Good & Bad Things About Advertising July, 2014 | страница 2

Advertising

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ADVERTISING: ADVANTAGES AND DISADVANTAGES
Advertising is a form of marketing communication intended to persuade and encourage audience to
purchase product, services and ideas. In many cases advertising is considered as an important part of
business and a key to survival. With the help of advertising, organizations are able to tell customers
what business they are doing. Wide varieties of strategies are used by companies to advertise goods and
services that include: TV commercials, billboards, radio commercials, direct mailings, web ads and phone
calls. Even though advertising is used to assist businesses in bringing in more customers and higher
profits but there are several advantages and disadvantages that are associated with it.
ADVANTAGES
Raising Market Awareness:
From the perspective of businesses, the primary benefit of advertising is that it has the potential to
increase awareness among consumers about a product or a service. If consumers do not know about the
company and its products then he will not buy the product. Advertisement can increase the company’s
revenue and generate demand for goods and services.
Consumer Information:
Advertisement can be advantageous from the perspective of consumers that it can increase the
awareness among individuals about the range of products and services available. If a consumer is more
informed about cost and benefits of different products and services then he will be able to make better
decisions about what to buy. For example if you have planned to buy a specific product from a specific
store but you see an advertisement of a different store with better prices, you could choose to purchase
product at the cheaper price to save money.
DISADVANTAGES
Cost:
The major drawback that many businesses bear is the cost that is associated with producing
advertisement. In order to put advertisement on radio, TV, Internet and billboards, businesses have to
pay the cost. There is no guarantee that an advertisement will result in increased sales and the cost of
making an advertisement will be reoccupied. Ads can cost too high in some cases that depends upon the
forms of advertisement.
False Advertisement:
Another biggest disadvantage of advertising from the consumer’s perspective is that the ads usually
mislead consumers by false statement about the products and services. The effectiveness and the
usefulness of products and services are often overstated which leads consumers to make decisions

Advantages and Disadvantages