Which of the following statement is incorrect about Advertising?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → Advertising is less costly when reaching a small group of consumers.
Option (1) Advertising is an impersonal form of communication. — A correct statement (Incorrect). There is no face-to-face contact with the buyer, and the buyer cannot reply to the message.
Option (2) It helps in reaching the mass audience. — A correct statement (Incorrect). One advertisement in a newspaper or on television reaches a very large number of people.
Option (3) Advertising is less costly when reaching a small group of consumers. — An incorrect statement (Correct). Advertising is economical only when a large number of people are reached. Its total cost is spread over so many people that the cost per person becomes low. For a small group, the cost per person is high.
Option (4) Advertising creates confidence among prospective buyers. — A correct statement (Incorrect). Buyers feel more at ease buying a product they have seen advertised often.
NCERT (2026-27 Edition): “Merits of advertising … (iv) Economy: Advertising is a very economical mode of communication if large number of people are to be reached. Because of its wide reach, the overall cost of advertising gets spread over numerous communication links established. As a result the per-unit cost of reach comes low.” “Advertising is perhaps the most commonly used tool of promotion. It is an impersonal form of communication, which is paid for by the marketers (sponsors) to promote some goods or service. …” |