Differences Between Product Advertising and Institutional Advertising.

 

Product Advertising:

Product advertising is focused on promoting a specific product or service to drive sales and generate revenue for a company. It aims to create awareness, generate interest, and persuade consumers to purchase a particular product. Product advertising can take three forms: pioneering, competitive, and reminder.

Pioneering (or Informational) Advertising: 

Pioneering advertisements are used during the introductory stage of a product's life cycle. The objective is to inform the target market about what the product is, what it can do, and where it can be found. These ads provide detailed information to educate consumers about the features, benefits, and availability of the product. The primary goal is to generate awareness and build a foundation for future sales.

Competitive (or Persuasive) Advertising: 

Competitive advertisements focus on promoting a specific brand's features and benefits in order to persuade the target market to choose that brand over competitors. These ads highlight the unique selling propositions and competitive advantages of the product, positioning it as the superior choice. Comparative advertising, where one brand's strengths are shown relative to those of competitors, is increasingly common in this category. Comparative ads attract attention and can enhance the perceived quality of the advertised brand.

Reminder Advertising: 

Reminder advertising aims to reinforce previous knowledge and maintain brand awareness among consumers. It is typically used for products that have already achieved a well-recognized position and are in the mature phase of their life cycle. Reminder ads serve as gentle prompts to remind consumers about the product and encourage repeat purchases. They can also reassure current users that they made the right choice.

Institutional Adevertising:

Institutional advertising focuses on building goodwill, enhancing the image, and establishing a positive reputation for an organization rather than promoting a specific product or service. It aims to shape public perception and create a favorable impression of the company as a whole. Institutional advertising can be used to support public relations efforts or counter adverse publicity. Four common forms of institutional advertising include advocacy, pioneering, competitive, and reminder.

Advocacy Advertising: 

Advocacy advertisements express a company's position on a particular issue, cause, or initiative. They are used to showcase the company's values, principles, and commitment to social responsibility. Advocacy ads can also be used to make requests related to specific actions or behaviors, such as blood donations or environmental conservation.

Pioneering Institutional Advertising: 

Pioneering institutional ads are similar to pioneering product ads but focus on introducing the organization itself rather than a specific product. These ads inform the audience about what the company is, what it can do, or where it is located. The goal is to establish a positive image and create awareness of the company's capabilities and offerings.

Competitive Institutional Advertising: 

Competitive institutional advertisements promote the advantages of the organization as a whole compared to competitors in the same industry or sector. These ads emphasize the organization's strengths, achievements, and unique selling points to position it as the preferred choice among consumers or stakeholders.

Reminder Institutional Advertising: 

Reminder institutional advertising serves as a reinforcement tool to bring the company's name or brand to the attention of the target market again. These ads aim to maintain brand awareness, strengthen brand recall, and remind the audience about the organization and its positive attributes.

Overall, the key distinction between product advertising and institutional advertising lies in their objectives. Product advertising aims to promote specific products or services to drive sales, while institutional advertising focuses on building a positive image and reputation for the organization as a whole. Each type of advertising serves different purposes and employs various strategies to achieve its objectives.