Using Company Shares to Settle Advertising Fees

Using Company Shares to Settle Advertising Fees

We all know for a fact that paying immediately for all ads that we have produced would need payment in the worst way. All companies including the advertising agencies need to financially resolve their current standing and while some of them may not be as liquid as many would hope large companies would be, the alternative mode of payment today has been in the form of offering company shares.

If you think about it, what will you do with shares in these times where it seems that everyone is in need of cash? Further, it may be risky to take shares in lieu of cash for advertising services and if concerned parties tasked in business and advertising projects are concerned are not careful, they may end up in the losing end.

ONE of India’s leading newspapers launched an unusual advertising drive last month. “Money cannot buy our integrity” read a front-page slogan in Daily News & Analysis (DNA), a Mumbai daily. “Make the headlines tomorrow.

By paying for it,” it added, in reference to some other papers’ supposed tendency to give favourable coverage to firms that place advertisements. That charge is hard to prove.

But an increasingly popular practice is exposing Indian newspapers to growing conflicts of interest: accepting payments for ads in the form of shares in the advertiser’s firm.

(Source) Economist.com

AOL Advertising Gets Failing Mark from Time Warner CEO

Time Warner

As far as achieving your goal in advertising is concerned, expect it to be a rough one. Not all people who turn to advertising will immediately be satisfied for the reason that they need to impress people on the feasibility of such an added expense and investment.

Normally, the goal is for proper exposure. But once that is satisfied you have to hit your target market and make sure that you are getting what you want from it. One thing about corporate management leaders is that they want results. Advertising is not spared from it and if such a campaign proves to be futile expect some heads to roll or people placed in the hot seat to explain why goals are not delivering according to expectations.

First-quarter advertising revenue at AOL grew a scant 1%, after several quarters of sliding growth rates. A particular weak spot was display advertising on AOL’s Web pages, where sales eased 18% from a year earlier.

“We were not satisfied with the performance of display advertising,” Bewkes told investors on a conference call. Bewkes said other advertising, including sales on non-AOL sites, was a strong point in the first quarter.

(Source) CNN Money

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Advertisements that Insult Human Intelligence

Smoking Fish Hook Ad

As far as advertising is concerned, getting the message across is one thing but considering the logical intelligence of the viewing market to which it is aimed at penetrating is another. In short, there are some advertisements that really do not care if their ad campaigns make sense or not. A simple word or two is all that matters for endorsing companies, normally terms that associate their brand to the consumer’s mind.

But while imagery is one thing, it is apparent that there are a lot of ads that do not make sense at all. Some call them wasted money and opportunity while others look at simply creating an image towards placing brand awareness for products and services.

With these tactics in mind, many people will agree, is it really for strategic management or plainly for conning people into intellectual proportions on the whole advertising paradigm.

 

We all have our personal advertising bugbears. I am frequently dumbstruck by the portrayal of young men as henpecked morons, perennially outmanoeuvred by their vastly superior girlfriends. And I can’t be the only person bothered by the ambulance-chasing personal injury adverts – the “no win, no fee” propaganda packs of the compensation culture.

(Source) theblog

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Beer & Weed: A Match Made In Heaven…or in California

 Vaune Dillmann, a local California brewer, was ordered by federal alcohol regulators to stop using bottle caps on his beer that read, “Try Legal Weed”.  The agency told Dillmann that the message on the caps were misleading and were a reference to drugs.  As it turns out, Dillmann told the Associatd Press that he’s never done drugs (specifically marijuana) in his life and that the bottle caps were just a reference to the town’s name: Weed, CA.  Dillmann claims that he is not the only one who has used the tradition of exploiting the town’s name.  In fact, he claims that even city officials do it- which, of course, makes it ok.   Federal agency spokesman, Art Resnick told the Associated Press:

We protect consumers of alcohol beverages against misleading advertising and labeling. That’s one of our primary functions. That’s what we do, as well as collect taxes.

The Real Secret of the Scarlet by LG Electronics

Scarlet

Have you ever tried to spend on an advertising campaign without even mentioning the brand of the product or service even once? It seems like a poor way to advertise and spend tons of dollars for promotional practices but apparently LG Electronics has a lot of things in mind.

Scarlet, an advertising campaign launched by LG Electronics features Malthe as the sexed-up, butt-kicking, red-eyed heroine “Scarlet.” There’s no mention of LG _ or even a prominent image of the TV itself _ in the advertising materials or commercials.

Now if that is something that seems like poor advertising then I don’t know what is. But fooling people and getting their attention in a different manner is perhaps the initiative. So what gives?

“To be honest, the most difficult thing for me on this campaign was to convince myself and my bosses to really own this idea,” says Lee. “To spend money without letting people know about our brand is really, really risky, right? But that’s the idea of this. We need a breakthrough idea to change the rules of the game.”

 

(Source) The Washington Post

 

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“Mommy; I Want a Nose Job Too!”

According to a recent news story, approximately 100,000 children and teenagers receive cosmetic surgery each year which has led to deputies from Germany demanding a ban on allowing children and teenagers to get these “unnecessary” procedures.  In the same report, it even stated that 10-year old are getting tattoos and piercings [gasp!].  Meanwhile, back here in America, we are embracing our beloved cosmetic procedures with books such as My Beautiful Mommy, which aims to explain to children why their mothers don’t want to be ugly.  Don’t you think that if a child sees their parent(s) getting a nose job that they’ll want one too? Who do we blame now for kids wanting to go under the knife?

My Beautiful Mommy

Familiar Snap and Win “Dud Contest” Again?

Cuecat

As far as advertising is concerned, you would be surprised at the things that most companies would come up with to get attention and this one is really something that is similar to them. This new print-ad gimmick is for readers to take camera phone pictures of icons and ads and send them to a certain number. They will in turn get more information from the advertiser concerned.

If you think of it, it is quite a long shot and seeing people wasting their time taking pictures and then getting information of these products does seem strange at this point.

Wait a second. Haven’t we seen something like this before?

Ah yes, the CueCat, a handheld device that scanned special barcodes to save you the trouble of typing in a web address, which was introduced in the year 2000, pretty much failed that same year, and are now as hacked as Roombas.

(Source) Jossip

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Subliminal Advertising by Chance

We are all aware that most companies would do anything to advertise on top rates shows such as the Iron Chef. But in this case, only the observant people can depict the actual subliminal advertising that is being talked about today.

In fact, you have to be monitoring it closely. Not all people will be aware of it and surely it is a form of advertising that will surely be worthless.

But guess again. Thanks to one person, it has ballooned into a full-blown issue for both the show and the company concerned, that of which is McDonalds. Was it intentional or accidental? You be the judge.

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Creative Advertising Just Got Better

We all know that the key towards making advertising work is to find ways to get attention. Apparently, this has been in the mind of people who have let out their creative artistry towards various means such as goods and transport media images that can really draw attention.

For some, this may seem funny, but the thing is, you are getting the attention which is important in any advertising and promotional gimmick. Laugh at it or like it, the fact remains that the key here is baring the ideas of modern advertising the people will use for larger market awareness and penetration needed by businesses today.

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Glocalisation Advertising Strategies in India

Globalization is one thing that most international companies invest in today and it is an aggressive practice in the local shores of India. Large names that include Coca Cola and McDonalds have adopted the new termed practice called Glocalisation, a saleable mix of the global and the local, which represents the human capacity to bridge scales from the local to global and vice versa.

Product association is evident in our local regions and for international companies known throughout the world, the need to rev up the consumer awareness has become a critical need. India has so far acknowledged this need and companies who have intended to join in this Glocalisation practice are jumping in one by one.

Advertising agencies in our country are increasingly going in for international tie-ups. As a result, foreign brands are suddenly seeking local attention. The art of making an advertisement look local and endearing to Indians is the global spin-off in advertising,” Vipin Dhayani, creative head of the Everest Brand Solutions, said.

(Source) Zeenews

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Sponsoring Events to Advertise

Useful Marketing Ads

Familiar to most people who invest a lot in advertising is the fact of sponsoring events that are held on certain periods of time. This includes concerts or even sports events that draw a crowd to which provides a good medium for exposure particularly for brands that are still on the rise.

Aggressive giant companies like Coca Cola, Nike and Nokia do this. We can see their endorsement at various points in time. Notable among them include being seen over the NBA, the World Cup and concerts from known artists such as Christina Aguilera and Michael Jackson.

These events are held at various points of the world and the advertising support is something that makes them happen. With that in mind you can imagine the sum needed to finance these events and the returns expected from them on the chosen target market.

You can read something related to this here at the Business Week

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Defining Moral Advertising Techniques

Naked Advertising

 

To draw attention, controversial practices such as injecting sexual images will be condemned by most but it is relevant to the product or service being advertised, chances are they will be allowed to do so. Apparently, there are a lot of advertising and promotional practices used today that have had their share of being hit for their uncanny means of attracting attention.

It cannot be discounted that a lot of people have used these techniques to use controversy as an added value as far as attention grabbing is concerned. Some may not like it and even deem it as a dirty tactic. But in the world of business today, you just have to pull out all the stops even if it may be pointing towards risking morality issues we know of today.

“Naked people are wonderful, of course, but they have to be relevant to the product. You could have a naked person advertising shower gel or a cream, but not a woman in a bikini draped across a car.”

(Source) BBC News

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Green[peace] Wages War With Unilever & Dove

The people at Greenpeace are none too pleased with Unilever, the makers of Dove beauty products. According to Greenpeace, Unilever is purchasing palm oil from suppliers who are destroying the rainforests in Indonesia. This deforestation is causing all sorts of problems such as climate change as well as the extinction of certain species. So, what is Greenpeace doing about it? Well, on April 21, 2008, they released a bunch of apes (or possibly Orangutans) into London and Merseyside to guilt Unilever into stopping this madness! They also came out with the following video to hopefully raise awareness. I guess the price you sometimes pay to be beautiful may not be worth it after all.

An end to the “Madden Curse?”

Brett Favre looks to break the Madden Curse as it was announced yesterday that he would be on the cover of Electronic Arts’ 20th Anniversary Edition of John Madden Football.

Seeing as Favre no longer is in the league, it’s safe to say either:
a) Favre will get back in the league only to suffer an injury
b) He should look to the skies for random falling pianos

The obvious question is– will there be weepy press conferences as an option?

Am I the only one who remembers Madden’s commercials for Miller Lite?

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Oh… Okay… I guess.

Maybe I spoke too soon. After the amazement that was the Jordan spots, I came across W+K’s newest Heineken spot, “Share the Good,” for the Heineken Light product. The ad directs you to a website where you learn all about the movement to Share the Good. The site is FAR more impressive (at least in my opinion) than the rather corny commercial. Just watch the opening animation of the hands/backgrounds changing. After learning about the movement, there is of course, info on the beer, sweepstakes, the commercials and more. But I must say, personally, I do enjoy the thought of encouraging people to share beers. Thoughts?

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Blogs: the newest weapon on the corporate battlefield

The Wall Street Journal had a pretty fascinating story today that I’d only heard bits and pieces of before. The story basically details how former AdAge reporter James Arndorfer is writing for the Miller Brewing Company-owned blog, “Brew Blog,” where one of the primary topics of interest is Anheuser-Busch news. He’s continuously breaking stories on A-B, which is getting under the St. Louis brewing company’s skin.

While A-B and Miller have been battling for years, the internet and the blogosphere have opened up new and creative doors through which the battle can rage on. Miller sponsoring a blog that paints A-B in a lesser light is certainly a non-traditional tactic, but interesting that such importance is being placed on internet sites. Something worth considering as the internet continues to grow.

And despite working on several A-B accounts in the past, I have to say that I’m fairly intrigued by the whole Miller-backed-blog and the way it’s playing out. I’m also eagerly anticipating more corporate tactical use of blogs in the future. Seems ripe with possibilities. Anyway, check out the WSJ article for more details and analysis.

Scrambling for Ads in the Olympics

Canwest Publishing, Inc.

With the 2010 Vancouver Olympics practically a year away, it would be wise for companies who are planning to get advertising slots towards this world-renowned event early. With practically the whole world watching, you can just imagine the number of companies worldwide jockeying for position for good slots in the expected expensive yet lucrative exposure that one can just imagine.

The strategy here is simple. It is all on a first-come, first served basis. You can expect giants such as Nokia and Sony to be at the forefront of it all in what is expected to be a circus of sorts since this meet will really hit the global target audience. Just look at Canwest which just closed the deal of their advertising pact for the 2010 Olympics.

Canwest Publishing Inc., the largest owner of Canadian newspapers, has signed an Olympic-sized deal to supply advertising to the 2010 Vancouver Organizing Committee.

The deal, which will be announced this morning, includes all 10 of Canwest’s regional newspapers, including The Vancouver Sun and The Province, but not the flagship National Post.

Vanoc is calling Canwest an “official supplier”, a category that generally is worth between $3 millon and $10 million. In a memo sent to staff Wednesday morning Dennis Skulsky, the president of Canwest Publishing, and Kevin Bent, the publisher of the Pacific Newspaper Group called it an “Official Regional Newspaper agreement”.

(Source) The Vancouver Sun

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Tyson Gets Banned!

Tyson Food Logo

As far as the practices of trying to overdo the branding hype in most products are concerned be sure that you can handle the issues that will be hurled your way. In the world of business competition, your fiercest competitors are bound to check out what you have to offer and see if you are as good as what you claim you are.

Your rivals in business are not really out to ruin your reputation. But advertising malpractice is a given considering that most people would go at anything to gain an advantage. We see them all around us today and whether we care or not is really left towards people who want to expose flaws used in advertising and promotional strategies such as this one regarding the case of Tyson Foods.

Competitors Perdue and Sanderson argued that Tyson’s ads are misleading because none of the companies uses those types of drugs and consumers could be led to believe they and other companies are using the drugs. Sanderson said it lost $4 million in sales since last year as a result of the Tyson campaign, while Perdue contended it lost $11 million.

(Source) Brandweek

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Drop your pants Mr, lets see what you got.

Elana Olavesen from John St, Toronto explains the strategy behind the new Autotrader.ca campaign here.

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Should 6 year-olds Have Cell Phones?

Parent groups in Europe don’t think so. In fact, they’re calling for a ban on marketing cell phones to children. The conflict arose when a company named Telefonica and a toy company named Imaginarium came together to create and then market the M01, a cell phone for children. According to a recent article posted in the New York Times, the health minister of France had already issued warnings against children using cell phones too much. I just wonder, who could a 6 year-old possibly call? And what in the world would they talk about?

Cute & Cuddly Cell Phones for Children!