[An average consumer in India is exposed to scores of advertisements per day. Every marketing manager knows, people are bombarded with messages through different media. TV and radio along with newspapers and magazines, billboards, direct mail campaigns and internet. They do not spare any individual. Telemarketing, SMS, clothes with messages printed on them and messages received on cell phones and landlines create many new opportunities to contact potential customers.

    Definition  –
According to Dunn and Barbon “Advertising is paid, non personal communication through various media by business firms, non-profit organisations and individuals who are in some way identified in the advertising message and who hope inform or persuade members of a particular audience”.3


(1) Importance universally recognised: The importance of advertising in modern business is universally accepted. Its constructive and positive role in promoting business and in offering better life and welfare to consumers and the society at large is also universally recognised. In the present business environment, advertising is a must due to large-scale production, market competition and need to attract consumers through information and persuasion.

(2) Entertains people: Advertising provides entertainment to people along with information and guidance. Radio and TV advertising is supplemented by sponsored programmes which include serials, singing competitions, plays, music programmes, interviews and so on. All this provides entertainment to audience along with advertisements/ advertising message.

(3) Facilitates marketing and brings expansion of markets: Advertising facilitates large-scale marketing and higher profits to manufacturers/traders. It brings expansion of market by creating new demand for existing/new products. Advertising facilitates large-scale production and marketing. In addition, it provides information and education to consumers and promotes their welfare. These are the areas where advertising plays a positive role.

4) Facilitates communication and persuasion: Advertising acts as a line of communication between manufacturers and traders on the one hand and consumers on the other hand. It is a medium of mass communication. It provides information to thousands of consumers spread over large marketing area. It facilitates sales promotion through information and persuasion. To persuade consumers to purchase specific product is one of the objectives of advertising.

(5) Provides mutual Advertising is for the benefit of both the parties. It helps advertisers to give better service and satisfaction to consumers along with the expansion of business. This suggests that advertising plays a role of social and economic significance and not merely as a tool of sales promotion.

(6) Promotes production and distribution: Advertising facilitates large-scale production and distribution for meeting the needs of consumers. This role of advertising needs to be highlighted in the right spirit by the advertisers and advertising professionals. Such understanding on their part will raise the level of advertising and may remove certain unethical practices in the field of advertising. Even the criticism of advertising will be limited if the constructive role of advertising is appreciated.

(7) Creates employment: Advertising creates employment opportunities in the field of advertising and in other fields also (e.g., production and distribution of goods and services). It facilitates the process of economic growth and globalisation of business.

(8) Raises standard of living: Advertising raises the standard of living of the For this, they are given information and guidance regarding goods and services, buying decisions and market competition.

(9) Stimulates competition: Advertising promotes competition among rival producers. This competition is for raising market share. For facing such competition, different techniques including discounts, product modification and quality improvement are used. The benefits of competition are always favourable to consumers.

(10) Supports ad media: Advertising provides financial support to ad media including Radio, TV and newspapers. Newspapers and magazines are dependent on the revenue collection from advertisements. Radio and TV collects crores of rupees through advertisements. This clearly suggests that advertising provide strong financial support to advertising media.

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