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Merits and Limitations of Advertising – Long Answer Questions
Medium Level (Application & Explanation)
Q1. Explain how advertising helps in building customer satisfaction and trust with examples.
Answer:
- Advertising helps in building customer trust by making products familiar to people.
- When people see a product being advertised widely, they feel it must be genuine and reliable.
- Advertisements act as a kind of proof about the product’s existence and features.
- For example, if a toothpaste brand is regularly shown on TV, customers believe it is tested and popular.
- Because of public advertising, customers feel more comfortable and secure in buying.
- Thus, advertising increases customer confidence and satisfaction with the product.
Q2. Discuss why advertising is considered an economical promotional tool for businesses.
Answer:
- Advertising is economical because it reaches a large number of people at once.
- The total cost of advertising is spread among thousands or millions who see the ad.
- This makes the cost per person very low compared to other methods like personal selling.
- For example, a TV commercial seen by millions costs less per viewer than door-to-door selling.
- By targeting the masses, businesses can save money while getting their message out.
- Therefore, advertising is considered cost-effective for reaching the public.
Q3. Why is advertising seen as one of the most expressive forms of product promotion?
Answer:
- Advertising uses the latest techniques and graphics to present products.
- It combines pictures, sound, and moving images for better impact.
- Advertisers can show the features, uses, and benefits of a product in creative ways.
- This makes the product more attractive and appealing to the viewers.
- For example, advertisements often display a product’s use in colorful, memorable ways.
- Thus, advertising is an expressive tool for communicating product benefits.
Q4. Explain the mass reach advantage of advertising with a suitable example.
Answer:
- Advertising has the ability to connect with a very large audience at the same time.
- A single advertisement can reach people in different cities or even countries.
- For example, a government campaign on TV about Covid-19 vaccination reached crores of people.
- This helps in spreading important messages or promoting products quickly.
- The mass reach saves time and resources for businesses or government departments.
- Hence, advertising is a powerful tool for reaching a vast number of people.
Q5. What is meant by ‘standardised message’ in advertising and how does it affect different customer groups?
Answer:
- ‘Standardised message’ means the same advertisement is shown to all viewers or customers.
- It does not change for different age groups, locations, or cultures.
- This makes advertising less able to meet the special needs of different groups.
- Some viewers may not relate to or understand the message.
- For instance, an ad made for young people might not attract senior citizens.
- Therefore, using a standardised message limits advertising’s effectiveness for all.
High Complexity (Analysis & Scenario-Based)
Q6. A company launches a new product using an expensive TV ad campaign. Discuss two benefits and two limitations the company might face.
Answer:
- The company benefits from mass reach, as millions might see the ad and become aware of the product.
- It also gains customer trust, since widely advertised products appear authentic and reliable.
- However, there are limitations like lack of feedback, as the company cannot immediately know if people liked or understood the ad.
- Another limitation is inflexibility; if the ad message needs change, adapting TV commercials is costly and difficult.
- These plus points and drawbacks must be balanced when using advertising for product launches.
- Thus, the company should evaluate if mass advertising is the right choice for its strategy.
Q7. Imagine a product that people don’t want to buy after seeing its advertisements. What advertising limitations might be causing this?
Answer:
- One reason could be less forceful communication; there is no personal contact to convince buyers.
- The standardised message might not connect with the target customers’ needs or interests.
- Customers may be ignoring the ad because of advertising clutter—too many ads everywhere lowers effectiveness.
- The company gets no direct feedback, so they don’t know what’s wrong or how to improve the ad.
- If the ad cannot be changed easily, this inflexibility makes the situation worse.
- These limitations can prevent advertising from turning viewer interest into actual purchases.
Q8. Suppose a competitor quickly changes their product after seeing your ad campaign. Why is advertising’s inflexibility a problem in such cases?
Answer:
- Advertising’s inflexibility means the ad cannot be modified quickly or cheaply.
- If the competitor updates their product or message, your ad might soon look old-fashioned or irrelevant.
- Changing the ad will need more money and time, delaying your response.
- Meanwhile, customers might prefer the competitor’s offering as it looks more relevant.
- This puts your business at a disadvantage in a fast-moving market.
- Thus, inflexible advertising limits the ability to react quickly to changes.
Q9. Suggest how a business can overcome ‘lack of feedback’ in advertising and why this is important.
Answer:
- A business can track responses using special offer codes, website visits, or customer surveys.
- They can ask customers where they saw or heard about the business.
- Social media comments can also provide quick feedback about advertisements.
- It’s important because knowing customer reactions helps in improving future ads and marketing.
- Immediate feedback can save money by stopping less effective ads early.
- In this way, businesses make advertising more efficient and targeted.
Q10. Analyze how the increase in the number of advertisements affects the overall effectiveness of advertising.
Answer:
- With more advertisements everywhere (TV, internet, radio), people are exposed to too many ads.
- This causes them to ignore, skip, or pay less attention to each individual ad.
- Advertisers face difficulty in making their message stand out from the crowd.
- Useful or important information may be missed by customers in this clutter.
- Even if the ad is well-made, its impact may be reduced due to overexposure.
- As a result, advertising may fail to increase sales or achieve its main goals.