Advertising, as a form of communication, has a process which is very similar to that described in the traditional human communication model (Arens et al., 2013). In the traditional human communication model, there are a total of six components: the source/sender, the encoding process, the message, the channel, the decoding process and the receiver (Peter and Olsen, 1994). Applying this model to advertising communication, the source is equivalent to the advertisers/creatives who are involved in the creation and production of advertising and promotional messages (the encoding process). These advertisements and commercials (the message) are then carried by different advertising media (the channel) to the general audience/consumers (the receiver) who may actively and/or passively engage in the interpretation exercise (the decoding process). Therefore in analyzing the effectiveness of advertising communication, we can focus on examining three key indicators: the production, the distribution and the reception (Chan and Lee, 1992). This chapter centers the discussion around these indicators in order to reveal the big picture of advertising communication in Hong Kong.



Production of Advertising Messages

Advertising production can be measured by examining three areas. The first

indicator of productivity is the investment in advertising production; this can

be seen in the level of advertising expenditure in different commercial sectors.

The second productivity indicator is the capability of advertising production

which is reflected by the manpower engaged in the advertising industry. The

quality of advertising production represents the third productivity indicator.

Investment in Advertising Production

Nielsen (2015), the world’s leading provider of marketing research, compiles figures of advertising expenditure by different product categories. In the past, reports on advertising expenditure by product category and by brand were prepared in hard-copy format on a monthly basis. However, as the advertising market is becoming increasingly competitive, clients require timely reports on an interactive platform: admanGo was founded in 1999 to provide such a service. It works closely with major advertisers, advertising agencies and media to develop an extensive online advertising archive. Its advertising intelligence database documents advertising creatives and spending data over more than fifteen years. Its competitive advertising monitoring service is updated on a daily basis. A wide range of media types are covered including television, newspapers and magazines, radio, outdoor and in-transit displays, digital and mobile advertising, among others. Detailed reports about advertising expenditure by different product categories, media, brands and campaigns are available by subscription. By clicking on the thumbnails of advertisements on the platform, subscribed users can see the two-dimensional print advertisements, can hear the radio spots, as well as watch the television or digital commercials. Users may also subscribe for enhanced features to keep track of new media types and their adoption levels in the market.

Capability of Advertising Production

In addition to advertising expenditure, the hardware of advertising production lies in the manpower engaged in the advertising industry. The first survey of advertising and public relations manpower was conducted in 1987 by the Vocational Training Council. It covered all advertising agencies, public

relations agencies, media agencies and selected in-house advertising and

public relations departments in Hong Kong. The manpower of the advertising

and public relations industries were surveyed every two years and figures

were reported. The formal training requirements and qualifications were also

examined. However, the statistics were reported by job level (i.e. managerial,

supervisory, executional and supporting/technical) instead of by function

(e.g., account servicing, creative, media planning). Other than advertising

manpower, the number of advertising programs offered by local institutions

and the respective intakes every year can also serve as an indicator of the

capability of advertising production. This information indicates the potential

supply of advertising manpower and the amount of formal training that

individuals receive before joining the advertising profession. Moreover, the

analysis of relationship dynamics between advertisers and advertising agencies may also signal the capacity of advertising production (So, 2005).

Quality of Advertising Production

Another indicator of advertising productivity is the quality of production which is reflected in the number of awards and the recognition and complaints received by the industry. In Hong Kong, no official bodies are designated to censor advertising production. In other words, the advertising industry is largely self-regulated. The Association of Accredited Advertising Agents of Hong Kong (HK4As) has published a code of practice for its members to follow in order to preserve standards and ethics in the advertising profession. The high quality of advertising production was illustrated in the number of awards and positive recognition earned both locally and internationally. These include the Most Popular Television Commercials Award organized by local television broadcasters and the Hong Kong Advertisers Association (HK2A), and the Kam Fan Awards (formerly known as the HK4As Creative Awards) organized by the HK4As every year. Some creative advertisements also received renowned international awards such as the Cannes Lions International Advertising Awards, the Effie Awards and the Clio Awards, among others. Chapter 3 discusses the encoding process of advertising creativity.

Some substandard advertisements or advertisements expressing bad taste or inappropriate values were punished by the Communications Authority (formerly known as the Broadcasting Authority). These advertisements received advice, warnings or even fines from the Authority. When a member of the public feels annoyed by an advertisement, they can lodge a complaint with the Communications Authority. The Authority will then launch an investigation and file the case into an online archive which documents all the complaint cases since 2012 (Communications Authority, 2015a). Currently, there is no official body to deal with complaints on print or outdoor advertising in Hong Kong. The media themselves are responsible for the quality of advertisements that they carry.

In summary, investment, capability and quality are the three key indicators of advertising productivity. Together, they determine the distribution of advertising messages and the volume of advertising carried by different media which are discussed in the next section.

Advertising, as a form of communication, has a process which is very similar to that described in the traditional human communication model (Arens et al., 2013). In the traditional human communication model, there are a total of six components: the source/sender, the encoding process, the message, the channel, the decoding process and the receiver (Peter and Olsen, 1994). Applying this model to advertising communication, the source is equivalent to the advertisers/creatives who are involved in t...

Advertising has become a part of our daily lives. Whenever people learn that I teach advertising, they always have something to say on the subject. Some people recall advertisements they found interesting or sometimes they share a story of how an advertisement impacted them emotionally. Once, a sales agent shared with me a Thai commercial about a handicapped girl struggling for success, and told me that whenever he felt down or stressed at work, he would watch the commercial to gain encouragement.

This book is a textbook designed for a senior level course about advertising and society. The basic question that we ask is: does advertising improve society? This question is especially relevant for students who intend to pursue careers in advertising, marketing or public relations. We want our students to be aware of the social impact of advertising. The knowledge and the attitudes they gain through a deep understanding of the social responsibility of advertising will prepare them to be ethical communicators.

The chapters in this book cover the major social issues of advertising, from the perspectives of advertisers and marketers, as well as consumers and special groups such as children and youth. The first two chapters provide a framework of the advertising production system. Chapter 1

introduces various indicators that measure the performance of advertising messages through

production, distribution and reception. Chapter 2 discusses market trends as well as the economic and social environment in which advertising operates. Chapter 3 explains advertising creativity from the perspective of practitioners. Chapters 4 and 5 focus on branded content and

controversial advertising. In order to communicate effectively with consumers, advertising can touch on controversial issues or images; consumers’ responses to these forms of advertising are elaborated upon. Chapter 6 discusses the regulation of advertising in Hong Kong and the ethical issues involved. This chapter is useful for practitioners to learn how to stay within legal and ethical boundaries when creating advertising messages.

In exploring society’s reaction to advertisements it becomes apparent that they carry symbolic meaning. Chapter 7 elaborates on the use of semiotic analysis in exposing the deeper meanings embedded in advertisements. Three personal loan advertisements were selected to illustrate the process. Chapters 8 and 9 deal with the criticism that advertising enhances gender stereotypes. Chapter 8 reports a content analysis of the portrayal of women in magazine advertising, while Chapter 9 examines a qualitative study of how young people respond to the characterization of women in advertisements. Through these two chapters, readers will learn how advertisements may enhance certain stereotypes. Content analysis methodology can be used to analyze other stereotypes regarding minority groups. Chapter 10 focuses on children’s understanding of advertising and in particular public services advertisements. Recent empirical evidence of children and advertising are presented. Many social marketing campaigns attempt to influence the attitudes and behavior of children and youth; in this chapter, readers will learn about persuasive skills used to target younger generations.

The last three chapters deal with more specialized areas of advertising. Chapter 11 examines the advertising of medical services. Before 2008, medical doctors in Hong Kong were not allowed to advertise, but a change in their code of practice has allowed them to advertise in print media. This chapter discusses the results of a public opinion survey about beliefs regarding the advertising of medical services. This can provide a foundation for future policies on the advertising of medical services. Chapter 12 investigates how video games can be used to promote health communication. As many young people nowadays play video games, this could be used to advance social causes such as health. Chapter 13 examines public service advertisements in Hong Kong. With free airtime, the Hong Kong SAR government is a prominent advertiser of social causes; the strategies they use are investigated in this chapter.

Most of the contributors to this book are teachers of advertising and marketing in Hong Kong. I am blessed to be able to bring together their expertise to serve our teaching needs. I am grateful to Mr Edmund Chan of City University of Hong Kong Press for his support and insightful comments. I would also like to thank Ms Joanna Pierce, Mr Laying Tam and Mr Dickson Yeung for helping us in editing the manuscript. I dedicate this book to the students at Hong Kong Baptist University. Their eagerness to learn and participate in classroom discussion fuels our teaching and learning journey.

Advertising has become a part of our daily lives. Whenever people learn that I teach advertising, they always have something to say on the subject. Some people recall advertisements they found interesting or sometimes they share a story of how an advertisement impacted them emotionally. Once, a sales agent shared with me a Thai commercial about a handicapped girl struggling for success, and told me that whenever he felt down or stressed at work, he would watch the commercial to gain encouragemen...

1.An Overview of the Indicators of Advertising Performance
2.The Hong Kong Advertising Scene
3.Meanings of Creativity among Advertising Practitioners
4.Branded Contents: Public Attitudes and Regulation
5.Controversial and Offensive Advertising
6.Advertising Regulations in Hong Kong
7.Personal Loan Advertisements in Hong Kong: A Semiotic Study
8.Gender Portrayal in Advertising
9.Responses to Gendered Advertisements
10.Children and Advertising
11.Advertising Medical Services
12.Advancing Social Causes through Video Games
13.Political Advertising and Public Service Advertisements

1.An Overview of the Indicators of Advertising Performance
2.The Hong Kong Advertising Scene
3.Meanings of Creativity among Advertising Practitioners
4.Branded Contents: Public Attitudes and Regulation
5.Controversial and Offensive Advertising
6.Advertising Regulations in Hong Kong
7.Personal Loan Advertisements in Hong Kong: A Semiotic Study
8.Gender Portrayal in Advertising
9.Responses to Gendered Advertisements
10.Children and Advertising
11.Advertising Medical Serv...