely to have corporate advertisements. A good corporate advertisement program can clarify and enhance a company’s reputation, and the absence can hurt packaged goods companies and retailers as well. A corporate ad helps in increasing sales, creating strong reputation, attract investors, recruit and retain employees.
A corporate advertisement helps companies communicate their message to a wide audience quickly and effectively at a high speed. The major drawback is that it incurs high costs and it is difficult to measure its near-term effects on sales. Corporate advertising can be a tremendous resource in positioning the organization for future success.
Product advertising is a well-known phenomenon in marketing. A brand is a promise to the customer that goes beyond the generic product, the technical and physical attributes. When selling a branded product the company promises that the consumer will achieve special qualities by using the product, different qualities than when using a similar non branded or different branded product. A typical message from the company is “when using this product you will be more attracted, become better looking and signal a higher social class“. By using the branded product the consumer can communicate his/her lifestyle or wanted lifestyle.
EXAMPLE:
CORPORATE AD
PRODUCT AD:
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