Why Advertising is Effective
Posted: Tue Jan 28, 2025 6:39 am
The global advertising market turnover in 2022 will amount to 766 billion US dollars. These are the forecasts of the investment company GroupM. Presumably, the psychologically significant mark of advertising expenses – 1 trillion dollars – will be reached by 2025.
And here a reasonable question arises: why network marketing contact list do business owners and managers (no matter whether large or small) invest hundreds of billions in such an unreliable and inconsistent (from the point of view of effectiveness) marketing tool?
Why Advertising is Effective
Of course, business is familiar with such a concept as advertising deafness. Large companies have even conducted special studies to study this phenomenon and confirmed its existence.
The results showed the following:
Millennials filter out advertising on a subconscious level. This is the conclusion reached by the Center for Marketing Research at Dartmouth University in Massachusetts. We are talking about a generation that practically lives with gadgets in their hands. The next generation is practically born with smartphones, they will not notice advertising at all.
Advertising on social networking sites does not change consumer behavior at all. This is the conclusion reached by the Gallup Institute after conducting special surveys.
According to research by the Nielsen Norman Group , advertising brings only 12 out of 100 buyers to a site. The remaining 88 come on their own through search engines or through recommendations from friends on social networks.
But what is the advertising market based on and why hasn't it "gone under" for a long time? There are two reasons. First: there is simply no other way for a business to make a name for itself. As soon as a seller stops praising itself and its product, buyers will be immediately pulled over by competitors. Therefore, whoever shouts louder will attract more attention and will be able to sell more.
Someone will say that as a counterbalance to aggressive PR there is such a wonderful tool as content marketing. Yes, but the thing is that it should be really effective contextual advertising, and now few can boast of this.
Read also!
"Marketing Strategies Examples: From Apple to Barack Obama. Aspects for 2025"
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The second reason for the tenacity of PR is that it does produce results. Otherwise, no one would pay crazy money for TV airtime or Internet banners. There are plenty of real examples of how effective advertising can be:
Researchers from the marketing company Arbitron Inc (a member of the Nielsen group of companies) have found that in the United States, people spend an average of 20 hours a week in their cars (either driving or as passengers). The numbers will vary in different countries, but the gist is the same: people spend a lot of time in transport. And 68% of them think about their purchases during this time (as Arbitron experts found out). And 72% of respondents said that they always go to a store after work if they saw the product they need on a billboard during the day. It is thanks to billboards, citylights, or other outdoor advertising that every fourth purchase is made. Think about this figure: 25% of consumers buy a product after seeing it on a PR billboard.
When asked what kind of advertising is most effective, specialists from marketing companies Horizon Media and MarketShare answer – the one that is broadcast on TV. All other channels (radio, paid search, PR in print by KPI, including registration of new accounts) do not give such results.
Experts from one of the world's largest PR agencies, WPP, are convinced that print advertising (in publications) is 2.5 times more effective than online materials. And for some industries, this figure is even higher. In particular, a study was conducted for Microsoft. The results are as follows: 2.84 pounds of profit is generated by every pound sterling invested in online advertising, and the company receives 6.41 pounds of profit from PR spent in print.
Marketers at IZEA have found that 52% of American companies consider paid publications on social media pages to be the most effective form of online advertising. In general, they include this type of PR in the top three most effective marketing tools.
There are clear contradictions in the research results, so it makes sense to agree with the following two theses:
The efficiency indicator is quite relative. Much depends on the market, the business area and its scale. You can see from your own experience that this or that tool gives results that differ greatly from the forecasts of serious universities and reputable agencies.
There are many marketing tools, and advertising is just one of them. In parallel, you can connect such promotion methods as SMM and others. Excellent synergy will come from the joint use of context and content marketing. The first tool will attract visitors to you who are immediately ready to buy. And the second will ensure long-term cooperation and profit from the funds invested in PR.
And here a reasonable question arises: why network marketing contact list do business owners and managers (no matter whether large or small) invest hundreds of billions in such an unreliable and inconsistent (from the point of view of effectiveness) marketing tool?
Why Advertising is Effective
Of course, business is familiar with such a concept as advertising deafness. Large companies have even conducted special studies to study this phenomenon and confirmed its existence.
The results showed the following:
Millennials filter out advertising on a subconscious level. This is the conclusion reached by the Center for Marketing Research at Dartmouth University in Massachusetts. We are talking about a generation that practically lives with gadgets in their hands. The next generation is practically born with smartphones, they will not notice advertising at all.
Advertising on social networking sites does not change consumer behavior at all. This is the conclusion reached by the Gallup Institute after conducting special surveys.
According to research by the Nielsen Norman Group , advertising brings only 12 out of 100 buyers to a site. The remaining 88 come on their own through search engines or through recommendations from friends on social networks.
But what is the advertising market based on and why hasn't it "gone under" for a long time? There are two reasons. First: there is simply no other way for a business to make a name for itself. As soon as a seller stops praising itself and its product, buyers will be immediately pulled over by competitors. Therefore, whoever shouts louder will attract more attention and will be able to sell more.
Someone will say that as a counterbalance to aggressive PR there is such a wonderful tool as content marketing. Yes, but the thing is that it should be really effective contextual advertising, and now few can boast of this.
Read also!
"Marketing Strategies Examples: From Apple to Barack Obama. Aspects for 2025"
Read more
The second reason for the tenacity of PR is that it does produce results. Otherwise, no one would pay crazy money for TV airtime or Internet banners. There are plenty of real examples of how effective advertising can be:
Researchers from the marketing company Arbitron Inc (a member of the Nielsen group of companies) have found that in the United States, people spend an average of 20 hours a week in their cars (either driving or as passengers). The numbers will vary in different countries, but the gist is the same: people spend a lot of time in transport. And 68% of them think about their purchases during this time (as Arbitron experts found out). And 72% of respondents said that they always go to a store after work if they saw the product they need on a billboard during the day. It is thanks to billboards, citylights, or other outdoor advertising that every fourth purchase is made. Think about this figure: 25% of consumers buy a product after seeing it on a PR billboard.
When asked what kind of advertising is most effective, specialists from marketing companies Horizon Media and MarketShare answer – the one that is broadcast on TV. All other channels (radio, paid search, PR in print by KPI, including registration of new accounts) do not give such results.
Experts from one of the world's largest PR agencies, WPP, are convinced that print advertising (in publications) is 2.5 times more effective than online materials. And for some industries, this figure is even higher. In particular, a study was conducted for Microsoft. The results are as follows: 2.84 pounds of profit is generated by every pound sterling invested in online advertising, and the company receives 6.41 pounds of profit from PR spent in print.
Marketers at IZEA have found that 52% of American companies consider paid publications on social media pages to be the most effective form of online advertising. In general, they include this type of PR in the top three most effective marketing tools.
There are clear contradictions in the research results, so it makes sense to agree with the following two theses:
The efficiency indicator is quite relative. Much depends on the market, the business area and its scale. You can see from your own experience that this or that tool gives results that differ greatly from the forecasts of serious universities and reputable agencies.
There are many marketing tools, and advertising is just one of them. In parallel, you can connect such promotion methods as SMM and others. Excellent synergy will come from the joint use of context and content marketing. The first tool will attract visitors to you who are immediately ready to buy. And the second will ensure long-term cooperation and profit from the funds invested in PR.