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Introduction and functions of advertising

Introduction and functions of advertising

09/December/2025 10:45    Share:   

INTRODUCTION AND FUNCTIONS OF ADVERTISING
 
(Full marks answer | Easy language | For BBA/MBA/Commerce exams)
 
 
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1️⃣ DEFINITION OF ADVERTISING
 
Advertising is a paid and non-personal form of communication through various media, by an identified sponsor, with the aim of informing, persuading, and reminding the target audience about a product, service, or idea.
 
Simple Definition:
Advertising means telling people about a product or service through different media so that they buy, try, or remember it.
 
 
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2️⃣ INTRODUCTION TO ADVERTISING
 
Advertising is one of the most important tools of marketing communication. It helps businesses reach a large audience quickly and influence their buying behavior. In today’s competitive world, advertising not only sells products but also builds brands, develops customer relationships, and creates long-term demand.
 
Advertising plays a key role in shaping consumer attitudes, educating people, creating awareness, and supporting the sales team. It uses different media such as TV, radio, newspapers, magazines, social media, websites, outdoor ads, and influencers.
 
 
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3️⃣ FUNCTIONS OF ADVERTISING
 
A. Economic Functions
 
1. Creates demand for products and services.
 
 
2. Reduces cost per unit by increasing large-scale production.
 
 
3. Encourages competition, improving product quality.
 
 
4. Supports new product launch, helping companies grow.
 
 
 
B. Marketing Functions
 
1. Promotes products and conveys key features.
 
 
2. Supports salesmanship and reduces pressure on salespeople.
 
 
3. Helps in market expansion by reaching new regions.
 
 
4. Assists in segmentation and targeting by reaching specific audiences.
 
 
 
C. Communication Functions
 
1. Informs customers about products.
 
 
2. Persuades them to buy or switch brands.
 
 
3. Reminds customers repeatedly to maintain brand recall.
 
 
4. Builds brand image and goodwill in the minds of people.
 
 
 
D. Social Functions
 
1. Educates society about safety, hygiene, health, environment.
 
 
2. Changes lifestyle and behavior, e.g., digital payments, insurance.
 
 
3. Supports social causes, e.g., Swachh Bharat ads.
 
 
 
E. Promotional Functions
 
1. Introduces new products.
 
 
2. Creates excitement and interest.
 
 
3. Provides information about price, offers, and availability.
 
 
 
 
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4️⃣ KINDS / TYPES OF ADVERTISING
 
1. Product Advertising
 
Promotes a specific product or service.
Example: Samsung promoting its smartphone.
 
2. Institutional or Brand Advertising
 
Builds company reputation and brand image.
Example: Tata Trusts “Leadership with Trust”.
 
3. Consumer Advertising
 
Targeted at final consumers.
Example: Dairy Milk ads.
 
4. Trade Advertising
 
Targeted at wholesalers, dealers, distributors.
Example: Retailer schemes.
 
5. Corporate Advertising
 
Focuses on the company’s identity and values.
Example: Infosys corporate ads.
 
6. Comparative Advertising
 
Compares one product with competing products.
Example: Pepsodent vs. Colgate.
 
7. Reminder Advertising
 
Reminds existing customers to keep buying.
Example: “Have you had your Nescafé today?”
 
8. Direct Response Advertising
 
Encourages instant action through websites, SMS, QR codes.
Example: “Order now” ads.
 
9. Social Advertising
 
Creates awareness for social issues.
Example: Polio vaccine ads.
 
10. Online / Digital Advertising
 
Ads on social media, Google, YouTube, websites.
Example: Instagram sponsored ads.
 
 
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Short Summary for Exams
 
Definition:
 
Advertising is a paid, non-personal communication by an identified sponsor using different media to influence buying behavior.
 
Functions:
 
Economic
 
Marketing
 
Communication
 
Social
 
Promotional
 
 
Kinds:
 
Product, institutional, trade, corporate, reminder, comparative, direct response, social, digital.
 
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