THE IMPACT OF ADVERTISING ON SALES OF MOBILE PHONE IN ENUGU METROPOLIS (A CASE STUDY OF AIRTEL)

ABSTRACT

This study is intended to find out the impact of Advertising on the sales of mobile phone in Enugu metropolis. This include investigating whether Advertisement help’s in the sales of mobile phone and also know whether advertising is necessary in making telephone user to be aware of telecommunication services, in terms of moral, ethnics and norms in the advertisement of telecommunication services. Further more, the study is also intended to find out if the seller undertake advertising in view of it’s impact to telecommunication services. The research questions are laid down which the researcher uses to see it his views about the services have any impact in telecommunication. The problem that encounter by many telecommunication in effort to advertise their service in a developing economy are also treated by review of related literatures. The researcher carried out various researches in different telecommunication industries and data were obtained from questionnaire, Oral interview, and by observation. This comprises of primary and secondary data. Data that were obtained were analysed, the following summary of finding were made by the research Viz: that advertising play important role in effective marketing of telecommunication and maintenance of a large market share and consumer sees advertising as a very good programme because of the entertainment rhythm. It was also found that there are many communication media available to telecommunication in advertising their services. The researcher also find out that Airtel telecommunication services have clear definition of authority among the staff. The researcher further observed that the telecommunication lay much emphasis on rendering high quality services to their customers. The following recommendation were also made by the researcher that the telecommunication should embark on advertising to create awareness. Instead of relying on recommendation of customers they should stress peculiar qualities. They posses and remove any part that are bound to conflict with general behaviour of the cultures should be considered properly before entrance profitability instead of price reduction.

TABLE OF CONTENTS

Title page         -       -       -       -       -       -       -       -       i

Certification     -       -       -       -       -       -       -       -       ii

Dedication       -       -       -       -       -       -       -       -       iii

Acknowledgement    -       -       -       -       -       -       -       iv

Table of contents     -       -       -       -       -       -       -       v

List of table and figures   -       -       -       -       -       -       X

CHAPTER ONE

INTRODUCTION      -       -       -       -       -       -       -       1

1.1      Background of the study -       -       -       -       1

1.2      Statement of the problem        -       -       -       -       3

1.3      Objective of the study      -       -       -       -       -       4

1.4      Significance of the study -       -       -       -       -       6

1.5      Scope of the study   -       -       -       -       -       -       6

1.6      Limitation of the study     -       -       -       -       -       7

1.7      Research Hypothesis       -       -       -       -       -       8

CHAPTER TWO

LITERATURE REVIEW   -       -       -       -       -       -       10

2.1      Marketing and marketing management   -       -       13

2.2      Why market telecommunication service   -       -       14

2.3      The impact of marketing in telecommunication industry-      -       -       -        -       -       -       -       23

2.4      Profile of Airtel Nigeria     -       -       -       -       -       26

CHAPTER THREE

RESEARCH DESIGN AND METHODOLOGY   -       -       29

3.1      Sources of data        -       -       -       -       -       -       29

3.2      Survey instrument   -       -       -       -       -       -       29

3.3      Population of the study    -       -       -       -       -       30

3.4      Questionnaire administration -       -       -       -       34

3.5      Description of materials   -       -       -       -       -       35

3.6      Method of data collection         -       -       -       -       36

3.7      Validity and reliability of research instrument         40

3.8      Limitation of the study     -       -       --     -       -       41

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS         -       -       42

4.1      Data presentation and analysis       -       -       -       43

4.2      Test of hypothesis    -       -       -       -       -       -       60

4.3      Test of hypothesis I  -       -       -       -       -       -       61

4.4      Test of Hypothesis II-       -       -       -       -       65

CHAPTER FIVE

SUMMARY OF FINDINGS, RECOMMENDATION AND CONCLUSIONS -       -        -       -       -       -       -       70

5.1      Summary of finding         -       -       -       -       -       71

5.2      Recommendations   -       -       -       -       -       -       74

5.3      Conclusion      -       -       -       -       -       -       -       76

Bibliography    -       -       -       -       -       -       -       77

Questionnaire -       -       -       -       -       -       -       79

Appendix         -       -       -       -       -       -       -       -       81

LIST OF TABLES

Table 4.1:        Variations in Sex and Age        -       -       43

Table 4.2          Place of residence of respondents    -       44

Table 4.3:        Most preferred medium of communication45

Table 4.4:        Occupation of respondents      -       -       46

Table 4.5:        Interest in telecommunication         -       46

Table 4.6:        Telecom firms patronized by respondent47

Table 4.7:         Period of operating an account with the          firm        -       -        -       -       -       -       -       48

Table 4.8:        Types of account operated by respondents 49

Table 4.9:         rating of the present performance of the telecom firms    -       -        -       -       -       50

Table 4.10:       Means of communication used frequency by telecom to reach customers        -       -       51

Table 4.11:       Suggestions by respondents on what means of communications is most effective       52

Table 4.13:       Marketing of phone services increase sales and project   -       -        -       -       -       53

Table 4.14:       Indispensability of marketing as services in telephone organization     -       -       -       54

Table 4.15:       Factors influencing marketing tools and techniques used in the telecom. Firms         55

Table 4.16:       Impact of marketing on phone services    56

Table 4.17:       Method of improving services Table-       57

4.18:                Extent of marketing pools and principle as influence in sales volumes   -       -       58

Table 4.19:       Which of the following programmes do you consider worth while for profitability of the telecom firms-      -       -       -       -       59

CHAPTER ONE

INTRODUCTION

1.1      BACKGROUND OF THE STUDY

The sophisticate of the socio-economic and political environment of the world has introduced a state of urgency and style human affairs are conducted. There is an increasing awareness about the fact that does for instance in a race, the winner is the shorted possible time, in Business, there is a popular saying that time is money, signifying that the two has an opportunity cost. That being the case information which is the basis for most decision ought timely. As such telecommunication has in the present time risen to a very for told it’s relevance day-to-day human affairs.

Security agency all over the world rely heavily on telecommunication for their business entitles and individual too are not left out. Radio communication is an example of telecommunication networks.

Telephone, the emphasis of the research work is an instrument used for sending message especially human voice to a distance wire or radio, with the new technological break through in the innovation of mobile phone, emphasis is already being made to create awareness of this new technology.

In Nigeria where this technology is relatively marketing effort is required to sell the item to consumers appointment.

Interestingly, Nigeria communication Plc (NITEL) has been only player in the communication industry over the years.

There has been only player in the communication industry over the year.

There has been no challenger since NITEL has exist and funded by the federal government of Nigeria. Being a sole player monopolize industry, there was no need for more advertisement sales promotion or generally marketing. But with the deregulation of putting telecommunication companies and the police of government on privatization. Commercialization, competition have set in market of both telecommunication and the instrument has become imperative for success.

1.2      STATEMENT OF THE PROBLEM

Recent global events have indicated very clearly that development in the twenty first century will be propelled by the revolution telecommunication and information technology. In an effort to develop a long the global trends in this sector. The Nigeria telecommunication (NITEL) is frequently and continually improving it’s technology and service delivery Newer at a friendly equipment and system appear on a regular basis in our market to replace out dated item.

These are calculated advices geared towards the improvement of standard. There by given consumer value for their money.

Nevertheless, in Nigeria problem traceable to take of effective marketing gathered the operation of some telecommunication establishment some of them have no fare enough in the areas of telecommunication equipment and instrument.

1.3      OBJECTIVES OF THE STUDY

The main objectives of the study is to highlight the contribution of advertising and marketing principles on sales of mobile phone. The factors that determine demand, pricing and distribution of the service in Nigeria.

OTHER OBJECTIVES INCLUDES

a.           To highlight the loopholes in services offered by mobile operation so as to enables management policies, strategies and decision to be stream-lined towards improving on these services.

b.          To educate the mobile phone employees on the benefit of good customer relations.

c.           To establish the relationship between marketing and sales of mobile phones. Two hypothesis were tested. The hypothesis are as follows.

Ho:   The application of advertising and marketing principles does not have significance effect on sales of mobile phone.

Hi:    The application of advertising and marketing principles have significance effect on sales of mobile phone.

Ho:   Marketing efforts impact negatively on the profit of telecommunication firms.

Hi:    Marketing effort impact positively on the profit of telecommunication firms.

1.4      SIGNIFICANCE OF THE STUDY

The study is relevant to the extent it identifies the important of marketing orient to the sales of mobile phones. Thus, it is essential guide to operators of mobile phone services decisions of improving the sales performance so that they can maximize their profit. It also prepares them for the scope of work a head and help them to gather through resources to fully implement their program with ease.  

1.5      SCOPE OF THE STUDY

The scope of this study research work centered on the impact of effective marketing of telecommunication product and service under the broad subject, the study focused on the marketing practices of mobile phone operations in Enugu.

In the course of the study, effort was made to determine the importance of mobile phones to the society and Nigeria economy.

1.6      LIMITATION OF THE STUDY

The limiting factors include time and finance. Time was a major limitation to the collection of data. Effort were made to schedule and keep to interviews.

A couple of the interviews were honoured as scheduled, failed appointment were rescheduled. Some were successful while others remain unsuccessful.

Financial constraint and desire to produce a through work within the little time frame the research to limit the study to Enugu metropolis. Regardless of the above limitations great and relentless effort were made to deliver a dully researched and comprehensive work on the topic under study.  

1.7      RESEARCH HYPOTHESIS

The following hypothesis are formulated for the purpose of these research work.

HYPOTHESIS ONE

Ho:   Advertising does not impact positively on the profit of airtel mobile phone

Hi:    Advertising impact positively on the profit of airtel mobile phone.

HYPOTHESIS TWO

Ho:   Advertising does not help to improve the services offered by airtel mobile phone.

Hi:    Advertising help to improve the services offered by airtel mobile phone.

HYPOTHESIS THREE

Ho:   Advertising does not impact positively on the customer demand of airtel mobile services.

Hi:    Advertising impact positively on the customer demand of airtel mobile services.

HYPOTHESIS FOUR

Ho:   Advertising does not enhance the sales of mobile phones.

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