THE ROLE OF ADVERTISING ON THE PERFORMANCE OF SALES OF BEVERAGES IN NIGERIAN BOTTLING COMPANY, KADUNA

 

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ABSTRACT
The study is to examine the role of advertising on the performance of sales of beverages with a particular reference to Nigerian Bottling Company, Kaduna. Most organizations are facing problem with selecting advertising as a medium to reach the consumer successfully. Selecting the right media to target the right customer is an essential step in advertising. Advertising plays a vital role in creating awareness, but many organizations lack understand the demographic, psychographic, cultural, technical, economic and political factors for choosing the right media. The objectives of the study are to examine the impact of advertising on the performance of sales of Beverages in an organization, to also find out the extent to which advertising can help to differentiate products of similar type in the market and to find out whether advertising brings inputs purchases. The researcher use primary and secondary source of data collection. Questionnaire was administered to the respondents to seek their opinion on the role of advertising. The findings reveal that advertising enhances the long-run survival of products of Nigerian Bottling Company. The study also reveals that advertising also enable organizations to compete freely in a business environment. It was recommended that Top management should be involved in the continuous evaluation and monitoring of advertising to ensure that the goals and objectives set are achieved and appropriate corrective actions are taken in the event of deficiencies and the company should harmonize all departments so as to realize the goals and objectives of advertising.

TABLE OF CONTENTS

CHAPTER ONE: Introduction
1.1 Background of the Study – – – – – – – 1
1.2 Statement of General Problem – – – – – – 3
1.3 Objectives of the study – – – – – – – 4
1.4 Research Questions- – – – – – – – 5
1.5 Significance of the Study – – – – – – – 5
1.6 Research Hypothesis – – – – – – – 6
1.7 Scope of the study – – – – – – – – 6
1.8 Limitation of the Study – – – – – – – 7
1.9 Definition of Terms- – – – – – – – 7

CHAPTER TWO: Literature Review
2.1 Introduction – – – – – – – – – 9
2.2 Background of Nigerian Bottling Company Plc Kaduna- 9
2.3 Concept of Advertising – – – – – – – 13
2.4 Scope of Advertising – – – – – – – 22
2.5 Mediums of Advertising- – – – – – – – 24
2.6 The Ethical Argument on Advertising – – – – – 31
2.7 Advertising and Similar Studies – – – – – 35
2.8 Economic Argument on Advertising – – – – – 40
2.9 Strengths And Weaknesses of Advertising – – – – – 43
2.10 The Role of Advertising in an NBC – – – – – 44

CHAPTER THREE: Research Methodology
3.1 Introduction – – – – – – – – – 47
3.2 Research Design – – – – – – – – 47
3.3 Population of the study – – – – – – – 47
3.4 Data Collection Instrument and Administration – – – 49
3.5 Instrument and Measurement – – – – – – 50
3.6 Methodology Problem – – – – – – – 51
3.7 Summary – – – – – – – – – 52

CHAPTER FOUR: Presentation and Analysis of Data
4.1 Introduction – – – – – – – – – 52
4.2 Data Presentation – – – – – – – – 52
4.3 Discussion of Result – – – – – – – 56
4.4 Test of Hypothesis – – – – – – – – 58
CHAPTER FIVE: Summary, Conclusion and Recommendations
5.1 Summary – – – – – – – – – 62
5.2 Conclusion – – – – – – – – – 63
5.3 Recommendations – – – – – – – – 64
References – – – – – – – – – 65
Appendix
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Advertising has become a part of our everyday life. However we are seeing many advertisements in TV, newspaper, magazine, radio, Internet etc. and we are affected by those advertisements consciously or unconsciously. Advertising is fascinating and provocative. Advertising creates customer awareness of the product and builds positive psychological associations that can enhance the buyer satisfaction (Wanoff, 1997). Consumer’s interest is provoked and sustained in the product. The purpose of advertising is to make potential buyers respond more favourably to the firm’s offering. Advertising provides information to customers creates and modifies their desires and provides reasons for preferring a particular product. Captivating and persuasive advertisements create wants through passive compulsion, which makes the consumers to buy the product. Advertising creates demand, and thereby, accelerates the growth in the gross domestic product. It also helps society by improving competition, lowering prices, encouraging more product choices, supporting the media and providing information. Advertising seems to go beyond merely selling products or ideas and can shape social trends and attitudes in powerful ways. However, advertising has been accused of harming society on the ground that it creates an unnecessary hype for the products and also manifests wants for superfluous products and services (Ammani, 2008)

 

The role of advertising in the sales of a Beverage Company in Nigeria cannot be underestimated, therefore, advertising is defined “as a tool which marketers use to communicate message to consumer, the general public and special public such as voters, and to the carriers of the messages like Televisions, Newspapers and magazines known as the media,. Unlike personal selling some sales promotion and public relations techniques advertising are in impersonal means of communication. It is an impersonal promotion to groups and paid for by an identified sponsor.
Advertising has grown in recent times due to relative increase in productivity and consequent changes in the uncontrollable marketing environment where corresponding changes in technology, socio-cultural pattern, economic venture and legal advancement also take place. It is not enough to produce and simply anticipate that consumers would become aware of the particular product, especially in a developing country like Nigeria. The producer has to engage in promotional activities. Robin Peterson asserts that advertising has played vital roles, which includes making consumers to be aware of existence of new products in the market, services or idea and the continued existence of old product that are already in the market. It will not be easy for the members of the public to be aware of these without advertising. It also informs and educates the people on how to make use of that particular product or service
Advertising also informs people where to obtain goods and services
It also improves the quality of goods and services. Lastly, advertising makes consumers increase the volume of their purchase.

 

In essence, advertising is among the various devices that designed to pull or push products through the market. And the resulted effect of the use of advertising is an increase in the sales volume as compared to the past records in which advertising were not used. Thus, advertising can be seen as a form of promotion/communication mix which greatly enhances the sales of a product.

1.2 Statement of General Problem
Most organizations are facing problem with selecting advertising as a medium to reach the consumer successfully. Selecting the right media to target the right customer is an essential step in advertising. Advertising plays a vital role in creating awareness, but many organizations lack understand the demographic, psychographic, cultural,