Lesson Note

Subject: Commerce

Topic: Advertising I


Meaning of Advertising

Bacisc Concept in Advertising

Role of Advertising

Types of Advertising

Lesson Objective: By the end of the lesson, the learners should be able to:

  1. Define advertising;
  2. Mention the basic concept in Advertising;
  3. State the role of advertising;
  4. Mention and Explain the types of Advertising.

Lesson Summary / Discussion

Advertising can be defined as any paid form of non-personal communication which is directed to the customers or target audience through various media in order to present and promote products, services and ideas. It is a branch of
commerce which is used to create awareness for a particular product and it must be paid for.
Advertising informs, educates and
persuades people to buy the advertised goods and services.

Basic Concepts of Advertising
1. Theme: This is the essential message the advertiser wishes to communicate.

2. Target: This refers to the target audience, i.e., people the advertisement is aimed at.
3. Advertising Medium: This is the medium through which the message is passed, e.g. radio, television, newspaper etc.
4. Frequency: This is the number of time an advert is delivered.
5. Reach: This refers to the size of the
audience that has seen or heard the advert.

Role of Advertising

  1. To Introduce New Product: One of the roles of advertising is to inform customers about the existence of new products in the market, i.e., creation of awareness.
  2. To Persuade Customers to Buy: Advertising helps in arousing the customers interest and by so doing persuades them to buy the product.
  3. Creation of Demand: Advertising stimulates demand by constantly reminding potential consumers about the availability of the product in the market.
  1. To Educate the People on the Uses of a Product: It educates consumers on the usage of the product and the benefits to be derived.
  2. It Promotes the Image of the Firm: Advertising builds a corporate image for a company.
  3. It Increases the Firm’s Turnover: Advertising facilitates sales for a firm, and as a result the turnover and profit of a business may be enhanced.
  4. Development of Large Markets: Advertising creates large market segment which leads to the development of larger markets.
  5. Provision of Technical Information About a Product: Advertising provides information that are needed by the
  6. Provision of Technical Information About a Product: Advertising provides information that are needed by the consumers. Such information as quality, price changes and special offers are provided by advertising.
  7. It Helps to Improve the Quality of Goods: Research can be embarked upon to improve quality of products in order to outplay competitors, i.e., healthy competition can help to improve the quality of products.
  8. To Create Brand Loyalty: The demand of the customers can be maintained by constantly arousing their interest on a particular product and this will ultimately create brand loyalty.


1. Informative Advertising: This is a kind of advertising which is aimed at
disseminating information that will let consumers know what goods and services are available. Informative advertising informs the public about the existence of a product. It also assists the customers to choose between alternatives on offer. It supplies information which are useful to the consumers by calling their attention to a particular product. It also giyes information about the benefits and uses of a product.
Informative advertising is good for
introducing new products or job vacancies.

2. Persuasive Advertising: This is a type of advertising which tries to persuade customers to buy a particular brand of a product as being different from other brands. Persuasive advertising, which is
emotional in nature, is used to induce or arouse consumers’ interest in order to persuade them to buy a particular product.
It sometimes lays emphasis on the
distinctive characteristics of a product and appeals to people to buy and use a particular product, e.g. medicine, cosmetics etc.

3. Competitive Advertising: This is a type of advertising which is aimed at persuadingg customers to buy one brand of product in preference to another brand by another producer. It tries to woo customers to consume a product at the expense of another. Competitive advertising is good for products with close substitutes and it is associated with clear cut competition. It emphasises on the fact that a product is far better than another in terms of quality, e.g. 7up and Coke.
4. Mass and Specific Advertising: This is a type of advertising in which manufacturers of similar products or same commodity come together to jointly advertise their products to the consuming public. They will
not lay emphasis on or mention a particular product brand. The major reason is to reduce the cost of advertising. Specitic advertising provides information specially
on some lines of goods or a particular brand which is unique in nature.

Lesson Evaluation/Test

  1. What is Advertising?
  2. Mention the basic concept in Advertising.
  3. What are the roles of Advertising?
  4. List and Explain the types of Advertising.

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