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ADVERTISING AS A REVENUE SURVIVAL STRATEGY FOR MASS MEDIA ORGANIZATION

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ABSTRACT

This study is an investigation carried out in order to find the impact of adoption of advertising as a survival strategy in mass media organization. This study was carried out in mass media organization and based on case study of Nigeria Television Authority (NTA) Enugu. The statement of the problem was to find the advertising strategy used and the specific advertising tools or styles employed in influencing viewer’s behaviour of television.The research method that was used is Survey Method. Questionnaires were administered to NTA staff men, women and youth. In order to achieve the objectives of the study, three hypothesis were formulated to guide the major activities of the study. The following are the findings of the study: 1. Customers bring advertising to NTA Enugu. 2. NTA Enugu advertisement influences the customers and the advertising agencies / customers.3. NTA Enugu generate a lot of revenue from such advertisements for their survival. Based on the above findings, it was concluded that advertising is very vital in attracting viewers of television. Based on the above conclusion, the authors recommended the following for improvement. 1. Advertising should be made more persuasive. 2. Advertising should also be made to be more product match. 3. Advertising should be made to be more creative and dynamic. 4. Efforts should concentrate on more research in advertising in terms of innovations that make advertising effective.

 

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Nigeria Television Authority Enugu was established in the year 1960 by the Premier of an Eastern region of Nigeria Dr. Michael Okpara. It was the oldest television station in Nigeria. It was received in the thirteen states of the federation. The station has two studios and each of them equipped with video cameras and microphones, because of the tempograph of Enugu the studio and the transmitter are not con-sided. The transmitter is located about 15 kilometers away from the studio. The station transmitters on 201.75mhz video and 196.25 audio, both local and network programmes are received from the station. In the year 2003 the station was upgraded to a zonal network center. The implication of the above is that the station not only now receives both, also transmitte’s both network news and programmes. The zone covers Abia State, Akwa-Ibom state, Anambra state, Benue state, Cross-River state, Ebonyi state, Enugu state, Imo state and Rivers state. It can be said that the zone and its stations are fulfilling their primary functions of informing, educating and entertainment.

The secondary function of NTA is that it creates employment opportunities Economic situation in Nigeria today and its attendant problems especially on the purchasing power of her citizens has greatly affected television usage. In line with the above is the incessant arrests and sometimes close down of some media organizations in the country resulting from their beautifully designed progremmes targeted at attracting viewers but found provoking by the government. The above mentioned problems in no small measure affected the smooth running of the mass media organization in Nigeria. Therefore, towards ensuring continuity in the business, it behooves the management of the mass media organization to evolve survival strategies via diversification of activities. A remarkable survival strategy often adopted, especially in terms of returns on the business and the creation of awareness is advertising.

i. Trust worthiness of the mass media organization one hand that of the sponsor n the other side.

ii. Prestige of the sponsor of the advertisement.

iii. The quality of product being advertised etc.

The above mentioned variables or factors individually cannot influence advertising effectively but rather concerted interactions of efforts of these variables.Thus positive result can only be achieved by careful implementation of these variables systematically by the mass media.

1.2 THE STATEMENT OF RESEARCH PROBLEMS TRIED TO LOOK INTO THE FOLLOWING.

  1. How NTA Enugu use advertisements from their customers to generate revenue.

  2. Whether the advertising strategies influence the
    viewers/ customers.

  3. Whether there is enough revenue from it to sustain the organization.

  4. To modify the strategies if not sustainable.

1.3 PURPOSE OF THE STUDY / OBJECTIVES

The purpose of this study is to create knowledge on advertising effectiveness in mass media organization. It would also examine problems that hinder advertisements.

1.4 SIGNIFICANCE OF THE STUDY

i. It is believed that the following people benefit from NTA Enugu.

ii. Advertising agencies / other customers

iii. Viewers of the station in had known both the old and the new products.

iv. The mass media organisation in enhancing its positioning in television house.

v. Furthermore, the result will help the mass media organization in identifying those strategies that will help them in manipulating the television viewer’s behaviour.

vi. To serve as a reference strategy to other broadcast media organization for purposes of research documentation.

1.5 RESEARCH QUESTIONS

  1. Do customers bring advertisement for NTA Enugu?

  2. Does NTA Enugu advertisement influence the customers?

  3. Does NTA Enugu generate a lot of revenue from such advertisement for their survival?

  4. Does NTA advertisement create awareness to the customers?

1.6 RESEARCH HYPOTHESES

In order to direct the major activities for this study in finding solutions to the statement of problems, the following hypotheses have been found relevant.

HYPOTHESIS ONE

Hi: Customers bring advertisements to NTA Enugu

Ho: Customers do not bring advertisements to NTA Enugu

HYPOTHESIS TWO

H2: NTA Enugu advertisements influence the customers and the advertising agencies / consumers

Ho: NTA Enugu advertisements do not influence the customers and the advertising agencies / consumers.

HYPOTHESIS THREE

H3: NTA Enugu generate a lot of revenue from such advertisements for their survival

Ho: NTA Enugu do not generate a lot of revenue from such advertisements for their survival

Advertising according to Kotler (1993:100) is defined as any paid form of non-personal presentation and promotion of ideas, goods or services by identified sponsor. Besides, advertising per-se is a vehicle through which manufacturing companies, producers of goods organization, individuals etc communicate to their target audience. Advertising is however, affected via the following channels.

i. Radio and television

ii. Outdoor displays (posters, bill boards) sign sky writing.

iii. Newspaper and magazine space.

iv. Direct mail

v. Novelties (match boxes, pen, calendars)

vi. Tear pads (car, bus)

vii. Catalogs.

viii. Directories (Yellow pages and circulars.

Further more, advertising has many purposes.

a. Long term build up of the organization corporate image (institutional advertising)

b. Long term build up for a particular brand (brand advertising)

c. Information dissemination about a sale or service or event (classified advertising)

d. Announcement of a special sale (sale or promotional advertising)

e. Advocacy of a particular cause (advocacy advertising)

Alternatively, Kotler (1993:150) opined that advertising objectives can be classified as to whether their aims are to the following:

  1. Information advertising with primary demand. This strategy has been used effectively in yogurt industry to inform customers of yogurts nutritional benefits and many uses.

  2. Persuasive advertising has been used effectively in the demand for a particular brand. This strategy has been employed in the advertising of spirits paste, tires, automobiles etc.

However, some persuasive advertising has moved into category of comparison advertising, which seeks to establish the superiority of one brand through specific comparison with one or more other brand in the product class.

  1. Reminder advertising is highly important in the nature stage of the product to keep customers thinking about the product. For example, expensive four colours coca-cola in magazines has the purpose not of informing or persuading but reminding people to purchase coca-cola.

Finally, the choice of the advertising objective according to Kotler (1993:200) should be based on a through analysis of the current market situation. For example, if the product is mature and the company is the market leader, and if brand image is low, the proper objective should be to stimulate more brand usage. On the other hand, if the product is new, and the company is not the market leader, but its brand is superior to the leader, then the proper objective is to convince the market of the brand superiority. It is pertinent to mention here that different channels of advertising have different levels of persuability on the target audience for example, television combines images and goggles and others use appropriate stimulators.

This study is a focus on the effectiveness of television advertising as a survival strategy of mass media organization. In other words, the study is on how mass media organization can effectively manipulate its advertising for the profitability of the organization. Thus for a successful implementation of effective advertising strategy, mass media organizational design the following variables name:

i. Language creativity.

ii. Choice of appropriate page.

iii. Size of advertisement.

iv. Colour.

v. Nature and responsibility of communication.

vi. Credibility of the source of advertisement.

1.7 CONCEPTUAL AND OPERATIONAL DEFINITION OF TERMS.
OPERATIONAL:

Advertising: This is a promotional tool used by the advertiser to reach the target.

SURVIVAL:

 Conceptual:Is the art of existing amidst odds?

STRATEGY:

Operational: It is a part way of realizing organizational goals.

OPERATIONAL

Mass Media: On organization operations among all other things to inform, entertain, educate and serializing the economic needs of its environment or public either through newspapers, magazines, radio, television, satellite, internet. Etc.

ORGANISATION: An organization is defined as any administrative, management and financial structure through which the activities of its work units and individuals seek to achieve a predetermined goal.

1.8 ASSUMPTIONS

i. It is greatly believed that advertising per-se is the major contributor to the mass media organization, be it government owned.

ii. Finally, experts, internally manipulate the television advertising to catch the target consumers of commodities / service.

iii. A lot of revenue could be generated from such advertisements.

1.9 LIMITATIONS OF THE STUDY.

This study despite the anticipated huge contributions expected is, however constrained by the following:

1. THE CONSTRAINT: The time from allotted for this study is so short as to cover all the major determinants required for more effective advertising.

2. MONEY CONSTRAINT: The money at the disposal of these researchers is the meager. This focusing the study only on one mass media.

  1. Finally, the television organization chosen for the purpose of the study is a well known station therefore, some vital information needed for this study were not disclosed.

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