ADVERTISING AS AN INSTRUMENT OF REFLEXIVE MENAGMENT OVER CONSUMER’S DECISION

Abstract

Advertising as an instrument of reflexive control over consumers’ demand was investigated in the article, with the objective of evaluating the probability of economic efficiency of its application. Advertising is quite important and delicate market instrument of gaining control over consumers’ decisions. An enterprise, commencing an advertising campaign relies on two important components: psychology and economy. The psychological component seems to be interesting from the point of view of exerting moral pressure on a person. The second one presents interest due to its efficiency, gained form application of the product of advertising. Normally accounting and statistic data regarding the changes on products sales are used for measuring of actual efficiency of advertising. Even though it’s fairly easy now to obtain such data the process of efficiency evaluating still may cause some difficulties. The reason is: the economic effect of advertising is mostly revealed not straight away, it may take some months. This is especially relevant for industrial production, where purchases are not spontaneous and require thorough evaluations and careful considerations. Besides, any changes in sales level may be caused by other factors, which may exert more serious influence than advertising, like, for instance, increase or decrease in the level of consumers’ income or inflation, causing raise of prices and the like. That is why it is very difficult to foresee and measure economic efficiency of advertising.