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Your might be right about most people. (advertisers love to tell this to their CEO but they've been wrong about this before - just look at the 20 million dollar
by pascalxus 7y ago
Your might be right about most people. (advertisers love to tell this to their CEO but they've been wrong about this before - just look at the 20 million dollar case study with Ebay and their wasted ad spend on google ads).
But, it really doesn't work on me 99.9% of the time. I know because I review all my spending habits and I can clearly see 1/2 of the products I buy don't even advertise. Ever seen an ad for cucumbers or tomatoes or other real food? or rotten robbies gas station? i have no idea what label is on my clothes. etc.
And even on the rare occasions when it does work, the vast majority of the ads still are completely wasted. How many times have I seen an ad for metromile, when I'm already a happy customer of theirs. their targetting must be awful.
Sometimes I use the product because I'm forced to: like when sharebuilder got bought out by etrade. how many times will I see the completely useless etrade ads over my lifetime? i mean I'm already their customer (by default), so all their ad dollars are completely wasted.
- mayniac 7y agoI doubt the only products you buy are cucumbers, tomatoes and gas. You've chosen your phone, laptop, car, and various other branded items. Advertising very likely played a role in your decisions there. How can you actually be sure that advertising doesn't work on you? Of course, you don't see an ad on TV for a new smart fridge and immediately jump out of your sofa, wallet in hand, to go buy it. But the key thing is that _nobody does_. That's not the point. The idea is that six months down the line when your fridge breaks irreparably and you're deciding between different brands, those ads will have an influence, and you won't realise it. People who think advertising doesn't work on them _are godsends to advertisers_. This article puts it quite well, although I don't agree with its conclusions[0]: "If you don’t believe advertising works on you, you are going to be more likely to see good advertising as something else entirely and be more receptive to it and thusly more likely to take the action I want you to take." There was a study a few months ago which found that people who think they are immune to advertising are more susceptible to it than average, but I can't find a link. It was one of the things that changed my opinion on this: I also used to think I was not susceptible to most advertising, but this is a dangerous mentality. You just don't think you're susceptible. I've come around to thinking Bill Hicks was completely right on this [1] Also with the Metromile point, that's not bad targeting. Ads are often targeted at existing users of the ads product. The point is to keep brand loyalty and limit buyer's remorse. [0] https://medium.com/@dahanese/advertising-works-don-t-believe-me-then-you-are-my-favorite-demographic-ebf6b1f2541a https://medium.com/@dahanese/advertising-works-don-t-believe... [1] https://www.youtube.com/watch?v=tHEOGrkhDp0 https://www.youtube.com/watch?v=tHEOGrkhDp0
- pascalxus 7y agoI'm not your typical consumer. I buy the cheapest thing of each category unless there's an overwhelming reason not to. Computer: macbook pro (not because of ads but because I had to in order to develop for apple products), phone: Iphone - got it for free as a handme down from my wife. Very few of the groceries I buy have labels on them: it's all fresh fruit, veggies, things from the bulk section, almost nothing in the grocery store I've bought is advertised. I don't eat processed food or any kind of food that comes in a box or prepackaged bag. When my fridge breaks down I will buy the cheapest fridge I can find unless there's data that shows some fridges are more reliable than others. I buy maybe 2 pairs of pants per decade, and when I do buy clothes it's usually at used clothing store, and I don't pay any attention to what the label says other than the size and type of material. Brand almost never ever comes into my decision making process. that's why its so hard for me to believe. I buy the cheaper one every time unless there's overwhelming reason not to. Frankly, I don't understand how this isn't the default behaviour for everyone. The only areas where advertising works on me is on the following (when they actually give me information about products I actually want): occassionally on movies (but even then it's a small percentage ~ most of the time i get whatevers i find on fandango ~ i've even missed some movies i wanted to watch because the ads didn't reach me or I forgot), occassionally the restaurant coupons (half price), metromile, maybe banking (since that actually does require trust) . Metromile is wasting their money by retargetting me. I'll leave the second I find another insurance that's cheaper - I have absolutely 0 brand loyalty for almost everything. If anything, they're just reminding me to check around for cheaper services that may pop up. Utility bills -> no choice therefore ads don't matter. Housing -> found on zillow . Zillow itself, someone told me about it (not advertisement). phone plan - i really had to hunt to find usmobile - 8$/month for 100 minutes, 100 messages. I can't even imagine how much money the telecom industry has squandered on me without any effect at all. ISP - At&t hits me ads all the time, and everytime I'm just reminded about how evil they are and I check around to see if there's any other better broadband providers besides the one I'm using right now. so their ads are actually having the opposite of the desired effect, same with comcast. The reason all these ads don't affect me is because they all appeal to Emotion and unverifiable information. And that's not how I generally make my decisions. For example, when at&t says they have the best network, that's completely useless to me because I can't verify that it's true, or at least it's hard to do so. Because most ads appeal based on emotion and I don't use emotion to make my buying decisions, it means they simply don't work.