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Analysis Of An Advertisement
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The number of advertisers needed to promote the brands has steadily grown at a higher percentage than the number of brands, themselves. In the period spanning 2004 to 2007, the advertisers outnumbered the companies. This gave the companies a choice of advertisers so as to get the best deal and the best advertising strategy. However, in the last year, the number of brands fell. This is due to many reasons including recession, inflation and vigorous competition. As the number of companies in the market started to fall, so did the number of advertisers. The advertisers are highly dependent on the companies to generate contracts and hence, revenue. In most companies, although they have a separate advertising department, they generally outsource the creative work to advertising agencies. Therefore, when the companies face a tight financial situation, they generally cut back on their advertising expenditure. This directly impacts the advertisers, whose sole occupation is the provision of advertisements. Thus, we can see a steeper fall in the number of advertisers to a gentler fall in the number of brands.
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