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O-LevelCommerceAdvertising7100/22 · May/June 2021 · Q316 Marks

Fig. 3.1 shows the percentage (%) of expenditure on different forms of advertising in a country in 2016 and 2020. [Figure 3.1] Use Fig. 3.1 to help you answer the following questions.

  1. (a)(i)What is the most popular form of advertising in 2016?[1]
  2. (a)(ii)Give an example of a method of advertising used outdoors.[1]
  3. (a)(iii)Calculate the total amount spent on newspaper and magazine advertising in 2020. Show your working.[2]
  4. (b)Explain why cinema is not a popular form of advertising.[2]
  5. (c)Explain two reasons for the growth of internet advertising. Give reasons for your answer.[4]
  6. (d)Discuss the negative effects of advertising on consumers when buying goods and services.[6]

This question uses a diagram from the original paper, which isn't shown here. Open the full paper from the past papers archive to see it.

Mark scheme

Marking points from the official mark scheme (May/June 2021). The mark or mark type is shown in brackets.

  1. 3(a)(i) 1 Television
  2. 3(a)(ii) 1 Posters / banners
  3. Billboards / digital billboards
  4. Neon signs/lights
  5. Hoardings
  6. Side of transport vehicles/bus shelters/buildings
  7. 3(a)(iii) 2 Answer = $112m (2)
  8. Method = 14% × $800m/100 (1)
  9. 3(b) 2 Cinema advertising is only seen by a limited audience / may not reach the targeted audience (1) not everybody / less old people visit the cinema / more people watch films at home / some people cannot afford to go the cinema (1)
  10. Cinema goers miss the advertisement (1) as many people come in late to see the film / talk over the adverts/not pay attention to the adverts (1)
  11. It is usually seen once only (1) so the advertisement is not reinforced (1)
  12. 3(c) 4 Falling cost of internet access (1) due to internet price competition (1)
  13. Low cost / cheaper for businesses to advertise (1) on social media / compared to e.g. television / cuts down on business costs (1)
  14. Improved technology (1) faster internet access/speed (1)
  15. Falling cost of smartphones (1) due to network price competition (1)
  16. Can target consumers better (1) with adverts on specific websites / using people's email addresses to contact them (1)
  17. Global reach (1) more consumers able to access (1)
  18. Increase in use of smartphones / mobile devices (1) the web can be accessed anywhere / less people reading print media (1)
  19. Can be seen 24/7 (1) web can be accessed at any time (1)
  20. Increase in people using social media (1) e.g. Facebook (1)
  21. Large audience / large number of users (1) access / potential for more sales / compared to e.g. newspapers (1)
  22. 3(d) 6 Up to 2 marks for describing negative effects of advertising for consumers
  23. Up to a further 2 marks for analysing negative effects of advertising for consumers
  24. Up to a final 2 marks for evaluating negative effects of advertising for consumers
  25. Consumers pressurised into buying things / impulse buying they cannot afford / leads to debt
  26. Some advertising uses objectionable appeal which shocks or offends
  27. Body images portrayed may cause unrealistic expectations / affect self-worth
  28. The advertising of unhealthy products e.g. chocolate
  29. Creating an unnecessary want that is not needed because of pressure/attraction of the advert / e.g. buying an iPhone, new car
  30. Product price is increased because of high cost of advertising
  31. Misleading advertisements / only mentioning the good points / exploited consumer wastes money on something that does not meet their need / make poor decision in buying the product
  32. Increases pollution e.g. leaflets thrown away
  33. Evaluation: Advertising should have a positive effect on consumers. If advertisers deceive consumers into buying goods and services, it is not beneficial to consumers. Advertising can negatively affect consumers in different ways, for example, encouraging them to buy things they cannot afford so incurring debt, or causing low self-esteem by suggesting a particular image is the best/right/only acceptable one.

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About this question

Topic
Advertising, O-Level Commerce (syllabus 7100). Structured question, 16 marks.
Source
O-Level Commerce, May/June 2021 Paper 2 Variant 2, question 3.

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