Most companies believe that advertising has a strong persuasive, shaping can raise awareness of your brand and product services. Economists believe that people make purchase decisions, rational factors often greater than the emotional incentives, advertising has a significant contribution to the economy:
1. With high productivity
CP value of advertising is high, appropriate application vendors advertising, marketing activities can play a greater productivity, thereby reducing the cost of sales of products and services. Throughout the marketing activities, advertising plays a vanguard, the consumer prior to the retail store to buy, do ads Effective Marketing Strategies under the new media environment have pre-sales. On the spread of communication effectiveness, unit cost than advertising promotion, personal selling low, increased access to both the utility to meet the product unit, or individual units, from consumer products to improve the effectiveness point of view, the campaign has a high productivity.
2. facilitate mass production
Advertising plays the role of communication and consumer product characteristics, contributed to mass consumption, driven by mass production, economies of scale benefits, and expand the overall market of products, leading to mass consumption and mass marketing and other ripple effects.
3. accelerating mass consumption
From the consumer's standpoint of view, advertising spread of power are often very difficult to resist the existence, as consumers often have to Corporate strategies to respond to market changes buy the advertised product pride psychological, potentially accelerating contributed to mass consumption.
4. Effect of national income
Ads with threshold effects and deferred effects, can promote national economic development, advertising spending and economic prosperity are closely related vendors, boom, manufacturers to win, usually overweight campaign, took the opportunity to lift sales performance, improve The marketing strategy of services national income there are indirect contribution. Advertising predecessors, Dr. Yang Chaoyang noted manufacturers to increase 1% ad spending increase is much larger than the gross national product ratio, this increase in consumption of 1% of more than one percent; increase in consumption will stimulate investment, thus improving income, vendors 1 yuan to invest more in advertising, will lead to national income increased $ 16 benefit.
5. The impact of the standard of living
In influencing consumers' desires and preferences, advertising with great influence, it has information and persuasive force, not only increase productivity manufacturers, but also affect people's living standards.
6. necessarily raise prices
All costs expenses of business activities, usually reflected in the operating costs, and finally passed on to consumers. However, based on mass production and mass consumption economies of Expand overseas markets scale principle, advertising sales and contributed to a large number of exhibits diminishing costs can be offset by the cost of production and sales.
Then from an economic point of view, the impact of advertising on the Big data changed the music industry market final price of products and services, marketing often is not long final say, but the final result depends on the market mechanism may be.
7. will not create a monopoly
Advertising is to maintain brand equity of the weapon, in the era of high consumer awareness, coupled with the balancing effect of competition, and subject to fair trade standards, this exclusive right in raising prices little influence.
Economy but also on the advertising important influence economy more developed, manufacturers demand for advertising the 10 tips for writing op-eds more ardent, advertising more have sway; media more sophisticated, advertising more add to its far-reaching power; society, the more progress, consumers' level of knowledge the higher, the more need to focus on advertising ethics and morality.
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