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The advertising industry experienced dramatic changes in the 20th century
together with the advancements in technology. The first radio ad broadcast was
aired in the 1920s in the United States. After the first spot - a ten-minute ad about
real estate - a number of leading US companies were eager to advertise their
products and services on the radio. The first TV commercial in the world was
broadcast in July 1941, also in the United States. The ten-second advert about a
watch making company was aired on NBC before a baseball match.
Full-time TV broadcasting started in 1948 in the post-war US society. As the
number of TV sets in the United States reached a critical mass, the advertising
industry identified the new media as a communication channel of strong potential.
The booming development of TV advertising required regulatory measures. Hence,
the American Association of Advertising Agencies, set up in 1917, assumed a more
important role in the ad market.
The 1950s were marked by the dominance of single-sponsor TV programs,
where one company financed a TV show and used it to promote its products.
Advertising practitioners started producing TV programs, whose titles included
brand names of food companies or soft drink makers. This model remained
widespread for several years, until broadcasters raised prices, reassured by the
increasing number of viewers.
The change in the TV market revolutionized the relationship between
advertising specialists, advertisers and broadcasters. New market conditions led to
the emergence of a new form of TV advertising, which enabled sponsors to buy
several minutes of broadcasting time to advertise their products. By the 1960s,
advertising slots, known also as commercial breaks, became widespread in TV.
Hence, different companies managed to advertise their products in the same
TV program. Subsequent development of the TV ad market was marked by the
debate in society about the promotion of controversial products, such as cigarettes.
Tobacco advertising in the United States was banned in the 1970s.
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