CRITICAL STUDY OF THE IMPACT OF ADVERTISING ON CONSUMERS patronage
CRITICAL STUDY OF THE IMPACT OF ADVERTISING ON CONSUMERS PATRONAGE
1.0 Background of the Study
Marketing is a management process that aims to detect, anticipate, analyse, and satisfy human needs and wants through exchanges as efficiently and effectively as feasible (Adirika, 1990:38).
Its notion is a business philosophy that holds that customer happiness is the economic and social rationale for a company's existence. However, regardless of how well a new product satisfies the needs of the consumers, its existence must be publicised, necessitating the use of advertising to raise awareness.
Similarly, the multiplication of production companies in Owerri municipal implies that in order for a company in the industry to survive, grow, or improve its market share,
it must control its market share, direct its energies towards some form of new product high quality development, fair pricing, effective promotional activities, and a wide distribution network.
Aside from competitors, the growth of this industry creates other problems, such as the challenge of determining which of these varieties has the greatest influence on consumer preference for one brand of production company in Owerri municipal new product over another.
As a result, most organisations' marketing departments have decided to invest substantially in advertising as the most reliable way to reach their target consumers. Owerri municipal businessmen always overlook the importance of advertising in business in their chase of quick money and riches.
They frequently misinterpret advertising expenditure as money wasted. This is unfortunate, as advertising is one of the most successful ways to communicate with customers and the wider public.
Through advertising, a firm provides the information a consumer requires to evaluate a new product or the company's ability to deliver a new product or service.
Advertising can take the shape of newspaper and magazine advertisements, direct mail trade exhibits, television, radio, catalogues, new product demonstrations, and so on.
Finally, advertising plays an important function in inspiring consumers in all production companies in Owerri Municipality. Some people are moved by the nature of an advertisement for a specific new product, regardless of the price.
1.1 Statement of the Problem
In any competitive marketing environment, such as ours, a marketing manager is frequently confronted with the challenges of determining the nature of demand for his new products in a certain market sector, as well as determining the variables responsible for changes in demand patterns.
The management of a producing company in Owerri municipal is faced with the challenge of not only identifying appropriate strategies to beat their competitors,
but also determining the strength of the contributions of various components of the promotional mix variables for the purpose of stimulating demand for their new product brand. This has also resulted in different companies allocating budgets and focusing policies on different components of the promotional mix.
Thus, the goal of this study is to determine how much advertising has contributed to encouraging consumer new product brand preference for a production company in Owerri municipality.
1.2 GOAL OF THE STUDY
Advertising as a promotional mix, among other things, aims to influence consumers to choose a specific new product or service over a competing brand of a similar new product when making a purchasing decision.
This study thus intends to analyse the market acceptance of companies in Owerri metropolitan with a view to establishing the extent to which consumers prefer their product over other production companies in Owerri municipal.
Can be linked to advertising. Thus, the aims of this investigation are:
To assess whether advertisement attractiveness or theme is the reason why consumers prefer one product over another in Owerri municipality.
To determine the origin and nature of variances in consumer preferences for the company's new product under examination.
Determine the extent to which advertising influences the consumption of a new product.
To determine the effectiveness of advertising in encouraging customer awareness of new products under consideration.
To offer strategies to improve the advertising campaign approach for Owerri Municipal's new product marketing.
The following hypothesis will be tested.
Ho: Most consumers do not become aware of new products through advertising.
Hi: Most people become aware of new products through advertising.
Ho: Exposure to advertising does not alter consumer brand selection for new products.
Hi: Consumer brand choice for new products is impacted by advertising messages.
Ho: There is no substantial association between advertising for new items and the organization's sales volume.
Hi: There is a considerable association between advertising for new items and the organization's sales volume.
1.4 Significance of the Study
The study's findings are expected to benefit companies in the Owerri municipal area in the following ways:
To be in a position to tailor their new product to the needs of their customers.
To assist consumers in determining the quality of their new product and the benefits they will gain from using it.
It will make it easier for other people, particularly researchers, to do comparable study in the future.
The reader will also profit from this work because it will assist them in developing their own study when conducting academic research.
It will highlight the opportunities and challenges that rivals face, as well as the need for changes to ensure that the firm grows favourably.
1.5 Scope of the Study
The study is a consumer case study from Owerri Municipality. Due to the company's size and expansion, the study is solely applicable to consumers in the Owerri metropolitan.
1.6 Definition of Terms
Advertising is a non-personal type of communication or presentation of goods, ideas, or services undertaken through paid media under clear sponsorship (Kotler P. 1987, 2nd Edition).
CONSUMER NEW items: These are the new items utilised by the ultimate consumers that are not industrial new products (Ozo 2002.120).
BRAND PREFERENCE: A circumstance in which a consumer selects a specific new product that meets his demands and desires. (Journal of Consumer Research. 1982, 185). CONSUMER BEHAVIOUR: Any action taken by a consumer in order to meet his or her demands. (Ozo 2002. 10)