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3 Kinds of Advertising

In his May 25th blog, author, entrepreneur and marketer, Seth Godin, said there are three kinds of ads;
“Direct response ads pay for themselves (at least they do when they work). Socially acceptable paid-for interruption leads to response, and the response (a sale, generally) generates revenue and you can run the ad again.

Trust ads are generally immeasurable. "I've heard of these guys, somewhere." Without consciously realizing it, we often choose to do business with the familiar, and ads increase familiarity. Particularly the right ad that runs in the right place. This is advertising that tells a story, advertising about belief, not necessarily action.

Demand enhancement ads remind us that on a hot day, we'd like a cold drink. They are ads designed to tickle and provoke, to increase the number of people in the market for what it is you sell.

Every once in a while, an ad does all three things, but that's a foolish thing to hope for.” In the same blog, Godin says, “Budget appropriately, because the very worst thing you can do with an ad is spend too little--it will get you the same results as spending nothing.”

Put another way, Wizard of Ads, Roy Williams says one of the causes of advertising failure is “Trying to reach more people than your budget will allow.” All too often in our quest to reach everybody, we use too many media and too many platforms to have sufficient repetition and presence to influence those we reach.

Want to know how much budget is appropriate for your business?

Click here for me to deliver a special self-analysis template to help you determine what your ad budget should be.