The Importance of Advertising

What is advertising? Technically speaking, advertising is a favorable representation of a product or service that makes consumers (and the public in general) aware of its existence. Many believe that advertising is a way to persuade people to invest in goods and services that are unnecessary, harmful, and a waste of money. In some cases, this may be true, but in reality, advertising is much more than that.

Advertising plays an essential role in the success of any business. It increases sales, creates product and brand awareness, and helps form a connection between a company and its customers. Many top companies would not be where they are today without the power of advertising on their side. Companies aren’t the only ones that benefit from advertising. Most media forms (like television, radio, and newspapers) would not exist if it weren’t for the revenue generated by companies advertising through them. Companies pay a lot of money to have their commercials run on the radio and their print ads featured in daily newspapers.

Advertising also helps create a regular demand for products. A good example is Starbucks. Although Starbucks doesn’t put out many advertisements, it is always finding ways to attract customers. Starbucks emphasizes ice-cold coffee during the hot spring and summer months. No one wants a hot drink when it’s 95 degrees outside! As summer turns into fall and the weather starts to cool down, Starbucks begins to promote warmer drinks. Hot chocolate and creamy pumpkin lattes start to become the more popular choices.

Apple iPod advertisements. [1]

When new products emerge, many consumers are reluctant to try them, which is one of the reasons that new products have a tendency to fail. Effective advertising helps consumers overcome their resistance to such products, which helps give the company a push in the right direction. Advertising also helps create a good image and reputation for the company and its products. It gives companies the opportunity to build a likeable brand and identity. Advertisements need to sell a product and its company together as a team. If a company has a positive image and reputation, it will have a better chance of surviving any competition or depression in the market. A likeable company with likeable products will draw in consumers and will make it easier to build a relationship with them. Apple does this exceptionally well.  Consumers don’t just love the iPod, the iPad and the iPhone. They love anything and everything Apple related.

A main reason that advertising is important to society today is that it creates jobs. This may not be crystal clear to those who haven’t really given it much thought. Advertising creates a demand for products, both old and new.  This demand will lead to mass consumption. Mass consumption will lead to mass production. Mass production requires the labor of many people, therefore resulting in an increase in jobs. This chain reaction doesn’t just happen once. It occurs every time a new company, brand, product, or service is introduced to consumers.

Honda Insight print advertisement. [2]
Click to enlarge.

Factory jobs, distribution jobs, sales jobs, management jobs, and marketing jobs aren’t the only jobs that are created by advertising. Advertisements persuade people to buy things that will need maintenance down the road. Let’s take cars for example. Countless jobs are created every year because people need to drive. Gas stations, mechanic shops, tire companies, and rest stops all rely on cars for business. Advertising informs people about the products that they may (or may not) buy.  Why does anyone buy a Honda or a Toyota? Is it because they look nice? Is it because they drive fast? No. People buy Hondas and Toyotas because they are advertised on television, on the radio, in newspapers, and in magazines as a car with great gas mileage, a sleek design, and great customer service.

Advertising also benefits customers, although some may not believe it. Advertising makes shopping easier by reducing the amount of time and effort spent searching for the right product. If a consumer knows what they need and an advertisement shows them a product that will fulfill that need, then that consumer will have a smoother trip to the store. If advertising is done correctly and is effective, costs will most likely drop. As a result, consumers will get goods and services at lower prices. For example, when the iPod was first introduced, it was priced high. Once it became a popular item (through advertising), Apple was able to lower the price.

Advertising helps consumers, companies, and society more than people realize. Once all of the negative beliefs and views are pushed aside, people are able to realize that advertising actually does a lot of good. 

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[1] Caraballo, M. (Designer). (2011). The evolution of apple. [Web Photo]. Retrieved from http://agraphicworld2.files.wordpress.com/2010/10/ad_apple-ipod-advertisment1.jpg

[2] (2011). Automobile. (2011). [Web Photo]. Retrieved from http://usamania.wikispaces.com/file/view/Insight_print1_1280.jpg/211663972