BENEFIT OF SALES PROMOTION AND ADVERTISEMENT IN PROMOTING ORGANIZATIONAL GOALS
(A CASE STUDY OF GLOBACOM NETWORK)
Advertisement and sales promotion is very important in an organization especially in this dynamic competitive and complex business environment. Advertisement and sales promotion are some of the promo-tools or one of the strategies marketers use in reaching their customer. The study methodology was from primary and secondary source. The study tried to examine advertisement and sales promotion as a tools used in improving prodigality. From the research study, it was found that there is no organization that can grow and stand the test time without advertisement and sales promotion activities. It is therefore recommended that sales promotion and advertisement activities be designed to build strength and retain customers towards the firm and it product.
TABLE OF CONTENT
Chapter One: Introduction
1.1 Background of the Study
1.2 Statement of the Problem
1.3 Purpose of the Study
1.4 Research Questions
1.5 Significance of the Study
1.6 Scope of the Study
1.7 Limitation of the Study
1.8 Operational Definition of Terms
Chapter Two: Review of Related Literature
2.1 The Concept of Sales Promotion and Advertisement
2.2 Objectives of Advertisement and Sales Promotion
2.3 Advertisement and Sales Promotion Tools
2.4 Decisions Areas When Developing the Advertisement and Sales Promotion Programme
2.5 The Importance of Advertisement and Sales Promotion in an Organization
2.6 Factors that Determine the Use of Sales Promotion and Advertisement in an Organization
2.7 Evaluations of Advertisement and Sales Promotion Programmes
Chapter Three: Research Methodology
3.1 Research Design
3.2 Population of Study
3.3 Sample Size
3.4 Research Instrument
3.5 Validity and Reliability of Instrument
3.6 Method of Data Analysis
Chapter Four: Data Presentation and Analysis
4.1 Presentation of Data
4.2 Analysis of Research Questions
Chapter Five: Summary, Conclusion and Recommendation
5.0 Summary of Major Findings
1.1 BACKGROUND OF THE STUDY
Nowadays, organization are undergoing fast growth and often disturbing transformation which are due to the information technology and technological advancement currently going on.
Sales promotion and advertisement consist of short term incentive to encourage sale and advert of product or services Kotter and Amstrong (2004). Also Dennis (1993) state that sales promotion and advertisement in marking activities other than personal selling and public relation that stimulate consumer purchasing and dealer effectiveness such as display shows etc.
Organization profitability on the other hand, is increasing the gain delivered from business or by selling things especially after paying the cost involved. Organization must communicate with their actual potential busters.
This is necessary because it you do not say “I am here” nobody will actually know that you are there.
There as a group of potential to take place there is need for product differentiation and this is difficult in the communication system.
It is very important and sale promotion activities such as price, cut, and trade stamp coupon, premium, context, free trail products e.t.c to source high sales and to encourage users to patronize their products. If an organization has a good and will designed products, it will be very difficult for them to purchase that product and it will be to no value to the society.
Many organizations and religious group are nowadays engaging in advertisement and sales promotion and are spending Hug sum of money on them. The reason is the pressure for short term profit, the accountability factors, the change in the market place and the increasing power of retailers and consumer.
Organizations are investing money in advertisement and sales promotion which in return generates immediate result in increased profit.
Some examples are the NITEL new line with a small bag free SMS they give out to customers, family and friends numbers that are registered free and are called at cheaper rate, GLO “who wants to be a millionaire and others”. All these are no line with the existing business.
Advertisement and sales promotion is therefore noted in this context on how it affects organizations overall profits.
HISTORY OF GLOBACOM MOBILE NETWORK
The globacom mobile network was launched in Nigeria in the year 2003, and they had the vision to be the market leading service provider in Nigeria and they also aspired to build African biggest and best telecommunication network in Africa.
As a company, globacom recently made history as the first single company to haveand 800 million high capacity, fibre-optic cable successful submarine cable form the united state of America to Nigeria and it will decrease telecom process provided excess bandwidth to all cities connected to the cable. The historical initiative will also improve teleconferencing, distance learning, disaster recovery and telemedicine among several benefits. As part of giving back to the communities in which they operate Globacom limited sponsors the national football teams and the premier league in Nigeria and Ghana.
In 2010, Globacom sponsored the Africa handball tournament in Benin Republic. Globacom has also sponsored the annual confederation of Africa Football (CAF) awards since 2008 also they have sponsored the Glolagos international half marathon.
1.2 STATEMENT OF THE PROBLEM
Many companies or organization that renders similar services are faced with challenges from their counterparts. For an organization not to be thrown out of business it needs to carry out advertisement and sales promotion which enable it have a share in the market.
This study which is carried out in a company “Globacom Nigeria in Lagos” will critically examine the following with a view of ascertained whether advertisement and sales promotion can be used as an effective marketing tool.
1.3 PURPOSE OF THE STUDY
The purpose of this stud is to enable the firm/company achieve the followings:
1.4 RESEARCH QUESTIONS
To carry out this study successfully, the following research questions were used:
1.5 SIGNIFICANCE OF THE STUDY
The study has the following significances:
1.6 SCOPE OF THE STUDY
All organizations are profit oriented, and of the ways to maintain the profit level of organization is through sales promotion. This study is therefore focuses on Globacom mobile network Lagos, Nigeria to evaluate the impact of their sales promotional advertisement programmes on their profitability for period of twelve months.
1.7 LIMITATION OF THE STUDY
Limitation are those factors inherence in the research situation that might affect the result which the investigator must acknowledge and recognize Olannyu (2006). Some of the problems encountered during this research work include the following:
1.8 OPERATIONAL DEFINITION OF TERMS
1. SALES PROMOTION: this is a temporary offer of alternative prices and inducement incentive to customers these incentives include offering free sample trade stamps, trade fairs, bonaza’s prices deals etc. (Busarietial 2002)
2. ADVERTISMENT: This is commonly defined as any paid form of non-personal presentation and promotion of ideals, goods, or services by an identified sponsor Anyanwu (2000) draw from the three perspective of advertisement (society consumer and business perspectives) and give a more embracing definition. He defined advertisement as “Primary tools in the marketing decision variable firms used to inform, persuade and educated the customers about product offering by an identified sponsor with a view to developing performance for the product and service.
3. ORGANIZATION PROFITABILITY:
This is the efficient and effective use of scares resources in order to make profit.
4. FREE SAMPLE:
This is the product given to people to know how the material is and what it can do for them, this is to attract customer to patronize the product and service rendered.
5. PROMOTION: This is the third element of the marketing mix. It consists of all the activity used by an organization to bring it service to the favorable attention of customers or consumers.
6. MARKETING: This is the performance of business activities that direct the flow of goods and services from the company which is the producer to the consumers or users.