True success of a company is measured by the impeccable reputation and brand name it creates for itself, and the stairway to that pinnacle of success is advertising. Naturally, advertising forms a very important part of marketing for any company, through which they can not only adverse their wares, but also let the world know about their goals, policies, and any changes therein. A well thought out advertisement can create a positive lasting impression on the public, and a lazy commercial can completely wreck its image. There are multiple reasons why advertising is important to a company and to the world in general; in this article, let us find out why.
8 reasons why advertising is important
Increase sales: One of the biggest plus points of advertising is that it helps in boost sales. A well planned out advertisement helps in enticing the customers to look more closely at the product. Ideally, a good piece of advertising will highlight the benefits of the offered product, and present them attractively. A nicely made advertisement attracts customers to go through with it till the end, in the process educating them about the product’s features. Through advertising, a new customer base can be created by reaching out to new people with the product.
New launches: When a company launches a new product, the customers are made aware of it by a great advertisement. In fact, sometimes, companies begin creating a buzz some time ahead actually launching the product through small advertisements informing the viewer of the upcoming product launch. This ensures a certain customer base as soon as the product in released into the market.
Retains existing customers: While advertising helps create a new customer base, it also helps in retaining the old customers. New products are being launched by different companies every other day, and it is very easy to lose the customer base to this new influx of options if proper advertising does not take place. Advertising helps remind the present customers about the product and its benefits they have enjoyed for so long.
Create a positive image: Advertisements are not always about letting the people know of new products; they are as much about creating a positive image for the company. An insensitive commercial can break a company’s image like nothing else, while a good commercial is something that will help viewers and potential customers identify with the brand and create a kinship. Take, for instance, the Budweiser ‘safe driving’ advertisement, which acknowledges the dangers that their product- beer- poses, and urges customers to drink safely and responsibly. This kind of advertising creates an image of a company that does not mindlessly sell, but is responsible and socially conscious.
Provides product information: Advertisements provide a lot of information about the product they are showcasing. An advertisement for a sunscreen lotion will tell you which age group it will cater to, what the ingredients are, and what benefits you are likely to experience after using the product. Similarly, an advertisement for a mutual fund investment will tell you about the return policies, and also the risk associated with the investments.
Creates employment: The advertisement industry is huge, employing millions of people round the year. There are scriptwriters, cameramen, directors, graphic designers, animators, models, and what not. In this way, the advertisement industry firms an important pillar in the economic structure of a country. The government earns millions in terms of revenue from advertising. A great portfolio in the advertisement field leads to jobs in fields in the entertainment industry, and experience in this highly creative world is greatly valued in other sectors.
Educates the people: Advertisements are not just used for product up selling. Many advertisements are also created for the sole purpose of making the people aware. Take, for example, the public interest advertisements on smoking broadcast by governments. Advertisements like these educate the people about importance of healthy life, and make them aware of the errors in their lifestyle they make regularly.
Product comparison: Different companies often sell the same product, sometimes at slightly different prices. In such a situation, it becomes confusing for the customer to decide which product they should choose. An advertisement helps the customer understand the differences between the products, and also makes them aware of a third option, if any. Companies are also kept on their toes, thanks to the competition.
Advertising is one of the most important parts of a company, which explains the amount of money that is reserved for effective advertising in a company’s budget. This is the only way a potential customer base can be informed about the product and services of the company, and the only way in which the customer can be made to identify with the company and all that it has to offer.