In your example, there are two possibilities: either you did want and need to buy the product before the advertisement or you didn't.
In the first case, the advertisement was wasteful: the company that sold you the product has unnecessarily spent money, which goes to the product price. And this is not a small amount: big consumer companies spend billions on advertisement space/time alone, an amount comparable to their R&D expenses. I'm talking about ads alone, not other marketing expenses, many of which are related to advertisement. In most companies, marketing budget dwarves R&D, by the way, and in some markets, this costs could very well be the biggest chunk of the price in a product.
In the second case, you would not buy the product without the ad. That may mean that you simply didn't know the product before and finding it was good for you, but most probably you didn't need it or would not want it if not because of the ad.
In this common case, you didn't win: you just spent money because of a need/want that you didn't have before seeing the ad. You were hacked and exploited for both the publisher and advertiser benefit.
There's an amusing and relatively new third case where you already have bought the product, but ad servers are dumb and will spam you with ads for that product for months, because your trackers said you searched for that product once.
I wanted to mention this exact thing on one of the threads earlier today but couldn't articulate it properly.
In the UK the department stores John Lewis and House of Fraser are both guilty of this - if I browse something on either of their sites an ad for it follows me around the web for ~4 months.
E.g. I was buying Birthday gifts for my girlfriend at the beginning of July and looked on both of these sites and they are both displaying the same ads to me (i.e. at this point both are spending their advertising budget to annoy me)
What I want is this - a space where I can say "I'm looking for a picnic hamper for a gift & I want to spend between £25 & £50. I need it by date X"
This can then be given to the advertisers (auctioned?) and they can display some ads to me which are relevant. When date X is reached (or I indicate that I've bought said item and am therefore out of the market) these ads stop.
For added info I can even say what I bought and why - e.g. "I bought X in your store as a picnic hamper won't fit through my mailbox"
Surely this is more useful for everyone involved? I get ads which are actually being targeted based on something I control (vs. being inferred via which sites I happen to click on or what cookies are set) and the advertisers get more detailed info as well.
I believe such a thing already exists :) http://imgur.com/p6GD6kD (plus no need for a "need it by date X" feature as these ads don't follow you around everywhere!)
Actually some advertising is intended to reach people who already bought the product, to reassure them they made the right decision, and to keep buying their brand in the future (brand loyalty).
For crying out loud. There's also a third option: you're researching similar products because of an existing need, and you haven't heard of $ADVERTISING_COMPANY before you saw the ad, and they turn out to have a better product than competitors.
> For crying out loud. There's also a third option: you're researching similar products because of an existing need, and you haven't heard of $ADVERTISING_COMPANY before you saw the ad, and they turn out to have a better product than competitors.
Actually, I did address that, as part of the second case:
"That may mean that you simply didn't know the product before and finding it was good for you"
>> You were hacked and exploited
>Yeah, that's not what either of those words mean.
Late response for the record: you think you're in control of your mind and how it works. But advertisers are very ingenious in developing ways to make your mind behave in a manner you (the admin) does not want it to, in a sneaky way. A very good metaphor for it is hacking.
Unfortunately, this is neither DefCon or a James Randi show, so they do not do it for fun. They explore this hack to take advantage from you (your system, if you will) for their profit and your damage. An exploit.
I did not use "literally", but I refrained from using a more strong indicator of a figure of speech (eg, using "virtually") because I though I could engage in a better debate here then this. I still think I was right, but there are always exceptions.
He might have had the need before seeing the ad but hadn't seen a solution.
Adverts are at their basic level a way of informing end users about what they can purchase. They are also there to try and raise brand awareness. People are more likely to trust a brand that they have heard of rather than some unknown.
Not at all. Makes brands with colossal marketing budgets sell more despite there being better alternatives from small companies. But that's how human consumption works, and it's virtually impossible to change that.
In the first case, you know you need some product, but not necessarily which one. You need a pair of shoes, but are you going to get Reeboks, Nike, Asics, or what? They all serve the need you originally had, advertising is just directing you towards one or the other.
I hate it when style items like shoes are used as an example. Once you're out of your teens shopping for shoes just isn't much of an issue in real life. Real life is more like, "I need a vacuum. It needs these properties: canister, quiet, light, and a beater brush." No ad is really going to give you this information. Any ad showing a vacuum is just wasting your time. You're going to go to an objective site to compare products, not click through to some random site and purchase.
And advertisers know this so we get a host a stupid ads trying to convince you that one flavor of sugar water is better than another. Or that this poop inducing yogurt is better than that. In other words, effective ads rely on trickery to get you to think style is more important than substance.
I need a vacuum cleaner. I know a couple of companies, I research their vacuums. Still not sure what I want, then I see an add for foobar vacuums... Never heard of them, let me go research them too.
By the way, for YOU, shopping for shoes isn't much of an issue, but that isn't true for a lot of other people.
The other thing is a lot of people don't spend their time "going to an objective site"
In the first case, the advertisement was wasteful: the company that sold you the product has unnecessarily spent money, which goes to the product price. And this is not a small amount: big consumer companies spend billions on advertisement space/time alone, an amount comparable to their R&D expenses. I'm talking about ads alone, not other marketing expenses, many of which are related to advertisement. In most companies, marketing budget dwarves R&D, by the way, and in some markets, this costs could very well be the biggest chunk of the price in a product.
In the second case, you would not buy the product without the ad. That may mean that you simply didn't know the product before and finding it was good for you, but most probably you didn't need it or would not want it if not because of the ad.
In this common case, you didn't win: you just spent money because of a need/want that you didn't have before seeing the ad. You were hacked and exploited for both the publisher and advertiser benefit.