Enumerate the importance of advertising. – NABTEB QUESTION

The importance of advertising is:-

i. Advertising makes the goods and services known to the public.

ii. It creates demand (market) for the product or service

iii. It informs and educates the public on how to make use of the product or service

iv. It increases sales

v. It leads to large scale production

vi. It provides employment opportunities for people

vii. It results to high-profit making

viii. It enables competitors increase the quality of their goods

ix. It helps to create taste for goods and services, which were disliked

x. Advertising helps people to maintain product or service loyalty

xi. It increases the alternative choices of consumers by making them aware of the various goods and services available or it helps to increase consumer freedom of choice by making them aware of the existence of many different products

xii. It helps consumers (public) to know the usefulness of various goods or services

xiii. It informs the public of any changes in commodity like its name, uses etc.

xiv. It also aims at influencing wholesalers and retailers to a stock variety of commodities in their shops

xv. It leads to cheaper prices of goods

xvi. Advertising helps to subsidize the cost of news to the people through the provision of more revenue to the mass media

xvii. In a bid to advertise their products to a greater number of people, firms sponsor , selected radio and television programmes to the benefit of the people