Augustine Egwu Ndu OKO Ohuonu Okwudiri NNANNA

Sales Promotion in the Marketing of Telecommunication Services in Nigeria: Impact Analysis

The adoption of sales promotion in the marketing of telecommunication services in Nigeria is common among the front line GSM service providers. This however does not yield the much assured increasing return on investment, hence is unprofitable and the required fund for the expansion of infrastructure base of operation is not earned, and serve rendition is as a result poor. Studying the impact of sales promotion on patronage based on the data sourced and analyzed using Likert’s ranking scale, questionnaire and analysis of variance (ANOVA), the work discerns and concludes that the high level of illiteracy based on quantitative rather than qualitative education high level of poverty as well as high rate of rural dwelling are challenges to the expansion of the level of consumption of telecommunication services even at the offer of sales promotion incentives. Recommended is a good quality marketing research with consumers as a trust point for efficiency in market segmentation as basic in the adoption of sales promotion strategy.
JEL ClassificationM31

References

  1. Adekoya, A., 2007. Nigeria: NCC Targets 40,000 GSM Base Stations for Nigeria By 2010. AllAfrica.com. Available online at: http://allafrica.com/stories/200709290068.html
  2. Adeyinka, T., Ajiboye, J.O., Adu, O.E., and James Idowu, W., 2007. Stakeholders’ Perceptions of the Impact of a Global System for Mobile Communication on Nigeria’s Rural Economy: Implications for an Emerging Communication Industry. The Journal of Community Informatics. 3(4), Available online at: http://www.ci-journal.net/index.php/ciej/article/view/379/382
  3. Asogwa, F.O., Ohaleme, K.K., and Ugwuanyi, R.O., 2013. The Impact of Telecommunication Expenditure on Economic Growth in Nigeria. Journal of Economics and Sustainable Development. 4(13), pp.40-44
  4. BBC News. 2007. Nigeria Needs Poverty Billions. Available online at: http://news.bbc.co.uk/2/hi/africa/6292378.stm
  5. Cravens, D.W., Hills, G.E., and Woodruff, R.B., 1976. Marketing decision making: concepts and strategy. Homewood, Ill.: R.D. Irwin
  6. Coutsoki, P., 2004. Nigeria Rural Urban Linkages. Available: http://www.photious.com.countires/nigeria/society rural urban linkages.html
  7. Deeter-Schmeltz, D.R., Moore, J.N., and Goebel, D.J., 2000. Prestige Clothing Shopping by Consumers: A Confirmatory Assessment and Refinement of the Precon Scale with Managerial Implications. Journal of Marketing Theory and Practice. 8(4), pp. 43-58
  8. Diso, L.I., 2005. Information production, transfer, and delivery: Mass information work and television Journalists’ dilemma in Nigeria. The International Information and Library Review. 37(4), pp.285-294. doi:10.1080/10572317.2005.10762686
  9. Ewah, O.E., and Ekeng, A.B., 2009. Problems and prospects of marketing in developing economies: The Nigerian experience. International Journal of Business and Management. 4 (9), pp. 187-196
  10. Ezejelue, A.C., Ogwo, E.O., and Nkamnebe, A.D., 2008. Basic Principles in Managing Research Projects. 2nd edition. Aba-Nigeria: Afritowers Limited.
  11. Funso, M., 2007. Telecommunication Firm Asks Court to Declare NIXP Illegal. AllAfrica. Com. Available online at: http://allafrica.com/stories/200711050870.html
  12. Harris, R., Poline, B., Songan, P., Kho Guat Lien, E., and Tranq, T., 2001. Challenges and Opportunities in Introducing Information and Communication Technologies to the Kelabit Community of North Central Borneo. New Media & Society. 3(3), pp. 270-295
  13. Hyllegard, K., Eckman, M., Descals, A.M., Borja, M.A.G., 2005. Spanish Consumers’ Perceptions of US Apparel Specialty Retailers’ Products and Services. Journal of Consumer Behaviour. 4(5), pp.345-362, doi:10.1002/cb.18
  14. ITU Telecom Africa 2004. An Overview of the Nigerian Telecommunications Environment. Available online at: http://www.ncc.gov.ng/archive/speeches_presentations/EVC's%20Presentation/NCC%20CEO%20Presentation%20on%20Overview%20of%20Nigerian%20Telecoms%20Industry.pdf
  15. Kincade, D.H., Woodard, G.A., and Park, H., 2002. Buyer–seller relationships for promotional support in the apparel sector. International Journal of Consumer Studies. 26(4), pp.294-302. doi: 10.1046/j.1470-6431.2002.00232.x
  16. Kotler, P., and Armstrong, G., 2010. Principles of Marketing. 13th Edition. New York: Pearson Education Limited
  17. Kotler, P., and Keller, K., 2009. Marketing Management. 13th Edition. London: Pearson Education Limited
  18. Kraut R., Patterson M., Lundmark V., Kiesler S., Mukopadhyay T., Scherlis W., 1998. Internet paradox. A social technology that reduces social involvement and psychological well-being? The American Psychologist. 53 (9), pp. 1017-1031
  19. Krugman, H.E., 1975. What makes advertising effective? Harvard Business Review. 53(2), pp. 96-103
  20. Liu, Y., 2007. The Long-Term Impact of Loyalty Programs on Consumer Purchase Behavior and Loyalty. Journal of Marketing. 71(4), pp.19-35. doi: 10.1509/jmkg.71.4.19
  21. Lilien, G.L., Silk, A.J., Choffray, J.M., Rao, M., 1976. Industrial Advertising Effects and Budgeting Practices. Journal of Marketing. 40(1), pp. 16-24
  22. Luck, D.J., and Ferrell, O.C., 1979. Marketing Strategy and Plans: Systematic Marketing Management. Englewood Cliffs. New Jersey: Prentice-Hall Inc.
  23. Mchombu, C.M., 2000. Information Needs of Women in Small Businesses in Botswana. The International Information and Library Review. 32(1), pp.39-67
  24. Meyer-Warden, L., and Benavent, C., 2006. The Impact of Loyalty Programmes on Repeat Purchase Behaviour. Journal of Marketing Management. 22(1-2), pp.66-88. doi:10.1362/026725706776022308
  25. National Bureau of Statistics. 2012. Poverty Situation in Nigeria.
  26. Ndukwe, E., 2003. The Role of Telecommunications in National Development. Paper presented at the 19th Omolayole Annual Management Lecture, December 5, 2003, Victoria-Island, Lagos, Nigeria
  27. Nweke, R., 2007. NCC Confirms Payment of 3G Licences. AllAfrica.com, Available online at: http://allafrica.com/stories/200704180302.html
  28. Nigerian Tribune Newspaper. 2007. GSM: A Peep into History. May 1, 2007
  29. Nkanga, E., 2007. Gains of Competition in Telecoms Industry. AllAfrica.com. Available online at http://allafrica.com/stories/200704260124.html
  30. Odunlami, I.B., and Ogunsiji, A., 2011. Effect of Sales Promotion as a Tool on Organizational Performance (A case Study of Sunshine Plastic Company). Journal of Emerging Trends in Economics and Management Sciences. 2(1), pp.9-13
  31. Ogwo, E.O., 2012. Marketing Research. Abia State University Uturu, Lecture Material, Unpublished.
  32. Onah, J., 2007. UNESCO Laments Level of Illiteracy in Nigeria. Business Day Online, October 10.
  33. Okiy, R.B., 2003. Information for Rural Development: Challenge for Nigerian Rural Public Libraries. Library Review. 52(3), pp. 126-131, doi: 10.1108/00242530310465933
  34. Oko, A.E.N., and Etuk, F.J., 2012. Risk Management in Nigeria - The Lease Industry. Business and Management Review. 2(8), pp. 5-14
  35. Oko, A.E.N., 2013. Marketing of Innovation: Concepts, Strategies and Application. Lagos: God’s Image Communication Limited
  36. Oko, A.E.N. and Egwu, U.E., 2014. Impact of Psychology of Ownership of Assets on Lease Services Consumption in Nigeria. International Journal of Innovation and Applied Research. 2(3), pp. 47-59
  37. Oko, A.E.N., 2014. Industrial Marketing, Contending with Environmental Challenges. Afikpo Nigeria: Keyholders & Associates.
  38. Okpara, G.S., Anyanwu, A.V., and Inyanga, J.I.N., 1999. Marketing Communications, Principles and Practice. Port Harcourt Educational Books and Investments Limited.
  39. Preko, A., 2012. The Effect of Sales Promotion on TV Advertising Revenue: A Case Study of TV Africa, Ghana. Journal of Emerging Trends in Economies and Management Sciences. 3(2), pp. 141-146.
  40. Shira, S.R., 2003. Marketing: 1st Edition. Delhi: A. H Wheeler and C. Ltd.
  41. Tomiro, D.O., and Dionco-Adetayo, E.A., 2005. Children Involvement in Entrepreneurship in Rural Communities: An Attitudinal Analysis. Technovation. 25(6), pp. 683-689
  42. Torimiro, D.O., and Lawal, B.O., 2001. Rural Children and Household Food Security Activities in Ijebu Area of Ogun State, Nigeria. Moor Journal of Agricultural Research. 2(1), pp. 70-74
  43. U.S. Department of Commerce. 2000. Falling through the Net: Toward Digital Inclusion National Information and Telecommunications Agency. Available at http://search.ntia.doc.gov/pdf/fttn00.pdf
  44. U.S. Department of Commerce. 2002. A Nation Online: How Americans are expanding their use of the Internet. National Information and Telecommunications Agency. Available at http://search.ntia.doc.gov/pdf/fttn02.pdf
  45. Vyas, P.H., 2007. Sales Promotion Practices in Apparel Retail Sector and Challenges Ahead. Working Paper No. 2007-11-02, Indian Institute of Management, Ahmedabad, India.
  46. World Development Reports. 2010.
  47. Xinhua News Agency. 2007. Nigeria’s GSM Subscribers to Hit 44 Mln: Official. October 24, 2007, Factiva
  48. Zaid, T.A., and Popoola, S.O., 2010. Quality of Life Among Rural Nigerian Women: The Role of Information. Library Philosophy and Practice. Paper 513. Available online at: http://digitalcommons.unl.edu/libphilprac/513
  49. Zhao, Z. and Kanamori, T., 2007. Infrastructure and Regional Development in the People's Republic of China. Discussion Paper No. 69. Available online at http://www.adbi.org/discussion-paper/2007/06/18/2285.prc.infrastructure.regional.dev/empirical.study.on.the.role.of.infrastructure/

Author(s)

Augustine Egwu Ndu OKO
Abia State University, Uturu, Nigeria

Ohuonu Okwudiri NNANNA
Abia State University, Uturu, Nigeria

Correspondence

Augustine Egwu Ndu Oko, Department of Marketing, Abia State University, Uturu-Nigeria

Article History

Received: May 20, 2014
Accepted: July 8, 2014
Available Online: July 24, 2014

Cite Reference

Oko, A.E.N., Nnanna, O.O., 2014. Sales Promotion in the Marketing of Telecommunication Services in Nigeria: Impact Analysis. Expert Journal of Marketing, 2(1), pp.37-52

Save to Mendeley

Article Rights and License

© 2014 The Authors. Published by Sprint Investify. ISSN 2344-6773

This article is licensed under a Creative Commons Attribution 4.0 International License.
Creative Commons License