How does advertising ACTUALLY work?

This newsletter comes from the hosts of The Marketing Architects, a research-first show answering your biggest marketing questions. Find us on Apple Podcasts or wherever you listen to podcasts!

This week, we're tackling one of marketing's biggest questions: How does advertising actually work? We explored five major theories to find out what drives results. 

—Elena  

Emotional campaigns are nearly 2X as likely to generate profit gains.

Research from the IPA shows that emotional advertising significantly outperforms rational approaches.  

The truth about advertising effectiveness.                     

Most marketers think they know how advertising works. But the evidence reveals a more complex picture: 

1. Memory matters. Research from the Ehrenberg-Bass Institute shows advertising works primarily by refreshing memory structures that link your brand to buying situations. They say it's not about changing minds, but about being top of mind when purchase decisions happen.
   
2. Persuasion has its place. While memory nudging is foundational, persuasion still matters in high-consideration categories or when people are actively researching. Think challenger brands like Avis ("We try harder") or Apple's Mac vs. PC campaigns.
   
3. Emotion is the amplifier. IPA data proves emotional ads outperform rational ones and build stronger brands. Emotion isn't in contest with memory. Emotion is how you get remembered in the first place.
   
4. Cultural branding is aspirational. While brands like Nike and Apple have mastered cultural narratives, this approach requires perfect timing, creative courage, and authentic credibility. For most brands, it's more fantasy than strategy.
   
5. Signaling works subtly. Just showing up consistently on premium channels like TV signals quality and legitimacy. You don't need a Super Bowl budget. What matters most is showing up often enough to be remembered. 

The reality is that great advertising relies on more than just one theory. Start with mental availability as your foundation, add emotional resonance to make it stick, and use persuasion when the moment is right. 

Listen in on our discussion.

"What is the effect of advertising on mental market share?"        

This research explores how advertising exposure directly impacts brand recall and market share. It's an essential read for understanding the mechanics behind memory-based advertising strategies. 

Read the article.

The true measure of effectiveness.              

"The purpose of advertising is to sell."  

— Bill Bernbach, Founder of DDB