Consumer Generated Advertising Essay examples

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Consumer Generated Advertising in Today’s Marketing World

March 29, 2011

With the increasing development of technology, advertising has changed significantly. These changes force organizations to adapt and embrace new concepts. The traditional way of advertising put all the control in the businesses hands although now this control shifted to the consumers. ‘Consumers are now creating their own ads for the brands they love and hate, using inexpensive software and powerful personal computers, and then distributing these via social networks such as YouTube’ (Peter Steyn, 2010). Consumer generated advertising is centered on what individuals, that consume a product or service, relay about their experience. Therefore these
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Organizations can find information on what consumer prefer by analyzing consumer generated advertising and what is liked or disliked about other products. There are many implications of consumer generated advertising on marketing practices and consumer marketer relations. Some of the positive implications are cost, more diversity, and increased ties to consumers. The downsides include having to sort through all of the advertisements to find the best ones and the ideas may be lower caliber than ones generated by paid associates. The main implication of consumer generated advertising is cost. This is because you are spending less money on employee’s salaries, advertisements, and because companies have less space to fall if they fail. When companies engage in consumer generated advertising they are paying less for their marketing staff to generate ideas. They are also spending less on overall advertising because they just put out that they want people to come up for advertisements for a certain good or service and then they pay to air those commercials. This is better as well due to the fact that consumer generated advertisements have more impact on sales (Moskowitz, 2006). When companies are not paying as much for the advertisements then it is not as big of a deal if the advertisements are not as effective. When companies engage in consumer generated advertising they are getting very creative
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