CHAPTER 8
From Print and Broadcast to Social Media and Mobile Advertising
LEARNING OBJECTIVES
8.1 To understand consumer behavior and engagement with social media.
8.3 To understand the dynamics and potential of mobile advertising.
8.5 To understand technology’s impact on traditional broadcast media.
CHAPTER SUMMARY
Learning Objective 8.1: To understand consumer behavior and engagement with social media.
Social media channels enable interactions among people in which they create, share, and
exchange information and ideas in virtual communities and networks. The channels comprise
mobile and online technologies that support two-way communications for individuals
and groups, giving them the means to form their own or co-create content with others, post and
open it for discussions, modify it, and withdraw it. Social communication channels offer better
engagement prospects because they can form comradeship among people with similar lifestyles,
Learning Objective 8.2: To understand advertising channels and promotional strategies on
social media.
Social media channels include owned social media, paid social media, and earned social media.
Google is the most widely used search engine online and a prominent advertising medium.
Across browsers, most online surfers use Google to find answers to questions, locate websites
audiences (i.e., consumers, retailers, and other parties with whom the company does business),
which justifies larger advertising budgets. Furthermore, executives should closely examine
consumers’ clicks on the “like” buttons and “mine” and use data from their Facebook pages to
develop new niches for their products (sometimes with partners in other product categories).
Learning Objective 8.3: To understand the dynamics and potential of mobile advertising.
and (3) emotional and social—immediate and always available communications with others.
Mobile marketers are still spending most of their money on search ads placed on websites that
show results from search engine queries. Also, they have been creating mobile ads that are fun,
pay rewards, and help customers find useful information (e.g., referrals). As smartphone screens
became larger, marketers began using mobile ads that take over the entire screen. And, some
networks, which consist of ads that pop up on, for example, Facebook mobile news feeds to its
users after marketers have purchased this advertising space from Facebook.
Learning Objective 8.4: To understand audience measurement and media reach.
Advertisers should use the following steps in designing social media campaigns: (1) define the
campaign’s objectives; (2) examine the platforms available and determine which ones to use so
as to achieve the objectives; (3) produce the campaign’s content using internal or external
communication tools; (4) examine the pricing models for securing access to social media, which,
unlike pricing for advertising space on traditional print and broadcast communication channels,
vary greatly; and (5) measure campaigns effectiveness.
communications’ activity on social media. Truncated text, acronyms, and inside jokes, including
those about TV programming, are the results of audiences interacting with programs in real time,
posting their thoughts or sharing others’ posts as quickly as events unfold on screen with
languages of their own.
Other problems in evaluating the effectiveness of advertising on social media include computer-
Learning Objective 8.5: To understand technology’s impact on traditional broadcast media.
Originally, print and electronic media (TV, radio, newspapers, and magazines) were all one-way
communications. The same promotional messages were sent to the same audiences, and receivers
could not specify which content they were interested in and which they would have prepared not
to receive. Nevertheless, new means to transmit messages have been fundamentally changing
the internet. It can be delivered to one’s TV, computer, or mobile device in the form of a two-
way communication between subscribers and providers of cable or satellite TV. Viewing on iTV
is much more engaging, personal, and dynamic than watching one-way TV programs.
Out-of-home media consist of communications that target consumers in captive and less
cluttered environments outside of their homes. This category consists of new promotional tools
as well as some older means that were significantly updated with new technology.
CHAPTER OUTLINE
Introduction
1. Social media channels enable interactions among people who create, share, and exchange
information and ideas.
3. Social media has transformed marketing – improving offerings, designing new products,
customized and interactive advertising, distribution channels across time zones and physical
locations, and innovative pricing models and payment systems.
Social Media and Consumer Behavior
1. The structure of social media includes the following elements:
a) Profiles are the ways by which consumers tell others about themselves (i.e., their age,
personality, and interests).
b) Friends are trusted members of the social network used. They are allowed to post
comments that designated members of the network can read. The networks allow users to
keep tabs on what their friends are doing online (e.g., posting new pictures or updating
their profiles).
c) Groups within social networks help users find people with similar interests.
d) Social networks create interactions among group members via discussion boards and by
allowing members to post pictures, music, video clips, and other tidbits for the groups’
members to view.
*****Use Key Term social media Here; Use Review and Discussion Questions #8.1 and #8.2
Here*****
2. Apps, short for “applications”, are chunks of software—installed on one’s computer, tablet,
or smartphone—that are gateways to games, online resources, and social networking.
3. Apps request four basic kinds of information:
a) Basic permissions include name, identification, gender, photo, personal demographics,
and list of friends.
4. Primary reasons for engaging in social media are:
a) Sharing information with others
6. Cognitive learning can increase engagement.
*****Use Key Term cognitive learning Here; Use Tables 8.2 and 8.3 Here *****
Advertising on Social Media
1. There are several types of social media channels
a. Owned social media
b. Paid social media
c. Earned social media
2. The most widely used social media platforms are:
a. Branded blogs and microblogs
3. Google is the most widely used search engine and a prominent advertising medium.
a. Google is the largest provider of the data and targeting tools advertisers need for
4. Marketers listen to the interactions, or social conversations, and use the information gathered
to generate more buzz for their products within social networks.
a. Most brands now have official Twitter handles and Facebook pages.
i. Companies have discovered that customers are highly enthused about and
5. The characteristics of effective social media campaigns are:
a. Effective social media is planned with traditional media advertising.
b. Marketers must consider the fact that social media simultaneously reaches several
audiences (i.e., consumers, retailers, and other parties with whom the company does
business), which justifies larger advertising budgets.
c. Executives should closely examine consumers’ clicks on the “like” buttons and
“mine” data from their Facebook pages to develop new niches for their products
Mobile Advertising
6. Mobile advertising is communication of products or services to mobile device and
smartphone consumers.
8. Mobile advertising accounts for just 1% of total advertising spending in the United States and
worldwide.
9. Mobile devices provide four types of value:
a) Monetary value: the device provides good value for the money that also exceeds the
4. Studies have identified cross-cultural differences and age cohort differences among
consumers’ responses to mobile ads.
*****Use Figure #8.3 Here *****
5. An analysis of a large sample of mobile ads indicated that:
a. Mobile marketers are spending most of their money on search ads. Search
advertising is a method of placing online advertisements on Web pages that show
results from search engine queries.
b. Marketers have been creating mobile ads that are fun, pay rewards, and help
customers find useful information (e.g., referrals).
c. As smartphone screens became larger, marketers began using mobile ads that take
over the entire screen.
*****Use Key Term search advertising Here *****
6. Marketers are also developing technologies that enable advertisers to link what
consumers do on their computers with their cell phones.
a. Advantages: It can identify users’ geographic locations and deliver contextually
7. A joint venture between iPhone and Amazon.com resulted in special software that allows
9. Mobile campaigns had a lower on-target percentage than desktop campaigns in broad
campaigns but were more effective in targeting narrow segments.
Advertising’s Reach and Efficacy
2. Steps to design social media campaigns:
a) Define the campaign’s objectives and strategic approaches.
b) Examine the platforms available and determine which ones to use so as to achieve the
objectives.
c) Produce the campaign’s content using internal or external resources.
d) Examine the pricing models for securing access to social media, which, unlike pricing
*****Use Learning Objective #8.4 Here *****
3. For the most part, marketers infer the purchase behaviors triggered by ads from broad sets of
4. In contrast, promotions placed in social media employ “electronic cookies,” which are digital
5. However, even with electronic tracking, some advertisers have removed their Facebook ads
because they had trouble measuring whether the ads led to sales.
6. Analyzing website visits involves tracking:
a) Unique visitors. The number of visitors to the website that have accessed its content. User
profiles (based on their Web addresses) are also monitored.
b) Cost per unique visitor. The total cost of placing the application or ad divided by the
number of unique visitors.
c) Return visits. The average number of times a user returns to the site within a specific
period.
d) Time spent. The average amount of time from the start of the visit until the end of the last
activity on the page.
e) Page views. The average number of pages that users have clicked through.
7. One’s degree of influence on Twitter is measured as follows: one’s number of followers, the
number of people following the followers, the frequency of updating tweets, and the extent to
which one’s tweets are referenced or cited.
8. Twitter also identified several types of users:
1. Celebrities have many followers but follow very few, if any, users.
3. Spammers “collect” users with the intent to push content to as many people as
possible.
9. Google Analytics is a service offered by Google that evaluates the effectiveness of websites
and profiles their users by collecting and analyzing the following data:
a) Tracking where visitors come from: Referrals, search engines, display advertising, pay-
10. Google Analytics enables marketers to measure the effectiveness of their websites and
promotional efforts, predict the impact of planned advertising campaigns on customers’
11. Online fraud and unseen ads are a challenge for companies that try to capture actual traffic or
video views.
1. Bots generate fake impressions and video views.
12. Due to the reliance on automated ad buying technologies, marketers also find their ads
13. Nielsen measures media exposure effects, which measure how many consumers were
exposed to the message and their characteristics.
*****Use Key Term media exposure effects Here *****
14. More consumers have been watching programs on DVRs, which makes it hard to count
viewers.
16. Consumers skip or block ads.
17. Marketers also attempt to capture social television engagement.
Traditional Media’s Evolution
1. Print and electronic media were one-way communications – all the members of a given
audience receive the same promotional messages from marketers.
*****Use Learning Objective #8.5 Here; Use Table #8.6 Here *****
2. Network and cable television reach very large audiences.
a. Many programs, particularly on network TV, reach audiences that are heterogeneous in
their demographics, spending power, interests, and lifestyles.
b. Network TV (and later cable TV) has been the most desirable (and expensive) advertising
3. Interactive TV (iTV) combines the broadcasting capabilities of television and the
interactivity of the internet.
a. iTV is delivered to a TV, computer, or mobile device and represents two-way
4. Radio’s advantages are its high geographic and demographic audience selectivity, as well as
the short lead time needed for producing and placing commercials.
a. Presently, almost all radio broadcasts, globally, are available online.
b. Radio is an important advertising channel.
5. Print media includes newspapers and magazines.
a. Newspapers provide access to large audiences and are effective for reaching large
audiences. i. They are generally inadequate when it comes to reaching consumers with
specific demographics.
ii. Newspaper ads can be designed and published quickly, but they have a
short life.
iii. There is considerable clutter because many messages, particularly for local
services and research outlets, compete for attention.
b. Newspapers can phase in digital editions, bundle them with subscribers’ print editions,
and develop structures for digital-only access; reduce print and home delivery; market
c. Magazines reach specific geographic, demographic, and interest-focused groups and
enable more precise targeting than newspapers, with visually high-quality ads.
i. Special-interest magazines are highly credible.
ii. Magazines offer long message life and increased exposure to ads because
of pass-along readership.
d. Online, both magazines can flourish by offering readers customized editions that are
based on their interests.
6. Out-of-home media consist of communications that target consumers in captive and less
cluttered environments outside of their homes.
a. Captive advertising screens are placed in locations where consumers spend time.
*****Use Key Terms out-of-home media, captive advertising screens Here; Use Hands On
Exercise #8.15 Here *****
7. Branded entertainment (product placement) consists of featuring products within the
contents of entertainment, such as TV, movies, video games, among others.
a. Paid for embeds of products and brands have appeared in most films and TV shows.
*****Use Key Terms branded entertainment (product placements), webisodes, and
advergames Here; Use Hands On Exercise #8.16 Here *****
REVIEW AND DISCUSSION QUESTIONS
8.1. What are the implications of social media for consumer behavior?
Social media has transformed consumer behavior by shaping how consumers communicate
and learn about products. Networks allow users to keep tabs on what their friends are doing
online and groups within networks help users find people with similar interests, and
8.2. How do marketers enhance consumer engagement with their offerings using social media?
8.3. Marketers can use social media to engage customers using moving images, links to
related materials, and customized viewing options.
8.3 List and describe social media’s channels and illustrate how marketers use them for
advertising.
Marketers use owned social media, messages sent by marketers from their own channels;
paid social media, messages sent via channels that are not owned by marketers, who pay for
8.4. Describe how marketers can use Twitter effectively.
Most brands now have official Twitter handles. Companies have discovered that customers
are highly enthused about and more responsive to Twitter messages from the corporate
bosses, especially if such messages encourage consumers to tell the senders about their
8.5. Describe Google’s role in advertising online.
Google is the most widely used search engine, so consumers use it to answer questions,
locate websites and sources for products and services, track down information, and much
more. After an online user types a query, two areas appear on the screen. The “organic
results” are the links directing users to sites and resources that are applicable to their Google
8.6. List and describe two advantages and two disadvantages of mobile advertising.
Advantages: It can identify users’ geographic locations and deliver contextually relevant offers.
It can provide consumers with access to online deals in stores and the ability to pay for deals in
8.7. Describe how one’s age impacts marketers’ targeting using mobile media.
Responses to promotional messages of mobile media are strongly related to one’s age.
According to one study, 19% of Millennials, 17% of Generation X, and 14% of Baby Boomers
8.8. Why is it more difficult to measure the effectiveness of advertising campaigns on social
media than assess the results of advertising on traditional media?
Increasing, ad buyers want more transparency into how data are collected on Facebook and
Google’s YouTube in order to determine where and how to spend their marketing money.
8.9. List and describe the factors that negatively impact measuring the effectiveness of
advertising on social media.
Online fraud and unseen ads, which are due to computer-generated visitors or bots that are
8.10. Compare advertising on traditional TV and doing so on interactive TV.
Interactive TV combines the TV broadcasts with the interactivity of the internet. It is similar to
television because it allows the consumer to view the show on a TV, computer, or mobile device.
It is different from traditional television because it allows for two-communication between
8.11. How has print media reacted to the decline of their advertising revenues?
8.12. What is branded content and how can it be used effectively?
Branded content is entertaining content that features products or brands. Branded content can be
embedded in television shows, movies, and video games, but branded content can also exist
HANDS-ON ASSIGNMENTS
8.13. In groups of four, discuss and compare how social media has influenced your consumer
behavior.
Instructor’s Discussion
8.14. Using the same format as in the previous question, discuss social media’s influence on your
parents’ buying behavior.
Instructor’s Discussion
8.15. Take pictures of two illustrations of out-of-home media, present them in class, and describe
why they are or are not effective.
Instructor’s Discussion
8.16. List and describe five product placements that you have seen in TV shows and movies.
Instructor’s Discussion
This exercise is designed to get students to think about branded entertainment and its prevalence.
8.17. Sort the permissions you have requested from sources according to the permissions
categories discussed in this chapter.
Instructor’s Discussion
8.18. If you have access to interactive TV, watch a program of your choice and make notes on
how such viewing differs from watching traditional TV.
Instructor’s Discussion
S.T.A.R. Projects
Ethical Issues in Consumer Behavior
S.T.A.R. Project #1
L’Oréal matches Revlon in almost all competitive categories. Examine the L’Oréal Web site at
www.loreal.com for more information on this cosmetic industry giant. Having done this,
consider the following imaginary scenario: as a marketing manager for Revlon, you have just
discovered that L’Oréal is trying to persuade young teenage girls to switch from Revlon products
to those of L’Oréal. L’Oréal ads show two teen girls discussing their difficulties in finding dates
Do you see any ethical problems with the approach used by L’Oréal? Explain.
Instructor’s Discussion
First, the students will find a wealth of consumer information on the L’Oréal Web site. This
S.T.A.R. Project #2
Your group’s assignment is to pick a product category such as personal computers, clothing,
cars, or recreation. Using your chosen category, chart, outline, or diagram how consumers use
the Internet to search for information about the product. Conduct a search for the product
category. Then, keep track of the advertisements you see on the same computer that are related
to your search. Note how well the ads you see related to the original search. Select a group
“reporter” to summarize your group’s findings for the entire class.
Instructor’s Discussion
This assignment is a good summary for the group experience and the basic substance of the