Advertising is the branch of marketing or a marketing strategy designed for passing information across clients and prospective customers through the mass media. However, (Bradley 2015) states that advertising is an asset that assists a company improve its goodwill and worth. This can target clientele or individuals. Furthermore, advertising impacts significantly on the services and sales of both small and big companies. This piece will x-ray the benefits of advertising to an organisation.

Increase in Turnover- Advertising disseminates information about the services and goods of an organisation. A company makes sales and profits if its goods and services are properly advertised. Hence, (Osuagwu 1999, 422) concludes that advertising buoys the turnover of the company’s wares and services. Through advertising, the contacts of an organisation is located, hence it becomes easier to do business with such a company. An organisation, that its goods and services are not known does not enjoy heavy patronage.

Creating Awareness- Advertising creates awareness of a company’s goods and services. What brings about the popularity of a company is its ability to advertise its goods and services via communication media. Through advertising the masses are thought how to use the products of the advertiser. It is believed that people like and purchase the product they know its uses and values.

Edge over Competitors- A company that spends money to create awareness of its goods and services harvests profit abundantly. Such a firm will have an advantage over a competitor who does not advertise its goods and services.

Increase in Goodwill- Goodwill is an intangible asset acquired through the manufacture of good products and advertising. Hence, it is important for enterprises to advertise their goods and services via the social media, magazines, newspapers and other communication media. Expenditure on advertising is not a waste, as it creates longstanding impression on organizational goodwill. Moreover, firms that sponsor sports events and also invest in corporate social responsibility bring their companies into limelight.

In conclusion, the effects of advertising on companies cannot be overemphasised. However, enterprises should utilise the advertising services created by modern technology to increase their market share.


Jeremy,Bradley.2015. “The Impact of Advertising and Sales Promotion in Revenue”. http://www.smallbusinesses.chron.com.

Linus, Osuagwu.1999. Marketing Principles and Management: Advertising Policy/Strategy. Lagos: Grey Resources Limited.

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