Six Trends in Advertising: Analysis of Successful TV Commercials

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Six Trends in Advertising:
Analysis of Successful
TV Commercials
LEE Dong-Hun
For a long time now, advertisements have been
used as a strategic tool to promote product
awareness and strengthen brand preference,
thereby boosting sales, as well as to foster customer loyalty by building customer relationships. Indeed, the American Marketing Association (AMA) defines advertising as an activity
to introduce products (ideas, services, organizations, individuals) or boost sales via information-transmitting media. Thus, the primary
goal of advertising can be said to be delivering
information to people for a particular purpose.
These days, successful commercials, both at
home and abroad, are evolving from companies
unilaterally informing consumers about a product (“telling type”) to those in which consumers
voluntarily participate in the spreading of the
message (“passing along type”). Thanks to the
spread of digital technology, consumers can
now actively choose and edit information they
want and even control the messages carried by
commercials. Flooded by commercials via various media channels, consumers are no longer so
easily influenced by them as they were in the
past. Accordingly, various innovative ways of
advertising are emerging to capture consumer
appeal. In other words, characteristics of Web
2.0 (i.e., openness, sharing and participation) are
also appearing in the advertising industry. The
digital, internet era is demanding a new role of
advertising as a means of communication.
This report takes a look at recent, popular Korean commercials to identify current trends in
advertising and considers their implications for
corporate management. This is possible as advertisements are not simply strategic tools for
businesses, but a window into society, and so
can be used to deepen our understanding of a
country’s social fabric. At the same time, successful commercials can act as a powerful
means to bring about changes in society.
Trend 1
Commercials = New Entertainment
A notable change has occurred in how the public perceives TV commercials: they are no longer considered just a method of information delivery, but also have become a source of
enjoyment. In the past, commercials were a nuisance to consumers, considered meaningless
images to be endured between program segments. The terms “zapping” and “zipping” were
coined to represent consumers’ propensity to
avoid commercials as much as possible.
Today, many viewers enjoy commercials in and
of themselves for their artistic value and trendy
and humorous plots. For instance, there are
websites where netizens can view current and
past commercials at their leisure. One of the
more frequented sites, TVCF (www.tvcf.co.kr),
replays commercials and provides information
about models, voice actors, music download
services and advertisement reviews. Also, Naver, Korea’s largest portal site, recently created
“AD CAST,” indicating how the current trend
in advertising has become a part of cultural
content.
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Six Trends in Advertising: Analysis of Successful TV Commercials
Also, consumers have gone beyond their traditional parodying of commercials by spending
their time actually producing, editing and criticizing commercials. For example, a Kookmin
Card commercial “Take it out, it has too many
benefits to keep it in your wallet” used the basic
concept, copy, and music all of which came from
a UCC (User Created Content) contest. This is a
prime example of how consumers are increasingly participating in the production of commercials, and reflect the public’s increased interest in advertising. Also, SK Telecom’s “Thinking
in T” campaign, the biggest hit commercial in
2008, was used as the foundation for various
UCC, where consumers incorporated the commercial’s song into their own creative concepts.
Maeil Dairy’s 2007 commercial for its bananaflavored milk called “The Banana was Originally White,” which used UCC-type style filming,
raised product sales four-fold, as the realitybased content gained popularity among consumers. The commercial, referred to as “Manager Baek’s Humiliation” by web users, managed
to gain huge popularity on the Internet. In the
three-episode series, Mr. Baek, a mid-level manager, relentlessly attempts to convince his supervisor of bananas originally being white. The
commercial’s success can be attributed to its
hidden-camera setting, seemingly placing the
viewer in a real-life situation. This added humor, interest and reality to the piece. In addition, the commercial effectively delivered product information through the use of a twoperson dialogue.
Maeil Dairy’s Advertisement for “The Banana was Originally White”
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Such originality exemplifies how current commercials have dramatically departed from traditional styles, more closely matching consumer
needs and leading advertising campaigns to
success by clearly differentiating themselves
from competitors’ products and brands.
Trend 2
Long-Term Advertising Campaigns Catch
Consumers’ Eye
Brand image-based commercials, such as “A
Second Family” by Samsung Electronics, “I’m
Going Home” by Samsung’s Raemian, an
apartment brand, and “The Young Days of
Choice” by Bacchus, a popular energy drink,
have been set firmly in the minds of the Korean
consumer. According to the advertising industry, however, companies/advertising agencies
usually find it difficult to decide on long-term
advertising campaigns or commercial series for
their products. This is because the impact of advertising campaigns tends not to be immediately visible. In addition, both advertisers and advertising agents are used to thinking that
commercials need to be different from previous
ones to appear fresh and new. This explains
why popular celebrity models are commonly
chosen to showcase products; companies are
geared to maximizing the short-term effects of
advertising.
However, advertising campaigns that use a consistent tone and manner have become the latest
trend in the Korean advertising industry. The
most representative example would be KTF’s
“Do the SHOW” campaign, the most frequently referred to commercial among TVCF’s Best
Advertisements for 2007/2008. Its creators were
also invited to a seminar at the Cannes Advertising Festival and took the Grand Prize at the
Korea Federation of Advertising Associations’
Korea Advertising Awards for two consecutive
LEE Dong-Hun
years (2007 and 2008). Only three months after
the “SHOW” advertisement was launched, its
top-of-mind awareness and unaided recall recorded 31% and 99%, respectively. On the
fourth month, KTF “SHOW,” which used to be
ranked second for a long time, rose to the No.1
brand with over one million subscribers. KTF
“SHOW” formed a unity in its series by using
consistent tones and manners. Furthermore,
subsequent commercials such as the “Korea
Report” in 2007 and “Show of My Life” in 2008
became so popular that consumers eagerly
awaited future installments
delivery through a series of commercials raises
not only product awareness but also increases
appeal and persuasive power. Long-term campaigns often have effects similar to public service commercials and so help to appeal to the
hearts and minds of consumers. Campaigns
that depict the periodic changes in Korean society not only arouse nostalgia but also convey
that the brand has lived through important
events in Korean history together with the viewer, embodying the product as a member of Korean society and consequently raising the brand’s
appeal.
Trend 3
Humor Increasingly Influential
in Advertisement Success
According to the Korea CM Institute’s “CM
Value Annual Report,” the importance of humor has increased the most in determining
brand appeal over the past three years. As a
popular source of creativity, humor had been
widely used in commercials for food & beverages and household goods because it is an effective tool in attracting the attention of consumers. However, humor had not been used much
by companies that cater to consumers who base
their decisions on trust and technological prowess (such as companies in the financial, telecommunications and electronics industries.)
SHOW
“Korea Report”
This type of long-term advertising campaign,
emphasizing consistency of tone and manner,
has been subsequently adopted in product as
well as image marketing. Continuous message
Recently though, products of “high involvement” as well as “low involvement” use comic
motifs for more effective message delivery and
enhanced brand competitiveness. Notably, male
consumers in their 40s and 50s who are usually
unaffected by advertising when purchasing
goods showed higher brand preference for those
companies that provide humorous advertising.
For example, a BC credit card commercial titled “China Trip” created higher brand appeal
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Six Trends in Advertising: Analysis of Successful TV Commercials
|Table 1
Changes in Factors for Advertisement Appeal
(Unit: %)
2006
2007
2008
Sensibility
Humorous advertisement
5.22
5.96
6.19
Model
Attractive models or characters
6.49
6.82
7.20
Audio & Visual
Good background music or sound
5.31
5.81
5.73
Audio & Visual
Good images or pictures
3.47
3.70
3.83
Model
Model matching the product
8.47
7.30
7.17
Brand
Reliable company
3.79
3.76
3.50
Expression
Technologically-savvy advertising
1.80
1.70
1.53
Sensibility
Sexy advertisement
1.13
1.34
0.94
Factors to produce likable brand character
Upward
Factors
Downward
Factors
Source: Korea CM Institute
for males than it did for females. With exaggerated depictions of China, the narrator, through
four-syllable Korean phrases comically pronounced with a noticeable Chinese accent, recommends using the BC credit card on excursions to China. The commercial appealed to
males in their forties who often use credit cards
on overseas trips.
Other commercials have used humor to advertise products that are difficult to differentiate
from competitors’. For example, LG Powercom’s
“Taxi” successfully illustrated the characteristics of optical LAN networks through funny
scenarios. Similarly, LG Telecom’s “OZ Trading Company” adopted a sitcom-based form of
delivery. By placing a veteran actor and actress
in amusing surroundings, the commercial
helped raise advertisement appeal and improve
brand image. In addition, LG Telecom posted
on its homepage a 15 minute blooper-filled, “behind-the-scenes” clip of the commercial to induce consumers to visit their website.
Trend 4
Use of Characterful but Non-Celebrity Models
The model used in an advertisement is widely
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considered the all-important factor that determines success. As it is increasingly difficult to
differentiate between products, the importance
of brand image has become that much more
emphasized, thus the role of the protagonist has
1
2
3
1 BC Card “China Trip” 2 LG Powercom “Taxi”
3 LGT “OZ Trading Company”
LEE Dong-Hun
become a crucial element. Certain celebrities
have become the “face” of a company brand
amid a heavy dependence on a small pool of
high-profile celebrities.
However, commercials that do not use famous
celebrities have been enjoying considerable success of late. Indeed, relatively unknown models
have helped to add a touch of reality to com-
4
5
1
2
3
1 KTF “Old Parents in Their Hometown”
2 KTF “One-Year Old Boy’s Show”
3 KTF “Seven-Year Old Boy’s Show”
4 Nongshim “Instant Rice”
5 Woongjin “Lihom”
mercials. KTF’s “Old Parents in Their Hometown” explains the convenience of video calls
using 3G phones in an easy and persuasive
manner through the unlikely use of a plainlooking, elderly couple. In addition, KTF’s
“One-Year Old Boy’s Show,” and “Seven-Year
Old Boy’s Show” have gained huge popularity
among consumers without the use of star power. Non-celebrity models and real life settings
are effective in increasing persuasive power and
eliciting consumer sympathy.
Interestingly enough, the couple featured in
“Old Parents in Their Hometown” were later
employed in other commercials by Nongshim
Instant Rice and Woongjin Lihom on the back
of their sudden popularity. KTF SHOW has enjoyed recurring reverberation effects through
these two commercials as the couple continues
to be associated with their KTF stardom.
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Six Trends in Advertising: Analysis of Successful TV Commercials
Trend 5
Revival of Addictive Advertising Jingles
In the 1960s and the 1970s, when Korea started
to produce various kinds of consumer goods on
the back of rapid economic growth, advertising
jingles were the most effective tool in boosting
sales. For example, KoKo Syrup’s “Children’s
Baseball Games and Boxing Matches,” Bravo
Corn’s “Meet Us At 12 O’Clock” and Nongshim Ramen’s “Old Brother First, No Younger
Brother First” have stamped an indelible mark
on the Korean consumer’s psyche. Then, with
the emergence of color TV in the 1980s, a more
visual-oriented delivery had become vogue.
However, today, many advertisers are finding
that new and catchy tunes more easily differentiate advertisements from others than do splendid images or products attached to celebrity imagery.
Current jingles focus on heart-moving lyrics
and humor, a change from those of yesteryear
that simply communicated product features.
For example, Lotte’s “Lotte Is the Best Chewing
Gum” enjoyed popularity in the past, while the
popular songs of today include BC Card’s
“Cheer up, Dad” and S-Oil’s “Why on Earth
Does My Car Drive So Well Today?”
Repetitive exposure to jingles creates significant
residual recall about commercials and brands.
It also helps raise the commercial’s appeal to
consumers and creates long-lasting effects.
SKT, which has been on the defensive in light of
KTF’s aggressive advertising activities, created a
huge sensation in its campaign of “Thinking in
T” by employing heartthrob Korean actor
Chang Dong-Gun’s lyrical prowess. SKT continued in this direction in 2009, bombarding the airwaves with “Bibidi Babidi Bu.” Jingles have outgrown their simple function as mere background
music. They now act almost independently to the
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commercial, attracting consumers with their
memorable melodies. This can be illustrated by
the numerous renditions of popular jingles available on the internet. They can also elicit brand
attachment. Consumers participate in the promotion of brands by remaking the easy and simple lyrics of commercials and spreading their
work to others in their community.
Trend 6
Shift in Message from Product Features
to Consumer Benefits
A common rule in the advertising industry is the
“one message” strategy. In short, it is based on
the premise that one unique selling proposition
(USP) is effective. This reflects concerns over
how communicating a multitude of messages in
a single advertisement may easily distract consumers and cause difficulties in understanding
the underlying message, thus weakening the advertisement’s effects. So, a common and frequently made mistake made in current commercials is that they often end up communicating
product features while obscuring their message
and emphasizing technological prowess. In particular, this trend was noticeable in industries
where technological capability was a differentiating point and complex functions were the
competitive edge.
Recent successful commercials have instead adopted a strategy of soft appeal focused on consumer benefits, rather than one of hard appeal,
communicating product characteristics. The
keys to success for these advertisements have
been the use of consumer language and attractive images when communicating features and
technologies. Selecting a simple and clear message as well as delivering messages focusing on
consumers' benefits is helpful to raise message
appeal, brand awareness and brand power.
LEE Dong-Hun
A prime example would be Samsung Electronics' “Anycall Haptic Pop,” a popular mobile
phone, and PAVV LED TVs. Anycall entered
the full touch-screen mobile phone market later
than its competitors such as Apple’s iPhone and
Cyon’s Prada Phone, but rose as a market leader with its successful advertisement titled
“Touch, It Will React.” The company garnered
its success through what were considered its
most crucial factors: the delivery of messages
focused on consumer benefits and a unique,
specialized name, Haptic.
The commercial for Haptic Pop, “Raise Your
Index Finger,” heralded the advent of the “Index
Finger Tribe,” another new group of digital users after the “Thumb Tribe.”
messages “TV of light” and “Finger-slim.” The
commercial also highlighted product differences from previous TVs, pronouncing itself as the
next-generation TV. Despite a global economic
recession, PAVV continues to reign as the
world's first LED TV brand in terms of both
brand awareness and sales.
As product functions become more complex
and competition mounts, the focus of advertising should be placed on consumer benefits. A
simple and clear advertising message has more
impact than communicating abundant information. As for commercials for high-tech products, communicating core functions and technologies in the language of the consumer is
more effective than delivering product features
through advertising messages.
For PAVV LED TVs, key product features were
showcased. Its luminescent diode and slim design were thoroughly emphasized through the
1
2
3
1 PAVV LED “TV of Light” 2 PAVV LED “Movement of Light”
3 PAVV LED “Finger-Slim”
LEE Dong-Hun is a research fellow in the Management Strategy Department at SERI. He received his Ph.D in Business Administration from Sogang University, and was a visiting scholar
at Columbia University. His areas of expertise include marketing
strategy and consumer trends. Contact: [email protected]
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