Advertising
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Advertising is the practice and techniques employed to bring attention to a product or service. Advertising aims to present a product or service in terms of utility, advantages, and qualities of interest to consumers. It is typically used to promote a specific good or service, but there is a wide range of uses, a traditional form being commercial advertisement.
Commercial advertisements often seek to generate increased consumption of products or services through "branding", which associates a product name or image with certain qualities in the minds of consumers. Advertising that intends to elicit an immediate sale is known as direct-response advertising. Non-commercial entities that advertise include political parties, interest groups, religious organizations, and governmental agencies. Non-profit organizations may use free modes of persuasion, such as a public service announcement. Advertising may also help to reassure employees or shareholders that a company is viable or successful.
Worldwide spending on advertising was estimated to be over US$1 trillion in 2025.[1][2][3] Advertising's distribution for 2024 was 59.4% on digital, 24.9% on TV, 5.2% on out-of-home, 4.5% on radio, 3.5% on newspapers, 2.2% on magazines and 0.4% on cinema.[4] Internationally, the largest advertising agency groups in 2025 were Omnicom, Publicis and WPP.[5][6]
History
Egyptians used papyrus to make sales messages and wall posters.[7] Commercial messages and political campaign displays have been found in the ruins of Pompeii and ancient Arabia. Lost and found advertising on papyrus was common in ancient Greece and ancient Rome. Wall or rock painting for commercial advertising is another manifestation of an ancient advertising form, which is present to this day in many parts of Asia, Africa, and South America. The tradition of wall painting can be traced back to Indian rock art paintings that date back to 4000 BC.[8]
In ancient China, the earliest advertising recorded was in the Classic of Poetry (11th to 7th centuries BC) which describes bamboo flutes playing to sell confectionery. Advertising usually took the form of calligraphic signboards and inked papers. A copper printing plate dated to the Song dynasty era was used to print posters in the form of a square sheet of paper with a rabbit logo, that included the copy "Jinan Liu's Fine Needle Shop" and "We buy high-quality steel rods and make fine-quality needles, to be ready for use at home in no time" written above and below,[9] and is considered to be the world's earliest identified printed advertising medium.[10]
In Europe, as the towns and cities of the Middle Ages began to grow, and the general population was unable to read, instead of signs that read "cobbler", "miller", "tailor", or "blacksmith", images associated with their trade would be used, such as a boot, a suit, a hat, a clock, a diamond, a horseshoe, a candle or a bag of flour. Fruits and vegetables were sold in the city square from carts and wagons and their proprietors used street callers (town criers) to announce their whereabouts. The first compilation of such advertisements was gathered in "Les Crieries de Paris", a thirteenth-century poem by Guillaume de la Villeneuve.[11]
18th-19th century: Newspaper Advertising
By the end of the 18th century in England, the circulation of newspapers had increased and advertising accounted for a significant proportion of newspaper content. As a result the word 'advertiser' began to be used in newspaper names/titles. Prior to the 19th century, most advertisements were for books or medicines. At this time, advertisements rarely used images.[12]
In the United States, newspapers grew quickly in the first few decades of the 19th century, in part due to advertising. By 1822, the United States had more newspaper readers than any other country. About half of the content of these newspapers consisted of advertising, usually local advertising, with half of the daily newspapers in the 1810s using the word "advertiser" in their name.[13]
In August 1859, British pharmaceutical firm Beechams created a slogan for Beecham's Pills: "Beechams Pills: Worth a guinea a box", which is considered to be the world's first advertising slogan.[14] The Beechams adverts would appear in newspapers all over the world, helping the company become a global brand.[14][15] The phrase was said to be uttered by a satisfied lady purchaser from St Helens, Lancashire, the founder's hometown.[16]
In June 1836, the French newspaper La Presse was the first to include paid advertising in its pages, allowing it to lower its price, extend its readership and increase its profitability[17] and the formula was soon copied by all titles.
Around 1840, Volney B. Palmer established the roots of the modern day advertising agency in Philadelphia. In 1842 Palmer bought large amounts of space in various newspapers at a discounted rate then resold the space at higher rates to advertisers. The actual ad (copy, layout, and artwork) was prepared by the company advertising, with Palmer being a space broker. The first full-service advertising agency of N.W. Ayer & Son was founded in 1869 in Philadelphia. Ayer & Son offered to plan, create, and implement complete advertising campaigns for its customers. By 1900 the advertising agency had become the focal point of creative planning, and advertising was firmly established as a profession.[18] Around the same time, in France, Charles-Louis Havas extended the services of his news agency, Havas to include advertisement brokerage. At first, agencies were brokers for advertisement space in newspapers.[18]
Late 19th century: Modern Advertising
The late 19th and early 20th centuries saw the rise of modern advertising, driven by industrialization and the growth of consumer goods. This era saw the early ad agencies employing more cunning methods such as persuasive diction and psychological tactics.[19] Thomas J. Barratt of London has been called "the father of modern advertising".[20][21][22] Working for the Pears soap company, Barratt created an effective advertising campaign for the company products, which involved the use of targeted slogans, images, and phrases. One of his slogans, "Good morning. Have you used Pears' soap?" was famous in its day and into the 20th century.[23][24] In 1882, Barratt recruited English actress and socialite Lillie Langtry to become the poster girl for Pears, making her the first celebrity to endorse a commercial product.[25][26]
Becoming the company's brand manager in 1865, listed as the first of its kind by the Guinness Book of Records, Barratt introduced many of the crucial ideas that lie behind successful advertising, and these were widely circulated in his day. He stressed the importance of a strong and exclusive brand image for Pears and of emphasizing the product's availability through saturation campaigns. He also understood the importance of constantly reevaluating the market for changing tastes, stating in 1907 that "tastes change, fashions change, and the advertiser has to change with them. An idea that was effective a generation ago would fall flat, stale, and unprofitable if presented to the public today. Not that the idea of today is always better than the older idea, but it is different – it hits the present taste."[21]
Enhanced advertising revenues was one effect of the Industrial Revolution in Britain.[27] Thanks to the revolution and the consumers it created, by the mid-19th century biscuits and chocolate became products for the masses, and British biscuit manufacturers were among the first to introduce branding to distinguish grocery products.[28][29] One the world's first global brands, Huntley & Palmers biscuits were sold in 172 countries in 1900, and their global reach was reflected in their advertisements.[28]
20th century onwards
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As a result of massive industrialization, advertising increased dramatically in the United States. In 1919, advertising expenditure was 2.5% of gross domestic product (GDP).[31] Industry could not benefit from its increased productivity without a substantial increase in consumer spending. This contributed to the development of mass marketing designed to influence the population's economic behavior on a larger scale.[32] In the 1910s and 1920s, advertisers in the U.S. adopted the doctrine that human instincts could be targeted and harnessed – "sublimated" into the desire to purchase commodities.[33] Edward Bernays, a nephew of Sigmund Freud, became associated with the method and is sometimes called the founder of modern advertising and public relations.[34] Bernays claimed that:
[The] general principle, that men are very largely actuated by motives which they conceal from themselves, is as true of mass as of individual psychology. It is evident that the successful propagandist must understand the true motives and not be content to accept the reasons which men give for what they do.[35]
In other words, selling products by appealing to the rational minds of customers (the main method used prior to Bernays) was much less effective than selling products based on the unconscious desires that Bernays felt were the true motivators of human action. "Sex sells" became a controversial issue, with techniques for titillating and enlarging the audience posing a challenge to conventional morality.[36][37]
In the 1920s, under Secretary of Commerce Herbert Hoover, the American government promoted advertising. Hoover himself delivered an address to the Associated Advertising Clubs of the World in 1925 called 'Advertising Is a Vital Force in Our National Life."[38] In October 1929, the head of the U.S. Bureau of Foreign and Domestic Commerce, Julius Klein, stated "Advertising is the key to world prosperity."[39] This was part of the "unparalleled" collaboration between business and government in the 1920s.[40]
During this era, tobacco companies became major advertisers in order to sell packaged cigarettes.[41] The tobacco companies pioneered new advertising techniques when they hired Bernays to create positive associations with tobacco smoking.[42][43]
Advertising was also used as a vehicle for cultural assimilation, encouraging workers to exchange their traditional habits and community structure in favor of a shared "modern" lifestyle.[44] An important tool for influencing immigrant workers was the American Association of Foreign Language Newspapers (AAFLN). The AAFLN was primarily an advertising agency but also gained heavily centralized control over much of the immigrant press.[45][46]
At the turn of the 20th century, advertising was one of the few career choices for women. As women were responsible for most household purchasing, advertisers and agencies recognized the value of women's insight during the creative process. In fact, the first American advertising to use a sexual sell was created by a woman – for a soap product. Although tame by today's standards, the advertisement featured a couple with the message "A skin you love to touch".[47]
In the 1920s, psychologists Walter D. Scott and John B. Watson contributed applied psychological theory to the field of advertising. Scott said, "Man has been called the reasoning animal, but he could with greater truthfulness be called the creature of suggestion. He is reasonable, but he is to a greater extent suggestible".[48] He demonstrated this through his advertising technique of a direct command to the consumer.
Radio from the 1920s
In the early 1920s, the first radio stations were established by radio equipment manufacturers, followed by non-profit organizations such as schools, clubs, and civic groups who also set up their own stations.[49] Retailers and consumer goods manufacturers quickly recognized radio's potential to reach consumers in their homes and soon adopted advertising techniques that would allow their messages to stand out; slogans, mascots, and jingles began to appear on radio in the 1920s and early television in the 1930s.[50]
The rise of mass media communications allowed manufacturers of branded goods to bypass retailers by advertising directly to consumers. This was a major paradigm shift that forced manufacturers to focus on the brand and stimulated the need for superior insights into consumer purchasing, consumption, and usage behavior; their needs, wants, and aspirations.[51] The earliest radio drama series were sponsored by soap manufacturers and the genre became known as a soap opera.[52] Before long, radio station owners realized they could increase advertising revenue by selling 'air-time' in small time allocations, which could be sold to multiple businesses. By the 1930s, these advertising spots, as the packets of time became known, were being sold by the station's geographical sales representatives, ushering in an era of national radio advertising.[53]
By the 1940s, manufacturers began to recognize the way in which consumers were developing personal relationships with their brands in a social/psychological/anthropological sense. Advertisers began to use motivational research and consumer research to gather insights into consumer purchasing. Strong branded campaigns for Chrysler and Exxon/Esso, using insights drawn research methods from psychology and cultural anthropology, led to some of the most enduring campaigns of the 20th century.[54]
Commercial television in the 1950s
In the early 1950s, the DuMont Television Network began the modern practice of selling advertisement time to multiple sponsors. Previously, DuMont had trouble finding sponsors for many of their programs and compensated by selling smaller blocks of advertising time to several businesses. This eventually became the standard for the commercial television industry in the United States. However, it was still a common practice to have single sponsor shows, such as The United States Steel Hour. In some instances the sponsors exercised great control over the content of the show – up to and including having one's advertising agency actually writing the show.[55] The single sponsor model is much less prevalent now, a notable exception being the Hallmark Hall of Fame.[56]
Cable television from the 1980s
The late 1980s and early 1990s saw the introduction of cable television and particularly MTV. Pioneering the concept of the music video, MTV ushered in a new type of advertising: the consumer tunes in for the advertising message, rather than it being a by-product or afterthought. As cable and satellite television became increasingly prevalent, specialty channels emerged, including channels entirely devoted to advertising, such as QVC, Home Shopping Network, and ShopTV Canada.[57]
Internet from the 1990s
With the advent of the ad server, online advertising grew, contributing to the "dot-com" boom of the 1990s.[58] Entire corporations operated solely on advertising revenue, offering everything from coupons to free Internet access. At the turn of the 21st century, some websites, including the search engine Google, changed online advertising by personalizing ads based on web browsing behavior. This has led to other similar efforts and an increase in interactive advertising.[59] Online advertising introduced new opportunities for targeting and engagement, with platforms like Google and Facebook leading the charge. This shift has significantly altered the advertising landscape, making digital advertising a dominant force in the industry.[60][61][62]
The share of advertising spending relative to GDP has changed little despite large changes in media since 1925. In 1925, the main advertising media in America were newspapers, magazines, signs on streetcars, and outdoor posters. Advertising spending as a share of GDP was about 2.9%. By 1998, television and radio had become major advertising media; by 2017, the balance between broadcast and online advertising had shifted, with online spending exceeding broadcast.[63] Nonetheless, advertising spending as a share of GDP was only slightly lower – about 2.4%.[64]
Guerrilla marketing involves unusual approaches such as staged encounters in public places, giveaways of products such as cars that are covered with brand messages, and interactive advertising where the viewer can respond to become part of the advertising message. This type of advertising is unpredictable, which can cause consumers to buy the product or idea.[65] This reflects an increasing trend of interactive and "embedded" ads, such as via product placement, having consumers vote through text messages, and various campaigns utilizing social network services such as Facebook or Twitter/X.[66]
In some instances businesses will obtain media by providing equity. This is known as media for equity, where advertising is not sold, but is instead provided to start-up companies in return for equity. If the company grows and is sold, the media companies receive cash for their shares. This practice started in Europe but has become increasingly popular in the US, with businesses such as Uber, Airbnb and Pinterest achieving global growth by using such tactics.[67]
Classification
Advertising may be categorized in a variety of ways, including by style, target audience, geographic scope, medium, or purpose.[68]: 9–15 For example, in print advertising, classification by style can include display advertising (ads with design elements sold by size) vs. classified advertising (ads without design elements sold by the word or line). Advertising may be local, national or global. An ad campaign may be directed toward consumers or to businesses. The purpose of an ad may be to raise awareness (brand advertising), or to elicit an immediate sale (direct response advertising). The term above the line (ATL) is used for advertising involving mass media; more targeted forms of advertising and promotion are referred to as below the line (BTL).[69][70] The two terms date back to 1954 when Procter & Gamble began paying their advertising agencies differently from other promotional agencies.[71] In the 2010s, as advertising technology developed, a new term, through the line (TTL) began to come into use, referring to integrated advertising campaigns.[72][73]
Traditional media
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Virtually any medium can be used for advertising. Commercial advertising media can include wall paintings, billboards, street furniture components, printed flyers and rack cards, radio, cinema and television adverts, web banners, mobile telephone screens, shopping carts, web