What is advertising?

A 30-second spot, a catchy jingle and a clever slogan. But advertising is more. An average person is about exposed5000 advertising messages in one day.

advertisementcome in many shapes, sizes and forms. But what exactly is advertising? Why is advertising important? What are its pros and cons?

let's find out

contents Show

Advertising is the act of drawing public attention to an offering through paid advertisements from an identified sponsor.

Kotler Sea –

Advertising is any paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor.

Laut der Advertising Association of the UK –

characteristics of advertising

Paid form:Advertising requires the advertiser (also known as a sponsor) to pay to create an ad message, purchase a creative slot, and monitor advertising efforts.
Advertising Materials:Advertising is an element ofPromotion-Mixan organization.
One way communication:Advertising is a one-way communication where brands communicate with customers through various mediums.
Personal or not personal:Advertising can be impersonal, as in the case of TV, radio or newspaper ads, or highly personal, as in the case of social media and other cookie-based ads.

types of advertising

Promotional activities can be categorized intoabove the line, below the line and through the lineAdvertising according to their degree of penetration.

Includes above-the-line advertisingActivities that are mostly untargeted and have a wide reach. Examples of above-the-line advertising include television, radio, and newspaper advertising.
Below-the-line advertisingincludes conversion-focused activities aimed at a specific audience. Examples of below-the-line advertising are billboards, sponsorships, in-store advertising, etc.
Through-the-line-Werbungincludes activities involving the simultaneous use of ATL and BTL strategies. These are aimed atMarkebuildings and conversions and use targeted (personalized) advertising strategies. Examples of through-the-line advertising are cookie-based advertising, digital marketing strategies, etc.

Advertising measures can also be divided into 5 types based on the advertising material used. These types of advertising are:

Print advertising:Advertisements in newspapers, magazines, brochures, etc.
Broadcast Ads:TV and radio advertising.
outdoor advertising:Billboards, banners, flags, wraps, etc.
Digital advertising:Advertising displayed via the internet and digital devices.
Product/Brand Integration:Product placements in entertainment media such as TV shows, YouTube videos, etc.

What are the goals of advertising?

There are 3 main goals of advertising – to inform about the brand or offer, to persuade a purchase or to complete a task and to remember and reinforce the brand message.

To inform

Advertising is used to increase brand awareness and brand presence in thetarget market. Informing potential customers about the brand and its products is the first step in achieving business goals.

to persuade

Getting customers to do something is a prime goal of advertising. Tasks may include buying or trying out the products and services offered, forming a brand image, developing a positive attitude towards the brand, etc.

Remember

Another goal of advertising is to reinforce the brand message and convince existing and potential customers of the brand vision. Advertising helps the brand keep attention at the highest level and avoid competitors stealing customers. This also helps in word-of-mouth marketing.

Other advertising goals are subsets of these three goals. These subsets are:

brand building
increase sales
create demand
Engagement
Expansion of the customer base
changing customer settings etc.

importance of advertising

To the customers

Convenience:Targeted informative ads make it easier for the customer to make a decision because they know what fits their needs and budget.
Consciousness:Advertising informs the customers about various products available in the market and their features. This knowledge helps customers to compare different products and choose the best product for them.
Better quality:Only brands advertise themselves and their products. There is no advertising for unbranded products. This ensures better customer quality and a goodbusiness modelbecause no brand wants to waste money on false advertising.

To business

Consciousness:Advertising increases brand and product awareness among the people belonging to the target market.
Brand Image: Clever advertising helps the company form the desired brand image and brand personality in the minds of customers.
Product differentiation:Advertising helps the company differentiate its product from the competition and communicate its features and benefits to the target audience.
Increases company value:Advertising reinforces the brand vision and increases the brand's goodwill with its customers.
value for money:Advertising conveys the message to a wide audience and tends to be inexpensive compared to other elements of the promotion mix.

Benefits of Advertising

Reduces unit costs:The great appeal of advertising increases demand for the product, which benefits the organization as it reaps economies of scale.
Helps in brand building:Advertising works effectively in brand building. Brands that advertise are preferred over those that don't.
Helps launch new products: Launching a new product is easy when it's supported by an advertisement.
Boosts Existing Customers' Trust in the Brand: Advertising increases existing customers' trust in the brand as they feel proud when they see an advertisement for the product or brand they are using.
Helps reduce customer churn: Strategic promotion of new offerings and better service helps reduce customer churn.
Gains new customers:Attractive ads help the brand attract new customers and grow business.
Educates customers: Advertisements inform customers about various products that are available in the market and also teaches them what to look for in a suitable product.

disadvantages of advertising

Increases the cost:Advertising is an expense for the business and is added to the cost of the product. Ultimately, these costs are borne by the end user.
Confuse the buyer:Too many ads with similar claims often confuse the shopper about what to buy and whether or not they should buy the product.
Is sometimes misleading:Some ads use smart strategies to mislead customers.
For large companies only:Advertising is expensive and only large companies can afford it. This puts small companies out of competition with large companies that enjoy a monopoly on the market.
Promotes the sale of inferior products:Effective advertising even leads to the sale of inferior products that are not good for the consumer.

promotional samples

We are surrounded by advertising. From television to our cell phones, we encounter advertising everywhere. Below are some examples of advertising.

Example TV commercial

Coca-Cola's "I'd like to buy the world a Coke" aired in 1971 and is the most famous television commercial in the world.

Example of print advertising

Jeep's "See what you want to see" is a perfect example of a great print ad.

What is advertising? - Examples, goals and importance (1)

Example radio advertisement

Radio advertising attracts more attention from the target customers and is also played out more frequently. Here is an example of a radio advert by Dove.

Digital advertising example

Digital advertising is advertising made specifically for users of the Internet and digital devices. The main goal of digital ads isDrive traffic to the company's URLs. These ads can be video, image, or text ads.

Digital video ads are not limited to a 30-second or 50-second slot. An example of a digital video ad is this Airbnb ad.

Digital image ads may appear when visiting websites such as Feedough, Facebook and Twitter. Here is an example:

What is advertising? - Examples, goals and importance (2)

Example of outdoor advertising

This includes advertising banners, banners, flags, stickers, etc. This advertising banner from Audi is an example of outdoor advertising.

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Advertising vs. Public Relations

While both advertising andpublic relationare an essential part of the promotion mix, there are some key differences between them.

	advertising	public relation
Definition	Advertising is a paid form of sales promotion that uses persuasion techniques to influence consumer buying behavior.	Public relations is a strategic communication process that builds mutually beneficial relationships between an organization and its public.
Goals	The goals of advertising are to raise awareness of a product or service, persuade customers to make a purchase, and build brand loyalty.	The goals of public relations are to build goodwill and understanding between an organization and its public, to promote the organization's products or services, and to influence behavior.
meaning	Advertising is important because it helps companies introduce their products or services to a wide audience.	Public relations is important because it helps companies build positive relationships with their customers and other stakeholders.
Paid or earned	Advertising is usually paid for by companies.	Public relations are earned media, i. H. Businesses try to get positive coverage from journalists and other influencers. This can be done through PR campaigns, events and good old-fashioned media work.

Come on, tell us what you think!

Did we miss something? Come on! Tell us what you think about our article aboutwhat is advertisingin the comments section.

Ashish Pahwa

A startup consultant, digital marketer, traveler and philomath. Aashish has worked with over 20 startups and successfully helped them create ideas, raise money and thrive. When he's not working, he can be found hiking, camping, and stargazing.

What is advertising? - Examples, goals and importance (2023)