LO2: Traditional and virtual advertising

Traditional Methods

When does advertising happen in Vertical Integration - Between Production and Distrubution 

Traditional Methods: Older Methods, pre Web 2.0

• Radio
• Billboards
• TV
• Newspapers
• Magazines

Traditional methods are dominated by conglomerates because only they can easily afford it. Also partly because. they can use their subsidiaries

Advantages:

Can attract a mass audience,

    Conglomerates need a mass audience because they have more mainstream products, allows them to                         

    make massive profits

Disadvantages

Independent companies would find this very expensive to do on a national level. They don't need a mass audience as they products are more niche

       They would use traditional methods but only at a local level such as billboards, local newspaper/

       radio/TV

The only way an independent company can advertise traditional to a mass audience is through a joint venture, eg a conglomerate. 

Digital methods/Viral marketing

Digital Methods:

• Online e.g Social Media

Advantages

Cheaper

Quicker at reaching an audience 

Easy to target a specific demographic 

Benefits Independent audiences primarily because they don't need subsidiaries to produce and distribute their content, also their audiences are more niche so they can target the correct demographics 

Benefits Conglomerates because it has international reach, 

 

Impact of technological convergence, Web 2.0, Blackbox Theory, Digital Natives

Technological convergence - Different advertising methods combining into one

Multifunctional device/platform e.g

Needed separate devices for games, music, TV, radio. Very expensive

Now we can access a range of media on one device. Smartphone or PC. 

Web 2.0 is the interactive web. 

    Likes, Comments, Sharing, Hashtags, @

Blackbox Theory looks at what different devices we access media on

Digital Natives: Primary younger people, sub 25, who are using Web 2.0 and using blackbox devices

People who grew up with Web 2.0, understand it, expect it

Digital Migrants:  Older people, mid 40s who have had to adapt to Web 2.0 and blackbox devices

Henry Jenkins (2006) "we now line in a convergence culture", Synergy

We are constantly using technology, it is a part of our culture. 

Synergy - Cross promotion on different platforms 

    Easy to do because they can use their subsidiaries for horizontal intergration

Web 2.0 allows independent companies to have synergy

Above the line (mass media/audience) below the line advertising (Personalised/niche/demographic

Above the line: Mass media to attract a mass audience - Traditional advertising - can be done digitally but traditional advertising is more prominent 

Below the line: Target specific audiences, niche media niche audience