Explain in detail the benefits offered by advertisement and the limitations of advertisement.
Answers
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. Mass Reach:
Through advertisement we can cover a large geographical area. Thus, by reaching a large number of people, a manufacturer can make them aware of his products. For example, an advertisement in a newspaper or news channel like Aaj Tak reaches crores of people. More awareness obviously leads to more demand. Hence, manufacturer will sell more & profit more.
2. Enhancing Customer Satisfaction and Confidence:
ADVERTISEMENTS:
Advertising informs potential customers about a product and assures them about its quality.
Even for existing users of a product, its ad is welcome. They tend to associate themselves with the ad and feel reassured about the product as well as about their decision.
3. Expressiveness:
Advancement of technology has promoted the use of computers, designs, graphics etc. in advertisement thus making it more attractive and forceful.
And why not? After all it’s really advertising only that can reveal the latent quality and beauty of a product to the world at large.
4. Economy:
ADVERTISEMENTS:
Advertisement reaching a large number of people leads to more benefits in comparison to its cost. Through advertisements demand can be created. To meet the demand, manufacturer has to produce more. Increase in production helps in lowering the per unit cost of production. Thus, it helps in increasing the profitability of an enterprise. Cumulatively therefore, it is bound to boost nation’s economy too.
Limitations of Advertising:
The following are the main limitations of advertising:
1. Less Forceful:
Absence of personal touch makes advertising less forceful. Paying attention to the message is not compulsory for the customers.
2. Lack of Feedback:
It is very difficult to judge the effectiveness of an advertising message as there is no accurate feedback regarding its impact.
3. Inflexibility:
ADVERTISEMENTS:
Advertising message is standardized and hence cannot be changed according to the requirements of different customers.
4. Low Effectiveness:
An increase in the volume of advertising has made it difficult to make any advertising message in general to be received properly by the target customers. Many messages don’ts really get even noticed, not to speak of being effective etc.
Explanation:
Advertisement reaching a large number of people leads to more benefits in comparison to its cost. Through advertisements demand can be created. ... Increase in production helps in lowering the per unit cost of production. Thus, it helps in increasing the profitability of an enterprise.