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PREPARED BY: ZUBAIDA KHAN MBA (FINAL) CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT ON SALES

Critical Analysis of Mobile Advertising Impact on Sales

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Page 1: Critical Analysis of Mobile Advertising Impact on Sales

PREPARED BY:ZUBAIDA KHAN

MBA (FINAL)

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT ON SALES

Page 2: Critical Analysis of Mobile Advertising Impact on Sales

TABLE OF CONTENTS

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 2

Purpose of study Literature cited Research Design Data Analysis Result findings Appendix Reference

Page 3: Critical Analysis of Mobile Advertising Impact on Sales

INTRODUCTION

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 3

Mobile advertising is a form of advertising that targets users of handheld wireless devices such as

Mobile Phones and Personal Digital Assistants (PDAs)

Page 4: Critical Analysis of Mobile Advertising Impact on Sales

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 4

Page 5: Critical Analysis of Mobile Advertising Impact on Sales

CONTI…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 5

CHANNEL ADVERTISING OPPORTUNITIES

Mobile web Good for: Direct sales, Branding etc

Downloadable application Good for:Branding/CRM

Mobile messaging Good for: Driving users to a mobile Web site. Click to callBranding/CRMInteractive dialogue (e.g., voting, polling)

Mobile video Good for: Branding/CRM Driving users to a Mobile web site. Click to call.

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PROBLEM STATEMENT

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 6

“Critical analysis of mobile advertising impact of sales

in case of consumer goods.”

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HYPOTHESIS

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 7

H0: There is a relationship exist between mobile advertising and sales.

HA: There is positive relationship between mobile advertising and sales.

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THEORETICAL FRAMEWORK

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 8

DEPENDENT VARIABLE:

SALE VOLUME

INTERVENING VARIABLE:

BRAND AWARENESS

INDEPENDENT VARIABLE:

MOBILE ADVERTISING

Page 9: Critical Analysis of Mobile Advertising Impact on Sales

RESEARCH METHODOLOGY

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 9

Research method

• Survey method

Research design

• Exploratory research method

Survey method

• Questionnaire

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SAMPLING TECHNIQUES

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 10

SAMPLING DESIGN: Random Sampling

SAMPLING TECHNIQUE: Probability Sampling

TARGET POPULATION: Mobile Users who are above 18 years

SAMPLING FRAME:

Individuals

SAMPLING UNITS: Interested to elicit from

their responseSAMPLING SIZE: 100 respondents from

different area of Karachi

Page 11: Critical Analysis of Mobile Advertising Impact on Sales

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES

11

DATA COLLECTION METHODS

SECONDARY DATA

• Newspapers

• Internet

PRIMARY DATA

• Questionnaires

• Random sampling

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DATA ANALYSIS

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 12

• Checking and logging the data• Developing a database structure• Data coding• Data transformation

DATA PREPARATION

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INFERENCES ELICIT FROM QUESTIONNAIRES

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 13

GENDER

Male respondents

55

Female respondents

45

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 14

MOBILE AS A NEED

99% of the respondent

s’ think mobile

phone as a need today

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 15

MOBILE ADVERTISING IDEA:

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 16

MOBILE ADVERTISEMENTS INFORMATION

6% to great extent64% to some

extent19% not to much

extend 11% not at all

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 17

CONVENIENT TO READ MOBILE ADS

Majority of the sample believes that

it is convenient to read mobile

advertisements; the message gives the clear knowledge

about a particular product which is being advertised.

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 18

INCREASE BRAND AWARENESS:38% of the total respondents agree that it will help in increasing brand awareness of the product,

32% are strongly agree with this,

12 are those respondents who are disagree

20% are those respondents who gives neutral answer

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CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 19

 SAVES TIME 25% are strongly agree,

49% are agree with it,

19% are those respondents who give

neutral answer,

6% respondents are disagree with it,

1% are those respondents who are strongly disagree with

this point

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 20

REDUCE ADVERTISING COST12% of the respondents believe that it always

reduce the advertising cost,

43% which represent the majority believes that most

of the time mobile advertising reduce the cost

of advertising,

37% of the total respondents says that it sometimes reduces the

advertising cost,

8 % are those respondents who mobile advertising can

never reduce the cost of advertising.

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CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 21

HELPS TO REACH WIDE AUDIENCE40% respondents says that they are strongly agree with it,

48% of them says that they are agree with it,

8% are neutral,

3% are disagree,

Respondents who are strongly disagree in believing that mobile advertising helps in reaching wide audience are also 3%

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 22

DELIVER REAL TIME INFORMATION9% says that it always deliver real time

information,

39% says that most of the times mobile advertising helps to deliver real time

information,

48% says that sometimes it deliver real time

information,

4% believes that mobile advertising never helps to

deliver real time information.

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CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 23

PERCEIVED EFFORTS OF CUSTOMERS 10% says that it enhance

the perceived efforts of customers to great extent,

69% which represents the majority to some extent

mobile advertising enhance the perceived efforts of

customer,

16% says not much

5% respondents says that mobile advertising cannot

enhance the perceived efforts of customer at all

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 24

TRUST THE INFORMATION:

6% says that to great extent they trust it,

52% says that to some extent they trust the

information, 35% says that not much

7% are those respondents who says that they do not

trust the information received from mobile advertisements at al

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Conti…

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 25

SWITCH TO COMPETITORS5% says that it always force them to switch to competitors brand,

15% says that mostly they switch to other brand,

57% tells that sometimes it happens,

23% are those respondents who never switch to competitors brand due to mobile advertisements.

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CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 26

PERCEPTION ABOUT THE BRAND

70% respondents says that mobile advertisement can change their perception

about a particular brand,

30% are those respondents who says that it cannot change their perception.

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DESCRIPTIVE STATISTICS

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 27

MOBILE ADVERTISING

Mean 1.516545455Standard Error 0.022256232

Median 1.5Mode 1.7

Standard Deviation 0.222562316Sample Variance 0.049533984

Kurtosis 2.298249864Skewness -0.815360272

Range 1.4Minimum 0.6Maximum 2

Sum 151.6545455Count 100

Confidence Level(95.0%) 0.044161191

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INFERENCE FROM REGRESSION STATISTICS

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 28

FROM REGRESSION

REGRESSION STATISTICS

Multiple R 0.978

R square 0.956

Adjusted R Square0.946

Standard Error 0.414

Observations 100

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INFERENCE FROM ANOVA

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 29

ANOVAANOVA INTERPRETATION

  Df df = Degrees of Freedom

Regression 1

Number of independent variables in the model. It can

also be written as df(reg).

Residual

 

99

Number of observations – number of independent

variables in the model – 1. We can also write it as

df(residual).

Total

 

100

Number of observations – 1. It can be written in other

way as df(total) = df(reg) + df(residual)

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CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 30

ANOVA     INTERPRETATION

  df SS SS = Sum of Squares

Regressi

on 1 375.2343 SS Regression = SS Reg

Residual 99 16.98793 SS Residual = SS Error OR SSE

Total 100 392.2222 SS Total = SST = SS Regression + SS Residual

ANOVA       INTERPRETATION

  df SS MS MS=Mean Square

Regressio

n 1

375.234

3

375.234

3

MS Regression = SS Regression / df

Regression = 375.2343/1 =375.2343

Residual 9916.9879

3

0.17159

5

MS Residual = SS Residual / df Residual =

16.98793/99 = 0.171

Total 100

392.222

2  

MS Total = MST = MS Regression + MS

Residual

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HYPOTHESIS PROVED

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 31

Null hypothesis (Accepted)

Alternative hypothesis (Rejected)

The value of P is smaller than F (2186.741) and F is greater than the significant F

(7.97281e-69)

The P-value is 2.66 E-69

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CONCLUSION

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 32

There is a positive relationship exists between mobile advertising and sales.

The consumers’ attitude towards mobile advertising are strongly related to the content and the frequency of the advertising message sent via mobile devices

Page 33: Critical Analysis of Mobile Advertising Impact on Sales

RECOMMENDATION

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES 33

Messages should be short and to the point.

Have got consumer’s permission in advance,

Consumer must be able to stop receiving further messages,

Informative about new products, Changes in products’ price, and

discounts.

Page 34: Critical Analysis of Mobile Advertising Impact on Sales

CRITICAL ANALYSIS OF MOBILE ADVERTISING IMPACT OF SALES

THANK

YOU