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Why Advertise ?

So as we discussed in our previous post advertising is a powerful communication tool but how can we really use it to the advantage of the brand or article and also answer the million-dollar question "How to do that efficiently?".

The following is how you can use Advertising to your advantage:-

  1. Launch new or revive products

If you are a new firm in the market or even an established one you can still use advertisements to launch or revive your product. It helps make sure that people notice your new or updated offering in the market.

2. Economies of Scale

With an increase in visibility in the market there would generally be an increase in sale, this will lead to increase in demand which will allow the manufacturer to take advantage of economies of scale and produce more products which will increase efficiency and will lead to a higher profit margin because the manufacturing cost will go down.

3. Image Building

This is one of those intangible values the brand gains from the advertisement which is a better image in the eyes of the public. This translates into better trust, authenticity in the marketplace, overall advantage from competitors. Let me explain with an example: A car takes you from point A to B and cars are sold by Toyota, Hyundai, Mercedes, BMW if I give you a choice to pick a car out of them to be given to you completely free of cost. If you are among the 99% of people you would choose BMW or Mercedes but why? although all of them are cars and serve the same purpose because of advertisement you choose BMW and Mercedes because they have always advertised their products to be the best of the best, In the images below both of the brands have similar looking cars but still, people prefer BMW over Toyota because of their Image.

So, advertisement is something which is very important to a brand and if the brand takes advantage of it and advertises well it can reap its benefit not just in sales but also to decrease and for long term image. But it is not all beds of roses in the next post we will discover what are the disadvantages of marketing

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