Attempts to dictate their rules to the media has become a common practice among marketers and the advertising industry. Similar as in the
According to a memo published by the New York Post, Coca-Cola demands a free ad from any publication that publishes a Coke ad adjacent to stories on religion, politics, disease, sex, food, drugs, environmental issues, health, or stories that employ vulgar language. "Inappropriate editorial matter" will result in the publisher being liable for a "full make good," said the memo by Coke advertising agency
(Source: Odwyerpr.com: Coke Dictates nearby Editorial.
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Although Web advertising becomes a significant portion of marketing budgets, advertisers are still unsure on how to unlock the potential of the Internet. Current findings show that:
- Consumer brands spend only a fraction of their advertising budget on on-line advertising.
- Technology companies spend five times more on advertising in the WWW.
- While banner campaigns are still popular, there is no standardized solution for on-line advertising.
- Ad pricing is based on CPM (costs per 1.000 visitors), rather than on results.
- Personalized targeting has not yet taken hold. Instead advertisers mainly target on content.
At the moment three dominant models are used for Internet advertising:
Destination Sites: They use entertainment, high production values and information to pull users in and bring them back again.
Micro Sites: Content sites or networks host small clusters of brand pages.
Banner Campaigns: Those include other forms of Web advertising like sponsorships.
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"Attention Brokerage" is one of the latest developments in the field of online advertising. The first Web-site applying the concept of selling and buying attention is Cybergold. Users, who want to earn money have to register and then look at ads, which, of course, they have to prove by e.g. downloading software. Attention, according to this idea, represents a good, which is worth being paid for.
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The advertising industry is dominated by three huge advertising networks, which offer their services throughout the world. Gross income of the three leading agencies is twice as much, as the one of places four to ten.
Table: World's Top 10 Advertising Organizations 1999
(figures in millions of U.S. dollars)
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Table: Top 10 Global Marketers 1998
(figures in millions of U.S. dollars)
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On the other hand the three biggest advertisers only spend about US$ 2 millions less than places four to ten together. Whereas money spent on advertising in traditional media comes from very diverse categories, companies offering computer hard- and software, peripherals or Internet services mainly pay for on-line advertisements.
Table: Top 10 Internet Advertisers 1998
(figures in millions of U.S. dollars)
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Source: Advertising Age
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Public relations usually is associated with the influencing of public opinion. Therefore it has subsequently been linked with propaganda. Using one of the many definitions of propaganda "... the manipulation of symbols as a means of influencing attitudes on controversial matters" (Harold D. Lasswell), the terms propaganda and PR seem to be easily interchangeable.
Still many authors explicitly distinguish between public relations, advertising and propaganda. Unlike PR, which is often described as objective and extensive information of the public, advertising and propaganda are associated with manipulative activities. Nevertheless to treat public relations and propaganda as equivalents stands in the tradition of PR.
Also institutions like the
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American corporation founded in 1892 and today engaged primarily in the manufacture and sale of syrup and concentrate for Coca-Cola, a sweetened, carbonated beverage that is a cultural institution in the United States and a symbol around the world of American tastes. The company also produces and sells other soft drinks and citrus beverages. Corporate headquarters are in Atlanta, Ga. The post-World War II years saw diversification in the packaging of Coca-Cola and also in the development or acquisition of new products. In 1946 the company purchased rights to the Fanta soft drink, previously developed in Germany. It introduced the lemon-lime drink Sprite in 1961 and the sugar-free cola Tab in 1963. By purchase of Minute Maid Corporation in 1960, it entered the citrus beverage market. In 1982 the company acquired a controlling interest in Columbia Pictures, a motion picture and entertainment company, but sold its interest to Sony Corporation in 1989.
Born 1891 in Vienna, Bernays was one of the founders of modern public relations. An enigmatic character, he was a master of mise en scène with far-reaching contacts in the world of business and politics. The nephew of Sigmund Freund and related with Heinrich Heine, he was also among the first to pursue PR for governments and to produce pseudo-events. Bernays considered the manipulation of public opinion as an important element of mass democracies and was of the opinion that only through PR a society's order can be kept.
Burson-Marsteller, the worlds leading public relations firm employs over 2,000 professionals in over 30 countries, operating in multiple functional and industry practice specialties. Its focus is on adding value to its clients through the use of
Perception Management. The goal is to ensure that the perceptions which
surround their clients and influence their stakeholders are consistent with
reality and the clients' desired business objectives.
Porter Novelli is the third largest PR firm with 1998 net fees of US$ 183,050,000. The companies focus lies on building brands, enhancing reputation and crisis management. Porter Novelli is specialised in: Food and nutrition, health care, consumer goods, technology, public affairs and social marketing.