Advertising Essay

1062 Words 5 Pages
Advertising

According to the American Marketing Association, advertising is, ‘any paid form of non-personal presentation and promotion of ideas, goods or services by an identifiable sponsor’.

Advertising can be a costly promotional tool but, many businesses continue to use it. I have listed the following reasons why a business needs to advertise:

* To create awareness, customer interest or desire
* To boost sales
* To build brand loyalty
* To launch a new product
* To change customer attitudes
* To build the company or brand image
* To remind and reassure customers
* To offset competitor advertising
* To support the sales force

Advertising consist of two main features: the message and the medium.
The message is what you want your
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These objectives can be divided into three main groups:

1. To inform, e.g. tell customers about a new product
2. To persuade, e.g. encourage customers to switch to another brand
3. To remind, e.g. remind buyers where to find the product

Set the advertising budget

Setting the advertising budget can be a complicated task for any business. This is because; it is difficult to predict how effective a particular campaign is going to be, and therefore how much money should be spent. There are a number of ways, which business might use to decide upon advertising budget, e.g.:

* As a percentage of past sales- the advantage of this is, using finance already earned. The disadvantage of this is, it ignores changes in the future market

* As a percentage of future sales- the advantage of this is, it is very flexible. The disadvantage of this is problems can occur if, sales targets are not met.

* Based on competitor expenditure- the advantage of this, easy assess to the market. The disadvantage of this is, it can lead to competitors gaining the lead because, they are always the pace-setters

Determine the key advertising messages

The advertising message must be carefully aimed at the target consumer audience. An effective advertising message should have the following characteristics: 1. Meaningful- customers should find the message relevant
2. Distinctive- attract customer’s attention
3. Believable- should be a truthful
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