The name given by manufactures to one of its product is called brand. It can be the same name as the name of the manufactures or different name. examples, Coca-Cala Amatil make lot more product than coca-Cola, lot of dofferent name among this manufacture. The trademarks associated with brand name.
The consumers recognized trade & brand name with certain level of quality in order to buy best products. The business spent lot to advertise brand name. The Coka-Cola is worth billions of kina. If business steal other brand name, the can sue them to court. If trade name is registered in Government agencies (IPA), then no one is allowed to use it.
The brand become popular to customers through adverting and skillful marketing. The consumer buys over again because they like the name of the brand. The advertising and skillful marketing raised consumers demand.
The same brand of product comes in different quantity, smaller or larger. It cost less to put product into larger package than smaller in manufacture point of view; so cost reduction can be passed to consumers in the form of lower prices. The manufactures maximize ( increase) profit by providing the same product in a range of different sizes.
There are different brand of the same product. The wise consumer looked at price and quality of goods. The cheapest brand may not be the quality or the cheapest brand may be the quality; so such things should be consider before buying the products.
The promotion similar to advertise but quite different. To make known the new products to customers is called advertising but known product in special sales, competition & give away is called promotion. Promotion is a short period while advertising is ongoing & both cost lot of money.
There are range of media to advertised, some are expensive & some are cheap. The media used are;
- Print Media: It contain written messages & pictures. The common form of it appears in newspaper & magazines, posters, leaflets and brochures.
- Broadcasting Media: It contain messages sent vi airwaves such as radio & televisions. Radio involved transmission of words and songs. The television involved sending out images, movies, visual advertisement etc.
- Billboards & Signage: It is the large signs erected outside the building or at the side road where most people meet. Some billboard are made up of neon light, it lightened during the night.
- On clothing: The business name, logo or brand name screened printed on cloths. This is part of promotion or ongoing advertisement.
- The Internet: The internet through website advertise products outside different countries & millions of people. The united states business advertises more of their products in internet.
- Word of mouth. This is very effective cheapest way of advertising. A product can be sold at market or store and recommended to friends and relatives by people who have tried it.
The cost of advertising depends on what they expect to get out of it. It leads to more product being sold, but revenue from extra goods sold must first pay the cost of advertising. The business paying for special promotion of its products hopes to get an immediate boost in sales.
They see benefit of long term advertisement too; so that brand name can be in the mind of consumers- this can lead to more goods can be sold over a period of time.
The revenue for business that publish News Paper and Magazines comes from advertising fees. The space in their News Paper & Magazines are paid for by businesses to advertise. They sell News Paper and Magazines too, to get money. The cost of advertising depends on space-how must it will be occupying. The full page & advertisement in colors are more expensive.
However, small business payed on small classified advertisement on less expense. The Classified Advertisement is to put printed messages under same heading with other advertising message. Examples, some headings are; Automotive, Notices, Employment, General, Personal, Seasonal, Property/ Real Estate.
The Radio & Television cost depends on seconds, how the span it will be on air. The advertisement on Radio & Television also referred as commercial. The time is the factor influencing cost in commercial advertisement.
The prime time of advertisement occurs in a pic of time where many people observing popular programs. These popular program referred to as Prime Time. The businesses pays more on prime time.
Those business specialized in producing one types of products & services may not be so knowledgeable when advertising their product. It is not necessary to hired expert to promote their product.
However, the business specialized in producing different types of items may need sales, promotion and marketing expert. These experts are called advertising agencies. The advertising agencies also a business. They earned their revenue through creative averment.
The small business first established need to keep their cost down. They need to make known to their target market of their products. There are low cost way of advertising like simple sign-this is to tell people about their product. Example, notice attached on board, carrying their product in streets, printing in flyers and advertised on social media, conversation etc. The small business need to aim target market not necessary the whole customers through simple signs of advertisement. This is the way of low cost advertisement.
The responsible advertisement has its limit of how they can persuade their customers to buy their products & services. They allowed to make their product sound and look good, but there is the limit to how far they can go with the language.
It is illegal to make false statement to persuade customers to buy their product. The illegal advertisement & operation should be reported to (ICCC) Independent Consumer & competition commission. Therefore, it is better for businesses to engage in responsible advertisement. The responsible business advertisement are honest & provide relevant information about the product.