Function Of Advertising Essay

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Moriarty, Mitchell et.al (2003) Advertising is paid, mediated form of communication from an identifiable source, designed to persuade the receiver to take some action now or in the near future.
Lavidge and Steiner (1961) have emphasized that advertising has three main functions namely- creating awareness about the product, develop positive attitude towards brand, and result in action in form of purchase.
2.2 What does advertising do for the brand?
• Lamb, Hair & McDaniel (2009) have highlighted that advertising has an information effect, whereby the consumer gets information about various products and services. They also talk about the transformational effect of advertisements, where the consumer’s unfavourable attitude can be transformed in to a favourable attitude.
• Sutherland (2008) …show more content…

They even found the ad message as relevant, which affected their purchase decision. 2. 3 How much is spent on advertising?
Suparna and Jyoti (2009) in a study have tried to study the growth and trend of sales and advertisement expenses for selected 137 companies of India. They attempted to evaluate the effectiveness of advertisement expenses on sales. Their findings show that non-manufacturing companies spend less on advertising. They have also opined that the extent of ad spends that companies need to incur depends on the nature and size of industry.

Indian ad spends will increase by 8.7 % year-on-year in 2014, according to WARC – a Global marketing intelligence service provider. (Economic Times, December 16, 2013).
 According to Sam Balsara (Chairman and MD, Madison World) India is the 12th largest advertising market in the world and the fourth fastest growing market on advertising grounds.
 Total advertising expenditure (AdEx) across the media sector stood at Rs 327.4 billion (US$ 5.28 billion) in 2012. ( Source:

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