EFFECT OF ADVERTISING ON CUSTOMERS PATRONAGE OF FIRMS (NIGERIA BOTTLING COMPANY AND 7UP NIG PLC IN ABA, ABIA STATE)

ABSTRACT

Advertising is a prominent feature of modern business operations. One could encounter advertising messages, while watching TV, reading magazines, listening to the radio, surfing the internet or even simply working down the street, as advertising has a stimulating influence on purchasing behavior of the consumers. Empirical evidence has proven that advertising increases customers’ patronage of firms’ product. Advertising provides a platform for firms to create awareness about their products or services and how consumers could make the best out of such products. This study evaluated the effect of advertising on customers’ patronage of firms (Nigeria bottling company and 7up nig plc).This study was based on primary data collected to know the effect of advertising on customers’ patronage of firms’ products. Among the objectives of the study is to determine the extent to which advertising effect customers patronage. t-test statistics of difference mean and Pearson correlation co- efficient of R designs were adopted for the study. The first hypothesis test is aimed at determining whether or not advertising has significant effect on the creation of product awareness in Nigeria bottling company plc compared to 7up Nigeria plc. Further, the second hypothesis test showed that there is significant difference between effect of advertising on awareness creation of Nigeria bottling company plc and 7up nig plc. This study concluded that advertising is one of the most important medium of communication influencing the companies‟ performance in more than one ways. But its influential strategic importance could be suppressed by other factors which also try to receive equal attention at time of deciding any sales and profitability strategy. It is therefore recommended that not only advertising should be given adequate attention while formulating strategies relating to sales revenue and profitability promotion policy. Other factors which are important to increasing sales revenue and profitability such as sales promotion, personal selling, publicity etc which are crucial should be considered. 

TABLE OF CONTENTS

Title Page ﾿ i                                                

Declaration ﾿ ii                      

Certification ﾿ i               

Dedication ﾿ iv             

Acknowledgements ﾿ v                                               

Abstract ﾿ vi                  

Table of Contents ﾿ vii                                                           

CHAPTER ONE: INTRODUCTION                                                                                                 

1.1 Background to the Study ﾿ 1                                                           1.2 Statement of the Problem ﾿ 3                                                  

1.3 Research Questions ﾿ 4                                                     

1.4 Objectives of the Study ﾿ 4                                                     

1.5 Statement of Hypotheses ﾿ 4                                                 

1.6 Significance of the Study ﾿ 5                                                  

1.7 Scope of the Study ﾿ 5                                                         

1.8 Limitation of the study ﾿ 5   

CHAPTER TWO: LITERATURE REVIEW 

2.1 Introduction ﾿ 6                                     

2.2 The concept of Advertising ﾿ 6                                               

2.3 Objective of Advertising ﾿ 7                                                  

2.4 Criteria for Setting Advertising Objectives ﾿ 9                           

2.5 Developing Advertising Message ﾿ 11                                        

2.6 Factors that determine the choice of Media ﾿ 12                        

2.7 Functions of Advertising ﾿ 15                                                   

2.8 Types of Advertising ﾿ 18                                                       

2.9 Testing of the Advertisement ﾿ 20                                           

2.10 Theoretical Framework ﾿ 22 

 CHAPTER THREE: RESEARCH METHODOLOGY 

3.1 Research ﾿ 25                                      3.2 Area of study ﾿ 25                                                        3.3 Sample Size ﾿ 25

3.4 Population of the Study ﾿ 25

3.5 Methods of Data Collection ﾿ 25                   

 3.6 Source of Data Collection ﾿ 26                                               

3.7 Validity of the Data ﾿ 26                                      

3.8 Reliability of Instrument ﾿ 26                                        

3.9 Data Analyses Procedure ﾿ 26 

CHAPTER FOUR: DATA PRESENTATION, ANALYSIS AND INTERPRETATION 

4.1 Test of Hypotheses ﾿ 28

4.2 Findings and Discussion ﾿ 35

CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION ﾿

5.1 Summary ﾿ 37

5.2 Conclusion ﾿ 38

5.3 Recommendation ﾿ 39

REFERENCES ﾿

APPENDIX ﾿