Class notes
PESTLE for Advertising Industry
- Course
- Institution
Pestle analysis for Advertising companies or agencies and further information
[Show more]
2 reviews
By: pumza05 • 5 year ago
This didn't make sense
By: gianniskaliakakis • 6 year ago
Seller
Followvioletpham
Reviews received
Content preview
Advertising is defined as any form of non-individual promotion and presentation of ideas, services orgoods by a recognized sponsor. It is termed as the practices and techniques that bring services,
products, opinion or causes to public notification for the aim of influencing the public to react in a
certain manner toward what is advertised.
PESTEL analysis of advertising industry with a key focus on
inflexion points, weak signals, and megatrends.
Political: Changing in political climate forms a good background for advertising. Currently, political
parties are paying attention more to the quality of ads and their reach. The advertising industry has
estimated to witness increased political interest, used by the political groups as a way to deliver their
ideas, thought end believes.
Economic: Advertising has been severely affected by the financial crunch.
During the economic crunch, advertising was the first to encounter a cut-down. Advertising is
perceived as an additional expense which can be loaded off, though this can be the ideal tool to link
the product with the customer easily. It was witnessed that during the recession, firms that invested
a lot in advertising attained a better ROI. The growth rate in WPP's organic overall sales is being held
back by the slow economy of the Euro region which still accounts for over 35 percent of the firm's
sales. A slowdown in developing markets, specifically China and Brazil, has also weighed.
Social:
- Population age describes the target division for the advertisement content as well as the medium of
advertisement. Those advertisements targeting kids need to be appropriate for a particular age group
which will contain higher impact. For advertisement targeting minor group, it's the advertiser's
responsibility to take care of the content that impact of the kid's imagination.
- Geographic distribution advertisements can be applied everywhere in all demographics. The
domestic sentiments, culture, should be incorporated in the advertisements.
- The increase in education level and income: The increase in people's income entails that the
population is able or is spending more on products that enhance their status symbol. They engage into
additional gadgets and are linked to the internet each minute. The advertising industry alters the
mode of reaching people through several display mediums and is targeting the segment with the
different category of advertisement. In modern day women are more self-sufficient and confident,
there is a need to amend the way advertisers used to appear at targeting ads for female consumers.
The advertisements that used to target homemakers may not be persuading in the present scenario.
- The advertisers must follow the social and ethical standards of the society in which the ads are being
displayed. Whenever social matters are violated, government moves in to take corrective actions to
what is fair and deceptive. With changes in social ethics and values, it's the advertisers that must
change their way to link with the society. Advertisement transforms the way individuals look towards
the society. It can transform the view to an avaricious society, where it will influence viewers towards
superfluous spending. Advertisers influence the people outside their shown product and form
unexpected cost to the society. Though advertisers can establish a leeway via the laws to display their
alcohol brand in rock shows, it is the advertiser's responsibility presently to form socially responsible
advertising.
Technological advancements: With an increase in Internet awareness and usage on many devices, the
advertising industry has to transform the way advertisements reach its customers. The increasing
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller violetpham. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $3.86. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
50843 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now