Creation Of Awareness: Business Related Activities (Essay Sample)

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Advertising
Introduction
Creation of awareness in one of the most important roles that is played by mass media Industries. In all spheres of the world, media industries have tried to show their great concern by making all business related activities simpler. Creating awareness is the most important part since it has enabled everybody in all spheres of the world to get a well detailed information regard a particular state of the commodity as well as personal interest. In more specific terms, media has diversified its modes of data communication, there are various modes that media industries uses to deliver the information. For instance, if the company target to deliver information to a large amount of people, it is quite advisable to consider the most appropriate method to deliver that information, in this scenario, the company may pass the information to its customers through Radio advertisements, Newspaper as well as Television.
Therefore, it is solely clear that there are various modes of creating advertisement. In connection to that, there are a number of things one need to put into consideration before creating an advertisement. Therefore, it is ought to be comprehended that advertisements plays a central financial role in our mass media industries hence this paper is fashioned to discuss the role of media industries as well as impacts on media content on the following perspectives;
* The conventional view of advertisement as a source of revenue
* A service to buyers and seller of good and services
* A way of providing media content to consumers free of charge
* Advertising as a real content of commercial media
Therefore, the above aforementioned fields will be accomplished through exploration on a number of topics as well as subtopics.
The Role and Impacts of Advertising on Media Content
When examining this topic in broad terms, we come into conclusion that advertisement play numerous roles as far much as business is concerned. With close reference to that, it is ought to be understood that there is also some impacts posed by these advertisement. In more specific terms, the following points mentioned below illustrates the role of advertisement as well as their impacts;
Firstly, advertising plays an integral role in promoting a certain products in the market. Creating awareness concerning a certain product tends to notify customers that there is such kind of product that exist in the market. In regard to that, this also promote effective market competition since customers will have a clear information concerning the productCITATION Ely12 \p 22 \l 1033 (Elyria 22). In furtherance to that, advertisement is quiet beneficial to the producers themselves since it widens the market of the products which in turns contribute to yielding substantial amount of profit gained.
Since advertisement appreciates the sales done, there is an effect that comes along with advertisement. For instance, when a product is advertised, there is a great change in the life cycle of the product and the curve as well. Using advertisement and other methods of promotions, producers not only increase the sales of the product but also prolong the life cycle of the goods. The impact of making advertisements can be showed graphically using the life cycle curve of a product with advertisement and without advertisementCITATION Mee10 \p 30 \l 1033 ( Meenaghan 30).
Secondly, advertisements plays an integral role of simplifying consumer’s decisions. At times, advertisement may tend to simplify the situation of a consumer. For instance, a customer may get confused which product he or she should purchase especially where market competition of a certain product is stiff. In more detailed terms, if the two products serves the same purpose, the consumer might get confused which product should be selected, more so when the prices of two commodities does not vary either in price and sizeCITATION Rus10 \p 240 \l 1033 (Russell 240). Therefore, when these products are advertised, consumers are able to make warranted generalization on which product to go for since during advertisements, in most cases, advertisers tend to explain more about the product in details as well as its effectiveness when used correctly. Therefore, it is now quiet evident that adverts plays an important role in guiding the consumer on which products to go for.
Thirdly, advertisement acts as a tool for competition. In most cases, in order to compete with others, companies use a creative and attractive advertisements so as to lure the consumers. Besides that, many of the companies will ensure that they will go to an extent of inundating the media with their advertisement in such a way that consumers’ attention will be grabbed. Therefore, this clearly shows that 80% of the companies utilizes the advertisements as the main tool to fight competition.
In general, advertisement also comes along with negative impacts toward the consumers. At times, advertisement might be a bit expensive and companies might decide to increase the cost of goods and services so as to compliment the cost incurred when making advertisement. Therefore, this in turn affect the general market of the commodity. For instance, when there is an increase in cost of the commodity, it causes a decrease a decrease in demand of the commodityCITATION Rem13 \p 242 \l 1033 (Remziye 242).
The Convectional View of Advertisements as a Source of Income
In general, there are many sources of revenue, more so, making advertisement being one of them, it has contributed more than two thirds on income of revenue. In more specific terms, all domestic news revenue is usually derived from advertisements made. It roughly yields up to forty three billion dollars of sixty three billion. In regard to that, through adverts that are made on different commodities have contributed greatly generation of revenue. For instance, daily newspaper being one of the mode of advertisements, combined hand in hand with various prints and digital modes of advertisements, it contributes to half (59%) of all known advertisements revenue earned.
Conversely, almost a third of total advertisements revenue is brought about by television. Revenues that are coms along as a result of news broadcasted through TV’s and other network connections such as internet lead to a gross income of 12.8 billion dollars per annum with more than half of the income coming from the TV’s adverts. In connection to that, available literature shows that about $1.9 billion dollars is generated by advertisements that are made via the major broadcast network and newscastCITATION Ven13 \p 40 \l 1033 (Venkateswara 40).
Advertisement incomes from magazines are exceptionally hard to evaluate, as the typical assessments in view recorded information are obviously expanded. From the previous analysis, shows researchers depended on number of promotion pages to give a more precise feeling of development or decay year to year. In any case, to get a feeling of even the scope of aggregate income for this division, the Center depended on freely accessible evaluations for particular distributions and anticipated a conceivable scope of about $550 million to $1.4 billion.
When everything is considered, investigators recognized generally $500 million in yearly promotion income for these for-benefit advanced news outlets. The genuine admission is in all likelihood higher than that, in light of the fact that there are numerous computerized news organizations for which even gauges are inaccessible. In any case, regardless of the possibility that that figure were multiplied, income got from this segment would not add up to any over 1% to 2% of all news advertisement income represented in the U.S. media framework. While promoting represented the vast majority of the income distinguished for this area, some computerized news operations are moving forcefully into other income openings, for example, occasions and premium memberships, portrayed in further detail underneath. Furthermore, others have profited from a convergence of funding, sponsorships from different items inside the organization and direct proprietor speculation.
The second-greatest wellspring of income for the business originates from the paying open, representing 24% of aggregate known news-related income, as per Pew Research gauges. This incorporates flow income and additionally permit and retransmission expenses, which likewise leave purchasers' pockets as link bills, alongside individual offering, normally to noncommercial media outlets.
Most gathering of people income originates from day by day daily paper flow. Print and advanced income consolidated came to $10.4 billion in 2012, as indicated by Newspaper Association of America figures. (To date, the industry has not discharged computerized membership income figures as a classification, albeit some individual daily papers, similar to The New York Times, do). That number adds up to 69% of group of onlooker’s income attached to American news gathering. In all out dollars, it is additionally a number that has started to develop, following quite a while of decrease, as daily papers have explored different avenues regarding new estimating systems for print releases and executed advanced membership arranges. It is currently evaluated that around 500 and perhaps more U.S. dailies have actualized or are wanting to execute such an arrangement.
Advertisement as a service to buyer and sellers of goods and services
Well, when considering those two cases of buyers and sellers, both parties seems to enjoy equal profit from the advertisements. In regard to that, as I aforementioned on the introductory part of this paper, buyers tend to stand at higher chance of benefiting from advertisements made. First and foremost thing that one need to take into c...