Definition of Advertising: Purpose, Benefits, and Types

Definition of Advertising – In relationship marketing, advertising is known as paid mass communication which is non-personal in nature. Bondan Winarno there are three terms that are commonly used in Indonesia to refer to advertising, namely billboards, advertisements and advertisements.

The word advertisement or advertisement itself comes from the Dutch language, namely advertentie which also refers to English, namely advertising . Advertising advertisement as a way to promote goods, services or ideas paid for by a recognized sponsor.

So, advertising has a goal, namely to attract potential customers to make purchases, so as to increase product sales from the company concerned. The purpose of the advertisement will influence the level of sales so that the company’s profit level increases.

To find out more about advertisements, you can see this article, Sinaumed’s. So, see this full review until it’s finished, Sinaumed’s

Definition of Advertising

Advertising as a form of encouragement that is not intended to increase demand for goods, services or sales institutions through direct mail or using the media as a comparison medium. In addition, advertising is also known as a form of public or impersonal presentation and promotion of goods, services and ideas paid for by a known sponsor.

So, in simple terms, advertising can be interpreted as follows.

  • Advertisements are non-personal, which means that advertisements are aimed at consumers using a medium so that between promoters and targets cannot have direct dialogue.
  • Ads promote with goods and services.
  • The advertisement indicates the presence of a known sponsor.
  • Advertising requires a fee to be paid.

There are five components or types of advertising media, such as print media, television media, radio media, calendar media, and out door media which are promotional tools for companies in improving a product, namely Sinaumed’s. Therefore, it is expected that the media can affect sales turnover.

Definition of Advertising According to Experts

The following is the definition of advertising according to some experts.

1. Point Nurbayati and Mahmud M

Point Nurbayati and Mahmud M (2005: 2009), advertisements or advertisements are all forms of presenting information and promotions indirectly carried out by sponsors to offer ideas, goods or services. Advertising in relation to marketing policies in general and promotional strategies in particular is known as paid mass communication.

In addition, advertisements are non-personal in nature to cause certain activities, in order to benefit from placing these advertisements. Generally obtained through the sale of products in the form of goods and services.

2. Kotler

Kotler (1987: 269), advertising is one of the four main tools used by companies to direct convincing communications to buyers and target publics, forms of non-personal (non-personal) communication organized through paid media with real sponsors or clear.

3. Suhardi Sigit

In addition, another definition of advertising is a way of presenting with notes, writing, words, pictures or using people, products or services carried out by an institution (company) with the aim of influencing and increasing usage or obtaining votes, support or opinions (Suhardi Sigit, 1982: 50).

Matters Relating to Advertising

As for other matters related to advertising, among others:

1. Personal Selling

Personal selling as sales by individuals which can be defined as an oral presentation in the form of a conversation with one or more prospective customers with the intention of making a sale.

So, personal selling can be done verbally in the form of a conversation between the salesperson and one or several potential customers who can make a decision to buy goods or use the service.

2. Publicity

Publicity or publicity as non-personal encouragement of requests for a product, service that is commercial in nature in the media that is published or presented appropriately through television, radio that is not paid for and sponsors.

See also  difference between ionic and covalent bond

So, publicity is information about a certain product that is mentioned in the form of news, this is an advantage because in practice it is not paid for by the sponsor.

3. Sales Promotion

Sales promotion as a term used to describe activities that complement both personal selling and advertising and make them effective.

Sales promotion are marketing activities other than personal selling, advertising, and publicity that encourage consumers to buy and promote sales success. So, it can be concluded that sales promotion as a marketing activity that encourages the purchase of a sale to return what is presented at the sale made.

Advertising Purpose

The overall advertising objective will affect the level of sales so that the profit level continues to increase. There are several advertising purposes, namely:

  • Maintain loyal customers by persuading customers to keep buying.
  • Recapture lost customers, by slowly increasing the flow of subscriptions toward products the company produces from competing brands.
  • Attract new customers by attracting a steady stream of buyers towards the company’s advertised products and displacing customers who switch brands of competing products and expand the overall market.

Advertising Benefits

The biggest benefit of advertising is bringing the message conveyed by producers to the public or you could even say that this benefit is the most important benefit of advertising activities.

There are several benefits of advertising for community and economic development, including:

  1. Expanding alternatives for consumers, so that consumers can find out that there are various products which will eventually lead to various choices.
  2. Helping producers create trust for their consumers or more often expressed as “you don’t know, you don’t love”. Through advertisements that appear prominently, with large sizes and attractive logos, it will generate high confidence that the companies that make them are bona fide and have quality products. In fact, it can make many people recognize the product being promoted.

Advertising Disadvantages

In addition to providing benefits, advertising also has a negative impact on social and economic growth due to a lack of understanding of the more long-term function of marketing. So, there will be a lot of marketing abuse that stems from the use of advertising.

As for some of the negative impacts of advertising, among others:

1. Make it easy for someone to buy items they don’t need

Advertising makes people buy something they don’t really want or need. If we look at the daily occurrences after shopping, how many useless things do we buy just because of advertisements? On the other hand, advertising does persuade us to buy or use something more regularly.

2. Items Sold Are More Expensive

Advertising causes goods to be more expensive, because it requires funds. Naturally, if there is a response that advertising increases the price of goods. But in most cases the opposite is actually the case. Advertising can actually lower prices. For example, calculators in the sixties were still expensive. After being heavily advertised and mass-produced, their prices dropped drastically.

3. The Expected Product Does Not Appropriate

Good advertising will make low-quality products sell. This is actually not true, because if consumers try products that are not of good quality, they will no longer buy them. Therefore, so that consumers still want to buy their products again, the company must be able to produce good products as well.

Advertising Cost Control

The amount of advertising costs is an element of marketing costs that is not measurable. The results of advertising activities are difficult to measure how effectively these activities have been carried out, while the process of controlling these irregular financing units can be started by determining the size of the annual budget for advertising funds. Then, the funds are allocated to each existing media.

After that, there is a continuation of the actual level of financing compared to the budget value. This is done with the aim of maintaining that the level of costs used is the same or balanced with the budget.

To prepare budgets for financing centers that are not measurable, two kinds of tasks can be carried out, which are routine and specific. Routine tasks are tasks that are carried out repeatedly from time to time, such as making financial reports for the control department.

Whereas for special assignments is a kind of project with a certain completion time, for example advertising activities by a company with newspaper media. The purpose of allocating funds for advertising activities is to issue one additional rupiah which brings in more than one rupiah as an additional contribution which is greater than the cost.

See also  difference between depression and recession

However, management must also remain flexible in determining the amount of costs because what is faced is humans and the environment which tends to change quickly.

Advertising Cost Elements

Advertising costs consist of five cost elements, namely:

  • The cost of preparing the advertisement design, including the cost of preparing billboards and the cost of work.
  • The cost of making billboards, includes the cost of making billboards, banners and calendars.
  • Direct media costs, including costs for using advertising space in newspapers or magazines.
  • Costs for advertisements, including various costs for carrying out advertisements, supplies and salaries.
  • Other costs, including costs for donations, contests and for the community.

The preparation of the advertising budget is not solely based on sales, Sinaumed’s. Sales volume is one of the considerations when it comes to advertising costs incurred, that is, regardless of the amount of advertising costs incurred, it must be balanced with adequate revenue.

In determining the advertising budget there are also several other ways, namely according to ability, as a certain percentage of sales, the competitive parity method, and the objective and task method.

However, many companies also set their advertising budget according to the company’s capabilities. This method has the disadvantage of producing a fluctuating advertising budget, which can make it difficult to plan and develop messages for the long term.

Advertisement Types

Advertisements can be divided into several types, including:

1. Based on the type or type of media used for communication

a. Print advertising (print advertising)

As for what includes print advertising, namely advertisements in daily newspapers or magazines.

b. Electronic advertising (electronic advertising)

Included in the electronic advertising are radio and television broadcasts.

c. Outdoor advertising

Outdoor advertisements in the form of billboards or posters.

d. Special advertising (speciality advertising)

As for that includes all kinds of gift items or gifts for free such as calendars, glasses. ballpoint pens and so on which are relatively inexpensive and are usually accompanied by the name of the company that provided them.

e. Direct mail

In the form of printed goods sent directly by post to prospective buyers.

f. Transit advertising, newsletters

Examples of this type of advertisement are posters, signs and stickers that are inside and outside public vehicles or stations and even terminals.

2. Based on the nature of the advertisement

a. public presentation

Public presentation , namely advertisements intended for the public so that the forms of presentation must also be general in nature. This advertisement includes elements of buyer motivation so that the general public can easily understand the advertising .

b. Penetration

Penetration pervasiveness), namely advertising that is done repeatedly so that the message sent will permeate the consumer.

c. Has a broad meaning

Contains a broad meaning (amplified expressiveness), namely advertisements that provide an opportunity to present the company with its production results. To make it look more impressive through the arrangement of text, images, colors and sounds that are conveyed through the selected media.

d. Not Private

Impersonality , namely advertisements that can only carry out one-way communication with consumers so that consumers do not feel obliged to pay attention to or react to these advertisements.

Things Required and Advertisment Requirements

Things that are needed by companies in choosing advertisements are:

  1. Cost
  2. Product
  3. Order, and
  4. The nature of the intended medium

Good advertising terms are as follows:

  1. Must be able to get the attention of consumers.
  2. Must be able to attract consumers.
  3. Must generate a desire to buy from consumers.

Advertising Function

In line with its objectives, the advertising function is:

  • As a tool to provide information or lighting in introducing new products to the market.
  • To help expand or expand the market.
  • To support the personal selling program.
  • To reach people who cannot be approached directly by the salesperson ( sales person).
  • Building a good name

The other functions of advertisements are as follows:

1. Informative

To inform audiences or consumers about a product.

2. Persuading

To influence audiences or consumers to or be able to make purchases.

3. Remedy

As a reminder back gossip received by audiences or customers.

4.Entertainment

As the creation of a pleasant situation when consumers receive and digest the issue.

Advertising Properties

In addition to having a purpose, advertising also has characteristics that make it different from other forms of promotion. These properties include:

1. Society (Public presentation)

With good and appropriate advertising, you will be able to reach the wider community quickly.

2. Ability to persuade

Advertising has high persuasive power or is very persuasive, this is because advertising can be loaded many times.

3. Expressiveness

Advertising has the ability to dramatize the product as well as the company.

4. Impersonal

Impersonal or not towards certain people, advertising as a form of communication is only a monologue.

5. Efficient

Advertising is said to be efficient because advertising can reach a wider audience, especially geographically.

That is an explanation of what advertising means and its types. Hopefully all the discussion above adds insight and is useful for Sinaumed’s.