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1.1 Background of the Study
Advertising and sales promotion are becoming very regular in our world today especially with the downturn in the economy and the consequent decimation of consumers purchasing power. In any production setting, it is believed that the production process is not complete until the goods and services get to the final consumers. Marketing as a concept involves the integration of advertising and sales promotion strategies which must be effectively carried out during and after the production of the products or services towards the effective and efficient satisfaction of consumer. Advertisements and commercials are available now in any media you turn to, on every newspaper, magazines, article, billboard adverts are everywhere especially in the urban places. There is always one sales promotion or the other going on at any point in time.
Advertising has been defined by the Advertising Practitioners Council of Nigeria (APCON) as a form of communication through media, about products, services or ideas paid for by an identified sponsor.
The American Marketing Association and research professional defined Advertising as “any paid form of non –personal presentation and promotion of ideas, goods and services by an identified sponsor’.
From Communication perspective, advertising has been defined as “a form of paid mass communication intended to persuade prospects to prefer a brand or type of certain goods, services or ideas to all others or others in the same category, and thus to move and induce them to patronize the goods or services or adopt the ideas”. The communication oriented definition has been further broken down for practical purposes by its author “saying the right things about the right product, service, or idea to the right people, in the right way, at the right time and place.
Sales promotion on the hand is any activity engaged in by a company to create a buying desire and an immediate reaction from customers, middlemen or company’s sales force. It comes in the form of raffle, giving out samples, and other branded items. It is aimed at creating a buying desire, rewarding loyal customers or attracting attention to product improvement.
Billboard advertisements and signage are communication infrastructure which do not only interact with the public commercially but doubling as landscape furniture that add beautification to the overall events happening in outdoor spaces. Billboards\ ability to highlight the attributes and benefits of a specific product or brand and cause patronage is directly related to its ability to persuade the target audience. This is called economic influence and it is called for, going by the findings in Loto (2011) which indicate that for decades, Nigeria has been experiencing disappointing performance in terms of growth in Gross Domestic products (GDP) and the general development of her economy.(Femi,2013)
1.2 Statement of Research Problems
Outdoor advertising is scheduled to be a channel for showcasing product capability in public places but on the contrary, Nwoka, Ezirim and Maclayton (2005) observe that the issue probing the minds of many is whether such channel has actually influenced to a significant extent, the purchasing behaviour of consumers. Maclnnis and Jaworski (1989), adopting Cohen (1987) note that since the 1950s researchers have been developing theories to describe, understand and predict consumers’ attitudinal appreciation of billboard advertisements. It is also observed that the public with differing levels of intellectual reasoning and aesthetic interpretation capabilities have undermined the influence of billboard advertisements on the nations commerce and industry. Sometimes it is the visual design concept that critics subjectively contend as offensive and other times, it is the physical structure itself that they say is a waste of resources and distractions to the public. This seems to be the reason why many conclude that billboards do not in any significantly way influence the economy. That is why this research is considered appropriate at this time of revamping Nigeria’s commerce and industry for economic and social development in Nigeria. This study is set to disabuse the mind of advertising critics as well.(Femi,2013)
1.3 Objectives of the Study
A good number of research and investigation are consistently undertaken and hugely sponsored by MTN and even other companies and organization alike on the effectiveness of billboard advertising and sales promotion strategies for the purpose of improving sales and services delivery.
MTN, through the outlet of their customer care service system (CCSS), persistently sample subscribers’ opinions, difficulties, ideas, complaints and suggestions for improved sales and services. This Telecommunication have equally employed the services of thousands for the singular purpose of field works through questionnaires and interactive sessions with customers and subscribers. With MTN’s “180 dialed” customers and subscribers are availed of an opportunity to speak directly with their providers.
Hence, the objectives of the study are worthy of enumeration as follows:
a) To ascertain the inherent effects of billboard advertising and sales promotions on MTN’s customer and subscribers’ decision on patronage.
b) To examine the contributions of MTN’s billboard advertising and sales promotion strategies in relation to other Network providers in Nigeria.
c) To discover the effects of billboard advertising and sales promotions in the general growth and improvement of MTN’s market shares in the Tele communication world.
d) To determine potential effects of billboard advertising and promotions deficiencies on MTN’s sales and service delivery to its customers and subscribers nationwide.
e) To uncover the consequences of employment and engagement of incompetent, inefficient and ill-skilled agents and workers in MTN’s advertising and sales promotion departments.
f) To ascertain the significance in the relationship between MTN’s billboard advertising and sales promotion expenditures and sales/ service delivery turnover.
1.4 Research Questions
In order to provide the required empirical data for the study, the following research questions shall be considered to validate recommendations.
1. How does billboard advertisement and sales promotion strategies affect MTN’s customers’ and subscribers’ decision on patronage?
2. What contribution does MTN billboard advertising and Sales Promotion strategies in relation to other Network providers in Nigeria?
3. What effect does billboard advertising and sales promotions have in the general growth and improvement of MTN’s market share in the Telecommunication world?
4. What potential effect does billboard advertising and sales promotions have on MTN’s sales and service delivery to its customers and subscribers nationwide?
5. What are the consequences of employing and engaging incompetent, inefficient and ill-skilled agents and workers in MTN’s billboard advertising and sales promotion department?
6. Is there any significance in the relationship between MTN’s billboard advertising/sales promotion expenditure and sales/service delivery turnovers?
1.5 Research Hypotheses
The study will test the validity of the following hypothesis.
Ho: Billboard advertising and sales promotion strategies does not affect MTN’s customers and subscriber’s decision making on patronage.
Hi: Billboard advertising and sales promotion affects MTN’s customers and subscribers decision making on patronage.
Ho: Billboard advertising and sales promotion strategies has no effect on the MTN’s market share in the Telecommunication world?
Hi: Billboard advertising and sales promotion strategies has effect on the MTN’s market share in the Telecommunication world?
Ho: There is a no significant relationship between MTN’s billboard advertising/sales promotion expenditure and sales/service
Hi: There is a significant relationship between MTN’s billboard advertising/sales promotion expenditure and sales/service delivery turnovers?
Ho: There are no consequences in employing and engaging incompetent, inefficient and ill-skilled agents and workers in MTN’s billboard advertising and sales promotion department?
Hi: They are consequences in employing and engaging billboard incompetent, inefficient and ill-skilled agents and workers in MTN’s advertising and sales promotion department?
1.6 Significance of the Study
The significance of the study is founded on how MTN Nigeria limited can strengthen its adverting and sales promotion strategies to widen and improve on its production, promotion, acceptability, marketing, general growth and successes in the currently highly competitive Telecommunication industry in Nigeria with GLO, ETISALAT, ZAIN, RETEL and others in the battle to win customers and subscribers.
The importance of this study is equally rooted in how best to improve on MTN’S employment and engagement of competent, skilled and expert agents and workers in their increasing advertising and sales promotion departments for the purpose of utmost sales and service delivery to its millions of customers and subscribers in Nigeria, its growth and sustenance of its successes.
The findings of this research will be of assistance to MTN’S body of advertising agents to discover virgin strategies and unexploited and untapped areas for stronger and more effective advertising and sales promotions for the promotion of healthy completion among Telecommunication tariff, highest service provision, widest interconnect ability with other Network providers and so on.
In summary, MTN Nigeria Limited, through the strongest Network provides nationwide, will and must boost the advertising and sales promotion strategies and personnel if it must maintain its position in Telecommunication in Nigeria
Advertising and sales promotion is fast becoming a part of everyday life. As the world is compressed into a global village, we
depend more and more on the mass media and other
communication gadgets. Except for those in very remote villages, no day passes without one being exposed to at least one form of advertising or the other. Many organizations in the
telecommunication industry are desperately struggling to beat competitors off and build competitive edge over other competitors in order to maintain their status quo. They have thus, engaged in
different marketing strategies ranging from pricing to segmentation, distribution, promotion, product, planning and development etc.
The significance of this study is therefore to help
telecommunication industries determine the relevance advertising and marketing strategies in enhancing the sales turnover level of their product/services. This study will equally provide information about the effectiveness or otherwise of advertising and sales promotion as a marketing tool for stimulating purchase of products particularly in telecommunication industry, it will also help to promote healthy competitors among marketers/service organizations thereby promoting the development of the nation’s economy.
The findings of this research will help advertising practitioners create more effective advertisements and campaigns by letting them know the customer’s perception of a good advertisement.
Finally, this work will throw up means for further research.
1.7 Scope of the Study
The work basically evaluates the effect of billboard advertising and sales promotion in improving sales in the telecommunication industry with particular interest in MTN Nigeria Limited.
Since it is impossible to visit every organization in the telecommunication industry, the scope of the study will be limited to MTN Nigeria Limited, and all suggestions and recommendations will be advisably relevant to the industry in relation to the topic of the research.
1.8 Limitation of study
The extent to which the project would have taken is hindered by some factors which include:- Time:
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