The effect of advertisement on organizational performance:

Abstract

This study established the effect of advertisement on organizational performance, a case study of Samona Products Limited by investigating methods to be employed in relation to the study objectives thus examining the effect advertisement on organizational performance, to find out the relationship between persuasive advertisement and market share, and to establish the relationship between informative advertisement and profitability, to establish the relationship between online advertisement and customer royalty. The researcher used a sample population of 80 people with a sample size of 66 respondents. This comprised of the production, sales and supply control and monitoring departments and depended on the number of employees in each of the above mentioned departments hence homogeneous population was entailed in the study. The study used both qualitative and quantitative research techniques and different data collection methods were used in the field to obtain the data necessary for the study, these methods included questionnaires, interview guides, and documentary review. Respondents were given already typed questions indicating where one could either agree, strongly disagree, disagree, neutral and strongly disagree. The findings of the study revealed that the majority of the respondents accepted that using advertising particularly persuasive advertising, informative advertising and online are important in the successful performance of Samona products limited in terms of profits, market share and customer loyalty since they increase sales volume, product awareness. Therefore, study revealed that advertising has a significant impact on organizational performance. The research also recommended that Samona should increase its advertising budget to cater for its customers in a way of improving awareness of cosmetics produced and the market share