• Title/Summary/Keyword: Korean advertising industry

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The Effects of Advertising Expenditure on Sales in Fashion Companies

  • Ji, Hye Kyung
    • International Journal of Costume and Fashion
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    • v.17 no.1
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    • pp.17-28
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    • 2017
  • The objective of this study is to investigate the effects of advertising expenses of fashion companies on sales from a financial viewpoint. To do so, the advertising expenses and the sales of 194 manufacturing and distribution companies in the fashion industry, as per the income statements posted by the individual companies, were analyzed. The results are as follows. First, there was a statistically significant correlation between advertising expenses and sales. The higher the advertising expenses, the higher the sales. Second, there was no statistically significant differences between companies with different sizes of sales. Third, the effects of advertising expenses on sales of fashion companies were statistically significant. The higher the increase of the ratio of advertising expenses, the higher the increase of the ratio of sales, and vice versa. This study differs from others in that it uses financial data, which has been neglected in previous studies regarding the fashion industry, to analyze the relationship between advertisement and sales. It will lend help to fashion companies seeking to rationally manage advertising expenses and come up with effective advertising policies.

Exploring the Challenges and Strategies for Combating Advertising Fraud and Preserving Brand Reputation in the Korean Advertising Landscape

  • Seung-Chul Yoo;Yoontaek Sung
    • International Journal of Advanced Culture Technology
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    • v.11 no.1
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    • pp.306-311
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    • 2023
  • As digital advertising continues to dominate the advertising industry and experience substantial growth, associated criminal activities such as advertising fraud and brand safety risks have become increasingly prevalent. Despite the severity and extent of these crimes, the response in Korea has been lackluster, often perceiving them merely as losses in advertising expenses incurred by corporations. However, it is important to note that these issues have direct repercussions on the end-consumer in the form of increased prices for goods and services. Furthermore, illegal and intrusive advertisements not only cause inconvenience to the viewer, but may also indiscriminately target cognitively vulnerable groups, such as children and the elderly, with the intention of manipulating advertising metrics and artificially inflating performance indicators. In this study, we aim to explore the concept and significance of advertising fraud and brand safety, and to evaluate the current measures taken in the Korean market. Additionally, we will delve into the implications of related policies and emphasize the necessity of digital advertising literacy in addressing these issues.

A Study on the Efficiency Enhancement Plan of the Broadcasting: Advertising Industry Infrastructure Construction Direction in Korea (한국 방송광고산업 인프라 구축방향에 관한 효율성 제고방안 연구)

  • Yeom, Sung-Won
    • Korean journal of communication and information
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    • v.22
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    • pp.131-166
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    • 2003
  • The opening of advertising market and introduction of the free competition doctrine make the competition harsher among advertising agencies. Advertising agencies do their best to execute their ad more efficiently and scientifically. But, it is the reality that broadcasting advertising industry in korea did not construct enough infrastructure to execute the systematic activities compared with that of advanced countries. So, we need to grasp the present conditions and draw a time-table to construct primarily necessary infrastructures. In case of hardware infrastructure in advertising industry, digitalization of broadcasting and convergence of broadcasting with telecommunication make it hurry to construct that. But as the ad agencies was in the situation to compete each other, they have a difficulty to construct common hardware infrastructure enthusiastically. Thus, it is necessary to build hardware infrastructure in advertising industry for policy. And the construction of that should be executed systematically not for the short term effects but for the long term objectives. Also, it is the most important to construct reliable Software infrastructure in advertising industry from all of ad agencies. In these days, ad agencies have a tendency not to believe the important information, like the data of ratings and advertising transaction information, in relation to the advertising activities. And they do not share and communicate about the information of the advertising industry trends, research trends, advertisement related information. So, it is also hurry to build the on-line and off-line database system. Finally, for the development of brainware infrastructure in advertising industry, it is the most necessary to activate the cooperation relation between university and advertising agencies. Universities need to invite experts in the advertising to teach the students practical knowledge and ad agencies to recruit students who want to develop their carrier in the advertising industries. In conclusion, advertising industry in korea to solve these tasks for the development of advertising industry infrastructure in the way of cooperation and harmony of each other rationally and efficiently.

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Fashion Brand Sales Forecasting Analysis Using ARDL Time Series Model -Focusing on Brand and Advertising Endorser's Web Search Volume, Information Amount, and Brand Promotion- (ARDL 시계열 모형을 활용한 패션 브랜드의 매출 예측 분석 -패션 브랜드와 광고모델의 웹 검색량, 정보량, 가격할인 프로모션을 중심으로-)

  • Seo, Jooyeon;Kim, Hyojung;Park, Minjung
    • Journal of the Korean Society of Clothing and Textiles
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    • v.46 no.5
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    • pp.868-889
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    • 2022
  • Fashion companies are using a big data approach as a key strategic analysis to predict and forecast sales. This study investigated the effectiveness of the past sales, web search volume, information amount, brand promotion, and the advertising endorser on the sales forecasting model. The study conducted the autoregressive distributed lag (ARDL) time series model using the internal and external social big data of a national fashion brand. Results indicated that the brand's past sales, search volume, promotion, and amount of advertising endorser information amount significantly affected the sales forecast, whereas the brand's advertising endorser search volume and information amount did not significantly influence the sales forecast. Moreover, the brand's promotion had the highest correlation with sales forecasting. This study adds to information-searching behavior theory by measuring consumers' brand involvement. Last, this study provides digital marketers with implications for developing profitable marketing strategies on the basis of consumers' interest in the brand and advertising endorser.

Effective Demand Lifting through Pre-Launch Movie Marketing Activities

  • Song, Tae Ho;Yoo, Shijin;Lee, Janghyuk
    • Asia Marketing Journal
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    • v.18 no.3
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    • pp.1-18
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    • 2016
  • The purpose of this paper is to examine empirically how to balance advertising expenditure before and after launch with regard to the direction of word of mouth in the motion picture industry. The vector auto-regression model is applied to assess the dynamic impact of advertising and word of mouth on sales. Empirical data, including advertising, word of mouth, and sales (the number of entries) of 83 movies are used for analysis. The research results show that for a movie having more positive word of mouth in the pre- and post-launch periods, it is worthwhile to spend the advertising budget in the pre-launch period only and to spare it in post-launch period. However, it is worthwhile to spare the advertising budget in the pre-launch period for movies having less positive word of mouth before and after launch, and to concentrate spending in post-launch period instead. Mangers who handle products and services facing shortened lifecycles, such as games, eBooks, and digital music contents, need to check the quality of pre-launch word of mouth for their advertising budget decisions in the pre- and post-launch periods and spend more of the advertising budget in the post- (pre-) launch period if pre-launch word of mouth is negative (positive). For products and services with a shortened lifecycle, it is recommended to spend more of the advertising budget in the post- (pre-) launch period if pre-launch word of mouth is negative (positive).

A Study on the Copyright Infringement of Parody Advertising -Focus on the Precedent of U.S.A copyright infringement- (패러디 장고의 저작권 해석에 관한 고찰 -미국저작권법의 판례를 중심으로-)

  • 김규철;김인철
    • Archives of design research
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    • v.16 no.3
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    • pp.133-142
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    • 2003
  • This study on parody and especially parody in advertising, deals with the basic concepts of parody in advertising, as well as copyright infringement issues highlighting the different legal interpretations in American and Korean law when dealing with indiscreet cases of parody in advertising. some suggestions are made on desirable and forword-looking solutions. Different to the acceptance of parody in the American culture, Korean law was limiting in allowing parody to be used and applied. In order to solve copyright issues concerning parody, the following points need to be addressed and analyzed; ·First, plagiarism, imitation, and the dear outline of deliberation standards about parody. ·Second, the expansion of the deliberation body aid explicit application of deliberation standards. ·Third, the trying for self-improvement of the advertising industry itself. ·Fourth, the development and advancement of consumer monitoring. ·Firth, the review of judicial precedents along with tile vocalization of the advertising industry's ideas and concepts on the matter.

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The Effect of SNS Advertising Attributes on Advertising Attitudes and Purchase Intentions in Cosmetics Selection (화장품 선택에 있어 SNS 광고속성이 광고태도와 구매의도에 미치는 영향)

  • Hee Yoon
    • Journal of the Korean Applied Science and Technology
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    • v.41 no.2
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    • pp.436-446
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    • 2024
  • This study contemplates the effect of social media advertising attributes on consumers' purchasing decisions in cosmetic products. It will serve as basic data for SNS's advertising strategy and marketing that promotes cosmetics sales. This study conducted a survey and went through the analysis process of SPSS v.25.0 statistical program. Frequency analysis, exploratory factor analysis, descriptive statistical analysis, correlation analysis, and regression analysis were conducted to analyze that informativity, reliability, entertainment, interactivity, and disturbance among SNS advertising attributes were used as effective advertising strategies, which had a positive effect on consumers' purchasing decisions. Therefore, in the cosmetics industry, it is necessary to seek strategies to actively utilize marketing in the social media space to promote consumers' purchase needs and to activate purchases.

The Effects of Advertising Expense on Brand Loyalty, Profitability, and Firm Value (광고비가 마케팅 및 재무적 성과에미치는 영향: 브랜드 애호도, 수익성, 기업가치를 중심으로)

  • LEE, EUN JU;Paik, Tae-Young;Sin, Hyeon-Jun;Jeon, Kyeongmin;Cha, Gyeong-Cheon
    • (The) Korean Journal of Advertising
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    • v.27 no.4
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    • pp.71-90
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    • 2016
  • Managers of firms often wonder whether advertising expenditure is a mere expense or an investment with foreseeable future returns. When top management makes a decision on the level of advertising expense, it must consider whether an increase in advertising spending will positively affect brand loyalty and the increased brand loyalty will positively affect profitability and firm value. We investigate the industry-specific effects of advertising spending on marketing and the effect of loyalty on financial performances using top companies in Korea, specifically, 184 firms' data from year 1998 to 2014. The empirical results of a fixed effect model indicate that the effects of advertising on customer satisfaction index and loyalty on the firms' financial performance are positive. In service industry, unlike manufacturing industry, advertising has a significantly positive effect Brand Loyalty. In addition, Brand Loyalty had positive impacts on ROA and ROE as profitability index, and Tobin's q, a market-value index. The research results suggest that advertising in service industry should be considered as customer satisfaction investment and the increased Brand Loyalty as a profit for present and a business investment for the future respectively.

Agglomeration Patterns of Advertising Industries and Spatial Networks of Advertisement Production (광고산업의 집적 특성과 광고제작의 공간적 네트워크)

  • Koo, Yang-Mi
    • Journal of the Korean Geographical Society
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    • v.45 no.2
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    • pp.256-274
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    • 2010
  • The aim of this study is to examine agglomeration patterns of advertising industries and spatial networks of advertisement production in Korea. The focus of analysis is the agglomeration pattern of advertising industries within Seoul because these are agglomerated in Seoul like other business services. Analysis methods are local Moran's I index and location quotient with the regional percentages of each sector's number of employees. Clusters in Gangnam Area are related to start-up advertising firms and global agencies entering domestic advertising markets. Network analysis is used to investigate the spatial networks of TV advertisement production between advertising agencies(AA) and film productions(FP). After transformation of AA-FP network matrix to regional matrix centrality index and brokerage scores are calculated. This analysis shows individual region's different role and position in the AA-FP network. Many agencies in or out of Gangnam Area outsource most advertisement makings to film productions in Gangnam Area. Advertising industry dusters in Gangnam Area is important as of the destination of advertisement production networks and the circulation of those networks.

A Study on the Influence of Attributes of Celebrity Advertising Models on Advertising Attitude, Corporation Reputation and Reliability: Focusing on TOUS les JOURS and Baskin Robbins Christmas Cake Advertisements (연예인 광고모델속성이 광고태도, 기업 명성 및 신뢰에 미치는 영향 : 뚜레쥬르와 배스킨라빈스의 크리스마스 케이크 광고를 중심으로)

  • Seo, Kyung-Hwa;An, Hye-Lyung;Lee, Kwang-Suck;Lee, Soo-Bum
    • Culinary science and hospitality research
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    • v.17 no.4
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    • pp.104-120
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    • 2011
  • This study is to make an empirical analysis of star marketing used as die means of sales promotion for Christmas cakes regardless of high advertising cos1s, by understanding the influence of attributes of celebrity advertising models for advertisements of bakery companies over die Christmas season on advertising attitude, corporation reputation and reliability which are recognized by consumers. The verification results were judged as important core elements for successful management in bakery industry. Since bakery brands are losing their differentiations in both functional and physical aspects, the study aimed to offer strategic suggestions to bakery industry. The result of study modelling were GFI=0.911, AGFI=0.887, NFI=0.935, CFI=0.979, RMR=.126 at the level of $x^2$=313.294(df-=218, p<0.001). First, model credibility and model attractiveness of advertising models bad a positive(+) influence on advertising attitude. Second, advertising attitude bad a positive(+) influence on corporation reputation and reliability. Third, corporate reputation also bad a positive(+) influence on corporate reliability.

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