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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.