Importance of Advertising : 

The modem age is the age of advertisement. In every sphere of life, influence and reflection of advertising can be seen. Therefore, it is not a social waste, but an investment. 

It offers several benefits: 

(1) Benefits to Businessmen/manufacturers. 

(2) Benefits to consumers. 

(3) Benefits to the middlemen. 

(4) Benefits to the society.

Let’s, explain all of these one by one : 

(1) Benefits to the Businessmen / Manufacturers : 

Advertisement is beneficial to the manufacturers and traders in the following ways:

•  Facing competition : 

Advertisement is an important means for facing competition. By creating brand loyalty, telling novel and new uses of product, sales promotion schemes, etc., it helps to maintain sales and market share. It enhances personal selling and sales promotion.

• Support to salesmen : 

Advertisement simplifies the work of salesmen as the customers are already familiar with the product and its uses.

• Higher profits : 

Rapid sales turnover, reduction in cost of production, etc. result in higher profits for the advertiser.

• Enhances goodwill : 

Advertisement helps in creating a good image of the firm and reputation for its product. A favourable image increases the capacity of the firm to survive competition and economic depression.

(2) Benefits to the Consumers : 

It is beneficial to the consumers for the following reasons :

• Education to consumers : 

Advertisement provides education and knowledge to consumers about new products and their diverse uses.

• Saves time : 

A consumer can know easily about the availability, feature, price, any scheme on product, etc. sitting back at home.

• Improves Standard of living : 

Advertisement improves standard of living of the people by providing variety and quality in consumption.

• Better quality: 

Advertisement creates confidence amongst buyers about the quality of advertised products. They get good quality goods and chances of cheating are reduced.

(3) Benefits to the Middlemen : 

Advertisements are beneficial to the middlemen in the following ways:

• Help In sales : 

Advertisement gives detailed information about price, quality, usage, instruction, etc. about a product, so a large sales-force is not required to make efforts to increase the sales.

• Lowers the risk : 

Due to constant advertising, describing the unique features and use of product, repeated buying is encouraged. Because of high sales turnover, dealer’s risk of unsold stock is reduced.

• Increase in profits : 

The middlemen automatically get the gains of goods advertised by the manufacturers. They don’t have to spend money in advertising. This results into savings in costs and increase in profits.

• End of unhealthy competition : 

The manufacturers offer incentives and commissions on the basis of quantity of goods bought by middlemen. These incentives encourage them to make more sales, and as a result, their income rises.

(4) Benefits to the Society : 

•  Advertisement reflects and provides glimpse of the lifestyle of a nation, thus promoting art and culture of the nation. 
•  Advertisement increases employment & job opportunities. 
•  Advertisement improves the standard of living of the people by providing better quality goods at reasonable price, giving maximum satisfaction to consumers. 
•  Advertisement stimulates research & development to develop new products and its new uses.