Advertising is a non-personal form of promotion that is delivered through selected media outlets that, under most circumstances, require the marketer to pay for message placement. Advertising has long been viewed as a method of mass promotion in that a single message can reach a large number of people. But, this mass promotion approach presents problems since many exposed to an advertising message may not be within the marketer’s target market, and thus, may be an inefficient use of promotional funds. However, this is changing as new advertising technologies and the emergence of new media outlets offer more options for targeted advertising.
Advertising also has a history of being considered a one-way form of marketing communication where the message receiver (i.e., target market) is not in position to immediately respond to the message (e.g., seek more information). This too is changing. For example, in the next few years technologies will be readily available to enable television viewers to click a button to request more detail on products advertised on TV programs. In fact, it is expected over the next 10-20 years advertising will move away from a one-way communication model and become one that is highly interactive.
Importance of Advertising
Spending on advertising is huge. One estimate places worldwide spending on advertising at over (US) $600 billion. This level of spending supports thousands of companies and millions of jobs. In fact, in many countries most media outlets, such as television, radio, websites and newspapers, would not be in business without revenue generated through the sale of advertising.
While worldwide advertising is an important contributor to economic growth, individual marketing organizations differ on the role advertising plays. For some organizations little advertising may be done, instead promotional money is spent on other promotion options such a personal selling through a sales team. For some smaller companies advertising may consist of occasional advertisement and on a very small scale, such as placing small ads in the classified section of a local newspaper.
But most organizations, large and small, that rely on marketing to create customer interest are engaged in consistent use of advertising to help meet marketing objectives. This includes regularly developing advertising campaigns, which involve a series of decisions for planning, creating, delivering and evaluating an advertising effort. We cover advertising campaigns in our detailed tutorial in the Managing the Advertising Campaign.
Learn More About Advertising
- What is Advertising?
- What are the Advantages and Disadvantages of Advertising?
- What are the Key Objectives of Advertising?
- What are the Different Types of Advertising?
- What are the Different Types of Advertising Media?