Advertising And Consumer Preference Of GSM Networks In Nigeria (A Case Study Of Owerri Metropolis)

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Advertising And Consumer Preference Of GSM Networks In Nigeria (A Case Study Of Owerri Metropolis)


This work is an evaluation of the impact of advertising on consumer preference of G.S.M networks in Nigeria. The researchers adopted the survey method for the research study and the instrument used for collecting data was the questionnaires, internet and magazines were also visited for data.

The outcome of the study showed that advertising is used by G.S.M network for a variety of reasons, and top on the list is to make consumers adopt their goods services.

Based on this, G.S.M operators in Nigeria should continue to employ the services of advertisers to create more awareness. In conclusion, the research reveals that advertising plays a crucial role in consumers’ preference of a particular product or services.

Table Of Content

Preliminary Page(s)

  • Title page
  • Certification
  • Approval page
  • Dedication
  • Acknowledgement
  • Abstract
  • Table of content

Chapter One

1.0 Introduction

  • 1.1 Background of the study
  • 1.2 Statement of the Research problem
  • 1.3 Objectives of the Study
  • 1.4 Research question
  • 1.5 Hypothesis
  • 1.6 Significance of the study
  • 1.7 Scope and limitation of the study
  • 1.8 Definition of terms and concepts

Chapter Two

2.0 Literature Review

  • 2.1 Sources of literature
  • 2.2 The review
  • 2.2.1 The definition and history of Advertising
  • 2.2.2 History of Advertising
  • 2.2.3 Advertising and consumers preferences of GSM network in Nigeria
  • 2.2.4 The origin of Mobile Tele-communication industry (G.S.M) in Nigeria
  • 2.2.5 How advertising affects consumer‚Äôs preference

Chapter Three

3.0 Research Methodology

  • 3.1 Research method
  • 3.2 Research design
  • 3.3 Population of study
  • 3.4 Research samples
  • 3.5 Sampling techniques
  • 3.6 Measuring instrument
  • 3.7 Method of data collection
  • 3.8 Method of data Analysis
  • 3.9 Expected result

Chapter Four

4.0 Data Presentation, Analysis and the Results.

  • 4.1 Data presentation
  • 4.2 Demographic data
  • 4.3 Testing hypothesis
  • 4.4 Discussion

Chapter Five

5.0 Summary, Conclusion and Recommendation

  • 5.1 Summary
  • 5.2 Conclusion
  • 5.3 Recommendation
  • References
  • Appendix

Chapter One

1.0 Introduction

1.1 Background Of The Study

About nine years ago in Nigerian only a few could tell the meaning of G.S.M, but today many people could say the acronym to mean ‚ÄúGlobal system for mobile communication‚ÄĚ. This is because of the role played by the media in providing information as well as creating awareness meant to sensitize Nigerians on the importance and use of G.S.M networks.

This awareness created for the telecommunication networks would not have been achieved in Nigeria without the role of advertising. Advertising has played (and is still playing) an important role in informing, educating, entertaining and socializing the masses on the use and application of the mobile telecommunication networks.

Similarly, there was a time when owning and operating a telephone was an exclusive right of the ‚Äúrich‚ÄĚ high and mighty‚ÄĚ in government and in private sector but the introduction of mobile telephone has changed that even though it too was expensive at first.

The first mobile network telephone line was very expensive to purchase so the ball was still played amongst the high and mighty and having a mobile set then was tantamount to buy from the well to do class. Advertising again contributed in creating competition among the mobile networks and consequently changed not only the services, but also the cost of purchasing a mobile line.

Apart from its prohibitive cost then, availability and maintenances were also obstacles to contend with. The national communication act enacted under the regime of former president Olusegun Obasanjo changed the history of mobile telephone in Nigeria. This act gave rise to the establishment of national communications commission (NCC), with the charge in licensing of individuals and organizations to operate G.S.M networks in the country and to provide the term of reference for operating in the country.

As a result of the birth and competition among these Global system networks, there arose the need to adequately create awareness among the potential consumers to subscribe to their networks. This is where advertising came in and has remained top on every mobile operating network in Nigeria. Without it, subscribers can hardly, make a wise choice in the midst of alternatives. This is why Hanson (2008:3,9) stated that ‚ÄúAdvertisers use a variety of strategies to reach their audience. They may attempt to understand the needs, wants and motivations of audience members through physiographical research. They also target products to specific demographic group‚ÄĚ.

Governing the undisputable significance of advertising in the promotion of G.S.M networks in Nigeria, it is pertinent to note that the essential factor for regular advert generation on those network is on the quality of programmes reported on the pages of newspaper and magazines and that of radio and television etc.

This to a great extent will enable the consumers of these networks to make preferences as it relates to the particular network they wanted to subscribe to. Baran (1999:299) in discussing the institutional or corporate advertising stated that ‚Äúcompanies do more than just sell products; companies also promote their names and reputation if a company‚Äôs name insipires confidence selling its prod* uct. Some institutional or corporate advertising promotes only the organizations images‚ÄĚ it is based on this that one can say that the need for telecommunications networks that operates different G.S.M networks to use advertising is as important as their use of public relations, sales promotion and other marketing strategies to win their customers preference of their product, services and ideas, since in advertising, the organization is concerned in dealing primarily with consumers, it is therefore their efforts to try as much as they could to do the following.

  1. Attract the additional consumers in purchasing their brands or products. This is finding way of influencing their consumers to shop more frequently in their market outlets.
  2. To stimulate the target audience for immediate action. That is to persuade their consumers to buy their products now rather than before.
  3. To change consumers frequency of thought. By this approach you are trying to change the people’s idea, but to keep on patronizing the company’s products. The advertising and other interest groups will understand the need for consumers to be made to prefer a product to another.

Also the need to use or employ such advert media like print, broadcast, mobile etc would be found effective in enabling consumers to make preferences for their G.S.M network consumption.

1.2 Statement Of Problem

Is it possible for consumers of G.S.M networks in Nigeria to buy the products, services and ideas of these G.S.M operators because of their advertisement in the mass media? This question remains the central problem. Controlling the research work.

Also, the type of programmes a television station, for instance, transmits determine the rate of its viewing audience. Before advert placement the major task of the researcher here is to determine which medium (media) is the best to be used in G.S.M networks advertising.

This is based on Anyanwu and Onah’s (1989:30) assertion that “Advertisers are only willing to buy airtime from television stations that offer popular programmes that could guarantee wider exposures of their commercial messages.

The researcher, in determining the factors responsible for the preferences made by consumers in choosing a G.S.M networks, the subscribe will try to find answers to the following said questions.

  1. Do G.S.M consumers subscribe to a particular mobile network because of the advertisement of that network?
  2. Do G.S.M network use advertisement as a plug to control consumers patronage?
  3. Do the adverts portray the real image of the mobile network?
  4. Do the medium affect the quality of advertising of the mobile network?

The study is therefore geared towards the assessment of choice of media and effect of programmes on consumer’s preferences of G.S.M network in Nigeria.

1.3 Objectives Of The Study

The objectives of the study include the following:

  1. To determine GSM networks use in advertising to promote their products, services or ideas.
  2. To find out if advertising of GSM networks consumers to purchase their products, services or ideas.
  3. To determine if choice of the medium guarantees consumers preferences of GSM network.
  4. To determine on consumer preferences of GSM networks.
  5. To determine the effectiveness of advertising on consumers preferences of GSM networks.
  6. To find out if advertising improves GSM networks companies’ profitability.
  7. To find out if language is a barrier to GSM advertisement and consumer preferences.
  8. To find out if GSM contributes to the economic growth of Nigeria.

1.4 Research Question

  1. Does advertising determine consumer preferences of GSM network in Nigeria?
  2. Does GSM use advertising to promote their products, services or ideas?
  3. Does advertising improve GSM network companies’ profitability?
  4. Does choice of media or medium grantee consumers preferences of GSM network in Nigeria?

1.5 Hypothesis

The following research hypotheses were formulated by the researcher. They include:

  • H1: Advertising determines consumes preferences of GSM network in Nigeria.
    H0: Advertising does not determine consumers’ preference of GSM network in Nigeria.
  • H2: GSM network use advertising to promote their product, services or idea.
    H0: GSM network do not use advertising to promote their product services or ideas.
  • H3: Advertising improves GSM network companies‚Äô profitability.
    H0: Advertising does not improve GSM network companies’ profitability.
  • H4: Choice of media or medium guarantees consumers preferences of GSM network in Nigeria.
    H0 Choice of media or medium does not guarantee consumers preferences of GSM networks in Nigeria.

1.6 Significance Of The Study

In addition to serving as a partial fulfillment for the award of National Diploma (ND) this study will also create awareness amongst management of organization especially MTN of the importance of consumer’s preference of GSM network in Nigeria.

This research study will also be of importance to student who will be carrying out research or assignment on advertising consumers preference of GSM network in further which is believed will be of aid to them.

1.7 The Scope And Limitation Of Study

This study is restricted to Owerri metropolis where the researcher used the survey method which involves the gathering of information (data) from a large population by sampling opinion from a smaller population chosen from a large one.

The researcher carried out the survey in some part of the survey in some parts of the urban area of Owerri which started from wedthral Road down to government house, Douglas Road, Okigwe Road, Orlu Road and ended at Nekede Area. This method is appropriate due to difficulties encountered when studying a while population by focusing on peoples beliefs perception, opinion.

Attitudes and their general behaviour it is as a result of this that Baran (1999:350) states that survey are similar to the public opinion polls we see reported in the media. Both use sampling techniques and ask question, but survey are much more sophisticated than polls; they we designed to scientifically describe phenomena and their relationships in the actual environment at a given time.

1.8 Definition Of Terms

For the purpose of clear thinking and understanding the under listed terms used in this work, is therefore explained below.

1. Advertising
  • Any system or method of attracting public notice to an event to be attended, or the desirability of commercial products for sale; promotion also advertisements collectively.
  • Advertising is a communication in the media paid for by an identified sponsor and directed at the target audience with the aim of impacting information above a product, service, ideas or course.
2. Network:
  1. Is a complicated system of roads, lines, tubes, nerves that cross each other and are connected to each other.
  2. Is a medium or system where information is shared in communication.
3. Consumers:
  • A person who buys goods or uses services.
  • They are the people uses the products and services.

Chapter Five

Summary, Conclusion And Recommendation

5.1 Summary

Having carried out an indept research on the consumer’s preference of G.S.M networks in Nigeria, the researchers were able to x-ray the role of advertising in the promotion of product, services or ideas in the present Nigerian society.

To conduct this study, survey research method was adopted by the researcher. This was deemed appropriate considering the nature of the topic of study that studied the views, opinion, attitudes and belief of the respondents on the effectiveness of advertising on consumer’s preference of G.S.M network in Nigeria. The researchers generated most of their data for the study through interviews distribution of copies of questionnaire and the use of secondary source of data collection like magazine, news-papers, journals and other printed materials these sources enabled the researcher to gather data necessary for interpretation and analysis of the research instruments used in this study. They also helped interviewing related literature for the study. Four hypotheses were formulated from the research questionnaire at the end of the data interpretation, the researchers observed that each of the tested hypothesis gained empirical support from the research instruments used by the researchers. The outcome of the interpreted data showed that advertising is used by G.S.M networks for a variety of purposes and to achieve their appropriate objectives.

Furthermore, the results showed that advertising is a very effective tool for an organizational performance. The findings also indicated that G.S.M networks in Nigeria which makes use of advertising increase their profitability as far as their advert messages go.

5.2 Conclusion

This study took enough time to go into details about the effectiveness of advertising by GSM operators in Nigeria with special reference to consumer ‚Äėpreferences of these GSM networks.

The study revealed among other things the role advertising plays in enabling consumers or subscribers of GSM networks in Nigeria rot appreciate the products services or ideas of these GSM networks particularly by making different choices on them, it can be aid that the researcher having exhaustively used available research instruments to gather and interpret data necessary or the study, logically came to the conclusion of ideas that GSM networks in Nigeria would not be enjoying good business environment in which they found themselves today in Nigeria. They would not have even made their numerous subscribers to know that they have products, services and ideas in stock for them.

Based on these factors, the researcher is of the opinion that advertising has immensely contributed to consumer’s preference of GSM networks in Nigeria.

5.3 Recommendations

Based on the foregoing findings, conclusion and implication of the study, the following recommendations were made by the researcher. This is for both short-run and long-run measures on how best to appreciate consumer’s preferences of GSM networks is using advertising as their guiding tool.

  1. GSM operators in Nigeria should continue to employ the services of advertising if they want their products, services or ideas to be known by their target audience.
  2. That that use of advertising by GSM networks operators increases their company’s profitability.
  3. It is also recommended that customers of different GSM companies should continue to read about, listen to and view advert messages from these companies as it will enable them to know more about these GSM Companies.
  4. That advertising should be practiced by any other company that wants its product, services, or ideas known by the masses.
  5. Also, government should support GSM companies in their bid to reach their numerous customers through advertising.
  6. The researcher recommends that GSM companies should also advertise their social responsibilities or corporate contributions for the masses to know that they care for the welfare of the society as well.
  7. That mass media should co-operate with the advert agencies GSM networks operators and the government, in order to bring development to the society.
  8. That there should be appropriate sensitization of the masses on the benefits of using advertising to determine the strength and (or) weakness of any from operating in Nigeria today.
  9. The researcher recommends that more research should be conducted by individuals and corporate bodies on the effectiveness of using advertising to determine consumer’s preference of GSM networks in Nigeria.

Advertising And Consumer Preference Of GSM Networks In Nigeria (A Case Study Of Owerri Metropolis)

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